NMO S4 SPRINT ONE | BUSINESS CASE SCENARIO - 04 | Airway Delivery: A New Business Opportunity

Submission BCS

Financial Break-Even targets, Product Mix & Operational/HR capabilities of Boppity Hoppity Logistics

Submission Date & Time: 2022-01-26 10:17:04

Event Name: NMO S4 Sprint One - IIM Kashipur

Solution Submitted By: Dhruv Yadav

Assignment Taken

Detailed overview of the Financial Break-Even targets, Product Mix & Operational/HR capabilities

Case Understanding

The company is a courier service that delivers to most Indian pincodes. The company's board has resolved to enter the "Hyper Local Delivery Space" with drones. In India, all flying objects must be approved by the Director General of Civil Aviation (DGCA). Your firm has all required permits. Successful test delivery and BVLOS trials are undertaken. Due to the high purchasing cost of "long range drones", the company has opted to launch its business as "Short Range Drone Based Services". Build an end-to-end Drone Operations & Management Platform for quick company growth. Companies including food delivery services, pharmacies, and local businesses have benefited from the company's beta testing delivery services, and the company plans to expand its business sectors for low-cost cargo deliveries. Time saving is clearly the best use case for "drone services" according to Initial Users. Drone services are an expansion of the company's present service offerings. A section for Drone Business has been established by the company's board. To break even in the first year. Branding. Process and product innovation to dominate the market. The divisional budget for 2021-2022 is Rs. 10 Crore. With the following goals in mind, you are tasked to draught and submit a full business plan for the Company's Board approval. Business case, marketing strategy, brand journey projection, HR recruitment & training plan, financial planning for FY 2021-22, IT infrastructure plan would be created as per Leader's directions.

BCS Solution Summary

A common cloud site collection should be set up to maintain all the storage databases, websites and the applications. Details such as Sender Name, Sender Address, Receiver address, Package content, Package Weight, Sent Time, Received Time should be maintained in a cloud-based storage. A CRM system that is properly implemented allows you to manage the client lifecycle and identify new prospects by targeting and retargeting them. You may choose an integrated solution that incorporates all three alternatives, or mix and match based on your company needs. The selection you make is critical since it affects the operation of your company, as well as satisfied consumers and vendors. India's Ministry of Civil Aviation has announced a framework for managing drone traffic. The framework includes both public and private third-party service providers. An automated unmanned aircraft system traffic management system (UTM) is needed to manage drone traffic below 1,000 feet.

Solution

IT Infrastructure:

Requirements:

  1. Cloud Site Collection
  2. Cloud Storage
  3. Automation of Process
  4. Mobile Application
  5. Website
  6. CRM (Customer Relationship Management)

Cloud Site Collection:

A common cloud site collection should be set up to maintain all the storage databases, websites and the applications.

Cloud Storge:

  • All the details such as Sender Name, Sender Address, Receiver, Receiver address, Package content, Package Weight, Sent Time, Received Time should be maintained in a cloud-based storage so it can be easily accessible through the mobile application and website.

Automation of Process:

All the process should be handled by have series of trigger and action items. Therefore, the manual intervention is minimal and there would be higher efficiency.

Applications and Features:

  • The Application should have the feature to track the courier based the unique courier ID.
  • The details of the sender and receiver should be maintained in Decentralized cloud storage which would be easy to access in case of any information being required.
  • The application should a send the user a push notification in case of any delay.

 

10 Best Package Tracking Apps for Android and iOS

Website:

The website would provide the similar functionality of the Mobile Application.

Customer relationship management (CRM):

It is a tool for managing all your company's customer and potential customer relationships and interactions. The idea is straightforward: improve business contacts to expand your company.

 

CRM technology is divided into three categories:

  • intelligent machines;
  • computing in the cloud;
  • software.

You may either choose an integrated solution that incorporates all three alternatives, or you can mix and match based on your company needs. The selection you make is critical since it affects the operation of your company, as well as satisfied consumers and vendors. A CRM system that is properly implemented allows you to manage the client lifecycle and identify new prospects by targeting and retargeting them based on recommendations and suggestions, level of education and interests, previous purchases, post-purchase behaviour, and other factors.

 

HR

Software Development Team

The main criteria to hire a software development is as follows: -

  • Technical team lead
  • A set of experienced people in the field
  • A group of freshers or less experienced people who are educated in coding or related areas

For technical team lead, it should be a person very well experienced or have tackled a similar position in the past and is very well versed in laying down the project road map and lead the team to it. So, we can narrow it down to people who are still working in the technological industry or graduates from MBA colleges. This will enable our company to hire a well abled lead after technical round and a HR round.

For the experienced people who will be acting as the bridges between the team lead and the technical team, will be comprised of people who are towing their career in the software development for some time. These will be people having a 2-4 years of work experience exclusively related to the software development area. They will also follow the same interview procedure as the lead with a slight change that it will be team lead who will be driving the interviews forward.

