Advance Application of IT in Business

MID TERM EXAM

Submitted to:

Submitted by:

Bahria University Islamabad Campus

Shangrilla Road, Sector E-8,
Islamabad – Pakistan

Dated: Sunday, May 31, 2020

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The business I would like to start is a food delivery company. I named it as
‘Food To Go’. The reason behind this is that food delivering business will
always work as people love to order food from outside when they don’t want to
cook at home.

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 SECTION A
What the company will do?
The company is food delivery company and it will act as a middle person between the
restaurants and the customers. Users can browse through various menus and place orders for
home delivery or take-away at the best price The customers will order online via App or our
website. The restaurant will then start preparing food. Our rider will pick up the order from
the restaurant when its ready and delivers it to the customer.

What sector it will operate in?

My company will operate initially in Islamabad/Rawalpindi and then will move to other cities
of Pakistan.

What is its mission and vision?

Mission:

Our mission is to provide healthy food at your doorstep by just one click. We want to make
online food delivery easy for our customers and to provide them all the delicious food they
crave.

Vision:

Our vision is to create a world for you in which you can order anything you want. Creating
unique, memorable and delightful experiences for every food mission.

What is the underlying concept?

It is an online app which helps our customers to order any cuisine they want, and it helps the
restaurant to market their products and cuisines and increase their orders from our
application. Customers can order online through app rather than calls and messages.

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The Business Model:
We have a multi sided business model with two interdependent customer segments that are
both important in order to operate:

 Customers: People who want to order food online.

 Restaurants: Restaurants who wants to increase their customers outside usual
channels.
From restaurants, first we take Onboarding fee when they register themselves to our
company, then there is Transaction fee in which company charges listed restaurants a
commission for all purchase transactions made. 20% from the companies that are availing our
company delivering service and 10% from the companies that are not taking delivery service
from us. Then there is Premium listing in which companies that are given premium benefits
like their restaurant showing on top will be charged more. Then Advertising fee in which the
company charges third parties a fee to advertise their offerings on its website and in its
mobile app.

The organization offers comfort by empowering buyers to put orders from sites or through its
portable application. Requests can be made day in and day out, with a pre-request choice
additionally accessible. Further, buyers have the choice of getting orders or having them
conveyed and paying with all significant charge cards or with money. Clients can likewise
effectively acquire general impressions of the outlets through surveys. The organization
offers customization by permitting clients to channel eatery decisions by sort of food and to

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channel dinners by class (appetizers, main course, desserts, and so on). The organization
diminishes costs by offering various day by day bargains, for example, free conveyances or
feast limits. This highlight sets aside client’s cash and empowers them to attempt new
contributions.

What is the market that you will be targeting?

We are targeting almost everyone from upper middle to high class. First we are starting our
business in Islamabad/Rawalpindi then after some time we will expand to other cities of
Pakistan. Related to age we are targeting from 10 years to 60 years almost.

Business projections:
I’m starting my business by possible minimum cost and by only delivering food. For this we
need riders that will deliver food. Our cost at the start will low as we are only delivering in
Islamabad/Rawalpindi but after some time when we will expand our business we will start

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our delivering process in other cities of Pakistan too. Not only this but we will start delivering
other than just food like Grocery items, Marts, Pharmacies, Brands like Shan, National, Walls
etc.

As the market is growing, shifting online and improving in service quality there is still
enormous potential for growth. Even in the more mature markets we operate, the combination
of online shift and increased user frequency is going to continue drive our growth for many
years to come. I see it as paramount that if we continue to grow and give our customers the
best experience, we will succeed in future. The main thing responsible for our growth is
continuous orders from our customers If we make our customers satisfied, give them
accessibility, convenience, customization, cost reduction and brand status, they will be
satisfied enough to remain loyal to the company.

First at the start our budget will be normal. For,

 Advertising which includes Newspaper, SMS, Radio, Social Media, Bill boards: Rs
100,000
 Office: Rs 800,000
 Salaries:
BDA (Business Development Associate): Rs 25000 + commission
Commercial Coordinator: Rs 35,000
SBDM: Rs 60,000
City Manager: Rs 100,000
 Content team: Rs. 30,000
 Finance Team: Rs. 40,000
 Miscellaneous: Rs, 20,000
So total budget at the start will be almost 1,220,000 and will increase in future.

How long will it take for the company to become profitable, how
will you finance it?
It will take almost 3 to 4 months for the business to become profitable as in the first month
the company will advertise aggressively, then in second month it will start Onboarding
restaurants and in the third month, we will start taking orders from our customers.

For the financing, we will use our savings and will take loans from bank.

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What are the critical success factors?
Main factors that are the reason for the success are:

 App quality:
Better the quality, more satisfied customers. If App keep on hanging and information
is not given properly then customer will lose interest.
 Service quality:
Customers will feel satisfied if they will receive good quality.
 Social influence:
The good brand image will attract customers.
 Food quality:
Customers order online to have good food. If the quality will be poor, they will not
order again.
 Promotion:
Promotion is also a good aspect. Good promotion leads to attract customers.
 Customers:
Customers are also success factor as if customers are happy they will order again and
sales will increase.

What are the 3 main reasons that the investors should invest in
your company?
 First, the main reason is that it is a food business and no one in this world can live
without eating so food business will always be successful and as we are giving the
best quality food services so this business will go places.
 I will give the investor a percentage of money decided after every sale.
 There will be competition in market and customer will have choices.
 We will give convenience to everyone which makes them feel attracted to our
company and as sales will increase, the money for investor will increase.

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 1. How will the Management Information System (MIS) of the
company be structured, and how will you go about setting it
up?
MIS is used to retrieve and store information to use by departments to make good decision.

