LATUREAE: Information Systems Critical Analysis and Value Chain Report

This report provides a critical analysis of LATUREAE, a wellness company operating in the health and wellness industry. It begins with an executive summary highlighting the company's specialization in manufacturing, distribution, and advisory services. The study then applies Porter's Value Chain model to assess how LATUREAE delivers value through its products and services to healthcare professionals, supermarkets, and specialist health food stores. The analysis examines LATUREAE's business model, primary activities (inbound logistics, operations, outbound logistics, marketing & sales, and service), and support activities (firm infrastructure, human resource management, technology development, and procurement). The report concludes that LATUREAE effectively delivers value but recommends leveraging IoT, Blockchain, and AI for long-term sustainability. Strategic collaboration between HR and operations, and a more robust IoT network are also recommended. References to relevant literature support the analysis.

Running head: LATUREAE
Assessment One – Information Systems Critical Analysis
[Latureae]
Name of the student:
Name of the university:
Author note:

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Executive summary
The wellness industry is increasingly becoming integral to the healthcare sector. Over the
past five years, the industry has received huge recognition amongst the trade experts and the
worldwide consumers of such services. This study is also on a wellness company “Latureae".
Based in Australia it is one of the leading names in the industry. It holds specialization in the
manufacture, distribution and providing advisory services to those related to the wellness
industry for their distinguished purpose. In this study, Latureae is being assessed using
Porter's Value Chain model to know whether it delivers value through its range of products
and services. The study concludes that Latureae delivers value through various means to the
healthcare professionals, supermarkets, specialist health food stores and its customers. It just
needs to develop a more robust network of IoT coupled with Blockchain technology and
Artificial Intelligence to sustain the gained reputation in the long-term.

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Table of Contents
Introduction................................................................................................................................3
Discussion..................................................................................................................................3
Business Model......................................................................................................................3
Primary Activities..............................................................................................................4
Support Activities...............................................................................................................5
Applying the Porter's Value Chain Model to Latureae..........................................................8
Conclusion and Recommendations............................................................................................8
Recommendations..................................................................................................................9
References................................................................................................................................10

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Introduction
Health and wellness industry is on a rise and has registered huge growth over the past
five years in Australia. The industry revenue is expected to rise at 3.6% annually in 2019-20
periods (Stará & Peterson, 2017). Few trending consumption patterns have boosted the
demand for health and wellness services. The need to look physically fit and stay healthy has
the most impact on the industry. Besides, the growing interest in both local and international
tourists for such services has furthered the scope for the industry (Stará & Peterson, 2017).
This study is also related to the same industry. The main purpose is to identify the
primary and secondary activities of Latureae, which is a health and wellness company. It also
assesses the Company in terms of how it creates values for the target market through its
supply chain operations.
Discussion
The Business Model
Latureae, as evidenced in the case study, follows a "Network-level Business Model”.
It is more oriented with adopting new technologies to offer services that fit consumers’ needs
(Beauchemin et al., 2019). Latureae uses this model to create a difference in numerous ways.
These are as listed below:
 It effectively develops a network of commercial business partners;
 It uses innovation to scale its service delivery;
 It delivers convenience and support to individuals;
 It adapts technology to predict the future and fulfill the rising consumer demand.

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Such achievements cannot be achieved if both the internal and external processes are not
under control. Indeed, Latureae knows exactly what to do to meet the business needs of both
its internal and external processes. The activities, which Latureae uses to manage these
processes, can be distinctively classified into two categories. These are:
Primary Activities
Inbound logistics
It has a logistics setup to distribute services to the clients. In the case of the products,
it first reaches to its distribution facility and then in the finished format reaches to the
respective clients.
Operations
Latureae has setups for the manufacture, distribution and advisory services. It
manufactures a range of professional products for medical practitioners, for everyday
wellness and also the beneficial health supplements to suit the needs of the whole family. In
the distribution facility, storing, picking and packaging of goods takes place. It offers
advisory services to clients on their wellness and fitness related queries. Nowadays, it is easy
to access wider resources to get advises on health and fitness related queries. However, very
few of them deliver quality content (Koskinen, Ylilahti & Wilska, 2017). Latureae is one of
such rare companies that have good control of diverse health and fitness queries.
Outbound Logistics
The outbound logistics is used to supply the products to its clients who are mainly the
supermarkets, health care professionals and specialist health food stores. It serves close to

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100,000 customers on a daily basis. Despite this, it has maintained a standard and delivers
value with its every supply.
Marketing & Sales
Marketing and sales to Latureae do not only mean advertising a new service or
product launch. More specifically it means creating values through promoting the contents.
The contents do not just highlight one of its products or services but also the experiences it
creates (Kalem & Turhan, 2015). The numbers of advices delivered till the date are visible at
its official website. People visiting the page get to know the values Latureae delivers through
its range of products and services. Even if there is an advertisement posted in popular
newspapers and magazines they are more focussed on sharing the experiences rather than just
advertising a product or service.
Service
Latureae offers services on the wellness needs of the whole Australians. The products
and services help to attain a more natural approach to health. It has a team of experts in a
variety of disciplines such as vitamins, nutrients and herbs. The reason Latureae creates
values through its wellness services is it has experts taking care of every need of the wellness
industry (Koskinen, Ylilahti & Wilska, 2017).
Support Activities
Firm Infrastructure
The infrastructure at Latureae consists of the facilities especially dedicated to the
manufacture, distribution and advisory services. The infrastructure also consists of the latest
technologies such as Big Data, Wearables, CRM, Data Analytics, SCM and Enterprise

