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Jackie Williamson
Small Business Service
National ICT
Regional Director
West Midlands
Jackie Williamson
Regional Director Small Business Service
E Commerce within an integrated
E Government Strategy
Benefits to Small and Medium Size
Businesses
Jackie Williamson
Regional Director Small Business Service
Information Communication
and Technology
Contributes 25% to UK Growth
………..Recent Study by London Economics
Jackie Williamson
Regional Director Small Business Service
Agenda
Helping Businesses
• UK Business Population
• Government on Line, structure of
support for SMEs
• Issues in Supporting SMEs
• Afternoon Workshop
Jackie Williamson
Regional Director Small Business Service
A Look at the UK
• Population UK 59.8 million
• GDP (2000) £945 billion
• 3.7 million companies
Jackie Williamson
Regional Director Small Business Service
Business Population
Number of Businesses
Number employees
500+
250 - 500
2%
200 - 250
20 - 200
1 - 19
98%
0 Sole Traders
Total 3.7 million
(Source: ONS Feb 2002)
Jackie Williamson
Regional Director Small Business Service
UK Yield on ICT Investment
45
40
35
30
25
% Output
20
15
10
5
0
Total Growth
(Source: London Economics)
Jackie Williamson
Manufacturing
Financial
Intermediation
Transport, Wholesale
& Retail
Regional Director Small Business Service
Government on Line
DTI
Small Business Service
Business Support
UK on line 4 Business
Specialist ICT Advise
Business Links
Small – Medium Businesses
Jackie Williamson
Regional Director Small Business Service
Government on Line
DTI
Small Business Service
Business Support
UK on line 4 Business
Specialist ICT Advise
Regional Development Agency
Business Links
Small – Medium Businesses
Jackie Williamson
Regional Director Small Business Service
Trading online by size
35
30
25
20
%
15
10
5
0
Large
Medium
Small
Micro
(Source: International Benchmarking Study)
Jackie Williamson
Regional Director Small Business Service
E Government & e Commerce
•
•
•
Government Targets
By 2003
- 1.5 million small & medium businesses will be
connected to the internet
- 1 million trading on line
Where we are now in 2003 ?
- 1.6 million connected
- Trading on line target not met
Jackie Williamson
Regional Director Small Business Service
Benefits / drivers
35
30
%
25
20
15
10
5
0
Reduce costs
Customer
relationship
Keep up with
competitors
(Source: International Benchmarking Study)
Jackie Williamson
Regional Director Small Business Service
Internal
communications
e business Changes the way
companies conduct business
Lastminute.com – ‘ranked as the leading online
travel agency across Europe’
• Airline tickets
• Hotel rooms
• Package holidays
• Entertainment tickets
• Resturants reservations
• Gifts and auctions
Jackie Williamson
Regional Director Small Business Service
The benefits grow with use
The benefits
Operational Saving /
Efficiencies
Internal use
Establish
Web site
Jackie Williamson
A shop window
to the world
Enable
transactions
Enhanced customer
& supplier relations
Generate
interactions
Regional Director Small Business Service
Transform core
Barriers
35
30
25
20
15
%
10
5
0
Set up cost
Running
costs
Lack of time Lack of skills
(Source: International Benchmarking 2002)
Jackie Williamson
Regional Director Small Business Service
Lack of
knowledge
Model of e-adoption ladder
Business
benefits
transformed
organisations
e-business
e-commerce
website
e-mail
- efficient internal and
external
communications
- place in
worldwide market
- window on
worldwide
suppliers
Adapted from Cisco led Information Age Partnership study on ecommerce in small business
Jackie Williamson
- order and pay
online, reducing
transaction costs
- maximise
accessibility and
speed
- integrate supply
chain so
manufacture and
delivery become
seamless
- minimise waste at
every stage of the
supply chain
- open systems of
information for
customers, suppliers
and partners
- new business models
based on interworking
between organisations
and individuals
Extent of organisational change &
sophistication
Regional Director Small Business Service
Model of e-adoption ladder
Business
benefits
transformed
organisations
e-business
e-commerce
website
e-mail
- efficient internal and
external
communications
- place in
worldwide market
- window on
worldwide
suppliers
Adapted from Cisco led Information Age Partnership study on ecommerce in small business
Jackie Williamson
- order and pay
online, reducing
transaction costs
- maximise
accessibility and
speed
- integrate supply
chain so
manufacture and
delivery become
seamless
- minimise waste at
every stage of the
supply chain
- open systems of
information for
customers, suppliers
and partners
- new business models
based on interworking
between organisations
and individuals
Extent of organisational change &
sophistication
Regional Director Small Business Service
e-business
People
Skills
Management
Leadership
Culture
Technology
Processes
Jackie Williamson
Environment
Regional Director Small
Business Service
Economy
Workshop
• Scene setting – results of International Benchmarking Study/ Europe,
Canada, Australia
• How to overcome the barriers for implementation
• Tools for business support organisation
• SME successes
• Framework for implementation
Jackie Williamson
Regional Director Small Business Service
Achieving the targets
Awareness
Service
Channels
Implementation
Promotional
campaign
Network of
advisers
Web based
resources
Showcasing
Tools &
Collateral
Business
Support Funding
E-Commerce
Awards
Technology
Means Business
Partnerships &
Clubs
Research & Benchmarking
Jackie Williamson
Regional Director Small Business Service
Channel Development
National
Targets