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Tài liệu Researching and proposing business model for iot service monitoring the position and theft prevention of motorbikes smart motor in viettel

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ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- HOÀNG HÀ ANH RESEARCHING AND PROPOSING BUSINESS MODEL FOR IOT SERVICE - MONITORING THE POSITION AND THEFT PREVENTION OF MOTORBIKES - SMART MOTOR IN VIETTEL NGHIÊN CỨU VÀ ĐỀ XUẤT MÔ HÌNH KINH DOANH DỊCH VỤ IOT - GIÁM SÁT ĐỊNH VỊ VÀ TRỐNG TRỘM XE MÁY - SMART MOTOR TẠI VIETTEL LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2020 ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- HOÀNG HÀ ANH RESEARCHING AND PROPOSING BUSINESS MODEL FOR IOT SERVICE - MONITORING THE POSITION AND THEFT PREVENTION OF MOTORBIKES - SMART MOTOR IN VIETTEL NGHIÊN CỨU VÀ ĐỀ XUẤT MÔ HÌNH KINH DOANH DỊCH VỤ IOT - GIÁM SÁT ĐỊNH VỊ VÀ TRỐNG TRỘM XE MÁY - SMART MOTOR TẠI VIETTEL Chuyên ngành: Quản trị kinh doanh Mã số: 60 34 01 02 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: TS. TRẦN HUY PHƯƠNG HÀ NỘI - 2020 DECLARATION The author confirms that the research outcome in the thesis is the result of author‘s independent work during study and research period and it is not yet published in other‘s research and article. The other‘s research result and documentation (extraction, table, figure, formula, and other document) used in the thesis are cited properly and the permission (if required) is given. The author is responsible in front of the Thesis Assessment Committee, Hanoi School of Business, and the laws for above-mentioned declaration. i ACKNOWLEDGEMENT To complete this master's thesis with the best results, besides my own efforts, I have received advices and support from many people: Firstly and foremost, I would like to send my deep thanks to Dr. Tran Huy Phuong, for his dedication and direction to this thesis. At the same time, I would like to thank my colleagues at Viettel Group for helping me with the process of gathering materials, data and sharing practical experiences in the analysis process. In addition, I would like to thank Hanoi School of Business and Management, Hanoi National University for the best learning environment for me to get more knowledge and improve professional skills. Finally, I would like to express my sincere thanks to my family, friends and teachers for their support and encouragement in my learning, work and life to complete my thesis. ii TABLE OF CONTENTS DECLARATION .............................................................................................. 1 ACKNOWLEDGEMENT ................................................................................ ii LIST OF ABBREVIATIONS ........................................................................... v LIST OF TABLES ........................................................................................... vi LIST OF FIGURES......................................................................................... vii PREFACE ......................................................................................................... 1 CHAPTER 1. LITERATURE REVIEW ....................................................... 10 1.1. Some basic concepts ............................................................................ 10 1.1.1. Internet of Things ........................................................................... 10 1.1.2. IoT theft preventation definition .................................................... 12 1.1.2. Business model ............................................................................... 12 1.2. Components of Business Model Canvas .............................................. 15 1.2.1. Product pillar................................................................................... 17 1.2.2. Customer interface pillar ................................................................ 18 1.2.3. Infrastructure management pillar .................................................... 19 1.2.4. Financial aspects pillar.................................................................... 20 CHAPTER 2. RESEARCH METHODS AND THESIS DESIGN ................ 22 2.1. Desk Review (Secondary data) ............................................................. 22 2.2. Primary data .......................................................................................... 22 2.3. Expert Interview.................................................................................... 24 2.4. Focus Group .......................................................................................... 24 2.5. Location and time of study ................................................................... 25 CHAPTER 3. ANALYSIS OF MONITORING POSITIONING AND THEFT PREVENTION SYSTEM FOR MOTORBIKE IN VIETNAM .................... 26 3.1. Overview of Viettel Group .................................................................. 26 3.1.1. Brief introduction of Viettel Group................................................ 26 iii 3.1.2. Viettel‘s objectives and Orientation ............................................... 28 3.1.3. Viewpoint and orientation on product............................................ 29 3.2. Overview about IoT Motorcycle Products .......................................... 