User:Kim Fu/sandbox
Success factors of e-commerce implementation
[edit]Success in consists of achieving the desired outcomes or effects.[1] The success of e-commerce implementation can be measured through certain variables.[2] The variables enable the degree of contribution and impacts to be seen and analyzed to measure the success of implementing an e-commerce strategy. For instance customer satisfaction and secure electronic payment.[2] Some critical factors for a successful e-commerce implementation have been identified.
Organizational structure
The organizational structure should fit e-commerce strategy.[2] A negative impact on the success of e-commerce implementation would occur when the organizational structure conflicts with the targets of e-commerce strategy.[3] The structural changes need to be routine reconfigurations for ensuring the consistency with e-commerce strategy, increasing the capability of efficiently carrying out the new strategy.[4] The effective communication channels contribute to increasing the level of satisfaction and the success of a strategy implementation.[2] Furthermore, the flexible structure helps to adapt the constantly changing environment for the success of implementing e-commerce strategy.[2]
Compatibility
The implementation of new e-commerce strategy needs to be supported by the integrated technology and compensation system.[2] The higher profitability of e-commerce implementation is brought by the higher integration between the e-commerce strategy and the technology.[5] The e-commerce strategy needs to be aligned with the currently available technology and the company's long-term strategy. Additionally, "the compensation system" which is consistent with a new strategy helps to reduce risks of failure and stimulate employees' contributions for achieving the e-commerce target.[2]
Investments
Financial and time investments are important to the success of e-commerce implementation.[3] The failure of e-commerce implementation is commonly caused by inadequate financial resources.[5] Sufficient financial investments and reliable budgets help to effectively achieve the e-commerce strategy. Compared with large companies, small companies have weaker capability to cover hidden costs. For example, the costs of delivery and return. Approximately 60% of UK retailers was negatively influenced by the growth of returned items bought online.[6] Furthermore, the cost of managing the extended time to complete a project could be the biggest expenses in the process of e-commerce implementation.[3]
Organizational culture
The cultural management in organizations has a vital impact on the implementation of e-commerce strategy.[2] The communication and training of organizational value regard to the value perception and establishment of organizational members.[7] The high alignment between personal and organizational value causes a high belief towards e-commerce strategy and positive attitude of employees, which is beneficial to reduce risks and improve coordination while implementing e-commerce strategy.[3]
Management
A successful e-commerce implementation requires a systematic management within organizations.[3] A strong leadership and controlled management team improve the execution of strategy and coordination among different departments.[3] Despite many companies set e-commerce as a separate department, a separation might be created because of the non-integrated management teams.[3] The integrated management team contributes to reducing misunderstanding and facilitating coordination among different departments for successfully carrying out e-commerce strategy.
Technological competence
The technological competence is essential for a successful e-commerce implementation, especially accurate decisions towards the selection of skilled people and outsourcing.[2] The participators involving to technology are required to have sufficient knowledge to e-commerce and technological skills, ensuring the expected implementation of e-commerce strategy. Furthermore, the IT advantage can be gained through outsourcing, which is helpful to improve organizational competitiveness and increase opportunities of success for e-commerce implementation.[2]
- ^ Dubelaar, Chris; Sohal, Amrik; Savic, Vedrana (2005-11-01). "Benefits, impediments and critical success factors in B2C E-business adoption". Technovation. 25 (11): 1251–1262. doi:10.1016/j.technovation.2004.08.004.
- ^ a b c d e f g h i j Ellen, Dittberner; Linda, Johansson (2015). "E-commerce strategy implementation : A comparison between theory and practice".
{{cite journal}}: Cite journal requires|journal=(help) - ^ a b c d e f g Epstein, M.J. (2004). Implementing e-commerce strategies: a guide to corporate success after the dot.com burst. Westport: Praeger.
- ^ Chen, Jing Elaine; Pan, Shan L.; Ouyang, Tao Hua (2014). "Routine reconfiguration in traditional companies' e-commerce strategy implementation: A trajectory perspective". Information & Management. 51 (2): 270–282. doi:10.1016/j.im.2013.11.008.
- ^ a b Zhao, Jian (2010). "Study on Adoption of E-commerce in SMEs". Management & Engineering. 1: 31–34.
- ^ Manning, Ellen (2016-12-15). "Why retailers stop selling online: the hidden cost of e-commerce". The Guardian. ISSN 0261-3077. Retrieved 2017-05-11.
- ^ De Feo, Joseph A.; Janssen (2001). "Implementing a strategy successfully". Measuring Business Excellence. 5 (4): 4–6. doi:10.1108/13683040110411223. ISSN 1368-3047.