UrbanCycle (UC) operates bicycle-sharing stations across a large city. Customers unlock bicycles through UC's app. UC stores data on journey times, locations, repair history, failed payments, customer complaints and app searches. UC's marketing director wants to introduce RidePlus, a customer loyalty programme that will use data mining and artificial intelligence to offer personalised discounts and to predict where bicycles should be placed at different times of day. Some city councillors are concerned that UC may collect too much location data from customers. The operations director is concerned that the AI system may recommend moving bicycles away from less profitable neighbourhoods.

PolarBite Foods (PBF) produces frozen vegetarian meals for supermarkets. PBF has suffered from temperature variations in its cold stores, unexpected machine stoppages and late deliveries. Its operations director proposes an integrated management information system using internet of things sensors in cold stores, production machinery and delivery vehicles. The data would be sent to a cloud computing platform operated from an external data centre. Managers would also use the system to monitor employee output on the production line. The finance director is concerned about costs, cybersecurity and dependence on the cloud provider. Trade union representatives are concerned about constant employee monitoring.

UrbanPulse Fitness (UPF) operates 18 fitness centres in one city. Membership growth has slowed and customer cancellations have increased. UPF currently uses a basic database to record membership payments and class bookings. The marketing director wants to introduce an artificial intelligence (AI) recommendation system using big data from the booking app, wearable devices, website visits and past cancellations. The system would predict which members are most likely to cancel and automatically send personalised offers. The operations director is concerned about data privacy, bias in the AI model and dependence on an external cloud provider.

The following table shows selected data for UPF before and during a six-month trial of the AI recommendation system in six fitness centres.

HarbourPack Ltd (HPL) manufactures packaging for food producers. HPL has experienced late orders, rising labour costs and inconsistent quality. The operations director proposes installing internet of things (IoT) sensors on machines and wearable tracking devices for production employees. The system would feed real-time data into a management information system and rank employees by output per hour, time away from workstations and error rates. The human resources manager argues that this approach is a form of Digital Taylorism and may reduce motivation and trust.

The following table shows selected data from a three-month pilot in one production unit.

HarvestLink Community Market (HCM)

Read the resources and answer the questions that follow.

Resource 1 — Background

HarvestLink Community Market (HCM) is a social enterprise operating in three low-income urban districts. HCM buys surplus fruit and vegetables from farms and supermarkets, then sells low-cost food boxes through weekly collection points. Unsold food is donated to shelters. HCM’s social objectives are to reduce food waste, improve access to healthy food and provide part-time employment for local residents.

HCM currently uses separate spreadsheets for customer orders, supplier collections, volunteer shifts and food donations. Errors in data entry have led to duplicated customer records, poor demand forecasts and some food spoilage. The operations manager wants a single database and data analytics dashboard to support decision-making.

Resource 2 — Selected performance information

A recent internal report shows that HCM’s number of registered customers has increased, but the percentage of food spoiled before sale or donation has also increased. The report also shows that order fulfilment accuracy has fallen and that the cash reserve is limited.

Resource 3 — Proposed customer loyalty programme

HCM is considering launching the “FreshPoints” loyalty programme. Customers would use a mobile app or card to collect points when buying food boxes. HCM would use the data to identify buying patterns, plan stock levels and send targeted offers. A local technology company has offered a discounted cloud-based database and data mining service for the first two years.

Resource 4 — Stakeholder views

A customer posted on social media: “FreshPoints could help families like mine get cheaper healthy food, but I worry HCM will know too much about what we buy.”

A volunteer supervisor said: “The biggest problem is not lack of goodwill. It is that managers do not have reliable information in time to match supply, demand and volunteer availability.”

ReCycleWorks Bikes (RWB)

Read the resources and answer the questions that follow.

Resource 1 — Background

ReCycleWorks Bikes (RWB) is a social enterprise that collects unwanted bicycles, refurbishes them and sells them at low prices to students, refugees and low-income workers. RWB also trains unemployed young people as bicycle mechanics. Its social objectives are to reduce landfill waste, provide affordable transport and improve employability.

