Analysis of Business Simulation Games and Their Educational Effectiveness

The given assignment involves analyzing multiple research papers and articles related to business simulation games, focusing on their educational effectiveness. It includes a detailed description of the studies' methodologies, findings, and implications for business education. The task also requires identifying key success factors, evaluating the results of production simulation games using dynamic DEA approaches, and examining the relationship between business games and creativity.

Strategic Management for Competitive
Advantage B

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
COMPANY PERFORMANCE.......................................................................................................3
A. Round 1...................................................................................................................................3
B. Round 2...................................................................................................................................5
C. Round 3...................................................................................................................................6
D. Round 4...................................................................................................................................9
TREND ANALYSIS.....................................................................................................................12
Production..................................................................................................................................12
Total sales..................................................................................................................................13
Sales revenue, breakeven point and safety margin....................................................................14
Unsold stock..............................................................................................................................15
Net cash position vs post profit after tax...................................................................................16
Net cash position........................................................................................................................17
Current ratio...............................................................................................................................17
Gross profit margin....................................................................................................................18
Return on investment.................................................................................................................19
Warranty claim..........................................................................................................................20
Strike days with wages..............................................................................................................20
LEARNING...................................................................................................................................21
Strategy......................................................................................................................................21
Financial decisions.....................................................................................................................21
Marketing decisions...................................................................................................................22
Operating decisions...................................................................................................................23
Human resource decisions.........................................................................................................24
Team performance.....................................................................................................................24
Reflection...................................................................................................................................25
CONCLUSION..............................................................................................................................25
REFERENCES..............................................................................................................................26
APPENDIX....................................................................................................................................29

INTRODUCTION
Business industries have been planning to make appropriate analysis over the business
which in turn will be useful for governing the operations. Global cars have been planning to
launch the new cars models in a new market with a motive to retain the adequate gains and
profitability through improving operational perspective. In the present report there will be
discussion based on the business game simulation round have been played by the firm in all 4
rounds. Thus, there will be consideration over various units and departments which are being
operated by the business such as financial, operational, human resources etc. Thus, the analysis
of the business performance will be judged and determined to have effective observation on the
operational activities.
Aspects Objectives Status
Company sales revenue  Improve GP ratio (70-60%)
 Return on assets (10%)
 Post-tax profit (15%)
 Done
 Undone
 Approached
Market share  Improving the market share of these
cars in the upcoming period (6-15%).
 Undone
Production  Strike are needed to be less than 5
days
 Production of models are to be 110
million pounds.
 Done
 Approached
Sustainable growth  Internal development needed to be
done based on worker efficiency,
requirements and talent
 Proper training and developmnte
program will help in raising their
level of potential efforts into
operations.
 Done
 Approached
Customer satisfaction  Cars have been designed in the
manner that will fit into their
budgets and will be convenient to
 Done
1

them accordingly
 Global cars have designed various
models such as city, large,
medium and luxury.
 Prices charges on Sports 19 and
Breeza have to be cost efficient
and best in quality which will has
to be profitable.
 Decision should be based on
making appropriate dividend
policies which will help in
governing financial aspects as
well as meet the desired
profitability through investment.
 Undone
 Approached
 Done
Research and development  Required to be more attentive and
conscious towards reducing the CO2
emissions in every model.
 Need to reduce the costs of
production in manufacturing the cars.
 Approached
 Done
Human resource
management
 Worker’s wages.
 Reduction in expenses of business
 Improve consumer satisfaction.
 Better product designs.
 Done
 Undone
 Approached
 Done
Table 1: Objectives of Global Cars
Summary of the performance
Rounds Total
sales
Total
unsold
Shareholder
funds
Closing
bank
balance
Outstanding
loan
Round 1 2378.95 0 573.92 247.45 0
Round 2 3913.45 0 1,004.84 818.74 20.85
2

