Capsim Capstone Guide - Winning Guides and Tips 12

MBA Simulation Games - Winning Guides and Tips 

Winning Guides and Tips

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.

Upgrade original Traditional sensor from 6.0 to 7.0 automation

Upgrade new Traditional sensor from 5.0 right to 7.0 automation

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

Add extra capacity for new Low-End sensor

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

Upgrade original Traditional sensor from 7.0 to 8.0 automation

Upgrade new Traditional sensor from 7.0 to 8.0 automation

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

Upgrade original High-End sensor from 3.0 to 4.0 automation

Upgrade new High-End sensor from 3.0 to 4.0 automation

Add extra capacity for all needed sensors

Round 5 - Production

Upgrade original High-End sensor from 4.0 to 5.0 automation

Upgrade new High-End sensor from 4.0 to 5.0 automation

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

Add extra capacity for new High-End sensor

Add extra capacity for all needed sensors

Round 6 and 7 - Production

Add extra capacity for all needed sensors

Round 8 - Production

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

TIP 4. HUMAN RESOURCES DECISIONS

It is important to invest in HR because productivity is measured in the Balanced Score Card and also this investment will reduce labor costs.

Usually HR has a few options available are Recruiting Spending, Training Hours

Aim for the maximum of $5.000 recruitment spending and 80 hours training every round.

If you have limited funds, try $2.000 and 40 hours training.

If the Labor negotiations are available, we can use half way, win - win strategy, between demanded and current contract.

NOTE:

when input number here, double check to make sure correct numbers and avoid labor strikes.

We often use half way for negotiations, average of current contract and labor demands.

TIP 5. TQM

In TQM focus on setting $1.500 to $2.000 per round for each item, select the most useful initiatives first. Continue this for three round and then stop spending money into that initiatives, because it will no longer make any significant changes. We can see this from graphs at the end of screen.

NOTE

$5.000 is the maximum budget for each initiative for the whole game.

Optimal way to add money is $2.000 - $2.000 and $1.000 or $1.500 - $1.500 and $1.000 depends on maximum allowed for each round.

Priority order for TQM initiative benefits:

Reduce material costs

Reduce labor costs

Reduce R&D costs

Increase demands

Reduce SG&A expense

There are generally the best initiatives to put money in first:

CCE/6 Sigma Training

GEMI TQEM Sustainability

CPI Systems

Vendor /JIT

QIT

QFDE

We can apply try with different initiatives to see which one will bring more effects or most effective. Then in later rounds, we spend money in less effective initiatives when we have more extra money.

We can see the suggestions in the following tables.

TIP 6. FINANCE

Finance should always be the last decision we make after all the other section decisions have been made.

How we make decisions in Finance depends on How the game will be graded.

Most groups are graded on the Balanced Scorecard.

Some groups are graded on Profit or Stock Price.

FOR ALL GRADING METRICS.

We can keep at least $16.000 (000) cash for a round to avoid emergency loans.

We can keep more cash, it is always better than lack of cash.

We need to keep right amount of cash to get MAX Days of Working Capital (not too much, not too little).

When we have much Cash and Net Profit, we need to pay off dividends and retire stocks to increase Leverage and also get max points for Days of Working Capital.

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