Name Donnay Robertson

Net Id Drob964
Group 509
Web Link http://infosys1102014fcgroup509.blogspot.com/
Tutorial Tutor Day Time
Nicholl Friday 9 am
Time spent 52 Hours Word count 1,559
Food insecurity in households around New Zealand
Introduction
Only 59.1% of New Zealand households are completely food secure, others turn to food banks but
there is a rapid depletion in the amount of food being donated. This leads to food shortages for
those who need it, most of the time it is either due to lack of interest or time or just the
inconvenience of the process. We have created a solution, by designing a machine which is portable,
requires a basic data base and allows for others to see the good someone has done. Anyone can
donate food so using existing technology such as the countdown scanners and databases, kiwi yo
social network exposure and making it easily accessible to anyone we have made an easy and fun
way for communities to get involved.
Business section
Vision
We seek to help families suffering from food insecurity by creating an easy and simple way to
increase food donations across New Zealand.
Industry Analysis
Industry: Food Insecurity Prevention industry.
Force: High/Low Justification
Buyer Power High Most organisations within the industry rely on
Sponsorships, and donations because there is no
incentive or reward other than doing good the
buyer power is high.
Supplier Power High Depending on the organisations in the industry this
is high due to the fact the labour that is supplied is
on voluntary basis. This means the labour provided
will not be skilled in most cases, so in order to have
a skilled labourer they will have to pay for them
which means that they will wield the power.
Threat of New
Entrants
Low Is not high because it is hard to establish a
successful and sustainable organisation in the
industry because there need to be a huge amount
of research done in order to enter the market such
as who what and where, this can be very time
consuming. There needs to be capital in order to
start the business as well as ongoing loyalty in order
to make a difference.
Threat of
Substitutes
High High due to the fact that there are many different
ways to help people other than food insecurity.
Companies or individuals can choose to donate to
charities that target other areas of need such as
canteen or Air New Zealand environmental trust.
Studies show that people are more likely to support
organisations which aim to support natural disaster
relief, research or training and young children such
as the National assistance fund. Charities Commission
Komihana Kaupapa Atwhai (2011)
Rivalry among
existing
Competitors
Low Even though there are a number of competitors
within this industry none of them focus on the same
areas or exact same problems for example Fonterra
launched milk for schools to help with food
insecurity in lower docile areas. Fonterra Milk For Kids
(2011) This is completely different to the City Mission
which runs food banks to help the homeless.
Auckland City Mission(2009)
Overall attractiveness of the industry: In the terms of profitability and sustainable success the
industry is not very attractive with a High buyer power, a high supplier power and a high threat of
substitutes with many barriers of entry into the industry for potential organisations.
Customers and their needs
The customers for our organisation are Corporate Sponsors and individual donors.
Corporate sponsors seek ways to constantly increase their brand image and to gain loyalty from
their customers as well as increase their customer base. For most companies to be successful they
need good publicity to keep the community and their customers happy since negative publicity is a
serious threat to customer loyalty.
Some individual donors need encouragement so that they can help others, a lot of the time they
would like to do more in their communities but this requires a lot of effort and they need an easier
way to make their community a better place. As well as in some groups such as younger generations
it is not seen as the norm to donate or help charities and so less people are willing to do so.
The product and service
Our product helps companies gain good publicity it is not about the profit but rather the recognition
of doing something good for the community. The corporate social responsibility brand image allows
them to form bonds with the community and in doing so they will gain positive publicity within their
communities. Mitch Griffin, Barry J. Babin, and Jill S. Attaway (1991)
Our product will be conveniently located and easily accessible to the members in the community this
means it will be easier for individuals to help their community without the hassle of travel and time
consumption. The products link to social networking sites such as Facebook means that when
someone donates they will be able to upload the photos to Facebook and this will allow younger
generations to gain interest in donating food. As all their peers start to do so they will follow the
example. Rosenthal, A.M. (1964).
Suppliers and partners
Our suppliers are labourers and maintenance/service providers. Labourers will be voluntary and they
will be people who collect and distribute the food that has been donated. Maintenance and service
providers are paid to install and set up our product throughout the communities and companies,
they will also be in charge of repairs or malfunctions.
Our partners will be lower docile schools who cannot afford to supply children with the nutrient rich
foods that they need, we will partner with them in order to get their community more involved.
Another partner is food banks, we will work together to create awareness of the issue and to ensure
that food banks stay supplied.
Strategy: Cost Leadership
We are a non-profit organization which means that we focus on being cheap due to the fact that we
rely on donations and so every donation counts no matter how small. The product itself will be the
only time when money is needed and this will be cheap due to the basic design and materials
needed. We also have a broad market scope because we will be implemented across New Zealand
and if this is successful we will look into making our product available in other areas in the world.
Value Chain Activity: Marketing and selling the product
Marketing and selling the product is our key value chain activity. This is because we need to be able
to establish the right market to sell our product to, we cannot only market it to lower docile areas
who cannot afford it or only to the richer areas who are not as aware of the issue. We need to be
able to distinguish the groups and adjust our marketing campaigns accordingly. Either to raise
awareness for the issue and increase donations or to show lower docile areas there are ways to help
and get help if they are suffering. Due to the fact that the purchase of our product is our main source
of capital the payments and correct inventory ordering is very important, since we dont charge
much the payment is extremely necessary so that we can continue implementing our product
nationwide.
Business processes
The campaign selection process
The campaign selection process for richer populations starts at the implementation of a product into
a new area. The first step is to receive data from the customer relations management system then
send it to the marketing department to be analysed. The next step is deciding whether this is the
area we are trying to market to if not then we collect data for a different area and if it is then we
research their community values. We then incorporate those values into our campaign and launch it.

