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INFOSYS.110 BUSINESS SYSTEMS:


DELIVERABLE 2: BUSINESS SECTION
2014

Name Finn Taylor
NetID ftay767
Group Number: 100
Website Link: http://infosys1102014fcgroup100.blogspot.co.nz/p/d1.html
Tutorial Details
Tutor: Day: Time:
Claris Chung Monday 12pm
Time Spent on
Assignment:
22 hours Word Count: 1643

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BUSINESS SYSTEMS: SOLAR SAVERS.
INTRODUCTION
Our business wants to solve the enviroment threatening and global problem of fossil fuels,
being our main source of energy. So we have developed Solar savers, a cheaper, more
efficient solar panel to combat the dominance of fossil fuels as our energy provider.
3. BUSINESS SECTION
3.1 Vision
Our vision is to develop the cheapest and most efficient renewable solar power source
available. We want to make the world a better place by increasing the use of solar power to
fufill our energy needs as fossil fuels are leading cause to global warming.
3.2 Industry Analysis: Solar Power Industry
Industry: Solar Power Industry in New Zealand.
Force: High/Low: Justification:
Buyer power: High Buyer power is high, as there are 32 companies
in the solar power industry in New Zealand,
which give buyers have many choices to choose
from. (My Solar Quotes, 2014.)
Supplier power: Low There are more than 100 cell manufacturers
selling to businesses. So supplier power is low
because there are many suppliers. (IT Power
Australia and Southern Perspectives, 2009).


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Threat of new entrants: High Threat of new entrants is high as its relatively
easy to enter the industry. Only a small amount
of capital is required to buy solar power material
from wholesalers for resale. The only other cost is
hiring installers, as costs include installation
when purchasing solar panels. (Hamish McNicol,
2014).
Threat of substitutes: High Solar power is not the only power source as there
other renewable sources, hyrdro, geothermal,
wind and marine energy and non-renewable
sources such as gas and coal. Solar power
makes up around 0.1 percent of New Zealands
electricity and renewable sources make up 73
percent. So the threat of substitues is high.
(Consumer.Powerswitch, 2014).
Rivalry among existing
competitors:
High Rivalry among existing competitors is high as
there are many companies in the industry. This
has led to aggressive measures taken to get the
most customers as possible in New Zealand.
Therefore, rivalry among existing competitors is
high due to the fierce competition (Frost &
Sullivan, 2010).
Overall attractiveness of the industry: The attractiveness of the industry is very low as
buyer power is high, threat of substitues is high and rivalry among existing competitors is
high. Even though the barriers to entry are low, this is a very competitive industry so many
business potentials would not be looking to start here.
3.3 Customers and Thei r Needs

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The main potential customer for Solar Savers are home owners. Our Solar
Savers work best on top of roofs so home owners are our main target as a
potential customer. Home owners are looking for cheaper substitue for their
regular electricity provider because power bills have basicall y doubled in the
past decade in NZ. (Hamish McNicol, 2014). Also home owners are mindful of the
environment, We couldnt work out any positives for it at all, expect thats its a lovely
idea they are talking about newly installed solar panels and the lovely idea is that it is good
for the environment. (Sarah McConnor, 2014).
3.4 The Product and Service
Our Solar Savers meet the needs of the potential customer because they provide an
renewable energy source to run the home for the lowest of costs. An example of customer
who bought a regular solar panel said we couldnt work out any positives for it at all,
expect thats its a lovely idea because the solar panel didnt produce enough electricity
and was too expensive. Our Solar Savers have a new tungsten based absorber, that converts
light wavelengths into electricity that normal silicon absorbers pass through, added with the
original solar panel design to increase efficiency. This could have an 80 percent efficiency
rating compared to mid-30S and tungsten in extremely plentiful so its cheaper to
produce. So Solar Savers meets the needs of our main potential customer as it produces
more electricity, costs are decreased and solar power is renewable energy so its good for
the environment. (Ryan Whitwam, 2013).
3.5 Suppliers and Partners
A potential supplier for Solar Savers is Tungsten & Tool Ltd (T&T). T&T specialise in working
with Tungsten so they would be a perfect supplier for our Tungsten based absorber and
they are located in Whangerai, New Zealand. (Tungsten & Tool, 2014). Another potential
supplier is Solar Electric Technology (SET). SET specialise in sustainable energy solutions so
this would fit with our business as we need the basic solar panel technology to create our
Solar Savers. (SET, 2014)
A potential partner for Solar Savers is a house building companies like Golden Homes. This
would be benefical for both parties as we will sell and install our Solar Savers on the house
that theyre building, which would lead to an increase in value of the house Golden Homes

