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-DHAVAL MEHTA
-PRIYESH WAGHMARE
•Introduction

•System of B2B

•B2B Structures

•B2B in Pharmaceutical Industry

•Case Study

•Conclusion
Introduction
 Introduction   System of B2B   B2B Structures   B2B in Pharma   Case Study   Conclusion




      Conducting of commerce by companies, government
      agencies, and institutions with one another over the
      Internet.

        – Payment online without meeting representatives from the
          retailer.

        – Online intermediaries that mediate transactions.

        – Commerce between a business partners and its supply chain
          members.

        – Electronically Automate trading & Communication process.
Introduction
 Introduction   System of B2B   B2B Structures   B2B in Pharma     Case Study        Conclusion




                                       Specialized or
                                      vertical industry
                                           portals

                                                                  Product supply
            Company Web                                                and
               sites                                               procurement
                                                                    exchanges

                                       B2B Websites


                                                                      Public
                Extranet
                                                                 Information sites



                                      Brokering sites
                                                                         Source:Jones P, 2000
Introduction
 Introduction   System of B2B   B2B Structures   B2B in Pharma   Case Study   Conclusion




  •   Reduces administrative cost.

  •   Centralized Transactions.

  •    Innovative economic transactions.

  •   Outsourcing the unprofitable parts of your business

  •   Improving the speed of communication

  •   Reducing wastage through additional sales channels

  •   Automation of individual Steps in procurement Process

  •   Companies can save 50-80% of their quoting and ordering costs .

  •   Eliminate 100% of order errors by moving to B2B E-Commerce.
System and
Introduction
 Introduction                  B2B Structures   B2B in Pharma   Case Study   Conclusion
                Applications




   • UK's small businesses using B2B data generates online
     revenues in excess of £36 billion a year (Adfero Ltd 2011).

   • Market forecast estimate that by 2012 the global market
     (online and offline ) could reach $15 trillion (Turban E et
     al,2010)

   • 90% of companies still rely on spreadsheets and rigid
     enterprise software systems to price, quote, and sell products
     (Abel G, 2010)

   • Estimated of B2B online sales to be 10% of the total B2
     market (Turban E et al,2010)
System and
  Introduction   System of B2B   B2B Structures   B2B in Pharma      Case Study        Conclusion
                  Applications

                                                                                  Non-IT Application
                                                                                    Management

(Adapted from - Turban E et al,2010)
                                                                                  Collaborative with
                                                                                    Suppliers and
                                                             Collaborative              Buyers
                                                              Commerce
                                                                                     Integration
                                                             Supply Chain
                                        E-Government        Improvements          Internal/External
                                                                                  Business Process
                                                                                    Management
                                        Personalize and   Mobile Commerce
                                          Customize
                                                                                   RFID and Other
                                                                  E-CRM
                                        E-Marketplace
                                          Exchange                                  Web Services
                                                              E-Learning
                    Online Ordering                                               Intelligent Systems
   Publish And      B2C,B2B Actions     Business value                               Expert Sales
    Promote                                                  Multichannel
                                                                                        Systems

      1st                  2nd                3rd                4th                 5th (current)
   Generation           Generation         Generation         Generation              Generation
     1995                 1997               2000               2001               2002 and Beyond
System and
Introduction   System of B2B   B2B Structures   B2B in Pharma   Case Study        Conclusion
                Applications




                                                                             (Source -Squidoo,2011)
System and
Introduction    System of B2B    B2B Structures    B2B in Pharma              Case Study          Conclusion
                 Applications




                                         Intermediate
                                           Exchanges
                                          Directories



                                                  Collaboration

       Suppliers       E-procurement     Our Company;
                       (Buy-side)                                 Sell-Side                Customers
      Raw Material                       Manufacturer;
                                                                                            Catalogs,
      Components,                          Retailer;
                                                                                            Auctions
        Services       Collaboration    Service Industry     Collaboration


                                                  Collaboration


                                        Support Services
                                        Logistics, Supple
                                        Chain, Payments,
                                         Security, PRM
                                                                         (Adapted from - Turban E et al,2010)
System and
Introduction                  B2B Structures   B2B in Pharma      Case Study         Conclusion
               Applications


                                                                          Sellers

                                  Buyers




      Sell-Side B2B                                            Buy-Side B2B
                                                                  (Adapted from - Turban E et al,2010)
System and
Introduction                   B2B Structures   B2B in Pharma   Case Study          Conclusion
                Applications




