MBA 649 E-Business Strategy --

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University of San Francisco, Graduate School of Business
Spring 2000

MBA 649-02 Special Topics: E-Business Strategy

© 2000 by Chuck Ehrlich, all rights reserved

**** Syllabus updated February 15 ****

Classes: ED 301 on Tuesday from 6:30 to 9:15 PM

Check the class Web site for schedule or room changes.

Instructors: Chuck Ehrlich and Martin Yudowitz

Chuck Ehrlich: chuck@ehrlichorg.com 
The Ehrlich Organization: 1-415-441-7140
Cell phone:  1-415-828-9001 (use when I'm at USF)
USF office: McLaren 210, Office hours by appointment.  I'm usually at USF Tuesday and Wednesday after 4:30 p.m.

Martin Yudowitz: Martin@yudowitz.com 
415-989-6958
USF Office McLaren 209

Prerequisites: MBA 630, 650

Textbooks and Materials

There is no required text for this course.  The following books are recommended, other readings will be suggested, and an extensive list of references will be found at www.ehrlichorg.com/ref/.  

Blown to Bits by Philip Evans and Thomas Wurster, Harvard Business School Press, 2000. 

e-Business Roadmap for Success by Ravi Kalakota and Marcia Robinson, Addison Wesley, 1999.

Sense & Respond capturing value in the Network Era edited by Stephen Bradley and Richard Nolan, Harvard Business School Press, 1998.

Course description

E-commerce is creating new opportunities and threatening older companies in many industries.  We will examine online business models, sources of competitive advantage in e-commerce, and techniques for evaluating opportunities.  In this context, we will also discuss ways in which e-commerce organizations differ from conventional organizations and how to create e-commerce alliances. 

This is an advanced course on the management issues associated with e-commerce technology.  It is designed to increase your awareness, effectiveness, and skill in analyzing, managing and understanding of issues related to technology and organizations.  This course covers both strategic choices and internal management activities.

Course Overview

The course is organized in three parts which move from macro to micro level issues related to e-commerce management.

Part 1 provides a high level view of e-commerce business models, the ways that e-commerce technology changes value chains and creates new roles in the Marketspace. We also learn about analysis techniques and tools.

Part 2 shifts the level of analysis to the firm level as we examine competing companies in certain industries.

Part 3 moves into the organization and considers internal management issues related to e-commerce technology and the differences between conventional organizations and companies running on Internet time.

Class Schedule 

See Classes for links to individual class pages.

Part 1: Macro View

Lecture: Introduction, Overview, What is e-Business?, Five Secrets

Assignment: All students please complete this online questionnaire by 1/31.

Assignment: Team 30 news for next week.

Assignment: All teams start researching Web site business models for your assigned sites according to this list.  For 2/01, understand the business model of each site.  There is no specific deliverable at this time.

Handout: Exploiting the Virtual Value Chain by Jeffery Rayport and John Sviokla, Harvard Business Review, November, 1995

Handout: The Essentials of MLA Style by Joseph Trimmer, Houghton Mifflin, 1996, pages 14-17.

Handout: Syllabus.

Lecture: Announcements, What is a Business Model? 

Assignment: All Teams prepare a short written description of the business model for each assigned site and a short presentation on these business models.  Your paper will be 5 pages max and each team presentations will be 5 minutes total (all sites).

Handout: Competing Interests by Richard Pastore, CIO, October 1, 1995, also available at http://www.cio.com/archive/100195_porter_print.html 

Lecture: Announcements, New Rules

News: Team 29

Presentations: Each team presents their business model summaries, 5 minutes per team.

Team 21: Word, PowerPoint

Team 22: Word, PowerPoint

Team 23: Word, PowerPoint

Team 24: Word, PowerPoint

Team 26: Word, PowerPoint

Team 27: Word, PowerPoint

Team 28: Word, PowerPoint

Team 29: Word, PowerPoint

Lecture: Announcements, Models & Metrics, The New Economics of Information

News: Team 28 PowerPoint

Assignment: Team 27 prepare news for next week.

Assignment: Project topics due next week.

Assignment: Questions for Steve Winingham from USPS on 2/22.

Assignment: Prepare for case debate on 2/29

Handout: Deconstructing Supply Chains and Monday Morning from Blown to Bits by Philip Evans and Thomas Wurster, Harvard Business School Press, 2000.

Lecture: Announcements & Background for Case Debate, E-Transformation

News: Team 27

Guest: Steve Winingham, USPS
E-commerce strategy and organizational issues in the US Postal Service.
Presentation files: USPS e-strategy

Assignment due: Submit project client, topic, and team information for approval.

