E-commerce 4-1

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How CMS works

-Additional functionality available via plugins (requires more technical knowledge) -Plugin = self-contained software component that can be added to create larger, integrated application -Design follows the same template format as rest of site -Separation of content from functionality and design -Can function as intranet management system (non-website)

Modularity

-It helps the designer to compartmentalize the design into functional compartments as the entire system can be conceived to be composed of a set of modules, each having its own special feature and functionality rather than a monolithic entity. -Modularity helps the designer to comprehend the system better. -Effective modular design in general reduces the complexity of the system by dividing system into easily understandable modules.

Logical Design Principles

-It should have an overall macro view of the system rather than a tunnel view -The design process should be logical. -The design should reinvent the wheel. -The design should be a very close abstraction of the problem. -The design should be uniform and integrated -The design should be structured -The design should be reviewed on a real-time basis to minimize errors.

Design Concept

Abstraction -Procedural abstraction -Data abstraction Refinement Modularity

Abstraction

Abstraction is the conceptualization of an issue or problem or entity in terms of some level of generalization without regarding to irrelevant low-level details. Procedural abstraction: it is a named collection of several sequential procedural steps. Data abstraction: this is name of a set of data that defines of an object.

Systems Analysis/ Planning

Business objectives: - List of capabilities you want your site to have -System functionalities: - List of information system capabilities needed to achieve business objectives Information requirements: - Information elements that system must produce in order to achieve business objectives

Content Management System

CMS = content management system -Software to create content of websites on-the-fly by users -No programming knowledge required by users -No need to download editing software -Allows multiple users to contribute to the site -Independence from webmaster -Fast prototyping - put up framework and plug in content later

Choices in Building and Hosting

Completely in House -build in house -host in house Mixed Responsibility -build in -host out Mixed responsibility -build out -host in Completely Outsourced -build out -host out

Building an E-commerce Site: a systematic approach

Develop clear understanding of your business objectives - What information needs to be conveyed? - Whoareyourclients? - Whoareyoursponsors/stakeholders? - Who needs to use the site? - How will these users use the site? Knowing how to choose right technologies to achieve objectives - In-housedevelopment,open-source,commercial - Outsourcingconsiderations - E-Commerce technology architecture including hardware, software, database options

Essential Applications and Functions

Digital catalog - display goods using text, graphics Product database - product description, stock number, inventory level Customer on-site tracking - site log per customer visit, personalization, common customer paths and destinations Shopping cart/payment system - ordering system, secure credit card clearing, other payment options Customer database - customer name, address, phone, email Sales database - customer ID, product purchased, date, payment, shipment, fulfillment Ad server - tracks site behaviour, prospective customers Site tracking and reporting system - monitors unique visitors, page visits, products purchased Inventory management system - manages product inventory levels, supplier ID and contact, order quantity data by product Additional aspects: Invoice system - internal accounting Security - user authentication, secure protocols, encryption Customer relationship management - customer feedback, reminder system, case management Supply chain and inventory management - supply and demand analysis, inventory forecasting Human resource management - time logs, workload analysis, scheduling, resource allocation Financial planning system - basic accounting, cash flow analysis, forecasting

Design Considerations

Key players - who's involved? - Owner - Employees (Hierarchical?Management?) - Suppliers - Stakeholders High-level processes - how do the key players interact? What kind of information is exchanged between the key players? Functionality and applications - what kinds of features are made available by your site, and how are they organized into applications? Expected traffic - site/page traffic, seasonal deadlines?

Systems Development Life Cycle (SDLC)

Methodology for understanding business objectives of a system and designing an appropriate solution Five major steps: - Systems analysis/planning - Systems design - Building the system - Testing - Implementation

Build/Host Your Own vs. Outsourcing

Outsourcing: Hiring vendors to provide services involved in building site Build Your Own: Build your own requires team with diverse skill set; choice of software tools; both risks and possible benefits Hosting: Hosting company responsible for ensuring site is accessible 24/7, for monthly fee Co-location: Firm purchases or leases Web server (with control over its operation), but server is located at vendor's facility Build from scratch - Long development time (requires skilled staff) - Risk of reinventing the wheel - Highly customized solution possible Use pre-built packages + customize - Easy to start - Could get costly to change/upgrade/maintain - Limited in functionality and design Outsourcing + design requirements/input - Need to be clear on what you want - Don't have to think about design and technical details - Costs may involve development costs, management costs, ongoing support costs, your input time

Personalization Tools

Personalization - Ability to treat people based on personal qualities and prior history with site Customization - Ability to change the product to better fit the needs of the customer Cookies - Primary method to achieve personalization

E-commerce Presence Timeline

Phase 1: Planning -envision web presence Phase 2: Website development -aquire content -develop site design -arrange for hosting Phase 3: Web implementation -develop keywords -focus on search engine optimization Phase 4: Social media plan -identify appropriate social platforms Phase 5: social media implementation -develop social media presences Phase 6: mobile plan -develop a mobile plan -consider making website mobile format

The Information Policy Set

Privacy policy - Set of public statements declaring how site will treat customers' personal information that is gathered by site Accessibility rules - Set of design objectives that ensure disabled users can affectively access site

Refinement

Refinement helps the designer in elaborating the system and bringing-out lower-level details as the design progress. This is a top- down design strategy in which design is refined after each successive step.

Example Design Scenarios

Sell text books using online catalog - Categories of books? - Pricing options? - Multiple sellers and buyer interaction? Service that connects tutors and students - How is a match initiated? - Student-to-student or tutor-to-tutor interaction? - Recommendation or rating system? Distributor of dog products to pet stores - Types of products? - Storage and delivery options? - Local, regional, national, global distribution? - Support for expansion to individual customers?

Systems Design: Logical and Physical

System design specification: - Description of main components of a system and their relationship to one another Two components of system design: - Logical design = description of flow of information and major processes and relationships involved ex. major system components and data flow - Physical design = mapping of logical design to physical components ex. actual servers to purchase

Testing, Implementation, Maintenance

Testing - Unit testing - System testing - Acceptance testing Implementation and maintenance: - Maintenance is ongoing - Maintenance costs: Similar to development costs - Benchmarking

Imagine your E-commerce Presence

What's the idea? - Vision - Mission statement - Target audience - Intended market space - Strategic analysis - Internet marketing matrix - Development timeline and preliminary budget Where's the money? Business model(s): • Portal, e-tailer, content provider, transaction broker, market creator, service provider, community provider Revenue model(s): • Advertising, subscriptions, transaction fees, sales, and affiliate revenue Who and where is the target audience? - Describing your audience -Demographics: Age, gender, income, location -Behavior patterns (lifestyle) -Consumption patterns (purchasing habits) -Digital usage patterns -Content creation patterns (blogs, Facebook) Characterize the marketplace - Demographics - Size, growth, changes - Structure (Competitors, Suppliers, Substitute products) -Know yourself, do a SWOT analysis -Develop an e-commerce presence map -Develop a timeline: Milestones -How much will this cost? can range from 5000 for a small simple website to $100000 plus for a large corporate site

E-commerce Presence Map

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Budget Planning

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Unified Modeling Language

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