RED AI - ODUcpi/old/cpi-f2007/redai/pres/final.pdfFinal Presentation December 10, 2007 2. Final Presentation December 10, 2007 4. Final Presentation December 10, 2007 5. Final Presentation

• RED AI– Introduction– Expert System

• Project Plans– Management Plan– Evaluation Plan– Marketing Plan– Funding Plan

• Road Map– Phase 0– Phase 1– Phase 2– Phase 3

• Summary

Final Presentation December 10, 2007 2




Have an inefficient restaurant


• $530 billion

• 900,000 restaurants

• 13 Million people employed

1. http://www.restaurant.org/research/ind_glance.cfmFinal Presentation December 10, 2007

WorkerWorker

WorkerWorker

WorkerWorker

WorkerWorker

WorkerWorker

WorkerWorker

Worker

8

http://www.restaurant.org/research/ind_glance.cfm

Manager orOwner

• 60,000 new restaurants each year

1. Based on new requests for business licenses 2007Final Presentation December 10, 2007 9

Manager orOwner

• $400,000 average cost

1. Business weekly (May 2007)Final Presentation December 10, 2007 10

Manager orOwner

menu

Staff

Customer Flow

Inventory


Manager orOwner

•60 % new restaurants fail in the first 3 years

• $14 billion lost

1. http://www.restaurant.org/research/ind_glance.cfmFinal Presentation December 10, 2007 12


Too much data

Confused Management

Inefficiency Failure

1. Business weekly (May 2007)Final Presentation December 10, 2007 13

Profit

StaffCustomer

flowMenu Inventory

Final Presentation December 10, 2007

ServiceEfficiency

MenuEfficiency

InventoryEfficiency

14

• Service Efficiency - Service potential of staff matches customer flow


• Menu Efficiency – menu items strategically priced to maximize profit

• Forecast Demand

• Price Strategically

• Highlight areas of potential profit


• Inventory Efficiency – minimize spoilage & lack of ready ingredients

• Optimize hi / low stock levels

• Construct appropriate staging / preparation plan



S

M

I

Output Manager orOwner

S C

I MInput

18


S

M

I

Output Manager orOwner

S C

I M

MAN

SIM

Import

19


Manager orOwner

Real World

Restaurant's Existing DB

20

Manager orOwner

menu

Staff

Customer Flow

Inventory


Manager orOwner

menu Staff

Customer Flow

Inventory


0

5

10

15

20

25

30

35

1100 1200 1300 1400 1500 1600 1700 1800 1900 2000 2100 2200

Nu

mb

er o

f

Time in hours

customer flow

Staff

1. EL Azteca, VA Beach (November 29, 2007)Final Presentation December 10, 2007

Under Staffed

Over Staffed

Over Staffed

23


• 63% of restaurants hire at least one efficiency expert over their life time

• Average cost for this service is $80,000

• Average Return on Investment is nearly $120,000

1. www.gecconsultants.com/restaurant_profit.htmFinal Presentation December 10, 2007 26

http://www.gecconsultants.com/restaurant_profit.htm






Restaurant Expert

• Maintain clear lines of communication between team members

• Mutual aid in the review of individual work

• Allow early identification of schedule hazards


• Online Meetings

– Sunday, Tuesday, Thursday @ 9pm

• Bull sessions

– Monday, Wednesday following class


• Assigned weekly

• Progress reported daily

• Project Schedule Maintenance

– Conducted on Wednesdays

• All weekly progress collaborated


Management Plan

Evaluation Plan

Funding Plan

Marketing Plan

Resource Plan

Staffing Plan Risk Plan


Main Deliverables

Time

Cost

Scope

Quality

Each phase’s main deliverables will be measured by each part of the cycle


• Independently-owned and non-franchised restaurants

• Why?– Do not have a tried and true model in place for

efficiently running a restaurant

• Number of:– 70 % of all restaurants are independent1

1. http://www.restaurant.org/research/ind_glance.cfmFinal Presentation December 10, 2007 37


• New restaurants (opened within the past 3 years)

• Why?– Relatively inexperienced and need assistance getting

off the ground

• Number of:

– 52 new restaurants opened daily in the United States


Non independent

30%

Competition7%

Target36%

Don't Want27%

Survey

1. http://www.surveysystem.com/sscalc.htm

2. http://www.restaurant.org/research/ind_glance.cfm

• 36% of 900,000 = 324,000 target restaurants.

