FEASIBILITY STUDY: TECHNOLOGY SOLUTION PROVIDER IN KARACHI CITY DUE TO EXPONENTIAL GROWTH RATE IN CRIME

ijcrb.webs.com

INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS

COPY RIGHT © 2012 Institute of Interdisciplinary Business Research 946

AUGUST 2012

VOL 4, NO 4

FEASIBILITY STUDY: TECHNOLOGY SOLUTION PROVIDER IN

KARACHI CITY DUE TO EXPONENTIAL GROWTH RATE IN

CRIME

Rizwan Raheem Ahmed; Ahmed Afraz Arif &

Mr. Yaseen Ahmed Meenai

Institute of Business Administration – IBA

Karachi

Abstract

This report is based on the market research conducted for

Being a technology solution provider find out the range of manageable products those are

the needs of this modern era either due to technology advancement, health concerns,

security and surveillance concerns, communication concerns, work force management in

today’s complex and giant organizations.

The contents include the methodology adopted for conducting research, stages of questionnaire

development, findings and assessment of research result, Marketing Strategy plot and

recommendations based on result assessment, which is the prime factor for the success of this

business.

Keywords: Feasibility Study, Technology Solution Provider, Exponential growth rate in Crime,

and Surveillance Concerns

1. Introduction

The need of this research paper is based on the plight conditions of Karachi city due to

exponential growth rate in crime; Karachi is the largest city of Pakistan (populated with more

than 2 billion people of mix ethnics). This issue/ weakness turn into the strength for new industry

that provides technology solutions especially from the perspective of security and surveillance

solutions to customers on turnkey basis to mitigate any unforeseen events and to identity and

later on in finding out those culprits to avoid any future incidences.

1.1 Objectives of the Study

Following objectives of the entrepreneurial activity / business were in place after identifying the

said opportunity in the market based on intuition and experience of professionals and to

authenticate or verify this, the primary research was conducted to get feedback from different

company representatives and research objectives were determined based on business objectives.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

Business Objectives Research Objectives

• To become successful Market player

• Profitability

• Opportunities:

• Markets

• Product Categories

• Customer Expectations & Purchasing

Criteria

• How to target customers effectively?

• Services to provide

• Promotional Measures

• Awareness & Usage Levels

• Factors influencing brand choice.

• Brand Preference & reasons

• Previous brand and

• Reasons of switching

• Reasons of not using

1.2 Problem Identification An interview was conducted with different company officials where following problems were

identified regarding security and surveillance solutions, currently they have in use.

Poor After sales service

Limited availability of experts

Absence of local R&D.

Low awareness with the technology

Driving force of the venders are commercial importers rather than domain experts.

Work force management issues

Human asset tracking issues

Traffic flow management at premises

1.3 Research Approach For conducting research, an approach was adopted which comprising of:

1. Literature Review

2. Quantitative Survey

2. Previous Research

The purpose of literature review was to enhance the knowledge of entrepreneur regarding

product categories, brands, and point of differentiation and understanding of client’s business

needs. Product literature, websites, brochures was explored for getting product knowledge and

along with the target market identification.

Mobile snatching, robberies, accidents, disobedience of law are the common words of our rotten

civil life, to mitigate these it is the prime responsibility of metropolitan to take necessary

preventive measures regarding security and surveillance of city and effective work force

management systems in place. Similarly the commercial and corporate organizations take these

kinds of actions at their own to safe their own premises and effective management of human

resource, along with it also helps the city district government, forces, police and other regulatory

bodies in case of any incident (Moreland, 2012).

Hundred of security and surveillance products and work force management solutions are

available in market nowadays but due to limitations of time and for the start up or for the

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

entrance in this industry as a successful business this research paper is confined to CCTV,

Network cameras, Access control machines and Time attendance machines or systems.

2.1 CCTV:

He term CCTV (Closed Circuit Television) is mostly used for surveillance in places that

definitely need monitoring such as banks, airports, schools, factories, roads, highways, yards,

public places and so on.

In industries, CCTV equipment might be installed to monitor process from a central control

room, CCTV systems may operate continuously or only as required to monitor a particular

event. A more advanced form of CCTV, utilizing Digital Video Recorders(DVRs), provides

recording facility depending upon the system configuration especially hard disk capacity, with a

variety of quality and performance options and extra features (such as motion-detection and

email alerts).

