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INFOSYS.110 BUSINESS SYSTEMS: DELIVERABLE 2: BUSINESS SECTION SUMMER 2014 Name NetID Group Number: Website Link: Tutorial Details Time Spent on Assignment: Priscilla Khang pkha552 Group 27 http://informationsystemsss2014group27.blogspot.co.nz/ Tutor: Day: Time: Yvonne Hong Tues + Friday 2pm 25 hours Word Count: 1644

SMART ULTIMATE SCANNER SYSTEM

1. INTRODUCTION

The Smart Ultimate Scanner System (SUCS) is a discreet security system for clothing retailers to strengthen security within stores to prevent shop lifting. This business report will be a continuation from Deliverable 1 which contains an in depth analysis of the solution and how it will be created.
3. BUSINESS SECTION 3.1 Vision

We intend to provide our customers with the best security system, with a smart, discreet and easy to use system that is reliable and of top quality.
3.2 Industry Analysis:

Industry: Clothing Retail Security Industry

Force:

High/Low:

Justification:

Buyer power:

High

There are many security options in the clothing retail industry; such as labels, hard tags, micro clamps, tags and pins etc (ADT Security, 2014).

Supplier power:

High

There are many suppliers out there who can supply security tags and security sensor systems within NZ suchs as ADT, Vitag, Top Sensor and many more suppliers Internationally.

Threat of new entrants:

High

There are many security options in the clothing retail industry meaning that it is easy for new competitiors to enter the clothing retail security
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industry as the entry barrier is low.

Threat of substitutes:

Low

There is really no other alternatives when it comes to retail security in clothing stores as all stores implement security systems involving door sensors and security tags of some sort. There is no substitute products or services when it comes to security as it is all technology and system based which human kind cannot pick up on themselves and therefore rely heavily on security systems when it comes to theft.

Rivalry among existing High competitors:

The competition for the clothing retail security industry is fierce as there are many retail security companies out there.

Overall attractiveness of the industry: Based on the industry analysis, it is not favourable to enter the clothing retail security industry because competition is high already and business strategy is lacking in competitive advantage. It would only be good to enter this industry if a new product and/or service has a first mover advantage by creating a differentiated product with unique differences to what is available already out in the market to reduce rivalry and competition between existing competitors.
3.3 Customers and Their Needs

Our product is only relevant to clothing shops and therefore our customers are clothing retail owners and store managers. Clothing stores needs are high level security systems that are reliable and efficient. SUCS is reliable as the security code is always active from the stock room and right up until point of sale.

3.4 The Product and Service

SUCS is a strict security system as the security code can not be removed unless the item has been paid for. The QR codes are encoded to the items of clothing and acts as the security tag. The QR codes are only visible under UV light which means customers are unaware of security code so if they walk out of the store attempting to steal, the automatic sensors will alert staff straight away. From clothing retailer owners and store managers point of view, store thefts will be reduced as SUCS takes away the opportunity and the easiness to steal which results in increased profits for the store.
3.5 Suppliers and Partners

My QR Code Supplies QR code generating system for creating the unique security tag (My QR Code, 2012) QRStuff Supplies QR scanner to scan customade QR code (QRStuff, 2013) Ellsworth Adhesives Supplies UV light system (Ellsworth Adhesives, 2013) ADT Security Supplies sensormatic pedestal system to detect theft (ADT Security, 2014)

Our partners are: New Zealand Clothing Retailers for instance: Glassons, Jeans West, Dotti, Forever New etc. They are our partners because they benefit from our product and it will be a mutual relationship as we are providing them with the product and by using it and in return, thefts in their stores will reduce.

3.6 Strategy:

Competitive scope: Our business is targeting a broad market as there are many clothing retailer stores in New Zealand and every store needs strict security systems. Cost Strategy: The price strategy of our business is going to be high as it will cost a lot of money to set up the system, especially with the QR codes and making them only visible under UV light which will be costly. The overall strategy is therefore differentiation.
3.7 Value Chain Activity:

The most important value chain activity for this business is making the product or service. This is because we have to make sure that our product performs to the customers expectations as it is of high cost. The product will need to be tested numerous times for performance accuracy (i.e. to be able to detect the item of clothing if a customer attempts to steal it and for the security code to remain active right up until point of sale) and to ensure that it can achieve our vision of providing our customers with the best security system, with a smart, discreet and easy to use system that is reliable and of top quality.

