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INFOSYS.110 BUSINESS SYSTEMS:
DELIVERABLE 2: BUSINESS SECTION
2014

Name Nicole Trass
NetID ntra326
Group Number: 99
Website Link: http://infosys1102014fcgroup01.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Kayur Ramson Monday 3pm
Time Spent on
Assignment:
15 hours Word Count: 1635

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CIGARETTE DRAGON
INTRODUCTION
Cigarette butts are the most globally littered item in the world. This is creating a very serious
problem for the environment and for society. Cigarette Dragon is a company looking to
solve this problem with the simple solution of enticing people to dispose of their cigarette
butts in the right way. This is done through entertainment and by providing the users of the
bin with a reward such as a nice remark saying “thank you, have a good day” to make the
person using the bin feel pleased that they disposed of their cigarette butt in the best way.
3. BUSINESS SECTION
3.1 Vision
Provide an entertaining and fun way to dispose of cigarette butts in order to encourage
society to create a clean and green environment that is free of cigarette waste.
3.2 Industry Analysis: Environmental technologies Industry
Industry: Environmental technologies Industry. The environmental technologies (ET)
industry is defined as all goods and services that generate revenue associated with
environmental protection, assessment, compliance with environmental regulations,
pollution control and prevention, waste management, renewable energy, remediation of
contaminated property, design and operation of environmental infrastructure, and the
provision and delivery of environmental resources (Export.gov, 2010).
Force: High/Low: Justification:
Buyer power: High Buyers such as Governments and other
organizations have many sellers to buy from
when it comes to environmental technologies.


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Supplier power: Low There are many suppliers that organizations in
this industry can source required raw materials,
technology, and equipment from to make their
environmental technology product or service.
Threat of new entrants:

High
It is very easy for new competitiors to enter the
market for environmental technologies as there
are very low barriers to entry (including low
infrastructure costs).

Threat of substitutes: Low
Research indicates that the demand for products
and services with a positive impact on the
environment is increasing. “Ecological issues
regarding energy, natural resources, pollution,
and waste offer both competitive opportunities
and constraints, and are changing the competitive
landscape in many industries” (Shrivastava, 1995)
Rivalry among existing
competitors:
High Competition in the market for environmental
technologies is reasonably fierce as it is easy to
enter the industry and therefore there are many
rival firms producing similar products and
services. “Environmental technologies are being
adopted widely and are collectively affecting the
competitive landscape.” (Shrivastava, 1995)
Overall attractiveness of the industry: The overall attractiveness of the industry is
moderately low due to buyer power, threat of new entrants and rivalry among existing
competitiors all being high. However, it is still a somewhat attractive industry to enter as the
threat of substitute products is low, therefore creating the potential for estabishing a strong
position in the market.

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3.3 Customers and Thei r Needs
There is a need in the market for a product or service that is successful in reducing the
amount of cigarette waste in countries all over the world as this problem still hasn’t been
addressed with a succcessful solution. Tobacco industries are the main key customers for
Cigarette Dragon, “The tobacco industry monitored and developed strategies for dealing
with the cigarette litter issue because it affected the social acceptability of smoking…
However, the tobacco industry has tried and failed to mitigate the impact of cigarette
litter.” (Elizabeth A Smith, 2010). Governments worldwide are key customers for Cigarette
Dragon as they are in charge of public bins and the hygiene of the public, therefore they
would be interested in buying this product from Cigarette Dragon in order to create and
maintain a clean environment for the public.
3.4 The Product and Service
Cigarette Dragon produces a small stainless steel bin containing a device that is used to
promote the use of bins for cigarette waste in particular through the use of Information
Technology. These small bins can be installed into new and old bins, including current street
bins. The small bins will consist of a grid structure on the top which up to 144 cigarette butts
can sit in when they are being discarded of. Under the grid structure there is a very thin
layer of sand which ensures that the cigarette butts and the bin do not set alight. Within the
small bin there is a heat sensitive sensor which identifies the higher temperature of the
used cigarette butt, and this sensor then sends a signal to the monitor. When the monitor
recieves the signal, it plays a piece of music, says a nice regard, or says an interesting fact,
depending on what option has been installed into the device, which in turn makes the user
satisfied that they disposed of their cigarette butt in an appropriate way. The device will
also contain a counter which keeps count of how many times the bin is used (how many
regards are played). Cigarette Dragon will produce many of these devices containing a wide
variety of outcomes so not all of the bins will be the same, and they will be changed
periodically in order to maintain the ability to entice people to use the bin to dispose of
their cigarette waste.
3.5 Suppliers and Partners