Assignment: All Teams prepare for the Case Debate on 2/29.  Each team will be assigned to take the position of a player in a given industry and explain their companies approach and how they will triumph in the market.  Deliverables:

Part 2: Firm Level Issues

Lecture: Announcements

Teams advocate for the approach and strategy of one player in a given industry.  What are the similarities and differences?  What are the strengths and weaknesses of each approach?  Who will win?

Case Debate I: Consumer Financial Services

Team 21: Intuit Word, PowerPoint

Team 22: E-Trade Word, PowerPoint

Team 23: Charles Schwab Word, PowerPoint

Team 24: American Express Word, PowerPoint

Case Debate II: Internet Hosting and Telecommunications Services

Team 26: AT&T Word, PowerPoint

Team 27: Bell Atlantic (including GTE and Flag) Word, PowerPoint

Team 28: Global Crossing Word, PowerPoint

Team 29: Qwest Word, PowerPoint

Assignment: Team 26 prepare news for next week.

Assignment: Prepare for Web Site Blues case discussion next week and hand in a short individual paper (3 pages max):

Handouts:
 

	Web Site Blues by Regina Fazio Maruca, Harvard Business Review, March 1999
	Bringing Silicon Valley Inside by Gary Hamel, Harvard Business Review, September 1999
	E-Business: What's the Model? by Clinton Wilder, Information Week, July 26, 1999
	Old and in the way by Nicholas Carr, The Industry Standard, February 21, 2000

 

Lecture: Announcements, Online Brokerage Highlights, E-Business Metrics

News: Team 26

Case Discussion: Web Site Blues

Guest: Jonathan Galaviz, Manager, e-Strategy for Startups, Whittman-Hart  

Assignment: Team 24 prepare news for next class.

Handouts:

How It Works edited by Jeffrey Davis from Business 2.0, February 2000, pages 112-140. Available at http://www.business2.com/articles/2000/02/content/cover-story.html 

The Power of Virtual Integration: an interview with Dell Computer's Michael Dell by Joan Magretta, Harvard Business Review, March 1998

Time Pacing: Competing in Markets That Won't Stand Still by Kathleen Eisenhardt and Shona Brown, Harvard Business Review, March 1998

Patching: Restitching Business Portfolios in Dynamic Markets by Kathleen Eisenhardt and Shona Brown, Harvard Business Review, May 1999

High Times on the Back End, Walid Mougayar, Business 2.0, January 2000.  Available at http://www.business2.com/articles/2000/01/content/feature_2_6.html 

The anatomy of the virtual corporation by Glenn Kimball, Sun World, May 1998. Available at http://www.sunworld.com/sunworldonline/swol-05-1998/f_swol-05-itarchitect_p.html 

Spring Recess--no class.

Lecture: Announcements, Strategy Methodology

Guest: Bruce Kerns, VP Business Development, Supplybase.com  
Supply chain issues for high tech companies and current experience with e-procurement and product development software. Intro, Supply Chain Management, E-Procurement, Supplybase

News: Team 24 PowerPoint

Assignment: Team 23 prepare news for next class.

Assignment for 3/28: Teams 21, 22, 26, 29 prepare for Web Site Blues Revisited case debate on Web ownership.

Assignment for 4/04: Teams 23, 24, 27, 28 report to Rachael Soltanoff on Senior Management Issues at TradeRite.

These assignments include a 5 minute presentation and a 5 page paper covering:

Assignment: All teams project status reports due 3/28 (one page written).

Part 3: Organizational Issues

Lecture: Announcements,  E-Business Alliances, Planning Process

News: Team 23 PowerPoint

Assignment Due: Web Site Blues Revisited Case Debate: Who should own the Web site?  Marketing, IT, an external vendor?  What are the risks and benefits with each approach?  How do you transition from one to another?

Each team prepare a 5 minute presentation and a 5 page paper covering:

Assignment: Team 22 prepare news for next week.

Lecture: Announcements, Choices in Strategy

News: Team 22 PowerPoint

Assignment due: Senior Management Issues at TradeRite

Prepare a 5 minute presentation and a 5 page paper covering:

Assignment: Team 21 prepare news for next class.

Lecture: Announcements

Guest: Susan Griffin, American Express How a major financial services company has adapted to the Web.

News: Team 21 PowerPoint

Lecture: Announcements

Guest: Torben Moller, Senior Director of E-Business Solutions, eForce, Inc. 
The e-business service industry.  E-mail Chuck for a copy of his slides.

