ITC Regional Business Roundtable, 1-4 December, Vilnius A European Approach to eCommerce Standardization Man-Sze LiChair CEN/ISSS Electronic Commerce Workshop

ITC Regional Business Roundtable, 1-4 December, Vilnius

A European Approachto eCommerce Standardization

Man-Sze Li

ChairChair

CEN/ISSS Electronic Commerce WorkshopCEN/ISSS Electronic Commerce Workshop

CEN/ISSS eBusiness Standards Focus GroupCEN/ISSS eBusiness Standards Focus [email protected]@icfocus.co.uk


Agenda

• Context

• Overview of CEN/ISSS

• EU Policy Issues

• eCommerce/eBusiness: definitions & developments

• Outstanding Issues


Some Milestones• 1969 - 1985 Basic Packet Net Research• 1974 - first Internet design published• 1983 - first major deployment • 1986 - first router companies• 1988 - first global EDI standard published• 1990 - first commercialization of the Internet; WWW invented • 1994 - Commercial WWW • 1995 - first large scale Grid experiment (I-Way);

Amazon.com• 1998 - Semantic Web was coined; e-Christmas• 1999 - XML & e-Business• 2000 - end of “irrational exuberance”• 2001 - Web Services• 2002 - death of the “new economy”?


Onwards and upwards?

Time

Stockprice

New tech, New business, New co

Trigger Expectations

“Solveseverything”

“The new paradigm”

Disillusionment trough

Productivityplateau


Towards Consolidation

Phase 1

Phase 2

Phase 3

Phase 4

Initial commercialisation

Independent e-commerce ventures

Market segmentation & towards collaborative commerce

Convergence

Competition Complexity ROI

Time1995 2000 2005


Remarks on Standards• Making market

– e.g. GSM, SSL, Web Services (?)

• Regulatory requirement– EC Directives: 87/95, New Approach

• Public interest issues– e.g. eSignature, eInvoicing, Network &

Information Security, Design for all

• Balance of stakeholder interests, especially SMEs & Consumers


What is CEN?What is CEN?

• The European Standards Committee (est. 1960s)• One of three European Standardization

Organizations (ESO)s, recognized by the European Union

• A non-profit association, whose members are national standards bodies (BSI, DIN, AFNOR, etc.)

• Creating the European single market, in partnership with:– CENELEC - electro-technical standards– ETSI - telecommunications standards

• The European Standards Committee (est. 1960s)• One of three European Standardization

Organizations (ESO)s, recognized by the European Union

• A non-profit association, whose members are national standards bodies (BSI, DIN, AFNOR, etc.)

• Creating the European single market, in partnership with:– CENELEC - electro-technical standards– ETSI - telecommunications standards


Why CEN/ISSS?Why CEN/ISSS?

• The formal standards bodies are “slow and bureaucratic” to the ICT industry...

• In the ICT arena, we currently count over 350 informal “standards bodies”

• But these informal bodies do not always meet all the guarantees (openness, transparency, etc…).

• End-users do not know about them; the companies who participate cannot co-ordinate!

• European interests are often not taken into account

• The formal standards bodies are “slow and bureaucratic” to the ICT industry...

• In the ICT arena, we currently count over 350 informal “standards bodies”

• But these informal bodies do not always meet all the guarantees (openness, transparency, etc…).

• End-users do not know about them; the companies who participate cannot co-ordinate!

• European interests are often not taken into account


The CEN/ISSS solutionThe CEN/ISSS solution

• To deal with European specifics in an inclusive manner

• To do this in partnership at European level• To ensure a coherent approach vis-à-vis

the global consortia and ISO, IEC, ITU• To provide open consensus platforms to

meet market needs• To interface with the regulatory authorities

on issues of public interest

• To deal with European specifics in an inclusive manner

• To do this in partnership at European level• To ensure a coherent approach vis-à-vis

the global consortia and ISO, IEC, ITU• To provide open consensus platforms to

meet market needs• To interface with the regulatory authorities

on issues of public interest


A SnapshotA Snapshot

CEN/ISSS is the CEN focus on ICT:• 8 Technical Committees producing ENs• Since February 1998:

– 40 Workshops – 18 Workshops open – Over 49 CWAs in 128 parts published – 1500+ registered Workshop participants

(business and other interests)– Support for EU legislation (Focus Groups)– Value-added activities (R&D links, consortia

overview, etc.)

