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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Natacha, Angele, Pauline, Marie-Josee BLIDY
NetID nbli482
Group Number: 450
Website Link: http://infosys1102014fcgroup450.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Helen Chen Tuesday 3:00pm
Time Spent on
Assignment:
34 Hours Word Count: 1642

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MANUFACTURECO
INTRODUCTION
Manufacturing pollution is one of the biggest worldwide problem facing us today (EPA,
2013). Only 19% of manufacturers monitor their carbon foot print (IT Online, 2011).
Moreover, according to Blacksmith Institute & Green Cross, 2013, close to 125 million
people are at risk from toxic pollution which could lead to serious health issues. Therefore,
to help manufacturers to be more environmentally conscious and give their consumers a
better idea of their green contributuions, Manufactureco is a collaborative website with a
huge database in the cloud, where manufacturing industries can buy a cheap variety of
green products they need for their operations and get green advices.
3. BUSINESS SECTION
3.1 Vision
Eliminate worldwide pollution by providing fast, cheap, premium quality, eco products
and educating manufacturers on environmentally friendly actions.
3.2 Industry Analysis: Green Product Online Retail Industry
Green Product Online Retail Industry.
Force: High/Low: Justification:
Buyer power: High The buyers have many choices available in this
market with low switching costs. The customers
easily can choose the online company they would
like to buy green products from such as Vine.com
launched by Amazon in 2012 (Environmental
Leader, 2012).
Supplier power: High Withing this industry, software developers and
hosting companies are easy to find. However,
green materials/goods suppliers are still very hard

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to find and sell their products at a very high cost,
therefore suppliers of green material have still
lots of control.
Threat of new entrants: Low It is difficult to enter into the market as there are
high barriers to entry. Even though it is a growing
market, to launch an online green business,
expertise, strong environmental knowledge and
sustainability studies are needed which increase
the barriers of entry. (Inc, n.d.)
Threat of substitutes: Low Nowadays, there is not a lot of alternatives to
reducing pollution and buying green. The only
alternative could be physical stores selling green
products. However, only a small portion of
physical stores are switching to eco goods, big
retailers don't carry the best, most innovative
green merchandise mainly because these
products cost more and it is a new market (Inc,
2010).
Rivalry among existing
competitors:
High There is a fast growing competitiveness as it is a
high profit industry. There is an increasing
number of online retailers selling green products
wordwide. Indeed, online retailers selling normal
goods are switching to eco items in order to meet
their customers wants and retain them. Green
Retail and Wholesale is a big competitor offering
a variety of eco brands such as Buy Green
targeting individuals but also business buyers.
(Green Retail and Wholesale, 2012).

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Overall attractiveness of the industry: Overall, the industry does not seem very attractive
as it is a growing market with an increasing number of competetitors. However, once a
company is succesfully entered into this market, the profit generated could be very high and
worthy. (Green Retail Decisions, 2014).
3.3 Customers and Thei r Needs
Our target customers are Manufacturing industries.
Recently, as globalisation increases, manufacturers not only need to be able make a choice
between all the suppliers that are in the market, but also to satisfy all of their customers
who start to be increasingly aware of environmental problems and therefore demand to
work with eco-friencly companies (WIR, 2012). Therefore, Manufacturing Businesses are
now looking for new ways to decrease their production costs but also to gain a competitve
advantage by being environmentally conscious buying green products and using information
technologies in order to retain their customers.
3.4 The Product and Service
To help manufacturing industries to fulfil their needs, we have created an environmental
and customer centric website called Manufactureco, with a huge database in the cloud.
Manufactureco will enable manufacturing industries (our customers) to buy cheap green
products online and be delivered directly to their manufacturing site. These products
evaluations will be based on strict criteria to determine their eco-friendly percentage. The
more they will buy, the cheaper these products will be. Also, they will be able to search for
for our best advices regarding ways to reduce their costs but also monitor their impact on
the environment. We also provide a ranking of green manufacturers evaluating what
products they use and how many green actions they undertake. This information can be
accessed to the general public who can mark the quality of the manufacturers product.
Therefore, the manufacturing industries can build their own green reputation and the
public can have a truthful and fair evauation of the industries they are interested in.

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We will have a signed contract with our suppliers which ensures that they will reduce their
selling price as we will sell more of their products.
3.5 Suppliers and Partners
Our suppliers will also be green raw materials providers from all around the world such as
Ecolab supplying a wide range of eco products.
Another supplier will be hosting companies such as Telecom. As we are an online business,
cloud based, we will need a high quality internet service provider in our offices.
One of our partners will be the fair trade companies as they will promote my organisation as
we are encouraging the protection of the environment. Greenpeace could also promote my
company when they are running campaigns.
Another partner will be the manufacturing industries customers (the general public). They
will be given information about the manufacturers green contributuins. By giving a quality
mark to manufacturers, they will also motivate my customers (manufacturers) to use
Manufactureco to build their green reputation. Therefore, the general public can be
considered as a partner as we are exchanging benefits.
3.6 Strategy: Focused Low Cost
The Green Product Online Retail Industry includes the general public, retailers and
manufacturers. However, Manufactureco focuses on a narrow market segment. Our focus is
to reduce pollution due to manufacturing industries. Therefore, only manufacturers can use
our website to buy green products.
We are aiming to sell our products at a low cost in order to encourage our customers to buy
as many environmentally friendly products or parts they need in their production process as
possible.
The overall strategy is therefore Focused Low Cost.


