The Importance of Business Processes essay sample

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The Importance of Business Processes

Kenjale & Phatak (2002) suggest that business-to-business (B2B) applications provide multiple opportunities to increase the efficiency of the business process. It becomes possible due to advantages associated with B2B applications. Kopatz (2015) identifies seven major advantages of B2B applications that use the Internet. They include additional revenue through a focus on new target groups, cost-reduction through customer loyalty, higher transaction value through business purchases, clear structure, and collaborative shopping, opportunity to expand, and ease of use.

2. Dotcom is used to refer to “a company that embraces the internet as the key component in its business” (Investopedia, 2015). Bricks and clicks stay for a company that uses both the Internet and shops to sell products. So, the difference between the two companies is the medium where they do their business.

Intranet is “a network based on TCP/IP protocols (an internet) belonging to an organization, usually a corporation, accessible only by the organization’s members, employees or others with authorization” (Webopedia, 2015). The intranet that is partially accessible to authorized outsiders is referred to as extranet.

3. Context diagram presents the system under consideration as a single high-level process and shows the relationship between the system and other external entities (Brown et al., 2012). A use case diagram represents a user’s interaction with the system and demonstrates the relationship between the user and different cases in which the user is involved. So, both diagrams focus on demonstrating the relationship between a system and some other entity. The nature of the entity makes the key difference between the diagrams.

4. Rouse (2015) defines business process re-engineering as “the analysis and design of workflow within and between enterprises.” The importance of business process re-engineering for information systems work can be assessed through approaching its main principles. Rouse (2015) suggests that business process re-engineering aims to organizing around outcomes, identifying and prioritizing organizational processes, integrating information processing work into the work that produces the information, treating geographically dispersed resources as though they were centralized, linking parallel activities in the workflow, putting the decision point where the work is performed, and capturing information at the source.


Brown, C. V., DeHayes, D. W., Hoffer, J. A., Martin, E. W., & Perkins, W. C. (2012). Managign information technology. Upper Saddle River, NJ: Prentice Hall.

Investopedia (2015). Dotcom. Retrieved from

Kenjale, K. & Phatak, A. (2002). The benefits of B2B exchanges. CRM Magazine. Retrieved from

Kopatz, A. (2015). 7 advantages of B2B commerce and why it makes sense to sell to businesses. Retrieved from

Rouse, M. (2015). Business process reengineering. Retrieved from

Webopedia (2015). Intranet. Retrieved from

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