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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Braidon Walsh
NetID bwal619
Group Number: 393
Website Link: http://infosys110group393.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Helen Chen Tuesday 1pm
Time Spent on
Assignment:
15 hours Word Count: 1650

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Self-service express Lane kiosk
INTRODUCTION
Fast food just isnt fast anymore; waiting for what seems like ages is extremely
frustrating for customers. Our aim is to eliminate this frustration by allowing everyone
to feel like they are at the front of the queue with our account based express kiosks.
These kiosks are an alternative order process that emphasizes speed and efficiency. Its
core is the touch screen on which you can swipe your special kiosk card and select items
from a large menu or order one of your favourite preset meals. Then simply pay for
your purchase and wait for your order.
Vision
To provide the best fast food ordering system that is not only faster but is actually trusted and
valued by our customers.
Industry Analysis:
Industry: Fast Food Kiosk Industry
Force: High/Low: Justification:
Buyer power: High
Buyer power is low in the industry because there
are many manufacturers of kiosks. (Kiosk
Industry. n.d) This means that fast food chains
have high power as there are many options
where they purchase the kiosks from.
Supplier power: Low
The parts required to make express kiosks are
fairly standardized, therefore they would not be
hard to acquire. For example, there are at least
232 stainless steel companies in New Zealand
(Yellow Pages. 2014) meaning there are many
options to choose from. Therefore, supplier
power in the industry is low.
Threat of new entrants: High
The threat of new entrants is high because the
barriers to entry are mainly low. Express kiosks
are not hard to make which means that it would
be fairly easy for a new company to enter the
industry.

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Threat of substitutes: Low
There is only one real substitute for kiosks;
employees taking orders, therefore the threat of
substitutes would be low. However this is a
common substitute as few fast food chains use
self-service kiosks, emphasized by the fact that
fast food kiosk deployments made up only 3
percent of the global kiosk market in 2009
(Cherryh Butler. 2011).
Rivalry among existing
competitors:
High
There are many competitors in kiosk
manufacturing so the rivalry between the
competitors will be high. (Kiosk Industry. n.d)
They will all be fiercely competing in order to gain
market share and cutting costs to gain more
customers.
Overall the fast food kiosk industry is not very attractive. The industry may be fairly easy to
enter, but it will not be very profitable as buyers have high power due to their many choices
and competition being fierce.
Customers and Thei r Needs
1) Fast food giants. e.g. McDonalds, KFC, and Burger King. These large fast food chains are
always trying to find ways to cut costs and grow their profits, become more productive by
increasing the speed of their sales, and most importantly ensuring customer satisfaction.
Burger King prides themselves on their slogan HAVE IT YOUR WAY which promises that
customers can customize their order to meet their individual tastes. (Burger King. 2014).
2) New entrants to the fast food industry. New firms trying to make their way in the fast
food industry need to set themselves apart from the rest and establish a customer base.
New firms are also very busy during the opening time which will mean that their customers
may have to wait a long time to order their food; our express lane kiosk would help reduce
this waiting time by processing orders faster.
The Product and Service
The kiosks meet the needs of the fast food giants as they are trying to cut costs and lower
prices to beat their competitors. Our kiosks are a replacement for human labour which is
very costly for firms and according to Cryptera (n.d), kiosks on average can save as many as
40 employee hours per week . This saving is massive and will mean that the large
companies can lower prices and still increase profits.
Our express kiosks meet the needs of new fast food firms as they are an innovation to the
industry and can help new firms distinguish themselves from competitors. They are not used

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in fast food outlets here in New Zealand so would definitely be recognized and attract a
customer base, thus helping meet their needs.
Suppliers and Partners
Suppliers:
1) Companies that provide the kiosk software would be a supplier, for example
Advanced Kiosks. They are considered a supplier because we will pay for them to
provide us with custom kiosk software. The software allows our customers to select
a range of different combinations of products and pay for their order.
2) Businesses that provide the touch-screen displays would be another supplier. (E.g.
3M Electronics). 3M are a supplier because they will provide us with the touch
screens and we will pay money for them. The touch screens will be used to display
ordering process where fast food customers will select and purchase their meal.
Partners:
1) Our express kiosk company will partner with shipping and freight companies (e.g.
Mainfreight). Our main connection will be the mutual benefit we provide each other.
Mainfreight will deliver our express kiosks to the fast food companies, and our
company will provide free advertising for them by publicizing that we partner with
Mainfreight.
2) Our kiosk manufacturing company will also partner with a web-design company.
They will design and provide a website for us so we can share our information online
and attract internet customers. In return, they will receive the benefit of having their
logo displayed on our website; acknowledging them as the creator, thus there is no
monetary exchange so they are a partner.
Strategy:
Our start up business will use the cost strategy of high cost because these express kiosks will
not to be cheap to implement at first, but they will pay themselves off in the future. We are
trying to set our kiosk apart from the rest because of the innovative account system where
you can swipe your card and save orders/select from your saved orders, which has not been
done before.
The scope that we are targeting is the broad market. This is because we would ultimately
like all fast food chains to use our account based express kiosks, therefore we are targeting
the whole market.

