ICT50118 Information Technology
Read the following case study and answer the question below.
CoffeePlus is a company that specializes in barista style coffee that consumers can make at home. Its’ singular focus is on delivering highest quality coffees and ultimate coffee experiences to its consumers. CoffeePlus competes in both the business-to-consumer and business-to-business segments. The entire CoffeePlus system – the interaction of the original CoffeePlus aluminium capsule with the genuine CoffeePlus machine – is designed to ensure consistent quality. Every CoffeePlus capsule is produced in one of two state-of-the-art production centres and its unique business model allows CoffeePlus to guarantee the quality at every stage of the sourcing, production and sale of its coffees, and to maintain a direct relationship with its consumers
CoffeePlus’s key activities include production, distribution, marketing as well as patenting its technology and the blend of coffee it uses. The strategic partners of the company include rainforest alliance members (a not for profit organization dedicated to the conservation of tropical forests), sustainable agriculture networks, the international finance corporation, international union for conservation of nature and the Colombian coffee growers’ federation, amongst others. The coffee capsules and machines are distributed via stand alone CoffeePlus outlets or in kiosks in department stores or through phone or mail orders and its website. The only way the company generates its revenue is through sales. The business model ensures that consumers purchase the high end coffee machines together with the capsules so that they can enjoy the barista style coffee at home as well as at work. The key resources of the company are its manufacturing plant, transportation vehicles and raw materials for production. The company’s main expenses include advertising, transportation, rental/ production costs. It promotes its products using advertisements and by providing membership cards to its loyal customers. The company has a website that allows basic functionality for visitors to browse and buy products online. There are, however, limitations to the ease of use of the website for new visitors. An initial discussion with management indicates limitations such as the website’s inability to attract a significant number of new visitors thereby not able to increase lead generation as well as the fact that the existing platform is outdated.
Apart from that, the company is not generating profits as expected because of lack of co-ordination between the different departments. The two main areas of miscommunication are logistics with production; and sales with production. This is largely due to a system that is not connected and departments find it difficult communication with each other.
Now the company wants to come up with a new business model which will make all of its business processes online. Within a year, CoffeePlus aims to eliminate all its kiosks and stand alone shops.
Based on the case study and structure, you are required to answer the following questions:
1.Identify the business flow in the current business model
2.Identify the gaps in the current business model as well as ways in which this business model can be improved
3.Research and propose new/ emerging business processes that can be used to improve the current business flow. Gauge the opportunities that the new business model would provide and prioritize them.
4.Identify the change in technology and business supply chain for the proposed business model. You are required to also research business models used in other industries as there may be relevant technologies that you can incorporate into CoffeePlus’ business model.
5.Propose an alternative business model which you believe can overcome the problems faced by CoffeePlus
6.List the 5 bench marks for your proposed e-business model
7.List steps to evaluate the performance of the proposed business model
8.List 5 strategic business partners for the proposed business model.
9.List two technologies you will suggest for the proposed business model.
10.How does a copyright and patent law help to protect the intellectual property of Coffee Plus?
11.Why should you consider website architecture for online business?
12.Supply chain management refers to the "design, planning, execution, control, and monitoring of supply chain activities. It is used to build a competitive infrastructure, leverage worldwide logistics, synchronizes supply with demand and measures performance globally”. Based on this definition, you are required to map CoffeePlus’ existing supply chain model with that of an external party e.g. distributor, coffee bean supplier, etc.
13.Conduct a research for a business model for the retail industry. Your answer should include the following four type of retailers
a. Independent Retailer
b.Existing Retail Business
14. What are the criteria involved in selecting the appropriate business models?
15.What is environmental scanning? Why is it important for the organization?
16.What is Business process modeling?
17.What is electronic commerce modeling language?