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INFOSYS.110 BUSINESS
SYSTEMS:
DELIVERABLE 2: BUSINESS
SECTION
2014

Name Michael Feng
NetID Mfen980
Group Number: 295
Website Link: http://infosys1102014s10295.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Kirsten Thrusday 1pm
Time Spent on
Assignment:
6 hours
Word
Count:
1442















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IHYDRATE
INTRODUCTION
iHydrate is an application which is downloadable for free on smartphones.
The problem is that University students are not drinking enough water every
day. This may be caused by the cost of a bottle of water or cheaper substitutes
like Coke. Water is important to stay healthy. Some of the key benefits of
water include reduced risk of diseases, healthy skin, healthy kidneys, energize
muscles.
The solution to this problem is the app we called iHydrate. This app acts as a
pedometer, where each step will contribute to points. These points can then be
used to exchange a bottle of water. This will increase consumption of water for
University students.
3.BUSINESS SECTION
3.1 Vision
To encourage a healthy lifestyle for student, promoting exercise by rewarding
students with free water.






3.2 Industry Analysis: Smartphone Application
Industry: Smartphone application industry that rewards healthy behaviour
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Force: High/Low: Justification:
Buyer power:

Low There are many apps to choose eg. Water
your Body. This app reminds you drink
enough water a day. Very few apps have
rewards for healthy behaviour. The buyer
power is low because there are no
smartphone app that rewards healthy
behaviour so the buyer does not have
many sellers to choose from. They have
little ability to impact the price they are
willing to pay for an item.

Supplier power:

Low The suppliers are the software/
application designers. The designers are
needed to make the application work
successfully and run smoothly.
The supplier power is low as there are
many software/application designers out
there. They cannot directly influence the
price as we can switch to new application
designers.

Threat of new
entrants:
High Smartphone apps are easy to make
nowadays. The threat of new entrants is
high because there are no barriers from
making Smartphone apps. Also it does
require computing, designing skills, it is
quite common for people to design apps.

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Threat of
substitutes:
High There is no substitute for Smartphone
apps that rewards healthy behaviour.
However, the reward, water can be
substituted through students bringing
their own water bottles to University
instead.
Rivalry among
existing competitors:
Low The rivalry against smartphones apps
that reward healthy behaviour is low
because there is no application that
rewards healthy behaviour today.

Overall attractiveness of the industry: Low
There are many potential buyers (water bottle companies). The attractiveness
of the industry is low because the Threat of Substitutes are high and the Threat
of new entrants is high. There are no barriers to making smartphone apps so
many people can enter the industry who can design apps. There is no
substitute for smartphone apps that reward healthy behaviour. Students have
the ability to bring their own water bottles to University so the app will not be
necessary for students.



3.3 Customers and Their Needs
The main potential customers are bottled water bottle companies such as
PUMP and H2G0. These companies are businesses that need to increase
sales, expand their brand name to increase their sale profits. The
iHydrate app is a form of advertising and the company will get a chance
to brand it company onto the application. University students who use
this application will recognise the brand and be more aware of the
product.
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3.4 The Product and Service
The product, iHydrate will satisfy the water bottled companies such as
PUMP and H2GO by the increase the consumption of their product. Their
product will be recognised around the University as many students will
be carrying them around and the company will be well-known. Students
may become loyal to this brand and develop trust with this product. So
students will likely buy this product than the others. This will lead to
increase in sales and profit for the company that has invested in the
iHydrate app.
3.5 Suppliers and Partners
Suppliers
List of potential water bottle companies (NZ)
PUMP
H2GO
Aqua pure
Naturally pure
New Zealand Quality Waters
Takaka Springs
These are potential companies that could purchase the iHydrate app to place
their brand. They will need to supply their products to the vending machines
on campus for the reward for the app.
Application Designer The application designers are the architect of iHydrate.
The functions of the application need to be easy and able to work well. The
application must be reliable for University students to use.
Partners
Vending machine the manufacturers of the vending machine will need to
place the technology of contactless payment so the app can run smoothly.
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Universities- if the Universities approves to the application, then the app will
work on campus as the app will connect to the University Wi-Fi and activate the
pedometer.

3.6 Strategy: Focused High Cost
The strategy that iHydrate is using the Focused High Cost strategy. The High
Cost Strategy is targeting water companies such as Pump, Aqua NZ, which are
narrow markets. iHydrate is being sold at a high cost/price to the water bottle
company. Buyers have less power to negotiate, specialised product protects
against substitutes and rivals cannot meet differentiation focused customer
needs.

