Improving Vending Machines

Transcription

1 Improving Vending Machines MGIS-330 Term Project By: Andrew Fagan Jeremy Hall Matthew Hawkes Derrick Velazquez

2 Project Overview Vending machines were first introduced to the United States in 1888 when the Thomas Adams Gum Company installed the machines on the elevated subway platforms in New York City and sold Tutti-Fruiti gum ( ). They ve come a long way since then, but there is still a lot of room for improvement. With customers in mind, we will develop more user-friendly order procedures and options that reduce accidental orders and increase the payment options for users. If people go to a vending machine with a ten or twenty dollar bill, they can t even use it. On top of that, user-errors during a purchase are extremely unforgiving - often times resulting in money wasted on an unwanted item. As an additional feature, we are building an app that will show all vending machines at a given location (Ie. RIT) with an up-to-date inventory report. This will allow customers to check out each vending machine before they go to it to verify that it actually has the items they desire. We plan to address each issue at hand and improve the user experience. Beyond the issue of user-friendliness, we intend to add new functionalities that make the overall system better. Our solution involves developing a remote inventory tracking system with the capability to alert management of any obstruction in the ordering process that would lead to increased down-time for the vending system. An example of an obstruction would be the cash on hand dropping below a certain threshold, which would then trigger an alert through our system. Ultimately, our project will improve not only customer experiences, but also the system s functionalities. We will see little-to-no down-time per vending machine with the new inventory management system. In addition, each vending machine will see more business while allowing us to track real-time information that can be used for business intelligence purposes. There are endless possibilities of what we can do with the information we gather and can serve as an incredible tool for vending machine companies.

3 Problems Being Addressed The first issue we plan to address is the lack of user-friendliness. To get rid of disgruntled customers who accidentally bought the wrong item, we are going to add a Clear and Delete button. This is a simple, but necessary addition; customers can now either clear their entry or edit it before finalizing their purchase. The next modification we plan to do is offer compatibility for larger bills (up to the twenty dollar bill). By offering customers the chance to use bills larger than the five dollar bill, we will attract new customers as well as convenience existing customers. With the addition of larger bills, it makes sense to offer different change options. Customers can request different forms of change, but only with the purchase of an item. We may attract new people who need to split a bill by adding this functionality, which just means extra revenue for us. The next issue at hand is the inefficiency of restocking machines. As of right now, vending machines can either be a hit or miss in terms of their inventories. We want to make sure every machine is stocked adequately and appropriately. To do so, we are adding an inventory management system that keeps track of what s in each vending machine at all times. This opens us up to whole new world of possibilities, especially in business intelligence. One useful way to use the newfound information is to stock vending machines with the most consumed items. Also, some vending machines may have regular customers who tend to buy the same item. If we can guarantee that the item will always be in stock, those customers will be much happier and will continue to use our machine. By allowing customers to use larger bills, there is a need to track each system s cash/change to ensure a machine never runs out. Similar to our inventory management system, we will track what bills and coins are being used. This includes when a purchase is made and when change is given back to a customer. In addition, we can alert the employees in charge of restocking when the cash, change, or item s inventory drops below a certain threshold (Ie. 50%).

4 Stakeholders Customers They are ultimately the ones directly impacted by our project. We will work hand-in-hand with customers to generate feedback throughout the process Shareholders Owners of Facilities where machines are located They get a percentage of sales from owner of machines Investors Owners of machines. People/businesses who buy machines from our company. Suppliers Food manufacturers/distributors Part manufacturers/distributors Employees People stocking vending machines will use a new system The people designing/manufacturing the vending machines

5 s Vending System should give users and owners real-time inventory status via mobile application, and inventory software, respectively (Customers, Investors): Applies to users utilizing application to see if items are in stock. Applies to owners for stocking and sales purposes System will accept the following methods of payment, in USD currency for American-based machines (Customers): For change, it will accept nickels, dimes, quarters and half dollars For bills, it will accept $1, $5, $10 USD For plastic, it will accept Tiger Bucks, Credit Cards, Debit Cards For technology payments, it will accept mobile wallets such as ApplePay Users will complete a confirmation process that allows for accurate ordering/less accidental purchases (wrong item selected)(customers): Touch screen or digital-based button system will display image and name of product during selection Confirmation message will ask user to click Yes or No in response to You have chosen [ITEM X], is this correct? This additional step involves minimal time to complete and will eliminate many accidental selections System will dispense change, if the customer has inserted physical currency in excess of the price of the item selected (Customers): Change will be given back to the customer in USD currency in bill and coin form Vending machine feeds live inventory data to software at product warehouses. Software is accessible via internet connection and alerts owners when inventory of items and currency is low and when inventory of items and currency is empty (Investors, Employees and Shareholders): Low is defined as when inventory of a specific item has reached 25% or less. Empty is defined as when inventory of an item is completely depleted (Ie. count = 0) Owner will be able to log in and see financial transactions at anytime (Investors): Increases security and makes accountability easier Notifies owner if change box is full or empty System will be able to tell owner/employee when items need to be removed (Investors, Employees, Customers):

