Chapter 4: Strategic Implications of Web Services

OVERVIEW

“Nothing will ever be attempted, if all possible objections must first be overcome.”
Samuel Johnson

“You are today where your thoughts have brought you. You will be tomorrow where your thoughts take you.”
James Lane Allen

In order to truly understand and appreciate the current and future business implications of Web services, it is critical to first start with a strategic perspective. Only once the strategic implications are fully understood is it possible to appreciate how Web services might fundamentally change the business model and day-to-day operational imperatives for corporations. This chapter explores Web services from strategic, business model, and value chain perspectives, demonstrating that the decision to invest in this emerging technology will have an impact well beyond the confines of the information technology organization. These implications will require firms to revisit organizational structures and operating processes, and in some instances, will redefine the fundamental premises upon which an organization is built.