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INFOSYS.110 BUSINESS SYSTEMS:

DELIVERABLE 2: BUSINESS SECTION
2014

Name Sean Bernard McRobert Tozer
NetID Stoz647
Group Number: 114
Website Link: http://infosys1102014fcgroup114.blogspot.co.nz/
Tutorial Details
Tutor: Day: Time:
Nicholl Monday 2pm
Time Spent on
Assignment:
20 hours Word Count: 1404

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GLOBAL BLOOD DISTRIBUTION SYSTEM
INTRODUCTION
Right now on this very planet there is a global blood shortage, the difference between the amount of blood
available in 1
st
world and 3
rd
world countries is vast. In 1
st
world countries there is about 39.2 donations per
1000 people, whereas in 3
rd
world countries there is only 4 donations per 1000 people. That means there is
about 10 times the amount of blood available in a 1
st
world country relative to a 3
rd
world country with the
same population.
This is a major problem as blood is essential for people who need transfusions to combat their particular
ailment e.g. car accident victims, cancer patients and many more.
One solution to this problem is my proposed Global Blood Distribution system. This system would receive
orders of blood and automatically generate a delivery of blood, based on supply and demand between
participating countries, however this will be on a scale never seen before with this business being supported
by governments, the W.H.O and the United Nations.
3. BUSINESS SECTION
3.1 Vision
My vision is to create a non-profit organisation supported by the UN, the W.H.O and governments from every
nation, so that they can provide every single person in the world regardless of race or place, access to a safe
and readily available supply of blood, to help prevent the unnecessary loss of life caused by an inability to get
the blood they require.
3.2 Industry Analysis: Blood Supply Industry
Force: High or Low: Justification:
Buyer Power Low There is no substitute for blood
and this is a non-profit
organisation.
Supplier Power High The suppliers are every single
person in the world willing to give
their blood, they have the power
to not give blood.
Threat of New Entrants Low This business is a Non-Profit
Organisation and is supported by
the government.
Rivalry among competitors Low There are very few blood
donation/supply businesses, and
all of them will incorporated into
the distribution system.
Threat of substitutes Low There is no substitute for blood,
and there will be none in the
foreseeable future.

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Overall attractiveness of the industry:
This industry seems to be a relatively attractive industry at first glance, as there is no threat of a substitute for
blood, no rivalry or threat of new entrants as this is a non-profit organisation. However in actuality it may not
be very attractive at all, as it relies heavily upon support from other organisations such as governments, the
W.H.O, the United Nations and there is no profit to be made from it, add this onto the high infrastructure costs
of setting this up globally. The high supplier power and low buyer power also contribute to the lack of
attractiveness of this industry, but this business is meant to make the world a better place and an unattractive
industry should not get in the way of that.
3.3 Customers and Thei r Needs
The customers of this business are the countless lives of people over the world, who would otherwise not be
here if the blood they received hadnt been donated and this system wasnt in place to supply this customer
with blood they desperately need.
3.4 The Product and Service
The service provided by this Global Blood Distribution System would acquire and deliver blood to countries
and people in need around the world.
The first would be the data collection in every single blood donation clinic worldwide,
everything about that blood product i.e the blood type, the time, date and place donated,
would be recorded and updated onto a global IT system.
The second would be the data analysis of all blood donations in every single country globally,
and the allocation of the blood by country. The countries with a higher number of AB+ blood
types for example may produce a surplus of this blood type whereas some countries would
be in severe need of this particular type, the system would automatically do this 24 hours a
day, continuously allocating blood.
The third step would be acquiring the orders created by the global IT system and use this to
streamline the delivery process of the goods to the desired countries.
3.5 Suppliers and Partners
This is a non-profit organisation aimed at saving potentially millions of peoples lives for many years to come,
and as such it would need some major political partners. The basis for this systems success is the support of
governments from every single nation globally, and without their support this venture could fail.
If this system was government funded and supported by other companies such as the World Health
Organisation, the United Nations, International Red Cross and Red Crescent Movement, then it would have all
the resources required to make this venture a success.
3.6 Strategy: Cost Leadership
The organisation is hard to define into one of Porters Generic Strategies as this is a non-profit organisation,
however I believe it to be broad market cost leadership strategy.

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The reason for this is due to the fact that the whole world is their market, and the only product they are
selling is blood. This product would be free to all those who are in need of blood. As this is a non-profit
organisation and the blood is free, it is surely an example of a cost leadership strategy being employed by this
organisation.
The overall strategy is cost leadership.
3.7 Value Chain Activity: Procurement
The most important Value Chain Activity for this organisation is undoubtedly procurement.
This business is in the industry of procuring blood from donators and then supplying the people in need with
this product. If this organisation fails to procure the blood, then the IT system set up to analyse and deliver the
blood across the globe is useless.
If there is no blood being donated then there is no blood to save peoples lives.
3.8 Business Processes

3.8.1. THE BLOOD DONATION PROCESS

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This is the process of procuring blood from donators at the donations clinics set up worldwide. The patient will
show up at the clinic and give blood, this blood is then tested to see if it is safe and can be used for
transfusions. If it is deemed safe then it will be sent to the storage facility whilst the blood donor information
such as the blood type, time, date and any other relevant information is stored on the IT database.


3.8.2. THE BLOOD ALLOCATION AND TRANSPORTATI ON PROCESS

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During this process, the IT system acquires all the information from the clinics and hospitals worldwide and
allocates blood based upon supply and demand. The system then contacts the relevant transporter and has
the blood packaged and delivered to its destination.
These processes are important as they are the basis for the entire organisation, this organisation is the
procurement and supply of blood using an IT based system to determine where and when countries need what
types of blood.
3.9 Functionalities
3.9.1. BLOOD DONATI ON PROCESS
For this process they would need equipment which could test for infection and disease in the blood
due to be donated.
The information from each patient then needs to be uploaded to the IT database.
3.9.2. BLOOD ALLOCATION AND TRANSPORTATI ON PROCESS
The IT system would need to analyse the data and use this to organise the distribution of blood on a
global scale.
It would also need to be able to create a delivery order and contact the trasportation companies, who
would then pick the order up and begin the delivery.
3.10 Systems

3.10. 1. DATA STORAGE SYSTEM This IT based system would need to store and continously
updata data from around the world and be accessed from anywhere.
3.10. 2. DATA ANALYSI S SYSTEM This system would analyse and sort the data acquired,
deciding where to distribute the goods from the clinics.
3.10. 3. BLOOD TRANSPORT SYSTEM This system would use the information from the data
analysis system and create orders which are then received by the transport department.

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3.11. Summary Table: Value Chain to Systems

Value Chain Activity Processes Functionalities Specific Information System(s)

Procurement
1. Blood Donation
process
1. Blood testing equipment

2. Database access and storage
Blood analysis system

Data Analysis system
2. Blood allocation and
transportation process
1. Data Analysis

2. Creating delivery orders
Data Analysis system


Order delivery system

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CONCLUSION
This organisation would collect all blood donations globally and use its Information System to analyse and
create delivery orders to send the blood to places in dire need of blood.

REFERENCES

1. World Health Organisation (2013). Blood Safety.
http://www.who.int/bloodsafety/en/

2. World Health Organisation. (2013). Blood Safety and Availability.
http://www.who.int/mediacentre/factsheets/fs279/en/

3. New Zealand Blood Service. (Last modified: 27th February 2014).
NZBlood. http://www.nzblood.co.nz/