Electronic Drink Machine

Matt LeggDan Pizzillo

Garth GillespieTravis Hopkins

Mohamed Elmiligui

http://www.cs.odu.edu/~thopkins/edm

2

Problem Statement

Lack of bartender accountability allows inconsistent drink creation through carelessness and theft,

subsequently causing loss of profit to bar and club owners and loss of

customer satisfaction.

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The Facts:$10.80 per 1.75L bottle of liquor

39.45 drinks per bottle at 1.500 oz per drink36.98 drinks per bottle at 1.625 oz per bottle

39.45 drinks – 36.98 drinks = loss of 2.47 drinks per bottle2.47 drinks * 7 bottles per week = 17.29 drinks per week17.29 drinks * 52 weeks per year = 899.08 drinks per year

$4.00 * 899.08 drinks = $3556.32 per year

3 * $3556.32 = $10,668.96 per year for three bottles per night4 * $10,668.96 = $42,675.84 for four well liquors

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Our Solution

A computer-controlled device that:

Determines ingredients Measures accurately Dispenses automatically

Holds bartenders accountable

5

Technical Objectives

Flexible, scalable design

Maintain or increase productivity

Constantly up-to-date database

Integrated Point of Sales system

Accuracy and Accountability

6

Problems EDM Will Solve

Human error

Short-ring

Phantom bottle

Drinks given away

7

FDA Compliance

Cleaned every 16 hours of use

Frequently cleaned surfaces must be constructed of stainless steel

Semi-automated cleaning with hot water and sanitizing solution circulated through the system

8

Alcohol Law Compliance

Responsibility of the owner

Unaffected by EDM

Legal Reference: http://leg1.state.va.us/000/reg/TOC03005.HTM

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Societal Issues

Does not alter current bar scheme

Does not replace bartenders

Does not make contact with customers

Is not marketed to individuals

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Scientific Merit

This technology could revolutionize:

Confectionary Industry

Medical Industry

Chemical Industry

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Technical Innovations

Computer managed liquid delivery

Fast and accurate mixing and dispensing from multiple sources

Automated cleaning that meets federal guidelines

12

Problems EDM Won’t Solve

Substitutions

Short changed customers

Changed credit card tips

Drink price misinformation

13

Step-by-step Scenario

1. Customer orders a mixed drink

2. Bartender puts a glass in EDM

3. Bartender selects drink on monitor

4. EDM dispenses the drink accurately

5. Bartender serves the drink

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Screenshot 1

Screenshot 2

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Screenshot 3

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18

Components

$349.00 - Dell Power Edge SC Server

$643.91 - ELO 12" Flat Touch Screen

$279.00 - NuDaq PCI 7200 32 Channel I/O Card

$5222.40 - 128 Micro air pumps ($40.20 / pump)

$1772.80 - 128 lines at 50ft (27.70 per 100ft)

$384.00 – 128-line valve controller array

$8574.31 – Total cost of parts

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Pricing

$8574.31 – Hardware

$1500.00 – Installation

$14925.69 – Mark Up

$25,000.00 – Total Cost to Purchaser

$10,000.00 – Yearly Maintenance Fee

20

Management Plan

Project Manager

ProgrammerIII

ProgrammerIII

MechanicalEngineer

ElectricalEngineer

DataArchitect II

Data EntryClerk I

Attorney IMarketingManager

OperationsManagement

AccountantIII

ContractsAdministrator

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Phase I Staffing Plan and Budget

ManagementTitle Salary Time (years) Quantity Total Cost CommentProject Manager $44,212 0.33333 1 $14,737 4 months

DevelopmentTitle Salary Time (years) Quantity Total Cost CommentMechanical Engineer I $42,067 0.33333 1 $14,022 4 monthsProgrammer III $58,323 0.33333 1 $19,441 4 months

$48,200Phase 1 Total:

*Results obtained from Monster.com

22

Phase II Staffing Plan and BudgetManagementTitle Salary Time (years) Quantity Total Cost CommentProject Manager $44,212 0.33333 1 $14,737 4 months

DevelopmentTitle Salary Time (years) Quantity Total Cost CommentData Architect II $48,011 0.33333 1 $16,004 4 monthsMechanical Engineer I $42,067 0.33333 1 $14,022 4 monthsElectrical Engineer I $42,694 0.33333 1 $14,231 4 monthsProgrammer III $58,323 0.33333 2 $38,882 4 months

MarketingTitle Salary Time (years) Quantity Total Cost CommentMarketing Manager $58,518 0.33333 1 $19,506 4 months

$117,381Phase 2 Total:

*Results obtained from monster.com

23

Phase III Staffing Plan and BudgetManagementTitle Salary Time (years) Quantity Total Cost CommentProject Manager $44,212 0.33333 1 $14,737 4 months

DevelopmentTitle Salary Time (years) Quantity Total Cost CommentData Architect II $48,011 0.33333 1 $16,004 4 monthsMechanical Engineer I $42,067 0.33333 1 $14,022 4 monthsElectrical Engineer I $42,694 0.33333 1 $14,231 4 monthsProgrammer III $58,323 0.33333 2 $38,882 4 monthsData Entry Clerk I $18,622 0.33333 1 $6,207 2 weeks

MarketingTitle Salary Time (years) Quantity Total Cost CommentMarketing Manager $58,518 0.33333 1 $19,506 4 months

Financial and LegalTitle Salary Time (years) Quantity Total Cost CommentAttorney I $16,000 $200/hour * 80 hoursAccountant III $45,442 0.33333 1 $15,147 4 months

