Production - Capsim strategy I used to get 80% PDF

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Capsim strategy I used to get 80%...

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Production We will increase automation every round. Traditional to 8.0 (4.0 – 5.0 – 6. 0 – 7.0 – 8.0) Low End to 10.0 (5.0 – 6.7 – 8.4 – 10) High End to 5.0 Performance to 6.0 Size to 6.0

Round 1 – Production 1.

Upgrade original Low-End sensor from 5.0 to 6.7 automation

2.

Upgrade original Traditional sensor from 4.0 to 5.0 automation

3.

Create 500 capacity with automation 5.0 for the new Low-End sensor

4.

Add extra capacity for original Low-End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

Round 2 – Production 1.

Upgrade original Low-End sensor from 6.7 to 8.4 automation

2.

Upgrade original Traditional sensor from 5.0 to 6.0 automation

3.

Create 500 capacity with automation 5.0 for the new Traditional sensor

4.

Upgrade new Low-End sensor from 5.0 to right 8.4 automation.

5.

Add extra capacity for original Low-End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

Round 3 – Production 1.

Upgrade original Low-End sensor from 8.4 to 10.0 automation

2.

Upgrade new Low-End sensor from 8.4 to 10.0 automation.

3.

Upgrade original Traditional sensor from 6.0 to 7.0 automation

4.

Upgrade new Traditional sensor from 5.0 right to 7.0 automation

5.

Create 400 capacity with automation 3.0 for the new High-End sensor

6.

Add extra capacity for new Low-End sensor

7.

Add extra capacity for original Low-End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

Round 4 – Production 1.

Upgrade original Traditional sensor from 7.0 to 8.0 automation

2.

Upgrade new Traditional sensor from 7.0 to 8.0 automation

3.

(Optional) Reduce Capacity for segments that are being exited, such as Performance and Size

4.

Upgrade original High-End sensor from 3.0 to 4.0 automation

5.

Upgrade new High-End sensor from 3.0 to 4.0 automation

6.

Add extra capacity for all needed sensors

NOTE: check the bottom right corner to see if we use close to total available budget. Round 5 – Production 1.

Upgrade original High-End sensor from 4.0 to 5.0 automation

2.

Upgrade new High-End sensor from 4.0 to 5.0 automation

3.

(Optional) Reduce Capacity for segments that are being exited, such as Performance and Size

4.

Add extra capacity for new High-End sensor

5.

Add extra capacity for all needed sensors

NOTE: check the bottom right corner to see if we use close to total available budget.

Round 6 and 7 – Production 1.

Add extra capacity for all needed sensors

Round 8 – Production 1.

Last round of the game, do not add any capacity or automation!!

SETTING PRODUCTION Production amounts should always be 112% of Sales Forecast. This allow some extra inventory to take advantage of competitors suffer from stock out. This often happens. When we calculate production, we need to take in to account inventory from previous round.

HR Max it

Marketing Round 1 – Marketing 1.

Leave A/R lag (Account Receivable) at 30 days, this will be increased later rounds to get higher demands when we have more profits and more cash available.

2.

Leave A/P lag (Account Payable) at 30 days. This is always stay at 30 days for all 8 rounds

3.

Set Promotion and Sales budgets both for $2.000 for Traditional and Low-End sensors

4.

Set Promotion and Sales budgets all for $1.500 for High End, Performance and Size

5.

Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Round 2 – Marketing 1.

Expect the new Low End sensor to sell about 0.2 x original Low End sensor market share

2.

Leave A/P lag (Account Payable) at 30 days. This is always stay at 30 days for all 8 rounds

3.

Set Promotion and Sales budgets both for $2.000 for Traditional and Low End sensors

4.

Set Promotion and Sales budgets all for $1.500 for High End, Performance and Size

5.

Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Round 3 – Marketing 1.

If we decide to exit a segment, such as Size or Performance, keep the Promotion and Sales budgets at $0.

2.

What ever segments we decide to stay, increase Promotion and Sales to $2.000

3.

Expect new Traditional sensor to sell about 0.3 x original Traditional sensor market share.

4.

Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Round 4 – Marketing 1. 2. 3. 4.

Increase A/R Lag (Account Receivable) to 46 days, this helps to increase demands Once 100% awareness is reached for a sensor, in any round, we can scale back to $1.400 but need to check if can that budget maintain 100% awareness. Expect new High End sensor to sell about 0.75 x original High End sensor market share. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Round 5 – Marketing 1.

Increase A/R Lag (Account Receivable) to 61 days, this helps to increase demands

2.

Note to add new market shares for new developed products, check in page 10 Capstone Courier.

3.

Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Round 6 to 8 – Marketing 1.

Note to add new market shares for new developed products, check in page 10 Capstone Courier.

2.

Once 100% accessibility is reached for a segment (in any round) we can scale back the Sales budget t $1.650 for each segment to maintain 100% accessibility. Note to adjust and then check the graphs at the end of the market table.

3.

Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year

Tips

Apply $2.000 for promotion and sales budgets for Traditional and Low End, because above this level, diminishing returns are experienced. Apply $1.500 for High End, Performance and Size segments. Keep this spending from Round 1 to Round 3, until we can decide which segments we will continue. Then, we increase all segments to $2.000 to compete. For segments, we do not want to continue, for example Performance or Size, we reduce budgets for that segment to only $0.

For Promotion, we continue $ 2.000 until we reach 100% awareness. Then we can cut it back to $ 1.400 per round. For Sales, we continue $ 2.000 until we reach 100% accessibility. Then we can scale back to $ 1.650 for each sensors. TIPS: We can increase much higher, or even max, to see how much awareness and accessibility we can get, just click CALCULATION button to see how much we get for that year. Then we can increase or decrease spending to get 100%. NOTE: Budget for sales, accessibility for multiple sensors in a segment, they are combine together....