Our company uses different systems which help us to retrieve and store data.

Food ordering system is a technology that our company uses to operate and running
customer’s order. It makes our customer order can directly link to our apps and website. The
goal is we want to serve people a sumptuous meal without any hassle. We intend on making
food delivery an easy and convenient option for all our food lover

Food ordering system is combining the entire menu that provided by different restaurant or
café. The customer order is also confirming in real time and the system will accomplish the
order at the specific time. The system was used intended to customization requirement for a
client, for some client if they want to specify their preference. They can put their special
remarks in the system. This system is also generated a new business model. It helps the
offline restaurant or café to receive online business when it cooperates with our company. For
the customer that have no idea what food to order. Our system provided food suggestion to
them. Food ordering system is combining the entire menu that provided by different
restaurant or café. The customer order is also confirming in real time and the system will
accomplish the order at the specific time. The system was used intended to customization
requirement for a client, for some client if they want to specify their preference. They can put
their special remarks in the system. This system is also generated a new business model. It
helps the offline restaurant or café to receive online business when it cooperates with our
company. For the customer that have no idea what food to order. Our system provided food
suggestion to them.

Food ordering system provides a report for two level of management. First is TPS, operation
department will have the database of all the daily ordering. From this data, operation team
can generate a geographic sales report to the top management which is EAS. Then top
management will inform human resource department and ask them to reassign the human
resource. So that the order can be sent in time to the customers.

Food delivery system is technologies that used to defined customer’s location, analyses the
route to deliver food from a source location to a predefined destination like from the shop of

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food provider to customer’s designated place. Food delivery system takes down the data of
location provided by the customer and analyses which way is the fastest and shortest route to
complete the delivery. The result is used for the runner to deliver the food efficiency. After
customer order food from our website or application, food delivery system search for the
location of the customer provided, analyse the route by GPS and send the shortest and fastest
route to runner’s phone, runner complete delivery based on the route. Operation department
knows each location of the customer. Operation department based on the location and decide
which outlet is nearer to the location and arrange runner to run the delivery. After that, the
marketing department can base on the sales in each location to decide where the need to
apply for the promotion. Besides that, human resource department can base on the location of
completed delivery to know which location has the higher demand so they can hire more
worker at the outlet which is the nearest to the location. Food delivery system serves two-
level management. Operation team records the data relating to total location delivered. This
data will be compiled by operation manager to become geographical sales report and break
down to human resource department. The human resource manager can base on this report to
decide which outlet need more worker; how many workers needed after that make hiring after
decision make.

E-payment system’s major objective is to facilitate the online transaction for the company
online business. It is a very popular way of payment for business organizations nowadays due
to technology savvy increased, so the world is advance more in technology. There are several
payment methods under E-payment system, but the most often by used the online consumer
is credit card payment and online banking. , Operation team is the main user of the E-
payment system. Operation team ensures that history of payment is recorded and transfer the
data to finance department to assist them in forecasting sales. Moreover, operation
department will collect the payment data to the accounting department to generate accounting
report to analyse profit and loss of the company. Besides, Operation team will be managed to
get the log of the daily transaction and pass to customer service department to assist the
customer that make false payment. The lower management which is the staff or operator will
monitor the online transaction by using E-payment system and produce online payment
transaction data to the finance manager which is the middle management to analyse day-to-
day transaction and generate summarized highest sales report to the top management to
decide which restaurant should partner with.

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CRM system is a business tool that allows a company to manage all the customers and
analyse customer interactions and the customer lifecycle, with the goal of improving business
relationships with customers. CRM system also helps the company to retain the existing
customer and increase customer satisfaction. CRM system can store all customer information
so that business user can retrieve or use it easily. We use CRM system to store all the
customer data that they get it when a customer signs up an account in Food to go. The
customer must fill up their basic information such as name, mobile number and email address
so that Food to go can retrieve and use the customer data when a different department needs
it. Furthermore, Customer service executive uses CRM system to observe and response to
customer feedback and rating, if the feedback is bad then they will response to the customer
as soon as possible to increase customer service satisfaction. The customer data that store in
the CRM system will be used to generate a different report, such as a customer active level
report to know which customer are frequently order from our company and which customer
are not active. Moreover, customer data also can generate customer preference report to
understand the customer favourite type of food or food provider. By knowing this, the
company can serve customer better and faster, because we already know which type of food
and the food provider will be the customer’s first choice.

2. How will you set up and structure an Enterprise Resource

Planning (ERP) system for it?
ERP is a system used by companies to manage and integrate the important parts of their
businesses. It is planning your resources in such a way to achieve your goal effectively and
efficiently.

I will locate software for each department so that company will run successfully.

a. Financial Management:
I will use SAP FICO which allows us to manage all the financial data. SAP FICO will
help us to generate and manage financial statements for analysis and reporting and
help with effective business planning and decision-making.
b. Business Intelligence:
In this department, I will use Tableau software. It helps our company to see and
understand our data. It gives us the information about our orders
(monthly/weekly/daily), also gives us knowledge about our profit, how many sales,
and information about the new customers.
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 c. Supply Chain Management:
In supply chain management, I will use Harrier software, which is known for
delivering services in software development and maintenance. It will help us to track
riders who are delivering food to customers.
d. Human Resource Management:
In HRM, I will use BambooHR which offers to consolidate all employee and human
resource related data manages a number of HR activities.
e. Marketing:
For marketing I will use Marketo, which makes it easy for the company to launch and
manage marketing campaigns for their brand.

SECTION B
I have attached a link of google drive. A presentation with my voiceover. After opening
slideshow voiceover will start.
https://drive.google.com/file/d/1nQ_qwgynFLdm9cea2DxXiyJ8UiA24xiD/view?usp=sharing

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