Welcome!Welcome!

Developing Successful B2B RelationshipsResearch Workshop, November 28, 2001

Peter Metz, Executive Director

The Center for eBusiness@MITMission Statement

To be the leading academic source of innovation in management theory

and practice for eBusiness

Motivation for the Center• Internet and related technologies are changing

competitive and organizational dynamics, especially business relationships with customers and suppliers

• Business leaders, students, and faculty want to understand and help shape these developments

eBusiness@MIT

Current SponsorsFounding SponsorsBTCiscoCSKDellFleetBostonGeneral MotorsHewlett-PackardIntelMasterCardMerrill LynchPricewaterhouseCoopersSuruga BankUPSVisteon

Research SponsorsNortel NetworksUnilever

Member SponsorsAcerAetnaBanamexBank of Tokyo-MitsubishiBellSouth ChevronCitigroupeircomGEAJC PenneyJ.D. EdwardsKraft McCann-Erickson Mitsubishi Electric3MMotorolaNCRNokiaPublicis TechnologyRoyal AholdSASUS Postal Service

Sponsorship• Corporate sponsors support and are involved in

eBusiness research and education at MIT• Benefit from

– Research– Executive Education– Conferences and events– Interaction with faculty and students– Interaction with other sponsors– Private web site

• Three sponsorship levels– Founding: $300K/yr. for 3 years– Research: $150K/yr.– Member: $50K/yr.

Sponsor Events• Annual Sponsors Conference• Research Workshops – 3/yr• MBA Recruiting Events – 2/yr• Student/sponsor projects – 2/yr• Executive education course – 3/yr• Weekly research seminars – Fall and Spring • eBusiness Awards - annual• Executive Board meetings – 2/yr

Education• New MBA Track in eBusiness

– Introduction to eCommerce– Marketing and the Internet– eBusiness Technologies– Data Mining Algorithms and Applications– Services on the Internet– Managing in a Virtual World– New courses in development

• Executive Education– “eBusiness Strategy: Exploring the 2nd Generation”– 2 days, 3/yr: Apr, Jul, Nov 2001; Apr, Jun, Nov 2002– Very well received:

• “This course was the most thought-provoking set of complementary lectures I have ever participated in.”

• “MIT continues to provide leading-edge information in this rapidly changing field.”

Research

• Focused Sponsor Research Projects- Sponsored by Founding and Research Sponsors- Topics agreed between sponsor and faculty principal investigator- Involve graduate students and sponsor personnel- 24 projects underway or completed

• Vision Fund Research Projects- Funded by Vision Fund from sponsor contributions- Innovative and new concept projects of broad significance to eBusiness- Selected from competing faculty proposals twice each year- 25 projects underway: 8 in Sept ’00, 9 in Jan ’01, 8 in Aug ‘01

Focused Research Projects

British Telecom Thomas Malone eBusiness Process Handbook and the Matrix of Change

Cisco Erik Brynjolfsson Internet Culture and Organization

CSK Ely Dahan The Virtual Customer Dell Dimitris Bertsimas Customer Retention Using Data Mining

Hewlett-Packard Gabriel Bitran Using the Internet for B2B eCommerce for SMEs

General Motors Glen Urban Listening In: Creating a Virtual Engineer Intel Glen Urban Building an Internet Trust Generator FleetBank Boston Erik Brynjolfsson Price Competition and Margins

Suruga Bank Stuart Madnick Impact of the Internet on the Global Financial Services Industry

Examples

Vision Fund Projects

Michael Cusumano Platform Technologies and Leadership Strategies in the Internet Economy John Hauser & John Little & Duncan Simester Design and Delivery of On-line Promotions

David Simchi-Levi Dynamic Pricing to Improve Supply Chain Performance

John deFigueiredo eBusiness Political Strategies in Internet IP Protection Roy Welsch & Alex Samarov Trust and Reliability in eCommerce Tom Kochan & Diane Burton Impact of New Economy Employment Relationships on Individual and Corporate Performance

Drazen Prelec Incentives for Eliciting Preferences and Recommendations on the Web

Nader Tavassoli Role of Online Conversations in Brand Identity

Roberto Fernandez Costs and Benefits of Web-Based Recruiting and Hiring

Benjamin Grosof Contract Communication in XML Agent Marketplaces

Thomas Roemer Impact of Information Technologies on Product Customization

11 Examples from 25 Projects

Contacts

• Co-Directors –Prof. Erik Brynjolfsson, Prof. Glen Urban• Executive Director – Peter Metz• Deputy Executive Director – Natan Abraham• Communications & I/T Manager –Steve Buckley• Financial Officer –Jay Tedesco• MBA Track Co-Directors – Prof. Christian Dussart, Tim Rowe• Center Coordinator – Debie Thomas• Financial Assistant – Veronica Lupampa• Assistant to the Exec Director – Robynne DeCaprio• Outreach Advisor – David Verrill

To Learn More:http://ebusiness.mit.edu

OverviewOverview

Developing Successful B2B RelationshipsResearch Workshop, November 28, 2001

Peter Metz, Executive Director

"Developing Successful B2B Relationships"

Agenda Wednesday, November 28, 2001

7:30 Workshop Check-in and Continental Breakfast 8:00 Welcome and Introductions

• Peter Metz, Executive Director, Center for eBusiness@MIT 8:15 The Impact of the Internet on Supply Chain Management: Push-Pull, Exchanges,

and Dynamic Pricing • David Simchi-Levi, Professor of Engineering Systems, MIT School of

Engineering 9:30 Break 10:00 The Wise Abuse of Market Power: Coordination Decisions in Supply Chains

• Jim Rice, Director, MIT Integrated Supply Chain Management Program • Jim Hines, Senior Lecturer, Sloan School Of Management

11:15 Workshop Discussions 11:45 Lunch - Graduate student poster presentations of related research projects 1:00 Shifting to eBusiness B2B Channels: Enablers and Obstacles

• Gabriel Bitran, Professor and Deputy Dean, MIT Sloan School Of Management 2:15 Break 2:45 Using Pricing, Bundling, and Tailored Product/Service Design to Create Strategic

Relationships without Bidding Wars • Gabriel Bitran

4:00 Workshop Discussions 4:30 Adjourn