Author(s): Steve G Sutton, Georgia Smedley, Vicky Arnold
The purpose of this discussion paper is to explore the contemporary business model that has arisen with the advent of B2B e-commerce s ystems in order to better understand the improvements needed in the financial reporting mode l. The contemporary business model has relegated the enterprise-centric view of corporate competition and the current financial reporting model to insignificance in many instances. Rather, today’s business environment is one dominated by competition between supply chains with an organization’s success ultimately hinging on the viability and success of its supply chain partners as much as, or more than, enterprise-centric policies and decisions. As a res ult, these highly integrative systems connect supply chain partners in a manner that is more tigh tly coupled than most consolidated entities. Still, the current financial reporting model fails to even minimally capture the complexity of this new reality. This discussion paper provides the fou ndation for elaborating on a detailed discussion of how this business model could be more accurately captured through an enhanced business reporting model.