Name Zhe Hao Qi NetID zqi133 Group Number: 202 Website Link: http://infosys1102014fcgroup202.blogspot.co.nz Tutorial Details Tutor: Day: Time: Yvonne Hong Wednesday 11am Time Spent on Assignment: 16 hours Word Count: 1612 words
2
2 A.R.B.I.S. INTRODUCTION With the invention of computers and the internet, there is a great leap on how data is captured and turned into information. However, information is still restricted on how they are displayed and interacted with due to the problem of having limited workspace. A.R.B.I.S. - Augmented Reality Bluetooth Integration System aims to solve this problem by providing an easily accessible, safe and simple-to-use solution where users will use glassware which picks up Bluetooth signals transmitted by a module to produce a virtual and interactive image. 3. BUSINESS SECTION 3.1 Vision To bridge the gap between the virtual and physical in everyday life through simple and efficient products. 3.2 Industry Analysis: Queso Melted Cheese Industry Industry: Augmented reality devices industry. Force: High/Low: Justification: Buyer power: High Whilst there arent many augmented reality devices widely advertised to consumers- with the exception of the Google Glass; there are many existing but lesser known alternatives available such as the Meta Space Glasses. Supplier power: Low Supplier power is relatively low in this industry as there are many suppliers of the infrustructure required to sustain the data storage and transfer.
3
3 There are also many existing providers of the glassware and other hardware required. Threat of new entrants: Low While normal barriers of entry in technology related industries are quite low, the augmented reality device industry has yet to be fully tested which would mean that financial, time and knowledge barriers put towards R&D are quite high. With further research into the field however, the threat of new entrants will likely increase. Threat of substitutes: High Current sustitutes for augmented reality devices are the tangible devices currently sold such as smartphones and tablets. This threat is currently extremely high simply because of its wide user- base which is estimated to be on average two smartphones for every nine people on earth (Business Insider Australia, 2013). However, as more people get to know about augmented reality devices, this threat will decrease. Rivalry among existing competitors: Low The clear market leader in the augmented reality device industry would be the Google Glass which is the most recognised product sold. This is largely due to Googles strong brand,its excellent marketing tactics to increase customer awareness of their product and its first movers advantage. As such, since Google has almost set up a monopoly within this industry, the rivalry among existing
4
4 competitors can be said to be low. Overall attractiveness of the industry: Overall, this industry is not very attractive currently as augmented reality in enterprise is just beginning to develop (Rivera, J., & Rob van der Meulen, 2014). With the exception of supplier power being low, all other forces appear unattractive, especially the threat of substitutes from other physical devices such as tablets. However, this industry must be entered early for the much more attractive and developed industry in the near future where threat of substitutes will be substantially smaller. 3.3 Customers and Thei r Needs The customer group which we will target initially will be people who are very focused on practicality, productivity and openly embrace new technology. These customers have several key needs. The most important of which is their need for the maximisation of workspace to improve productivity. Other important needs include the need to easily interract with information as well as the ease of access. These needs are satisfied by AR devices which provide a virtual display of data through a physical median such as a glass. As such, this market is expected to see an increase in terms of revenue from around $180m in 2011 to $5.1b in 2016 (Global AR Summit, 2013). 3.4 The Product and Service A.R.B.I.S. is a system where a piece of glassware, which after receiving Bluetooth signals from a nearby module such as a microchip, will be able to produce a virtual image at a precise location; overlaying any obsticles in the way. A smart watch will also be provided which will enable the user to control the perceived distance of the image displayed. For consumers, we will be providing a pair of AR glasses along with a smart watch. We will also provide firms with the opportunity to store information in the data modules so that nearby users of the glass will be able to view the intended information. This solves our initial consumers problems in three ways. Firstly, by not restricting information to the size of a physical screen but displaying it all around the user greatly increases workspace. Secondly, by using a Bluetooth system instead of WiFi like existing AR
5
