Name Oliver Rose NetID 8560707 Group Number: 504 Website Link: http://infosys110group504.blogspot.co.nz/2014/05/oliver- rose-8560707-deliverable-2.html Tutorial Details Tutor: Day: Time: Yvonne Hong Saturday 10am Time Spent on Assignment: Ages Word Count: xxxx
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2 SMART BINS INTRODUCTION Smart bins is an easy, technologically advanced way to reduce organic wastage by using our bins to capture the wastage and then repurpose them to produce alternative products such as biodiesel, livestock feed and an alternate source of energy. 3. BUSINESS SECTION 3.1 Vision To encourage greater awareness of being environmentally responsible to build towards a more eco-friendly tomorrow and reducing useful organic waste going to landfills through use of our smart bin technology 3.2 Industry Analysis: Food waste removal Industry: Food waste removal. The collection of food wastage to be repurposed for productive use. + Force: High/Low: Justification: Buyer power: High Businesss in the industry have very little need to use any company within the industry. As a result, the buyer power is very high because they can easily and without much trouble, decide not to engage with the food Waste industry. Supplier power: Low There are many New Zealand plastic providers with capability to provide the large bins necessary for the smart bins so supplier power will be low
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3 because it will be hard for suppliers to increase price without remaining competitive with other suppliers. (TCI, 2014) (Plasticraft, 2014) (Plastics New Zealand, 2014) Threat of new entrants: Low There is a relatively large startup cost invlolved with collection of bins as well as creating the infrastructure networks. This combined with the fact the industry demand is quite small would compound together to put the threat of new entrants as low Threat of substitutes: High There are is a few substitutes but the major one would be disposing of food waste in regular wastage systems. This is the practice that we are trying to get rid of. This is shown by the figures on waste management that show that 10.7% of commercial wastage in christchurch alone is reusable organics such as kitchen waste. This shows that a large percentage of wastage is being collected by these competitors. (Christchurch City Council, 2014) Rivalry among existing competitors: High There is a fair bit of ravilary among the existing competitors in the Auckland market. There are many businesses such as (Waste management NZ, 2014) & (We compost, 2014) Overall attractiveness of the industry: The industry is reasonably competitive. This is due to the huge amount of potential supply of food waste as estimated from The business Waste statistics. (Christchurch City Council, 2014) We can see that allthough there is a high threat
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4 of substituets and buyer power, this industry has a large potential for growth and has a market that it can fulfill, especially in a time where eco friendly is seen as a necessity for business in todays society. 3.3 Customers and Thei r Needs The Recycle and Disposal industry have a very large customer base. There is a huge mix of commercial and household and come together to produce 3.2 million tonnes of waste in 2006 alone (Statistics NZ, 2008) Our major customers, businesses in auckland, need to be able to take a proactive step towards reducing the amount of reuseable organic waste and require an infrustructure that can support the massive amounts that they produce. There is a growing need for the provision of an infrustructure suitable for the collection and disposal of food waste in a modern and eco-friendly way as alligned with our vision statement In the 2013 census of New Zealand and Auckland. People in Auckland view green practises of disposal as number two for needs relating to effective wastage management (New Zealand Census, 2013). This is one of the main reasons for why the smart bins would be an approprate and successful idea to be implemented into the Greater Auckland region. 3.4 The Product and Service The smart bins that we offer provide an excellent solution to the needs of our customers. Our customers needs represent a growing need for the provision of an infrustructure suitable for the collection and disposal of food waste in a modern and eco-friendly way as alligned with our vision statement. The bins will provide the infrustucture so desperately needed by the businesses to provide the infrastructure for its proper eco-friendly disposale. The sensors in the bins combined with our gps capabilities provide a modern way of fulfilling the service. The reusing of the organic material is the main process that helps us achieve our vision and is the main reason that businesses will want to use our services so they can maintain an eco-friendly image in a society where more people are eco-savy. 3.5 Suppliers and Partners There are multiple suppliers that will assist the smart bins process. A main supplier will be a plastic producer such as plasticraft (Plasticraft, 2014). They will be able to supply us with the
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5 bins that are necessary to hold the organic waste before it is collected. We will need the provision of sensor technology for the bins which could be found from one of the many tech firms in New Zealand. For ongoing business operation, a major supplier would be Vodafone NZ who would be able to provide us with modern cloud based storage and operations facilities (Vodafone, 2014). These are necessary for proper running of the business. One supplier is also our customer and that is our businesses who we collect wate off. This includes supermarkets and restaurants who supply us with out organic waste.