Round 3 2378.95 74500 936.82 -1419.1 121.54
Round 4 5390.86 49401 827.28 -819.73 0
Table 2: Summary performance of the organisation
COMPANY PERFORMANCE
A. Round 1
Decisions:
Observing the activities, costs and gains retained by Global cars in business game
simulation. In the first round there have been analysis over the car models of Sports 19 and
Breeza which are being manufactured and sold to create the identity among buyers (Rosa &
et.al., 2017). They have been targeting the audience which is around the age group of 25 to 40.
However, there have been various estimations and analysis over the data base which will be
helpful to determine the consumers requirement and growth of the business till the next round
(Morita & et.al., 2017).
Forecast and Results:
As per ascertaining the growth and operational activities of Global cars on which it can
be said that they have estimated the sales of business which have brought the appropriate gains
and revenue generation to the firm. However, they have forecasted that the business will have
growth in the sales volume and gains which will be retain them adequate success and bring
positive outcomes (Koltai & et.al., 2017). However, the outcomes are not reflecting the favorable
results which are negatively affecting the operations of the firm.
Both brands of Global cars are capable of bringing them the adequate GP margin which
will help them in retaining the higher success (Li & Wang, 2018). Along with this, it can be said
that there is requirement of increasing the marketability of models such as promoting the brands,
inviting consumers as well as reducing costs implied in the activity (Wellington, Hutchinson &
Faria, 2017).
Round 1
Forecast Results
Model Small petrol Large petrol Small petrol Large petrol
3

engine engine engine engine
Car name Sports 19 Breeza Sports 19 Breeza
Target Under 25 Between 25-40 Under 25 Between 25-40
Workforce 36.04% 63.96% 36.04% 63.96%
Automation
allocation
50% 50% 50% 50%
Effective workforce 652 1157 652 1157
Productivity 75.92 73.47 75.92 73.47
Production 50 30 50 30
Unsold stock 0 0 0 0
Selling price 8191.63 12363.77 8191.63 12363.77
Market price 11999 21000 11999 21000
Market share 0.95% 1.45% 0.95% 1.45%
salary 41.45 41.45
Strike days 3 4
Gross margin 22.30% 26.82% 22.30% 26.82%
Sale income 2378.95 2378.95
Net cash position 247.45 247.45
Fixed overheads 171.87 171.87
Promotion 40 40
R&D 143.85 143.85
Training cost 0.81 0.81
Automation
investment
15368.53 15368.53 15368.53 15368.53
Warranty cost per
car
180.43 301.13 180.43 301.13
depreciation 85.00 85.00
Operating profit 115.05 115.05
Post tax profit 73.92 73.92
Loan 300 300
4

Table 3: Results of Round 1
B. Round 2
Decisions
Global cars have newly launched a Diesel Engine care Brew which respect to attract the
more consumers as well as generating higher revenue. It has been aimed by industry to have
higher market share which will lead them in attaining the appropriate targets and retaining
profitable gains (Greasley, 2017). The rise in brand value as well as revenue generation of firm
with respect to manage the capital structure of the organisation. Managing the cost of sales,
productivity as well as automation allocation will help industries in managing the firm’s
operations as well as making drastic changes in the operational control (Wu & et.al., 2017).
Forecast and Results
To analysing the outcomes of the 2nd Round which have been played by professionals on
the basis of playing business simulation for revenue generation and capital management. Thus, in
Analysing the outcomes on which it can be said that there have been use of various activities
which will be useful in respect with meeting the profitability. In the following results it has been
determined that there has been appropriate revenue retained by selling these three models of
global cars such as Sport 19, Breeza and Brew (Hishiyama and Nakajima, 2015). However, there
have been appointment of proportionate rate of employees in several brand of the cars. The
allocation of the capital in each brand have been determined by the professionals as per the
requirement of costs in each model.
Round 2
Forecast Results
Model
Small
petrol
engine
Large
petrol
engine
Diesel
engine
Small
petrol
engine
Large
petrol
engine
Diesel
engine
Car name Sports 19 Breeza Brew Sports
19 Breeza Brew
Target Under 25 Between
25-40
Between
41-55
Under
25
Between
25-40
Between
41-55
5

