Download MgtSim-1 - University of Alaska system

University of Alaska-Anchorage * College of Business & Public Policy
M A RKETING
M G T.
* Marketing Management Simulation *
S I M U LA T I ON
Course Intro & Overview
M A RKETING
M G T.
Professor Ed Forrest
S I M U LA T I ON
• Telephone:
– (O)786-4161
– (c) 854-8784
• Email:
– [email protected]
• W3site: http://www.cbpp.uaa.alaska.edu/afef/
Vita/Resume´ * MBA Program
BA343
Principles of Marketing
BA460
Marketing Management
BA447
International Marketing
BA635
Current Marketing Issues Seminar
BA686
Management Simulation
By End of this Course you will have:
• Conducted a situational analysis of consumers, competitor &
market conditions
• Developed & implemented strategies & plans to enhance
organizational performance
• Selected—according to operant competitive strategy-appropriate performance assessment measures
• Formulated a business plan based on the results of a market
situation & SWOT analysis.
• Formulated, implemented & assessed
effectiveness of distinct competitive
strategies
• Determined & implemented specific
tactical decisions that demonstrate
functional alignment w/ selected
competitive strategies
Overarching Objectives:
M A RKETING
M G T.
S I M U LA T I ON
Test your business
acumen
“Sharpen” Strategic
Development & Mgt Skills
Demonstrate the criticality
of functional integration
to profitability/success….
Marketing
R&D
Finance
Production
HR
M A RKETING
M G T.
S I M U LA T I ON
your
“study” of
business …
piece-meal
and in
isolation!
M A RKETING
M G T.
S I M U LA T I ON
UltimatelyReal Learning Occurs
Not from parroting
information gleaned
from books &
lectures!
….But from the
consequences of your
own actions
M A RKETING
M G T.
Course Format
S I M U LA T I ON
M A RKETING
M G T.
LectureLearning
S I M U LA T I ON
Hear-Facts
Store Facts
Spit facts
‘
Superficial
short-term
knowledge
M A RKETING
M G T.
S I M U LA T I ON
Simulation proffers you opportunity
to experience every key aspect of
strategic thinking developed in past
100 years
Strategic
Thinkingthe ten big
ideas
M A RKETING
M G T.
S I M U LA T I ON
Strategic thinking:
the ten big ideas
1. Long-range planning-
considers the external factors that affect
success & integrates the various functional
strategies.
2. Strategic analysis
–
–
–
–
Market segmentation
The lifecycle.
SWOT analysis.
Industry structure.
M A RKETING
M G T.
S I M U LA T I ON
Strategic thinking:
the ten big ideas
3.Quality
– Total quality management (TQM) and business
process reengineering (BPR)
4. Portfolio theory– GE-(three-by-three matrix, using business
strength & market attractiveness as variables).
– The Boston Consulting Group (BCG)
introduced its two-by-two matrix-(invest in the
stars, divest the dogs, milk the cows, and
solve the question marks)
M A RKETING
M G T.
S I M U LA T I ON
Strategic thinking:
the ten big ideas
5. Scenario planning formulation of alternative possible futures
for firm & its environment as means of
exploring utility of different strategies.
6. Resource allocation
models – Porter: strategic choices are
set of basic generic strategies (low cost,
differentiation, market focus)
M A RKETING
M G T.
S I M U LA T I ON
Strategic thinking:
the ten big ideas
7. Corporate culture- corporate
behavior, and in particular the resistance of the
organization to change, is inevitably a function
of its culture
(Prof Thomas/ Penn St. able to predict final standings w/in 1 place 90%
of time –after observing initial group interaction)
8. Leadership craft- Leaders
responsible for assuring strategy links values of
firm with its vision & that firm can successfully
implement strategy thru effective HR mgt.
M A RKETING
M G T.
S I M U LA T I ON
Strategic thinking:
the ten big ideas
9. Metrics that matter
DuPont formula= concept of return on investment
Balanced score card- a system that attempts to balance
financial performance w/ consideration of customer's
perspective, learning & growth perspective, & internal
business process perspective
10. Strategic organization
design -The strategic business unit (SBU) -- broadly
defined as sets of related products & services marketed to similar
customers against common competitors
M A RKETING
M G T.
Looking back & ahead
S I M U LA T I ON
For years, corporate planners have based
strategic choices on some combo of 3
beliefs:
1. the validity of their intuition
2. the wisdom of their peers
3. the robustness of last's year's strategy
Recent Exception –
“The promising attempts to apply scientific
method to strategy formulation, ---notably
the profit impact of market strategy (PIMS)
research”
M A RKETING
M G T.
S I M U LA T I ON
Profit Impact of Market
Strategy (PIMS)
• 1st significant attempt to study
correlation betw: strategic
position & financial
performance
– Suggests: specific characteristics of an
