Objectives of knowledge management

1 
Digital channel strategy. The development of a clear strategy, including situation analy-
sis, goal- setting, identification of key target markets and audience, and identification of 
priorities for development of online services.
Table 5.3
A stage model for digital business development
1 Web presence
2 E‑commerce
3 Integrated 
e‑commerce
4 Digital business
Services available
Brochureware or 
interaction with
product catalogues
and customer service
Transactional 
e‑commerce on buy‑ 
side or sell‑ side
Buy‑ and sell‑ side 
integrated with 
enterprise resource 
planning (ERP) or 
legacy systems. 
Personalisation of 
services
Full integration 
between all internal 
organisational 
processes and 
elements of the value 
network
Organisational
scope
Isolated 
departments, e.g. 
marketing department
Cross‑ organisational
Cross‑ organisational
Across the enterprise 
and beyond 
(‘extraprise’)
Transformation
Technological 
infrastructure
Technology and 
new responsibilities 
identified for 
e‑commerce
Internal business 
processes and 
company structure
Change to digital 
business culture, 
linking of business 
processes with 
partners
Strategy
Limited
Sell‑ side e‑commerce 
strategy, not well 
integrated with 
business strategy
E‑commerce strategy 
integrated with 
business strategy using 
a value‑ chain approach
Digital business 
strategy incorporated 
as part of business 
strategy
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Part 2
Strategy and applications
Figure 5.7
Summary applications of a portfolio analysis for an example B2B 
company
High
Future 
strategic importance of
information systems
Low
Electronic catalogue
E-commerce system
Customer intelligence
and CRM systems
High potential
(Beware)
•
•
•
HR systems
Finance systems
Support
(Safe)
•
•
Procurement system
Stock control system
Distribution systems
Strategic
(Attack)
•
•
•
Production line systems
Key operational
(Explore)
•
Low
High
Current
 strategic importance of
information systems
2 
Online customer acquisition. Strategies for gaining new customers online using alterna-
tive digital media channels (shown in Figure 1.7), including search engine marketing, 
partner marketing and display advertising.
3 
Online customer conversion and experience. Approaches to improve online service 
levels and increase conversion to sales or other online outcomes.
4 
Customer development and growth. Strategies to encourage visitors and customers to 
continue using online services using tactics such as email marketing and personalisation.
5 
 Cross- channel integration and brand development. Integrating online sales and service 
with customer communications and service interactions in physical channels.
6 
Digital channel governance. Issues in managing e-commerce services such as structure 
and resourcing, including human resources and the technology infrastructure such as 
hardware and networking facilities to deliver these applications.