31 3.3. Build Canvas Model for IoT Monitoring positioning and theft prevention system for motorbike ................................................................. 33 3.3.1. Overview about positioning and theft prevention system for motorbike .................................................................................................. 33 3.3.2. Canvas Model for IoT Monitoring positioning and theft prevention system for motorbike ................................................................................ 38 3.3.3. Smart Motor analysis of financial and business performance ....... 53 CHAPTER IV. RECOMMENDATIONS....................................................... 56 4.1. Enhance customer proposition .............................................................. 56 4.2. Improve customer segmentation, especially to provincal cities and towns .. 56 4.3. Promote multi channel product distribution ......................................... 57 4.4. Strengthen customer relationship .......................................................... 58 4.5 Training a coordinated, cross-functional Team Department which is the most important resource of Smart Motor .................................................... 58 4.6. Implement retail marketing strategy to attract new customers, develop and expand Smart Motor .............................................................................. 59 4.7. Promote Partnership and Cooperation .................................................. 61 4.8. Define a proper revenue stream ............................................................ 62 4.9. Establish an adequate cost structure ..................................................... 62 4.10. Improve the quality of IoT Platform of Viettel to improve the quality of Smart Motor ............................................................................................. 63 4.10.1. Develop IoT Platform ................................................................... 63 4.10.2. Improve IoT Connect and infrastructure Technology ................. 63 CONCLUSION ............................................................................................... 64 REFERENCES ................................................................................................ 65 iv LIST OF ABBREVIATIONS AEP Application Enablement Platform ARPU Average Revenue Per User BDA Big Data Analytics BI Business Intelligence BML Build – Measure - Learn BSS Bussiness Support Systems CMP Connectivity Management Platform IoE Internet of Energy IoT Internet of things IoV Internet of Vehicles KOLs Key opinion leaders MVP Minimum Viable Product RFID Radio frequency identification RS Revenue Stream SIMs Subscriber Identity Modules VoIP Voice services using IP technology v LIST OF TABLES Table 1.1: Business model canvas elements and descriptions ........................ 15 Table 2.1: Interview description ..................................................................... 24 Table 3.1: Revenue and profit of Viettel from 2014-2018 ............................. 28 Table 3.2: Numbers of Motorbike in Vietnam ................................................ 39 Table 3.3: Viettel‘s price policy for Smart Motor ......................................... 46 Table 3.4: Total cost of the package ............................................................... 50 Table 3.5: Total cost of solely equipment ....................................................... 50 Table 3.6: Total cost of device including charge package .............................. 51 Table 3.7: Expected profit of device with charge package ............................. 53 Table 3.8: Expected profit of solely device .................................................... 54 Table 3.9: Expected profit of the package ...................................................... 54 Table 3.10: Expected financial performance .................................................. 55 vi LIST OF FIGURES Figure 1.1 Business Model Canvas (Osterwalder and Pigneur, 2010) ...................14 Figure 3.1: Smart motor Services ...........................................................................34 Figure 3.2: Smart Motor Operation ........................................................................35 Figure 3.3: IoT value chain .....................................................................................37 Figure 3.4: IoT Vertical Platform ...........................................................................38 vii PREFACE 1. The rationale of the study The stealing of vehicles is a serious social problem for most countries, and Vietnam is also one of the countries with high amount of vehicle theft annually. Due to the infrastructure and roads characteristics, as well as the income level, most Vietnamese people use motorcycles as their main means of transportation. Therefore, positioning and theft prevention system for motorbike is a total security and fleet management solution for anti-theft. It is the application of Internet of Things (IoT) - a system of connected digital devices, each being indentifiable from the others, within a network that can communicate independently without the need for human interaction. This technology used to determine the location of a motorbike and alert if there is any suspicision of motorbike theft, which becomes increasingly popular among owners of vehicles as they are able to monitor their motorbike continuously. Besides, the demand for positioning