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is selling. Another potential partner is Energy Efficient and Conservation Authority (EECA).
EECA is about promoting energy efficiency, energy conservation. So EECA could advertise
the use of Solar Savers as a useful renewable energy source, which would help both
partners. (EECA, 2014).
3.6 Strategy: Cost Leadership
For Solar Savers, our method is Cost Leadership. Firstly, our cost strategy is low cost as our
Solar Savers are less expensive than the solar panels available today. Tungsten is extremely
plentiful, which means low cost for the excess supply, so our important tungsten based
asborber is cheaper than the normal silicon based asborber. (Ryan Whitwam, 2013).
Our competitive scope is broad market as our potential customer is home owners. Home
owners, is a very broad market and will want to switch to solar power due to lower costs.
The overall strategy is therefore Cost Leadership
3.7 Value Chain Activity: Technology and Development (R & D)
The most important value chain activity (VCA) for this business is Technology and
Development (R & D)
Technology and Development is the most important VCA because this delivers the most
value. We have discovered this tungsten based absorber and how to incorporate this with
the solar panel through processes related with technology and development. From this, we
are able to develop these cheap and more efficient Solar Savers which gives us a
competitive advantage. This VCA has made the strategy Cost leadership, due to the low
cost and is helping fufill our vision by dcreasing global warming through solar savers.
3.8 Business Processes
3.8.1. TUNGSTEN TESTING PROCESS The Tungsten testing process is used to test how much
much Tungsten material is needed for what output and to test the efficiency of the material.
Firstly we start by obtaining the Tungsten based material and then developing into an
absorber so it can be tested. Then its tested for how much sunlight is converted into
electricity in relation to the exposure of sunlight. If the electricity converted is at expected
level then we can go ahead with that amount of tungsten material and start the
development of the Solar Saver. If the electricity converted is below expectations then the

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problem will be evaluated. This process delivers value as the Tungsten testing process lets
us perfect the use of the Tungsten material, which will give us a competitive advantage.




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3.8.2. PRODUCT DEVELOPMENT PROCESS The Product Development Process is used so the
best possible product is developed. Firstly we start by obtaining the materials and then
using those materials to develop our product. Then its tested to make sure the product is
working at expected levels and if so, the product is manufactured for sale to customers. If
not, then we evaluate and repeat the process. This business process adds value because this
process ensures only the best quality products are sold to customers, which gives us a
competitive advantage.



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3.9 Functionalities
3.9.1. TUNGSTEN TESTING PROCESS
Measures the Tungsten to desired length.
Calculates the amout of electricity obtained.
3.9.2. PRODUCT DEVELOPMENT PROCESS
Integrates the Tungsten material with the solar panel.
Develop designs for the Solar Savers.
3.10 Systems

3.10. 1. TUNGSTEN MEASURI NG SYSTEM The Tungsten measuring system is able to measure
lengths of Tungsten based absorber that are needed for our product. Through the use of IT,
this system is able to measure accurately and repeatedly to gain the exact results as many
times as desired. This causes quality results everytime, and with our cheaper materials, we
are able to create the cheapest and most efficient solar power source.
3.10. 2. TUNGSTEN DATA ANALYSIS SYSTEM - The Tungsten data analysis system is able to
examine the results of the testing and calculate the amount of electricity obtained. Through
the use of IT, accurate results of testing are achieved so only quality products can pass
through this systems testing. This helps us create the most efficient solar power source as
only the most efficient length of Tungsten material will used for production.
3.10. 3. PRODUCT DEVELOPMENT SYSTEM The product development system is able to
develop the solar savers as desired by bringing together the tungsten based material and
the current solar panel technology. This systems also develops designs desired by us, to help
the integration process. This system is essential to creating our product so it is essential for
developing the cheapest and most efficient solar power source.

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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)

Technology
and
Development
(R & D)
1. Tungsten
Testing
Process
1. Measures Tungsten to desired length.

2. Calculates the amount of electricity
obtained.
Tungsten measuring system

Tungsten data analysis
system
Decision Support Systems

Decision Support Systems
2. Product
Development
Process
1. Integrates the Tungsten material with the
solar panel.

2. Develop designs of the Solar Savers.
Product development system



Decision Support Systems



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CONCLUSION
In conclusion, Solar Savers should be very strong in this industry, as we have a strategy set
out and a competitive advantage due to our business processes that delivers value. IT is very
important for our business as IT helps run the business processes and achieve our vision.

REFERENCES

1. My Solar Quotes, 2014. Our Solar Installers. Retrieved from
http://www.mysolarquotes.co.nz/solar-installers/solar-installers-directory

2. IT Power Australia and Southern Perspectives (2009). Assessment of the Future Costs
and Performance of Solar Photovoltaic Technologies in New Zealand. Retrieved from
http://www.fivepower.co.nz/uploads/64136/files/PV_in_New_Zealand.pdf
3. McNicol, H. (2014). Are solar energy systems worth the cost? Retreived from
http://www.stuff.co.nz/the-press/business/the-rebuild/9329703/Are-solar-energy-
systems-worth-the-cost
4. Consumer.Power. (2014). Green Energy. Retrieved from
https://www.powerswitch.org.nz/powerswitch/site-info/powerswitch-faqs/green-
energy.
5. Frost & Sullivan. (2010). Australia & New Zealand solar PV market report. Retrieved
from http://www.renewableenergyfocus.com/view/10304/australia-new-zealand-
solar-pv-market-report/
6. McConnor, S. (2014). Solar savings not clear cut. Retrieved from
http://www.stuff.co.nz/business/money/9732703/Solar-savings-not-clear-cut
7. Whitwam, R. (2013). New nano-material could boost solar panel efficiency as high as
80%. Retrieved from http://www.extremetech.com/extreme/168811-new-nano-
material-could-boost-solar-panel-efficiency-as-high-as-80
8. Tungsten & Tool. (2014) Welcome to Tungsten & Tools. Retrieved from
http://www.tungstenandtool.co.nz/
9. Solar Electric Technology (2014) About Us. Retrieved from
http://www.esolar.co.nz/about-solar-technology-nz
10. Energy Efficient and Conservation Authority. (2014). Welcome to EECA. Retrieved
from
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