The components of CCTV systems are as follows

1) CCTV cameras

2) DVR (Digital Video Recorders)/ PC based DVR cards

3) Coaxial Cables

4) Water proof mountings

5) Hard Disks

6) Accessories (fittings, electric wire, BNC connectors)

7) Video Splitter (optional)

2.2 Network Cameras

A Network Camera has its own IP Address and integral functions to handle network

communication. It is connected directly to the Network as any other network device and it has

built-in software for a Web server, FTP Server, FTP client and e-mail client. More advanced

Network Cameras are also available with many other value-added features such as motion

detection and an Analog Video Output(Haddican, 2011).

Modern technological advancement has made it doable to connect Cameras directly to an IP-

based computer network. Network Camera technology facilitate an end user to remotely access

the view of the location over the Network/Internet.

A Network Camera carries out many of the same purpose as a standard analog CCTV Camera,

but on lower cost. Because Network Cameras plug directly into the existing Network via an

Ethernet Port, no additional equipment is needed to view Network Camera footage(Holzinger,

2011). The output can be viewed in its simplest form in a Web Browser at the computer monitor

and in more complex security solutions with the aid of Video Surveillance Software(News,

2011).

The components of the Network surveillance systems are as follows

1) IP cameras

2) NVR (Network Video Recorder)

3) Ethernet Cable

http://www.brickhousesecurity.com/ip-network-security-cameras.html

http://www.brickhousesecurity.com/network-camera-internet-video-monitoring-software.html

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

4) Hard Disk

5) Internet (For remote access)

6) Accessories

7) Water proof mounting

8) Switches

9) Wi-Fi routers (If required)

2.3 Access Control Machines

The term access control explicitly shows the purpose of this machine to restrict unauthorized

access or exit of someone into or out of the premises unless allowed. Before this was done by

physical means e.g. security guards or mechanical means e.g. locks but the technological

advancement allows or facilitates to handle this issue effectively that results in mitigation of no.

Of leakages and loopholes that persist in the system otherwise (Perry, 2012).

The access control machine has three components,

1) Main Access control Unit (Swap card, Smart Card Reader , Biomatrix)

2) Electronic bolt lock

3) Backup power supply unit

When the authorized person show, swap or scan finger or hand on the machine the data base

validates the person and it communicate with they system and in result the access to that

premises is allowed to that user(Heemskerk, 2011).

The main advantage of using this technology, Companies not only saves salary expenses of

guards/ watch mans but also reduce the administration work burden that results in maintenance

of locks and keys and management of these kind of staff(Wackler, 2011).

2.4 Time Attendance Machines

In today’s complex organizational structures and with huge no of employees, it is necessary for

the organizations that they keep track their employees performance not only with appropriate

Human resource management policies but also by the technology, the new automated product

categories in this line facilitate the companies in this regard, with time attendance systems that

provides information of in and out of employees, helps the count of heads in any particular point

in time at any installed premises, support in making payroll, calculation of overtime if

any(Haddican, 2011).

The time attendance machines have three to four components

1. Software

2. Main TAM unit (Swap cards, Smart Card Readers, Finger Print, Face recognition)

3. External readers (optional)

4. Battery backup units

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

3. Research Method

3.1 Questionnaire Design The questionnaire was the main tool of this research. It was designed keeping in view the

research objectives, which were mainly focusing on the following:

TAM & MS system awareness

Brands in use

Experience with the existing system

Reasons of dissatisfaction (if any)

Reasons of switching (if any)

The designed questionnaire was highly structured to save the time of respondent and it also

facilitates the analysis process.

Manufacturers Service Sector

Activity

Face to Face / Telephone calls/

via Email interviews on a

structured questionnaire of

approximate length of 10

minutes

Face to face / Telephone Calls /

via Email interviews on a

structured questionnaire of

approximately length of 10

minutes

Target

Manager Administration

Technical Specification

Assessors at Companies

Procurement Authorities

Manager Administration

Technical Specification

Assessors at Companies

Procurement Authorities

Location

In Karachi (n=16)

Organizations more than 50

employees

By researcher in person

In Karachi (n=72)

Organizations more than 30

employees

By researcher in person

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

4. Data Analysis

4.1 Awareness & Usage of TAM & MS Systems

The Awareness level of the respondents is high that is almost more than 80% in each category

who know about the security & surveillance and work force management systems i.e. CCTV

Cameras, Network Cameras, Time Attendance Machine and Access Control Machine with

different knowledge levels.

