Name Nick Benton NetID Nben561 Group Number: 088 Website Link: http://infosys110group088.blogspot.co.nz/ Tutorial Details Tutor: Day: Time: Olivia Tuesday 9am Time Spent on Assignment: 19 hours Word Count: 1632
2
2 PLANET INDUSTRY ANALYSIS INTRODUCTION The problem I found in my D1 assignment was that there was a trend in students missing lectures, deadlines, meetings and club/sport trainings. This was due to online communication websites designed by universities such as CECIL being difficult to navigate. My solution to this issue is a smartphone application (Planet) that students can set up to suit their current timetables which sends out notifications about information that is relevant to each individual student. In a technology driven world where 1 in every 5 people own a smartphone (likely to be higher with university students) an app would be a very suitale idea. (Heggestuen, 2013). This is a solution to students being uninformed. 3. BUSINESS SECTION 3.1 Vision Planet aims to provide a user friendly smartphone application to university students worldwide that manages their university schedules in a simple and efficient manner. Making the world a better place by managing time and tasks in an innovative fashion. 3.2 Industry Analysis: Education Technology Industry Industry: The education technology industry includes businesses that offer computer aided software to support the learning of students. Force: High/Low: Justification: Buyer power: High Buyer power is high because there are many substitue products. Our product is one of the few that is smartphone related (especially in NZ) but Universities can make their own products (like CECIL) or can use different companies that are PC based such as Blackboard or Pearson. (Nabi,
3
3 2012) Supplier power: Low Supplier power is low because there is a wide range of suppliers in the industry The application can be made by Planet employing technology specialists to make their product or by the company forming a partnership deal with a software company. Currently, around 2/5 th of mobile gadgets shipped are of Apple brand signifiying the importantce of smartphones and apps, therefore there are going to be many suppliers in the industry as it is a popular market. (Sharma, 2014) Threat of new entrants: High The threat of new entrants is high because there are always new types of technology being released so it is fairly easy for a business to enter the market with their own unique selling points. Threat of substitutes: High Technology based learning comes in many forms such as computer programmes, podcasts, and interactive tools such as clickers. Therefore there is a large range of substitute products which means that there is large competition in the industry. Rivalry among existing competitors: High As education switches to the flipped classroom approach, where students watch lectures online and communicate with others while doing so, there are gateways for technology based firms to
4
4 join the market. (Brisson, 2014). Currently the rivalry is high with Blackboard having the most market share but companies such as Pearson, Moodle, Sakai and Myedu are also strong competitors in the market. (Nabi, 2012) Overall attractiveness of the industry: Overall the industry attractiveness is low but seeing as Planet are one of the few businesses that offer their product through a smartphone app, I believe that there is room for them to succeed in this industry. 3.3 Customers and Thei r Needs The main target customers are university students within New Zealand and possibly internationally but our product could also be targeted to business managers and CEOs because these people are constantly busy and an application that identifies and organises their meetings and tasks for them would be a valuable asset as it saves a lot of time. University students want to be motivated and have a sense of direction which has needs of being informed and supported. (University of Canterbury, New Zealand 2014) 3.4 The Product and Service The needs of students within NZ and globally will be fulfiled by the product Planet because it does all the researching work for them. Rather than the students having to navigate through university websites and spending a lot of time doing so, the lecturers of the students enrolled subjects will send out the information via the Planet app and the subscribed students will receive assignments etc this way. Students needs are met as they are informed about events/tasks and can save time and understand what tasks need to be done. 3.5 Suppliers and Partners One kind of partner that would be vital to the success of Planet is an app sales business such as the Apple App Store and the Google Play Store. These two businesses would be the ones to offer the application to the consumers and would receive a percentage of sales revenue
5
5 for their actions. Another important partner could be a specialist software company because Planet may not have all the skills that are required to develop a unique app and could form a joint venture with a company such as IBM or BiznessApps. Specialist software companys can also be a supplier to Planet because they are supplying their skill sets and services to Planet. Two suppliers could be BiznessApps and SmudgeApps because these business offer application developing services. 3.6 Strategy: Focussed Low Cost Strategy Planet operates in a focussed low cost strategy. This is because they target only university students which narrows their scope to a small market. Although there are millions of university students across the world, in comparison to the whole population it is a small portion of people. An app is not an expensive product to purchase for consumers so there is a low cost associated with this product which therefore means that there are not large sums of variable costs associated, mainly just initial set up costs. If Planet succeeds in the university market and was to expand to the likes of business people, the strategy would change to a cost leadership strategy because the narrow market would become a broad market. But because of the current narrow market and low cost the overall strategy is therefore a foccussed low cost strategy. 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. Research and development is a key value chain activity for Planet because most of their business is based on making a user friendly smartphone application for university students that sufficiently meets their demands so a lot of market research needs to be fulfiled in order to find out what kind of products consumers want exactly. Research is an ongoing process as Planet will always be looking to upgrade and imporve their product with faster, more efficient technology systems so they will be continuing to carry out research all the time during their operations in order to provide the best product possible and remain ahead of the market. Being a first mover company is important in a narrow market because with
6
6 the low costs, the products are in high demand and if Planet can adapt changing technology the fastest, it will put them in a good position to capitalise on market share. 3.8 Business Processes 3.8.1. MARKET RESEARCH PROCESS- The process of market research involves the research and development department of the business creating relevant surveys, questionaires or interviews that will provide questions specific to their product for people to answer. The next step is the business asking the questions and gaining responses from the target market. Planet then analyses the data and looks for trends and specific information. Next they further analyse it into graphs and information that is easy to read. Finally the business adapts their research to their product so that they can make their product match the needs of the customers.
