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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Luke Francis
NetID Lfra158
Group Number: 15
Website Link: http://infosys1102014fcgroup15.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Claris Chung Monday 9am
Time Spent on
Assignment:
Word Count:

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THE PARGET
INTRODUCTION
Our business has come up with an innovative solution using Information Technology to fix
the problem of urine on the floor producing slip and fall injuries in the bathroom. Did you
know that in America 234,000 people are hospitalised each year for slip and fall injuries in
the bathroom. This costs $5.3 billion per year. Our product would solve this problem saving
a significant amount of money.
3. BUSINESS SECTION
3.1 Vision
To provide exceptional bathroom hygiene, reducing accidents and allowing less injuries in
the bathroom while also providing fun for bathroom users.
3.2 Industry Analysis: Bathroom Hygiene
Industry: Bathroom hygine industry because this is in line with the business vision To
provide exceptional bathroom hygiene reducing accidents and allowing less injuries in the
bathroom while also providing for bathroom users.
Force: High/Low: Justification:
Buyer power: High There are currently 16 hygiene companies in New
Zealand alone. This means that buyer power is
high as consumers can shop around to get the
right price so therefore businesses will need to
decrease price to increase market share. (Yellow
Pages, 2014)
Supplier power: Low According to Environmental Expert there are 634
bathroom hygiene suppliers currently. This means

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that there is low supplier power as businesses are
able to shop around from different companies in
order to get the best deal/cheapest price.
(Environmental Expert, 2014)
Threat of new entrants: High Threat of new entrants is high as for a price of
$100000 you are able to afford to purchase a
franchise that allows you to enter the bathroom
hygiene industry. This is not a large amount of
capital needed to enter this industry so therefore
it will not be that hard to enter this industry.
(Franchise Direct, 2014)
Threat of substitutes: Low There are no real substitutes for hygiene products
in the toilet except for bidets, however these are
expensive to install and can waste water, it also
occupies more space so therefore cant fit into a
bathroom properly and for these reasons is not a
viable substitute and consequently threat of
substitutes is low. (Mercola, 2014)
Rivalry among existing
competitors:
High There is a high competition between existing
competitors as they are all trying to reduce costs
according to No Wovens. They are trying to
reduce costs so that they are able to sell products
for cheaper and therefore gain more market
share. (Nonwovens, 2014)
Overall attractiveness of the industry: Low as the market is easy to enter and buyer has a
lot of power in the industry as there are many competitors in the market. There is also a
high threat of new entrants however supplier and substitutes are low. However although

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this is the industry analysis the firm analysis would be very different and would show a
much different picture of the attractiveness a lot more favorable.
3.3 Customers and Thei r Needs
Our bussinesses target customers is everyone. This is as the product helps men and women.
The product reduces urine on the floor (from fun) for both gender to slip on and therefore
creating slip and fall injuries. The business is in a broad market in terms of porters generic
strategies. Our product satisfies the following customers needs: A slip free bathroom
environment, the customers need for a more fun/enjoyable experience in the bathroom
overall, however the second need is just for guys using the bathroom.

3.4 The Product and Service
Our product serves a need/problem that can be avoided. This is as most people have a toilet
and men in their house/workplace. This means that the product to reduce urine on the floor
through the stimulation of fun (by using our product) in the bathroom. This wouldnt just be
helpful for men which is a common misconception, but also females as they share a
bathroom with men. i.e. Mens urine on the floor is not just a slipping hazard for men but
also females. This could be even greater reason as woman may be unaware that urine is in
fact on the floor and can produce slip and fall injuries in the bathroom saving lots of money
for households, companies and governments. This product satisfies the need of the
customer as it provides fun for the user which will reduce urine on the floor and overall
providing a slip free environment inline with the business vision.

3.5 Suppliers and Partners
The business could partner with the toilet producer Villeroy & Boch as this would help both
companies as it would give Villeroy & Boch a unique selling point and it would also give our
company a boost into the industry. The company could also partner with governments as
the money saved from using the product the government wouldnt have to pay (health care

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savings). Perhaps the governement could subsidise the product or either bring it into law
that everybody has to have one for bathroom safety.

The business could use dell as a supplier to make the wireless link between the pressure
plate and the motor. Another business supplier could be Alibaba which could supply the
pressure plate in which the strength is measured (the target).

3.6 Strategy: Red Leicester Chalk and Cheese
The porters generic strategy that would be used is cost leadership. This is as this is a broad
market and we are focussing on low cost. This is as the product isnt a necessity. This means
that to generate the initial interest we need to start at a low price and then raise it so you
can gain market share and overall increase profits.