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One of Cigarette Dragon’s suppliers is a manufaturer of heat sensitive technologies such as
Telatemp who produce temperature data loggers and monitors. Another one of Cigarette
Dragon’s suppliers include a supplier of high quality stainless steel metal, such as Steel &
Tube who are “New Zealand’s leading supplier of steel products and services by volume”
(Steel&Tube, 2014).
One partner of Cigarette Dragon would include organisations within the Tobacco Industry
who are looking to solve the problem of cigarette waste. These organisations will promote
the use and benefits of using these bins in order to save their business reputation with
regards to social acceptability of smoking. Another one of Cigarette Dragon’s partners
includes the New Zealand Environmental Protection Agency who are concerned with the
safety of the environment. They will promote the use of these bins in order to encourage a
clean and safe environment.
3.6 Strategy: Focused High Cost
Cigarette dragon follows a high cost strategy as they are offering a unique and premium
product to the market that is of high quality and establishment.
Cigarette Dragon focuses on a narrow market as it has a small customer base of whom it
would aim to sell to.
The overall strategy is therefore Focused High Cost
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)
It is important for Cigarette Dragon to continue to develop new features and outcomes
(music, facts, regards) for the bins so that the company can continue to provide an
entertaining and fun way to dispose of cigarette butts. Therefore Cigarette Dragon must
primarily focus on bringing new features to the market. This support value activity includes
using the latest technology (possibly incorperating a touch screen for the user of the bin to
choose a type of fact or music), making the bin cutting edge, and continually updating the

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monitors so that the bins remain interesting in order to entice people to keep using the
bins, in turn adding value to the business and its product.
3.8 Business Processes
3.8.1. DEVICE MONITORI NG PROCESS –This process involves the counter to firstly be set at a count of 0.
When a cigarette butt is put in the bin the sensor will detect the heat and send a regard. A count of 1 is then
added to the counter, and the counter is checked. If the count is less than 144 then the process continues
again from when a cigarette butt is put in the bin. However, if the count is 144 then a signal is sent to Cigarette
Dragon to clean the bin and update the bin outcome/regard. Continuous monitoring is vital to ensure that the
bin is persistently being effective in reducing cigarette waste.


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3.8.2. MATERIALS MANAGEMENT PROCESS – This process involves the sourcing of premium high quality
materials for the heat sensors (including the technology required for heat identification) and then testing
these sensors to check whether they are efficient in detecting the heat of used cigarette butts. If the heat

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sensor does not detect the heat then the materials are rejected and the process goes back to sourcing
materials. If the heat sensor is successful in detecting heat then the materials are accepted and new bins are
made and/ or old (broken) bins are replaced.


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3.9 Functionalities
3.9.1. DEVICE MONITORI NG PROCESS
 Sending signal
 Number count of regards/ outcomes
3.9.2. MATERIALS MANAGEMENT PROCESS
 Heat detection
 Researching and sourcing materials
3.10 Systems

3.10. 1. DATA ANALYSI S SYSTEM – This system supports the number counting function, aswell
as the researching and sourcing materials function, by analysing input data and producing a
result to help with decision making. Therefore this system supports both of the key business
processes.
3.10. 2. PRODUCTI ON SUPPORT SYSTEM – This system supports every step of the production
and materials management process, from making sure the best materials are sourced and
used in production, to ensuring that the heat detection equipment is functioning properly.
3.10. 3. RESEARCH SUPPORT SYSTEM – This system primarily focuses on supporting the
researching and sourcing raw materials function in the materials management process.

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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)

Technology
development
(and R&D)
1. Device
Monitoring
Process
1. Sending Signal.


2. Number count of regards/ outcomes.
Research Support System


Data Analysis System
Enterprise Resource
Planning System

Decision Support System

2. Materials
Management
Process
1. Heat Detection.

2. Researching and sourcing materials.
Production Support System


Data Analysis System
Transaction Processing
system

Collaboration System

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CONCLUSION
Cigarette Dragon produces a small bin containing a complex device that uses information
technology to generate value. The company exists to provide an intriguing way of disposing
cigarette butts in order to help create a clean and green environment that is free of
cigarette waste.

REFERENCES

1. Frankston City Council. (n.d.). Cigarette Butt Litter. Retrieved from
http://www.frankston.vic.gov.au/Environment_and_Waste/Waste_and_Recycling/Li
tter_and_Illegal_Dumping/Cigarette_Butt_Litter

2. International Trade Centre. (02/2001). The Environmental Services Business: Big and
Growing. Retrieved from http://www.tradeforum.org/The-Environmental-Services-
Business-Big-and-Growing/

3. Smith, Elizabeth A; McDaniel, Patricia A. (21/10/2010). Covering their butts:
responses to the cigarette litter problem. Tob Control 2011, 20, 100-
106. doi:10.1136/tc.2010.036491
4. Export.gov. (4/2010). Industry Facts. Retrieved from
http://web.ita.doc.gov/ete/eteinfo.nsf/068f3801d047f26e85256883006ffa54/4878b
7e2fc08ac6d85256883006c452c?OpenDocument
5. Paul shrivastava. (1995). Environmental technologies and Competitive advantage.
Strategic Management Journal, 16, 183-200. Retrieved from
http://www.paulshrivastava.net/Research%20Publications%20Directory%5Cenviron
mental%20technologies%20and%20competitive%20advantage.pdf

6. Telatemp. (n.d.). Temperature. Retrieved from
http://www.telatemp.com/c/160/data-logger-temperature
7. Steel & Tube. (n.d.). Outstanding Steel Solutions. Retrieved from
http://steelandtube.co.nz/
8. Environmental Protection Agency. (n.d.) Welcome to the Environmental Protection
Authority. Retrieved from http://www.epa.govt.nz/Pages/default.aspx