Implications:

It is easier for the prospective technology solution provider to target this market with low

marketing budgets and awareness campaign efforts.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

The usage is a subset of awareness and there is a room to cater this gap also for potential entrant

inthis market of CCTV Cameras,Time Attendance Machines and Access Control and Network

Cameras. Especially if we see Network camera awareness and usage ratio, there is a huge

difference and this may be the additive advantage. Therefore the Network Camera might be the

potential market to target.

53 % respondents are using both the systems, there is a need to identify how much they are

satisfied with their current systems and other related services and might find some potential

target market or gap to cater this sector also in some way and whereas 14% respondents are not

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

using both the systems. Non-users of both the systems may be aware more on the systems. This

would be the potential market.

Along with the 17% of TAM only users might be the potential buyer of MS, Similarly, the 16%

of MS only users might be the potential buyer of TAM, because both type of category is user of

technology products in one way or other.

4.2 TAM Systems – Research Findings

Almost 95% respondents are aware of TAM, 84% of respondents are aware of ACM out of

which 70% are users (i.e.-e 53% plus 17%), out of which only 35% are currently adapted or

using finger print or biometric machines that are very effective from HR point of view because it

minimizes proxies and unauthorized acts in office premises. So this is another potential

switching consumers to biometrics products.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

Multiple brands are used by end users, the largest share is occupied by Limton because of old

market player in the market, it implied that the new entrant may come as a corporate reseller of

multiple brands so in this way the prospect will cater different buying behaviour of consumer or

it may come up with multi price range product for this category.

The above chart implies that prospect should consider these characteristics while launching the

product categories that are normally in line with strategy of new business that it should offer

value for money, best quality, after sales service along with competitive price with other market

products to capture market share.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

It implies that there is a trend in the market that end user is not stick to one brand, it is also a

good sign for prospect that there must be some un met needs or technology advancement that

persuade end user to try other brand, ifthe prospect market or offer its product in a right manner

after identifying the correct reason.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

More than 63% of end user switched just because of poor after sales service, it indicates that

there is potential to earn revenue from this channel by entering Service level agreements and

capture market share. The prospect also brands itself as a good after sales service provider in the

industry that is a major problem faced by the consumer due to poor after sales service.

Approximately 90% of users are aware from TAM and out of which 70% of respondent are the

users of TAM out of which 45% of users are those who are somewhat satisfied that is a very

greater percentage it implies that there are some unmet needs which are not currently met, if the

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

prospect work on it, might get good business from here also but it should be a cost effective

solution for switchers.

1

81% respondents are already in service level agreements with some existing vendors available in

this market, but as we previously observed that 63% of brand switchers were switched due to

poor after sales service, so it will be potential business prospect as discussed above.

19% of respondents who don’t have SLA right now out of which 58 % a huge no. Of

respondents showed their interest to enter in some sort of SLA for their installed products. This

is another revenue model for the prospect other than who are not satisfied or switched just

because of poor after sales service.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

Approximately 30% respondents are not using TAM currently out of which 23% are having

financial concerns else they are willing to purchase, so to cater this potential segment the

prospect should come up with cost effective solution to meet the needs according to their

budgets, and 54 % out of them are not having enough employees but might be they are willing in

future to buy TAM when they have more no. of head counts.

Approximately 30 % respondents who are not currently using TAM out of which 27% are

probable to acquire or purchase and 35% are ready to purchase, this is another view of

identifying the potential market for the prospect there is need to review the underline cause why

they are not having currently either due to financial concerns, not enough employees or

something else to better meet their needs and desires.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

The 30% respondents who have no TAM at their premises out of which more than 50%

respondents who lied in the category of probable and definite buyers, out of which 47 %

respondents are not yet decided which product they have to buy so if the prospect comes up with

the product keeping in mind the major reasons of brand preferences, it might have good chance

to capture this potential market or else be a corporate reseller of already existing brands like

ACTATEK and SOCA to penetrate in already identified market.

