Essay Sample on Hertz Rental: Innovating Anti-Theft Systems for Rental Cars

Introduction

My intrapreneurial idea for Hertz Rental is to install anti-theft deterrent systems that will provide electronic protection for the rental cars. An anti-theft system or method used to prevent or deter the unauthorized appropriation of items considered valuable. Since the invention of the first lock and key to the introduction of RFID tags, and biometric identification, anti-theft systems illustrate evolution to match the introduction of new designs in the society (Schuster 221). I believe that IT will gain central importance for novel automotive applications and services. Most innovation in the company's cars will base on software and electronics. Evidence suggests that anti-theft devices will reduce the costs linked with auto theft. In response to the issue of theft, I choose facial recognition and retina scanning for the rental car company.

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Competitive Environment

Some of the modern automobile anti-theft features in the industry include protection through the global positioning system. The embedded system entails a GPS receiver to determine location through three spatial coordinates and an associated time reference. The system also has a control logic unit, whether the location of the GPS receiver is within or without the permitted zone as configured in its database. While it is easy to install a GPS device one has to pay for a data plan or monthly subscription to support the features (Jones 135)

Another feature in use is the use of an automotive sensor network by a client having a smartphone. Some rental companies, such as Hertz Rental, propose the design of a secure client on a smartphone to monitor the automotive sensor network. From a smartphone, users will use internet resources in the automotive. In case of an emergency, the monitoring automotive sensor network will relay a message to the vehicle information gateway. Some of the challenges of the system to the user are ensuring it is anti-theft, safe, comfortable, and convenient. In case robbers maliciously use the software, wrong information will reach the gateway.

A retina scanning anti-theft device for vehicles consists of a retinal scanner electrically connected to the vehicle ignition system. The system will prevent a burglar from turning an engine within the car unless the system detects a proper retinal pattern. The invention will further have the capability of detecting if a driver is under the influence of drugs by the dilation, constriction, or expansion of the retinal blood vessels and thus prevent the operation of the vehicle under such control.

Rental companies such as hertz tend to generate substantial market valuations and fierce regulatory contests in the United States. The incumbent firms tend to push for regulation stifling or declaring a ban on the new entrants in the market. Rental firms tend to fight back through their popularity with consumers and different political maneuvers where there is no government intervention.

Revenue Model

The design and implementation of biometrics have positional accuracy to demonstrate the feasibility of near real-time. The anti-theft device for vehicle security are cost-effective, reliable, and will offer convenient operations. In terms of reliability, it is possible to improve and add additional features to the biometrics even after installation.

I have to provide the novel retina scanning system with a low cost of manufacture pertaining to both materials and labor, which accordingly is susceptible of low prices of sale to the consuming public. Having a low cost of raw material will endeavor to ensure a retina-scanning device is economically available to the buying public. The software requirements should be less demanding on processor and memory requirements.

At the onset, we intend to start at a fair price so that we can draw as many clients as possible. In the end, we want to charge a higher price once consumers realize the advantage of the anti-theft functionality

Facial recognition and retina scanning will make it far more robust for auto thieves to conduct their operations. Users will have confidence with a system that makes their cars secure and will have no problem with paying a premium price. The system will incorporate infrared cameras mounted on the dashboard to make it virtually impossible for another person other than the designated driver to drive the vehicle.

Financial Data

Hertz company has continued growing its revenue through focus and discipline. In the year 2019, the company recorded an increase in revenue per unit and also improved its operating margin by reliable pricing and fleet management. The revenue growth was achieved through service excellence, innovation, and market segmentation, and operational efficiency. The total revenues as of the first quarter of 2019 were $2.1 billion, which reflects a 2% growth compared to 2018 (Jones 146). The net loss attributable to hertz was $147 million, which is equivalent to $1.75 loss per diluted share (Jones 146). This is an improvement compared to the year 2018, when the loss was at$202 million or $2.43 per diluted share (Jones 147). The sales in the year 2019 amount to $508.1 million and the cost of sold goods was $216.3 million (Jones 147). The total operating expenses were $420 million (Jones 147).