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Therefore our strategy is the Differentiation Strategy.
Value Chain Activity:
The most important value chain activity for our business is procurement because we are
aiming to have the fastest kiosks that our customers trust and value. Therefore we will
need to source the best quality of components in order to make it the fastest. Acquiring the
best software for our kiosk will ensure that it is also easy to use, allowing our customers to
trust and value the express lane kiosks.
Business Processes
SUPPLIER SELECTI ON PROCESS (SSP) The SSP is important because in order to have the
fastest order processing system, it is important that we find the supplier with the highest
quality of materials. These high quality materials are needed to ensure that our express
kiosk is fast and reliable so fast food chains will trust them.

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Start
Identi fy
requirements
(price/quantity)
Identi fy pool of
suppliers
Select a
potential
supplier
Run a
background
check
Meets
requirements?
Compare to
alternatives
Fine
Yes
Fine
Select supplier
Done
Bad
No
Worse
than
alternatives
Office department
Contract cost
Analysis system
Procurement
department


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RAW MATERI ALS PURCHASING PROCESS (RMPP) -The RMPP is important because we will be
manufacturing the express lane kiosks and in order to do this we need to have high quality
raw materials on hand. If we do not have these high quality materials, the kiosks will not be
as reliable and their value to our customers will fall, thus notfufilling our vision.
Start
Identi fy
required
materials
Fill out
materials
requisition form
Contact supplier
Order
accepted?
Yes
Pay for
materials
Purchase
completed
No Cancel order
Purchasing
department
Production
department
Raw materials
Ordering system




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Functionalities
SUPPLIER SELECTI ON PROCESS
Obtaining information from potential suppliers.
Identifying pool of potential suppliers.
RAW MATERIALS PURCHASING PROCESS
Identifying materials required.
Updating materials order status.
Systems

INFORMATION GATHERI NG SYSTEM (I GS) The IGS will gather the information needed from a
potentail supplier by searching websites and databases to find infromation on prices,
previous trading feedback, and quality of goods. This information is used to compare to our
requirements in a supplier and other alternative suppliers. Doing this will ensure that we
have the best suppliers and inputs to ensure that our kiosks are also of the highest quality
and valued by our customers.
RAW MATERIALS MANAGEMENT SYSTEM (RMMS) -The RMMS will keep track of the level of
raw materials on hand to ensure that we always have quality materials available to us.
When material levels are beginning to run low, this system will notify us, identifying which
materials are low and how much will be needed so we can organise for more to be
purchased. This is important because if we were to run out of quality inputs, our express
lane kiosks would not be the best due to the use of lower quality inputs.
RAW MATERIALS ORDER TRACKI NG SYSTEM (RMOTS) The RMOTS will track the progress of
the request for raw materials and will update its status each time the request moves on to
the next stage, e.g. from pending to the request being approved. This is important because
it allows us to plan the production of our kiosks to ensure that they are always completed in
full, on time, and to specification. This will mean that our kiosks are reliable and that our
customers trust our company and value our service.

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Summary Table

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

Procurement
1. Supplier
selection
process
1. Obtaining information from potential
supplier.

2. Identifying pool of potential suppliers.
Information gathering system


Decision support system.
2. Raw
materials
purchasing
process
1. Identifying required materials.

2. Updating materials order status..
Raw materials management
system.


Raw materials order tracking
system.
Transaction processing
system.

Transaction processing
system.

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CONCLUSION
Our startup company is a kiosk manufacturer aiming to sell our kiosks to fast food chains as
an innovative replacement for human labour. Our operations revolve around I.S as it
provides us with the ability to source and purchase the highest quality of materials for our
kiosks by capturing, processing and storing data and information about our suppliers, the
fast food kiosk industry, and our business activities.
REFERENCES

Burger King. (2014). Our Commitment to Food. Retrieved from:
http://www.bk.com/en/us/company-info/corporate-responsibility/food.html
Cryptera. (n.d). Self Service Changes Customer Experience for QSRs. Retrieved from:
http://www.cryptera.com/industry-solutions/drive-thru
Kiosk Industry (n.d). Standard Kiosk. Retrieved from: http://kioskindustry.org/kiosk-
companies/kiosk-enclosures/standard-kiosk/
Yellow Pages. (2014). Stainless Steel Companies. Retrieved from: http://yellow.co.nz/new-
zealand/stainless-steel?what=Stainless+Steel&where=New+Zealand
Advanced Kiosks. (2014). ADVANCED KIOSKS: Custom Kiosk Software. Retrieved from:
http://www.advancedkiosks.com/software/custom-kiosk-software.php
Cherryh A. Butler. (2011). Kiosks order up faster fast food. Retrieved from:
http://www.kioskmarketplace.com/articles/kiosks-order-up-faster-fast-food/