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with Excel file for Sales Forecast & Production Calculation
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FREE WINNING GUIDES AND TIPS
Simulation Exam (XM) is quite similar to Simulation game. The general strategies to win the exam simulation is to R&D new products, name after the old products and try to locate their market segments, this will make calculation of sales forecast and production more easily. This game has four product segments. Thrift is similar to low end, core is similar to traditional, nano is similar to size and elite is similar to performance. The marketing, automation and capacity is important to win the simulation. We compete with 03 computer control companies, each will focus on specific segment, therefore we often can not defeat each company in one segment but we can lead in all segments with much higher total sales and net profit. So, the winning strategies are adding new products and applying the reasonable strategies of marketing and production, support by finance and human resource, TQM strategies and win the game in all 4 rounds.
First step is to download industry condition report, then use the number from industry condition report to put in first line in excel file. The formula automatically calculates the strategies for all 4 years (4 rounds). We will use strategy 2 to win the simulation in 4 rounds.
With the excel file, we can keep track of all rounds update and R&D products, keep updating products as close as possible to ideal spots. Also, the excel file will support calculating prices, sales forecast for each product in each round, as well as calculating productions for each product each round, this is the key to win the game. This simulation for exam has 4 product segments: Thrift, Core, Nano and Elite. We add 4 new products as close to ideal spots of each segment as possible, and also update the old products, for each segment we will have two products supporting each other and can sell better than competitors. This is zero sum game, so when we can gain higher sales, we can compete better.
* Drift rates are the following, which is put in excel already
Segment/ Perf / Size
Thrift +0.5 -0.5
Core +0.8 - 0.8
Nano +0.8 -1.1
Elite +1.1 -0.8
* Also, we adjust product each round using adjustment to get closer to Ideal spot.
We need to check and make sure products match their segments
We also see the details of customer buying criteria for each segment from Industry Condition Report or Courier Report.
We have prices and MTBF for each product as follows:
- Thrift: Price 22, MTBF: 18.000 (17.000)
- Core: Price 30, MTBF: 20.000 (19.000)
- Nano: Price 38 and MTBF: 22.000 (21.000)
- Elite: Price 42 and MTBF: 24.000 (23.000)
We also keep track of prices for all the four rounds as follows:
FREE SUPPORT - HELP TO CREATE EXCEL FOR FREE(USE EXCEL FILE FOR R&D MANAGEMENT, SALES FORECAST, PRODUCTION CALCULATION TO WIN THE GAME)Email: winmbagames@gmail.com
(Free Support for Creating Excel File for Calculations of R&D, Sales Forecast, Production Personal Support for all rounds to Win the game)
For R&D, we add 4 new products in all the 4 segments, which are close to the ideal spot and can sell well from round 2. Try to control the launching date early next year, so we have enough time to sell new products. Round 1 and 2, we will get normal sales, from round 3 and 4 we will get much higher sales than all competitors.Note:- We can also select to add 3 new products in 3 segments and still win the game.- We can also select to add 2 new products in 2 segments and still win the game.
Note: Do NOT just use these number, use the number created from your game and excel file.Note: Again – Do not just use the above numbers, you need to download Industry Condition report from your Exam Game and add the first line into Excel file to create your own game numbers. This is very important because each game has different start number for Pfmn, Size for each segment.
For marketing decisions, we apply 1.500 for sales and promotion budget.Also, using the excel file for calculating the sales forecast and production for round 1.We can add 10% because we have good product and also good price, high promo and sales budget.
- Add new capacity for 4 new products: about 500 each- Increase automation: thrift to 6.0, core to 5.0 and nano, elite 4.0
Use 5.000 and 80 hours
Use max stock issue: 39.125Max long term loans: 14.722
Round 1 result is just good sales and net profit, we focus on R&D new products and add new capacity. From round 2, sales will increase fast when new products sell well and we can update old products.
We update 4 old products to as close to ideal spots as possible based on plan calculated in excel file.The 4 new products are close to ideal spots already when we R&D from round 1 and they are ready to sell in round 2.
Note: Do NOT just use these number, use the number created from your game and excel file.Note: Again – Do not just use the above numbers, you need to download Industry Condition report from your Exam Game and add the first line into Excel file to create your own game numbers. This is very important because each game has different start number for Pfmn, Size for each segment.
Use excel file to calculate the sales forecast for round 2 based on sales units from round 1 and market segment growth rates.
Use excel file to calculate production, add 10-12% from sales forecast to avoid stock out.Add more capacity for Agape (Thrift) and THR2: 200 for eachAdd more capacity for new products: THR2: 200, COR2: 200, NAN2: 400; ELI2: 400Increase automation: Thrift to 8.0; Core to 7.0 and Nano, Elite to 5.0Spend about 67.000 / total 78.000 investment limit.
