mdic331 D2

Michael Dickson, mdic331

INFOSYS.110 BUSINESS SYSTEMS: DELIVERABLE 2: BUSINESS SECTION2014

Name Michael DicksonNetID Mdic331Group Number: 86Website Link: http://infosys110group86.blogspot.co.nz/

Tutorial DetailsTutor: Day: Time:Kayur Ramson Monday 3pm

Time Spent on Assignment: 19 hours Word Count: 1643


AUTOMATED COURIER WAREHOUSE INTRODUCTION

Anyone who has ever ordered a product online more than once would have run into

problems with courier companies. In most cases the problem is that no one is home to

receive the package when it is delivered during the day, forcing the courier to return it to

the warehouse. The problem with this is that most courier companies close their

warehouses early in the day, this makes it difficult for someone to pick up their package

after a long day of work. Our solution is quite simple and can be easily done using current

technology. Automating the entire warehouse using a combination of coneyor belt systems,

robotic arms capable of lifting packages, interactive reception machines and a simple

database system would remove the need for employees to be present, opening up the

opportunity for a system to operate 24/7. People will be able to pick up their package at any

time and will reduce the holding times for undelivered packages.

3. BUSINESS SECTION

3.1 Vision

We aim to optimize the courier delivery industry for the benefit of the consumer and the

business.

3.2 Industry Analysis: Automated Warehousing Tecnology Industry

Industry: Automated Warehousing technology industry.

Force: High/Low: Justification:

Buyer power: High Power power in this industry is fairly high. There

are multiple companies that produce the

technology that is used in this solution such as

Egemin Automation(1). This means the buyer of

this technology has many choices when

2


purchasing an automated system for their

warehouse.

Supplier power: Low Automated technology has become streamlined

over the years, making it easy to distribute this

kind of technology. This has resulted in

numerous companies developing this

technology, restricting their ability to dominate

the market.

Threat of new entrants: High As this technology has been around for years

there is no need for lengthy development

processes, making it easy for new companies to

enter the market and start producing system

using existing designs.

Threat of substitutes: Low The only subsitute to an automated warehouse

is one opearted my people. However these

human operated warehouse are incredibly

inefficient, making buyers choose the

automated system every time.

Rivalry among existing

competitors:

High Rivalry is high in an industry like this. Since the

technology is so simple and there isn’t much you

can develop in terms of technology, companies

in this industry a forced to compete on price.

The technology is reletively the same and the

only thing the buyer is concerned with is the

price.

3


Overall attractiveness of the industry: As a whole this industry is not overly attractive. The

competition between suppliers is high as a result of numerous companies cashing in on the

technology and the price being the focal point of competition. However it is a fairly easy

industry to get into as the technology is nothing new.

3.3 Customers and Their Needs

The customers for this solution is fairly obvious. Courier companies. As the customer of this

solution happens to be a business one of the major factors that concerns these companies is

the cost. As a business their sole purpose is to maintain a profit, so this solution need to be

cost beneficial to the courier company, either by installing a system that costs the same as

their current system, or by installing a system that reduces their costs entirely. The courier

company also requires a modular system that can be customized to suit their business,

rather than having a one size fits all system that never really works as well as the business

would like.

3.4 The Product and Service

This solution is capable of satisfying the majority of needs required by courier compaines,

especially the two listed above. Installing an automated system does exactly what the name

suggests, it automates things. Since this system is fully automated and controlled by a

computer system, there is no need for any employees and no need to pay costly wages and

salaries for warehouse worked. This factor on its own greatly reduces a significant portion of

a courier companie’s cost. On the other hand an automated system would require more

power to operate, so to counter this the system is capable of shutting down the majority of

its components during slow hours where a fully active warehouse is not required. The

modularity comes in the form of separate components such as conveyor belts and robotic

arms that can switched out based on the companies requirements, for example if a specific

courier business needs an arm capable of lifting heavier packages.

3.5 Suppliers and Partners

This solution makes good use of technology already in use, allowing for multiple suppliers to

provide the equipment required for this system package. Conveyor belt companies such as

4


Dunlop Conveyor Belting(2) can easy install the technology that has been used in

manufacturing warehouses for years. Industrial bobotic arms can be provided by companies

such as RobotWorx(3) to lift the packages for storage or for placing them on the conveyor

belts. As this solution is a system package, partnerships can be created with these

companies to allow for lisenced equipment to be used for each system installation, so that

the technology used in each installation is the same.

