This document provides details about a business proposal for a Wi-Fi extension plug product. It includes an industry analysis of the electronic manufacturing industry, which finds it has high buyer power, supplier power, and rivalry among competitors, making it not very attractive. It then discusses the product and service, which is a smart plug that allows monitoring electricity usage through a phone app. The document proposes differentiating the product in the market and focusing on technology development and research/development as key business processes.
This document provides details about a business proposal for a Wi-Fi extension plug product. It includes an industry analysis of the electronic manufacturing industry, which finds it has high buyer power, supplier power, and rivalry among competitors, making it not very attractive. It then discusses the product and service, which is a smart plug that allows monitoring electricity usage through a phone app. The document proposes differentiating the product in the market and focusing on technology development and research/development as key business processes.
This document provides details about a business proposal for a Wi-Fi extension plug product. It includes an industry analysis of the electronic manufacturing industry, which finds it has high buyer power, supplier power, and rivalry among competitors, making it not very attractive. It then discusses the product and service, which is a smart plug that allows monitoring electricity usage through a phone app. The document proposes differentiating the product in the market and focusing on technology development and research/development as key business processes.
This document provides details about a business proposal for a Wi-Fi extension plug product. It includes an industry analysis of the electronic manufacturing industry, which finds it has high buyer power, supplier power, and rivalry among competitors, making it not very attractive. It then discusses the product and service, which is a smart plug that allows monitoring electricity usage through a phone app. The document proposes differentiating the product in the market and focusing on technology development and research/development as key business processes.
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INFOSYS.110 BUSINESS SYSTEMS:
DELIVERABLE 2: BUSINESS SECTION 2014
Name WangYao NetID 8263876 Group Number: 126 Website Link: http://infosys110groupxxx.blogspot.co.nz/ Tutorial Details Tutor: Day: Time: Mira Tuesday 2pm Time Spent on Assignment: 25 hours Word Count: 1421
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2 INDUSTRY ANALYSIS: WIFI EXTENSION PLUG INTRODUCTION From the previous video,we have introduced the product wifi extension plug which has essentially relieved burdens from different aspects of our lives.For example, it allows us to monitorthe data and usage of electricity to avoid unnecessary loss.Therefore individuals not only can save on their expensesbut this also reaches into the environment protection and conservation branch of society.We start-up the company to create values for our consutomers and as far as possible to provide concise products and services to them. 3.BUSINESS SECTION 3.1 Vision We intend to provide a intelligent technical socket with the most efficient use and save electricity, with a smart application installed onto your phone, it will become easy to check power usage at pretty much anytime and place as long as WIFI is supported. In the long run, it will improve our life quality in economic, social and environmental aspects to create a sustainable future. 3.2 Industry Analysis: electronic manufacturing Industry Industry: Electronic Manufacturing Industry
Force: High/low Justification: Buyer power: High Electronic devices are now in common use all over the world, the number of potential buyers is considerably high and the product variety is extremely high. For example, Samsung or Toshiba made both electronic products and
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3 semiconductors which bring lots of benefit to the whole global market (Global Semiconductors Industry Profile, 2014). In that way, consumers have many choices. Supplier power: High To produce electronic devices, it required innovative investment on capitals and senior technological developers, therefore it has significant entry barriers to supply materials for the electronic devices (Semiconductor & Electronic Component Industry: Global, 2012). In that way, buyers have few choices to purchase from. Threat of new entrants: low The market has been forming by a few large companies such as Intel, Samsung, Qualcomm and Micron. That indicates, a new player may find is hard to start their business and consumers will be more attracted by those widespread brands(Global Semiconductors Industry Profile 2014). Threat of substitutes: low For healthy supply chain, there is no substitutes for electric devices and suppliers play an important role to promote the cycle (Miles, H.,&Schaffer,M.2013).But recently, the counterfeit products spread over the world and the amount of inferior goods increase dramatically(Panasonic Corporation SWOT Analysis,2012).
