Response to Classmates Discussions

Week 4 Discussion 1

Julie Wolfe

Aug 30, 2020 12:48 PM

An example of self-service technology I frequently use is Market C Micro Market by AVI Foodsystems. This is a grab-n-go market in my work building that replaces a typical cafeteria. The market is stocked two to three times per week and offers pre-packaged meals and snacks, such as fresh salads, fruit, yogurts, sandwiches, crackers, beverages, and more (AVIFoodSystems, 2016). Market customers can choose the items they would like to purchase from the shelves or refrigerators and take them to the self-service checkout kiosk. At the kiosk, the customer scans their employee badge and then the products they would like to purchase. The kiosk displays a total and the customer can pay using the payment method of their choice. To understand shopping patterns and avoid theft, cameras are placed within the market and at the kiosk. This market is a convenient way for employees to quickly grab snacks and meals onsite at a work location where a full-service cafeteria may be overkill. Additionally, the text states one of the benefits of adopting technology is lower costs (Collier & Evans, 2019). I suspect my company has lower overall operational costs with a Micro Market requiring a periodic stocking of products by a third party compared to a cafeteria requiring daily food deliveries, cooks, cashiers, and other foodservice employees.

Some defects of the system are technology and user errors. For example, if someone is in the middle of checking out at the kiosk and the screen freezes, the market comes to a standstill. Similarly, if a customer presses an incorrect button or misuses the kiosk in some way, it is difficult to rectify on the spot. AVI Foodsystems is an offsite third-party, and any service requires their intervention. This can be a major issue around busy times such as lunch. In a typical cafeteria with a dedicated cashier, it is easier to keep things running smoothly because the cashier is onsite and is trained specifically to operate the cafeteria system.

 

References

Collier, D. A, & Evans, J. R. (2019). Operations and supply chain management. Cengage Learning.

AVIFoodSystems. (2016, August 30). Market C Micro Market by AVI Foodsystems version 2. [Video]. YouTube. Market C Micro Market by AVI Foodsystems 

Lisa Schreiner

Aug 30, 2020 4:12 PM

Amazon Go

Amazon Go stores are an example of self-service and technology creating a customer benefit. A customer enters the store by scanning the QR code in their Amazon Ap. One browses the store, choosing items to purchase and bagging them as they go. Each item removed from a shelf is added to their virtual cart. If an item is returned to the shelf, the charge is automatically removed from the virtual cart. As inventory diminishes, automatic shelf sensors reorder merchandise to either be pulled from the stock room or purchased from the vendor for delivery. Once shopping is complete, simply walk out of the store with your bagged merchandise. A receipt for the purchases will appear in the ap or email for review. Payment for items is charged directly to the card on file with the Amazon Ap. According to Cheng (2019), the company “spent several years developing technologies for Amazon Go before settling on the current combination of computer vision, sensor fusion and deep machine learning—technologies also used in self-driving cars” (para. 9).

The Amazon Go system can cause a defect, mistake, or service upset by running out of popular stock or not carrying items folks are looking for (Cheng, 2019). Account charges could be incorrect, maybe not for the item but for the price of the item. What if the power went out and people walked out before the generator backup kicked on? There would be a loss in revenue and product. How precise is this technology at identifying who removed an item from the shelf to charge the appropriate virtual cart? These mistakes and service interruptions would cause customers to be leery or not return to the store in the future. The service provides all the convenience for big city life where people move at a fast pace, trying to multitask every minute of the day. This type of service is not conducive to an elderly population with limited technology and the desire to talk to people or seek assistance while shopping.

Reference

Cheng, A. (2019, January 13). Why Amazon Go May Soon Change the Way We Shop. https://www.forbes.com/sites/andriacheng/2019/01/13/why-amazon-go-may-soon-change-the-way-we-want-to-shop/#5cbe6d636709