Developments in information technology and communications create new opportunities for firms to manage and build virtual teams. The teams are comprised of staff with unique skills, but located far from each other. Employees must collaborate in order to accomplish organizational tasks. Increasing competitive global environment drives e-business. Managers realize the importance of thinking beyond their firm’s boundaries of internal processes (Manzoor, 2010). However, there are challenges that organizations encounter when establishing, supporting, and maintaining e-commerce. Members and leaders of the teams face difficulties while selecting team members. Operations managers must get persons who have a balance of interpersonal and technical skills. It is important to have employees who have the ability to evaluate the performance of teams and individuals working in virtual spaces. Managers in the e-business movement face challenge while trying to move rapidly and adapt to new competitive forces of the e-commerce (Laseter & Rabinovich, 2012).
The growth of internet is today adding a new element and propelling a dramatic change in the marketing strategies. The Web provides a channel of distribution for producers reaching the end user directly. This marketing change is resulting to completely new retailers. These online stores have made an increase in demand and number of product users. Traditional retailers experience much pressure to have an e-commerce presence too. Suppliers are forced to adjust their delivery systems to a new model as well (Jones & Robinson, 2012). An effective e-business design and its implementation require operation managers to focus on four major issues. First, they must develop a corporate climate to adapt to the system; secondly, they must understand the expectations of customers. Thirdly, managers must analyze the capability of the firm in managing the information technology. Lastly, they must recognize the time frame for the changes to be made (Manzoor, 2010).
The most challenging issue is the adaptation of the organization to a new system. It requires managers to implement an organizational structure that can respond to buyers and suppliers anywhere and anytime. Employees must have a willingness to implement new policies for resolving channel conflicts between direct Web customers and current resellers. The management has to conduct an intensive research for new product opportunities. The niche markets made possible by on-line special communities must first be identified. Then the allocation of financial resources is availed to meet the new objectives. However, for firms seeking direct online sell have pragmatic issues they need to address. Marketing continues to be crucial, but has different challenges. Fraud is higher in cyberspace than in a traditional retail, and harder to detect. Therefore, the management has to provide security for their customers, and have the ability to determine if the sales are legitimate. New companies are coming up to address problems, but it means having the ability to understand the solutions they propose (Jones & Robinson, 2012).
The operations management of the company must ensure that e-business operations are running efficiently by using few resources. It should also be efficient in meeting online customer requirements. The operations managers must always shape and revise the strategies they use for a successful e-commerce. Tactical decisions must be made to support strategies to be top in the competition, while meeting the needs of the customers.
Companies are still in the initial stages of experiencing the complete impact of the e-commerce phenomenon. Organizations and teams face rapid changes in the e-commerce. Operations managers have to understand the needs and expectations of the clients first. Critical to the firm’s success is converting the organizational structure to the new challenge and the capacity of top managers to champion this change. The experience of the operations management to manage change and continue to meet stakeholder’s needs is an important skill for leaders and managers. Operations management has to deal with new different types of business management globally that is vastly changing. Managers have to retool and adjust their business to e-commerce.