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Internet, Intranets and Extranets

Businesses, which utilise Internet, intranet and extranet facilities, are gaining significant competitive advantages through the increased business value that adoption of these platforms provides.

Businesses are utilising the Internet, intranet and extranet facilities in order to gain a competitive advantage. According to O’Brien (2000 G-3) a competitive advantage occurs when a business develops a product, services, processes or capabilities that give a company a superior business position relative to its competitors and other competitive forces. The Internet can be defined as an interconnected series of computer networks, which provides global access to communication and information. Intranets are internal networks, which utilise Internet technologies to support communication, collaboration, information sharing and the support of business processes within the organisation. Extranets utilise Internet and intranet resources to link customers, suppliers and trusted partners with the enterprise in a connected way to facilitate communication and collaboration and improve business relationships.

There is significant business value to be derived from embracing the opportunities that the Intern


For many businesses the initial benefit of intranets are the cost savings that arise through the distribution of information such as internal phone lists, policy and procedures, training manuals, in house forms and promotional material by electronic means as opposed to traditional methods such as printing and mailing of documentation. Intranets are able to provide an efficient and effective means of providing quality information to employees regardless of their physical location and access time. Bill Cockburn then head of British Telecommunications UK operations estimated that in 1997 the business with over 125,000 staff in the UK, Europe, Asia and North America saved over $280,000,000 through using the intranet as a means of communication rather than having used paper. (Marchand, D. A., 2000, p.283)

rooms etc. These Internet based tools provide a business with the ability to provide and receive information, which is vital to the success of its operations

Another major benefit of utilising intranets within a business is the increases in productivity that can result. Productivity increases from intranets are generally realised through the quicker and easier exchange of information and collaboration that occurs. Anderson (2000, p. 214) reports that General Motors uses an intranet to help it develop products more efficiently. GM’s Powertrain Control Centre uses its intranet to coordinate the work of over 300 engineers via the use of consistent standards, procedures, documentation and code. The intranet uses an email notification system to alert users to any changes in documentation that may

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Approximate Word count = 1081
Approximate Pages = 4 (250 words per page double spaced)


  

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