3.6 Strategy: Focused low cost Competitive scope: Smart Bins targets a rather narrow market as it only targets businesses that have to throw away large amounts of food as opposed to all producers of food waste. This is because smart bins will be expensive to create and it would only be economically viable to distribute our bins to large producers of food waste rather than small household individuals. Cost strategy: The price strategy for smart bins is low. The aim of smart bins is to be as cheap as possible for people using our service. This is because we need to encourage people to join up to the scheme so we can gain economies of scale. Also because they are our main supplier and so are necessary for our business model to succeed. This can be achieved by only charging our service users with the cost of pickup. Additional costs such as maintenance and bin distribution will be absorbed by our business model and the main income will come from the provision of the refurbished waste Strategy: The overall strategy for Smart Bins is therefore, focused low cost. 3.7 Value Chain Activity: Receiving and storing raw material An important value chain activity for our business is Receiving and storing raw materials. The activity of receiving the organic materials from our customers also acts as a service for out end consumer. This is because our customers, Auckland businesses, are also seen as our
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6 suppliers because they provide us with the organic material. Therefore, This is the area that Smart Bins aims to streamline and automate through our technology systems communication. By automating the process of collecting the waste and making the most effective routes for the pickups, it makes it so both the customer of the service and our company mutually benefit from the activity. Through having an efficient pickup, we cut costs in terms of labour and in the usage of our trucks. This enables us to not only have lower costs, but also to be more environmentally friendly, as efficient pickup routes mean less pollution by our trucks. This helps to support our vision for a more eco-friendly tomorrow 3.8 Business Processes
Bin Pickup process: This diagram lays out the Step by step basis of the steps involved with collecting the bins from the business customers. The process is simple in which the business customer continues their business as normal without interuption. The bins full status is identified by the sensors and is processes into our cloud in conjunction with other bins in the vicinity. This information is then relayed to the appropriate truck drivers and the bins contents are collected, and they are transported back to our processing plant. This is related to our Value chain activity by receiving the organic materials
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8 FOOD CONVERSION PROCESS: This involves the conversion from the raw input materials (food wastage) into productive measures such as methane, compost or animal feed. The complicated proccess is simplified in the diagram to demonstrate the food conversion process. It is sorted into the suitable areas and then processed in the appropriate many to produce the ouputs named.
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9 3.9 Functionalities 3.9.1. BIN PI CKUP PROCESS Indentify when the bin is near capacity Organise a route for the driver to take Send a driver on the route 3.9.2. FOOD CONVERSI ON PROCESS Identify the food wastages intended purpose (compost, feed etc) Take the food waste to the relevant processing areas Process the food as needed for each purpose 3.10 Systems
3.10. 1. FOOD PROCESSING SYSTEM- This is the nitty gritty part of the food conversion process in which the waste is processed into its intended purpose. This would include tasks such as cooking the food waste for animal feed. This ralates to the functionality Process the food as needed for each pupose This brings our firms vision of building a more eco-friendly future into action by turning the waste destined for a landfill into productive purpose. 3.10. 2. DRIVER MANAGEMENT SYSTEM This is a necessary system needed to ensure that the drivers know what they are doing and when they are doing it. This will include organising the drivers and notifying them digitally and directing them to empty the bins and transport the contents as well as identifying where the drivers are and what they are doing. This relates to the functionality Send a driver on the route but also plays a small part in most of them as the driver plays a key part in many of the functionalities through his collection and transporting of the bins contents. This is a central part of achieving our companys vision by collecting and transporting the useful waste to our conversion centre to be turned into a productive purpose. 3.10. 3. BIN MANAGEMENT SYSTEM This is another vital system necessary in order to manage the collection of the bins. This is the system involved with identifying bins that are near capacity and submitting this information to a central computer system to organise for the routes to be created and the bins to be collected. This relates directly to the
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10 functionalities Identify when the Bin is near capacity This supports the vision of using our smart bin technology in order to help reduce the organic waste ending up in landfills.
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11 3.11. Summary Table: Value Chain to Systems
Value Chain Activity Processes Functionalities Specific Information System(s) Broad Information System(s)
Receiving and storing raw material Bin Pickup process Indentify when the bin is near capacity Organise a route for the driver to take Send a driver on the route
DRI VER MANAGEMENT SYSTEM BIN MANAGEMENT SYSTEM Supply chain management Decision support systems FOOD CONVERSION PROCESS Identify the food wastages intended purpose (compost, feed etc) Take the food waste to the relevant processing areas Process the food as needed for each purpose
FOOD PROCESSING SYSTEM Supply chain management
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12 CONCLUSION The whole idea of Smart Bins is to provide the infrastructure necessary for the correct disposale of organic waste from business. They do this by offering value to the customer and filling the needs of the consumer. The It systems are necessary for it to function in a way that provides the best value for our customers/suppliers as well as us as a business. Smart bins will help our business to achieve our vision for an eco friendly tomorrow
WORKS CITED Christchurch City Council. (2014, March 21). Home and living. From Christchurch city council: http://www.ccc.govt.nz/homeliving/rubbish/wastestatistics.aspx New Zealand Census. (2013, 11 04). http://www.stats.govt.nz/census/2013-census.aspx. From http://www.stats.govt.nz: http://www.stats.govt.nz Plasticraft. (2014). Plasticraft. From Plastic manufacture: http://www.plasticraft.co.nz/ Plastics New Zealand. (2014). Plastics New Zealand. From Plastics: http://www.plastics.org.nz/ Reclaim Recycling Corporation. (2013, 10 14). http://www.reclaim.co.nz/page.php?ref=vision. From http://www.reclaim.co.nz: http://www.reclaim.co.nz Statistics NZ. (2008). Statistics New Zealand. From Statistics nz website: http://www.stats.govt.nz/browse_for_stats/snapshots-of-nz/Measuring-NZ-progress-sustainable-dev- %20approach/sustainable-development/waste.aspx TCI. (2014). Custom moulding. From tcinz: http://www.tcinz.co.nz/custom_moulding.htm Vodafone. (2014). Vodafone New Zealand. From Vodafone transform your business: http://www.vodafone.co.nz/corporate-and-government/products-and-solutions/cloud/ Waste management NZ. (2014, May). Waste management. Retrieved May 25, 2014 from Waste management: https://www.wastemanagement.co.nz We compost. (2014). wecompost. From Wecompost: http://www.wecompost.co.nz