Business and Systems Analysis Report

ColesOnline

Lorenzo Lim S2902632

Due Date: Week 10 @ 1:30pm

Table Of Contents
1.
Introduction........................................................................................................................
3
1.1.
Purpose......................................................................................................................... 3
1.2.
Scope............................................................................................................................ 3
1.3.
Assumptions................................................................................................................. 3
1.4.
Roles............................................................................................................................ 3
2.
Current Business Situation and Strategy of ColesOnline...................................................
3
2.1.
Analysing the current business situation and strategy................................................. 3
2.1.1. Stakeholder Analysis............................................................................................ 3
2.1.2. Rich Picture........................................................................................................... 3
2.1.3. SWOT Analysis.................................................................................................... 4
2.1.4. PEST Analysis...................................................................................................... 4
2.2.
Competitive Environment of ColesOnline................................................................... 4
2.2.1. Analysis of Key Competitors................................................................................ 4
2.2.2. Porters Economic Relationships............................................................................ 4
3.
Typical Customer Experience at
ColesOnline.....................................................................5

3.1.
3.2.
4.
5.

The operational context................................................................................................ 5

System Model.............................................................................................................. 5
Required ICT Infrastructure........................................................................................... 6

Recommendations...............................................................................................................7
5.1.
Project Manager........................................................................................................... 7
5.2.
Business Analyst.......................................................................................................... 7
6.
Conclusion..........................................................................................................................
7
References.................................................................................................................................. 7
Appendix A Stakeholder Analysis.................................................................................................
8
Appendix B Rich Picture........................................................................................................ 9
Appendix C SWOT Analysis.................................................................................................. 10
Appendix D PEST Analysis.................................................................................................. 11
Appendix E - Analysis of Key Competitors (SYSTEMS)...................................................... 12
Appendix F Infrastructure Table.......................................................................................... 13
Appendix G Model of Customer Experience........................................................................ 14

1.
1.1.

Introduction
Purpose

Outline the purpose of this report why you are writing it

1.2.

Scope

Outline the scope of this report what is in the report

1.3.

Assumptions

Outline any assumption you make.

1.4.

Roles

List the roles of each team member

Refer to the work logs in TASKLOG.DOC for a breakdown of each team members work.

2.
Current Business Situation and
Strategy of ColesOnline
This section presents a detailed analysis of ColesOnline. Demonstrate an understanding of
organisational goals & objectives. Introduce what this section is about.

2.1.
Analysing the current business situation and
strategy
Briefly introduce what will be discussed in this section. Why are these sections important?

2.1.1. Stakeholder Analysis

Wesfarmers ltd acquired Coles Group Ltd, with transfer of ownership on 23 November 2007.
Wesfarmers ltd is one of Australias largest public companies and one of Australias largest
retailers.
Pensioners may choose to buy groceries online as it is easier.
People with no license would likely want to choose buying their groceries online as it reduces
the hassle to travel to the store.
Mothers with children would prefer to purchase groceries online because bringing children
along to stores can be troubling.
Online users who are always on the net most of the times would find online shopping useful as
it is simple and fast.
Business Organizations can stock and refill their pantries simply by using Coles Online
Call centre is available if customers need to speak to a knowledgeable customer care team for
more help.

Delivery Workers are trained customer service representatives that will bring customers
groceries to their front door or kitchen bench during the customers delivery reservation time.
Farmers are the people who supply and provide fresh Australian food for Coles.
Banks allows customers to conduct financial transactions on a secure website operated by the
institution, which can be a retail or virtual bank.
ISP is a business or organization that offers users access to the Internet and related services to
Coles Online.
Computer Hardware refers to the physical parts or components of a computer such as monitor,
keyboard, Computer data storage, hard drive disk, mouse, CPU etc that can be used to buy
groceries online.
GPS is essential for delivery workers in order for them to make deliveries to customers.
Web Developers are people who design the layout, colour, interface and maintain the Coles
Online website.
IT Service Providers provide a complete IT department for your business from desktop support
to server administration to IT strategy and management.
Flybuys: Members collect points from household consumer purchases (and through credit card
use) and subsequently exchange points for gift cards, merchandise, flights and other rewards.
Woolworths is Coles strongest competitor as it is the largest supermarket store chain in
Australia.
Grocery Run is an online shop that sells groceries where shoppers can expect the best prices
in Australia.
Aussie Farmers Direct is an independently owned, multiple award winning, home delivery food
business that sources fresh 100% Australian owned, grown and produced food, and delivers it
direct to the doors of more than 130,000 households across six states of Australia.
Cancer Council Australia is a corporate partner with Coles. It advises the Australian
Government non-governmental organization and other bodies on practices and policies to help
prevent, detect and treat cancer. Coles, Coles Express and its customers have together raised

over $11 million for Cancer Council's Daffodil Day, to help fight cancer. In 2011 alone Coles and
Coles Express raised over $1.77m.
Redkite: Coles is giving Redkite a helping hand to support more children and young people with
cancer. This unique partnership was launched in 2013 on 26 January and sees Coles not only
generously donating to Redkite, but also raising funds in store, online and through team
fundraising.