Workforce 21.53% 38.20% 40.28% 21.53% 38.20% 40.28%
Automation allocation 25% 50% 25% 25% 50% 25%
Effective workforce 652 1157 1220 652 1157 1220
Productivity 75.92 73.47 40.57 75.92 73.47 40.57
Production 49500 85000 49500 49500 85000 49500
Unsold stock 0 0 0 0 0 0
Selling price 8441.24 12740.50 16253.32 8441.24 12740.5
0 16253.32
Market price 11999 21000 31000 11999 21000 31000
Market share 0.95% 1.45% 1.60% 0.95% 1.45% 1.60%
salary 60.58 60.58
Strike days 2 2
Gross margin 22.30% 34.57% 32.40% 22.30% 34.57% 32.40%
Sale income 3913.45 3913.45
Net cash position 818.74 818.74
Fixed overheads 244.73 244.73
Promotion 102 102
R&D 146.96 146.96
Training cost 1.36 1.36
Automation
investment 9265.92 13740.7 20954.5 9265.92 13740.7 20954.5
Warranty cost per car 161.82 420.89 617.19 161.82 420.89 617.19
depreciation 96.5 96.5
Operating profit 563.43 563.43
Post tax profit 430.91 430.91
Loan 100 100
Table 4: Results of Round 2
C. Round 3
Decisions:
6

It has decided by the professionals of Glovbal cars with respect to introduce a diesel
engine car Speed 25 in this year. Therefore, the motive is for retaining higher revenue, market
share as well as bringing capital stability in the organisation (Cannon, Cannon and Schwaiger,
2014). Thus, management of operations through implicating use of various techniques will be
helpful in managing the operations at the right stage. There have been changes in the policies,
cost allocation in various activities as well as uses of techniques in improving the business
activities through implicating strategies for the operations.
Forecast and Results
In analysing the outcomes of Global cars in this respecting 3rd Round on which there have
been various changes have been increased in the capital allocation as well as the level of cost
implied in each brand production. By adding Speed 25 as the new car brand in the business on
which there have been use of various techniques which were making adequate ascertainment of
the data base (Khan and Pearce, 2015).
It is basically due to remining stock in the business as there has been no sales of the
vehicle for this brand in this period. It has been analysed there that they are utilising higher funds
on fixed overheads as well as in the promotional activities of the brands. In terms of ascertaining
the automation investment of these brand in this respective period which have been analysed on
the basis of material costs (Glomnes, 2014). Designing costs and labour expenses in the
production of such models. Therefore, in respect with looking through the data base of this round
on which it can be said there were comparatively higher operating costs which have lead the
organisation to losses (Dickinson, 2014).
Round 3
Forecast Results
Model
Small
petrol
engine
Large
petrol
engine
Diesel
engine
Diesel
engine
Small
petrol
engine
Large
petrol
engine
Diesel
engine
Diesel
engine
Car name Sports
19 Breeza Brew Speed
25
Sports
19 Breeza Brew Speed
25
Target Under
25
Betwee
n 25-40
Betwee
n 41-55 over 55 Under
25
Betwee
n 25-40
Betwee
n 41-55 over 55
7