4.3 MS Systems – Research Findings

100% respondents are aware of CCTV, out of which 69% are users and 72% of respondents are

aware of IP/NETWORK out of which 12% are users, collectively the users of MS are 69% (i.e.-e

53% plus 16% ), out of which only 20% are currently adapted or using network or IP cameras or

surveillance system that are very effective from administration point of view, because it

facilitates remote end monitoring with multiple video output on already given LAN

infrastructure and wireless technology that also comes under this category facilitates, where

cabling and wiring is problem in itself, So this is another potential switching consumer market

that need to address with required preferences of brand and product choice.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

End users use multiple brands; the largest share is occupied by Proline because of its value for

money and low price product

in the market, it implied that the new entrant may come as a corporate reseller of multiple

brands so in this way the prospect will cater different buying behaviour of consumer or it may

come up with multi price range product for this category.

The above chart implies that prospect should consider these characteristics while launching the

product categories that are normally in line with strategy of new business that it should offer

value for money, best quality, after sales service and especially along with competitive price with

other market products to capture market share

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

It implies that there is a trend in the market that end user is not stick to one brand, it is also a

good sign for prospect that there must be some un met needs or technology advancement that

persuade end user to try other brand, if the prospect market or offer its product in a right manner

after identifying the correct reasons.

More than 10% of end user switched just because of poor quality of product and about 11% of

respondents switched because of poor after sales service, it indicates that there is potential to

earn revenue from this channel by entering Service level agreements and capture market share.

The prospect also brands itself as a good after sales service provider in the industry that is a

major problem faced by the consumer due to poor after sales service.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

Approximately 100% of users are aware from MS and out of which 69% of respondent are the

users of MS out of which 31% of users are those who are somewhat satisfied and 7% are

somewhat dissatisfied that is a very greater percentage it implies that there are some unmet needs

which are not currently met, if the prospect work on it, might get good business from here also

but it should be a cost effective solution for switchers.

63% respondents are already in service level agreements with some existing vendors available in

this market, but as we previously observed that 5% of brand switchers were switched due to poor

after sales service and 11% due to poor quality of product so it will be potential business

prospect as discussed above.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

37% of respondents who don’t have SLA right now out of which 20 % are ready to enter in some

SLA and 50% are probable, a huge no. Of respondents showed their interest to enter in some sort

of SLA for their installed products. This is another revenue model for the prospect other than

who are not satisfied or switched just because of poor after sales service.

Approximately 31% respondents are not using MS currently out of which 48% are having

financial concerns else they are willing to purchase, so to cater this potential segment the

prospect should come up with cost effective solution to meet the needs according to their

budgets, and 7 % out of them are not having enough employees but might be they are willing in

future to buy MS when they have more number of head counts.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

Approximately 31 % respondents who are not currently using MS out of which 67% are probable

to acquire or purchase and 15% are ready to purchase, this is another view of identifying the

potential market for the prospect there is need to review the underline cause why they are not

having currently either due to financial concerns, not enough employees or something else to

better meet their needs and desires

The 31% respondents who have no MS at their premises out of which more than 80%

respondents who lied in the category of probable and definite buyers, out of which 70 %

respondents are not yet decided which product they have to buy so if the prospect comes up with

the product keeping in mind the major reasons of brand preferences, it might have good chance

to capture this potential market or else be a corporate reseller of already existing brands like

AVTECH and EVER FOCUS to penetrate in already identified market.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

5. Conclusion & Recommendations

The results of the research indicates that there is potential in the market for new entrant/prospect.

Either enter in the market as a corporate reseller of multiple brands or launch its own

branded product or multiple price range products while considering other preference

criteria as value for money, best quality and so on.

The corporate strategy for new entrant should consider after sales service as a important

tool to capture the potential market or try to emerge in the market as a brand ambassador

of after sales service provider.

Prospect should come up with cost effective solution for the price conscious market /

potential buyer who have currently financial concerns but they are willing to acquire or

use technology to facilitate their core business.

Prospect should consider technological advance products to make a point of

differentiation among competitors.