and theft prevention system for motorbike is obvious, however, launching a new enterprise—whether it is a tech start-up, a small business, or an initiative within a large telecommunication corporation like Viettel—has always been a hit-or-miss proposition. According to Zott and Amit (2010) designing a business model is a key activity for all individuals who have a thought about starting up a business. Business model is a starting point for any business to be able to make strategic decisions in the belief that there is an opportunity to create profitable. To succeed, it is important that the business model assume to satisfy potential customers needs. (Teece, 2010) A lot of research has already been done in this field when looking at single companies but business model in the cluster perspective is a relatively unexplored area of research. (Zott & 1 Amit, 2010) Therefore we argue that the business model for the cluster is key activity to have the opportunity to jointly find new business and opportunities. The Business Model Canvas (Osterwalder and Pigneur 2010) is a visual framework fordescribing the different elements of how a business works. It illustrates what the business does, for and with whom, the resources it needs to do that and how money flows in and out of the business. Osterwalder‘s and Pigneur‘s model canvas is well spread and used among practitioners and due to the fact that it is very useable and easy to follow when conducting . In order to have customers at the center of the value creation process and to have customercentric value propositions, in this thesis project, the Business Model Canvas will be used. Understanding the breakthroughs of Business Model Canvas in the context of developing a new product at Viettel - a leading telecommunication corporation in Vietnam, along with practical experience in current position, the author aimed to study more about Business Model Canvas in developing IoT positioning and anti-theft system for motobike. Therefore, the author selected the topic "Build IoT Monitoring Positioning Theft Prevention System for Motorbike after studying Business Model Canvas" as the subject of research for thesis of master. 2. Literature Review 1. Osterwalder, A. & Pigneur, Y. (2010): Business Model Generation: A Handbook for Visionaries, Game Changers, and Challengers Paperback Business Model Generation is the first book to lay the groundwork for the Canvas model. In this book, Osterwalde and Pigneur studied a guideline for visionaries, game changers, and challengers striving to defy outroded business models and design tomorrow's enterprises in order for a business to adapt to harsh new realities and set up business strategy. 2 Co-created by 470 "Business Model Canvas" practitioners from 45 countries, the book features powerful strategic ideas and tools, and makes them easy to implement in your organization. It explains the most common Business Model pattern as well as innovation techniques used today by leading consultants and companies worldwide, including 3M, Ericsson, Capgemini, Deloitte, and others. However, the book provides an overview of the canvas model and its pillars rather than going into a specific case study from which to build a specific business model for a given product which is based on the conditions of the financial capacity of the business and the characteristics of each market. 2. Ries, E. (2011) The Lean Startup: How Today's Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses Hardcover In 2011 Eric Ries wrote a book called ―The Lean Startup‖ in which he documented inexorable logical and lean concepts applicable to start-up businesses. The Lean Startup methodology and Business Model Canvas is now considered as a lifebouy for a startup in order to cut up wastes, make up of its resources and build a proper financial plan. Despite making specific recommendations, suggestions and analysis on canvas models, the book does not mention the development of canvas models for specific products in specific markets. 3. Blank, S. (2013) The Four Steps to the Epiphany Blank was the pioneer in the field and the one who introduced the concept customer development describing the process for how entrepreneurs should test and refine business hypotheses through customer conversations. His book, ―The Four Steps to the Epiphany‖ from 2013, in which he describes the 3 process of customer development has become a must read for Silicon Valley entrepreneurs and is highly mentioned in the community. The book highlights the steps of a startup to succeed in launching a new product. However, it is not yet associated with building a specific business model in that process. 4. Ries, E. (2011) The Lean Startup: How Constant Innovation Creates Radically Successful Businesses, Penguin Group, London. Ries is a former student of Blank and has popularized the concept Lean Startup in his blog and subsequent book ―The Lean Startup‖ from 2008. He has received a lot of attention with this book and it was therefore natural to include him in the framework. The book focuses on the lean start-up model and the lean start-up spirit, as well as its applications in building a business model, however, it is primarily about the theory of start-up models instead of focusing on a certain case. 5. Nathan, F and Paul, A (2011) : Nail It then Scale It: The Entrepreneur's Guide to Creating and Managing Breakthrough Innovation: The lean startup book to help entrepreneurs launch a highgrowth business Furr and Ahlstrom has gained a lot of attention in the field recently for their book ―Nail It Then Scale It‖ from 2011. They provide prescriptive and hands-on tips to the entrepreneur. They are a good complement to Blank and Ries, and they are also respected in the Lean Startup Methodology community. The book mentions the reforms needed to grow a business on the basis of respect for a lean entrepreneurial spirit, but the book has not laid out a concrete process with practical steps of development to establish a startup. 