RWB has expanded from one workshop to four. Its current management information system is weak: each workshop keeps its own records of donated bicycles, spare parts, repairs, trainee attendance and sales. Managers often discover too late that a workshop has run out of key parts or that a trainee needs extra support.

Resource 2 — Proposed digital operations system

RWB is considering fitting internet of things (IoT) tags to higher-value donated bicycles and using connected stock shelves for key spare parts. Workshop managers would access a cloud-based dashboard showing inventory, repair progress and sales. The supplier says the system could reduce lost bicycles and stock-outs, but RWB would become dependent on the supplier’s cloud platform and data centre.

Resource 3 — Cybersecurity incident

Last year, a staff member clicked on a phishing email. RWB lost access to its sales and donor records for two days. No customer payment data was stolen, but several donors complained that RWB had been careless with their personal information.

Resource 4 — Employee monitoring proposal

The operations director wants the new system to record the number of repairs completed by each trainee mechanic per day. A youth worker at RWB said: “Data can help us identify who needs coaching, but if trainees feel constantly judged by a dashboard, the workshop will stop feeling supportive.”

HarbourSkills (HS) provides safety training for technicians who maintain offshore wind turbines. Most training currently takes place in classrooms and on physical practice equipment. HS is considering developing a subscription-based online training platform for energy companies. The platform would use virtual reality headsets so trainees can practise dangerous maintenance tasks in a simulated turbine. It would also use an artificial neural network to analyse trainee performance and recommend extra practice. The platform would be hosted using cloud computing. HS's managing director believes this could create a new business model and allow international growth. However, instructors worry that simulated training may not fully replace supervised practice, and some clients have asked how the neural network reaches its recommendations.

StyleLoop is a medium-sized online fashion retailer. It uses a customer loyalty programme that gives members points and personalised discounts. StyleLoop stores purchase histories, browsing behaviour, returned-item reasons and customer service messages in a database. The chief executive officer wants to invest in a data-mining system hosted on a cloud platform. The system would identify hidden purchasing patterns, predict product returns and help buyers decide which clothing lines to stock. The finance director is concerned about implementation costs and the marketing manager is concerned that some customer groups may be disadvantaged by automated recommendations.

The following table shows selected information for StyleLoop's current system and the forecast after adopting the data-mining system.

CareVR Skills (CVS)

Read the resources and answer the questions that follow.

Resource 1 — Background

CareVR Skills (CVS) is a social enterprise that provides low-cost training for community health workers and unpaid family carers. CVS uses classroom workshops to teach safe lifting, dementia communication and emergency response skills. Its social objectives are to improve care quality, reduce injuries and make professional training accessible in rural areas.

CVS has received a grant to explore advanced computer technologies. The founder wants to create virtual reality simulations for high-risk care situations that are difficult to practise safely in real life. CVS is also considering using artificial intelligence to analyse learner performance data and recommend personalised training pathways.

Resource 2 — Current challenges

CVS has a long waiting list, high travel costs for rural learners and limited numbers of qualified instructors. Some learners report that classroom role-play does not feel realistic enough. However, many learners have limited digital skills and some community partners are concerned about the collection of sensitive learner data.

Resource 3 — Proposed technology package

A technology partner has offered CVS a three-year package including VR headsets, cloud storage, data analytics, and an artificial neural network that would identify patterns in learner errors during simulations. The system would use large datasets from past learners to predict which trainees may need additional support.

Resource 4 — Stakeholder views and online reach

A carer wrote in an online review: “I would rather make mistakes in a simulation than with my mother at home.”

A community health charity commented: “VR could reach people who cannot travel, but CVS must not let an algorithm decide who is competent without human judgement.”

CVS’s training videos have gained a rapidly growing social-media following, creating potential for online fundraising and recruitment of new learners.