•3% buy a one year contract = $1.2M per year income


http://www.surveysystem.com/sscalc.htm


• Pre-packaged solution

• Low price point


• $100 per month for use of our software

• Why?

– Affordable for target customer

o In comparison, hiring one more worker at minimum wage costs about $1,200 per month

– Low price point increases availability of our solution


-300

-200

-100

0

100

200

300

400

500

0 0.5 1 1.5 2 2.5 3Tho

usa

nd

s o

f D

olla

rs

Years After “On Shelf”

Revenue

Expense

Profit


• Grants.gov– Download Applications

– SBIR Grants

– Intelligent Systems Grants

– Specialty Coffee Grants

• National Science Foundation– Grant Proposals

– Application Guide

– SBIR Contracts


http://www.grants.gov/

https://apply07.grants.gov/apply/forms_apps_idx.html

http://www07.grants.gov/search/search.do;jsessionid=H1qLn0pv56lrVQd28ydxXyRmPbT3fThZDd5CCMMGVQLz2LJ2ks01!1866823308?oppId=15264&flag2006=true&mode=VIEW

http://www07.grants.gov/search/search.do;jsessionid=H1sRKMhHrVGJTQQKvM5Rb2p2Xrpq1TtJJ8p66TXgvkJ9jHz90dv6!1866823308?oppId=14972&flag2006=true&mode=VIEW

http://www07.grants.gov/search/search.do;jsessionid=H1sRKMhHrVGJTQQKvM5Rb2p2Xrpq1TtJJ8p66TXgvkJ9jHz90dv6!1866823308?oppId=14913&flag2006=true&mode=VIEW

