Technical

ONDC for Business Owners: How It Operates and How to Leverage It

Open Network For Digital Commerce(ONDC)

The Open Network for Digital Commerce (ONDC) is an initiative by the Government of India aimed at democratizing the digital commerce landscape. It seeks to create an open, interoperable network that enables buyers and sellers to connect and transact across various platforms, enhancing the reach and capabilities of small and medium enterprises (SMEs).

ONDC represents a significant shift towards a more inclusive and competitive digital commerce ecosystem, providing numerous opportunities for business owners to grow and thrive in the digital age.

How ONDC Works

  1. Interoperability: ONDC creates a standardized protocol that allows different e-commerce platforms to communicate with each other. This means a seller on one platform can reach buyers on another without the need to list their products on multiple sites.
  2. Decentralization: Unlike traditional e-commerce models dominated by a few large players, ONDC promotes a decentralized approach where multiple smaller players can compete and collaborate.
  3. Open Network: By operating on an open network, ONDC ensures that all participants adhere to a common set of standards, fostering trust and transparency.
  4. Inclusivity: It aims to include various sectors and regions, helping businesses in rural and urban areas to connect with a wider audience.
  5. Seller – Get an equal opportunity to compete with large market players and become discoverable online.
  6. Buyers – Enjoy a seamless shopping experience from a wide assortment of products across categories in a single checkout experience.
  7. Tech Companies – Rapid adoption of products and services and achieving scale in go-to-market efforts.
  8. FinTech – Provide credit and financing solutions to all entities engaged in e‑commerce.

Benefits for Business Owners

  1. Expanded Reach: Businesses can access a larger customer base across different platforms without needing to individually integrate with each one.
  2. Cost Efficiency: By reducing the need for multiple listings and integrations, businesses can lower their operational costs.
  3. Increased Competition: ONDC levels the playing field, enabling smaller businesses to compete with larger players.
  4. Better Visibility: SMEs and local businesses can gain visibility and attract customers who prefer using different e-commerce platforms.
  5. Simplified Logistics: The network can facilitate better logistics and supply chain management through standardized protocols.

How Business Owners Can Use ONDC

  1. Joining the Network: Businesses can join the ONDC network by registering through participating e-commerce platforms or service providers that are integrated with ONDC.
  2. Listing Products/Services: Once registered, businesses can list their products or services on the ONDC network, making them accessible to buyers across various connected platforms.
  3. Leveraging Digital Tools: Utilize digital tools and services offered by ONDC partners to enhance their online presence, manage inventory, and process payments.
  4. Collaboration and Partnerships: Businesses can collaborate with other network participants, such as logistics providers and payment gateways, to streamline operations.
  5. Customer Engagement: Engage with customers through the network’s communication tools, offering better customer service and personalized experiences.

Why has India initiated this revolution?

India has been a world leader in demonstrating the successful adoption of digital infrastructures at the population scale, such as UPI, AADHAAR, and more. ONDC (Open Network for Digital Commerce) is yet another tech-based initiative to transform the way e-commerce functions in the country by enabling e-commerce through an open protocol based on open-source specifications.

The initiative will not only facilitate the rapid adoption of e-commerce but also boost and strengthen the growth of startups in India. By facilitating scalable and cost-effective e-commerce through the open protocol, ONDC will empower startups to grow collaboratively.

Conclusion

In India, more than 12 million sellers earn their livelihood by selling or reselling products and services. However, only 15,000 of these sellers (0.125% of the total) have enabled e-commerce. E‑retail has been out of reach for the majority of sellers, especially from small towns and rural areas.

ONDC recognises the unique opportunity to increase e‑retail penetration from the existing 4.3% to its maximum potential in India. Our mission is to dramatically increase e-commerce penetration in the country by enabling population-scale inclusion of all types and sizes of sellers.

For any other details about ONDC or any custom ONDC solution development, you can contact us at info@simplileap.com and our team will be happy to assist you. We will also be covering technical concepts of ONDC development in our blog series on ONDC.

Architecture and Design Traceability Analysis

Activity Accountable Details/Steps/Tasks
a) Identify Traceability Links System architects, V&V engineers i. Establish traceability between System Design Document (SDD) and System Requirements Specification (SRS).
ii. Ensure each design element is mapped to a corresponding requirement.
iii. Identify missing or redundant links in traceability.
b) Perform Bi-Directional Traceability Check V&V engineers, QA team i. Verify that no requirements are omitted or designed more than once.
ii. Ensure no extraneous design components exist.
iii. Confirm that each requirement is fully satisfied by at least one design element.
c) Evaluate Design Consistency & Accuracy System architects, Compliance team i. Assess the correctness, consistency, and completeness of the design.
ii. Validate the technical relationship between design elements and requirements.
iii. Identify and resolve conflicts or ambiguities in traceability.
d) Document & Approve Traceability Report Verification team, Project lead i. Document traceability results, including identified gaps or inconsistencies.
ii. Ensure all necessary design relationships are justified and necessary.
iii. Finalize the report for review and approval.

Architecture and Design Traceability Analysis

Activity Accountable Details/Steps/Tasks
a) Identify Traceability Links System architects, V&V engineers i. Establish traceability between System Design Document (SDD) and System Requirements Specification (SRS).
ii. Ensure each design element is mapped to a corresponding requirement.
iii. Identify missing or redundant links in traceability.
b) Perform Bi-Directional Traceability Check V&V engineers, QA team i. Verify that no requirements are omitted or designed more than once.
ii. Ensure no extraneous design components exist.
iii. Confirm that each requirement is fully satisfied by at least one design element.
c) Evaluate Design Consistency & Accuracy System architects, Compliance team i. Assess the correctness, consistency, and completeness of the design.
ii. Validate the technical relationship between design elements and requirements.
iii. Identify and resolve conflicts or ambiguities in traceability.
d) Document & Approve Traceability Report Verification team, Project lead i. Document traceability results, including identified gaps or inconsistencies.
ii. Ensure all necessary design relationships are justified and necessary.
iii. Finalize the report for review and approval.

