1. How to Develop an E-Business Plan
Francis Stevens George
Founder & President
ETradeAFRica Consulting
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2. Clarification
 E-Business is about interaction. It
represents a more focused and
comprehensive involvement of the
organisation. The platform is attitude shift.
 E-commerce is about transaction. It
represents on aspect of E-Business. The
platform is hardware and software.
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3. Introduction
 Developing an e-Business Plan calls for the
recognition of Information Technology as part of a
business’s overall Value Chain.
 Developing such a plan is not an easy tasks.
Several reasons:
 Technology in infancy
 Not enough historical data
 A long term proposition
 Requires a fundamental shift in management & organisation culture.
 Requires constant attention to technology, customers and to competition.
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4. Basics
 Plan with needs of the customer in MIND
 Do not try to replicate offline processes online.
 Be fully aware of the changes/trends within your
industry.
 Be prepared to shift your attitude
 Encourage a culture of entrepreneurship, learning
and adaptability.
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5. The Building Blocks
E-Business uses Information
Technology based business practices
to create competitive
and distinctive advantages
Suppliers: The Company: Customers:
-Extranet -Intranet -Internet
-E-Procurment -Tech Know -Databases
-Supply Chain Management -Distribution System
Integration -Business Focus -Business Model
-Cross functional
teams
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6. The E-Business Value Chain-Do not forget
it.
Management MarketingSales Customer
Support Competitive
Production Leadership: Advantage
Inbound
Logistics Focuses direction. E-commerce: Through
Intranets: Lower costs, Stronger
ERP Software: Lower costs, Allow new entry. Customer
Lower costs. Facilitates better Databses: Relationships
Customized Communications: Meet Market needs Internet:
production: Innovation: Better, facilitates Lower costs,
Extranets:
Provides Generates speed, Better decisions. Speeds service
differential flexibility
Lower costs,
Advantage. New ideas.
Increase
speed
Source: Strategic
Electronic Marketing:
Brad Kleindl
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7. Developing the Plan-Introduction-I
 An e-Business Plan should be a realistic
expectation of changes in
-Customer Behaviour
-The technology environment
-The business/Industry environment
-New business and work practices due to
technology,
 Finally, the plan must address the use of
information technology at all stages of the
business.
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8. Developing the Plan-Introduction-II
 Managers must understand the technology that
underpins e-Business
-Infrastructure
-Internet Protocols
-Telecommunication Standards
-World wide web protocols
-Wireless
-The future of the WWW
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9. Planning Stages
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10. Planning Stage-I
 Clearly define your Vision, Mission and
Business Objectives.
 Clearly define your market/markets
Clearly define your product or service
 Assess your SWOT
 Determine your distinctive competences
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11. Planning Stage-II
Identify and describe your Differentiation
distinctive advantges
Remember in e-business,
low cost is not a distinctive
advantage.
What is?
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12. Planning Stage-III
 Clearly define the technology to realise your
Vision, Accomplish your Mission, and reach your
Objectives.
 You must asked the following questions
*Is the technology proprietary?
*Are there competing technology?
*Does the technology has multiple applications?
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13. Planning Stage-IV
The Environment
Competitive Arena.
Who is else is doing this?
What are the barriers to entry?
High/Low switching costs?
Market/Economic Arena:
What is/are the market structure,
First Mover already, Second Follower, Niche,
Is there a Brand already? Is the market ready
for us?
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14. Planning Stage-V
Describe your Marketing & Your Marketing Plan
describes how you will
Operational Plan Sell your e-Business to its
audience.
Here you can mention
Strategic Alliances,
Partnerships if any or
intending.
Your Operational Plan
describes how you will
manage the different elements of
your e-Business.
Will you Outsource, Partner ?
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15. Planning Stage-VI
Describe Critical Success INTERNAL
Factors -We are the best
-We have customers already
-We are serious
-We know something they do not
know!
EXTERNAL
-The Economy is good/Bad
-There is a demand for our services
-The law has changed
-A competitor is bankrupt!
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16. Planning Stage-VII
Financial- Give a Funding:
Sensible level of detail How much will your business need?
numbers What is investment and what are costs?
Income:
Where is the money?
Remember E-business opens new
revenue models.
HAVE A TIME FRAME: 1yr ++
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17. Planning Stage-VIII
The Team
Network
Education
Entrepreneurship
Work Experience
Technical Knowledge
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18. The Layout
THERE ARE NO FAST RULES. BUT WE
SUGGEST THE FOLLOWING:
-Executive Summary
-Objectives
-Mission
-Key to Success
-Company Summary
-Product & Services
-Market Analysis Summary
-Strategy & Implementation
-Marketing & Operational Plan
-Management Team
-Financial Plan
-Appendix & Attachments
Recommended length at least 20 pages
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19. Keep in Mind
Evolving Technologies. Plan should not be watertight.
Realistic but flexible enough to modify
BroadBand. Will open up new opportunities for new
services
Wireless. In Africa, we believe this will impact WWW access far
greater than the internet. Development in technologies such
as WAP, Bluetooth and GPRS will open new opportunities
Legislation/Security/Privacy issues
Changing environment-competition, customers, trends,
health, social issues, globalisation.
Finally, keep in mind that a Business Plan is the end result
of a careful and extensive research and development project
which must be completed before serious writing begins.
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20. What comes Next?
 Develop the Business Model
This is the basic process flow indicating how the business will operate.
It also shows how the business functions will be linked together.
 Develop the Web Plan
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21. Managerial Issues
 Consider the strategic value of EB
 Consider the risks
 Integration
 Pilot projects
 ROI
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