CEN/ISSS is the CEN focus on ICT:• 8 Technical Committees producing ENs• Since February 1998:

– 40 Workshops – 18 Workshops open – Over 49 CWAs in 128 parts published – 1500+ registered Workshop participants

(business and other interests)– Support for EU legislation (Focus Groups)– Value-added activities (R&D links, consortia

overview, etc.)


The Workshop ConceptThe Workshop Concept

• Open to all interested parties• A public process - Business Plans on web,

open for comment to all• Workshops funded by EU/industry - the

platform needs paying for!• CWAs approved by Workshop consensus,

published by CEN national members• Technical specifications, guidance material,

best practice, information documents

• Open to all interested parties• A public process - Business Plans on web,

open for comment to all• Workshops funded by EU/industry - the

platform needs paying for!• CWAs approved by Workshop consensus,

published by CEN national members• Technical specifications, guidance material,

best practice, information documents


CEN Workshop AgreementsCEN Workshop Agreements Represent the consensus of participants Not “formal standards”, but CWAs appear

in catalogues of CEN Member bodies May afterwards be taken further in

standards process in CEN or ISO Wide range of content - technical

specifications, guidance material, best practice, information documents

Some are available free on CEN web site (“eEurope CWAs”)

Represent the consensus of participants Not “formal standards”, but CWAs appear

in catalogues of CEN Member bodies May afterwards be taken further in

standards process in CEN or ISO Wide range of content - technical

specifications, guidance material, best practice, information documents

Some are available free on CEN web site (“eEurope CWAs”)


Funding/Resourcing Funding/Resourcing • CEN/ISSS Secretariat

– CEN Members + EU/EFTA

• Workshop Secretariats – Usually a CEN Member provides Workshop Secretariat,

sometimes sub-contracts to others– CEN/ISSS handles two Workshop Secretariats– Funding from EU/EFTA or by participants– Greater industry contribution proposed

• Inputs to Workshop – Voluntary contributions– In some cases, EU/EFTA funding for Project Teams (paid

experts who produce rapid drafts)

• CEN/ISSS Secretariat– CEN Members + EU/EFTA

• Workshop Secretariats – Usually a CEN Member provides Workshop Secretariat,

sometimes sub-contracts to others– CEN/ISSS handles two Workshop Secretariats– Funding from EU/EFTA or by participants– Greater industry contribution proposed

• Inputs to Workshop – Voluntary contributions– In some cases, EU/EFTA funding for Project Teams (paid

experts who produce rapid drafts)


eCommerce/eBusiness area eCommerce/eBusiness area

• Electronic Commerce Workshop (WS/EC)• European Board for e-business

standardization (WS/eBES)• Sector Workshops:

– Sanitaryware, hospital procurement, furniture industry, footwear, retail classification, textiles/clothing, multilingual eCatalgoues

• eBusiness Standards Focus Group• eInvoicing Focus Group

• Electronic Commerce Workshop (WS/EC)• European Board for e-business

standardization (WS/eBES)• Sector Workshops:

– Sanitaryware, hospital procurement, furniture industry, footwear, retail classification, textiles/clothing, multilingual eCatalgoues