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4 Rivalry among existing competitors: High Electronic manufacturing industries activated in a extremely competition environment. There are numerous of companies like Sony, LG and Samsung. Factors like performance, innovation, product variety and quality etc. may influence the competitions (Panasonic Corporation SWOT Analysis, 2012). Overall attractiveness of the industry: From the Porters 5 forces analysis, three of them are high, hence it is not easy to make profit as an electronic manufacturing industry and over all it is not attractive. 3.3 Customers and Thei r Needs The targeted customers included households, companies and people who usually paid a large amount of electricity bills. Customers have paid dearly towards Vampire Power. For example, after cell phones andMP3s are fully charged they will consume electricity even though they cannot take anymore electricity, resulting in a cost of 10% of residential electricity use (Spector,L.,2010).Consumer.co.nz figured the power price will increase 5.8% on average and contact expects a rise by 7%(Electricity price rises,2014 ).The other example is keeping fridges open during meals may lose 7% appliances energy used (Selene,2014). From the above facts, we can figure out targeting those common families and companies, which spent large amounts of money and need some suggestions to solve their problems. 3.4 The Product and Service Wi-Fi extension plug has helped us solve the problem of using power inefficiently. Our products satisfied our consumers from different perspectives. Firstly, it is convenient to install the devices, consumers just need to download the app from the application store and sign in with consumers ID and their password. After that, plugging your appliance onto the Wi-Fi extension plug, you can check the usage directly. Secondly, the Wi-Fi extension plug is cheap and using recyclable material. Thirdly, it eliminates the problem of location as if with
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5 this plug it allows you to check your status anytime and place. Last but not least, it saves money for our customers. Examining the power usage and status of devices to avoid unnecessary economic loss and encourage using power efficiency. Thinking globally, it will save a mass of power and minimize the pollution from producing power, the small technology may change the world a lot and create a sustainable environment. 3.5 Suppliers and Partners Partner: App Store As we consider research and development process, it necessary to create an app to connect with our smart plug. We may need them to promote our products on the Internet and we provide differentiated products to them. Partner: Sensor and relay manufacturing process can be outsourcing, our industry can choose one of those factory with better quality and less cost to make the module for the inner construction. Supplier: plastics (outer skin for Wi-Fi extension plug). It doesn't need any advanced skills; our industry may outsource that component to other countries like China to reduce the cost of products. Supplier: packing box. For example: Kiwi renta box company provide plenty of different size of boxes and we can consider cooperating with them to serve our consumers with better quality and faster execution.
3.6 Strategy: Differentiation Porters generic strategies divided different products from two different dimensions, which are cost strategies and competitive scope. Wi-Fi Extension Plug can be styled as a high cost group. Since it needs a complicated researching and developing process and that may take a large amount of money, labour costs and time. It should be much more expensive than normal plugs. Also we need to fabricate different versions for our products to satisfy our consumers in different countries. That means we need to differentiate and promote our
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6 products meticulously, the product can be used around the world. We have a common concern on saving power and protecting the environment. The overall strategy is we define Wi-Fi Extension Plug into differentiation category. 3.7 Value Chain Activity: Technology development (and R&D) The most important value chain activity for this business is Technology development (and R&D) our aim is to satisfy all customers with all their expected high quality plugs. Our business will offer high quality standard products to worldwide markets. We devoted to provide convenient services to them. With the rapid development of science and technology, the competition has become fiercer than ever before. Therefore we should provide the easiest way to operate it and with advanced technology to create competitive advantages and strengthen our marketing position. 3.8 Business Processes 3.8.1. MANUFACTURING PROCESS- Manufacturing process is the most important part in our business. We should use the supply chain management system to control the overall situation and operating management department to support the process. The process can be divided into three big parts, suppliers organization and customers. Firstly, we received the raw materials and components from the suppliers, then through quality performance and sample inspection to make sure the feature of our products. After that, we store our stock into the factory and transfer that stock to the warehouse and to assemble those components. Next, we will do the security and quality test to double check our commodities. The last step we will distribute our products to the consumers and moving to the marketing and selling process.