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

References

1. http://etd.uum.edu.my/685/1/Mohammed_Fahed_Tayfour.pdf

2. http://san-pips.com/index.php?action=reports&id=kr13

3. http://wwz.unibas.ch/fileadmin/wwz/redaktion/wipo/Alois_Stutzer/Zehnder_B-099.pdf

4. Trade Study. (2011, 03 24). Retrieved 02 10, 2012, from Wikipedia:

5. http://en.wikipedia.org/wiki/Trade_study

6. Breit, J. (2012). Associate Technical Fellow, Systems Concept Center, Boeing. SAE

2012. Las Vegas.

7. FAA. (2006). Trade Studies. In System Engineering Manual Version 3.1 (pp. Section 4.6,

Trade Studies).

8. Federal Aviation Administration.

9. Haddican, L. (2011, March). http://www.groundsupportworldwide.com, Archives, March

2011, Electric

10. Conversions of GSE. Retrieved July 7, 2011, from

http://www.groundsupportworldwide.com:

11. http://www.groundsupportworldwide.com/print/Ground‐Support‐Worldwide/Electric‐

12. Conversions‐of‐GSE‐/1$5211

13. Heemskerk, N. (2011, 07 28). Director, Global Product Development at JBT Aerotech.

(v. e.‐m. Alison

14. Setton, Interviewer)

15. Holzinger, N. (2011, July 12). Consultant, Spilett New Technologies GmbH. (A. Setton,

Interviewer)

16. Hubreigtse, D. (2011, July 19). Power Systems Research, 1 734 761 3440;

[email protected]. (A.

17. Setton, Interviewer)

18. Moreland, G. (2012, March 7). Contractor US DOE. (A. Setton, Interviewer)

19. News, R. E. (2011, February ‐ March). Electric Pushes Forward (and Backwards). Ramp

Equipment News,

20. p. 10.

21. Perry, B. (2012). Next Generation Lithium Technology. SAE 2012 Aerospace and

Defence Ground Support

22. Equipment Conference (p. 19). Las Vegas: Society of Automotive Engineers.

23. PSR. (2009). Power Systems Research OELink Database. Production Market Share

2009‐2014. John City

24. NY: BAE Systems.

25. Ramp Equipment News. (2011, August/September). The Green Pages: Reducing Carbon

on the Taxi‐way.

26. Ramp Equipment News, pp. 7‐8.

27. US DOE. (n.d.). Hydrogen Production. Retrieved August 23, 2011, from US Department

of Energy

28. Hydrogen Resource Center: http://hydrogen.pnl.gov/cocoon/morf/hydrogen/article/706

29. Wackler, J. (2011, July). Mechanical Engineer. (A. Setton, Interviewer)

http://etd.uum.edu.my/685/1/Mohammed_Fahed_Tayfour.pdf

http://san-pips.com/index.php?action=reports&id=kr13

http://wwz.unibas.ch/fileadmin/wwz/redaktion/wipo/Alois_Stutzer/Zehnder_B-099.pdf

ijcrb.webs.com



AUGUST 2012

VOL 4, NO 4

30. Yura, E. (2011, July 18). Air Resources Engineer, (916) 323‐2397. (A. Setton,

Interviewer)

31. www.hatswitch.org/~sn275/courses/TCS/.../CCTV_class_review.pdf

32. www.actateksupport.com/support/index.php?/Knowledgebase/.../51/..

33. http://en.wikipedia.org/wiki/Access_control

34. http://en.wikipedia.org/wiki/IP_camera

35. http://crss.pk/downloads/Reports/Research-Reports/Karachi%20Violence%20Report.pdf

36. http://www.brickhousesecurity.com/about-ip-network-video-cameras.html#ipcam

http://www.hatswitch.org/~sn275/courses/TCS/.../CCTV_class_review.pdf

http://www.actateksupport.com/support/index.php?/Knowledgebase/.../51/

http://en.wikipedia.org/wiki/Access_control

http://en.wikipedia.org/wiki/IP_camera

http://crss.pk/downloads/Reports/Research-Reports/Karachi%20Violence%20Report.pdf

http://www.brickhousesecurity.com/about-ip-network-video-cameras.html#ipcam

FEASIBILITY STUDY: TECHNOLOGY SOLUTION PROVIDER IN KARACHI CITY DUE TO EXPONENTIAL GROWTH RATE IN CRIME

Documents