• eBusiness Standards Focus Group• eInvoicing Focus Group


WS/EC: [email protected] United Kingdom, ABN AMRO The Netherlands, AIDIMA Spain, ANGAISA Italy, Association GOSET France, Austriapro/Austrian Federal Economic Chamber, BTexact Technologies United Kingdom, BTopenworld United Kingdom, Chamber of Commerce & Industry of Romania & Bucharest (e-Commerce Romanian Association, CID/NADA KTH - The Royal Institute of Technology Sweden, BELGACOM Belgium, COFACE France, CommerceWorks SA Belgium, CompTIA Belgium, Cyscom Ltd United Kingdom, Data Comms & EDI Consult Germany, EAN International Belgium, ECBS - European Committee for Banking Standards Belgium, Echelon Consulting United Kingdom, e-comtrust Switzerland, ECP.NL The Netherlands, Ediforum Italia Italy, EDIRA Association Switzerland, Effedue Consulting Italy, Edifrance France, Effedue Consulting Srl Italy, Effort Information Technology The Netherlands, Elma Electronic Trading Finland, EPL Software Ltd United Kingdom, ErgoSolutions Norway, Ericsson Business Consulting Sweden, Estonian Informatics Centre Estonia, ETIS Belgium, Exponent Consulting DA Norway, Fingrid System Oy Finland, Fraunhofer IAO Germany, FutureTV Ltd United Kingdom, GTW Associates United States, Heinz Nixdorf Institute Germany, IBM France, IC Focus United Kingdom, ICEPRO Iceland, Independent - Nap van Zuuren Belgium, InfoStream ASA Norway, Infoterm Austria, IT Consult A/S Norway, myview technologies GmbH & Co.KG Germany, Norsk EDIPRO Norway, Posten SDS AS Norway, P&O Nedlloyd BV The Netherlands, RWE Com GmbH & Co Ohg Germany, Saphor GmbH Germany, SIEMENS AG Germany, Standards of Electronic Information Interchange Russia, Sun Microsystems France, TERMNET Austria, The SGML Centre United Kingdom, TIE Holding NV The Netherlands, TIEKE - Finnish Information Society Development Centre Finland, Total-Trust.com United Kingdom, UIC/EDIFER Belgium, UNINOVA Portugal, Unisoft SA Greece, Universität Klagenfurt - IWAS - Austria, University of Stuttgart IAT Germany, VINTURA Belgium, WebGiro AB Sweden


EU Directives/Regulations• The .eu Registry (2002)• Statute for “European Companies” (2001)• VAT invoicing - include electronic invoicing (2001)• Copyrights & related rights (2001)• Standard forms for public procurement contract notices (2001)• E-money and Electronic Money Institutes (2000)• E-commerce (2000)• Electronic signatures (1999)• Transparency mechanisms for Information Society services (1998)• Information Society services definition and provisioning (1998)• Personal data and protection of privacy (1997)• Consumer protection in respect of distant contracts (1997)• Legal protection of databases (1996) • [Commission Recommendation on use of EDI (1994)] • Legal protection of computer programs (1991)


Examples of challenges

• Widening of markets • Facilitating cooperation between innovative firms• Weighing efficiency gains of mergers v anti-

competitive effects• Assessing how market dynamics affect market

structure: permanent challenge• Encouraging new ways of service production &

delivery• Correcting market failures whilst reducing State aid

volumes


Productivity Growth: underlying forces

• R&D, innovation (FP6 IST)• ICT takeup (Enterprise initiatives)

– diffusion– reorganization– networking

• Skills, human capital (various)• Liberalisation & competition (Internal

Market, Competition)


eEurope 2005 priorities

• To promote attractive content, services and applications

• To provide interactive public services online

• To achieve digital inclusiveness

• To promote broadband Internet access

• To ensure trust and confidence in cyberspace


eEurope 2005: challenges

• eGovernment

• eBusiness

• eHealth

• eLearning

• Broadband/IPv6

• Security

• Benchmarking & Good Practices


eEurope: Dynamic eBusiness Environment

• Review relevant legislation - ebusiness summit in 2003

• SMEs: creation of a European ebusiness opportunities network

• eSkills: supply/demand analysis• Interoperability: transactions, security, signatures,

procurement & payment• Trust & confidence: legal issues & dispute resolution• .eu domain name & .eu company: trusted cyber

identity


BuyerProducer

value

productsservices

e-Commerce Exchange

MediationSeller

Consumer


Business Processes

MaintenanceMarketing Payment FulfillmentOrdering

AttractEyeballs

Integrated Transaction Delivery (that arrives)

