Commerce Transactions Between Businesses Business Essay

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It describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer. Other terms used are business-to-consumer and business-to-government.

Business Models for Conducting B2B E-Commerce (fig 1.2)

There are various different business models available for electronic businesses. In general, a business model is an organization's approach to doing business. Although there are many different business models available, most have several common core concepts.

Even for the most primary business model, a company must have something of value to offer to the market, it can be either products, or services.

Gaining and maintaining the trust of the customers is the company's most important function

Any organisation requires the necessary infrastructure to provide their services to the customers.

The business model also needs to include consideration of the company's income and cash flow as well as its cost structure.

Advantages of E-Commerce for B2B Businesses

As shown in Fig 1.1, the traditional business model for business-to-business operations involves procurement staffs that negotiate with various suppliers. For example, a electronics store may procure televisions from several distributors and office supplies from one or more other suppliers. In the e-commerce business model, a procurement staff (typically smaller than the staff necessary in the traditional business-to-business model) shops online for supplies and other items necessary to the business. Just as it does for the consumer in the business-to-consumer business model, the Internet allows businesses to comparison shop online in order to find the most appropriate product at the best price. This reduces many of the front-end costs for finding goods and products that are incurred in the traditional model.


Accenture is a global Management and technological consultancy and technological outsourcing company. Its global headquarters is situated in Chicago. It is said to be the largest consulting firm in the world, as well as being a global player within the technology consulting industry. Accenture is a Fortune Global 500 company. As of 2010, the company has over 190,000 employees in 200 locations in over 120 countries. Accenture's current clients include 96 of the Fortune Global 100 and more than three quarters of the Fortune Global 500.

Accenture and E-Commerce-

Accenture provides its consultancy services to around 31 types of industries all around the globe. They currently have a staff of 190,000 employees working from 200 offices in 120 countries. To achieve this success they have to depend extensively on technology.

Whenever a new consultant is appointed, Accenture systems automatically set up an email account and instructions on where to pick a laptop. Managers rely heavily on telephone and email to keep up with their staff, and many of them are constantly in motion. Every-day, Accenture employees log on to the company's internal website, which they can access from anywhere in the world. They use this system to record where they are working and to access email, phone messages and their files. The system enables them to share documents and data with their colleagues and to conduct videoconferences whenever a more face-to-face interaction is necessary.

From finding meeting destinations, to getting documents, to keeping track of employee locations, everything is done via e-business model.

Business model for Accenture

A business model describes the rationale of how an organisation creates, delivers, and captures value - economic, social, or other forms of value. The process of business model design is part of business strategy.

Fig 1.3 shows the various components of a business model required in any company. While forming model for Accenture, the following components will have to be considered-

Organisation Culture-

Mission Statement- To become one of the world's leading companies, bringing innovations to improve the way the world works and lives. 

Core Values- Since its inception, Accenture has been governed by its core values. They shape the culture and define the character of our company. They guide how we behave and make decisions.


Best People

Client Value Creation

One Global Network

Respect for the Individual

Inclusion and diversity-

Finding right people for the right job

Grooming them for global careers and exceeding their expectations though our visionary culture.

Accenture taps into new ideas and creativity that benefit our people and the communities in which we live and work, and that, ultimately, helps our clients achieve high performance.


Key activities- being a consultancy firm, the major activities which is required to execute the business model of Accenture are as follows:

Regular communication between the consultants and the company via intranet.

Managers extensively use email and phone to keep track of their subordinates since Accenture.

Key partners all over the world so as to provide meeting locations and other facilities whenever required.

A team of consultants or experts to divert the request of a particular customer to the right consultant within the promised time.

Video conferencing facilities have to be provided if a face-to face interaction is necessary with both colleagues and clients since Accenture has lesser number of offices.

Key resources-

In Accenture the important resource are the employees themselves.

Being a consultancy firm, employees need to be available to cater to the customers at all times.

Partner Network- Accenture has various partners pertaining to the variety of products that it offers, some of the alliances that Accenture has made are with the following companies-





Microsoft, etc.

Customers- since Accenture is a b2b company, it caters to only other businesses and industries.

Industry segments- some of the industried which Accenture offers its services to are:

Aerospace and defence



Border management

Building material



Consumer goods and services



Electronics and high tech


Financial services

Forest products

Freight and logistics


Health and public services

Human services

Industrial equipment

Life sciences

Media and entertainment





Public safety

Public transportation



Travel utilities

Channels- to subscribe to the consultancy services of Accenture, one of the following is possible:

A company could state its problem in detail and send it directly through the official Accenture website.

Contacting via email and phone is also one of the methods of reaching Accenture.

Companies can then expect a return call from Accenture within 2-3 business days.

Else, if Accenture finds a suitable proposition for a company, they contact them directly with a proposal.

Accenture also believes in after sales support service. They keep regular tabs on how the services provided are benefiting the organisation and tend to have a long term relationship with the customers.

Customer relationship- Accenture helps to solve the following problems for their clients.