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System. These technology solutions help to roll out a new range of updated products, so that,
consumers receive the best care. Latureae also has an IoT (Internet of Things) setup as it uses
it to make the Wearables.
Human Resource Management
It has a well-defined infrastructure for managing its human resource activities. The
HR team is responsible for designing HR policies to be followed at hiring fresh people,
training them and giving input to technological developments. They should be given the
credit to identify the best talent for Latureae. The use of the Internet of Technology (IoT) can
be essentially helpful in accessing the databases of graduate professionals from around
several job portals (Kalem & Turhan, 2015). Currently, Latureae uses IoT to make
Wearables. However, IoT can be used in wider services than they use it currently. The human
resource personnel although have an indirect impact on the acquisition of IoT but still can
make a lot of difference to it. In an IoT environment the data is always at threat from hackers.
The human resource personnel in collaboration with the IT experts at Latureae need to reach
the working guidelines for IoT. The working guidelines will ensure that professionals do use
it in an ethical and secure manner (Kalem & Turhan, 2015).
Technology Development
They procure technologies from the industry's leading suppliers. Their suppliers are
not just based on the locals but also at the national level. To date, they are reported to be in a
business partnership with more than 2,000 suppliers. With a wide array of technologies in
place, the decision-makers have wider opportunities to apply their ideas to operations
management (Stará & Peterson, 2017). Few untouched technologies can be more helpful
for Latureae in its mission to deliver wellness to everybody. The likes of the Internet of
Things (IoT), Blockchain technology and Artificial Intelligence (AI) can bring new

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opportunities and open door to wider success. These technologies together provide wider
access to huge data over a secure and transparent network. The sending and receiving of data
become effective over an IoT network (Stará & Peterson, 2017).
Procurement
Latureae has a dedicated team to take care of the procurement process. All the
procurement processes happen under the supervision of the Production Manager, Percy
Ramos. The process includes procuring everything from new technologies, to raw materials
and ingredients. Procurement is one of the most challenging tasks in the entire operations
activity. It requires a thorough understanding of the market to be able to procure the solutions
that suit business needs (Kalem & Turhan, 2015).

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Applying Porter's Value Chain Model to Latureae
Firm
Infrastructure
Human Resource
Management
Technology
Development
Procurement
Inbound
Logistics
- For equipment
and other raw
materials
Operations
- the
manufacture, the
distribution and
advisory arms
Outbound
Logistics
- supplying to
clients and storing
products in the
distribution facility
Marketing &
Sales
- content marketing
through the official
website, popular
newspapers and
magazines
Service
- advisory
services
The above figure shows an application of Porter’s Value Chain model in the context
of Latureae. The figure does not give a detailed explanation of the Primary and Support
activities that are the parts of Latureae. However, it still validates the fact that the Porters'
Value Chain model applies to Latureae (Curry, 2016).
Conclusion and Recommendations
On a concluding note, it can be said that Latureae in the short-term is under a good
position to deliver its commitments to consumers and other stakeholders. However, more use
Margin
Primary Activities
o
r
t
A
c
t
i
v
i

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of strategies and adoption of technologies should be there to sustain similar and even better
business performance in the long-term. It already uses the Internet of Technologies (IoT) to
make Wearables. However, more improved utilization of technology could bring more glory
to it. Hence, adaptability to a networked environment comprising of IoT, Artificial
Intelligence (AI) and Blockchain technology can be a handful in offering innovative services
while ensuring that the customer data remains safe.
Recommendations
1. Strategic Collaboration between the HR personnel and the Operations team
There should be policies to protect data from any malicious attack such as hacking. Latureae
spends significantly over its HR personnel. There is no point in keeping them limited to their
basic activities such as recruitment and selection, and training and development programs.
Indeed, they should be deployed to added responsibilities to make them an asset for Latureae.
By working in collaboration with the operations team the HR managers will be able to
identify the policies and practices to ensure a secure sending and receiving of data over an
IoT network.
2. Develop a more robust IoT Network
The existing IoT network can be made more agile and secure by adding Blockchain
technology to the network. Consumers want to know the source of the materials that they
consume in the form of fitness equipment. Blockchain technology will let their needs
fulfilled. It all requires making a dedicated app and facilitating an IoT network-enabled with
artificial intelligence. By using the dedicated app consumers will know about the
transparency level that Latureae maintains throughout its supply chain network.

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References
Beauchemin, J. D., Gabana, N., Ketelsen, K., & McGrath, C. (2019). Multidimensional
wellness promotion in the health and fitness industry. International Journal of Health
Promotion and Education, 57(3), 148-160.
Curry, E. (2016). The big data value chain: definitions, concepts, and theoretical approaches.
In New horizons for a data-driven economy (pp. 29-37). Springer, Cham.
Kalem, G., & Turhan, Ç. (2015). Mobile technology applications in the healthcare industry
for disease management and wellness. Procedia-Social and Behavioral Sciences, 195,
2014-2018.
Koskinen, V., Ylilahti, M., & Wilska, T. A. (2017). “Healthy to heaven”—Middle-agers
looking ahead in the context of wellness consumption. Journal of aging studies, 40,
36-43.
Stará, J., & Peterson, C. (2017). Understanding the Concept of Wellness for the Future of the
Tourism Industry: A Literature Review. Journal of Tourism & Services, 8(14).