Long TermPotentially

Open ended


Value Model 1: The Actors

Covisint

Priceline

E-formsDriving licence

eBayQXL

AmazonDell

One-stopservices

Personal Tax

VAT

B C A

B

C

A

x x xX

x

x

x

X

x


Portfolio &Watchlist

Sponsorship Commitment

ImpressionsClick-throughs

Trading

News &Current Affairs

Gifts & LuxuryGoods

Technology

Value Model 2: Be there and they will come

Travel &Entertainment

Food & DrinksElectronics

Shopping

Leisure

Banking

Stock Quotes

Research

Personal Finance

Content Advertising

Financial


Supplier

Supplier

Supplier

Buyer

Buyer

Buyer

HorizontalExchange

Supplier

Supplier

Supplier

Buyer

Buyer

Buyer

VerticalExchange

SupplierBuyer

Portal

Hub

Member

Member

Member

Member

Member

Member

Market fragmentation

Product/Process complexity

Value Model 3: Business Models


Value Model 4: Profit & Loss

Corporate infrastructure

Technology platform

Partnerships

Revenues

Value


Value Model 5: eGovernment

Citizens asStakeholder

Citizens asCustomer

RepresentativesAdministration

Accountable to €

Vote Services

eDemocracy eAdministration

Government


Catalogue Ordering Invoicing Payment Tax CurrencySchedu

lingMaintenance

DespatchGoods

ReceiptsGoodsReturn

Tracking Status Billing ReportingAuthenti

cationCertifica

tionVerfica

tionProces

singAccoun

ting

Supplierapp 1

Supplierapp 2

Supplierapp X

Customerapp 1

Customerapp 2

Customerapp X

Supplierprofiling

Customerprofiling

ContentMgt

CRM

Management

PlatformModule 2

PlatformModule 3

PlatformModule 4

PlatformModule X

Middleware

PlatformModule 1

Internet Mobile Interactive TV

Interface

What is happening ...

BusinessBusiness RelationshipsRelationships


Applications /Services

Middleware / Basic Services

Networks

Basic infrastructure /network providers

System /platform providers

Application developers

Integrators

Content developers

The ICT Supply Market

Intermediaries /service providers


Adding Value to e-Services

Access &Management

Content

Services

Infrastructure

Value Value


Interoperability

• Standards or “standards-based” protocols• “Basic” suite of software tools• “Stable” system architecture• “Common” technical framework • “Core” set of services • “Interoperating” applications• “Complementary” products • “Shared” business processes• A “generic” framework to conduct business


Views

Market Core Focus, Dynamic

Relationships

Business Processes, Applications

Functional Building Blocks

Technology Hardware, Software,IT Services


Everything on IP

IP on Everything

Beyond IP...

Everything on IP

IP on Everything

Source: Vint Cerf


Standards & Specifications

EDIFACT, open-edi STEP, SGML, ODA ODP, HyTime

X.400, X.403, X.500, X.509, X.xx

FTAM, TP

H.320 family

OSI Transport X.25

X.12, ODETTE, VDA, Spec 2000, Spec 2000M Dublin Core, PICS, P3P, xxML Z39.50, CBL, UML, HTML/HTTP

XML family, XML/EDI, EDI-INT COM, DCOM, ActiveX, DOM, Java family, CORBA, IIOP

SMTP, MIME, PEG, PEM, MOSS, IPSec, White/Yellow Pages FTP, LU6.2, MQ RTP, IRC

TCP

IPv4, IPv6, IPv?