Workforce 14.09% 24.99% 26.36% 34.56% 14.09% 24.99% 26.36% 34.56%
Automation
allocation 25% 25% 25% 25% 25% 25%
25% 25%
Effective
workforce 652 1157 1220 1600 652 1157
1220
1600
Productivit
y 75.92 73.47 40.57 15.63 75.92 73.47 40.57 15.63
Production 49500 85000 49500 25000 49500 85000 49500 25000
Unsold
stock 0 0 49500 25000 0 0 49500 25000
Selling
price
8803.4
6 13287.2 16950.8 45931.
1
8803.4
6 13287.2 16950.8 45931.
1
Market
price 11999 21000 310000 56000 11999 21000 310000 56000
Market
share 0.95% 1.45% 0.00% 0.00% 0.95% 1.45% 0.00% 0.00%
salary 92.85 92.85
Strike days 2 2
Gross
margin 20.02% 32.04% 92.96% 78.8% 20.02% 32.04% 92.96% 78.8%
Sale
income 2378.95 2378.95
Net cash
position -1419.13 -1419.13
Fixed
overheads 311.01 311.01
Promotion 117 117
R&D 136.77 136.77
8

Training
cost 2.2 2.2
Automation
investment
9596.6
3 14272.2
21834.8
11874.
2
9596.6
3 14272.2
21834.8
11874.
2
Warranty
cost per car 146.38 376.05
514.02 321
146.38 376.05
514.02 321
depreciatio
n 175.01 175.01
Operating
profit -106.14 -106.14
Post tax
profit -68.02 -68.02
Loan 100 100
Table 5: Results of Round 3
D. Round 4
Decisions:
In this present round there have been introduction to the new model by Global cars as
Max. Therefore, in the present round the professionals of this industry have been planned to
make policies and strategies which will present effective terms to overcome with the deficits
incurred in the last round (Boyle and et.al., 2016). However, the main focus is payable on selling
of each vehicle, less number of unsold stock, improved market share as well as effective control
over the operating expenses.
Forecast and Results
In ascertaining the outcomes of Global cars in this respective year where they have added
one more brand in the operation named as Max. Thus, there are comparatively large number of
employees have been engaged in the production unit of the Speed 25 car. There has been
introduction to the new models and the firm will deal in 5 models such as Sports 19, Breeza,
Brew, Speed 25 and Max.
9

The workforce had been divided in such brands which were proportionately decided by
them as 11.19% for Sport 19, 19.85% for Breeza, 20.93% for Brew, 27.45% for Speed 25 and
20.59% for Max. Thus, there are comparatively large number of employees have been engaged
in the production unit of the Speed 25 car. In analysing the productivity of these brands in this
respective period on which it has been ascertained as 75.92 for Sport 19, 73.47 for Breeza, 40.57
for Brew, 15.63 for Speed 25 and 16.67 for Max. Along with this as per analysing the unsold
stock of the cars in the business where they have remaining inventories for 37738 for Brew, 5587
for Speed 25 and 6076 for Max. Thus, the market share of these cars has been determined as
1.05% for Sport 19, 1.57% for Breeza, 2.24% for Brew, 0.95% for Speed 25 and 2.36% for Max.
Salaries of these brands have been ascertained by the professionals were as 116.59 and
there were 3 days of strike had been made by the workers in this period (Thavikulwat and Chang,
2015). Moreover, as per considering the gross profit of the organisation in this year where it has
reflected 16.13% for Sport 19, 28.47% for Breeza, 29.61%for Brew, 3.88% for Speed 25 and -
1.18% for Max. Revenue of the period had been ascertained as 5390.86, net cash is reflecting the
negative outcome of -1419.13, fixed overheads as 377.6, promotional expenses as 117, R&D as
43.09 and the training costs were 2.2. On the other side, there had been various other expenses
which are to be considered by Global cars such as Depreciation of 167.51, Operating gains were
of 154.68, Post tax loss were -109.54 and Loan had been applied by the organisation which was
of 450 (Ranchhod and et.al., 2014).
Round 4
Forecast Results
Model
Small
petrol
engin
e
Large
petrol
engin
e
Diesel
engin
e
Diese
l
engin
e
Diesel
engine
Small
petrol
engin
e
Large
petrol
engin
e
Diesel
engin
e
Diese
l
engin
e
Diesel
engine
Car
name
Sport
s 19
Breez
a Brew Spee
d 25 MAX Sport
s 19
Breez
a Brew Spee
d 25 MAX
Target Unde
r 25
Betwe
en 25-
40
Betwe
en 41-
55
over
55
over
55
Unde
r 25
Betwe
en 25-
40
Betwe
en 41-
55
over
55
over
55
10