Architecture and Design Interface Analysis

Activity Accountable Details/Steps/Tasks
a) Define Interface Analysis Scope System Architects, V&V Engineers i. Identify all software, hardware, and operator interfaces.
ii. Establish correctness, consistency, completeness, and accuracy criteria.
iii. List all data exchanges and interaction points.
b) Analyze Data Flow and Integrity V&V Engineers, Software Designers i. Verify that input and output data items are used correctly.
ii. Ensure system resources (e.g., memory, processing) are optimally utilized.
iii. Check if data transfers are consistent with design expectations (e.g., call-by-value vs. call-by-reference).
c) Evaluate User Interface Design UI/UX Designers, QA Team i. Assess interface understandability and user-friendliness.
ii. Verify that the software provides appropriate error handling and user guidance.
iii. Ensure accessibility and usability standards are met.
d) Validate Interface Implementation & Prototyping Software Developers, Test Engineers i. Confirm that critical interfaces (e.g., user interface) are implemented as per requirements.
ii. Test prototypes independently to verify correctness and expected behavior.
iii. Ensure proper configuration management of all interface components.
e) Identify Redundant or Missing Interfaces System Architects, V&V Engineers i. Determine if unnecessary interfaces exist and eliminate them.
ii. Identify missing critical interfaces and recommend corrective actions.
iii. Ensure all essential system interactions are accounted for.

 

 

 

Component Test Plan and Design

Activity Accountable Details/Steps/Tasks
a) Define Component Test Scope Test Engineers, Software Developers i. Identify software elements (units, modules, components) to be tested.
ii. Establish correctness, performance, and accuracy criteria.
iii. Determine test boundaries and stress conditions.
b) Develop Test Cases and Procedures Test Engineers i. Create detailed test cases based on design requirements.
ii. Define expected outputs for various input conditions.
iii. Ensure edge cases and error conditions are covered.
c) Assess Timing, Sizing, and Performance Performance Test Engineers i. Measure component response times and resource usage.
ii. Validate performance under different load conditions.
iii. Identify bottlenecks and areas of improvement.
d) Execute Tests and Capture Results QA Team, Test Engineers i. Run test cases in a controlled environment.
ii. Document test execution results.
iii. Log and report any defects or anomalies.
e) Evaluate Test Coverage and Reliability Test Engineers, Software Architects i. Verify adequacy of test coverage.
ii. Ensure software reliability and maintainability.
iii. Iterate test plans if required.

 

 

Integration Test Plan and Design

Activity Accountable Details/Steps/Tasks
a) Define Integration Test Scope System Architects, Test Engineers i. Identify software sub-elements, interfaces, and integrations.
ii. Establish functional and performance requirements.
iii. Plan test strategy for incremental integration.
b) Develop Integration Test Cases Test Engineers i. Create test cases covering different integration scenarios.
ii. Validate interactions between components.
iii. Define expected system behavior.
c) Assess System Timing, Sizing, and Accuracy Performance Engineers i. Measure timing and response consistency.
ii. Validate data integrity between integrated components.
iii. Ensure accuracy of transactions and data exchanges.
d) Perform Stress and Error Condition Testing QA Team, Test Engineers i. Simulate boundary conditions and stress scenarios.
ii. Evaluate system stability under extreme conditions.
iii. Log issues and recommend fixes.
e) Validate Overall System Reliability Test Engineers, System Architects i. Assess functional coverage and error handling.
ii. Ensure system-wide reliability and maintainability.
iii. Review test results and update test strategy if needed.

System Test Design

Activity Accountable Details/Steps/Tasks
a) Define System Test Objectives Test Architects, System Engineers i. Identify functional, performance, security, and user acceptance criteria.
ii. Align system tests with business and technical requirements.
iii. Define system test scope and boundaries.
b) Develop System Test Cases Test Engineers, QA Team i. Create test cases covering end-to-end workflows.
ii. Validate system behavior under normal and edge conditions.
iii. Include regression tests for major functionalities.
c) Design Performance and Stress Tests Performance Engineers i. Define load and stress scenarios to assess system scalability.
ii. Simulate peak user load conditions.
iii. Measure response time, system resource usage, and failure recovery.
d) Validate Security and Compliance Security Analysts, Compliance Officers i. Perform penetration testing and vulnerability scans.
ii. Ensure compliance with industry security standards.
iii. Test system access controls and data protection measures.
e) Execute Test Cases and Capture Results QA Team, System Engineers i. Run test cases in a controlled environment.
ii. Log test results, defects, and system behavior anomalies.
iii. Generate test execution reports for analysis.
f) Assess System Readiness and Acceptance Product Managers, Stakeholders i. Validate system stability, usability, and reliability.
ii. Perform user acceptance testing (UAT).
iii. Ensure system meets deployment readiness criteria.

Author

Shivraj Patil

Shivraj Patil is a versatile full-stack developer with expertise in JavaScript, React.js, Node.js, and blockchain crypto technology etc. Specializing in payment APIs and crypto integrations, they handle secure transactions across assets. With strong backend skills in PostgreSQL and performance testing, they also create seamless frontend experiences. Known for solving complex technical challenges and integrating real-time systems, Shivraj Patil is dedicated to delivering high-quality, scalable solutions.

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