``Missing Link'' Blamed for E-business Failures; Fundamental Processes Often Overlooked, Can Be A Fatal Mistake.

Business Editors & High-Tech Writers

DALLAS--(BUSINESS WIRE)--April 11, 2000

In the mad dash to "webify" their businesses, companies are often overlooking a key factor to success -- or failure.

According to Josh Ridker, this key factor is the "linking" of technology to flexible processes. Ridker is the director of eBusiness Development for Thomas Group, Inc. (Nasdaq:TGIS).

"Companies will pour many millions of dollars into creating a powerful technology 'engine,' but then fail to connect it to the 'wheels' -- the operational processes that must provide forward momentum," says Ridker. "Linking and interfacing processes across a company's entire value chain is what e-business is all about. But, to be successful, the internal processes must fully support the access, yet be virtually transparent. It is absolutely essential to optimize these processes first, then add technology as an enabler."

In order to maximize the cost savings and advantages of doing e-business, Ridker advises companies to first ask two questions. "Do we have the right business processes mapped out to accelerate 'e-results?'" and "Which processes, when 'e-enabled,' will give us the competitive edge?"

Ridker bases his observations on his experience at Deloitte/DRT Systems and CGI. He joined Thomas Group in 1999 to help launch the company's eOperations initiative, providing e-business solutions. Thomas Group is a world-leading consultancy focusing on operations improvement.

Supporting Ridker's position is a September, 1999 study from research firm Gartner Group which reported that, "A full 75 percent of all e-business projects will fail due to poor planning and unrealistic expectations." Another 1999 e-business survey by PRTM stated that only 7 percent of e-business initiatives have been "very successful," while 25 percent of e-business initiatives were described as "disappointing."

"Many companies are disappointed because they have unrealistic expectations, based on the belief that technology is THE solution," says Ridker. "Many e-businesses have invested heavily on the front end of e-commerce, with less concern on the back end for fulfillment processes. Because Thomas Group is now being invited to help with digital strategy and operations improvement in parallel with the technology implementation, we can execute a solution at 'e-accelerated' speed and ensure customers achieve their business objectives." In recent months, Thomas Group has announced a number of strategic alliances with technology providers, in order to provide seamless implementation.

Commenting on Thomas Group's unique approach to successful e-business, J. Thomas Williams, president and CEO said, "E-business is really about process, results, linkage and optimization--things that Thomas Group has been focusing on for the last 20 years. Based on this experience, Thomas Group is well equipped to become the best choice for companies that understand that the power of new technology must be linked to new-and-improved processes to produce maximum results."

Thomas Group, Inc. is an international, publicly traded professional services firm (Nasdaq:TGIS). Thomas Group focuses on improving operations, competitiveness, and financial performance of major corporate clients through process improvement, and by strategically aligning operations with technology. Recognized as a leading specialist in operations consulting, Thomas Group creates and implements customized improvement strategies for sustained performance improvement. Thomas Group, known as The Results Company(SM), has offices in Dallas, Detroit, Frankfurt, and Singapore. For additional information please visit the company on the World Wide Web at www.thomasgroup.com.