Workfor
ce
11.19
%
19.85
%
20.93
%
27.45
%
20.59
%
11.19
%
19.85
%
20.93
%
27.45
%
20.59
%
Automat
ion
allocatio
n
20% 20% 20% 15% 25% 20% 20% 20% 15% 25%
Effective
workforc
e
652 1157 1220 1600 1200 652 1157 1220 1600 1200
Producti
vity 75.92 73.47 40.57 15.63 16.67 75.92 73.47 40.57 15.63 16.67
Producti
on
4950
0 85000 49500 2500
0 20000 4950
0 85000 49500 2500
0 20000
Unsold
stock 0 0 37738 5587 6076 0 0 37738 5587 6076
Selling
price
9185
3.2
13863
.4
17685
.8
4792
2.9
47922.
9
9185
3.2
13863
.4
17685
.8
4792
2.9
47922.
9
Market
price
1199
9 21000 31000
0
1188
8 42000 1199
9 21000 31000
0
1188
8 42000
Market
share
1.05
%
1.57
%
2.24
% 0.95 2.36 1.05
%
1.57
%
2.24
% 0.95 2.36
salary 116.59 116.59
Strike
days 3 3
Gross
margin
16.13
%
28.47
%
29.61
%
3.88
%
-
1.18%
16.13
%
28.47
%
29.61
%
3.88
%
-
1.18%
Sale
income 5390.86 5390.86
Net cash
position -1419.13 -1419.13
Fixed 377.6 377.6
11

overhead
s
Promoti
on 117 117
R&D 43.09 43.09
Training
cost 2.2 2.2
Automat
ion
investme
nt
1006
3.3
15021
.3
21821
.9
1142
7.3 42494.
39
1006
3.3
15021
.3
21821
.9
1142
7.3 42494.
39
Warrant
y cost
per car
136.1
1
343.9
9
381.4
8
202.4
2
1261.9
3
136.1
1
343.9
9
381.4
8
202.4
2
1261.9
3
depreciat
ion 167.51 167.51
Operatin
g profit 154.68 154.68
Post tax
profit -109.54 -109.54
Loan 450 450
Table 6: Results of Round 4
TREND ANALYSIS
Production
12

Production
Sport
19 Breeza Brew
Speed
25 MAX
Year 1 49500 85000
Year 2 49500 85000 49500
Year 3 49500 85000 49500 25000
Year 4 49500 85000 49500 25000 20000
Interpretation: From the above graph, this can be interpreted that the total production of
different brands of global cars that is 49500 in year 1. Company has launched their new brand
that is Brew in the year 2. In the year 3, firm has launched Speed 25 and its production of this
brand that is 25000. Global Cars has launched Max and its production is 20000. Firm has fixed
their production in every year. If production is similar in every year, so that it increasing sales of
Global Sales.
Total sales
Total sales
13

Year 1 2378.95
Year 2 3913.45
Year 3 2378.95
Year 4 5390.86
Interpretation: From above pie chart, this can be interpreted that the total sales of Global
Cars that is 2378.95 in year 1. There is increasing in sales in year 2 that is 3913.45 as compared
to previous year. In the 3rd year, sales in decreased and equal to year 1 that is 2378.95. In next
year, total sales is increased that is 5390.86. In order to that, Global cars face fluctuation in total
sales of firm in every year. The sales of company are similar in year 1 and year 3. From year 1
to year 2, sales is increased that is 1535 of company.
Sales revenue, breakeven point and safety margin
Year 1 Year 2 Year 3 Year 4
Total sales 2378.95 3913.45 2378.95 5390.86
Contributio
n 611.11 1249.58 690.78 1171.03
Fixed cost 496.06 686.15 796.93 809.71
Cs ratio 0.26 0.32 0.29 0.22
BEP 156.98 399.00 200.58 254.37
14