3.8 Business Processes

3.8.1. Product testing process: Product testing will measure the performance and reliability of the product as it will test for any potential errors. Testing will be done in a clothing store afterhours. This process will verify if the system meets all the business expectations and requirements and is related to making the product as it needs to perform to our customers expectations as their reputations and profits will be at stake if this is unsuccessful. Our product has to be tested as we want to make sure that we are providing our customers with the best security system that is reliable and of top quality. As this product is high cost we must ensure that it delivers value to our customers.

3.8.2 QR scanning process: QR scanning process will involve the actual scanning of the uniquely generated QR codes onto the items of clothing. This process will take place in stores when staff are unpackaing new stock. They will use the QR scanner to scan the items of clothing and check that the codes have been scanned on the items correctly under UV light. This process will ensure that security codes remain active on the items of clothing right up until point of sale and will result in stricter security. Our product is monitored and checked throughout the QR scanning process as we are promising to provide our customers with the best security system that is reliable and of top quality. Therefore being a high cost product we must ensure it delivers value to the buyers.

3.9 Functionalities

3.9.1 Product testing process Assessing product against criteria to check and see if it matches requirements Testing of the product for errors or faults

3.9.2 QR scanning process Ensuring that the codes are scanned correctly onto items of clothing Checking all items of clothing at the end of scanning process to see if any have been missed out

3.10 Systems
D

3.10.1. QR Scanning System The system tags all items of clothing with the QR code scanner in the store room when staff are unpacking stock. It ensures that all scanned codes remain active right up until point of sale. This is crucial for SUCS so staff can rely on the product and not have to worry about shop lifters. This means that we are supplying our customers with the best security system that is reliable and sustainable. 3.10.2. Automated Sensor System This system detects if any theft occured in the store. The automated sensors at the front of the store will pick up on items of clothing that havent been paid for. This system is vital for SUCS because if the system fails to pick up on theft, then shop lifting will continue to rise and profits will be reduced. This means that our system is reliable which supports the vision of our business 3.10.3. UV Scanning System This system primarily scans the items of clothing at the point of sale phase. The UV light scanner locates the security code and scans it to deactivate the code. This system ensures that the items of clothing has been paid for so when customers walks out of the store with their purchase, the automated sensors will not beep. This means that our system is smart and discreet as it is not visible under the normal eye so customers are unaware of the security system and will need to pay for the items making stealing difficult. This means that our system supports the vision of our business.

3.11. Summary Table: Value Chain to Systems

Value Chain Activity

Processes 1. Product testing process 2. QR Scanning process

Functionalities 1. Measures the performance and consistancy 2. Tests for errors 1. Scanning generated code onto clothing 2. Checking all scanned items

Specific Information System(s) Controlled monitoring system

Broad Information System(s) Supply Chain Management

Making the product

QR Scanning System

Transaction Processing System

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CONCLUSION

Overall SUCS is an effective security system that should be implemented in all NZ Clothing Stores as it is effective and reliable. SUCS will improve customer satisfaction as it will reduce store thefts and increase profits for business owners as revenue will not be lost. SUCS is a company with a first mover advantage in a broad market as it will be the first differentiated product to enter the industry as the security codes cannot be removed by customers. Its unique and proactive solution will drive demand for the product. Security in clothing stores is extremely important for all NZ Retailers as shop lifting is costly if it continues to rise. Therefore this makes SUCS more attractive and can result in expansion to global markets as shop lifting is not only an issue in NZ but in all clothing retail stores globally as all stores are in need of stricter and reliable security systems.

REFERENCES

1. New Zealand Retailers Association. (2013). Fighting back. Retrieved from http://www.retail.org.nz/downloads/security.pdf 2. ADT Security. (2014). Retail Security Solutions Loss Prevention. Retrieved from http://www.adtsecurity.co.nz/retail?utm_source=google&utm_medium=cpc&utm_c ampaign=Retail++Security+%5BP%5D&utm_term=retail%20security&utm_content=syszaclF0|pcrid|2 9811855415|pkw|retail%20security|pmt|p&gclid=CKbA34jAtrwCFYqPfgodeUEAdQ 3. My QR Code. (2012). Customise my QR code. Retrieved from http://www.myqrcode.co.nz/ 4. QRStuff. (2013). Get your QR codes out there!. Retrieved from http://www.qrstuff.com/ 5. Ellsworth Adhesives. (2013). Uv Curing Equipment. Retrieved from http://www.ellsworth.com/UV-Curing-Equipment/

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