5 devices, A.R.B.I.S. makes information much more easily accessible to everyone as only around 40% of the world has access to the internet (Internet Growth Statistics, 2014). We have decided to use Bluetooth largely due to the recent release of Bluetooth 4.0 which has a greatly increased data transfer rate (Levis, 2013). Finally, the inclusion of the smartwatch is to ensure that the virtual information can be easily interracted with using a convenient device. 3.5 Suppliers and Partners One of our key suppliers has to be a micro-storage manufacturer such as Hitachi or Soni to ensure the modules can store enough data to be presented to the glassware users. Bluetooth relay chip manufacturers such as Broadcom will be required to supply the chips used for Bluetooth signal transmissions between modules and devices. Vuzix, who is a leading developer of AR software and hardware (Vuzix, 2013) would be a valuable partner to have as they can provide more knowledge of the industry as well as provide us with the glassware technology. Media channels including technology magazines and television stations such as TVNZ will be valuable partners to successfully market A.R.B.I.S. and increase customer awareness of our product. 3.6 Strategy: Differentiation As A.R.B.I.S. is designed to help with the presentation and interaction with data in everyday life, we will be targeting a mass market; giving us a broad competitive scope. Due to the fact that A.R.B.I.S. is a unique AR solution relying on Bluetooth rather than WiFI in addition to high development costs, we will be selling at a premium price similar to the Google Glass. This will mean we have a high cost cost strategy. The overall strategy is therefore Differentiation. 3.7 Value Chain Activity: Marketing and Sales The most important value chain activity for this business is Marketing and Sales. Because the concept of augmented reality and AR devices is still relatively new, most customers will likely not be aware of its benefits and uses or may believe Google Glass is the
6
6 only provider of AR devices. We will need to aggressively market our brand as to differentiate ourselves from the competition and maximise sales. Even existing glassware which are of a similar quality of the Google Glass have failed due to the lack of effective marketing. 3.8 Business Processes 3.8.1. ONLINE ORDER PROCESS - Due to the technical nature of A.R.B.I.S. as well as a rising trend to buy online, the best way to sell is through our online website. As such, this will be a key process in which customers will choose and purchase our product. Confirm order? Select desired product to add to shopping cart Browse selection of products Select payment method Enter payment details and confirm Display confirmation of transaction End Start Continue shopping? Abandon order Yes No No Sales recording systems Accounting Yes
7
7 3.8.2. ADVERTISING PLANNING PROCESS As mentioned before, advertising adds a significant amount of value for A.R.B.I.S. as it will build brand recognition and thus a competitive advantage. A successful advertising planning process will take into consideration our target market and produce a campaign accordingly. A successful campaing can increase sales drastically. Conduct market research Understand marketing objectives Identify target market Design marketing campaign Review campaign End Start Acceptable standard? Market data recording system No Yes Management Marketing Market data analysis system
3.9 Functionalities 3.9.1. ONLINE ORDER PROCESS Displays variety and selection of products.
8
8 Records financial transactions. 3.9.2. ADVERTISING PLANNING PROCESS Tailor campaign to customer requirements. Reduces risk of campaign failure. 3.10 Systems
3.10. 1. ONLINE TRANSACTI ON SYSTEM - This system supports the final stages of the Online ordering system where it allows customers to complete the purchace by paying for the goods selected. Simultaneously, this supports the financial transactions recording function by recording the transaction data. 3.10. 2. CUSTOMER DATA RECORDING SYSTEM By recording customer data gained from market research, the business will be able to later analyse this data to understand how best to promote to customers and thus tailor the campaign to those needs. 3.10. 3. INTERNAL INSPECTING SYSTEM By having managers or executives review the work (in this case the campaign) of their subordinates, they can ensure that the work aligns with the company objectives and is up to a certain level of quality standards. This will reduce the chance of the campaign failing .
9
9 3.11. Summary Table: Value Chain to Systems
Value Chain Activity Processes Functionalities Specific Information System(s) Broad Information System(s)
Marketing and Sales 1. Online ordering process 1. Displays variety and selection of products.
2. Records financial transactions. Online transaction system
TPS
2. Advertising planning process 1. Tailor campaign to customer requirements.
2. Reduces risk of campaign failure. Customer data recording system
Internal inspecting system. TPS, CRM
DSS
10
10 CONCLUSION Riding along the forefront of the rapidly developing augmented reality industry, A.R.B.I.S. is a unique Bluetooth-based system aimed at improving the physical world with virtual support. This solution will remove the space restrictions of physical screens to increase workspace and allow for better interaction as well as provide an easier may of access using Bluetooth. While information technology stands at the core of the business as the nature of the product, it is the information systems which provide the support throughout all our business processes- whether it is delivering the vision, analysing the attractiveness of the augmented reality industry or promotional planning. Information systems is an integral part of A.R.B.I.S.
REFERENCES
1. HEGGESTUEN, J. (2013). One In Every 5 People In The World Own A Smartphone, One In Every 17 Own A Tablet. Retrieved from http://www.businessinsider.com.au/smartphone- and-tablet-penetration-2013-10. 2. Rivera, J., & Rob van der Meulen (2014). Gartner Says Augmented Reality Will Become an Important Workplace Tool. Retrieved from http://www.gartner.com/newsroom/id/2649315. 3. Demand-Led. (2013). Global AR Summit 2013. Retrieved from http://www.demand- led.com/ar/. 4. Internet World Stats. (2014). Internet Growth Statistics. Retrieved from http://www.internetworldstats.com/emarketing.htm. 5. Levi, J. (2013). Bluetooth 4.1 is coming, heres what it means for you. Retrieved from http://pocketnow.com/2013/12/16/bluetooth-4-1-2. 6. Vuzix (2013). Vuzix- Augmented Reality Products. Retrieved from http://www.vuzix.com/augmented-reality/.