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7 START Receive materials from supplier Quality performance Sample inspection Inventory management warehouse Assembly Security and quality testing delivery END Warehouse Packaging Research & Development
3.8.2. RESEARCH & DEVELOPMENT PROCESS Research& Development is the process, which concerned on the core competitiveness in the whole market, therefore decision support system will be necessary to control the process and the human resource department has responsible to select technical stuffs to improve this product. Firstly, we should identify consumers need, and then according to
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8 their needs, combine the features of our products to do the technology development. Then, testing the functions of the products and after the marketing and selling process to get the feedback from consumers. On the basis of customers feeling, we will redefine and design our products. The process is recyclable and plays an important role in the business. START Identify consumers need Production assessment Technology development Testing Users feedback Redefine and design products END
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9 3.9 Functionalities 3.9.1. MANUFACTURING PROCESS Procure raw materials Assemble different components 3.9.2. RESEARCH&DEVELOPMENT PROCESS Understand consumers perference. Update and improve the quality of product. 3.10 Systems
3.10. 1. SUPPLY CHAIN MANAGEMENT SYSTEMA connection between supplier, organization and consumer .it is an information flow amongst different stages. Through procurement and assembly to finish the manufacturing process and promise our quality of goods. The benefits also involved improved visibility and increasing profitability that means business manager can view the whole supply chain process any time and easy to treat. Emergency such as the immediate demand for some types of plugs can be easily satisfy 3.10. 2. DECI SION SUPPORT SYSTEMoperational, tactical and strategic business intelligence supported the decision support system. And those business intelligences corresponded different business function. For example, understanding the consumers preference is helping with the daily analysis and knows our market position. Then, updating and improving products will help with the operational business intelligence and making decisions efficiently to satisfy our consumers as soon as possible. 3.10. 3. CUSTOMER RELATIONSHIPMANAGEMENT SYSTEMWhen we did the research development process, it is necessary to evaluate consumers preference and establish a close relationship with them. It included identifying the customer, that means to identify which group of consumers are willing to buy the Wi-Fi extension plug, and which types of plugs are they prefer to use. According those consumer data, we can find the reasons. Therefore we can improve the quality of our products. To increase our competitive advantage, it is better to predict the consumers needs on time and adjust immediately.
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10 3.11. Summary Table: Value Chain to Systems
Value Chain Activity Processes Functionalities Specific Information System(s) Broad Information System(s)
Technology development (R&D)
1. Manufacturing process 1. Procure raw materials
2. Assemble different components Manufacturing supply chain system Demand planning system
Supply chain management system 2. Research & development process 1. Understand consumers perference
2. Update and improve the quality of the products. Sales management CRM system
Business Intelligence Consumer relationship management system
Decision support system
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11 CONCLUSION In conclusion, using information system in the business organization is really necessary and it will support business strategies and process. I used the decision support system, consumer relationship system and supply chain management system to support our business for manufacturing Wi-Fi extension plugs and research development process. The aim of our business is to provide goods to our customers with a high standard of quality and on time. I.T system will increase the competitive power in the market and increase the adaptability in the society.
REFERENCES
1. Miles,H.,&Schaffer,M.(2013).Development of a methodology to determine Risk of Counterfeit Use,Part1.SMT:Surface Mount Technology,28(9),48-58 Retrieved from Business Source Premier
2. Global semmiconductors Industry Profile(2014).Semicondutors IndustryProfile:Global,1-32. Retrieved from Business Source Premier
3. Semiconductors &Electronic component industry report: Global. (2011). Semiconductors Electronic components industry Profile: Global, 1. Retrieved from Business Source Premier.
4. Panasonic Corporation SWOT Analysis. (2014). Matsushita Electric Industrial Co., Ltd. SWOT Analysis, 1-8. Retrieved from Business Source Premier.
5. Spector,L.(2010). VampireHunters: Devices Reduce Energy Waste.PC World,28(10),14-16 Retrieved from Business Source Premier.
6. Electricity Price Rise (2014) manager, consumer.org.nz Retrieved from http://www.consumer.org.nz/news/view/electricity-price-rise.
7. Selena.A(2014)shut the fridge door-you are wasting electricity. Good housekeeping, house organizing. Retrieved from: http://www.good housekeeping.com/home/green-living/refringerator-door-wastes-energy