6 If an item has been in machine over 90 days system will notify employee to remove item and restock. This can be used to analyze trends, if items are not selling fast enough they can be replaced with new items to boost sales. System will notify owner if machine not operating correctly(investors, Employees and Customers): If products have become jammed in machine an error notification will be sent, and if necessary, a maintenance technician with be dispatched to the location If bill collector not working an error notification will be sent, and if necessary, a maintenance technician with be dispatched to the location If incorrect change dispensed an error notification will be sent

7 Proposed Solution One of our goals is to lower the operating cost of owning the vending machine. We aim to do this by improving inventory management. By being able to view the inventory remotely from the owners work computer, we can mitigate loading unnecessary products into delivery vehicles. This in turn can speed up deliveries by systematically loading only products that are needed for specific vending machine. By using this method we believe that an employee will be able to service more vending machines in a shorter time thus saving money on manpower and manufacturing overhead cost such vehicle maintenance and fuel. We will also be able use this data to help determine which products we would like to sell based on which ones sell the most. Our second objective is to be able to improve the efficiency in which we can service the machines. Instead of guessing when a machine has malfunctioned, we will be able to immediately be notified when an error has occurred. Typically when a machine is stuck or a part has broken the business does not know it unless a complaint call has been placed or an employee has showed up to fill the inventory and noticed something is wrong. This can lead to downtime, which in turn can lead to a loss in revenue. With our real time alerts we aim to minimize this downtime. This system is also going to be more user friendly for the customer. With our mobile application, users will be able to view vending machine locations and current inventory. This will help them save time and also aid the user in being more aware of where our machines are located. Additionally this will also serve as a feedback mechanism as user will be able to tell us when they machine has malfunctioned during one of their purchases. This method in conjunction with our real time alerts will help the integrity of the system and the customers. Another aspect of this will be users will be able to give us feedback on products they would like to see in our machines. We also aim to make the food product safer, as our system will track the expiration dates of our products and notify us when a product is about to be expired. A major improvement will be the payment system. We are going to introduce a system that not only receives US monetary bills, but it will return US monetary bills after a purchase has been made. Our system is designed to not act as a bill breaker. Customers will be able to pay via credit, debit card or tiger bucks. With more and more people moving towards electronic forms of paying for products our system will accept is digital wallets such as Apple Pay and Google wallet. Our goal is to make paying for products easier for our customers, as well as to improve tracking money for accounting practices.

8 Project Risks With any project that is undertaken, there are risks that can form from the proposal of the project through to the success of it. We have identified six project risks. The first risk identified is the lack of team cohesion. This can hinder the success of the project from the start if everyone does not share the same goals. A second risk can be the breakdown of communication between the owners and the contractors. This would cause business decisions made to fail to reach the end result. The third risk is if the initial cost, time to finish the project or the scope of the project that was originally quoted becomes incorrect (scope creep). This could cause a long endeavor of investments and additional manpower of trying to rectify each problem. A fourth project risk is that the software required to meet the specifications of the project is not capable enough. This would cause additional investment and potentially force the project from being placed on hold. The fifth risk is the money being invested into upgrading the vending machines does not increase revenue. This would be a failed investment and cause further evaluation. The last project risk is if the customers do not want to engage in the use of the mobile application. This would not enable us to track our customers buying trends.

9 Use-Cases

10 Use-Case Narratives Vending Machine Version: 1.0 Use-Case Name: Purchase Item Use-Case Type Use-Case ID: 001 s: Priority: Source: Other Customer None

11 Other Interested Description: Shareholder - Interested in the amount of sales to determine their percentage received from the total sales. Investors - Interested in sales activities to know trending items and evaluate a machines performance. Employees - Interested in sales activity in order to prepare for replenishment. Suppliers - Food distributors interested in sales activity in order to be ready to prepare shipments. This use case describes the event of a customer making a purchase from one of our vending machines. After the user makes a selection, it is verified that the product is in stock. The method of payment is then verified and the product is released from its holding unit for customer to pick up, out of the opening slot near the bottom of the machine. If any change is due it will be dispensed and the food inventory and cash flow are updated accordingly. Use-Case Name: Return Change Use-Case Type Use-Case ID: 002 s: Priority: Source: Other Other Interested Customer None Investors - Interested in knowing how much money is on hand in the vending machines after change is returned to ensure machines are emptied or replenished when needed. Employees - Interested in knowing that the changed return is working properly and knowing how much they will be extracting or replenishing to the machines.

12 Description: This use case describes the event of the vending machine returning change to the customer. The payment method is verified and calculated against the total. The vending machine will return the proper amount of change back to the customer in the form of bills and or coins. Upon completion, the cash flow inventory is update accordingly. Use-Case Name: Service Machine Use-Case Type Use-Case ID: 003 s: Priority: Source: Other Other Interested Employee Investors Shareholders - Want to know what personnel will be in their buildings. Customers - Want to know if the vending machine is operational. Description: This use case describes the event of servicing the vending machine. An error message is read from the vending machine by an employee. A service ticket is created and sent to the maintenance department for scheduling. An employee will be dispatched to repair the vending machine. Upon completion a repair order will be documented and filed. Use-Case Name: View Inventory Use-Case Type Use-Case ID: 004 s:

13 Priority: Source: Other Other Interested Investors None Suppliers - Want to prepare for any incoming orders to be shipped out. Description: This use case describes the event of viewing inventory. Investors will check the inventory of any vending machine. If any vending machine needs to be refilled of any items, an order slip is sent out to the supplier. Use-Case Name: Place Order Use-Case Type Use-Case ID: 005 s: Priority: Source: Other Other Interested Investors Suppliers Employees - Wants to know if there will be new inventory coming in for them to take to the vending machines.