Use 5.000 and 80 hours
Use all 1.000 for 10 initiatives
Use max long-term loans: 51.000Use max stock issue: 27.000 (or 15.000)Keep about 20.000 cash in handThis is the estimated results of round 2.
In round 2, we start getting higher sales about 270.000 and net profit increase to about 20.000
For round 3, we will lead the game, just keep updating products based on Pfmn and Size calculated in the excel file. For each segment, we have two products, which support each other and can sell well.
Note: Do NOT just use these number, use the number created from your game and excel file.Note: Again – Do not just use the above numbers, you need to download Industry Condition report from your Exam Game and add the first line into Excel file to create your own game numbers. This is very important because each game has different start number for Pfmn, Size for each segment.
Use excel file to calculate the sales forecast for round 3 based on sales units from round 2 and market segment growth rates. We can add 10% because we have better products and higher promo and sales budgets than competitors. Also, we have good sales and net profit now, we can spend higher promo and sales for round 3.
Reduce prices by 0.50 to keep more competitive prices.Apply 1.500 for promo and sales, check if customer awareness and accessibility reach 100% then we can reduce to 1.400.Note: Do NOT just use these number, use the number created from your game and excel file.
Use the excel file to calculate production, often add 12% from sales forecast to production to avoid stock out.Increase automation for Thrift to 8.0, Core to 7.0 and Nano, Elite to 5.0 or (9.0, 8.0 and 6.0)Add more capacity for THR2, COR2 about 200 each.
Use 5.000 and 80 hours of training
Apply 1.000 for all the 10 TQM initiatives
Keep about 20.000 cash in handPay some dividends, retire stocks if having too much cash in hand
Note that in round 1 and 2, we do not have very high sales and net profit, just keep that higher than competitors, and from round 3, we will have very high sales and net profit.Sales about: 270.000.000 and net profit about 40.000.000
This is the last round of the exam. We are leading the game, just keep updating products based on the excel file plan. We have good products in all the 4 segments, leading in most of the segments with sales and net profit.
Note: Do not just use the above numbers, use the number from your game and excel file.Note: Again – Do not just use the above numbers, you need to download Industry Condition report from your Exam Game and add the first line into Excel file to create your own game numbers. This is very important because each game has different start number for Pfmn, Size for each segment.
Each game industry condition report may be different from others.
Again, use the excel file to calculate sales forecast based on unit sold in round 3. Add 10% if needed because we have better products, better price and higher promo and sales spending.Reduce prices by 0.50 to keep more competitive than competitors.
Note that do not just use the above numbers, use your excel file to calculate the forecast of sales.
This is the last round of the game, do not need to add more capacity.Keep automation for thrift at 8.0, core 7.0 and nano, elite at 5.0 or 9.0, 8.0 and 6.0
Keep using 5.000 and 80 hours of training
Keep applying all 10 initiatives of 1.000 for each
Retire stocks: about 14.000Retire long-term loans: about 22.000Pay some dividend per share: 8.00Keep about 20.000 cash in hand
Round 4 is just also high results, sales about 310 - 335.000.000 and net profit about 50- 62.000.000 with Contribution margin about 46-48%, net profit about 18%. Note to keep high cash in hand to avoid emergency loan.
Add new productsR&D and update products each round based on calculation from excel file to as close as possible to ideal spots and launch new product in mid year.
Keep track of promo and sales budgets of competitors and spend higherUser formula:(Industry Demand * Industry Growth Rate) * (Own Product Survey Score/Total Product Survey Scores).Or just use: Sold unit * Growth Rate * 10% and adjust by comparison with competitors’ sales.
Multiple sales forecast by 1.12 and subtracted by inventoryIncrease automation of Thrift, Core, Nano and Elite to 8.0, 7.0 and 5.0 or 9.0, 8.0 and 6.0
For round 1 and 2, get max investment sources from issuing stocks and long-term debtsFor round 3, and 4, when having high sales and net profit, can retire some stocks, retire long term debts. Check leverage to maintain high BCS score.
FREE online personal support, for round 1
Email: mbasimexam@gmail.com
Blog: mbasimexam.blogspot.com
FREE SUPPORT - HELP TO CREATE EXCEL FOR FREE
(USE EXCEL FILE FOR R&D MANAGEMENT, SALES FORECAST, PRODUCTION CALCULATION TO WIN THE GAME)
Email: winmbagames@gmail.com
PERSONAL SUPPORT & GUIDES TO WIN THE GAME
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MBA SIMULATIONS GAMES - Free Online Guides & Free Personal Support for Round 1 and Round 2
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FREE ALL EXCEL FILES AND NEW WINNING GUIDES AND TIPS
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FREE WINNING GUIDES AND TIPS
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