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The rise of the hyper-chain: business effects of emerging internet-enabled information systems. Early experiences from the wood/furniture sector

: Malkewitz, R.; Sakkas, N.; Apostolou, D.

International journal of information management 19 (1999), No.4, pp.305-318
ISSN: 0268-4012
Journal Article
Fraunhofer IGD ()
Business process simulation; Computers; Organisational design studies; simulation model

The Internet is often regarded as a revolutionary technology that in the long run will have immense consequences, both on our everyday life and on how business in conducted. Although still mainly used for content publishing, there are an increasing number of reported cases where it hasenabled significant business success. This paper attempts to provide evidence that Internet-enabled business information systems coupled with graphics technologies and open, co-operative technologies such as tandart for Exchange of Produkt Data (STEP) will soon be a common practice. What is perhaps even more important are the business effects these rapidly proliferating technologies will ultimately have. We believe that a great impact on the layout of business value chains should be anticipated. More specifically, we expect symptoms of value chain deconstruction and re-synthesis along new operational paradigms. Perhaps the term hyper-chain would best describe what we foresee as a result of this drastic tr ansformation of the layout of business value chains. In any case, a much more efficient operational environment will emerge, along with new business opportunities, to the clear benefit of the end user. Enabling data sharing and business interactivity across the Wood sector value chain by developing a custom set of Internet based IT Tools (WIT), a European Esprit project, has stimulated this work and has provided some small but convincing evidence on the arguments raised and on the positions adopted herein.