1. © 2010 IBM Corporation Smarter@Business 1 day contest for TUKE students Finance and Planning Center Bratislava

2. © 2011 IBM Corporation Smarter@Business – University Real Life Simulation Exercise 2 Background  1 day Business Simulation Exercise – competition between 32 enrolled students with 8 teams divided into 2 groups. 1 winning group at the end  Business case simulation covers business areas : investment strategy, pricing strategy, market execution, sales negotiations  Focusing on following skills: strategic thinking, P/L and B/S preparation, negotiation, presentation and communication, stress and time management, team work  To be rolled out in April / May in TUKE as pilot  Benefit for students to learn how it is to negotiate price, build up strategy and follow up through Profit / Loss statement – all in 1 DAY  On top 2 best students will be given out 2 brand new Lenovo Notebooks as prize

3. © 2011 IBM Corporation Smarter@Business – University Real Life Simulation Exercise 3 Date  Kickoff: April / May 2011 @ TUKE  Location: TUKE university  promotion of this competition: possibility to place posters, direct promo to students  University staff : 3 teachers / assistants (not required but helpful)- as a evaluation committee  competition to be placed at the university premises: 1 large and 3x 8 seats and 8x4 seats rooms reservation Requirements from University:

4. © 2011 IBM Corporation Smarter@Business – University Real Life Simulation Exercise 4 Exercise Overview Purpose Create a business case exercise that integrates the investment strategy, market execution, and team dynamics in a simulated market environment. Focus This is a high level exercise with the focus on pricing, strategy, and execution to achieve a financial objective. A typical exercise like this could take days, there are lot of unknowns similar to life transactions Do not try to over analyze the data. Market 3 Customers (IBM managers) and 4 suppliers (student teams) Exercise basics: (there will be 2 groups of student teams - Group 1 and Group 2) The four companies represent the only suppliers of high end computers to the three largest credit card companies. The credit card companies use these computers to process transactions in their data centers. Each year there is a technology refresh in which the credit card companies must purchase new computers to stay competitive. In addition to new computers, the credit card companies must purchase new application software and a new annual maintenance contract. Although each supplier has a different business model/strategy, all of the hardware/software/maintenance is interchangeable (all products are standard) The objective of the teams is to grow revenue and gross profit margin points Vs. last years actuals (win in the market place). The objectives of the IBM manager teams (i.e. the Credit Card Co. Buyers) is to implement their purchase strategy (Lowest price with highest quality).

5. © 2011 IBM Corporation Smarter@Business – University Real Life Simulation Exercise 5 Preliminary agenda 9:00 – 10:00AM Business Simulation Overview 10:00 – 12:00 Teams prepare their Strategy 10:30 Teams can buy Market Intelligence (MI) report Supplier customer satisfaction reports & Buyer “Request for Price” volumes available 11:55 Deliverables: Print strategy (1 st sheet) and financials (2 nd sheet) AND save on flash drive. Deliver TWO pages in provided envelope 12:00 – 3:00PM Teams make Sales meetings (5 min each) 3:00 – 4:30Judging 3:00 – 3:15Break 3:15 – 4:30Guest Speaker 4:30 – 4:40 Group 1 & 2 winners announced 4:40 – 5:30 Group 1 & 2 winners prepare 12 minute presentation 5:30 – 5:50 Winner’s deliver 12 minute presentations to faculty and IBM judges 5:50 – 6:00 Judging and winner announced