CIS 315
Team 2
Feasibility Analysis
Pavel Aleksanyan
Joshua Martinez
Luilly Martinez
Matthew Alvarez
Table of Contents
Feasibility Analysis ................................................................................................................................... 1-11
Venn Diagram ............................................................................................................................................. 12
Functional and Non-Functional................................................................................................................... 13
Omada Health ............................................................................................................................................. 14
UML ........................................................................................................................................................ 15-18
Sequence Diagram ...................................................................................................................................... 19
Use Case ...................................................................................................................................................... 20
State Machine Diagram............................................................................................................................... 21
UML Rules ................................................................................................................................................... 22
Alternative Matrix ................................................................................................................................. 23-24
Summary and Description of Product and Services
Walmart is a leader in the sales throughout the United States. Each week, more than 245
million customers and members visit their 11,000 stores under 69 banners in 27 countries and ecommerce websites in 10 countries. While Wal-Mart's stocks have doubled and sales have grown
over the past 10 years, the rate of growth has slowed significantly. The retailer’s annual growth
for the next five years is expected to lag its rate from the past five. This year’s expected earnings
growth is a 5.6%. One key factor for this slowing growth rate is the number of stores Walmart
currently has, considering 90% of the U.S. population already lives within 15 miles of a WalMart location, finding places to squeeze in new ones isn’t easy. Wal-Mart's sales can grow only
if they captures a new market to stay competitive and reduce losing potential customers to
competitors. The Hospital marketplace is strong and shows a continued growth trajectory over
the next five to ten years. Wal-Mart is in a position to capitalize on this marketplace by
leveraging existing technologies, industry best practices, and an aggressive marketing and sales
campaign to ramp up the company’s growth projections for the foreseeable future.
Wal-Mart is considering creating and providing a hospital facility platform to provide its
customers easy access for treatment of common ailments and routine health services. Such health
services include Allergies / Seasonal, Cold Sore, Common Cold, Cough, Treatment of Common
Illnesses, Sore throat / strep, Ear Ache, Sinus Infection, Flu, etc.Until now Walmart has been
limited to sales, this explaining lack of growth in its business. By offering health services in the
geographical regions where its stores reside, Walmart may be able to capitalize on a marketplace
it has not yet touched. By offering its new services to an entirely new market, we can foresee an
increase revenue and growth projections, and allow customers to purchase products/services at
the lowest prices from the convenience of our many stores.
To incorporate such changes we will need new technological upgrades to support
capability of our new database. The first philosophy is to run a centralized information system
for our operations all over the world. The second is to have common systems and common
platforms. We will have a common system and a common platform, but we have to allow a great
deal of flexibility in our systems so that the people in those local markets can do their job in the
best, most effective way. We will contract this work internally as the technology exists internally
and is in use throughout the marketplace which lowers the risk of data corruption. We will
validate our technological requirements with the best business process experts in our company
before we start the design. From a development standpoint, I think the biggest opportunity we
have is leveraging information to determine our opportunities to maximize sales before the actual
event occurs. Additionally, new online marketing functionality must be considered in order to
target existing and potential customers through methods such as e-mailing lists, promotional
advertisements, and loyalty discounts. Wal-Mart currently maintains a high speed internet
connection, web server, and the latest software. With the addition of new Cisco hardware, it is
expected that there will be an overall cost increase of 5-10% for web server operations and
maintenance costs.
The marketplace for Healthcare has been thriving for many years. Health care reform has key
implications for fiscal stability. Public spending on health care has been a key driver of aggregate
increases in public spending over the past 40 years. Improving the health of the population is the
primary objective of a health care system. Walmart entering the game can help by providing
convenient means of services in its many stores. With the Affordable Care Act in motion, WalMart has the opportunity to get into the healthcare business by opening a Hospital adjacent to a
Wal-Mart or in a Walmart Superstore; as well as having a clinic in surrounding Wal-Marts.
Having a Clinic inside a Walmart will be beneficial because they can use their patients’ medical
records as a platform to recommend medication, supplements, and give proper nutrition guides,
which will increase sales. Such a facility would require a significant capital investment as well as
increased operation and maintenance costs and if implemented correctly we can satisfy customer
demand and ensure growth projections.
