ITECH 7606

E-COMMERCE
MANAGEMENT
E-Commerce/E-Business Global Implementation Project

LECTURER: SHITIZ BRUTA
TUTOR: BIMAL THAKKAR

GROUP MEMBER

ASHISH PRAJAPATI | 30084038
VENKATA KRISHNA YAMPARALA | 30119611
SUPRIYA SHRIDHAR | 30111494
SANDEEP KUMAR| 30120422
INTRODUCTION
Westpac (a portmanteau of "Western-Pacific"), is an
Australian bank and financial-services provider
headquartered in Sydney. It is one of Australia's big four
banks and is also the second-largest bank in New
Zealand.

Westpac had 12.2 million customers, Australia's largest
branch network with almost 1200 branches and a network
with more than 2900 ATMs. The bank is Australia's
second-largest bank by assets.
Analysis of suitability in Nigeria
Introduced a uniform licensing regime for banks which
resulted in the fusion of the diverse and specialized
banking model into the uniform universal banking model.
Commercial banks;
Merchant banks; and
Specialized banks, which include non- interest banks,

microfinance banks, development banks and mortgage
banks.

Name of another Organisation
Diamond Bank
The bank is a large financial services provider in West
Africa. Headquartered in Lagos, Nigeria's commercial
capital, the bank maintains a banking subsidiary
in Benin, Senegal and The United Kingdom. As of
December 2012, the bank's total assets were valued in
excess of US$7.3bn (NGN:1.7 trillion).
As at June 2013, the bank operates 240 branches in
Nigeria, 20 branches in Benin Republic, 2 branches
in Senegal, 1 branch in Togo and 3 branches in Cte
dIvoire.

Factors that impact on ability
Social
Legal
Ethical
Micro-Environmental Factors
Customer Competitor
Supplier Intermediaries

Barriers and Constraints to
E-Business & E-Commerce
Web e-tail market and that they do not bear the costs
associated with building and maintaining software.
Access of web services.
Small residual company
Poor Infrastructure

Business Challenges of Introducing E-
business and E-commerce in Nigeria by
WESTPAC
Cultural obstruction
Expansion of e-commerce
Expensive to built up e-commerce platform
Huge cost to merchants
E-Supply Chain Management & E-
Procurement
E-Supply chain management characterized as
monitoring, execution, control, planning and designing
of supply chain activities with a goal of creating net
value and constructing a competitive infrastructure,
overall logistics leveragement, synchronizing with
demand and a globally measured performance,
electronically.
Number of networks as distribution channels and
platforms through which services and products are
offered to customers.


E-SCM & E-
Procurement
To start up new operation in a country Westpac have to
distinguish suppliers who represented an administration
hazard, with Westpac expressing that they initially
proposed to utilize the methodology to get rid of
undesirables (Clark, 2007). Simultaneously it got obvious
that few suppliers could have to meet Westpac's high
norms and the Bank was subsequently compelled to
update their expectations.
Integration of e supply chain management with banking is
the most critical factor for most of the banks, for the
creation of the value as a new entrant in Nigeria, Westpac
have to frame distribution network configuration,contolling
inventory and distribution strategies integrating to E supply
chain management.


E-SCM & E-Procurement
E-Procurement (electronic procurement, sometimes also
known as supplier exchange) is the business-to-business
or business-to-consumer or business-to-government
purchase and sales of supplies, work and services through
the Internet as well as other information and networking
systems, such as Electronic Data Interchange and by using
Enterprise Resource Planning.
As a new entrant, it have to motivate the business users to
make easy to use the implemented system. We cannot
estimate an organization as a better user by their financial
anlaysis,it all depends upon the bank relationship towards
them.

E-SCM issues related to the
Implementation of e-Business
Issue
Integrated Supply Chain Management: It required high
degree of coordination between suppliers and banks.
According to the strategic importance Westpac have to
segment their customers as well as customer relationship
management and human resources have potential
knowledge on related to enterprise resource planning
software, systems transparency and integration, total
internal and external expenditure control. (Westpac.com,
2008)

E-SCM issues related to the
implementation of e-Business
Solution
Westpac have to design their services in a user friendly way
which suits to their culture of the country. Might be lack of
potential human resources who are ready to work on high end
technologies in e business and ecommerce operations as well
as employees should have good knowledge on selected
procurement software used by Westpac. It have to prepare
strong business case which will be supported by the senior
management as well as it have to follow various tools and
techniques to analyse and measure compliance and quality of
suppliers. Provide quality feedback to stakeholders and
supplies. (Keating, 2008)

E-SCM issues related to the
implementation of e-Commerce
Issue
Information Distortion: To stay focused in the global
competitive environment Westpac have to maintain greater
cooperation with the suppliers as well as with the customers to
avoid information distortion. Due to bullwhip effect occasionally
there is rapid change in demand of products and services, the
emergence of demand might have profound impact on supply
chain management. Westpac have to manage faster time to
market and customer satisfaction meanwhile have to focus on
high return on investment; EDI based systems are expensive
and have to analyse ROI in Nigerian market.


E-SCM issues related to the
Implementation of e-Commerce
Solution
Better communication process will reduce information
distortion, in order to control bullwhip effect, purchase and sale
of goods to be linked with the inventory levels to respond to the
customer demand. It is required to build up a system on end to
end communication flow, with the current technology, EDI
related documents have to enter only once, it reduces data
redundacy.EDI is in electronic format so it have a greater
source of reliability between multiple integration linking
between suppliers and customers as well as to the financial
institution, this will be possible by using a common database.