industry less important than shared
strategic attributes, such as market
share, quality, and investment
intensity
“Generically, profits are
driven by the company’s
asset base
and by its efficiency working
those assets”
M A RKETING
M G T.
S I M U LA T I ON
You
Da’
Boss
… run a
$100M
business ….
Your Product Line:
SENSORS:
M A RKETING
M G T.
S I M U LA T I ON
Concepts & Processes
Equally Applicable
If Simulation
Service Based:
• Instead of Sensors Sold-Units of Production=
– Customers served
– Seats sold
– Rooms rented
– Patients seen
– Members joined
– Donations raised
Agriculture
Manufacturing
Services
80%
70%
% 60%
o
f 50%
40%
G 30%
N
P 20%
10%
0%
1850
1950
2050
YOU…
• Analyze the market,
consumer, your company
& competitive situation
• Discern & implement
your corp. growth &
competitive strategies
• Must make & integrate
decisions in & across all
functional areas (Marketing,
Research & Development, Production,
Human Resources and Finance).
YOUR JOB
• Take on key
management
positions w/in your
corporation
• Make the myriad
of intertwined
decisions
necessary to
create, produce &
successfully market
your products…
You will Compete against other members
of this class –running 5 other Corp’s ….
• Andrews
• Baldwin
• Chester
• Digby
• Erie
• Ferris
Plus…
your decisions &
business performance
will be compared
against 1000+ other
teams competing at
other universities…
around the world
Product Place
Target
Market
Price Promotion
THE CAPSTONE SIMULATION
Most widely used Business –
Simulation Program in the World
• Adopted by major Fortune
500 companies
..General Motors, General
Electric, Honeywell, Dell,
John Deere, Citibank,
Alcoa, BP, Allstate,
Samsung, Goldman
Sachs, Microsoft…
& How –to date-have we fared in
this World-Wide
Competition??
2001 Top Ten Teams,
World-Wide, for Round 8
•
•
•
Top Ten Teams, World-Wide, for Round 8
by success measurement
There are currently 940 active teams that have played Round 8.
For a team to make this list: Cumulative Profits above 0 Overall Market Share (in dollars) greater then 5.0% Asset Turnover
less then 8.0
Profit for Round 8
Round 8 - Mean - $ 25,324,003
Top Ten Active Teams Professor School/Course Simid Team Value
1 Dr. Minu Afza College of Business - Bloomsburg University
93 481 Business Policy & Strategy CAP1742 Digby $ 238,235,245
2 Mr. Bill Gardner Penn State University -Fayette Campus
Contemporary Business Seminar CAP1513 Andrews $ 193,853,427
3 Dawn DeTienne University of Colorado at Boulder
Senior Seminar CAP1656 Andrews $ 184,258,599
4 Prof. Howard Feldman University of Portland
Managerial Decisions and Policy-Undergrad B CAP1787 Erie $ 181,422,390
Dr. Ed Forrest University of Alaska
5
Marketing Management CAP1611 Baldwin $ 163,281,864
6 Dr. Eric Wiseman University of Colorado at Boulder
Business Senior Seminar CAP1818 Chester $ 157,930,382
7 Dr. Murrow Drury College
Strategy and Policy Formulation CAP1838 Erie $ 149,235,238
8 Dr. Pettus Millikin University
Business Policy CAP1748 Baldwin $ 147,967,873
9 Doug Mayer Hartwick College
Management VII-secA CAP1811 Digby $ 137,339,216
10 Dr. Bruce A. Schooling Point Loma Nazarene University
Strategic Management CAP1794 Digby $ 121,289
th
5
2003 Top Ten Teams,
World-Wide, for Round 8
•
For a team to make this list: Cumulative Profits above 0 Overall Market Share (in dollars) greater than 6% Asset Turnover less then 8.0
Your class was ranked: with 711 Capstone ® teams completing round 8 by Apr 12, 2003. teams per game of 6 Category: All
•
URL: http://www.capsim.com/prof/viewtopten.cfm?round=8&simid=C4806&version=K
Date/Time: 04/12/2003 10:07:35
eNote:
Text:
Cumulative Profit for Round 8 - Mean - $ 125,355,000
Top Ten Active Teams Professor School/Course Simid Team Value
1 natalie marsh Strayer University
Business Policy & Strategic Planning C4779 Baldwin $ 459,411,986
2 John Hall University of Florida
Global Strategic Management I2MBA 2002 C4923 Baldwin $ 386,472,583
3 natalie marsh Strayer University
Senior Seminar - Business Administration C4778 Erie $ 382,697,422
4 Peter Stanwick Auburn University
Strategic Management C5095 Chester $ 353,185,127
5 John Pearce Villanova University
Policy Administration C5033 Ferris $ 348,535,130
6 Gavin Fox Georgia Southern University
BUSINESS SIMULATION C5041 Digby $ 343,761,703
7 Shirley Schooley Birmingham-Southern College
Strategic Management Senior Project Course Sec B C5356 Digby $ 341,865,002
8 natalie marsh Strayer University
Senior Seminar - Business Administration C4778 Ferris $ 339,568,171
•
th
9
9 Edward Forrest University of Alaska
Marketing Management C4806 Chester $ 333,620,198
10 Donald Kreps Kutztown University
mba capstone C4797 Digby $ 327,188,363
2005 -
#1
2006-
5
th
and
th
8
2007
rd
3
Your Industry C28608 was ranked:
completing round 8
 by Apr 20, 2009.

