It is a part of the intranet of an organisation. This communication network is based on internet protocols (TCP/IP). Extranet’s job is to provide the firm’s customers and trading partners controlled access to its intranet. Therefore, extranet is a private network that shares operations and internal information of a firm securely with some authorized people that are not directly a part of the firm.
Few benefits of extranet are provided below:
- Extranet acts as a single interface between a company and its trading partners.
- It helps improve customer service as it provides a platform to customers for resolving their complaints and queries.
- It helps the company in automation. For e.g., when the inventory levels drops, it automatically places a new order.
- It reduces paperwork for the firm since it allows the firm to share information with its trading partners online.