                                        Services




      Sellers                                                                Buyers




                                      An Exchange




                                                                 (Adapted from - Turban E et al,2010)
System and
Introduction                     B2B Structures   B2B in Pharma   Case Study          Conclusion
                  Applications




                                            Others


          Government                                                      Buyers




        Community                                                              Sellers
                                         Hub Manager




                                                                        Industry
               Universities
                                                                      Associations
                                                                   (Adapted from - Turban E et al,2010)
System and
Introduction                                           B2B Structures    B2B in Pharma           Case Study          Conclusion
                            Applications




                                                                                                                             Payment


Requisition
                                                                                Invoice
                       Purchase Order

                                                                                                        Accounts
                                                                                                        Payable
                                                         Supplier




                                                                                          Ship
                                                                                                                         Match

                                                                                                         Central
            Approval                                                                                    Receiving
           Process per
         financial policy
                                                                    Acknowledgment
                                         Purchasing
                                        inputs order


                                                                                                  (Adapted from - Turban E et al,2010)
System and
Introduction                    B2B Structures   B2B in Pharma     Case Study      Conclusion
                Applications




    Search for Vendors and                           Initiate a Purchase Order
    Products                                         (PO)



    Qualify Vendors



                                                     Arrange a Pickup or Receive
    Select a Market Mechanism
                                                     Shipment



    Compare and Negotiate



    Make a Purchase                                  Make Payments
    Arrangement

      Pre –Purchase Activites                          After-Purchase Activities
System and
Introduction                  B2B Structures   B2B in Pharma   Case Study   Conclusion
               Applications




  • Risk when buyers Unknown to Vendors.

  • Full access to information after Registration.

  • Payment of fees.

  • Some Inferior quality of business contacts.

  • IT investment.

  • No-engagement in bilateral negotiation.

  • Transaction fees.

  • Relationships may be short term.
System and
Introduction                  B2B Structures   B2B
                                               B2B in Pharma   Case Study   Conclusion
               Applications




  • Well suited industries for B2B model.

  • Pharma Sector for B2B Wrongly approached.

  • Product advertisement.

  • Beneficial to SME and niche vendors.

  • Platform Required for business transactions and relationship.

  • Traded goods can be easily described with high level of standardization.

  • Platform beneficial in specific challenges such as product recall.

  • Platform Support trading in global market.
System and
Introduction                       B2B Structures   B2B
                                                    B2B in Pharma       Case Study         Conclusion
                  Applications




                                                                                   Marketing and
       Research         Development         Manufacturing        Distribution
                                                                                       Sales




                                                                                       Branding;
                           Recruiting;                           Transportation;
       Data Sharing;                         Quality Control;                        Product data;
                          Data Capture;                            Warehouse
        Databases                            Sub Contracting                            Online
                          Virtual Trials                          Management
                                                                                     Communities



                                               Supply Chain Management

               • Business Intelligence                            • Data Mining
                 • Data Warehousing                    • Enterprise Application Integration
        • Knowledge Management Integration
System and
Introduction                  B2B Structures   B2B in Pharma   Case Study
                                                               Case Study   Conclusion
               Applications
System and
Introduction                  B2B Structures   B2B in Pharma   Case Study
                                                               Case Study   Conclusion
               Applications




Overview:                                       Main service category includes :

•One of the world’s largest and growing         • Analytical lab service
B2B pharma trade portal
                                                •API & Bulk drugs
•Covering all segments of exclusive
pharma allied industry.                         • Packaging machineries &
                                                 materials
•Provides complete solution based on
butterfly model                                 • Processing machineries

•Latest available technology for the            •Research
Web-Based data management &
Communications.                                 •Project management and
                                                 utilities
System and
Introduction                  B2B Structures   B2B in Pharma   Case Study
                                                               Case Study   Conclusion
               Applications




Portal Features:
                                                B2B Pharma Portal Showcase:
•Utmost privacy & security of data &
transactions
                                                • More than 3000 Companies.
•Compatible with concurrent Buyer –
Suppliers practice
                                                •Over 300 Products /Services.
•Periodic updates & amendments

• 24x7 access to B2B Business Center            •16 Essential Segments listings more
                                                than 9000
System and
 Introduction                    B2B Structures   B2B in Pharma     Case Study
                                                                    Case Study        Conclusion
                  Applications