Project Presentations:  Team 23 Team 29

Project Report: Team 23, Team 29

Lecture: Announcements

Project Presentations: Teams 22, Team 26, Team 28

Project Report: Team 28

Lecture: Announcements

Project Presentations: Team 21, 24, 27

Project Report: Team 21

Lecture: Announcements

Guest Speaker: Dmitri Ragano, Razorfish 
The Wireless Future of e-Business

Course Evaluations

Assignment due: final Project Reports.

Approach

You are responsible for your learning and for helping your classmates. We will take a cooperative approach to researching and sharing information. 

This course will improve your ability to:

Internet use will be an integral part of this course including:

Assignments

News

Teams will take turns presenting and discussing e-business news each week.  Select a small number of e-business stories that are of strategic interest to the class and prepare a brief presentation that includes your views on the importance and possible consequences of this development.

Guest Speakers

Guest speakers will discuss their experience with e-business.  What you learn will extend from your ability to ask relevant questions.  Please review the background information and prepare questions in advance of each guest speaker's visits.

Course Projects

The course project will give you an opportunity to integrate concepts from all sections of this course, apply these concepts in a realistic setting, and increase your knowledge about e-commerce technology.  You will prepare a consultants report, present your recommendations to the class and receive their feedback which you can incorporate into your final paper and the actual client presentation.

Pick a real organization for your project where you have access to the management of the organization and their cooperation.  Identify a specific problem or opportunity this organization faces that involves serious e-commerce technology issues.  This could include a potential product or service offering, e-commerce strategy, the introduction of e-commerce, or some other management issue related to e-commerce.

Write a consultants report where you:

Write the paper from the perspective of a consultant to a specific person in the organization.  Names and company information may be disguised.  Assume that your reader has other pressing concerns and must be convinced to pay attention and take action.

Each report must include an executive summary that includes key observations, recommendations, and points in a single page.  Reports should be no more than 20 pages, plus attachments if required.

You may want to cover these topics:

Key project dates are:

Measurement Techniques

This course will not be graded on a curve.  Grades will be determined based on:

Written assignments will be graded on proper use of Business English as well as on content.

All members will receive the same grades for Team assignments.  You are responsible for assuring that everyone contributes to the success of your team.

Preparation and class participation for case analysis and other discussions.  Your participation is important and your participation grade will depend on these criteria:

Policies and Guidelines

Written Assignments

·       Organize your ideas into a structure that suits the assignment and emphasizes the points you want to make.

·       Use American business English with proper grammar, spelling, and punctuation as if you were writing for a consulting client.

·       Neatness counts.  All assignments are expected to be legible with 12-point type.

·       Label the first page with the title, names of all team members in alphabetical order (by last name), course number, and date.  Subsequent pages should include team member names, date and page numbers.

·       Papers should be stapled or fastened with metal binder clips.  Please, no notebooks, fancy covers, bindings, report covers, etc.

Class Web

All written assignments and presentation materials will be posted to the class Web site for the benefit of other students.  Please e-mail assignments before class and follow the file naming convention described below.

File Names

Please use this standard file naming convention for assignments that you submit:

A Word document from team 21 due on September 1 would be s0901-21.doc

It is also helpful if you update the Title and Subject properties for Microsoft Office documents.  You can access these fields by going to the File menu and selecting Properties and the Summary tab.

Plagiarism and Academic Honesty

Students are expected to abide by the Graduate School of Management Honor Code and other USF policies on Academic Honesty.  Unauthorized assistance,  misrepresentations, and misuse of resources are not acceptable.

Any text, graphic, or other intellectual property that is not of your own creation, including material from Web sites, must be identifies as a quotation and cited according to MLA style.  See The Essentials of MLA Style by Joseph Trimmer, Houghton Mifflin, 1996, starting on page 14.  You will be penalized for improper citations. 

Assignments may be checked using plagiarism.org and other techniques to detect plagiarism.  Plagiarism may result in a failing grade for the assignment or the course.

Attendance

Discussion and participation in class are essential parts of this course.  Students who miss more than two classes may be penalized. 

Class Notes and Materials

My slides and materials will be posted to the Web site before each class.  I will also post materials from guest speakers who are willing to provide copies.  If anyone wants to share their class notes, e-mail them to me and I will post them.

Company Confidential Information

Any papers that include company confidential information should be clearly marked as confidential before they are submitted.  Confidential papers will not be posted on the Web site.

Disclaimer

© 2000 by Chuck Ehrlich, all rights reserved.  Comments to webmaster.  Updated on March 20, 2000.