In order for Wal-Mart to implement health care providers within their stores, they would have
to build and obtain the utilities necessary. Wal-Mart is a large, globally know corporation that is
more than just a simple retail store. Although they do offer multiple services within their stores,
optometry and pharmaceuticals are the extent of their health care providing. They currently have
the tools to provide customers with vision exams as well as fitting prescription eyeglasses. In
order to implement this health care program, they would have to expand current stores to have
the following:
·
Current Wal-Mart store sites are suitable for the proposed project with the help of minor
renovations. With the health care program, Wal-Mart will find a place within, or in close
vicinity to, their current and future stores for a health clinic. Wal-Mart stores currently host
pharmaceuticals within their stores so this department can be left alone. It can also be beneficial
to the new health clinics by giving customers a convenient and cost efficient alternative to filling
their prescriptions.
·
All technology within stores must be updated to host the appropriate computers, servers,
malware and software for the health care industry. These are very important components when
working within the health care field because customer’s health files are extremely important and
personal. Privacy must become a top priority when working with health information.
·
All medical equipment must be purchased in order to move forward with this project. All
necessary equipment will depend on what medical options will be offered within stores. For
basic health clinics, basic equipment such as medical tools, vaccines, and other doctor’s office
furniture must be purchased. If Wal-Mart decides to venture into the hospital health care field,
all advanced medical equipment must be purchased as well as anything else necessary to save a
life.
·
All technology can be obtained through contracts with businesses such as Dell or HP.
Some doctor offices have ventured into using iPads within their offices that can be purchased
through Apple directly or through contract as well. All servers can be purchased and set up
through Cisco Systems, Inc. A company such as Oracle would be hired to develop a system for
Wal-Mart and their health care provider to keep track of all patient information. Cisco would be
hired to set up and develop all servers needed to run and store technology.
·
One of the most important factors to any health care provider is their staff. Doctors and
nurses must have the proper schooling, training and licensing in order to perform medicine with
the United States. Although Wal-Mart is known for keeping costs low, this is one aspect of the
budget that cannot be over looked. Wal-Mart will be liable for any and all mistakes made by
practicing health care providers within their company.
·
Like any business, start up costs for a health care provider will be extremely costly.
Although the costs are high, the cost of health care in America is also high; making it a major
business venture within the United States. Startup costs will be in the billions of dollars after
hiring doctors, nurses as well as purchasing all medical equipment necessary. Wal-Mart will
save money on pharmaceuticals with the current existence of pharmacies within their stores.
·
Prior to construction beginning, any and all legal aspects of the business must be laid out
and agreed upon by both parties. Any and all requirements of the construction project as well as
the project builder must be addressed as well. Wal-Mart must understand all liability that comes
along with providing healthcare and must be prepared to handle all situations that may arise.
Wal-Mart is currently seen as one of the low cost leaders in the United States. By WalMart expanding into the world of healthcare, it will show current customers a new light to
healthcare. They will see a merger between their favorite low cost store, and something
extremely important to their lives. Especially with the new Affordable Care Act in place, it
provides a great window of opportunity for Wal-Mart to venture into health care clinics.
Organizational Structure
The goal for this proposal is to create a functional health care program for all of Wal-Mart
's valued guests at the least cost. This initiative involves annexing medical clinics into
preexisting store locations. Each clinic will be independently owned by a health care provider. In
order to join a Wal-Mart, the health care provider must meet or exceed Wal-Mart's standards for
service quality, cost, and customer satisfaction.
To ensure guests get the best possible experience, Wal-Mart asks that all health care
providers employ well-trained doctors and nurses. An experienced staff will greatly help guests
understand their injury and swiftly treat them. This rapid response engenders loyalty from the
guest and potentially secure future visits.
Trainees for each clinic must complete proper training. When trainees are hired into a
clinic, each health care provider must ensure trainees are sufficient at their job.
In order to attract health care providers, Wal-Mart will let each clinic run with full
autonomy. Clinics can choose their staff, modify their environment, and other options. This
increased freedom will provide each clinic an ability to express themselves and provide a more
pleasant experience for a visiting guest.
Health care providers must also do their best to accommodate each guest. This includes
providing financial aid, assistance for disabled guests and elderly. By aiding such demographics,
Wal-Mart and each health care provider can reach as many guests as possible. This ensures that
Wal-Mart and the health care provider allow for a more potential customers.
A key issue faced in marrying Wal-Mart 's current stores with a health care service is an
increase in potential danger to Wal-Mart's guests. When treating injured guests, there is a chance
they may receive infections, or injuries from visiting a clinic. This undue harm could cause
litigation. This proposal allows responsibility to rest with the health care provider. As a result,
Wal-Mart will have reduced share in any litigation.
