Name Yu Ting Cheng NetID yche627 Group Number: 243 Website Link: http://infosys1102014s1grroup243.blogspot.co.nz/ Tutorial Details Tutor: Day: Time: Kit Wah Huang Wednesday 1pm Time Spent on Assignment: 22 hours Word Count: 1515 total words. 1716 (including title and references).
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2 ACCIDENTAL DRUG OVERDOSE INTRODUCTION Either being accidental or intentional, drug overdose affects a large amount of people in world, especially since a large amout of people use the medicianal pills for beneficial reasons, and the amount of people that use this incorrectly is steadily increasing. There are some people who may have little knowledge that some types of pills are harder to handle than others, and this lack of knowledge is what causes sickness and sometimes death. To solve this, an automatic pill dispenser has been introduced. This, simply put, prevents excess pills to be taken by the user, while providing the correct times to take the pills in case the user forgets to. This will arguably lead to a more efficient consuming of medicinal pills and hopefully benefit the public in terms of health, as it may lower the sickness and death rates. 3. BUSINESS SECTION 3.1 Vision Decreasing mortality rates while maintaining the standards of importance for health in the community and throughout the world. 3.2 Industry Analysis: Pharmaceuticals Industry: Pharmaceuticals. Industry of medicinal pills, drugs and pharmacies. Force: High/Low: Justification: Buyer power: High There are a large number of pharmacies in this particular industry, and since there is a lot, the options for selecting a particular pharmacy isnt limited to the types of medicine that is sold at a specific pharmacy. Supplier power: Low The supplier power is low, because they have no way to negotiate the dominance between the two parties, as they have different target markets. The pharmacies also have little option when it comes to the supplement of the pills.
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3 Threat of new entrants: Low Threat of new entrants are low, meaning that there are high entry barriers. This is due to the amount of money needed to research and develop the drugs (such as R&D). Threat of substitutes: High The threat of substitute products are high because there are generic drugs that come a far cheaper price, and those have increased compared to the past. Generic drugs cant afford high amount of money for their drugs but this allows them to sell their drugs for cheaper. Rivalry among existing competitors: High There is a high working capital and competition between existing companies, and the top five companies in the industry account for only 18% of market share. Overall attractiveness of the industry: The overall attractiveness of the industry is quite attractive, as this particular industry, the barriers to new entry are very low, meaning that the threat of new entrants isnt significant. The strength of the industry, such as making profit would steadily increase due to the increasing number of people that resort to needing goods from this industry. 3.3 Customers and Thei r Needs The target customers for this particular industry are mostly the general public, but more specifically the people that are in need of such services such as medicinal services and products to help or increase their help. This is because they need this service to be reliable, easy to access, and also quick, in case of emergencies etc. The need for this service is growing, because of the many things that require the balancing of the health of people, and because of that, the demand for this industry is rising as well, but the size of the industry is balancing out this gain. 3.4 The Product and Service This product aims to eliminate the need for scheduling and reminders of taking medicinal pills, as this automatic pill dispensing machine makes the process much easier and efficient. This aims to not only prevent unnecessary intake of pills, but also to serve as a reminder so that the right amount of medicine is
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4 consumed, not too much or not too little. It fulfils the customers needs as it makes the process easier to understand, and is overall much safer to the people who have lack of knowledge, or a fear of taking such products. It also makes the entire process safer too, as the risk of taking the pills are no longer in effect, meaning that the people who use this would not be as reluctant to do so if not for the product. 3.5 Suppliers and Partners The sales for the pharmaceutical industry heavily concentrates on a large number of suppliers to supply its products into their industry, which therefore has decreased the ability to exert influence from the suppliers to the industry. Therefore, this means that the bargaining power of suppliers is low, as they have no way to negotiate the dominance between the two parties, as they have different target markets. This statement is also true for the partners of the pharmaceutical industry, as their partners are usually the ones to provide them with the products and the services that are needed. 3.6 Strategy: Cost Leadership Strategy Because the pharmaceutical industry is relatively unique: meaning that there arent many other industry that provide the same or similar services and products; the industry tries to target a wide/broad range of people, but this is true especially since the demand and need for pharmacies will always be high. Therefore, it is safer to implement the cost leadership strategy, as this particular industry is aiming for a lower cost (easier to purchase and purchases are capped because of prices) and a wide/broad range of people, because this industry targets most of the world, as it is a vital part of life and is not trying to be unique in its own way due to the nature of the industry. The overall strategy is therefore Cost Leadership strategy 3.7 Value Chain Activity: Procurement The most important value chain activity for this business is: Procurement Despite the pharmaceutical implementing some of the value chain, the most important activity for the industry is in fact the Procurement, which have to do with the product supplier management, funding, subcontracting, specification etc., which means that the pharmaceutical company has to focus on where it would get its resources, products and services supplied from, meaning that the supplier has to be a legitimate source. This is important as if the products that were offered by the pharmaceutical were not to
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5 be up to standards, it could potentially affect their business. The specification of the industry within the value chain activity is also vital, as their products need to be exactly the same as the ones that were requested, meaning that a small difference in their products could affect a particular company in the industry negatively. 3.8 Business Processes 3.8.1. MANUFACTURING OF OVERDOSE MACHINE The process of the manufacturing the machine is important to the organisation, as it is the process that starts the entirety of the business, and the one that would help not only the organisation grow, but also the industry also.
