You recently inherited your family’s coffee shop, which is conveniently located in
downtown East Lansing. The cafe offers many different kinds of individual servings
of coffee and tea, a full service bakery, and sandwiches, soups, and salads. Your
grandfather first opened the coffee shop in 1952 and it was a local hotspot for many
years. Your mother took over running it in 1997 and is looking to hand over the
business to you as the next generation.
Although your family’s coffee shop was a local hotspot for many years, business has
been steadily declining over the last five years. Your grandfather was an expert at
running the coffee shop, however, it is outdated. The shop utilizes Microsoft Excel to
track all orders and to balance cash at the bank. Contact information for all the
vendors and suppliers is kept in a contact list in Microsoft Outlook within your
mother’s e-mail. The family recipes for the baked goods and soups are not recorded,
rather your mother and sister have been the ones who make all the goods on a daily
basis from memory. Inventory is not tracked, and ordering is done based upon running
out or low on a product. Usually inventory is replenished timely, but sometimes if
orders go in late or delivery is delayed certain products are not available for
customers until the ingredients or needed products arrive. Payroll is based upon
manual time sheets created by the employees recording when they arrived and left
each day. The Cafe does not have a Web site, uses very little marketing or promotions,
except word-of-mouth and a simple Facebook page. From a marketing perspective, it
essentially still operates the same as it did in 1952. There is a WiFi connection for
visitors to use, however it is fairly slow not always the most robust. The WiFi is on a
public network with no security requirements.
You will own and operate your family’s coffee shop, taking advantage of business
practices discussed in our ITM 209 class to keep the business running, increase
profits, and bring the cafe into the 21st century. Your first decision is to define a new
business strategy for your family’s coffee shop. One of your business strategy ideas to
grow revenue and improve profits through leveraging technology to either create new
services / products to provide, reduce costs and/or improve the customer experience to
drive business. You also want to work out a franchise deal whereby your coffee shop
can sell coffee and teas in bulk packages. You will analyze this opportunity using your
knowledge of business analytics. You will also introduce IT to enable the strategy and
enhance operations. Your goal is to differentiate your shop (and future chain) in some
way from your competitors in the industry.
Your team has been challenged to be very creative and pursue innovative value
creation ideas in the ITM 209 Team Project to create a competitive advantage for
your family’s coffee shop. We have discussed in lecture how the IT Enablers
associated with disruptive technology may be useful to open new markets and
significantly gain market share. Example ideas, associated with these IT Enablers for
disruptive technologies, include Airbnb, Uber, Amazon and Whole Foods, new home
delivery opportunities, wearable technologies, and many other examples involving
innovative and creative opportunities. Your team will need to include IT Enablers that
will result in creative and innovative value creation ideas for you to create a
competitive advantage for your family’s coffee shop. However, you are not limited to
just those enablers that are discussed in class. Please include your ideas within your
Team Project report and presentation.
The goal of this team project is for you to learn how to apply the concepts of IT value
creation to a realistic situation of your family’s coffee shop. This project will be
carried out in teams, and your GA will assign you to a team during your recitation.
Your team will create a new business strategy, utilize business analytics to analyze
creative options for your new business strategy, design the IT enablers to create value
for the new business strategy, and preserve value for your customers with IT security
procedures. Each team will utilize team collaboration tools to help them work
together and help them create the team project deliverables. Each team will also
utilize Tableau to perform the business analytics tasks associated with business
strategy creation and valuation.
Each team will produce a report and make a presentation discussing the business
strategy and IT opportunities which your coffee shop will implement when engaging
in its improvement plans. In addition, each team will integrate these opportunities and
discuss their overall impact on your new coffee shop’s value creation opportunity.
As part of executing the project as a team, it is required that you utilize some form of
technology for collaboration of project management. Examples include but are not
limited to remote team meeting / collaboration tools (such as Zoom (zoom.msu.edu);
Skype; Microsoft Teams; Slack; Google Docs; OneDrive; or others. You will be
required to indicate in your presentation and paper what tools you utilized and how
they facilitated your project management, or how you learned about using the tool
based upon your experiences such that you could use them more effectively if you
were to do another project. .
Remember: there are no wrong answers. You are expected to do additional research
to complete the team project. Please list your references or citations for your
additional research at the end of your report. Creativity, initiative, completeness,
teamwork, and diligence will definitely lead to good scores! You and your team will
work together and decide on the new and innovative business strategy that will create
an immediate and long-term competitive advantage for your coffee shop. Specific
areas to focus on to assure your new business strategy creates exceptional value are
outlined in these team project instructions and include the following:
Fulfill the family dream of providing a vast offering of products and services;
thereby increasing coffee shop revenues and profits
Grow revenue and improve profits via a franchise deal to sell coffee and teas in
bulk packages on-site and also on-line
Utilize IT enablers to enhance your business strategy via implementing value
creation activities which enhance productivity, improve marketing for enhanced
revenue, maximize convenience and service, and improve communications
Include IT Enablers that will result in creative and innovative value creation ideas
for you to create a competitive advantage for your family’s coffee shop
Any other innovative value creation ideas which you and your team believe will
enhance the competitive advantage of your coffee shop
Find ways to leverage data that the business gathers either internally or externally
to enable your business strategy
Part 4. Customer Security Opportunity
Your family’s coffee shop must assure that customer security procedures are in place.
Since your employees have access to customers’ information, it is important to make
sure the information is properly used and that customer information is treated with
security. Customers need to feel secure in using the innovative technology you choose
to deploy at your coffee shop.
Information security is a broad term encompassing the protection of information
from accidental or intentional misuse by persons inside or outside an organization.
Companies may become liable for any costs associated with a breach of their IT
systems and for security issues related to customer information. In response,
organizations are implementing innovative IT security programs and you are thinking
of doing the same.
Document your proposed IT security approach to protect your customers.
Questions you might want to address in your documentation for your team
What is your chosen IT security approach and how would your IT security
system help protect your family’s coffee shop and its customers? What are
the advantages and disadvantages?
What can you do to protect your data while still building a sense of trust
among your employees?
What can you do to assure your customers that your security approach will
protect their data?
How can you provide security to protect the customer’s data if the customers
utilize innovative technology such as wearable technology devices?
How can you innovate to leverage new payment methodologies that have
evolved in recent years or are up and coming?