14 Description: This use case describes the place order event to restock the vending machines. An inventory count is viewed by Investors. The Investors will verify which items need to be placed on the order sheet. The order sheet will then be sent to the supplier's warehouse where the order will be prepared for shipment. Use-Case Name: Ship Order Use-Case Type Use-Case ID: 006 s: Priority: Source: Other Other Interested Supplier None Employees - Will want to prepare their truck for the new inventory that is coming in. Investors - Will want to make sure their vending machines are filled so no loss of business occurs. Description: This use case describes the event of the supplier shipping the inventory requested. The supplier reads the order slip and loads the required items onto pallet. Upon completion, a confirmation of shipment will be sent to the Investors. Use-Case Name: Schedule Individual Machine Order Use-Case Type Use-Case ID: 007 s: Priority:

15 Source: Other Other Interested Investors Employee Customers - Will want certain items that have run out of stock. Investors - Will want to make sure their vending machines are filled so no loss of business occurs. Description: This use case describes the event of scheduling individual machine orders. Once the items are verified as being in the shipment from the supplier, they will be separated. It is determined which vending machines need which items and placed on an order slip. The order slip is given to the employee who will fill the specified vending machines. Use-Case Name: Deliver Order Use-Case Type Use-Case ID: 008 s: Priority: Source: Other Other Interested Employee None Investors - Will want to know the routes that are driven by the employees are the most cost effective.

16 Shareholders - Will want to know what personnel is going to be coming into their buildings. Description: This use case describes the event of delivering the order. The employee will read the order slip that is specific to them. The employee will then fill their truck with the required inventory items that will be needed for each vending machine. The employee will drive to each designated vending machine. Use-Case Name: Fill Inventory Use-Case Type Use-Case ID: 009 s: Priority: Source: Other Other Interested Employee None Investors - Will want to make sure the inventory has been filled to ensure sales. Shareholders - Will want to know who is in their buildings. Customers - Will want to know how long it will take the employee to fill the inventory so they can make a purchase. Description: This use case describes the event of filling the inventory of a vending machine. When the employee arrives at the specified vending machine, they read the order slip for that machine. The employee selects the required items from their truck to bring into the vending machine. The employee then opens the vending machine and places the items in the designated places inside the machine. Upon completion, the vending machine is

17 closed and a confirmation of completion is sent to the Investors. Use-Case Name: Create Account Use-Case Type Use-Case ID: 010 s: Priority: Source: Other Other Interested Customer Employee Investors - Are interested in the customers signing up for the application better understand their customer base. Description: This use case describes the event of a customer creating a new account to use the vending machine application. The customer enters their demographic information and creates a username and password. The information is validated and the customer can now log onto the application. Use-Case Name: View Inventory Use-Case Type Use-Case ID: 011 s: Priority: Source: Customer

18 Other Other Interested Investors Shareholders - Will be interested in knowing that the vending machine that is located in their building is making sales. Description: This use case describes the event of the customer viewing the inventory of different vending machines. The customer logs into their account and the information is validated. The customer selects which vending machine they want to see the inventory for. The inventory is then displayed to the customer along with the amount and price of each item. The information the customers look at is then stored into our database for the Investors to better understand what customers possible buying habits are. Use-Case Name: Manage Application Use-Case Type Use-Case ID: 012 s: Priority: Source: Other Other Interested Employee Customer Investors - Will want to know that an application that attracts customers is constantly operational. Description: This use case is used to describe the event of managing the application for the vending machines. The employee will apply

19 Data Model software updates as needed. The employee will also review any errors returned by the application or complaints from customers and apply any needed repairs. A record of completion will be kept in records.

20 Process Model

21 Database Schema

22 User Interface Prototypes

23 With the vending machine mobile application (Snack Track), we have made it even easier to access your favorite snacks and keep track of what is in stock at your most visited vending machines. This application is free to all users, and offers additional perks for those choosing to create a free account. By creating an account, users can keep track of their favorite machines and products to ensure that they are visiting machines that have all the snacks they desire. They are able to view their purchase history, as well. With the user accounts, we will be able to more accurately forecast any trends based on machine location and item selection. Users who choose not to create and account will still be able to use a GPS-enabled ios or Android device to locate a machine based on their current location. Users can then click on a machine icon on the map to check the current availability of items and the get walking directions to the machine location. Overall this mobile applications offers users the convenience of easily finding the product they want. Additionally, the purchase-based and location-based data that we track will allow us to gain insight on spending patterns for individual items and machines.