E-business No Longer a Technical Issue: Survey

SYDNEY (03/22/2000) - An electronic business "corporate planner", developed by a partnership between Compuware Asia-Pacific Pty. Ltd. and International Knowledge On-Line (IKO), has outlined the hurdles faced by companies migrating to e-business.

The survey, based on the responses of more than 350 representatives from Australian businesses, revealed that the biggest inhibitor for e-business implementation is a lack of education and understanding of e-business and e-commerce among senior management.

Officials said the planner would help businesses overcome the barriers by providing a three-pronged approach to e-business: theory, design and implementation.

According to Aseem Prakash, CEO of IKO, senior management still believes e-business is an IT issue rather than a business issue.

"A CEO has to be the chief e-commerce officer who goes before the board to build the strategy," Prakash said. "This is a business issue first and foremost. It is not a technical issue."

Meanwhile, the survey revealed that IT organizations, banks, government entities, utilities and professional services organizations have the highest rate of e-business and e-commerce implementation.

Also, e-commerce initiatives currently rate higher on many companies' priority lists than preparing for the new Goods and Services Tax (GST), said Peter Pritchard, marketing director of Compuware Asia-Pacific.

Pritchard warned that Australian companies must seek to build e-business trading hubs or risk being steamrolled by trading hubs established throughout the region. Local businesses have just one year to form relationships with industries and verticals, he said.

On the positive side, Pritchard suggested IT organizations and logistics companies would benefit most from the shift to e-commerce.

IT organizations will provide the glue between the companies while trading hubs and logistics companies will be crucial in the delivery of services, he said.

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