For the technical team, it will be consisting of people who are fresh into this area but have been educated in the field of coding and in IT. People of work experience 0-2 years are applicable for this and will be beneficial to the team due to their fresh theoretical ideas.

Thus, the team will be comprised of A team lead, a few senior developers and a technical team.

 

Support Staff

The support staff of a drone team would include drone maintenance team, Infrastructure maintenance team, Certified Drone pilots, HR team, Marketing team, Finance team and IT department.

The IT department has been explained above in the software department.

Drone maintenance team consists of engineers who can fix the issues arising from the drones. It would consist of the maintenance head who is M. Tech graduate or a very experienced one in this field. The interview process would be conducted by the software team lead and the Leader of our company, going through the many problems a drone may face and on team management. These qualities are required to be the lead for the maintenance staff. The rest of team consists of a group of engineers who are well experienced in the practical field.  The people should be a graduate in B. Tech or any similar field with hands on experience.

The infrastructure team consists of people who are responsible for maintenance of the facility in which the company operates from. It includes electricity, plumbing, air conditioning, storage units, office units and IT services. The IT service teams include a group of IT engineers who are there to assist in anything IT related like router issues, system issues etc. The main hiring criteria is that they should be an IT engineer.

The certified drone pilots, as the name suggests, consists of certified drone pilots who are required to ride the drones to their destination and back. The number of pilots depends on the supply the company decides to provide at that point. The pilots will have to take shifts to cover the entirety of the order that is in demand.

HR and marketing teams consist of the respective team leads who are well versed in their respective fields. The main job of HR manager is recruitment of people in all the fields, their learning curves and the management of all crises occurring from the people department. The main job of marketing lead is to market the drone service to all the companies that require this kind of service and be able to convince them to convert to drone service.

Learning curve for employees

Software development team

The seniors in the group

For the experienced people in the group, it's basically about gaining new skills in the leadership department. They have enough experience in the technical department, it's just their leadership skills which are impeding them from being a lead.

For the juniors in the team, it's about gaining experience in the technical department. They can gain knowledge by doing several courses offered by the company. They will gain experience over time by doing the jobs assigned to them and gaining more responsibility.

Support staff

Drone maintenance team

They will gain experience over time. Gaining new and improved methods will benefit them and also experience of working with the team lead.

The scale up

The scale up for the employees depends upon the performance output of the employees and the learning curve the employee has gained over a period of time.

The employees have to demonstrate that the skills they have gained through the learnings have been integrated into their job. It has to be certified by their team leads, then only will they be able to scale up in the company.

 

Drone Market

Governmental Impact

For airspace below 1,000 feet, the Ministry of Civil Aviation has announced a framework for managing drone traffic that includes both public and private third-party service providers.

An automated unmanned aircraft system traffic management system (UTM) is needed because "... India has started taking steps towards enabling advanced use cases like delivery of goods using unmanned aircraft and is also looking at human transportation using unmanned aircraft" according to the Ministry.

An automated UAS Traffic Management (UTM) system must be developed, it added, adding that such systems might later be linked into standard ATM systems.

Government for the most part has been positive in its responses toward the introduction and implementation of UAS for delivery of goods.

Product/ Service Mix

Weight Class

  1. Up to 500gms at Rs60
  2. 501gms to 1 Kg at Rs 80
  3. 1Kg to 5 Kg at Rs 100/Kg
  4. 5Kg to 10 Kg at Rs 110/Kg

Product Type

1          Short Range Drones      150 Km range on full Charge, Max. Weight Bearing Capacity:10 KG

2          Long Range Drone         650 Km range on full Charge, Max. Weight Bearing Capacity:25 KG

Competitors

  1. Swiggy Genie
  2. Zypp
  3. Dunzo Digital
  4. Amazon
  5. TAS
  6. ANRA

Applications

  1. Food Delivery
  2. Door-to-Door Delivery
  3. Medicinal Transportation
  4. Goods Delivery ( Warehouse )

 

 

Conclusion
Drone although an up and coming industry, which would in the coming decade is hoisted with hiring 100,000 people is still is rough waters. Although govt has been positive off late about the prospect of Drones in the sky, it will be some time before the business could harness the benefits to the max. But at this junction the organisation does have the advantage of being the blue ocean entrant. They could be the first to enter and start up a change in the logistics industry.

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Article Type: Business Case Scenario, Case Study Solution Submission
Business Case Detail
Title: NMO S4 SPRINT ONE | BUSINESS CASE SCENARIO - 04 | Airway Delivery: A New Business Opportunity
Type: Case Study
Stream: Management

Tags: developing a business case for drone services, business case, scenario analysis, business case solution, drone services, management learning, public business case, business case example and solution, business case structure, management olympiad, management competition, business case competition, case study competition, virtual company, business simulation, online management competition, drone delivery

Participant

Dhruv Yadav

Leadership













Metamorphic Resurgence - IIM Ksh

Total Team Points: 0