2.1.2. Rich Picture

The rich picture in appendix B is of the Coles Online website. This rich picture
was drawn by utilizing the key roles in the stakeholder analysis as the base of the
rich picture. The first part of the system is how the food gets from the suppliers to
the customers. It begins with the farmers that grow the fresh vegetables and the
meat and dairy products. The distribution centre transports the products to the
store warehouse. The employees stock the store shelves with the newly
delivered products. Environmental factors do affect this part of the system. If a
heavy storm occurs then the crops and/or animals will either be damaged or
harmed.
The next part of the system is when the customer makes the order online and
has the product delivered to their house. They place their order on the Coles
Online website and that information is then sent to the store operative who then
hand selects the products to be delivered to the customers. The customers can
track the location of the delivery using the GPS tracker. If the customer is
experiencing any difficulties, then they can call the call centre for more
information. The customers of the rich picture consist of: Pensioners, People with
no licence, mothers with young children, online users and business
organisations. The contractors provide Coles Online with the technology they
need to set up and maintain the site. The web-developers create the website and
regularly maintain it to check for any bugs. The Internet Service Providers (ISP)
provides the Customer and Coles Online with the internet they need to be able to
access the website.
Another part of the system is the partnerships. Coles is partnered with FlyBuys
and RedKite. For every purchase the customer makes, the more points they get
on their FlyBuys card.
An important part to the Coles Online system is the bank. The bank provides
loans to Coles Online so that it would be able to start up and maintain the
website. From the profit that Coles Online makes, they then store it into the bank.
The last part of the system is the competitors. The competitors are where the

customers can go to if they are unhappy with the services that Coles Online
provides. The customer can go on to other competitors websites to also
compare it to the Coles Online website. The profit made from the competitors is
then deposited into the bank.

2.1.3. SWOT Analysis

In the SWOT Analysis that was conducted, the following main points and findings were found
and analysed.
The strengths included:
The availability and access for coles to be online is great for the company. People who did not
have access to their local store for any reason or are busy, have access to any product that
coles offers.
Coles having another way for their customers to purchase their products helps keep them
shopping at coles.
Coles has a trusted and popular brand, which brings a loyal customer base to their new product
coles online.
With having another way to buy their product, will bring more profit to coles.
Coles online integrated with their ICT system makes it robust and solid system.
The Weaknesses include:
Its only used by people who have no choice and have come across it by chance ie: pensioners.
The web sites user interface is visually poor and liked to reading a novel.
The delivery service only supports surrounding areas of a local store, which may affect new
customers.
The use of coles online may not be consistent due to people knowing about it and the value that
is offered.
Supplying correct product as customers dont get to select and hand pick by site and feel.
The Opportunities include:
Getting people to shop online instead of in store may bring about a dispatch store only for online
and less need for new stores.
Compared to competitors the web site is plan and needs to be more user friendly with picture
based navigation.
Coles online could develop a mobile application to reach further into the market.
More automated to coles with their being less involvement of intervention, by manual handling
of processes.
The Threats include:
Natural disasters can impact the suppliers and effect whats on offer at coles and the quality of
the product.
Changes in technology and the way people will use their access to online services.
Market demand in coles online and their products may be effect how coles proceeds with and
interact with their customers.

2.2.

Competitive Environment of ColesOnline

Introduce what this section is about. Why are these sections important?

2.2.1. PEST Analysis

Present your PEST Analysis in Appendix C. Discuss the results of your analysis in this section.
Summarise what you wrote in Appendix C (in the table). State the main points/findings here and
briefly discuss them and why they are important political, environmental, social or technical
issues.
This is the summary of the pest analysis of the Coles Online website. The political,
environmental, social and technical issues of Coles online were analysed. The first political
issue was the potential rise of GST due to the possible new government and new policies. The
rise of GST is an issue because it affects the companys profit. Another political issue is that the
federal election is fast approaching and different policies could drastically affect the prices with
them either rising or falling.

2.2.2. Analysis of Key Competitors

Present your analysis of key competitors in Appendix D. Discuss the results of your analysis in
this section. Discuss one main point from each of the analysis in Appendix D (a paragraph
each).

3.
Typical Customer Experience at
ColesOnline
Briefly introduce what will be discussed in this section. Why are these sections important?
This section will outline the activities of a typical customer experience (human activity system)
and the associated information systems and ICT systems.

3.1.

The operational context

Outline the operational context (day to day operations) and human activities. Use the
infrastructure table (activity, information, IS, ICT) in Appendix E and discuss the table in
details here. Be sure to discuss each activity.

