Spectrum7 Technologies has acquired a customer with a wide machine setup of around 5000 and is using machine language and IOT for connecting these machines.

1. Case Study
Connected Retail Shops and Machines through POS and IOT

2. Challenges faced in this complex wide area coverage of Coffee vending
business
With more than 2500 customers / vending locations across India, following challenges are being
faced by coffee vending companies to sustain its record of service and financial efficiency in
driving this huge setup.
A. The demand for the materials in each machine location varies according to the volume
of dispense demand in each location
B. Real time Capture of the demand at machine sales point
C. Inventory management at the point of machine
D. Fraudulent practices with respect to machine readings for customer billings
E. No visibility of stock at customer end or at vending location point and hence leading to
stock out situations and loss of sales
F. Machine asset tracking and loss of machines being a big challenge
G. Real time sales data non availability and hence sales figures not available until manual
collection of data.
H. Manual machine readings leading to lot of errors and mal practices
All these problems faced by these companies results in loss of sales, erosion of margins,
embarrassment with customers due to malpractice of outside contract force employed by the
company at machine points.
Loss of sales arising due to
1. Errors in readings of the machines resulting in wrong invoicing to customers
2. Manual billing at vending places leading to malpractices and missed billing
3. Readings mismatch between vending location and customer readings
Erosion of margins due to
1. Stocks being missed due to no control
2. Loss of inventory due to fraudulent practices
3. Stocks consumption reporting more than actuals

3. Erroneous customer reporting due to
1. Error in readings collected manually
2. Mismatch of bill details
3. Customer waiting for bills prepared manually
4. Possibility of free dispensing without billing
All these lead to financial implications with loss of customers, poor stock management, quality
of service going down etc..
Oracle Cloud services with IOT platform as a Solution
Choosing the right cloud solution is the key for the success and helps the organization to ward
off these challenges, provides the right solution and helps to be prepared for the future.
Oracle Rightnow Benefits :

4. The typical architecture will be as below:
The architecture contains the below
1. Vending machine
2. POS
3. IOT hardware
4. Database storage cloud server
5. Integration with Company SALES and Service force through web services

5. The POS Hardware could be a mobile device with printer or a desk top with printer.
The POS software had enabled the below functionalities
1. Billing software item wise at touch of button
2. Master data storage for customer and items synched with ERP
3. Recipe management machine wise
4. Stock management with respect to each location
5. Alerts through email and SMS to respective stores for replenishment
6. Stock reports
7. Consumption variance with respect to recipe vs actual
8. Payment portal for end customers payment
IOT Device:
Built on latest technology with alternative modes of data transmission in the event of
Internet failure.
Data validation from each IOT device ensures no data is missed in the transmission process
Comes with GPS device to track the asset on real time.
Advantagesof POS onCloud:
POS installations in various retail industries have made the software very robust and user
friendly over the period of numerous installations done. The software requires very minimal
modifications to suit to the business needs as it had all the required functions for capturing the
retail sales on time and in accurate level.
The POS also runs without internet using internal memory, and hence no loss of data even if
Internet not available for a period.
The POS brings in real time view of the sales that is happening at the customer level and
showed graphical reports on consumption of products in different time frames helping us to
analyze the pattern of consumption
The re order level functionality helped to set stock levels at the machine point and gave alerts
on real time when the stocks went down below a certain level.

6. The variance analysis helps to track stock mismanagements and therefore huge benefit in terms
of financial loss prevention. Stock variance can came down to less than 0.5 % resulting in huge
savings.
The IOT connection – Connected Machines
With Pos doing the real time sales monitoring, the next challenge is to read the machine
readings remotely on real time and feed it to POS without manual intervention. This integration
with POS or the ERP will remove the mal practices and the embarrassment with the customers
with faulty readings.
The architecture is as below:
IOT Devices
Data
Warehouse
API / Web services
Data
Warehouse
Mobile app ERP Service Cloud
Reports
Display
Coffee Machine Coffee machine Coffee Machine CoffeeMachine
With this the overall architecture integrated very well into the IT structure and could
experience the One Process model across India.

7. The advantage of IOT include:
1. Real time reading from machines fed to different solutions
2. Alerts if any machines were Idle or repair
3. Immediate serviceability
4. Billing on real time basis and sales calculated on real time . No need to wait for month
end for manual collection of data
5. No errors in reporting to customers
6. The IOT device was also used with Geo tagging features to track the assets and hence no
loss of machines nor data
Oracle Cloud Services – The linking Platform – Sales Enabler:
Value Proposition from Spectrum7