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Modeling of E-Commerce Supply Chains

Mobile Application
Tri Pujadi Bachtiar H. Simamora Vikas Kumar
School of Information Systems Department of Management Binus Bristol Business School,
2020 2nd International Conference on Cybernetics and Intelligent System (ICORIS) | 978-1-7281-7257-6/20/$31.00 ©2020 IEEE | DOI: 10.1109/ICORIS50180.2020.9320757

Bina Nusantara University Business School Bina Nusantara University of the West of England
Jakarta, Indonesia University Jakarta, Indonesia Bristol, BS16 1QY, UK
[email protected] [email protected] [email protected]

Yosafati Hulu Tumar Wihendro


School of Information Systems School of Information Systems School of Information Systems Bina
Bina Nusantara University Bina Nusantara University Nusantara University
Jakarta, Indonesia Jakarta, Indonesia Jakarta, Indonesia
[email protected] [email protected] [email protected]

Abstract—The purpose of this research is to design a The production of Indonesia-made coffee experienced an
Supply Chain Management application based on mobile increase in production during the period 1980 - 2017 with an
devices as an intermediary between farmers, producers, and average growth rate of 2.15% or an average coffee
consumers. The first step is identifying issues related to the production of 523.83 thousand tons of coffee [4]. Coffee
parties. The methods of analysis using the Business Model production based on entrepreneur status is dominated by
Canvas for identifying business process requirements. The coffee production that is cultivated on smallholder estates
results of the analysis used a mapping of the system's design which reaches 94.53% share or reaches an average
features and finally the design method of an information production of 495.20 thousand tons, whilst coffee production
system based on mobile devices using UML diagrams. Through
originates from state-owned estates and privately-owned
the Supply Chain, the channel will be organized more
estates are relatively small, namely contributing less than
effectively and the company will in turn be more competitive.
This application framework is built into two parts, namely the 5% or reaching a share of 3.19% and 2.28% or an average
front-end and back-end. The front-end can be used by coffee production of 16.17 thousand tons and 11.93 thousand
customers by accessing it through a smartphone. The back-end tons [5].
section can be accessed using a machine by the Coffee for sale Coffee is a plantation crop that has long been a cultivated
admin. Maintaining cooperation with institutions linked to the crop. Coffee plants become a source of income and also
agricultural sector, particularly the coffee industry. To
increase the country's foreign exchange through the export of
improve the Coffee for sale application user interface in order
raw or processed beans from coffee beans. Coffee groups
to increase the ease of interaction between sellers and
consumers. Production
that are known to have economic value and are widely traded
are the Arabica and Robusta types. Arabica coffee types have
Keywords—application, mobile, Information Systems, UML, high taste quality and lower caffeine content compared [6].
Supply Chain The business development today can be measured by the
I. INTRODUCTION development of business in the retail industry sector, one of
them is an e-commerce business. Based on statistical data
Information and communications technology continues to released by APJII (“Indonesian Internet Service Providers
evolve, making it easier for companies to improve their Association”) through a survey conducted in 2016 the
performance. The benefits gained through technology are number of internet users in Indonesia in 2016 was 132.7
business processes that run in real time. The use of million users or around 51.1% of the total population of
technology will provide benefits for companies facing Indonesia. This number increased by 44.6 million users or
increasingly fierce business competition, which forces 50.6% over the last 2 years, because the statistic focused on
companies to work hard to improve the effectiveness and internet users in Indonesia published in 2015 by APJII
efficiency of their business. Supply Chain Management is an showed that in 2014 there were only 88.1 million users of the
important process in a company where the flow of raw total population of Indonesia. 11% of internet users in
materials, information and finance between companies is Indonesia in 2014 accessed the internet to conduct the online
performed to fulfill customer orders. With the use of Internet trading activities which increased to 62% of internet users
technology, the concept of supply chain management has who made buying and selling online in 2016. This online
become E-SCM [1]. Internet technology provides online, buying and selling activity is one of the examples of the
real-time information sharing so you can integrate the activity of e-commerce. By the aforementioned data, it can
business into customers and suppliers [2]. With the be seen that e-commerce activities in Indonesia continue to
implementation of E-SCM, which involves all parties to the grow along with the increasing number of internet users. So
delivery process, i.e. customers, suppliers, internal and it can be seen of the opportunity to develop a business in the
external parts of the enterprise, all activities in the supply form of e-commerce. E-commerce is also currently widely
chain process can be performed automatically. and guarantee developed and in demand by business people engaged in the
the sourcing of raw materials from both suppliers and agricultural sector. Nowadays, several e-commerce
products so that they are available to customers at all times companies in the agriculture sector are starting to emerge,
[3]. such as iGrow, Limakilo, TaniHub, Sikumis, Crowde,

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Marine Market, Inagriasia [7]. Marketplace is one of the business concepts used by business people engaged in
e-commerce. This marketplace concept can be a place for As shown, there are generally four distribution patterns,
business people to market their products online with a but farmers, agribusiness and consumers dominate.
variety of features that can protect the wider market. This can Agroindustry has capital with an interest in ensuring a
also be applied in the agricultural business in the coffee bean profitable coffee business. Consumers are downstream
agriculture sector entrepreneurs in the coffee industry. The use of information
technology creates synergies in the coffee trade and can take
The consumers of the coffee agribusiness of a province place via social media.
come from different regions at home and abroad. For
example, domestic consumers are from Bali, Lampung, and In this section [10]-[13], the study of the literature was
various parts of Java, while overseas consumers are from carried out to determine the contribution and renewal of this
China, Taiwan, England, and other countries. There are also research compared to the studies carried out according to
coffee consumers who go straight to the coffee farm store for Table II.
ground coffee at a lower price. Table I shows various
stakeholder related to the coffee trade. From previous research literature studies, it can be seen
that several parameters of customer loyalty, market
TaBLE 1. THE STAKEHOLDER OF THE COFFEE TRADE INDONESIA development, internet, knowledge management, satisfaction,
quality, performance, and SCM have been commonly used in
studies related to e-SCM. In this study, using e-SCM had a
positive effect in the manufacturing services industry and
contribute in creating a competitive advantage.
TABLE II. PREVIOUS LITERATURE STUDY