 Categorized
Search facility



 Company
  Profile


   Event
   Event
Updates and
 Updates
   News
                                                                        Major
                                                                   Information and
Translation                                                          access points
  Facility                                                        Available on main
                                                                         page
Introduction
               System and
               Applications   Pros v/s Cons
                              B2B Structures   B2B in Pharma   Case Study
                                                               Case Study   Conclusion




                  Pros                                         Cons

 • Google Search engine Support                • Website structure
 • PayPal facilities                           • Registration Required
 • Advertisement                               • No end user feedback facility
 • Detailed Company Profile                    • No ease of use.
 • Language translator
 • Update about technologies
 • Press/Media Features
 • Easy Narrowing of search
Introduction
               System and
               Applications   Pros v/s Cons
                              B2B Structures   B2B in Pharma   Case Study   Conclusion
                                                                            Conclusion




  • Reviews & Ratings

  • Privacy of transactions

  • CRM model should be used.
       – End user involvement


  • Merely a venue- No responsibility
References:
• Jones P, 2000 B2B (Business2Business or Business-to-Business) Available
  online: http://searchcio.techtarget.com/definition/B2B (Accessed on 26
  may 2011).
• Adfero Ltd 24th May 2011 Marketing News Available online:
  http://directmarketing.thomsonlocal.com/Win/News-Archive/Marketing-
  News/?storyId=84306 (Accessed on 26 may 2011).
• Abel G ,2011 2010: B2B eCommerce (Finally) Realizes Its Potential
  Available online:
  http://www.demandgenreport.com/archives/demanding-views/443-2010-
  b2b-ecommerce-finally-realizes-its-potential.html (Accessed on 26 may
  2011).
• Turban E et al 2010. Electronic commerce 2010: A Managerial Perspective
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E Business Management

