What does such confusion mean? Not surprisingly, online technology has exceeded our ability to understand and determine its real value within the broader and more meaningful context of a company's overall business objectives. There's no doubt the industry is enthusiastic about its collective online presence-but many companies have decided to take stock of their current e-commerce initiatives and consider some needed course adjustments.

Where does a decision maker begin? It doesn't matter how large a company's in-house e-business capability, budget, and staff are-a fresh, unbiased, outside perspective often is the quickest and most cost-effective way to evaluate a company's existing e-business program. Outside e-business consultants are free from a commitment to a company's existing e-business scheme, meaning they provide objective analysis and make unbiased recommendations. Given their experience with multiple clients, often in multiple markets, outside consultants are capable of bringing a range of hands-on experience to bear-experience usually unavailable in-house. They can often create a new game plan for a more successful deployment of existing in-house staff. The result: fixing, not scrapping an existing e-business program.

Before selecting an e-business solutions provider, you need to engage in a thorough analysis of their existing e-business activity. You need to be objective; you need to determine your actual e-business needs. Many companies think they want tactical solutions-such as enhanced enterprise resource planning-when all they really need is overall e-business strategy.

Looking for Mr. Right

E-business success requires that you deal simultaneously with technical and business challenges. Full integration is the only long-term solution. You can't delay that while you wait for “better systems.” A broad e-business strategy results in more efficient business processes and better information about customers, suppliers, and internal operations.

But does acknowledging these realities mean that Web-site designers are less important than e-business strategists? If a Web site re-design is all you really need, graphic designers-sans MBAs-might be the vendors of choice. If your design and technical solutions are a clear part of your e-business strategy, go for providers with a demonstrable range of skills. That means looking for e-business strategy, design, and technical solutions bundled together.

The problem for IT managers (and related decision makers) is in selecting the right vendor from among the Web developers, system integrators, business process specialists, management consultants, ad agencies, consumer marketing agencies, and VARs all claiming to offer the optimum e-business solution. Here are some fundamental considerations in evaluating e-business solution providers:

o Select a provider that understands your existing systems and procedures, and can integrate what you've got off line with what you want to achieve online. The key word here is “seamless.”
o If you're looking for technical help for creating an e-business strategy, look for a vendor that stresses the importance of high-level strategic e-business advice. Look for a vendor with a track record of providing specific, e-business, technical solutions as part of having analyzed, established, enhanced, and implemented an e-business strategy.
o Prospective providers of e-business strategy need to explain how an online presence will create value and profit. They need to identify what infrastructure investments will be necessary to turn vision into reality. Don't settle for generalizations.
o Prospective e-business solution providers should explain how a company's information infrastructure and allocation of resources must change in relation to pursuing e-business objectives. Too many decision makers think engaging a solutions provider means not having to allocate management time. Wrong. Remember there can be no real gain without undergoing infrastructural and cultural change. Anything less is merely cosmetic.
o Prospective providers of e-business strategy need to review a company's existing e-business objectives to identify (or at least validate) existing e-business opportunities. E-business objectives may be sound, but if the company hasn't identified opportunities, fundamental reassessment is in order. You'll need an e-business consultant able to span the gap between correctly identifying e-business opportunities and defining corresponding objectives. Only then does selecting and implementing specific solutions make sense.
o There may not be a silver bullet for all your e-business needs. Sometimes incremental improvements such as more effective pre-sale lead gathering or post-sale customer service make the most meaningful difference.

In the Know

What about only relying on providers of e-business solutions that have actual experience in the insurance industry? While knowledge of the industry may help, the fast moving e-business world shares more similarities than dissimilarities across markets. The in-depth experience and seasoned judgments of leading e-business solutions providers aren't easily confined to one market niche.

You want out-of-the-box thinking? Then go out of the box. Be open to innovators and leading providers of e-business solutions wherever you find them-even if that means engaging the services of an out-of-town vendor. Don't settle for the wrong provider of e-business solutions just because it's local.

Whatever your e-business strategy, it must support, not contradict, your company's overall business objectives. Before beginning a reassessment of e-business activities, initiate a dialog among corporate IT, marketing, and other relevant departments-and include your newly engaged e-business solutions provider. Keeping in mind the company's business objectives, decision makers need to evaluate existing (or prospective) e-business activity as an integrated component in fulfilling those goals. The result should be integration and reconciliation of e-business and non-e-business objectives.

Granted, evaluating the value of your e-business activity is complex. Return on investment was once the crucial factor in corporate decision-making when it came to technology. Today, the drivers are changes in business models, business processes, and attempts to maintain or extend market share. Identifying and measuring payback isn't easy, but the following areas are a measure of the effectiveness of both your e-business presence and your e-business provider:

o Taking the initiative to enhance customer and supplier relationships and to identify new business opportunities
o Focusing on business growth more than cost reduction
o Supporting customer profiling as a basis for personalization, e-marketing and e-merchandising
o Moving quickly to update Web sites
o Planning for systems failures…and graceful recoveries.

An optimum e-business program, especially the Web site, must always be a work in progress. Optimizing e-business opportunities requires a company culture that understands the perpetually unfinished reality of the e-business experience. Success demands managing a company's e-business commitment as a process, not an event. The best outside providers of e-business solutions can help establish and implement a process-centered e-business management that assesses a company's needs and translates that knowledge into practical and cost effective e-business solutions. Don't settle for anything less.

E This, E That — Know the difference between e-business and e-commerce

E-business-Using Internet-related technologies in any collaborative business activity, including sales, marketing, purchasing, human resources, procurement, and supply-chain management.

E-commerce-A subset of e-business activities related to marketing and selling products or services. These activities include building and managing customer-facing Web sites, conducting personalized marketing campaigns via the Web or e-mail, and capturing and processing sales orders.

Industry Web Sites Worth Checking Out

Bayview Financial (www.commercial-money .com): This site features an automated commercial loan application process and gives prospective clients the ability to estimate loan interest rates based on a series of variables.

Horace Mann Insurance (www.horacemann.com): Webcasting on this site permits visitors to see and hear recorded company presentations.

ATradeUSA.com (www.atradeusa.com): A multitude of interactive financial tools makes this site a helpful financial planning center.

George Szymkiewicz is founder of Desktop Innovations (www.desktopinnovations.com), a provider of strategic e-business and e-site management consulting, design, implementation, and follow-on services.