6. Ash, M. (2012): Running Lean: Iterate from Plan A to a Plan That Works 4 Ash Maurya has written the book ―Running Lean‖. In this inspiring book, Ash Maurya take readers through an exacting strategy for achieving a "product/market fit" for your fledgling venture, based on his own experience in building a wide array of products from high-tech to no-tech. Throughout, he builds on the ideas and concepts of several innovative methodologies, including the Lean Startup, Customer Development, and bootstrapping. In Vietnam, the Lean Startup principles are not yet widely understood and very little research has been conducted on this topic. 7. Van, H (2017), Operating Model Canvas In his book, Van explains the Operating Model Canvas, and how to create an organization that can deliver the chosen strategy. He features how to define the main work processes, choose an organization structure, develop a highlevel blueprint of the IT systems, decide where to locate and how to lay out floor plans, set up relationships with suppliers and design a management system and scorecard with which to run the new organization. The book contains more than 20 examples ranging from large multinationals to government departments to small charities and from an operating model for a business to an operating model for a department of five people. The book describes more than 15 tools, including new tools such as the value chain map, the organization model and the high-level IT blueprint. Most importantly, the book contains two fully worked examples showing how the tools can be used to develop a new operating model. The book is an achievement in the study of the Canvas model in Vietnam, focusing on the IT field, however, the book does not study the products of a specific business but based mainly on typical examples for suggestions and analysis. 8. Phan Anh, Bui (2012), Lean Startup research and application Schlumberger Vietnam 5 in Phan Anh did his research in Schulumber Vietnam, a company in oil and gas field on Lean Manufacturer to give recommendation to improve manufacturing process of Schlumberger Vietnam This is the case study of Schlumberger Vietnam, so there is no overview of Vietnam market yet. 9. Nguyen Thanh Minh (2013), Lean production and application to Vietnamese enterprises Thanh Minh studied Lean Startup Methodology and experiences of foreign companies to give opinion and suggestion for Vietnamese enterprises. The topic analyzes the startup model of foreign enterprises operating in the territory of Vietnam, so it is different from the thesis seeking directions for Viettel, the Vietnam military telecommunications group with the characteristic of being a State-owned enterprises are affirming their foothold in the Vietnamese market and at the same time reaching out to the international market 10.Ngo My Tran and Vo Minh Tri (2016): Application of management tools to enhance efficient efficiency in Universities of Can Tho This research is aimed at identifying all types of wastes existed in the divisions of Can Tho University and then proposing an action plan to save costs and improve working efficiency in these divisions. Expert interviews and a survery of 93 staff members were conducted. The results indentified 10 types of wastes existing in these units including wastes of facilities and equipment, waste of labor, waste of not harnessing the creativity of staff members, waste of time, waste of defects, waste of transport, waste of motion, waste of information disconnection, waste of extra activity and waste of extra input. Based on these results, an action plan with the application of 5S model of lean manufacturing to tackle tangible wastes (such as facilities and equipment) was proposed to remove existing wastes in these divisions. Some 6 solutions on personnel and training were also proposed to support the implementation of the action plan. Although the Business Model Canvas model has been studied in many scientific works, the application of this model to a startup business in the field of positioning and theft prevention service for motorcycle in Vietnam is completely a noverty which have not been studied before. Thus, based on previous studies, the thesis focuses on developing Business Model Canvas for start-ups in the field of positioning and theft prevention service for motorcycle, a new topic in the field of positioning and theft prevention service for motorcycle. The theme is to develop a blueprint for the development of a new business startup based on the trend of Internet of Things. 3. Research Objectives 3.1. Objective of study: To find out a proper business model for IoT positioning and theft prevention system for Motorbike and to serve the goal of Viettel Group to be the Vietnamese market leader in the field of anti-theft tracking system. 