3.7 Value Chain Activity: Technology Development/Make the product
From Porters Value Chain Model, the technology development is the most
important key component to whether this app will be successful or not. The
technology adds the most value. The iHydrate app will be sold to a water
company such as PUMP, H2GO, Aqua pure.
The new technology of contactless payment is needed to work in order to
exchange points for a bottle of water. It is similar to paywave with credit
cards but with Smartphones instead.
The technology development supports our vision of promoting exercise by
rewarding students with water. This is done by giving the students a free
downloadable app that encourages a healthy lifestyle.



3.8 Business Processes
The two main processes are the point exchange process and the point
calculation process.
3.8.1. Point Exchange Process
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Transactional Process
The point exchange process is essentially using the point earned from running,
jogging, walking around University to exchange the points for a bottle of water.








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3.8.2. Point Calculation Process
The Point Calculation Process is the how the points are earned. The iHydrate
application is activated when the smartphone is connected to the University Wi-
Fi. Once connected, the pedometer will start to measure the steps, time and
distance of the student user. When the student leaves campus, the pedometer
stops and the process ends.





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3.9 Functionalities
3.9.1. Point exchange process
The two main functionalities of the point exchange process are the
Shows how many points you have earned
Shows the points required for size of water bottles and special prices

3.9.2. Point Calculation process
Shows how many steps you have taken
Shows your average pace and time taken

3.10 Systems
3.10.1. Point Management System the point management system will keep
the number points updated. It also shows the required point for different
bottle sizes, flavours. This system will encourage students to continue walking,
exercising around University as they earn more points. Friends may compete
for points and will result in a healthier lifestyle as they are exercising and
rewarded with a healthy drink.
3.10.2. Point Processing System the point processing system is the system
that processes all the points earned from exercise and used to purchase a
bottle of water. This system needs to function well
3.10.3. Exercising Analysis System This system analyses the amount of
exercise the iHydrate user has done. The average speed of the user is
calculated through the distance travelled and the time taken. This system
helps promotes exercise as it may encourage students to walk further distances
and more motivated to exercise.

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3.11. Summary Table: Value Chain to Systems

Value Chain
Activity
Processes Functionalities (what it can do? Specific Information
System(s)
Broad Information
System(s)

Technology
Development

Point
Exchange
Process





Shows the amount of points you
have earned, required points for
each bottles dues to sizes, flavours,
and specials

Converts the points to purchase a
bottle of water


Point
Management
System

Point Processing
System
Decision Support
System

Transactional
Processing System

Point
Calculation
Process



Shows the amount of steps taken
around the University campus


Shows the average pace of your
exercise and the time spent on
campus


Point
Management
System


Exercising
analysis System


Decision Support
System


Decision Support
System
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CONCLUSION
The app, iHydrate is designed to encourage students in University to drink more
water and spend more time exercising (walking, jogging) around campus.
The potential buyers are the water bottle companies such as PUMP, H2GO. The
iHydrate application will help the company increase the brand popularity, help
the company grow by increasing sales and profits.
Water is one of the best tools for weight loss. We need to drink 6-8 glasses a
day. Drinking a good amount of water could lower your risks of a heart attack.
dehydration can reduce your energy and make you feel tired. Drinking more
water will make students motivated, stronger and more productive.

The long term benefit will result is healthier and happier students. The
students are New Zealands future and it is important that they are performing
to their best and stay healthy in the future.

REFERENCES


Kathleen M.Zelman (2008, May 8), 6 reasons to drink water, Retrieved
from
http://www.webmd.com/diet/features/6-reasons-to-drink-water

Ministry of Business, Innovation & Employment. (2009).
Retrieved from www.dol.govt.nz/takecare/factsheets/dehydration.asp

INeedMotivation.(2008). Can You Drink Too Much Water? Retrieved from
http://www.ineedmotivation.com/blog/2008/01/can-you-drink-too-much-
water/

Kiwi Water , Water Facts. (2014).
Retrieved from www.kiwiwater.co.nz/water-facts/

Suzys World: Drinking Water. (N/D).
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Retrieved from www.suzy.co.nz/suzysworld/Factpage.asp

Liquid Trashcan. (2012).
Retrieved from www.liquidtrashcan.weebly.com

The Express Tribune (2012)
Retrieved from www. blogs.tribune.com.pk/story