1.

Introduction
1.1. The context
The floral industry, renowned for its aesthetic appeal and emotional significance, is a
competitive market that thrives on the beauty and freshness of its products. The flower
business has traditionally operated through brick-and-mortar stores. However, the advent of
e-commerce and changing consumer preferences necessitate a shift towards online platforms.
The business faces challenges stemming from outdated processes, including manual order
processing, limited inventory visibility, and inefficient supply chain management.

1.2. The company

The flower industry is a blend of artistry, horticulture, and business acumen. It thrives on the
ability to create stunning and personalized floral designs while maintaining a sustainable and
profitable business model. The company is a retail business that sells flowers, plants, and
other floral arrangements. The compnay provides a variety of products from opening flowers,
birthday flowers, congratulatory flowers, event flowers, wedding decorations, condolence
flowers…The company also provides services such as creating flowers as required, delivering
flowers, floral design consulting: wedding flowers, conference flowers, event flowers, and
flower arrangement teaching services.

1.3. The problem

The current manual processes are impeding our ability to meet customer demands efficiently.
Order fulfillment is delayed, inventory control is challenging, and customer satisfaction is at
risk. To stay competitive and sustain growth, our business requires a technological
transformation to streamline operations and enhance customer experience.

1.4. The purpose

The purpose of this report is to address the challenges faced by our small flower business due
to outdated business processes. We aim to revise our existing business processes and
implement information systems/software to achieve operational excellence. This report will
identify and analyze the current business processes, propose the adoption of an information
system to address the identified issues, and improve overall business operations. By
leveraging technology, we aim to achieve operational excellence, increase efficiency, reduce
costs, and ultimately enhance customer satisfaction.

2. The Business Model Canvas

Key Partners Key Activities Value Customer Customer

Proposition Relationships Segments
1. Suppliers 1. Sourcing 1. Providing 1. Customer 1. Individuals
2. Delivery flowers convenient support. 2. Businesses
partners 2. Promptly ordering and 2. Personal 3. Event
3. Event delivering efficient assistance planners
partners flowers delivery
3. Providing services
exceptional 2. Offering
customer fresh and high-
service quality flowers
and floral
 Key Resources arrangements Channels

1. Source of 1. Physical
flower stores
2. Skilled 2. Website
florists 3. Social media
3. Website and Platforms
e-commerce
platforms
4. Delivery
partners

Cost Structure Revenue Streams

1. Cost of flowers 1. Product sales

2. Labour costs 2. Delivery fees
3. Marketing and advertising costs 3. Displaying advertising on
website

- Key Partnerships: The company has established key partnerships to support its
operations. Collaborations with trusted flower suppliers are instrumental in securing a
consistent supply of fresh, high-quality flowers. Partnering with reliable delivery
companies ensures that the company’s products reach customers promptly and in
pristine condition. Additionally, the company explores partnerships with event
planners to cater to specific occasions, expanding its market reach.

- Key Activities: The company's key activities encompass sourcing fresh, high-quality
flowers, creating aesthetically pleasing arrangements, processing customer orders
efficiently, delivering floral products promptly and securely, and providing
exceptional customer service throughout the purchasing process. These activities are
crucial for the company to achieve its objectives of delivering premium flowers,
maintaining customer satisfaction, and establishing a strong reputation in the floral
industry.

- Key Resources: The company relies on several key resources to operate effectively.
These include a robust website and e-commerce platform playing crucial roles in
order processing and brand image, a reliable supply chain to source fresh flowers, and
skilled florists for crafting appealing arrangements. Additionally, the company's
delivery partners are essential for ensuring the timely and accurate delivery of its
floral products to customers. These resources collectively enable the company to
maintain product quality, streamline operations, and deliver a satisfying customer
experience.

- Value Propositions: The core value proposition of the company centers around
providing high-quality, fresh flowers that are expertly arranged, coupled with the
convenience of online ordering and reliable delivery services. The company's
emphasis on the beauty and freshness of its floral products, combined with an easy
 and efficient online shopping experience, differentiates it in the market and aims to
create a memorable experience for customers.

- Customer Relationships: The company cultivates strong customer relationships

through personalized online interactions 24/24. The online platform allows customers
to track their orders, and the responsive customer support team ensures that queries or
concerns are addressed promptly. By focusing on transparency, communication, and
customer support, the company aims to build lasting relationships and enhance
customer loyalty.

- Channels: The company leverages digital channels as the primary means of customer
interaction. Its e-commerce website and social media platforms allow customers to
browse, select, and purchase flowers. Additionally, the company has established
partnerships with trusted delivery services to ensure timely and secure delivery of its
products, enhancing the overall customer experience.

- Customer Segments: The company identifies two primary customer segments. The
first segment comprises individual consumers seeking fresh and aesthetically pleasing
flowers for personal occasions such as birthdays, and anniversaries, or to express
sentiments. The second segment includes event planners and businesses requiring
floral arrangements for special occasions, such as weddings or corporate events. By
distinguishing these segments, the company tailors its offerings to meet the diverse
needs of both individual customers and businesses.