st
1 ,
th
&
5
th
8
in ROE
ROE for Round 8 - Mean - 15.62%
Top Ten Active Teams
Professor
School/Course
Simid
Team
Value
1 Edward Forrest
Management Simulation
C28608
2 Steven Williamson
Adv Strategic Mngmt & Business Policy
C28387
Andrews
104.15%
3 Mike Pettus
Capstone Simulation
C30105
Andrews
70.64%
4 Dharam Pal
IIM
EGMP-11 IIMB
C28693
58.48%
5 Edward Forrest
Management Simulation
C28608
53.79%
6 k c oshaughnessy
business strategy
C29286
50.12%
7 Ray Grubbs
Strategic Management: Concepts & Applications
C28441
49.15%
8 Edward Forrest
Management Simulation
C30061
48.65%
9 Mike Pettus
Capstone Simulation
C30105
Digby
48.50%
10 Tracy Stewart
Capstone
C28364
Andrews
46.10%
189.60%
Marketing Management Simulation
Today- we will:
1.Step back & take
a look at the “Big
Picture”
2.Overview the
simulation
3. Incorporate &
begin analysis of
“your situation…”
The Big Picture
Situation/SWOT
Analysis
Strategic
Planning
•Company
•Consumers
•Competitors
•Conditions
• PEST
Growth &
Competitive
Strategies
Functional
Integration
Functional
Integration
Marketing
Performance
Assessment
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
Initial Weeks Mirror Process of
Planning & Evaluating Strategy
Research:
Situation & SWOT
Analysis
Performance
Assessment:
Success Measures
& Financial Ratios
Strategic Planning
Growth, Competitive,
positioning Strategies
Functional
Planning:
Marketing
Production
R&D, HR
Finance
Situation/SWOT
Analysis
Strategic
Planning
Functional
Integration
Performance
Assessment
Step#1
•Company
•Consumers
•Competitors
•Conditions
• PEST
Growth &
Competitive
Strategies
Functional
Integration
Marketing
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
•Political
•Economic
•Socio-cultural
•Technological
Conditions
•Market Potential
(size, growth rate)
•Customer
Behavior (needs &
Customers
wants/ segmentation,
price sensitivity)
•Industry
Structure
Analysis
(entry/exit barriers,
buyers, sellers,
substitutes)
Company
•Competitor
Response
Profiles
•Economic
Analysis (costs,
(capabilities,
current and future
actions)
•Company Fit
profitability)
Competitors
(strengths,
weaknesses,
resources,
culture, goals)
SWOT Analysis Identifies:
S
W
O
T
Things the company does well.
Internal
External
Things the company does not do well.
Conditions in the external environment
that favor strengths.
Conditions in the external environment
that do not relate to existing strengths or
favor©South-Western
areas ofCollege
current
Publishingweakness.
Situation/SWOT
Analysis
Strategic
Planning
Functional
Integration
Performance
Assessment
Step#2
•Company
•Consumers
•Competitors
•Conditions
• PEST
Growth &
Competitive
Strategies
Functional
Integration
Marketing
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
The Options:
• To Grow : Expand in current