3.2. Mission of study: - To understand the methodology of Business Model Canvas in launching a new product and how they work. - To study the application of Internet of Things in general and in anti-theft tracking system in particular - To write a business model that follows Business Model Canvas 3. Research Questions This study focuses on Business model Canvas in developing a business strategy for positioning and theft prevention system. Moreover, this study is expected to provide appropriate recommendations to help Viettel consult to 7 some extent when analyzing opportunities, challenges and competitive strategy solving the following questions: - What are the key elements in Business Model Canvas for IoT positioning and theft prevention system? - What are the detail business plan recommend for launching IoT positioning and theft prevention system? 4. Object and Scope of Study 4.1. Object of study The business model to develop positioning and theft prevention service of Viettel 4.2. Scope of study - Research place: Vietnam motorbike market - Time to expedite: from 2014 to 2018. All data are collected and analyzed from 2014 to 2018. 5. Method of study: This research paper uses both qualitative and quantitative methods through available studies, released press, and in-depth analysis. The research process is done in the following diagram: 8 Select study subject Study materials, theoretical frameworks related to Business Canvas Model Study Vietnamese motorbike market and technologies used in positioning and theft prevention system for motorbike Build a detail business model for Positioning and theft prevention system for motorbike Synthesize and evaluate the results based on the analysis Suggestions and recommendations Conclusion 9 CHAPTER 1. LITERATURE REVIEW 1.1. Some basic concepts 1.1.1. Internet of Things The IoT concept was coined by a member of the Radio Frequency Identification (RFID) development community in 1999, and it has recently become more relevant to the practical world largely because of the growth of mobile devices, embedded and ubiquitous communication, cloud computing and data analytics. Keyur K et al (2016) defined IoT as: Internet of things is a network of physical objects. The internet is not only a network of computers, but it has evolved into a network of device of all type and sizes , vehicles, smart phones, home appliances, toys, cameras, medical instruments and industrial systems, animals, people, buildings, all connected ,all communicating & sharing information based on stipulated protocols in order to achieve smart reorganizations, positioning, tracing, safe & control & even personal real time online monitoring , online upgrade, process control & administration. In IoT, "all things / smart objects" will become active participants in business, information and social processes, where they are empowered to interact and communicate between them. and to the environment by exchanging "sensible" data and information about the environment, while automatically responding to "physical / real world" events and influencing it by real show processes that trigger actions and create services with or without direct human intervention. Services will be able to interact with "smart objects / objects" by using standard interfaces that provide the necessary links through the Internet, querying and changing their state, and retrieving them. All related information regarding them, taking into account security and privacy issues. 10 The Internet of Things uses sensors, actuators and data transfer technologies that connect to physical entities - from road devices to pacemakers - allowing these objects to be monitored, coordinated or controlled via a data network or the Internet. There are three steps in applicants. IoT uses are: collecting data from objects (for example, as simple as location data or more complex information), gathering that information through a data network, and acting upon such information (take immediate action or collect data over time to design process improvements). Internet of thousands objects can also be used to create values in many different ways. In addition to improving productivity in current operations, IoT can enable the creation of new products, services and strategies such as remote sensors that can create customized cost price models. same ability as Zipcar. The range of IoT technology extends from simple identification cards to complex sensors and actuators. Radio frequency identification (RFID) tags can be attached to most objects. Sophisticated multi-sensor devices and actuators to transmit data related to location, performance, environment and states are increasingly popular. With modern technologies such as microelectromechanical systems (MEMS), sophisticated sensor devices can be placed in virtually any object (even in the human body). And due to them, devices are manufactured using the same manufacturing process as semiconductors, MEMS costs are rapidly decreasing. With the increasingly sophisticated IoT technologies becoming popular today, companies can not only monitor product flow or test tangible assets, but can also manage the performance of each equipment and systems, such as monitoring and managing an entire assembly lineparts of robots or certain machines. Sensors can also be embedded in infrastructure, for example, on- 11
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