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Creation of pills Marketing Distribution/Sell ing Start Obtaining of raw materials Development of pills End
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3.8.2. IMPLEMENTING OVERDOSE MACHINE PROCESS - The implementation of this system is quite straight forward. This is important to the organisation as this process is the key process in the business, and is one that this product is based upon.
Start Check if customer has taken pill Medical paper handed System Approval Yes No Approve dosage and give pills End
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3.9 Functionalities 3.9.1. IMPLEMENTING OVERDOSE MACHINE PROCESS Functionality of recording the customers information and their details. Functionality of approving the customers needs for the pills and medicinal products. 3.9.2. MANUFACTURING OF OVERDOSE MACHINE Functionality of recording raw materials that have been supplied. Functionality of recording the amount of products have been created. 3.10 Systems
3.10. 1. CUSTOMER TRACKING SYSTEM The system used to record down the customers information and details, so that it can be easily accessed from the system once required. It links in with the functionality as it is able to record a large number of customer details into a database, which then can be edited, sorted, and modified at any time if needed. 3.10. 2. CUSTOMER RECORDS PROCESSING SYSTEM This system processes the customers details and using the information providing, and returns the relevant information required for that specific customer. This allows the product to be able to make decisions on whether or not pills need to be dispensed or not, which is important for the functionality because it is the decision that makes the system important. 3.10. 3. SUPPLIED MATERI ALS RECORDING SYSTEM- This system checks not only the quality but the quantity of the supplied materials, as this is an important part of the manufacturing process of the organisation, and therefore allows the organisation to record supplied materials.
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9 3.11. Summary Table: Value Chain to Systems
Value Chain Activity Processes Functionalities Specific Information System(s) Broad Information System(s)
Procurement 1. Implementing overdose machine process 1. Functionality of recording the customers information and their details.
2. Functionality of approving the customers needs for the pills and medicinal products.
Customer tracking systems
Customer records processing system Customer relationship management system 2. Manufacturing of overdose machine 1. Functionality of recording raw materials that have been supplied.
2. Functionality of recording the amount of products have been created.
Supplied materials recording system
Amount of products created tracking system Transaction processing system
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10 CONCLUSION The Accidental Drug Overdose System in conjunction with information systems, would make a huge benefit to not only the people who regular require the consuming of medicine, but also for the general public as well, and it does this by being clever as well as safe also, meaning that people can begin using this system knowing that it saves the lives of people, throughout the entire world. REFERENCES
1. Pradeep Pandey, Porters Five Force Model in Pharma Industires. (November 5 th
2009). Retrieved from http://www.slideshare.net/Pradeep555/porters-five-force- model-in-pharma-industries
2. Maria Gabriela Marin, (March 25 th 2008). Student's view on strategic management: Porter's Five Forces Analysis for the Pharmaceutical Industry. Place of publication: New Zealand. URL: http://studentsviewonstrategicmgmt.blogspot.co.nz/2008/03/porters-five-forces- analysis-for.html
3. All About Counseling. [Online], (1998) Available: http://www.allaboutcounseling.com (June 30, 2010). Retreived from http://www.allaboutcounseling.com/library/prescription-drug-overdose/
4. Antonia Froutzis, (2012), Stats about international overdose, Retrieved from: http://www.overdoseday.com/facts-stats/
5. When the times were a-changing: How the pharmaceutical world is evolving (February 15 th 2014), Retreived from: http://www.economist.com/news/books-and- arts/21596489-how-pharmaceutical-world-evolving-when-times-were-changing