3.2.

System Model
Basic model of the current system using correct modelling notation
Discuss the basic purpose of the model and what it represents (how is it different or
similar to the table in the previous section), and then refer to it in Appendix F (place the
model in the appendix).

4. Required ICT Infrastructure

Based on the discussion in the previous section, discuss the key front and back-end
systems for the system. Expand the discussion of the ICT column of the infrastructure
table in much more detail. Refer to chapter 6 for key concepts.

5.

Recommendations

Discuss the most important recommendations (3) overall then introduce the recommendations
from each team member refer back to your analysis in the report to justify your suggestions
and your priorities.

5.1.

Project Manager

5.2.

Business Analyst

Add other roles here

6.

Conclusion

Write a concluding couple of paragraphs to summarise the report. Do not introduce new
material here.

References
Do not start a new page.

Appendix A Stakeholder Analysis

Owner/s: Wesfarmers ltd.
Customers: Pensioners, people with disabilities, Pregnant women,People with no licence,
mothers with children, online users, business organisations, Schools, full-time workers.

Employees - staff, manager: Call centre, delivery workers,

Suppliers: Farmers (Lamb from Tony Rutter - Wagga Wagga, Beef from the Lee family,
Roma,, Pork from Peter and Jenny, the Malee,, Chicken from Mt Barker Chicken etc. do we
need the whole list? ) , Banks, ISP, Computer hardware, GPS

Contractors: Web developers, IT service providers, Flybuys

Competitors: Woolworths, Grocery Run, Grocery Shop, aussie farmers direct, asian grocery
store, usa foods, British Sweets and Treats, Aussie health products

Partnerships: Cancer council, Sydney Childrens Hospital, Disability Works Australia, Junior
Landcare, SecondBite, Redkite

Appendix B Rich Picture

Appendix C SWOT Analysis

STRENGTHS
1.Availability and access through the
internet.
2.Another way of purchasing coles
products.
3.Familiar Brand, that everyone knows and
trust.
4.Making more profit by selling the same

WEAKNESSES
1.Its only used by people who
have no choice.
2.The site is more word based then
picture based.
3.Only deliver to certain areas.

product.
5.ICT system is set up well.
6. Store availability in many areas.
7.Products delivered to home.
8.Products hand-picked by coles workers to
ensure quality.

4.The use of this service may not be

consistent.
5.Supplying correct product.
6. User might have difficulty using Coles
online.

OPPORTUNITIES
1.Getting people to shop online instead
of in store
2.More user friendly site
3.They could develop a mobile site
4.More automated to the company

THREATS
1.Natural disasters
2.Changes in technology
3.Market demand in certain products and
services.
4. Advances in technology could lead to
loss of employment could lead to bad
reputation.

5.

5.

Appendix D PEST Analysis

POLITICAL
1. With new government possibility
coming into play, this could include GST
rise or fall , which would then reflect onto
the general goods and prices of food.
2. Federal election is fast approaching
and different policies that come with
different government will affect prices ,
whether they rise or fall.
3. Carbon tax abolishment, this will affect
how the price of living, food and general

ENVIRONMENTAL
1.Environmental main issue is the use of
non biodegradable plastic bags, but this has
been countered by way of delivery from
coles online. Coles online delivers in
cardboard boxes which are in refrigerated
van.
2. With having large companies there is
huge environmental issue , mass production
of goods , as well as having a lot of

goods.

buildings that take up land , as well as

electricity use and wastage
3.Packaging , the way they package their
products affects the environment. Use of ink
and material that is used in products always
end up in landfills and could become toxic
or not biodegradable
SOCIAL

TECHNOLOGICAL

1.Obesity
2.Cultural foods
3.cooking at home

1.Payment options
2.Trends in innovation
3.Personalisation

Appendix E - Analysis of Key

Competitors (SYSTEMS)
Competitor

Similarities

Differences

List three similarities

List three differences

List three similarities

List three differences

List three similarities

List three differences

List three similarities

List three differences

Appendix F Infrastructure Table

Online grocery shopping system
Activity
Infrastructure
(Human)
Joining

Information
Infrastructure
(Input)
Name,Email,
address, post code,
D.O.B, phone
number, username,

IS Infrastructure
(Process)

ICT Infrastructure
(required)

Adds the new user to

Member Database,
the database, Checks Internet,
if the user is human,
Checks if the

password,recovery
question

username is valid and

available

Login

Username,
Password

Checks if the
username and the
password is valid,
redirects the user to
the main site

Member Database,
Internet

Searching

Key words of
product, product
brands, product type

Searches the
database for the
input, Shows the
search results

Food Database,
computer, internet,
search engine

Adding to trolley
Purchasing
Delivery
Reserve delivery
time
Catalogue
Promotions

Pick-up/delivery