Drew Giese Kaleigh Van De Loop Josh Heinrich
Simulation Recap Chester finished in third place in the simulation behind Ferris and Andrews Cake was our strongest product Had problems with stocking out Took one emergency bailout Introduced two new products Our best round was round 8 Had three very good products by round 8 Chester finished the simulation with the highest stock price R&D one product from high-tech to low-tech
Round 1 Introduced Candy, high-tech product Had the highest ROS (5.8%) Had the highest ROE (17.6%) Had the most profits, cumulative profits, and EBIT
Round 2 Candy came into play Issued dividends at a higher rate Candy had a good customer survey but was not a very good seller in high-tech Second highest cumulative profit (6,337,698)
Round 3 Highest ROS (12.1%) Highest ROA (27.1%) Highest ROE (36.4%) Highest Profits (over 8.8 million) Cake was the top low-tech product Candy was the highest customer surveyed product
Round 4 Introduced Cookie (high-tech) Made first adjustments to staffing Highest cumulative profits (over 24 million) Highest Contribution margin (36.9) Increased capacity for all products
Round 5 Cookie came into play Increase capacity for all products Spent money on TQM for the first time First and only emergency loan (14 million) Cake is top product in low-tech Cookie was highest customer surveyed product in high-tech
Round 6 Cake is top product in low-tech Increased capacity for all products Applied more money to TQM Decision to change Candy to a low-tech product Highest contribution margin (41%) Highest closing stock price ($46.72)
Round 7 R&D Candy to become low-tech product Increased the automation of Candy Increased capacity for all products Cake again top product in low-tech Candy had highest customer survey (33) Cake was second (29) Cookie has the second highest customer survey in high-tech (37)
Round 8 Chester’s best round Highest sales ($195,871,813) Highest profit ($30,323,078) Highest Closing stock ($74.04) First round to not stock out Candy top product followed by Cake in low-tech Cake highest customer survey followed by Candy Cookie third best product in high-tech Applied more money into TQM Sold a lot of shares of stock Paid dividends for the first time since round 3
Performance Analysis Our mission was to be conservative and compete for the win Followed our mission took some chances Targeted high-tech but switched to low-tech Round 5 bailout and Round 6 recovery Set up for the future, would be fighting for number 1 spot Spend money in TQM, introduce new product, increase plant utilization
What have we learned? Take chances Watch all areas Create leverage Target low-tech Maximize plant utilization
What would we do different Take more risks Make more leverage
Team Performance Our team as a group worked well together A strength is that we didn’t fight over decisions One weakness we had was we were all to conservative
Team Atmosphere Everyone was always on time and at every meeting Decisions were a team choice Made the simulation fun so it was less stressful