and/or new markets with current
and/or new Products
• To Compete:
•
Proffer cheaper and/or better
products
•
Focus on all or selected
segments of the market
Growth Strategies
PRODUCT
Present
Present
Market
Penetration
New
Product
Development
MARKET
New
Market
Development
Diversification
Competitive
Strategies
Situation/SWOT
Analysis
Strategic
Planning
Step#3
•Company
•Consumers
•Competitors
•Conditions
• PEST
Functional
Integration
Growth &
Competitive
Strategies
Functional
Integration
Marketing
Performance
Assessment
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
Need to Align Your
Functional Strategies
CrossFunctional
Integration
&
Alignment
Execute & Achieve your
Growth & Competitive
Strategy-Only when—
E
All Decisions made
by & within all
functional areas
are in sync w/
one another…
FINANC
PRODUCTION
MARKETING
Functional Alignment: In Achieving Cost Efficiency
Functional Alignment: Implementing Differentiation Strategy
Situation/SWOT
Analysis
Strategic
Planning
Functional
Integration
Performance
Assessment
Step#4
•Company
•Consumers
•Competitors
•Conditions
• PEST
Growth &
Competitive
Strategies
Functional
Integration
Marketing
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
M A RKETING
M G T.
S I M U LA T I ON
Capstone's Performance
Measures
1) Cumulative Profits
2) Market Share
3) ROA
4) ROS
5) ROE
6) Asset Turnover
7) Stock Price
8) Market Capitalization
Moving on:
1.Step back & take
a look at the “Big
Picture”
2.Overview the
simulation
3. Incorporate &
begin analysis of
“your situation…”
SHAKE UP IN SENSOR INDUSTRY
Management Teams Fired
“After poor results, lackluster sales
and angry customer reports………..
New dynamic leadership teams
needed to take industry into the
future!”
M A N A G E M E N T
S I M U LA T I O N
M A N A G E M E N T
You are responsible for:
S I M U LA T I O N
•Company
•Consumers
•Competitors
•Conditions
• PEST
Growth &
Competitive
Strategies
Functional
Integration
Marketing
 Profits
 Mrkt Share
 ROA
R&D
 ROS
Production  ROE
 Asset T/O
 Stock
HR
 Mrkt Cap
Finance
M A N A G E M E N T
S IM U L A T I O N
Your duties include
ALL those of the CEO –
… define the
mission-vision
& strategic
direction of
your company
M A N A G E M E N T
S IM U L A T I O N
…and
serve as
manager
of every
functional
domain
Production
R&D
Marketing
Finance
HR
M A N A G E M E N T
As MARKETING MANAGER
S IM U L A T I O N
You’re will be responsible for:
Planning, implementing & controlling
your marketing strategy
Product
Place
Target
&
Position
Price
Promotion
Marketing Managers
become one-w/
Relationships betw
M A N A G E M E N T
S IM U L A T I O N
• Price & demand
• Price & margin
• Promotion budget &
awareness
• Sales budget &
accessibility
• A/R policy & demand
MARKETING MANAGER
SIMULATION SPREADSHEET