  • 2. •Introduction •System of B2B •B2B Structures •B2B in Pharmaceutical Industry •Case Study •Conclusion
  • 3. Introduction Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion Conducting of commerce by companies, government agencies, and institutions with one another over the Internet. – Payment online without meeting representatives from the retailer. – Online intermediaries that mediate transactions. – Commerce between a business partners and its supply chain members. – Electronically Automate trading & Communication process.
  • 4. Introduction Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion Specialized or vertical industry portals Product supply Company Web and sites procurement exchanges B2B Websites Public Extranet Information sites Brokering sites Source:Jones P, 2000
  • 5. Introduction Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion • Reduces administrative cost. • Centralized Transactions. • Innovative economic transactions. • Outsourcing the unprofitable parts of your business • Improving the speed of communication • Reducing wastage through additional sales channels • Automation of individual Steps in procurement Process • Companies can save 50-80% of their quoting and ordering costs . • Eliminate 100% of order errors by moving to B2B E-Commerce.
  • 6. System and Introduction Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications • UK's small businesses using B2B data generates online revenues in excess of £36 billion a year (Adfero Ltd 2011). • Market forecast estimate that by 2012 the global market (online and offline ) could reach $15 trillion (Turban E et al,2010) • 90% of companies still rely on spreadsheets and rigid enterprise software systems to price, quote, and sell products (Abel G, 2010) • Estimated of B2B online sales to be 10% of the total B2 market (Turban E et al,2010)
  • 7. System and Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion Applications Non-IT Application Management (Adapted from - Turban E et al,2010) Collaborative with Suppliers and Collaborative Buyers Commerce Integration Supply Chain E-Government Improvements Internal/External Business Process Management Personalize and Mobile Commerce Customize RFID and Other E-CRM E-Marketplace Exchange Web Services E-Learning Online Ordering Intelligent Systems Publish And B2C,B2B Actions Business value Expert Sales Promote Multichannel Systems 1st 2nd 3rd 4th 5th (current) Generation Generation Generation Generation Generation 1995 1997 2000 2001 2002 and Beyond
  • 8. System and Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion Applications (Source -Squidoo,2011)
  • 9. System and Introduction System of B2B B2B Structures B2B in Pharma Case Study Conclusion Applications Intermediate Exchanges Directories Collaboration Suppliers E-procurement Our Company; (Buy-side) Sell-Side Customers Raw Material Manufacturer; Catalogs, Components, Retailer; Auctions Services Collaboration Service Industry Collaboration Collaboration Support Services Logistics, Supple Chain, Payments, Security, PRM (Adapted from - Turban E et al,2010)
  • 10. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications Sellers Buyers Sell-Side B2B Buy-Side B2B (Adapted from - Turban E et al,2010)
  • 11. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications Services Sellers Buyers An Exchange (Adapted from - Turban E et al,2010)
  • 12. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications Others Government Buyers Community Sellers Hub Manager Industry Universities Associations (Adapted from - Turban E et al,2010)
  • 13. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications Payment Requisition Invoice Purchase Order Accounts Payable Supplier Ship Match Central Approval Receiving Process per financial policy Acknowledgment Purchasing inputs order (Adapted from - Turban E et al,2010)
  • 14. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications Search for Vendors and Initiate a Purchase Order Products (PO) Qualify Vendors Arrange a Pickup or Receive Select a Market Mechanism Shipment Compare and Negotiate Make a Purchase Make Payments Arrangement Pre –Purchase Activites After-Purchase Activities
  • 15. System and Introduction B2B Structures B2B in Pharma Case Study Conclusion Applications • Risk when buyers Unknown to Vendors. • Full access to information after Registration. • Payment of fees. • Some Inferior quality of business contacts. • IT investment. • No-engagement in bilateral negotiation. • Transaction fees. • Relationships may be short term.
  • 16. System and Introduction B2B Structures B2B B2B in Pharma Case Study Conclusion Applications • Well suited industries for B2B model. • Pharma Sector for B2B Wrongly approached. • Product advertisement. • Beneficial to SME and niche vendors. • Platform Required for business transactions and relationship. • Traded goods can be easily described with high level of standardization. • Platform beneficial in specific challenges such as product recall. • Platform Support trading in global market.
  • 17. System and Introduction B2B Structures B2B B2B in Pharma Case Study Conclusion Applications Marketing and Research Development Manufacturing Distribution Sales Branding; Recruiting; Transportation; Data Sharing; Quality Control; Product data; Data Capture; Warehouse Databases Sub Contracting Online Virtual Trials Management Communities Supply Chain Management • Business Intelligence • Data Mining • Data Warehousing • Enterprise Application Integration • Knowledge Management Integration
  • 18. System and Introduction B2B Structures B2B in Pharma Case Study Case Study Conclusion Applications
  • 19. System and Introduction B2B Structures B2B in Pharma Case Study Case Study Conclusion Applications Overview: Main service category includes : •One of the world’s largest and growing • Analytical lab service B2B pharma trade portal •API & Bulk drugs •Covering all segments of exclusive pharma allied industry. • Packaging machineries & materials •Provides complete solution based on butterfly model • Processing machineries •Latest available technology for the •Research Web-Based data management & Communications. •Project management and utilities
  • 20. System and Introduction B2B Structures B2B in Pharma Case Study Case Study Conclusion Applications Portal Features: B2B Pharma Portal Showcase: •Utmost privacy & security of data & transactions • More than 3000 Companies. •Compatible with concurrent Buyer – Suppliers practice •Over 300 Products /Services. •Periodic updates & amendments • 24x7 access to B2B Business Center •16 Essential Segments listings more than 9000
  • 21. System and Introduction B2B Structures B2B in Pharma Case Study Case Study Conclusion Applications Categorized Search facility Company Profile Event Event Updates and Updates News Major Information and Translation access points Facility Available on main page
  • 22. Introduction System and Applications Pros v/s Cons B2B Structures B2B in Pharma Case Study Case Study Conclusion Pros Cons • Google Search engine Support • Website structure • PayPal facilities • Registration Required • Advertisement • No end user feedback facility • Detailed Company Profile • No ease of use. • Language translator • Update about technologies • Press/Media Features • Easy Narrowing of search
  • 23. Introduction System and Applications Pros v/s Cons B2B Structures B2B in Pharma Case Study Conclusion Conclusion • Reviews & Ratings • Privacy of transactions • CRM model should be used. – End user involvement • Merely a venue- No responsibility
  • 24. References: • Jones P, 2000 B2B (Business2Business or Business-to-Business) Available online: http://searchcio.techtarget.com/definition/B2B (Accessed on 26 may 2011). • Adfero Ltd 24th May 2011 Marketing News Available online: http://directmarketing.thomsonlocal.com/Win/News-Archive/Marketing- News/?storyId=84306 (Accessed on 26 may 2011). • Abel G ,2011 2010: B2B eCommerce (Finally) Realizes Its Potential Available online: http://www.demandgenreport.com/archives/demanding-views/443-2010- b2b-ecommerce-finally-realizes-its-potential.html (Accessed on 26 may 2011). • Turban E et al 2010. Electronic commerce 2010: A Managerial Perspective