Hertz company released an incident report indicating some of the major activities that happen to their cars. In summary, hertz notes that they repair all vehicles subject to the indication of the manufacturer. This, however, is only for those who buy their optional waiver; others are liable for damage or loss of the car, which may extend to the full value of the vehicle. The number of cars stolen each month can be as high as up to 3500 cars in the state of Florida alone, which is exceptionally high (Schuster 202). 300 vehicles were reported stolen in a week in Detroit (Schuster 202). However, the company rents a replacement upon request by the client. The recovery rate of the stolen cars stands at 59.1%, according to a report provided by the company (Schuster 203). This is a much better recovery rate compared to the recovery rate of other stolen goods in the united states that stands at 29.2%. (Schuster 203) the stolen cars lead to a loss in revenue of up to $147 million, which is a significant revenue loss. The cost of labor and equipment required to create the anti-theft devices averages to about $ 3,350 per car (Schuster 204). This is the right amount that will help protect a vehicle costing roughly $20000 from theft (Schuster 204).

Startup Requirements

Foremost, I will need a scanner device to capture a driver's retinal image. The image should be of high quality since it will not permit a user to verify until the system is able to capture an image of sufficient quality. With the scanner device in handy, I will also employ face recognition devices implemented in mobile devices that have a camera function. With the invention, a user will register their face image to their handset. To use the unit, a driver will take their photo, and sensor software will detect the user and unlock the unit automatically. I have to ensure that the software will work quickly and become tolerant of a wide range of facial orientations. Next, I will require specialized software that will help in compiling the unique features of the network of retinal blood vessels in a template. I will use database management software that will store various pattern variations of drivers. Retinal scans utilize the fact that each person retina is unique.

In use, a person that desires to operate the vehicle will position the scanning lens close to the eye. The scanning lens will read the retinal pattern of the person's eye after the user presses a red button of the keypad. The CPU will determine if the read retinal pattern has a match of any retinal patterns stored in the memory chips of valid drivers. If a match is successful, the driver has a few seconds to start the vehicle. If unsuccessful, cut off solenoid remains open to prevent the person from closing the circuit between the starter motor and the current solenoid within the starter motor.

Team

I have in previous engagements provided different biometric systems in other organizations. One is Radio Frequency Identification (RFID) that will enable wireless data transmission by using a unique identifier code embedded in the target (Kesrarat et al. 134). One benefit of the system is that it is readable only with specialized equipment, ensuring that the data recorded remains secure. The drawback of the system is that one can easily duplicate RFID systems.

I am capable of working with various teams in implementing the anti-theft device in Hertz Rental Car Company to deter car theft instances. The company may opt to install the present invention with its existing vehicles or may connect within newly manufactured cars. I have the skill of assembling the entire anti-theft system as described and will ensure it meets its intended objective.

One of the disadvantages of using the biometric identification system is that it will cause discomfort due to a lengthy requirement of multiple image capture. Additionally, quality image acquisition is difficult; one will require frequent attempts to ensure that a match takes place. Eye related medical conditions would render a person unable to use retina-scan technology, as it will obscure the blood vessels.

Decision

Based on the analysis, I reckon that the main disadvantage of the proposed system for Hertz Rental is a hardware failure. If the circuit fails for any reason, the solenoid and the starter motor will not close electronically. In that case, the vehicle will not start not until after replacement or repair. Some of the notable causes of hardware failure include thermal or voltage fluctuations.

To solve the aforementioned problems, I propose a new way to combine two biometric systems as an anti-theft device, so if one method fails, the driver can ignite the vehicle using an alternate plan. I propose to add a system that will enable the functionality of sending text commands to a user Smartphone to receive crucial status messages or temporarily disable various features.

I believe there is a scope of improving facial recognition and retina scanning system in terms of accuracy and efficiency that one can achieve the expected biometric solution to authenticate individuals.

The use of biometrics presents a risk factor to the current regulatory framework. I have to observe caution on the information I would like released and limitations that I have to place on the government as well as the corporate world to safeguard Hertz Rental and its employees from exploitation. Before obtaining client information, I will have to get their consent to avoid class-action lawsuits filed against a business for failure to obtain permission.

Conclusion

The study seeks to chart an anti-theft design for Hertz Rental Car Company. Recent efforts that relate to the car industry highlight significant inroads into crime made through design improvements. It is incumbent for the mobile phone manufacturers and network operators to further other aspects of anti-theft design. The present review concentrates on facial recognition and retina scanning for Hertz Rental that I hope will stimulate the consideration of security in the process of product design.

Works Cited

Schuster, Simone. "Making the rationale for a simplification process for the car rental industry: A strategic analysis for the Case of Hertz in the United States of America." (2017).

Jones, Travis L., and Marcus T. Allen. "A look at corporate control: the case of Hertz Global Holdings." Managerial Finance (2018).

Chaplinsky, Susan, Felicia C. Marston, and Michael Pozzi. "Investing in Sponsor-Backed IPOs: The Case of Hertz." Darden Business Publishing Cases (2017).

Kesrarat, Darun, et a...