3.7 Val ue Chain Activity: Bavarian Bergkase Fromage Queso
Marketing and sales- Marketing and sales is our value chain activity as this is how our
business adds value to its product. It does this through providing excellent bathroom
hygiene to reduce slip and fall injuries in the bathroom. Marketing and sales can be shown
through cost leadership in porters generic strategy. This is as the broad market requires the
market to add value and the low cost relies the sales to try and sell it effectively.
3.8 Business Processes
3.8.1. PROMOTION PROCESS - The promotion process is a very important process for a
business. This is as it decides how a product is going to be marketed. As the key value chain
activity is market and sales this makes the promotion process even more important. The
promotion process starts by collecting market research aided by the data collection system
and is also aided by the marketing department. The next step is to analyse if the campaign
should go ahead. If no then that is the end of the process. If its a yes then create the

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marketing campaign then test it on target groups and then implement with target market
and then its the end of the process.
Start
Collect Market
Research
Analyse Market
Research
Decide if
marketing
campaign should
go ahead
End
Create marketing
campaign
Test market groups
Implement market
strategy with target
market
End
Marketing department
Marketing department
Data collection
system
No
Yes


3.8.2. SALES PROCESS - The sales process is important as it controls how the product is sold
which is the key value chain activity process so therefore it is very important. The process
starts when the customer orders the product and this is handled by the sales department.
The next step is to decide if its ordered online. If it is not then the retail store handles it and

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that is the end of the process. However if it is an online order then the order is sent to
warehouse aided with a processing payment system. Next the product is sent to the
business and that is the end of the process.
Start
Customer orders
product
Is it ordered
online
Order sent to
warehouse
Product sent out
End
Retail store handles
sale
End
No Yes
Sales department
Sales department
Processing payment
system



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3.9 Functionalities
3.9.1. SALES PROCESS
Recognises customers orders
Processes customer payment
3.9.2. PROMOTION PROCESS
Collect market research
Analyse market research

3.10 Systems

3.10. 1. DATA COLLECTION SYSTEM This is an important system for the company as it takes
the raw market research and collates it in a way that is easy to understand. It is also able to
collate the data so that you are able to analyse the results. This is important for a business
as this allows the business to make informed decisions and help to the grow the company.
Making correct decisions can also help the businesses vision for exceptional bathroom
hygiene and grow profit.
3.10. 2. PAYMENT PROCESS SYSTEM The payment processing system is one of the most
important systems because if it is not working correctly then how can the business make
money. If the business payment system isnt working correctly then the business could over
charge or not charge at all which could be disasterous as then it would lose market share or
make a significant loss.
3.10. 3. CUSTOMER ORDER SYSTEM The customer order system is important as if the
customers cant order products properly/easily then how can the business survive if its
generating no cash inflow to pay for electricity/wages etc. Therefore if the customer
ordering system is done correctly it can help to support the vision for exceptional bathroom
hygiene.


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3.11. Summary Table: Value Chain to Systems

Value Chain
Activity
Processes Functionalities Specific Information
System(s)
Broad Information
System(s)

Bavarian
bergkase
fromage
queso
1. SALES
PROCESS
2. Recognises customers orders

3. Processes customer payment

Payment processing system

Product ordering system
Transaction processing
system

Transaction processing
system

4. Marketing
process
5. Collect market research

6. Analyse market research

Data collection sytem


Data analysis system
Decision support system

Executive support system

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CONCLUSION
The Parget is a revolutionary device produced to reduce slip and fall injuries in the
bathroom through the stimulation of fun and can save $5.3b in America alone. IT is not only
important to the actual product it also aids the business in functioning and decision making
processes (sales process and marketing process etc). Overall this product would sell well as
there is currently no other products on the market quite like it so therefore it would be a
market leader.

REFERENCES

1. Pages, Y. (n.d.). Bathroom Hygiene. Retrieved May 22, 2014, from
http://yellow.co.nz/new-zealand/bathroom-
hygiene?what=Bathroom+hygiene&where=New+Zealand

2. Expert, E. (n.d.). Industrial hygiene suppliers. Retrieved may 22, 2014, from
http://www.environmental-expert.com/companies/keyword-industrial-hygiene-101

3. Direct, F. (n.d.). Bactronix. Retrieved May 22, 2014, from
http://www.franchisedirect.com/cleaningfranchises/bactronix-franchise-10167/

4. Mercola (n.d.). Why I believe toilet paper is not the best hygiene choice. Retrieved
May 22, 2014, from http://products.mercola.com/toilet-bidet/

5. Industry, N. (n.d.). Hygiene Components: Balancing Performance with Cost.
Retrieved May 22, 2014, from http://www.nonwovens-industry.com/issues/2013-
12-01/view_features/hygiene-components-balancing-performance-with-cost/