E-Procurement Issues related to e-
Business implementation

Issue
Reduction of suppliers: Compare to developed nations, developing nations have
lack of technological and infrastrucre to make their business faster and
expanding it globally due to economic and financial factors, large scale banks like
Westpac have to struggle to enter in the banking business due to cultural
environment also, consolidating the suppliers for the banking from specific and
reliable sources, where it is not possible in unstable economic country like
Nigeria. To centralize the control of contacts from single database and one
reliable system is the challenging task for any new entrant in Nigeria. (Fujimore,
2005). If the third party supplier have the material and lack of technology
Westpac have to re-engineer all their business process according to the country
standard and needs where it cost high and return on investment takes longer
time to regain profits from Nigerian business and economy. Westpac bank
satisfaction relied on performance of the supplier, delivery performance and
technical support and total value received from them, where it is not possible
from the Nigerian suppliers. Westpac have to agree for the government rules and
regulation which may change the process of the organization.

E-Procurement Issues related to
e-Commerce Implementation
Most of the banks follow direct and indirect procurement. It depends u on the
flexibility of the technology they are using in maintaining the suppliers.
Implemented software have the technology to communicate with multiple
suppliers from single platform or not.
* Direct procurement: Direct procurement will save lot of costs to Westpac,
when it is connected to their enterprise systems and it provides large
efficacy. The level of return on investment clearly depends up on how better
they manage their suppliers (by reducing number of suppliers)a visibility of
the market analysis and business intelligence for cost saving.
* Indirect procurement: If Westpac depends up on indirect procurement, its
better to use high end ERP like Oracle or SAP, which have an integration
with Commerceone or else with Ariba.With the help of these software
according to my research Westpac can manage indirect procurement
efficiently with effective strategy sourcing. Even these services can be
outsourced to other organizations also, but it cost much more and issues
related to security and privacy will raise.



E-Marketing in Nigerian Bank
There are two way of e-marketing in Nigeria bank:
Social media marketing
Email marketing
Mobile marketing
Customer feedback


Promotional Strategy in Nigeria
Approaches to marketing strategy depends on
:
If the product is new or already established.
If the company is directed to existing customers or
trying to attract new ones.
Marketing strategy statement consists of two elements
Sales promotion
Media

Advertising marketing process in
Nigeria
Strategy outlines the rules of decision-making on the
direction of growth.
Profits of the business.
Strategic marketing process is an analysis of market
opportunity and the choice of market position ,
programs and controls that create and maintain viable
business that serve the purpose and objectives of the
company .
Advertising medium in Nigeria
Determine the desired market position.(For Whom? Large
Scale industries, corporate companies,Farming,Real
estate)
After choosing a particular sector, Westpac have to follow a
growth strategy in that sector.(e.g. Low interest rates for
house loans if they concentrate on real estate sector.)
Choosing a position in heart and mind of the Nigerians by
encouraging business to go on e platforms and educating
customers about the benefits like time saving and other
human resources cost.

E-CRM in Nigeria
As the Internet is becoming more and more important
in business life, many companies consider it as an
opportunity to reduce customer-service costs, tighten
customer relationships and most important, further
personalize marketing messages and enable mass
customization. ECRM is being adopted by companies
because it increases customer loyalty and customer
retention by improving customer satisfaction, one of
the objectives of eCRM. E-loyalty results in long-term
profits for online retailers because they incur less
costs of recruiting new customers, plus they have an
increase in customer retention.
E-CRM issues & Opportunities
E-banking threats:
Internet banking fraud (phishing)
Payroll account
Getting management sponsorship
Quality of customer Data
Alignment issue (Alignment of people and processes)
Determining the right time for customer needs
Using customer Data more intelligently
Using right technologies
Real time Data cross all customer channels
Having 360-degree view of customers (single view of customers)
E-Business in Nigeria
Banking and Financial Institutions
IT/Telecommunication companies
Airlines
Payment processors
Online retail markets

Localisation
When we talk of localization, we are talking of
preparing software and its accompanying materials to
be usable and readable in a non-English speaking
environment. And by environment, we mean both
computers, and personnel.
That means then that fully localized software is
software that works on non-English or local operating
systems, and whose visible texts are in the target
language.

Localisation and environmental
issues in Nigeria
Corruption is endemic and has spread to every facet of the
economy.
Too many arbitrary and sudden changes in government policies and
regulations which have led to a great deal of uncertainty.
Ehnic and religious conflicts between Muslims and Christians
worsen the situations
Nigeria has one of the worst environmental records in the world.
Haphazard industrial planning, increased urbanisation, poverty and
lack of competence of the municipal government are seen as the
major reasons for high levels of waste pollution in major Nigerian
cities
Nigeria has the highest rate of deforestation in the world.

Change Management
Change management incorporates the organizational tools
that can be utilized to help individuals make successful
personal transitions resulting in the adoption and
realization of change.
Successful change management procedures allow a
company to move forward with less hesitation,
It helps inter-departmental teambuilding,
Customers also will gain some advantages through the
successful implementation of change management
processes


Plan for Communication of the
Changes

Communicating consistently, frequently, and through multiple
channels, including speaking, writing, video, training, focus
groups, bulletin boards, Intranets, and more about the change.
Clearly communicating the vision and mission and the objectives
of the change management effort.
Communicating all that is known about the changes, as quickly as
the information is available. Making it clear to the staff that the
bias is towards instant information and the details may change
later
Providing the reasons for the changes in such a way that staff
understands the context, the purpose, and the need.
Holding interactive workshops and forums in which all employees
can explore the changes together, while learning more.
Make leaders and change sponsors available, daily when
possible, to mingle with others in the workplace



Conclusion
In a nutshell, overall research to start up new business
for Westpac in Nigeria is not friction free one. Due to
localization issues, Islamic banking rules on interest
rates and other loan schemes.
There is always a gateway for foreign investor in
Nigeria, if they agreed to their laws.