Based on preliminary references, this study shows that


the actors in the supply chain in activities in the coffee agro
industry in an area are coffee growers as the main raw
material suppliers, collectors of coffee fruits, distributors of
red coffee fruits, actors in the coffee agro industry, coffee
traders and exporters and consumers [8]. A complete
description of the ground coffee and Lampung coffee supply
chain system is shown in Fig. 1.

The subject of e-SCM is the main concern and has


become a topic that has been considered by many
contemporary researchers and published in various
prestigious journals [14]. The company developed the supply
chain, by utilizing information technology and the internet,
which is commonly known as an electronic supply chain.
The electronic supply chain is a process that involves
companies and partners in an integrated manner that allows
the sharing of processes, objectives and information relevant
to the entire value chain [15]. The concept of the supply
chain is to manage relationships with parties inside and
outside the company by providing customers better value at a
Fig 1. The Coffee Trade Business Process lower cost throughout the supply chain. The key value of the
SCM philosophy is that the overall performance of the entire
The development of information technology, especially supply chain automatically improves by optimizing all links
social media, is currently being exploited by various trading in the chain, and optimizing the results as a whole [16]. To
parties based on social media. In a coffee trading system be more competitive, companies need to continue to
involving producers and consumers, the various parties integrate into the organization's network. Companies that
involved, namely farmers, business co-operatives, ignore this challenge lag behind their competitors. The
municipalities, producers and entrepreneurs, need synergies integration of companies into the network has led to a greater
in order to achieve mutual benefit [9]. emphasis on supply chain management.

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II. RESEARCH METHOD
The research method used in this study consisted of data
collection methods conducting interviews with relevant
parties to obtain information about the problems faced and
supported by literature studies in the writing process. In
system design, UML (Unified Modeling Language) is used
to model mobile-based systems, which consist of Activity
Diagrams, Use Case Diagrams, Use Case Descriptions,
Domain Class Diagrams, Multilayer Sequence Diagrams,
and User Interface designs
III. RESULTS AND DISCUSSION
Application design refers to a business model that is used
as a rationale for how an organization creates, delivers and
captures value [17], [18]. The business model canvas can be
likened to a blueprint as a strategy shaped through
organizations, processes and systems.
The business model canvas is identified into nine basic
building blocks that show the logic of how the company
strives to achieve business goals and generate profits, which
consists of four main areas in a business, namely customer, Fig 2. Use Case Diagram
supply, infrastructure, and financial sustainability. The
results are mapped into the application design, as shown in
Table III below.
TABLE III. BUSINESS MODEL CANVAS

Fig. 2 shows a Use Case Diagram in the previous


application. User interface design is provided for users to
communicate with each other, where users can interact with Fig 3. Home User Interface Display
applications more easily. User interface design for the Coffee
If the consumer already has an account on the Coffee for
for sale application is shown in Fig. 3. In the Fig 3, when the
sale application, in Fig. 4 the consumer can log in to access
consumer opens the mobile application, it will display the
the features of the Coffee for sale application and can make
main display, namely home. The home display contains the
transactions in the Coffee for sale application. The following
features available in the Coffee for sale application. On the
is the user interface for login:
home menu, consumers can also place an order for products
by pressing the "Buy Now" button or the "Shop Now" button Fig 4. User Interface Login this section consumers can
which is available on the home screen. Here's the home user see some of the products displayed on the product menu. In
interface shown in Fig. 3. this display, there is a plus (+) icon that can be used by
consumers to place orders for products. The Fig 5 shows the
user interface for the product:

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Fig 6. User Interface Pop Up Detail Product
Fig 4. User Interface Login
IV. CONCLUSION
Technology and the internet affect the supply chain in
companies that exist, easy information exchange, real-time
communication with customers or suppliers, quick response,
etc. These benefits have an impact on increasing customer
satisfaction, efficiency and effectiveness, as well as the
company's opportunities for market development.
Companies also need to understand how technology does not
automatically increase productivity, but needs support from
knowledge management. By creating BLOG, company had
a close relationship business, with their stakeholder
This application system is designed into two parts,
namely the front-end and back-end. The front-end can be
used by consumers by accessing it via a smartphone. The
back-end section can be accessed by the Coffee for sale
admin using a computer. Maintaining the collaboration with
institutions related to the agricultural industry, especially
coffee farming. Developing the user interface on the Coffee
for sale application to increase the ease of interaction
between sellers and consumers. Developing a business model
so that it can be adapted to the conditions in the future.
V. ACKNOWLEDGMENT
Fig. 5. User Interface Product This work is supported by Research and Technology
Transfer Office, Bina Nusantara University as a part of Bina
After the consumer presses the plus icon on the product Nusantara University’s International Research Grant entitled
display, the application will display a product detail pop up Supply Chain Optimization Using E-Commerce with
so that consumers can carry out order details by pressing the contract number: No.026/VR.RTT/IV/2020 and contract
"add" button. Figure 6 is a pop up productdetail. date: April 6th 2020.
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