1
INFOSYS.110 BUSINESS SYSTEMS
DELIVERABLE 2: BUSINESS SECTION
2014
Name Kaiyue Zheng
NetID kzhe059
Group Number: 327
Website Link: http://infosys110groupxxx.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Mira Lee Friday 11am
Time Spent on
Assignment:
30 hours Word Count: 1586
2
2
SMART FRIDGE EVER- ROTNOT
INTRODUCTION
Food wastage is a very common problem that occurs around us every day. As for the
environment, food wastage can lead to loss of natural resources such as water, energy
which are used during the food cycle. It also produces greenhouse gas that is produced by
food wastes in landfill. The Smart fridge Rot Not is designed to avoid food wastage. It is a
fridge that contains a reminder system and chemical scanning system that helps to alarm
people when the food is about to expire.
3. BUSINESS SECTION
3.1 Vision
The vision is to eliminate the waste of food, and to provide a better environment for
everyone.
3.2 Industry Analysis:
Industry: Smart refrigeration appliances industry.
Force: High/Low: Justification:
Buyer power: Low Customers only have three choices, one is our
smart fridge and the other two are the Samsung
Digital display refrigerator and the LGs Smart
ThinQ. (LG, 2013 and Samsung, 2013)
Supplier power: Low RotNot will buy all different parts of the fridge
through different suppliers and assembles the
fridge by our own factory. This variation of
suppliers can largely decrease the supplier power.
Threat of new entrants: Low Entry barriers are high as people have to be
3
3
strategic about the Smart Fridge and skills are
needed as a using guidance.
Threat of substitutes: Low There is not much alternatives products that have
the same functionality in comparison to the
RotNot. As the RotNot is a new innovation, it is
new to the market; therefore the substitutes
products are few. (Aron, 2014)
Rivalry among existing
competitors:
Low The RotNot Smart Fridge has only one
competitor, the Samsung display refrigerator. The
RotNot is more convenience than Samsung,
because we do not need to enter the information
into the system each year.
Overall attractiveness of the industry: The overall attractiveness of the smart refrigeration
appliances industry are high as the five forces of the industry are low and the chance of
making profits are significant. The RotNot has not only a competitive advantage, but also a
first-mover advantage as the RotNot will be the first Smart Fridge ever that is able to
determine the degree of food freshness by scanning the chemical substances of the food.
3.3 Customers and Thei r Needs
The RotNot focuses on those people who are busy at work, also for those people who
often buy bulks of food every week. Due to the lack of awareness and shopping planning,
and the confusion about best before and used by date labels. A lot of food ended up
being rotted or expired. Customers need RotNot for daily life, as this fridge will keep track
of the food every day, if it close to the expiry date, it will remind you as soon as possible.
RotNot provides convenience and reliability for everyone. Also helps people to avoid the
food wastages. (Health of food waste, 2014)
3.4 The Product and Service
The main functionality of RotNot is scanning the foods chemical substances through a
scanner designed within the fridge. This will analyse when the food is going to expire from
4
4
the database during the scanning process. This process will be carried out automatically
every 2 hours. However, users can change to their prefer scanning period during the setting
function. When the analysing process is done, the screen on the fridge will show a coloured
number next to a coloured name. The name indicated the food products name, and the
number indicated the number of days until the food is expire or rotten. The screen will flash
by a red light to give the user a warning when the food is 3 days away being rotten or
expired. All the functions above can be personalized by the users as everyone has different
necessities. RotNot is a super convenience innovation that has appears in the market, it
will help people to keep on track for the foods expiry date, which will decrease the daily
waste, which will decrease the loss of food resource, also will save peoples money.
3.5 Suppliers and Partners
Suppliers :
SCIO is a scanner harnessed the power of chemistry to figure out everything in the food. The
Consumer Physics company can offer RotNot the scanner which to scan the substance in
the fridge and then indicates to the user about the condition of the food. (Consumer Physics,
2014)
Samsungs product always is good quality; therefore it can offer the screen to RotNot
which put on the fridge door. (Samsung, 2014)
Partners:
Fisher&Paykel is manufacturing in New Zealand, RotNot can collaborate with them to
manufacture the fridge. We both aimed to challenge conventional appliance design to
consistently deliver products tailored to human needs. (Fisher& Paykel, 2014)
The other partner has been considered is government. Because we both aimed to reduce
household food wastages. Food wastages have a negative impact on the environment and
economy, as well as the loss of food resources. The government can help RotNot to raise
the fund for R&D, if the fund is successful, then not only RotNot has sufficient fund to
operate the plan, it will also be a contribution to the country.
5
5
3.6 Strategy: Smart fri dge with reminder system
RotNot overall strategy is cost leadership. The cost strategy is focusing on low cost due to
working with Consumer Physics enables us to skip the most expensive and difficult process
which is technology development process. The cost for manufacturing the fridge will not be
high. Low cost production will allow us to offer the products at a lower price compare to
other existing smart fridge which sell at about $4000 to $6000. RotNot possibly be priced at
around $1000 to $2500 since we design to put the scanning and remaining process within
the fridge rather than combined the apps to the fridge. We target the broad market as most
households and companies use fridge and RotNot is affordable and convenience for
everyone.