Set price of your products
in the marketplace



Set the sales forecast
for our products
Set Credit Policies AR/AP
Build customer awareness
through promotion

Establish a sales force and
distribution channels
•Marketing also
selects media
vehicles &
message weights
• AND
determines
composition of
sales/distribution
staff ..and
allocation of
their efforts by
segment & Brand
M A N A G E M E N T
As Production Mgr:
S IM U L A T I O N
Set automation levels
Buy or sell capacity
Schedule production
Work overtime or automate
PRODUCTION MANAGER
SIMULATION SPREADSHEET


Schedule production for each line
Buy or sell capacity of product lines


Purchase machinery to automate our facilities
Establish your workforce complement
M A N A G E M E N T
As R&D
Mgr
S IM U L A T I O N
A
SIZE
B
Performance
Responsible for:
Product Position
Age & Quality
New product
development
High
High
Eight
<
<
<
Low
Quality
Low
Age
One
Prdt Line
R&D MANAGER
SIMULATION SPREADSHEET

Establish product positioning to meet customer demand



Build quality & reliability (MTBF)
into products
Create new products
Ensure age of product meets customer demands
M A R KE T I N G
As Human Resource
Manager--Responsible for:
M A N A G E M E N T
• Recruitment,
Hiring, Training &
Firing of all labor
• 2 groups:
– Assemblers
– Technicians
Wages
Benefits
SIMULATION SPREADSHEET
As FINANCIAL MANAGER
M A N A G E M E N T
Acquire Capital
S IM U L A T I O N
–Issue Stock
–Short Term Debt
–Issue Long Term Bonds
Set Dividend
Retire Long Term Bonds
Retire Stock
• Responsible for Emergency
Loans
Big AL
The Loan Shark
FINANCIAL MANAGER
SIMULATION SPREADSHEET
Finally:
1. Step back & take a
look at the “Big
Picture”
2. Overview the
simulation
3. Incorporate &
begin analysis of
“your situation…”
st
1 Reorganize
Company:
& allocate
responsibilities:





Marketing
Production
R&D
Finance
HR
2
Co-CEO’s
M A RKETING
M G T.
Begin Situation-Analysis
S I M U LA T I ON
Company
Consumer
Situation Analysis
Competitors
Conditions
The Situation-
Specifically…determine
Company
Consumer
Competitors
Conditions




Strengths & weaknesses w/in & across all
functional areas; Profile of current product
portfolio…
How market is segmented; Level of &
relevant factors that influence consumer
demand & purchasing decisions
Your competitors relative market
positions..
Macro-E considerations especially
technological trends …
1st part Situation Analysis is
Environmental Scanning
Environmental Scanning=
The process of identifying the nature &
magnitude of Uncontrollable forces in the
external (macro) environment exerting
significant influence on your strategies…
EXTERNAL-UNCONTROLLABLE FORCES:
Impacting Strategies
Competitors
Consumers
Political
Technological
Technological
Regulatory
Economic
Social
Demographic
Psychographic
trends
At Outset
your sim-environment a bit more benign than real world




Your company & all competitors
generating ~$100 million in sales.
There no outside competitors or
product substitutes.
A favorable economic environment
features moderate growth, low
inflation, historically averaged
interest rates
No economic downturns or other
surprises expected.
Sim designed this
way for one reason
….want all strategic
options available to
you.
 That way- whatever
happens as market
evolves will be driven
by the tactical
execution of
strategies, not by
external factors.
The
MarketPlace•Opportunities &
Threats:
•Ascertain how the
market is organized,
operates, influenced
& evolving
The Marketplace
Initially one segment,
now breaking into five
Very different
customer demands
developing between
the segments
Diversification in the
use and utility of the
sensors
P E R C E P T U A L
M A P
Size
19
18
2
17
4
16
15
1
14
13
3
5
12
11
10
9
PERCEPTUAL
Drift Demonstration
MAP
8
7
6
5
4
3
2
1
0
1
2
3
4
5
6
7
8
9
10
11
12
13 14
15
16
Performance
Plot the drift of
each segment
MAP
circle as
simulation
proceeds thru 8
rounds
 ("Fine Cut"
circles have a
radius of 2.5
units,
 "Rough Cut"
circles have a
radius of 4 units)

PERCEPTUAL
Can track changing
customer demand…
Low
Tech
Performance
Traditional
Size
High
Tech
Over next 8 years -customers will
demand faster –
smaller-cheaper
sensors
Accordingly-Market
Segments will
diverge
Your Consumers
Specifically…determine
Company
Consumer
Competitors
Conditions