In our research, we have concluded in estimates that show the economical feasibility for
such a project. Listed here are some cost and benefits the project is predicted to yield.
Development Cost
Development Team Salaries
Consultant fees
Contractor fees
Medical Advisor fees
Development training
Hardware and Software
Medical Vendor installation
Medical Space and Equipment
Laboratory Space and Equipment
Office and Space Equipment
Operational Costs
Software upgrades
Software Licensing fee
Hardware Repair
Hardware Upgrades
Operational Team Salaries
Janitorial/Part time Salaries
Biohazard Disposal Services
Communication Charges
User training
Tangible Benefits
Increase Sales
Increases of new customers
Better medical remedy prices due to on site pharmacy
Intangible Benefits
New and untouched market
Increased company recognition
Bring medical connivance to those in rural areas
Increase of sales due to waiting time (Customers are more likely to buy while they wait)
Assigning Vales to Cost Benefits
Benefits
Increased Sales
500,000
Increase of Customers
50,000
Reduced Medical Prices
Total Benefits
50,000
600,000
Development Cost
Consultant fees
Clinic construction fees
Medical Equipment
Laboratory Equipment
Office Equipment
Total Development Cost
7,000
100,000
10,000
25,000
40,000
1,820,000
Operational Cost
Hardware
50,000
Software
15,000
Operational labor
150,000
Biohazard Disposal
1,000
Total Operational cost
Total Cost
216,000
2,036,000
Cash Flow
With 1% cost increase per year and 1.5% profit per year
The break-even point is estimated to be at the third year of the project. The average ROI per year
is 1.80 for every dollar spent.
With the introduction of an AI into our Wal-Mart system, we can expect many
requirements to arise such as fast response time, security with medical records, quality, and
efficiency . Without these requirements, the system may not be as effective or successful. WalMart can use Omada health to monitor and improve the health of their employees. Wal-Mart can
introduce a employee program that can encourage their employees to lose weight using the
Omada system which would ultimately improve their health. Omada would keep track of the
weight of the employees and help them monitor their progress so that they can reach their ideal
weight. By doing so, it may help reduce the number of employees not being able to come into
work due to illness. This can help save money over time as well as promote a better health
mentality. Also Omada can be used with the proposed Wal-Mart clinic system. Customers can
use smart pills or a bracelet that monitors important vital information such as blood pressure,
EKG, temperature, and respiratory rate that is stored into the Omada system. From there, doctors
can see these vitals and determine if there are any anomalies without the painent being there.
Wal-Mart can provide better service via Omada even without the use of health clinics. Wal-Mart
can provide health apps that can be sold to customers that wish to have a weight loss coach.
Customers can see infographs of their weight loss over a period of time. By doing this, it may
give visual encouragement to reach their goals and see if certain patterns arise that could be fixed
by changing their eating habits or lifestyle . Another service that Wal-Mart can offer without a
health clinic is the option having a health advisor that checks their vitals every week and then
have health reports forwarded to them via the proposed pill or bracelet. This can be sold to
customers for a fee with one of the proposed instruments which will bring in more profit of Walmart.
UML RULES
RULE 1: Put common terminology for names.
Use common naming techniques that don’t give away more than one meaning will provide a
better understanding of UML.
RULE 2: Tidy up the diagram.
You should try to describe your system's behavior with just a few major use cases. When reading
such a large diagram your audience will not know what to focus on, simplify how objects in a
system interact with each other.
RULE 3: Use correct hierarchical procedures.
When drawing generalization or realization hierarchies on a diagram always make sure the
parent elements are higher than the child elements so the arrows always point upwards.
RULE 4: Model relationships horizontally.
The more consistent you are in the manner in which your design your diagrams,
the easier it will be to read them.
RULE 5: Label your classes and relationships as descriptive as possible.
RULE 6: Keep diagrams well documented and updated.
List of Alternatives for the
Smart Phone App
Platform
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IOS Focus
Android Focus
Web Based
Development
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Java
C/ C#
In house, packaged, or outsourced
Organization
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Information gathered by WMT, clinic, and Ohmada/AI
Interface
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Must be easy to use
touch-focused
form sheet-focused
Must be easy to train
Software must be durable
Information requires strong security
Economics
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Project Must be completed in a timely manner
Charge customers a flat rate
Charge customers on a package level rate
Data
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Store in cloud
Store in secure WMT data warehouse
Store at local clinic's server
Doctor
Omada