ContractualTitle Salary Time (years) Quantity Total Cost CommentContracts Administrator $41,692 0.33333 1 $13,897 4 months

$168,633

*Results obtained from monster.com

Phase 3 Total:

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First Out Year Staffing Plan and BudgetManagementTitle Salary Time (years) Quantity Total Cost CommentProject Manager $44,212 1 1 $44,212

DevelopmentTitle Salary Time (years) Quantity Total Cost CommentData Architect II $48,011 1 1 $48,011Mechanical Engineer I $42,067 1 1 $42,067Electrical Engineer I $42,694 1 1 $42,694Programmer III $58,323 1 2 $116,646Data Entry Clerk I $18,622 1 1 $18,622

MarketingTitle Salary Time (years) Quantity Total Cost CommentMarketing Manager $58,518 1 1 $58,518

Financial and LegalTitle Salary Time (years) Quantity Total Cost CommentAccountant III $45,442 1 1 $45,442

ContractualTitle Salary Time (years) Quantity Total Cost CommentContracts Administrator $41,692 1 1 $41,692

Customer ServiceTitle Salary Time (years) Quantity Total Cost CommentCustomer Service Rep $22,874 1 1 $22,874Electrician II $34,073 1 1 $34,073

$514,8511st Out Year Total:

*Results obtained from monster.com

25

Subsequent Out Years Staffing Plan and BudgetManagementTitle Salary Time (years) Quantity Total Cost CommentProject Manager $44,212 1 1 $44,212

DevelopmentTitle Salary Time (years) Quantity Total Cost CommentMechanical Engineer I $42,067 1 1 $42,067Programmer III $58,323 1 1 $58,323Data Entry Clerk I $18,622 1 1 $18,622

MarketingTitle Salary Time (years) Quantity Total Cost CommentMarketing Manager $58,518 1 1 $58,518

Financial and LegalTitle Salary Time (years) Quantity Total Cost CommentAccountant III $45,442 1 1 $45,442

ContractualTitle Salary Time (years) Quantity Total Cost CommentContracts Administrator $41,692 1 1 $41,692

Customer ServiceTitle Salary Time (years) Quantity Total Cost CommentCustomer Service Rep $22,874 1 1 $22,874Electrician II $34,073 1 1 $34,073

$365,823Out Year Total:

*Results obtained from monster.com

26

Resource Plan and Budget – Phase I, II, III

Item Department Cost Quantity Total Cost CommentDesktop Computer

Management$600 1 $600

Development $600 5 $3,000Marketing $600 1 $600Financial $600 1 $600Contractual $600 1 $600

Server Development $946 1 $946General $946 1 $946

Printer General $957 1 $957 LEXMARK Network Printer Data Lines General $2,000 1 $2,000Phone Lines General $1,000 1 $1,000Fax General $400 1 $400Domain Name General $15 1 $15Web Space General $85 1 $85Operating System

Management$200 1 $200

Development $200 5 $1,000Marketing $200 1 $200Financial $200 1 $200Contractual $200 1 $200

Development Software

Development$500 5 $2,500 Various Development Packages

Project Management Software

Management$300 1 $300 Microsoft Project

Office Suite Software

Management$300 1 $300

Development $300 5 $1,500Marketing $300 1 $300Financial $300 1 $300Contractual $300 1 $300

ODU Overhead General $133,686 1 $133,686Total: $152,735

Microsoft Office XP

Dell Dimension 2300

Dell PowerEdge 600SC

Microsoft Windows XP

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Resource Plan and Budget – Out Years

Item Department Cost Quantity Total Cost Comment

Data Lines General $2,000 1 $2,000Phone Lines General $1,000 1 $1,000Fax General $400 1 $400Domain Name

General$15 1 $15

ODU Overhead

General$146,329 1 $146,329

Total: $149,744

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Phase I, II, III Product Budget

$334,215 – Human Resources

$152,735 – Hard Resources

$486,949– Total Budget

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Funding Plan National Restaurant Association

Educational Foundation http://www.nraef.org/

National Business Associationhttp://www.nationalbusiness.org/

Restaurant Business Planhttp://www.restaurantfunds.com/

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Marketing Plan Marketed to high-volume clubs, bars, and

restaurants

First model installed at club to gain: Profit Data Technical Data Owner’s Testimonials

Use acquired data to market the EDM

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Potential Market The New York City metropolitan area

alone has over 1640 bars and clubs

If EDM were sold to only 10% of these bars, $6,565,169.51 of profit would be earned in just that area

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EDM ProfitsProjected Profit

-1.00

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00

0 1 2 3 4 5 6

Years (30 units per year)

Pro

fit

(Mill

ion

s o

f D

olla

rs)

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Purchaser’s ProfitsPurchaser's Profit

($25,000.00)

$7,675.84

$40,351.68

$73,027.52

$105,703.36

$138,379.20

$171,055.04

$203,730.88

$236,406.72

$269,082.56

-50000.00

0.00

50000.00

100000.00

150000.00

200000.00

250000.00

300000.00

0 1 2 3 4 5 6 7 8 9 10

Years

Pro

fit

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Phase I

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Phase II

36

Phase III

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Development Issues POS Software Database Software Centralized Update Software Dispenser Software

Dispenser Hardware Integration & Testing

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Evaluation Plan

Success will be achieved when:

All technical objectives have been met

All expected goals have been realized

Earnings have met or surpassed the requirements defined by the project schedule

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Conclusion

With the Electronic Drink Machine:

Bar and club owners will profit

Our investors will profit

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Questions?