Interaction of Electronic Commerce and Supply Chain Management - Insights from 'The Swatch Group'

Electronic Commerce (EC) and Supply Chain Management (SCM) are fundamental strategic concepts when businesses are forging links with their suppliers and customers. This article argues that both concepts are inherently different and complementary at the same time. To illustrate the deductive classification approach, a case study undertaken at ETA SA provided necessary empirical evidence. ETA SA, part of ‘The Swatch Group’, has redesigned the distribution of spare parts and movements to brand manufacturers by pursuing an integrated approach of EC and SCM. The article describes the interaction of SCM and EC as well as the critical success factors which came up in the project.