Ch' 4: The New Corporate Form

1
Ch. 4 The New Corporate Form

• Networks of complementary functions and
  communities business ecosystems
• Coopetition
• M-Form (multi-divisional control)?E-Form (Coop)
• M-Form is introverted and reduces vision into
  other parts of business or natural alliances
• E-Form must manage the economics of the total
  ecosystem customers, markets, distribution,
  products, processes, organizations, stakeholders,
  financing, social values, government policy
• Cross-org collaboration metered and vision buy in
• i.e. MPSC partner BIF (business investment funds)
• Leverage brand, marketing, people, impact,
  influence, technology, process
• Convergence, putting the Net at the center of
  deliberations

2
Ch. 11 The New Logistics

• Many of todays products are created, exist, and
  are consumed in the digital domain music, web
  services, financial services
• Digital supply chain management customer
  services, transportation, warehousing, inventory,
  order processing, information systems, product
  planning, purchasing
• 1980 10.8 GDP on inventory and 17.2 on
  logistics
• 1995 4.3 on inventory and 9 on logistics

3
Ch. 11 (FedEx)

• 1973 vision to reduce inventory through express
  delivery of parts
• PowerShip customers prepare own shipments,
  bar-coded labels, track status, and automated
  invoicing linking all customers
• 1994 interactive web services
• Benefits reducing costs, create unified
  non-proprietary network of customers/retailers/sup
  pliers/shipping, consolidated info and trends,
  rapid customer response as the World Turns time
  clock
• Ex) Auto manufacturers become assembly plants
  Peugeot cuts inventory from 8 to 5 days, reduces
  unassembled cars by 70, increased customer
  options by 30
• Ex) GE Aircraft Engines reduced purchase order
  cycle from 45 to 30 days, reduced costs of
  issuing a PO from 100 to 5.
• Railways linked to drive rail travel
• Banks linked to drive ATM debits/transactions
• Outsourcing Logistics
• NSC (National Semiconductor) reduced supply chain
  cycle from 60 to 2 days. NSC customers can
  schedule JIT production around their customers
  needs reducing overproduction and outmoded
  supply.
• eCommerce
• Manufacturer?eStorefront and catelog?customer
  reducing time, costs, hassle

4
Group exercise

• Identify key services (mechanisms, software,
  interfaces, etc.)
• Intranet
• Extranet
• Internet