By offering a series of various services Accenture helps a company to become more efficient in every aspect both within and outside the organisation

It helps in making the organisation structure lean.

Helps in implementing ERP systems in a company thereby reducing the communication barriers

It also advices company on how it can become a global enterprise.

From within the organisation, it helps in improving the organisation culture to suit the requirements of the company.

It also offers services in customer relationship management.

Value Proposition- organisation culture, infrastructure and customer relationship eventually contribute to the value of the company. Accenture, as an end product provides three different types of consultancy services, the products for the same are as follows

Management consulting-

Accenture interactive


Change management

Customer relationship management

Enterprise performance management

Finance and performance management

Human resource management

Leadership and talent management

Process and innovation performance

Risk management

Service management

Strategy consulting

Supply chain management


Talent and organisation performance

Workforce performance management

Technology consulting

Accenture and cicco business group

Accenture software


Application modernisation

Application portfolio optimisation


Business intelligence

Data centre technology and operations

Data management and architecture

Global delivery and sourcing

Human capital management solutions

Information management

IT strategy and transformation

Microsoft solutions

Network technology

Open source solutions

Oracle solutions

Performance engineering

Portal and content management

SAP solutions

Security solutions

service oriented architecture

software as a service


systems integration consulting

technology consulting

work place technology and collaboration

Technology outsourcing

Application outsourcing

Infrastructure outsourcing

Business process outsourcing


Revenue Model- A copy of the balance sheet for the year 2009 has been attached (fig 1.4). Net revenues by operating group for the full fiscal year were as follows:

Communications & High Tech: $4,831 million, compared with $5,450 million for fiscal 2008, a decrease of 11% in U.S dollars.

Financial Services: $4,323 million, compared with $5,005 million for fiscal 2008, a decrease of 14% in U.S dollars.

Products: $5,530 million, compared with $6,069 million for fiscal 2008, a decrease of 9% in U.S. dollars.

Public Service: $2,984 million, compared with $2,871 million for fiscal 2008, an increase of 4% in U.S. dollars.

Resources: $3,880 million, compared with $3,963 million for fiscal 2008, a decrease of 2% in U.S. dollars.

Net Revenues by Geographic Region- Net revenues by geographic region for the full fiscal year were as follows:

Americas: $9,403 million, compared with $9,726 million for fiscal 2008, a decrease of 3% in U.S. dollars.

Europe, Middle East and Africa (EMEA): $9,904 million, compared with $11,546 million for fiscal 2008, a decrease of 14% in U.S. dollars.

Asia Pacific: $2,270 million, compared with $2,115 million for fiscal 2008, an increase of 7% in U.S. dollars.

Organisation Structure & Management

Organisation structure- a layout of the structure at Accenture has been given in fig 1.5 in appendix. Accenture delivers its services and solutions through 17 focused industry groups in five operating groups: Communications & High Tech, Financial Services, Products, Resources, and Government. Accenture's organisational structure also includes employee workforces: Consulting, Services, Enterprise, and Solutions. Accenture is a publicly traded company governed by a board of directors which has four standing committees: Audit, Compensation, Nominating & Governance, and Finance.

Board of Directors-

William D. Green- Chairman & CEO

Jo Deblaere- Chief Operating Officer

Pamela J. Craig- Chief Financial Officer

Kevin M. Campbell- Group Chief Executive-Technology

Gianfranco Casati- Group Chief Executive-Products

Martin I. Cole- Group Chief Executive-Communications & High Tech

Shawn Collinson- Managing Director-Industries & Market Innovation

Karl-Heinz Floether- Chief Strategy & Corporate Development Officer

Mark Foster- Group Chief Executive-Global Markets and Management Consulting

Robert N. Frerichs- Group Chief Executive-North America

Chikatomo Hodo- Country Managing Director and Geographic Unit Lead -Japan

Roger Ingold- Country Managing Director-Brazil

Adrian Lajtha- Chief Leadership Officer

Gong Li- Chairman-Greater China

Lori L. Lovelace- Executive Director-Office of the CEO

Harsh Manglik- Chairman & Geography Managing Director-India

Vicente Moreno- Country Managing Director-Spain

Pierre Nanterme- Group Chief Executive-Financial Services

Jeffrey Osborne- Chief Performance Officer

Donald J. Rippert- Chief Technology Officer and Managing Director-Technology

Stephen J. Rohleder- Group Chief Executive-Health & Public Service

David P. Rowland- Senior Vice President-Finance

Michael J. Salvino- Group Chief Executive-Business Process Outsourcing

Douglas G. Scrivner

Julie Spellman Sweet- General Counsel, Secretary & Chief Compliance Officer

Jill B. Smart- Chief Human Resources Officer

Sander van 't Noordende- Group Chief Executive-Resources

Roxanne Taylor- Chief Marketing & Communications Officer

David C. Thomlinson- Senior Managing Director-Geographic Strategy & Operations

Diego Visconti- International Chairman-Strategic Countries