Exam #1 Capsim Questions and Answers

Exam #1 Capsim Questions and Answers What does your company manufacture? Sensors How was your company created? It was created when the government split a monopoly into identical competitors. What is FastTrack? What does it include? It is an extensive year-end report of the sensor industry. It includes customer buying patterns, product positioning, public financial records and other info that will help you get ahead. What is a Customer Survey Score? It is a rating that can determine sales distribution. (Higher scores = better sales) What is Situation Analysis? It enables you to understand current market conditions and how the industry will evolve in the next few years. (Assists with operational planning) What are Proformas? How will they help you? They are projections for the upcoming year. They will help you envision the impacts of your pending decisions and sales forecasts. What are annual reports? How will they help you? They are results from the previous year. They will help you analyze last year's results. What is Foundation Spreadsheet? It's the nerve center of your company where you formulate and finalize management decisions for every department. What are the four departments? -R&D -Marketing -Production -Finance What is Research and Development? They design your product line. They invent and revise products that appeal to your customers changing needs. -Changes size and performance on the Perceptual Map. What is Marketing? They price and promote your products. Also responsible for sale forecasts. What is Production? They determine how many units will be manufactured during the year. They are also responsible for buying and selling production lines. What is Finance? Makes sure your company has financial resources (i.e. bonds, stock issues) Inter-Department Coordination: R&D + Marketing Work together to make sure products meet customer expectations. Inter-Department Coordination: R&D + Production Work together to ensure assembly lines are purchased for new products. (If production discontinues a product, it should notify R&D) Inter-Department Coordination: Marketing and Production Work together to make sure manufacturing quantities are in line with forecasts. Inter-Department Coordination: Marketing + Finance Work together to project revenues for each product and to set the Accounts Receivable policy. Accounts Receivable Policy The amount of time customers can take to pay for their purchases. Inter-Department Coordination: Finance and Production Production tells Finance if they need additional equipment. What is a Decision Audit? How does it help you? It is a complete trail of all team decisions. It helps you identify your decision making strengths and weaknesses. Successful managers will: -Analyze the market and its competing products. -Create and execute a strategy. -Coordinate company activities. What does the Industry Conditions Report do? It lists market segment sales percentages and projected growth rates unique to your simulation. What are the four basic buying criteria? -Price -Age -MTBF -Positioning Summarize the Low Tech buying criteria. -Price (41%) $15-35) -Age (29%) 3yrs -MTBF (21%) 14,000-20,000 -Ideal Position (9%) Center segment Summarize the High Tech buying criteria. -Ideal Position (33%) Leading edge -Age (29%) 0 yrs -Price (25%) $25-45 -Reliability (13%) 17,000-23,000 Define Mean Time Before Failure (MTBF). What does the high tech prefer? Low tech? A rating of reliability measured in hours. High tech prefers higher MTBF Low tech prefers lower MTBF Why do segments drift a little each month? Which segment demands greater improvement? -Your customers expect products that are smaller and faster. -High tech What are the drift rates for the Low Tech and High Tech? Pfmn. Size. LT +0.5 -0.5 HT +0.7 -0.7 Define ideal spots. The size and performance most desired by customers in the segment. What are the ideal spots for the Low Tech and High Tech? Pfmn. Size Low Tech -0.0 +0.0 (Segment Center) High Tech +1.4 -1.4