Harley-Davidson, Identifying Ebusiness Risks

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Harley-Davidson, Inc: Identifying eBusiness Risks and Related Assurance Services for the eBusiness Marketplace. Copyright © 2006 by Pearson Education, Inc., Upper Saddle River, NJ 07458. TABLE OF CONTENTS Risks Involved For Harley Davidson Since Integrating E-Business Into Its Supply Chain Management System 2 Internal Controls Which Harley Davidson Can Implement To Mitigate The Risks Identified And How Best Can These Controls Be Audited 5 Business Risks For The Harley Davidson’s Business Partners Due The Company’s E-Business System 6 Likelihood Of Impact Of E-Business On This Year's Audit At Harley Davidson: A Memo From The Audit Manager 8 References 14 RISKS INVOLVED FOR HARLEY DAVIDSON SINCE INTEGRATING E-BUSINESS INTO ITS SUPPLY…show more content…
Business risks As stated by Miller and Engemann in their paper, business needs can be defined as [Quote], “The risks concerning customer and supplier relationships or the risks associated with products and services marketed and distributed over the Internet.” [Quote] (Miller, Engemann, 2009) • E-business systems need constant maintenance and continuous up gradation. Hence e-business portal at Harley Davidson has to be under constant maintenance, otherwise there is a risk of company’s e-business system coming to a standstill. • E-business systems deployment and operation requires considerable level of expertise for which the company has made huge investment in its employees. However Harley Davidson has to take into account the impact on business due to intellectual property lost due to employees moving to competitors • Other business risks might arise due to a change in supplier or customer relationship. The issues like data access, data ownership, distribution strategy and marketing information will arise with the change in business relationships (Miller, Engemann, 2009). • As Harley Davidson moves towards the e-business model, it will become completely dependent on internet and online systems for its operation. There is no backup mechanism and this exposes over dependence on Internet service provider for running the business • Harley Davidson claims that the new e-business model has been sufficiently integrated with its

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