Electronic Cash: Electronic cash one of the forms of payment, brings
with it unique security problems. Electronic cash should have two important
characteristics in common with real currency, First it must be possible to
spend electronic cash only one. Just as with real currency, second. Electronic
cash ought to be anonymous, just as real currency is that is security
procedures should be in place to guarantee that the entire electronic cash
transaction occurs between two parties such that the recipient knows that the
electronic currency being received is not counterfeit or being used in two
different transactions, In addition the consumer should be able to use
electronic cash to avoid revealing who he or she is for a variety of
completely legitimate reasons.
How e-cash works:
Open an account in a bank.
If the consumer wants to withdraw e cash to make he/she accesses the bank
via internet.
Present the proof identify.
After verifying the consumer’s identity the bank issues the consumer a
particular amount from consumers account.
The bank may charge a small amount of fee.
The consumers store the e-cash in a wallet. Consumers card spend their e-
cash when they locate e-commerce Sites that accept e-cash.
Consumers send e-cash to merchant for specified total cost of goods or
services.
Merchant validates the e-cash.
Only when the goods and services are sipped to the consumer can the
merchant present the e-cash issuing bank for deposit.
Bank then credits the merchants account for the transaction amount a small
service charge.
E- Wallet: An electronic wallet serving a similar function to a physical
wallet, holds credit cards, electronic cash, owner identification and owner
address information and provides that information at an electronic commerce
sites checkout counter. When consumers click on items to purchase they can
then click on their electronic wallet to order the item quickly. A consumer
must fill in all the information boxes in order to complete the checkout
process. Repeatedly having to fill out long forms has cost the electronic
industry millions of dollars, because significant numbers of people find the
forms daunting and abandon their electronic shopping carts at the checkout
counter.
Smart Card:
Open account and receive smart card.
Downloads taken onto card.
Insert card in reader.
Tokens are transferred from the user card to vendor.
Goods delivered.
Vendor redeems taken.
E R P: Enterprise resource planning: From Inventory
Control in the Sixties and Material Requirement Planning (MRP) in the
Seventies and now we have Enterprise Resource Planning (ERP).It refers to
a software package which combines all computerized departments together
with the help of a single integrated software program that uses a single
database so that various department of a company can more easily share
information and communicate with each other.
Help to manage important parts of business:
Product planning
Parts purchasing
Maintaining inventories
Interacting with suppliers
Providing customer service
Tracking orders.
Improve the co-operation and interaction between all the departments.
It’s a planning of 4ms – Man, Money, Machine, Materials.
M R P: Material resource planning: Material
Requirements planning (MRP) is a software-based production planning and
inventory control system used to manage manufacturing processes. Although
it is not common nowadays, it is possible to conduct MRP by hand as well.
MRP has several objectives, such as:
Reduction in Inventory Cost: By providing the right quantity of material at
right time to meet master production schedule, MRP tries to avoid the cost of
excessive inventory.
Meeting Delivery Schedule: By minimizing the delays in materials
procurement, production decision making, MRP helps avoid delays in
production thereby meeting delivery schedules more consistently.
Increased efficiency: By stream lining the production operations and
minimizing the unplanned interruptions, MRP focuses on having all
components available at right place in right quantity at right time.
Features of ERP:
Some of the major features of ERP and what ERP can do for the business
system as below:
*ERP facilitates company-wide Integrated Information System covering all
functional
Areas like Manufacturing, Selling and distribution, Payables, Receivables,
Inventory, Accounts, Human resources, Purchases etc.,
*ERP performs core corporate activities and increases customer service and
thereby augmenting the Corporate Image.
*ERP bridges the information gap across the organization.
*ERP is the only solution for better Project Management.
*ERP allows automatic introduction of latest technologies like Electronic
Fund Transfer (EFT), Electronic Data Interchange (EDI), Internet, Intranet,
Video conferencing, E-Commerce etc.
*ERP eliminates the most of the business problems like Material shortages,
Productivity enhancements, Customer service, Cash Management, Inventory
problems, Quality problems, Prompt delivery etc
Components of ERP:
The following components may be identified as the primary components
(sub-system) of ERP:
1. Human Resources 2. Sales and Marketing 3. Accounts
Payable/Receivable 4. Master Scheduling 5. Inventory/Material
Requirement Planning 6. Cost Accounting 7. Bills of Materials 8. Capacity
Requirement Planning 9. Purchasing 10. Warehouse Management 11.
Service & Maintenance 12. Logistics 13. Plant Maintenance 14. Project
Management 15. Asset Management and 16. Financial Accounting etc.
ERP Vendors:
There are various ERP vendors available today who are very active in the
market some of the companies offering renowned international ERP
products include
SAP
Baan
Oracle
PeopleSoft
JD Edwards
IBM
CODA