7
7 Start Invent research questions Ask questions to target market and record feedback Analyse feedback and create presentable graphs Look for trends in the information and analyse key differences and similarities. Adapt research into a product or product update that matches the needs of customers. Do question provide relevant feedback? NO YES Research processing system R&D Department Data analysing system R&D Department End
3.8.2. SOFTWARE DEVELOPMENT PROCESS Involves using the results from market research to develop the product. It is supported by the supply chain management system as the business requires the skills and technolgy of external and internal sources for developing the product. Also it is supported by executive information systems because decisions regarding the development and updating of new products are generally made by executive management.
8
8
Start Use market research to discover wants and needs of the market Create project plans for the application software Source internal or external resources Outsource skills of external business and certain supplies Use internal employees and assets Is software adequate? Assess software and compare to project plan and market research Evaluate and update product to match planned requirements Product complete and ready to be put on market End YES NO Software development installation system Manufacturing department
9
9 3.9 Functionalities 3.9.1. MARKET RESEARCH PROCESS Conduct relevant research Analyse research results 3.9.2. SOFTWARE DEVELOPMENT PROCESS Develop software Test software and make improvements 3.10 Systems
3.10. 1. RESEARCH PROCESSING SYSTEM This system is a customer relations management system because it involves communicating with potentail customers and managing their data that they provide. It supports the vision of Planet because in order to provide a user friendly smartphone application to university students worldwide, initial research must be done to discover the demand of the market. 3.10. 2. DATA ANALYSIS SYSTEM Works with the research processing system to manage university schedules in a simple and efficient manner by analysing the data that is collected from market research. The system transforms the data into graphs and identifies certain trends in the data which helps the business to understand where potential market opportunities are. 3.10. 3. SOFTWARE DEVELOPING INSTALLATI ON PROCESS SYSTEM Relates to the functionality of testing the software and making updates because the updates need to be first developed and then installed into the app. It also relates to the developing software functionality as it is the the system that initially develops the software and reviews it before offering it as a finalised product to the market.
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 and R&D 1. Market research process 1. Collect relevant research
2. Analyse research results Research processing system
Data analysis system CRM
DSS 2. Software developmen t process 3. Test software and make necessary improvements
4. Developing software Software developing installation process system
Software developing installation process system SCM, EIS
SCM, EIS
11
11 CONCLUSION The Education technology industry is a great opportunity for Planet to use their smartphone differentiation to compete against the computer based companies for market share. Considering 77% of 18-29 year olds own a smartphone, there is great opportunity for success in the industry. (Tapshield, 2014)
REFERENCES
1. Brisson, S. (2014). The flipped classroom: in elementary too? Dreambox Learning
2. Heggestuen, J. (2013). One in evey 5 own a smartphone, one in every 17 own a tablet. Business Insider Australia.
3. Nabi, S. (2012). 7 Blackboard competitiors with online learning solutions. Education DIVE. Retrieved from http://www.educationdive.com/news/7-blackboard- competitors-with-online-learning-solutions/35847/. 4. Sharma, V. (2014). Hiring iPhone application development company: What are the important factors? WhaTech. Retrieved from http://www.whatech.com/mobile- apps/20630-hiring-iphone-application-development-company-explore-significant- factors. 5. Tapshield. (April 9, 2014). College Demographic Smartphone Ownership and Usage. Pg 1. Retrieved from http://c2.tapshield.com/wp- content/uploads/2014/03/Data_Sheet_Smartphone_Usage_TapShield.pdf?2066a8 6. University of Canterbury. (2014). Student Support. Retrieved from http://www.canterbury.ac.nz/support/
S.110 Business Systems: Deliverable 2: Business Section 2014 Name Marthalena Heather Netid Group Number: Website Link: Tutorial Details Tutor: Day: Time: Time Spent On Assignment: Word Count: 1641