3.6 Strategy: Differentiation

The installation of a system like will not come cheaply to a customer as there is a lot of

machinery that needs to be purchased, all of which is of industrial quality and is designed to

be used in a company wide environment. However technology like this is very adaptable,

being controlled and monitored by the software in the system. This means the system can

be used for companies outside the courier industry as all that needs to be changed is the

software running the system.

The overall strategy is therefore Differentiation.

3.7 Value Chain Activity: Technology and Development

The most important value chain activity for this business is Technology and Development.

For a solution like this to work the majority of the work effort needs to be put into

Technology and development. While the mechanical technology does not need a huge

amount of development, the software side of the solution is where it needs to the most

attention. The business needs to put a lot of effort into making sure the software suits the

particular business the system is being intergrated into, otherwise the customer will feel as

though they received a generic software package.

3.8 Business Processes

3.8.1. PACKAGE INSTALLATION PROCESS

This process will be fairly simple and will assume deals with suppliers/partners are already in

place. Firstly the customer will place an order for a package, outlining their needs. The

business will then purchase the mechanical equipment from its partner/supplier to be used

5


for the install and will be handled by the acquisition department. The base software will be

modified to suit the customer’s needs based on their business type and shipped with the

equipment. The mechanical hardware and software will be installed into the customer’s

warehouse and computer system, and finally a demonstration of the system will be shown

to the customer and the payment will be received.

6


7


3.8.2. SOFTWARE ADAPTATION PROCESS

For this process the base software needs to be developed first, creating the majority of the needed features, this will be done by the technology and development department. The customer will place their order with the specific requirements they have, of which the R&D department will then modify the software to meet these requirements. The software will be installed onto the customer’s computer system and tested/demonstrated for the customer.

8


3.9 Functionalities

3.9.1. PACKAGE INSTALLATION PROCESS

Ability to modify system package. Practical demonstration

9


3.9.2. SOFTWARE ADAPTATION PROCESS

Modifiable for customer’s system. Can be modified by the user in the future.

3.10 Systems

3.10.1. CONTENT MANAGEMENT SYSTEM – This business will make significant use of content

management systems in order to manage the software development side of the business.

With information regarding the base software and what the customer desires gathered and

displayed within the same system, software developers in the business can easily

understand what needs to be done in order to create the final product for the customer.

3.10.2. CUSTOMER RELATIONSHIP MANAGEMENT SYSTEM – Creating and maintaining close

ties with the customer is a vital component of this business. Understanding what customers

have wanted in the past can help the business understand the sort of changes it may wish to

make in the future, and in the end profit from the loyalty of repeat customers.

3.10.3. OPPORTUNITY SYSTEM – Due to the flexibility of this solution, the business would

benefit from taking every opportunity it can, even from outside the courier industry. Having

a system analyse any potential customers will increase the possibility of increased profits

and further development of the technology backing this business solution.

10


3.11. Summary Table: Value Chain to Systems

Value Chain Activity

Processes Functionalities Specific Information System(s)

Broad Information System(s)

Bavarian

bergkase

fromage

queso

1. Package installation process

1. Ability to modify system package.

2. Practical demonstration.

Content management system

Customer relationship management system

Enterprise resource planning

Transaction processing system

2. Software

adaptation

process

1. Modifiable for customer’s system.

2. Can be modified by the user in the future.

Opportunity system Decision support system

11


CONCLUSION

Automating a courier warehouse using present day technology including conveyor systems

and industrial robotic arms will completely optimize the courier process as a whole, and will

be of great use to the customers of courier companies. For the courier companies

themselves, this use of information system technology not only imporved their relationship

with their customers, but also has the possibility of decreasing costs and improving the

overall efficiency of the business.

REFERENCES

(1) http://www.egemin-automation.com/en/automation/material-handling- automation_ha-solutions/automated-warehouse-systems

(2) http://www.dunlopconveyorbelting.com/corporate/company-information/ (3) http://www.robots.com/about

12

http://www.robots.com/about

http://www.dunlopconveyorbelting.com/corporate/company-information/

http://www.egemin-automation.com/en/automation/material-handling-automation_ha-solutions/automated-warehouse-systems

http://www.egemin-automation.com/en/automation/material-handling-automation_ha-solutions/automated-warehouse-systems

Documents

mdic331 D2