3.7 Value Chain Activity:
The value chain activity RotNot considers the most significant is, market and sell the product,
as our vision is about the result of reducing the food wastages. Marketing the product
requires advertising our new innovation to consumers; introduce the benefits that RotNot
will bring to them. Sell the fridge to our customers is therefore a priority.
3.8 Business Processes
3.8.1 CUSTOMERS ORDERING PROCESS This process is essential to RotNot" because it is the
core process that allows our business to generate profit. Customer ordering process check
the availability of the inventory stored in the warehouse. It wills generates a picking ticket
and prints customer invoices. It is easy to access customer by either customer name or
number.
6
6
Cancel order? Order canceled YES
Start processing order
Pay by credit or
PO?
Submit PO PO
Enter order detail
and credit details.
CREDIT
Receive invoice
Receive
confirmation Email
END
Sales department check
the availability of the
inventory
Repot to the manufacture
department to
manufacturing more product
Products deliver to
customers
Available
Not enough
Inventory
Manufacturing
Packaging
3.8.2. FEEDBACK COLLECTI ON PROCESS This process is important to RotNot, because
customer relationship management is imperative to ensure that the customer continues to
use our products. Obtaining and collecting the feedback allow us to make sure that the
fridge is maintaining the customers need and interest, and enable us to know whether
there is an issue in the fridge or not.
7
7
start
1 month after customer purchase the fridge,
the fridge prompts users for feedback
Users answer various question
Once customers complete the feedback, the email
will automatically send to customer support Email
Customer support
Customer support analyses the feedback and
send a report to technical support
Technical support
identifies if there are
scanning errors within the
fridge or other issues
Technical support
investigate further
and analyses the
issues
YES
RotNot improve the
relationship with
customers through
the feedback
process
NO
Technical support
report to the
manufacture
department to fix to
problems
New products
delivered to the
customers
END
Manufacturing Department
Research & Development
3.9 Functionalities
3.9.1. CUSTOMERS ORDERING PROCESS
Place the customers order
Sell the products to the customers
8
8
3.9.2. FEEDBACK COLLECTION PROCESS
Collect feedback from customers
Issue updated, provide better products to customers.
3.10 Systems
3.10. 1. SALES FORCE AUTOMATION SYSTEM
This system will automatically track all of the steps in the sales process. This including order
processing, inventory monitoring and control, order tracking, information sharing and
customers management .By analysing the sales information, this will help sales department
targeting sales opportunities by finding new customers for future sales.
3.10. 2. FEEDBACK SUPPORTING SYSTEM
This system will make it easier for the business to improve the production overall. The
system will allocate and organise the feedback given by users for customer support to
access, and then passed onto the technical support team. If there is a production error, the
technical support team will report to the manufacturing department to fix the problem.
3.10. 3. PRODUCT DEVELOPMENT SUPPORTING SYSTEM
This system will record and categorise the issues arising from the customers feedback. This
will allow the technical support team work with manufacturing department together to
improve the quality of the fridge and therefore manufacture the more reliable products,
and then deliver to the customers. This will improve the customers satisfaction about
RotNot and maintain good relationships between our business and the customers.
9
9
3.11. Summary Table: Value Chain to Systems
Value Chain
Activity
Processes Functionalities Specific Information
System(s)
Broad Information
System(s)
Market
and
sell
the product
1. CUSTOMERS
ORDERING
PROCESS
1. Place the customers order
2. Sell the products to the customers
Sales force automation
system
Transaction processing
system
Customer relationship
management system
Transaction processing
system
2. FEEDBACK
COLLECTI ON
PROCESS
1. Collect feedback from customers
2. Errors sorted, provide better products to
customers.
Feedback supporting system
Product development
processing system
Customer relationship
management system
Decision support system
10
10
CONCLUSION
RotNots desired goals are to decrease the household food wastages in order to save the
natural resources and protect environment. RotNot is design to using a scanning system to
scan the chemical substance within the food, and then through a remainder system to
deliver a warning to the user about the foods expiry date. RotNot is the first ever Smart
fridge to enter the refrigeration appliance industry; we have the first-mover advantages
which will be success in the market. RotNot is cheaper compare to other competitors, which
is affordable and convenience for everyone in the world. In order to save the food, which
will save peoples money, which also help the government bring up the negative economic
trend in recent years.
REFERENCES
BIBLIOGRAPHY
Baehr, L. (2014). Tint Scannar. Retrieved from BUSINESS INSIDER: http://www.businessinsider.com.au/scio-
handheld-food-scanner-calorie-counter-2014-5
Fridge. (2014). Retrieved from Fisher& Paykel: http://www.fisherpaykel.com/nz/kitchen/fridges-
freezers/fridges/
Health of food waste. (2014). Retrieved from Health and Consumers:
http://ec.europa.eu/food/food/sustainability/causes_en.htm
Physics, C. (2014). SCiO. Retrieved from KICKSTATER: https://www.kickstarter.com/projects/903107259/scio-
your-sixth-sense-a-pocket-molecular-sensor-fo
Refrigerators. (2014). Retrieved from Sumsung: http://www.samsung.com/us/appliances/refrigerators
WhatIs.com. (2014). Retrieved from SFA: http://whatis.techtarget.com/definition/sales-force-automation-SFA