- Cost Structure: The primary expenses incurred fall into three main categories: the
cost of flowers, delivery costs, and marketing costs. The cost of acquiring fresh, high-
quality flowers represents a significant portion of the company's overall expenses.
Delivery costs associated with transporting flowers to customers also contribute
substantially to FlowerLand's expenditures. Additionally, the company invests in
marketing initiatives to promote its business, reach new customers, and maintain a
strong brand presence.

- Revenue Streams: The company generates revenue through various streams. The
sale of flowers, both individually and as part of arrangements, constitutes the primary
source of income. Delivery fees charged for transporting flowers to customers provide
an additional revenue stream. Furthermore, the company generates revenue by
displaying advertising on its website and leveraging its digital platform to attract and
engage potential customers.

3. The Business Process

The company’s functional areas and its business processes
● Sourcing and procurement
The first step in the business process is to procure flowers. This involves identifying and
sourcing suppliers of flowers, other floral products, and supplies. The flower shop will need
to negotiate prices and delivery terms with suppliers and ensure that the flowers they receive
are of high quality.
- Procurement planning: The flower shop determines the types and quantities of flowers
and related products to procure based on customer demand, seasons, and special
occasions.
 - Supplier relationships: The flower shop should establish relationships with local
growers, wholesalers, and importers to ensure a steady supply of fresh and diverse
flowers.

● Inventory management
Once the flower shop has received its inventory, it needs to be stored and managed
effectively. This includes tracking the quantity and condition of flowers, and ensuring that
they are kept in a suitable environment. Flowers should be stored in a cool, humid
environment, away from direct sunlight.
- Receiving and inspection: When flower shipments arrive, carefully inspect the
products for quality, freshness, and accuracy of the order.
- Inventory tracking: Utilize inventory management software or systems to monitor
stock levels, track product expiration dates, and implement first-in, first-out (FIFO)
practices.
- Storage and handling: Store flowers in proper conditions, such as temperature-
controlled, and follow specific storage requirements for different flower varieties.

● Order fulfillment
When a flower seller receives an order from a customer, it can be done directly, through a
hotline, websites, or via social media platforms. The flower seller needs to check the
inventory to ensure there is enough stock to fulfill the order. Afterward, they confirm the
order with the customer and proceed to receive payment from the customer for the order. The
seller then processes the order, needing to select the appropriate flowers and other items, and
hands it over to the delivery service provider to arrange for them to be delivered to the
customer on time and in good condition. This may involve arranging for the flowers to be
specially adjusted, or for a gift card or other message to be included, subsequently receiving
feedback from the customer.

● Customer relationship management

The company provides excellent customer service throughout the entire process, from the
initial inquiry to the delivery of the flowers. Business processes include handling customer
queries, providing order status updates, and addressing concerns to enhance customer
satisfaction.

● Sales and marketing

This functional area involves marketing strategies to attract customers and the company
develops a comprehensive marketing plan, including online and offline strategies. Utilizing
search engine optimization (SEO) and social media to expand the shop's online presence,
managing the online platform, and facilitating the sales process. Business processes include
digital marketing campaigns, website management, and customer acquisition.

Diagram for the core business process and detailed explanation

The core business process is the order fulfillment process, which encompasses the steps
from receiving a customer order to delivering the floral arrangement. This process involves
cross-functional collaboration between the arranging, order processing, and delivery partners.
- Order Placement: The customer initiates the process by placing an order through the
website, phone, or email. The order includes details such as the type of arrangement,
desired delivery date, and recipient information.
- Order Processing Receives Order: The order processing team receives the order and
enters it into the order management system. They verify customer information, check
product availability, and calculate the total cost.
- Inventory Check: The system checks the inventory to verify the availability of the
selected flowers. If the flowers are in stock, the process moves forward; otherwise, it
triggers an alert for inventory replenishment.
- Order Processing Verifies Order: The order processing team verifies that the
customer's payment has been successfully processed and that all order details are
accurate. They also confirm the availability of the requested flowers and delivery
schedule.
- Flower Arrangement: Once the order is verified, the order processing team sends the
order details to the arranging team. The arranging team receives the order details and
begins creating the floral arrangement. They carefully select and prepare the flowers,
ensuring they are fresh and in excellent condition. They follow the specified design
instructions and add their personal touch of creativity.
- Quality Check: A quality check is performed to ensure that the floral arrangement
meets the company's standards for freshness and aesthetics.

- Delivery Coordination: Once the arrangement is complete, the arranging team

carefully packages it to protect its integrity during transportation. They prepare the
delivery label and coordinate with the delivery team to schedule the delivery. The
order information is forwarded to the delivery to coordinate with the delivery service
for timely and secure delivery. They follow the delivery schedule and ensure the
arrangement is handled with care throughout the delivery process. Upon reaching the
customer's address, they deliver the arrangement in a timely and professional manner.
- Customer Notification: The customer is notified about the order status, including the
expected delivery time and a tracking link.