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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Samuel Charles Bailey
NetID sbai131
Group Number: 369
Website Link: http://infosys110s1group369.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Kit-Wah Wednesday 1pm
Time Spent on
Assignment:
14 hours Word Count: 1274

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SKIN CANCER PREVENTION
INTRODUCTION
Skin cancer rates in New Zealand are among the highest in the world, much of this is
preventable. Sun exposure is the number one cause of melanoma, which is due to the ultra
violet (UV) rays the sun emits. With New Zealand's hot Summer months and diminished
ozone layer, action must be taken in order to avoid over exposure and skin cancer. We plan
to introduce a solution for this; a bracelet that detects the level of UV rays that are present
and directly shows the information gathered through a smartphone application. Informing
the user is vital to keep them knowledgable about the risks facing them and their
surroundings.
3. BUSINESS SECTION
3.1 Vision
To eradicate preventable skin cancer in New Zealand through knowledge and innovation.
3.2 Industry Analysis: Healthcare Industry
Industry: Healthcare Industry.
Force: High/Low: Justification:
Buyer power: High With over 220 public and provate hospitals all
over New Zealand, the buyer has a large range of
choices. The 20 District Health Boards provide
analysis and funding for their respective areas
and cover all of New Zealand. (MTANZ, 2013)
Supplier power: High Supplier power is high as there are few suppliers
for each facet of the industry. This leads to
suppliers having price control with little

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competition. (MTANZ, 2013)
Threat of new entrants: Low The New Zealand Healthcare Industry has very
high barriers to entry. To survive; many
connections throughout the industry, rigorous
entry protocol and great knowledge is required.
These combine to mean it is very tough to start
up within the Healthcare Industry. (Selvadurai,
2010)
Threat of substitutes: Low The only possible substitue is the UVI index card
which shows a very low threat of substitues.
(Cancer Society, 2013).
Rivalry among existing
competitors:
High Due to advertising regulations in New Zealand,
rivalry among competitors is somewhat high. This
is due to it being legal to advertise healthcare
products that would otherwise be illegal in many
other countries. (Portnoy, 2006)
Overall attractiveness of the industry: the New Zealand Healthcare industry is somewhat
unattractive externally, as suppliers and buyers have high power. However, internally the
industry is quite attractive, with low threat of new enterants and substitues, albeit high
rivalry among competitors. Overall, this indstry is attractive.
3.3 Customers and Thei r Needs
Our main customers are New Zealanders of all ages, however we can esspecially focus on
the 25 to 44 year old males as they are the demographic in which skin cancer is the most
common, with 25 to 44 year old females being second (Cancer Society, 2013). These
customers need a non-intrusive solution which can easily integrate with daily life. They are
technologically savvy and thus have no problems with using it in a product.

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3.4 The Product and Service
The bracelet detects and monitors UV levels, sending information to a linked smartphone
application. This meets the needs of the 25 to 44 year old demographic as it is small, out-of-
the-way and integrates with technology that they likely already own (smartphones). It
provides a simple method in which they can monitor their UV levels and reduce the risk of
skin cancer significantly.
3.5 Suppliers and Partners
Suppliers: We would use a technology company such as Logitech to supply us with the
technology and components of the bracelet, allowing us widespread manufacturing of the
product and opening up channels to other affiliates of Logitech. We would also have the
District Health Board supply us with data and statistics to build the programming
neccassary, giving us accurate information to provide the best product to customers.
Partners: We would look for an app development company to partner with us. This would
allow us to constantly release updated software, enhancing the product throughout its
lifespan. Partnering with a distribution firm would also be very beneficial as it would provide
country wide transportation on a consistent basis.
3.6 Strategy: Cost Leadership
As this product is designed to reach as many New Zealanders as possible, we must focus on
a broad market stratergy. This allows us to ensure we cover many demographics and not
exclusively the 25 to 44 year old market.
If our vision is to be achieved then the cost strategy must be a low cost strategy. This lets us
target a wide range of people easily, giving the best possible chance to spread the product
across many demographics.
The overall strategy is therefore Cost Leadership.



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3.7 Value Chain Activity: Service after the sal e
The most important value chain activity for this business is service atfer the sale
After the initial sale of the product, we must continue to service the customer through
application updates, gathering information through the bracelets and additional research.
This is important as it is the most feasible manner inwhich to prevent skin cancer for our
customers. It also encourages the customer to use the bracelet consistently through
customer care.
3.8 Business Processes
3.8.1. INVENTORY MANAGEMENT PROCESS - For the business to thrive and the product to be
distributed to New Zealanders, this process is very important. To distribute the product to
New Zealanders, we must ensure we have ready access to sufficient inventory at all times.
This process allows us this.

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3.8.2. SALES PROCESS - In order for this business to thrive and achieve it's vision, we must
have a robust sales system to ensure efficient product distribution and income stream. By
ensuring a quick interface with the customer at this stage of the relationship, we can foster
a positive atittude torwards the company and prodct, ensuring a long term relationship.



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3.9 Functionalities
3.9.1. INVENTORY MANAGEMENT PROCESS
Inventory analysis and tracking through software
Order tracking
3.9.2. SALES PROCESS
Online ordering
Order management software
3.10 Systems

3.10. 1. INVENTORY MANAGEMENT SYSTEM - An inventory management system will allow us
to analyse and track our inventory. It falls with the DSS system and will help us decide when
to order new inventory and if we become over stocked.
3.10. 2. ACCOUNTING SYSTEM - Falling under the TPS type of system, an accounting sstem will
alow us to ensure we our finances are in order, keep track of what is owed and analyse
incoming and outgoing monetary streams.
3.10. 3. PURCHASING SYSTEM - Part of the TPS broad system, a purchasing system will allow
us to create and send purchasing orders to suppliers with ease. This means the inventory
management process is significantly sped up and thus more efficient.

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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)

Service
After the
Sale
1. Inventory
Management
Process
1. Inventory analysis and tracking

2. Order tracking
Inventory Management
System
DSS



2. Sales Process 1. Online Ordering

2. Order management software
Accounting System

Purchasing System
TPS

TPS

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CONCLUSION
With the use of information technologies, we can help distribute the bracelets throughout
New Zealand, helping to reduce skin cancer and work torwards our vision. By informing the
user of the risks they face, we can reduce their chances of getting preventable skin cancer.
With information systems like inventory management systems, we can ensure a long term
profitable company.
REFERENCES

Cancer Society. (2013). Costs of Skin Cancer. Retrieved from
http://www.cancernz.org.nz/reducing-your-cancer-risk/sunsmart/about-skin-cancer/costs-
of-skin-cancer/
Medical Technology Association of New Zealand. (2013). Overview. Retrieved from
http://mtanz.org.nz/NZ-Market-The-NZ-Healthcare-Market/Overview-6374.htm
Medical Technology Association of New Zealand. (2013). A Guide to Market Access in New
Zealand. Retrieved from http://mtanz.org.nz/NZ-Market/A-Guide-to-Market-Access-in-NZ-
6484.htm
Portnoy, S. (2006). Advertising and Promotion of Medical Devices. Journal of Health Law.
39(2). Retrieved from
http://www.healthlawyers.org/members/practicegroups/ls/documents/portnoy.pdf
Cancer Society. (2013). Skin Cancer Facts and Figures. Retrieved from
http://www.cancernz.org.nz/reducing-your-cancer-risk/sunsmart/about-skin-cancer/skin-
cancer-facts-and-figures/