The sale management process
Once the order is received the sale begins, we then send them and invoice and wait for payment. If
payment has not been received then we shall send a reminder, if it has still not been received then
we will cancel the sale. If the payment was received then we place the order with the manufacturer
through the inventory ordering system and once the product is complete we distribute it to the
customer thus ending the sale.

Functionalities
The Campaign Selection Process
Identify new customer base and store information about potential customers
Tailored Marketing

The Sales Management process
Receive and deliver orders in sale
Communicate with manufacturer/warehouse
Systems
RFM system (communities not individuals): The campaign selection is very important and by using
the CRM system it means that with corporate sponsors and richer populations the right campaign
can encourage those communities to help out those who are struggling, by storing data about
previous research and sales we can identify potential customers to market to in future. As well as
where in communities the product is already implemented
Transactional processing system: This tracks all our core business processes and communicates
them between departments this means the data which is stored is accessible to all so once sales are
closed marketing can then look at highest rates of sales areas and potentially remarket to them since
it would seem that they are communities that want to be involved in the cause.
Supply Chain Management System: Inventory ordering and tracking is important to ensure that once
the order is place the sale runs smoothly, payment is essential but so is ensuring the product order is
placed after payment and that it is sent out so that the sale can be closed.


Summary Table
Value
chain
activity
Processes Functionalities Specific
information
system(s)
Broad information
System(s)
M
a
r
k
e
t
i
n
g

a
n
d

s
e
l
l
i
n
g

t
h
e

p
r
o
d
u
c
t

The
Campaign
Selection
Process

1. Identify new customer
base and store
information about
potential customers
2. Tailored Marketing

Transactional
processing
system
RFM system
of
community
Customer
Relations
Management
system
Enterprise
resource
planning system
The Sales
Management
process

1. Receive and deliver
orders in sale
2. Communicate with
manufacturer/warehou
se

Inventory
Ordering
System
Transactional
processing
system
Supply Chain
Management
System
Enterprise
resource
planning system

Conclusion
The business idea is an effective and easy way to target the issue of food insecurity in New Zealand
households. Through the use of tracking the food donations and storing data on areas where the
highest donations are made this idea will benefit New Zealand communities greatly. It will allow
different generations to come together to build a better New Zealand.
References
Fonterra Milk For Kids (2011)
https://www.fonterramilkforschools.com/about
Auckland City Mission(2009)
http://www.aucklandcitymission.org.nz/information.php?info_id=61&mID=57
http://heroicimagination.org/public-resources/social-influence-forces/bystander-effect-and-diffusion/
Rosenthal, A.M. (1964). Thirty-Eight Witnesses: The Kitty Genovese Case. University of California
Press.
Darley, J. M. & Latan, B. (1968). Bystander intervention in emergencies: Diffusion of responsibility.
Journal of Personality and Social Psychology, 8, 377-383.
Mitch Griffin, Barry J. Babin, and Jill S. Attaway (1991) ,"An Empirical Investigation of the Impact of
Negative Public Publicity on Consumer Attitudes and Intentions", in NA - Advances in Consumer
Research Volume 18, eds. Rebecca H. Holman and Michael R. Solomon, Provo, UT : Association for
Consumer Research, Pages: 334-341
Charities Commission Komihana Kaupapa Atwhai (2011) A snapshot of New Zealands charitable sector
A profile of registered charities as at 28 February 2011
http://www.charities.govt.nz/assets/docs/key-statistics/2011/sector.pdf