Strengths & weaknesses w/in & across all
functional areas; Profile of current product
portfolio…
How market is segmented; Level of &
relevant factors that influence consumer
demand & purchasing decisions
Your competitors relative market
positions..
Macro-E considerations especially
technological trends …
Consumer Buying Criteria
Determinant Attributes
•Low End customers seek old, simple & cheap tech.
•Performance customers seek advanced
tech., w/ high reliability & performance
•Traditional customers seek proven
products using current technology
•Size customers seek
advanced sensors that
focus on small size
•High End customers seek
cutting-edge sensors in
both size & performance
KEY
POINT
Strive to meet
customers
preferences …
Don’t spend
limited
resources
(time & $)
meeting
lesser
concerns
SENSOR INDUSTRY ANALYST PROJECT
ONGOING GROWTH
Sees the next 8 years as consistent growth. All market
segments increase at a nice “clip,” according to market
analyst.
“I see the entire
market growing at
around 14% or 15%
per year. The High
Tech market alone
will be growing at a
whopping 16%.”
70000
60000
50000
40000
30000
20000
10000
I hope those
companies out there
are ready for that kind
of expansion!”
0
Year Year Year Year Year Year Year Year
1
2
3
4
5
6
7
8
Key Demand
Consideration:


Overall market
growing @ ~
14%/yr
“Average” company
should/could double sales in 6 years
Key Capacity
Consideration:
DEMAND ANALYSIS
This analysis examines growth of customer
demand as simulation proceeds thru 8
rounds.
For this exercise you need the Market
Segment Analysis pages (pages 5 - 9) of
The Capstone Courier- Round 0
W/in Segment Statistics-Use the
Industry Unit Demand - top left corner
Traditional Statistics
Total Industry Unit Demand 7,387
Actual Industry Unit Sales 7,387
Segment % of Total Industry 32.4%
Growth Rate 9.2%
Page 5
capstone
Courier
7387 X 1.092=8067
7387
Demand Analysis
Page 30 TMG
EXTERNAL
Consumer, Competitive &
Macro- Environment
UNCONTROLLABLE
Competitive
Demographic
Psychographic
trends
CONTROLLABLE
Corp./Business
STRATEGY
Finance
Forces
Technological
Legal
Environment
Economic
Social
Political
INTERNAL
Marketing/R&D
Production/HR
Regulatory
Specifically…determine
Company
Consumer
Competitors
Conditions




Strengths & weaknesses w/in & across all
functional areas; Profile of current product
portfolio…
How market is segmented; relevant factors
that influence consumer demand &
purchasing decisions
Your competitors relative market
positions..
Macro-E considerations especially
technological trends …
2 Big Q’s
1. Is what you are
making any
good?
2. & is how you are
making it—as
good as it
could/should
be?
Company Portfolio Analysis
Analyze company’s
products w/
respect to:


How good your
product is….
& How good is the
market you sell it in
Boston Consulting Group’s
Growth-Share Matrix
High
Product-Market
Growth (%)
STARS
Low
PROBLEM
CHILD
CASH COWS
10x
4x
High
DOGS
2x 1.5x 1x
Relative
Market Share
.5x
Low
.2x .1x
Customer Satisfaction
Evaluation Scheme:
Attribute
Poor
Price
Top1/3
Reliability Bttm1/3
Age
+1yr
Position
+1.5 units
Awarenes <50%
s
Access
<50%
Overall
How Rate
Fair
Mid1/3
Mid1/3
.6-1yr
.6-1.5
50-80%
Good
Bttm1/3
Top1/3
~.5yrs
w/in .5
80%+
50-80%
80%+
On Top 2
Attributes
INTERNAL
W
S
From results… can
determine Strengths &
Weaknesses of current
marketing mix:
Product - Positioning; age &
quality (reliability)--
O
T
EXTERNAL
Current levels of support w/
respect to:
• Promotion
• Distribution (accessibility)
• Pricing - policy/competitiveness
INTERNAL
2nd Big
Q
W
S
O
T
EXTERNAL
What are the S & W’s
w/ respect to your
company’s production
lines capacities &
efficiencies
•
& Finally – need to Answer
5 key Financial Questions
1) How liquid is your firm?
2) How profitable is your Firm?
3) How effectively are you utilizing your
assets ?
4) How are you financing your assets?
5) Are you providing your owners an
adequate return on their investment ?
Ascertaining Your
Company's Strengths &
Weaknesses:
Financials
 Production & HR
 Marketing & R&D

M A RKETING
M G T.
S I M U LA T I ON
Questions?
M A RKETING
M G T.
S I M U LA T I ON
Can I be
excused my
brain is
full..