http://www.nsf.gov/funding/

http://www.nsf.gov/pubs/policydocs/pappguide/nsf08_1/gpg_index.jsp

http://www.nsf.gov/publications/pub_summ.jsp?ods_key=grantsgovguide

http://grants.nih.gov/grants/forms.htm

• US Small Business Administration

– SBIR Overview

– SBIR Handbook

– Loan Eligibility

– SBA Loans

• US Department of Commerce

– Loans & Grants


http://www.sba.gov/

http://www.sba.gov/SBIR/indexsbir-sttr.html

http://www.sba.gov/gopher/Innovation-And-Research/SBIR-Pro-Prep/

http://www.sba.gov/services/financialassistance/eligibility/index.html

http://www.sba.gov/services/financialassistance/sbaloantopics/index.html

http://www.commerce.gov/

http://www.osec.doc.gov/osdbu/FAQ.htm

• Venture Capitalists & Angel Investor Groups

– nvca.org

– ventureworthy.com

– fundinguniverse.com

– usangelinvestors.com

– MIT Angel Report


http://www.nvca.org/

http://www.ventureworthy.com/

http://www.fundinguniverse.com/services/

http://usangelinvestors.com/funding.html

http://entrepreneurship.mit.edu/Downloads/AngelReport.pdf


Project ManagerAlexander Caulkins

Finance and DocumentationBrian Terribile

Marketing and Support

David Harris

HardwareMatthew Crainer

SoftwarePatrick Bourque


Phase 0

Choose Problem

Submit Project Ideas

Form group

research previous project

Prepare Individual

project Idea

Select best Idea

Feasibility

Competition Matrix

Organization Chart

MFCD

Risk Matrix

Marketing Research

Presentation

Milestone

WBS

Resources

Budget

Development Plans

Presentation

SBIR

Parse funding Plan

research document

extras

write

proof

submit

Final Presentation

combine presentations

trim the fat

add more content

proof

rehearse

present

Website

Design

Code

Prelim Publish

Publish Site

• We are the staff

• Used ODU CS Department Resources

• Had no budget






David Harris


Cluster ExpertJay Morris


AI Expert

Dennis Ray

DB ExpertIrwin Levinstein


Name Job Description Rate Days Cost

Alexander Caulkins Project Manager $28K/y 18 3,050

Brian Teriblle Documents and Finance $28K/y 28 7,970

David Harris Marketing and Support $28K/y 14 1,400

Matthew Crainer Hardware Engineer $28K/y 99 10,690

Patrick Bourque Software Engineer $28K/y 180 19,550

Jay Morris Cluster Expert $86K/y 11 3,040

Dr. Irwin Levinsten Database Expert $84K/y 7 1,940

Dennis Ray Artificial Intelligence Expert $81K/y 3 830

Total 48,4700

Name Description Price Quantity Cost

AI Cluster Cluster for AI testing 800 5 4,000

Terminals To access Cluster and Program 400 6 2400

Firewall Protect Server and Cluster 1200 1 890

Key / License Server Updating program 1,800 1 1,800

SW Licensing Windows 98se – Windows XP (+) 970 1 970

Total 10,370


Phase 1

Papers

descriptive / persuasive

specifications

test plan

user manual

SBIR II

research

extras

write

proof

submit

Prototype Requirements

research

write

proof

submit

Prototype I

hardware

software

AI

presentation

Prototype II

hardware

software

presentation


Item Cost Overhead (40%) Total

Hard $10,370 N/A $10,370

Staff $48,470 $19,390 $67,860

Total $78,230

$11,044.00

$5,824.00

$6,194.00

$29,694.00

$25,474.00 Papers

SBIR II

Prototype Requirements

Prototype I

Prototype II





David Harris

HR RepSales Account

Manager


Network IT


DB AdminSoftware Engineer

Prolog programmer

C++ programmer

Software Tester

AI Expert

Dennis Ray

DB ExpertIrwin Levinstein

Frontend Manager

Backend Manager



Brian Teriblle Documents and Finance $58K/y 2 500


Matthew Crainer Hardware Engineer Manager $73K/y 7 980

Patrick Bourque Software Engineer Manager $81K.y 175 54,700

Dennis Ray Artificial Intelligence Expert $81K/y 4 1,370

Dr. Irwin Levinsten Database Expert $84K/y 2 600

Sales Account Manager $62K/y 119 28,300

Software Tester $34K/y 35 4,570

C++ Programmer $67K/y 27 6,900

Prolog Programmer $56K/y 27 5,780

Software Engineer $76K/y 23 6,600

DB Admin $40K/y 18 3,890

Network IT $74K/y 30 7,970

Frontend Manager Expert $30K/y 44 5,070

Backend Manager Expert $32K/y 44 5,400

Total 219,370



AI Cluster Cluster for AI testing 4,000 3 12,000

Router To control the traffic in our network 800 1 800

Total 20,000


Phase 2

Infrastructure

HR

Marketing

SW

HW

Marketing Research

Product

Price

Placement

Promotions

Testing

Alpha

Beta

Potential Investors

Restaurants

Banks



Hard $20,000 N/A $20,000

Staff $219,370 $87,750 $307,120

Total $327,120

$63,800.00

$49,900.00

$80,410.00

$25,260.00

Infrastructure

Marketing Research

Testing

Potential Investors




Technical writer


David Harris

Corporate lawyer

TV Production


Phone TechAssembly Worker





Brian Teriblle Documents and Finance $58K/y 53 11,820


Matthew Crainer Hardware Engineer Manager $73K/y 31 8,700

Patrick Bourque Software Engineer Manager $81K/y 29 9,030

Technical Writer $53K/y 35 7,130

Corporate Lawyer $116K/y 23 10,000

Phone Tech $37K/y 21 3,000

Assembly Worker $29K/y 31 2,300

Advertising Roll up of TV and Internet costs $138/day 90* 6,500

Total 124,900


Web Server 2,500 1 2,500

Cost to make CDs 0.26 10,000 2,600

TV Production Roll up of all involved 1,000 1 1,000

Total 6,100


Phase 3

production

Build optimized version

Create CD

Create Package

Finalize website

Setup Phone System

Marketing

Retail

Internet

TV

Documents

end user contracts

Manual

SELL

Upload

Setup store back end

Product online

send to stores

product on shelf

Product launch event

production to implementation

analyze project

disband the extras



Hard $6,100 N/A $6,100

Staff $124,900 $49,950 $174,850

Total $18,0950

$33,290.00

$65,800.00

$27,880.00 $1,490.00

production

marketing

Documents

SELL

$78,230

$327,120 $180,950 Phase 1

Phase 2

Phase 3

Total Cost = $ 586,300


• We want your money

• We solve a problem

• We have the plan and the team to do it

• RED AI is the future of restaurants


• http://www.cs.odu.edu/~cpi/cpi-f2007/redai


http://www.cs.odu.edu/~cpi/cpi-f2007/redai




R E D A IRestaurant Efficiency Decision Artificial Intelligence