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3.7 Value Chain Activity: Procurement
The most important value chain activity for this business is Procurement
Our business aims to acquire a variety of good quality products with environmentally
friendly characteristics, by focusing on procurement, we ensure that the products we are
buying from our suppliers are metting our green product criteria, with a high quality and
prices as low as possible in the market. We also want to make sure that we are going to be
delivered on time, in full and in-specification as we will buy products from all around the
world. Moreover, we will have to negotiate a price with our suppliers.
















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3.8 Business Processes
3.8.1. GREEN SUPPLIER VERIFI CATION PROCESS
We promise our customers to sell high quality and green products in order to protect the
environment and reduce pollution. We will have strict standards that our suppliers
products will have to meet. Indeed, we will analyse their products against our green criteria
and if these products meet our standards, we will select the supplier. For Manufactureco,
the Green Supplier Verification Process is an important process under procurement.






















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3.8.2. SUPPLIER ORDERING PROCESS
In order to quickly respond to our customers orders, we need to have a strong ordering
process in place with our suppliers. We will order supplies as soon as we will receive a
customer demand and get our nearest supplier from the customers location to send the
items purchased straight to the customer as this will enable us to save the costs of inventory
and will improve the delivery time from supplier to customer.





















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3.9 Functionalities
3.9.1. GREEN SUPPLIER VERIFI CATION PROCESS
Retrieve suppliers product characteristics
Analyse the suppliers product against green criteria
3.9.2. SUPPLIER ORDERING PROCESS
Send order payment
Receive client demand
3.10 Systems

3.10. 1. PRODUCT ANALYSIS SYSTEM
This system will help Manufactureco to decide whether a preselected suppliers product is
green enough to be sold. It is important to achieve this successfully as our vision is based on
providing green products to our customers. Therefore, this system will retrieve the
characteristics and gather the data of the products and then analyse it against our green
criteria. If it meets at least 50% of the green characteristics we require, the system will then
select the supplier as an official supplier.
3.10. 2. PAYMENT PROCESSING SYSTEM -
This system will process and send the payment to suppliers as soon as the company receives
the invoice from them. This will allow Manufactureco to be efficient in terms of fulfilling a
crutial part of procurement and the supplier ordering process and make sure that our clients
are served as quickly as possible.
3.10. 3. CUSTOMER ORDER MANAGEMENT SYSTEM -
This system will support the supplier ordering process by recording a customer order and
sending it to the sales department generating an automatic need to order material to our
suppliers. This automation of the generation of a supplier order will allow us to quickly
response to our customers needs and wants.

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3.11. Summary Table: Value Chain to Systems

Value Chain
Activity
Processes Functionalities Specific Information
System(s)
Broad Information
System(s)

Procurement
1. Green
Supplier
Verification
Process
1. Retrieve characteristics of the suppliers
products
2. Analyse the characteristics of the products
against green criteria
Product Analysis System

Decision Support System
2. Supplier
Ordering
Process
1. Receive client demand

2. Send order payment
Customer Order
Management System


Payment Processing System
Transaction Processing
System


Transaction Processing
System

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CONCLUSION
Manufacturers will build their green reputation by using Manufactureco, a website which
will help reducing manufacturing pollution by selling them cheap, green products,
suggesting green actions that they could undertake. Information technology will help the
company achieving its goals by quickly ordering material to suppliers when a customer order
is received as well as by automatically verifying and selecting our suppliers against our green
criteria, processes related to procurement.
REFERENCES
1. Blacksmith Institute, & Green Cross. (2013). The Worlds Worst 2013: The Top Ten
Toxic Threats. New York: Blacksmith Institue & Green Cross. Retrieved from
http://www.worstpolluted.org/docs/TopTenThreats2013.pdf
2. Environmental Leader. (2012). Amazon Launches Shopping Site for Green Products.
Retrieved from http://www.environmentalleader.com/2012/09/27/amazon-
launches-shopping-site-for-green-products/
3. EPA: United Sates Environmental Protection Agency. (2013). Global Greenhouse Gas
Emissions Data. Retrieved from
http://www.epa.gov/climatechange/ghgemissions/global.html
4. Green Retail and Wholesaler. (2012). Retail. Retrieved from
http://www.greenretailandwholesale.com/retail.html
5. Green Retail Decisions. (2014). About Our Market. Retrieved from
http://www.greenretaildecisions.com/about-2
6. Inc. (2010). Getting Green Products on More Retail Shelves. Retrieved from
http://www.inc.com/articles/2010/12/getting-green-products-retail-shelf-
space.html
7. Inc. (n.d.). The Best Industries For Starting a Business Right Now. Retrieved from
http://www.inc.com/ss/best-industries-starting-business-right-now#0
8. IT Online. (2011). How businesses can reduce air pollution. Retrieved from http://it-
online.co.za/2011/03/25/how-businesses-can-reduce-air-pollution/
9. WIR: World Industrial Reporter. (2012). Going Green: Creating Sustainable Industrial.
Retrieved from http://www.worldindustrialreporter.com/wp-
content/uploads/2012/09/Going-Green1.pdf