BUS

BUSINESS MODEL REPORT

NAME OF PRODUCT: Iot: Warehouse Management
System for Logistic Improvement

STUDENT INFORMATIONS
Mohamad Zharif Rahizi Bin Ramli
2017976759
EMD7M4A

STUDENT INFROMATIONS
mzha96@gmail.com
 BUSINESS MODEL CANVAS REPORT

NAME OF PRODUCT: Iot: Warehouse Management System For Logistic Improvement

BREIF DESCRIPTION OF THE PRODUCT:

the problems that occur in logistic system were inefficient ways of the on-time delivery
package process, time consuming for to process and limited budget. However, inefficient ways of the
on-time delivery process were the critical problem in the logistic company. This is because if
programs or systems have a huge volume of parcel, the persons who handle the parcel which is
warehouse operators must manually key-in the barcode number into the database using several
laptops and sorting it according its final destination. These problems also can lead to multiple works
because the operator must transfer process all the parcel is into one dataset. In other words, this
problem is related to the process of data.

Overall, the big chunk of the all problems mentioned is actually it leads to the negative
perspective from their consumer to the logistic company. Because of the inaccuracy of the current
system in storing of parcels’ information, there might be misleading information in delivering parcels
that should be within the time range given.

Therefore, to overcome this problem; we suggest a new product development which use an
Internets of Things: Warehouse Management System for Logistic Improvement for their programs or
systems that happen. This is because it will easier process for logistic company to deliver their
consumer’s parcel and the warehouse manager also can monitor and check the progression of parcel
along the way from the suppliers until to the consumers. Warehouse Management System can
improve the efficiency of an organization's operations, resulting in lower operational costs, improved
throughput, increased flexibility, real-time visibility into workflows, and the ability to forecast with
greater accuracy
1.0 INTRODUCTION

The current situation warehouse management system has been so disappointed to their
customer due to the movement control order (MCO) announced when the covid -19 has struck our
country. MCO, is a cordon sanitaire implemented as a preventive measure by the federal
government of Malaysia in response to the COVID-19 pandemic in the country on 18 March 2020.
The order was commonly referred to in local and international media as a "lockdown" or "partial
lockdown". Domestic Trade and Consumer Affairs Minister Datuk Alexander Nanta Linggi said those
in the logistics and transport services that supports supply, marketing and e-commerce, as well as
companies that supports the food supply chain would also be allowed to operate. The situation has
caused the people stay at home and start buying online through marketing site (Lazada, shopee,
zalaora, etc). this has led to high capacity volume of parcel being order Malaysian and the quantity of
parcel are massively cannot be handle by the warehouse staff or personal. Along with the MCO, all
the currier service company needs to reduce its own worker to prevent the virus from spreading.
The current system has several problems arise even though they have done the improvement
system. Still a lot of parcel being lost and late to the customer. The first problem arise is the
inefficient way of collecting, processing and delivering the parcel. Due to the limited number of
workers. It causing the arriving time parcel to customer to be late and might even lost when there
are too many parcels in their warehouse.
2.0 The Business Model

KEY PARTNERS (8) KEY ACTIVITIES (7) VALUE PROPOSITION (1) CUSTOMER RELATIONSHIP CUSTOMER SEGMENT (2)
(4)
 Join IR 4.0 program  Marketing  Increase
ventures efficiency  Industries
 Problem solving Type of customer segment:
communities
 Strategic alliances (knowledge  Improve
Behavioural and psychographic
between non- management) security  After market
segmentation
competitor services
 Reduce labour
Customers:
 Lifetime warranty
 Logistyc
KEY RESOURCES (6) CHANNEL (3)
 Inventory Warehouse
• Developer (Outsources)  Website
consultation  Sme and market company
• Machines
(inventory < 1000 sku)
 Face to face
• Server
aproach
• Manufacturing
 Social media
COST STRUCTURE (9) REVENUE STREAM (5)

Cost Driven  Licensing

• Focus on efficiency  Rental

• Maximum automation  Maintenance
Value Driven

• Robotics usage

• Iot system
Explain your proposed Business Model in detail:

2.1 Value Proposition

 Increase efficiency - WMS have more efficient warehouse operations and spend less on
logistics despite spending more to operate warehousing.

 Improve security - WMS keeps meticulous records of inventory, and since the system relies
on robot mobiles

 Reduce labour – robot mobile help to cut down on the redundant process of sorting so that
workers can take on more creative and collaborative roles.as a result, we don’t need so
many workers on the process sorting.

2.2 Customer Segment

Due to the outbreak of virus COVID – 19, the logistic has struck high volume of package needs to be
delivery. Thus, this solution helps our current situation and enhance technology advancement in
logistic industry.

2.3 Channel

 Website consultation – a website expertise in the problem solving, planning, design, and
construction

 Face to face approach - encourages meaningful brand-positive interactions through client

meetings on the WMS system

 Social media - social media platforms will drive audience’s attention towards WMS system.

2.4 Customer Relationship

 Industries communities – to ensure the widespread of WMS information and keep up-to-
date the technology advancement.

 After market services – get the real feedbacks and opinion on the WMS system from the
costumers for system improvement

 Lifetime warranty – symbolizes confidence and build trust in system products to the
customers
2.5 Revenue Stream

 Licensing - income earned by a company for allowing its copyrighted or patented material to
be used by logistic company

 Rental - the amount of rent that has been earned during the period of time

 Maintenance - maintenance services provided under contracts or arrangements with

customers

2.6 Key Resources

 Developer (Outsources) - Controlling risk and improving the WMS system. Focus on more
marketing only

 Machines - Saving money by reducing operating expenses

 Wi-Fi server – allows the system to be functional efficiently

 Manufacturing – the production of Iot WMS system such as robot mobile, workstation, and
portable rack

2.7 Key Activities

 Marketing – primary purpose of making profit

 Problem solving (knowledge in management) – operations in order to make profit

2.8 Key Partners

 Join IR 4.0 program ventures – helps expand information technology advancement of WMS
system

 Strategic alliances between non- competitor – making network and cooperation with key
resources

2.9 Costs Structure

Cost Driven

• Focus on efficiency – cost optimization

• Maximum automation – make the system highly efficiency

Value Driven

• Robotics usage – technology advancement

• Iot system – move towards Industrial Revolution, IR 4.0

3.0 Conclusion

Increasing demand for faster order fulfilment by consumers requires an effective solution to
managing warehouses. Also, the number of competitors in the market is rapidly growing as more
companies create efficient supply chains capable of filling orders faster than ever before. Rather
than muddling through endless paper trails and inefficiencies, the WMS system can optimize
operations. Think of how these benefits of a warehouse management system can translate into real-
world savings and catalysts to our current problems.