1

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: 1541

2


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

3


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).

4


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

5


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

6


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.

7


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

8


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



9


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.

10


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

11

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