e-Commerce Architectures CEN/ISSS Electronic Commerce Workshop Final Draft CWA 14228:2002 Summaries of some Frameworks, Architectures and Models for Electronic Commerce

Conceptual Frameworks: REA Meta model, UMM General Frameworks: Biztalk Framework, Building Blocks, ebXML Technical Architecture, FIPA, eCo Framework Specification, IMPRIMATUR Business Model, STEP, Java EC Framework, J2EE Framework, MPEG-21, OMG eCommerce Domain Specifications, Open-edi Reference Model (ISO 14662), SPIRIT, TOGAF Trading Models: Ad Hoc Functional and Process Models, Global Commerce Initiative & Protocol, cXL, Internet Open Trading Protocol (IOTP), Open Applications Group XML Framework, Open Buying on the Internet (OBI), OBI Express, RosettaNet, Secure Electronic Market Place for Europe (SEMPER) Payment Models: Electronic Payment Technologies, Secure Electronic Transaction (SET) TC 224 Report on 'Card-related secure commercial and financial transactions Security Models: eEurope Smart Card Charter’s Global Interoperability Framework, PKIX Mobile commerce Models: MeT Web Services Architectures


Three Technical Approaches

• An overarching solution: whose?

• Building interfaces: but Nx(N-1)

• Federation - sharing of a common core: but management, coordination and orchestration issues


Theory & Practice

InteroperabilityRequirements

Theory Products Integration

Systems/Platforms

Yes No Not easy

Infrastructures(across S/Ps)

Emerging:focus on

publishing

Beyondpublishing - No

Not proven

AccessingInterfaces

(across S/Ps &Infrastructures)

Seminal No No


A Business Driven Approach to Interoperability

• Translating needs into demand

• Converting invention/good ideas into innovation

• Understand the limits of technologies and invest in them wisely

• Partnerships - based on synergy

• Do what you are good at


Web Services: What is being promised ...

Businesscore mission

Technology

WS

WS

WS

WS

WS

Partner

Partner

Partner

Partner

Partner


Web Services

• A definition: software objects that can be assembled over the Internet using standard protocols to perform functions or execute business processes

• Key themes: – on the fly service creation– loosely coupled, reusable software components– delivering “products” as “services”– business models


Web Servicesbenefits for business

• Ease of aligning technology with business processes

• Cost savings stemming from reduction in process cycles

• Reduction in integration efforts from elimination of bespoke systems

Source: Internet World/BT Survey, December 2002


General Developments/Issues• “The large number of specifications emerging from

hundreds of actors without clear delineation of the scope and without interoperability” European Commission Joint Research Centre ePSO paper on e-payment, April 2002

• Competition among market players• Positional good versus Common good• Convergence and new technologies: Web Services,

Semantic Web/Ontologies, Grid Services, Autonomic Computing ...

• Interface between Market, Research, and Standardization• “Core functions” of the Internet; governance• Self-regulation, co-regulation, public-private partnership• QoS, Trust & Confidence, Consumer protection


CEN/ISSS eBusiness Focus Group Preliminary Topics

• Horizontal– Transaction protocols and standards

– Web Services

– m-Commerce

– .eu domain related application issues

– Cultural adaptability

– Open Source implementations

– Intellectual property & patent protection

– Trust & Confidence

– Test beds / Awareness


CEN/ISSS eBusiness Focus Group Preliminary Topics

• Vertical– eCataloging– eProcurement– eInvoicing– etc


Acknowledgement

• CEN/ISSS http://www.cenorm.be/isss

• EU IST Diffuse Project (e-commerce & multimedia standards portal) http://www.diffuse.org

• European Commission DG Enterprise and DG Information Societyhttp://europa.eu.int/comm/enterprise

http://europa.eu.int/information_society

Documents

ITC Regional Business Roundtable, 1-4 December, Vilnius A European Approach to eCommerce Standardization Man-Sze LiChair CEN/ISSS Electronic Commerce Workshop