Interpretation: On the basis of above listed graphical presentation on which there will be
break even point of the sales which are to be made by organisation. Thus, the sales revenue
where comparatively higher and the areas which is in between BEP and sales will be denoted as
Margin of safety.
Unsold stock
Total unsold
Year 1 0
Year 2 0
Year 3 74500
Year 4 49401
15

Net cash position vs post profit after tax
Net cash position Post-tax profit
Year 1 247.45 73.92
Year 2 818.74 430.91
Year 3 -1419.1 -68.02
Year 4 -819.73 -109.54
16

Interpretation: From above pie chart, this can be interpreted that Net cash position vs post
profits after tax. In the year 1, the post-tax profits are that 73.92 of company. This ratio is
increased that is 430.91 of the Global Cars as compared to previous year. In next year post tax
profits is decreased that is -68.02 as compared to that past year. This profit is decreased that is -
109.54 of Global Cars. Last two year, the post-tax profit of company is highly decreased.
According to graph, the total sales of global cars are fluctuated from year 1 to year 4. The Net
cash position is similar in year 1 and year 3.
Net cash position
Net cash position
Year 1 247.45
Year 2 818.74
Year 3 -1419.13
Year 4 -819.73
Current ratio
Current ratio
Year 1 1.27
17

Year 2 1.57
Year 3 0.75
Year 4 0.92
On the basis of above listed graphical presentation which has presented the changes
incurred in the current ratio of the organisation where in the 1st round they have CR of 1.27, in
2nd Round its was 1.57, in 3rd Rounds it has been reduced to 0.75 and in 4h round it is 0.92. Thus,
on the basis of which it can be said that the idol current ratio is must be 2:1. Thus, in this case
firm need to focus on improving its current assets which will help them in retaining higher gains.
Gross profit margin
Year 1 Year 2 Year 3 Year 4
Sport 19 22.3 22.78 20.02 16.13
Breeza 26.32 34.57 32.04 28.47
Brew 0 32.4 92.96 29.61
Speed 25 0 0 78.8 3.88
MAX 0 0 0 -1.18
18

Return on investment
Return on Investment
Year 1 12.88
Year 2 42.88
Year 3 -7.26
Year 4 -13.24
19

Warranty claim
Warranty claims
Year 1 34.53
Year 2 74.34
Year 3 39.21
Year 4 85.91
Strike days with wages
Strike days Wages
Year 1 4 41.45
Year 2 2 60.58
Year 3 2 92.85
Year 4 3 116.59
20

LEARNING
Strategy
In respect with analysing the business performance in entire 4 rounds of the simulation
game on which it can eb said that there will be need of developing strategic plans which will be
help in developing suitable gains to business (Wolfe, 2014). There is various segmentation which
are to be planned by the professionals such as workforce management, operational management
as well as bringing technical increment in the process of activities.
Financial decisions
In respect with analysing the financial outcomes of the business where they have retained
operating losses in the last 2 rounds such as 3 and 4. Thus, on which it can be said that
professionals need to analyse the costs requirement in each activity and make plans to reduce the
gains of business (Geithner and Menzel, 2016). Funds which have been utilised in advertisement
as well as fixed overheads are to be lower down and manageable to bring effective revenue to
Global cars (Barzilai and Blau, 2014).
There have been various issues which are required to be resolved by the team at Global
cars. Thus, increasing the efficiency through implicating new technologies for producing the cars
which is as per the consumer desires. There are 5 models that have been manufactured by the
business professionals it will enable the firm in generating adequate revenue as well as attracting
21

large number of consumers. Along with this, for financial decision making there will be
requirement in each department which is consist of various operating expenses. The funds
utilised in car manufacturing such as purchase of raw material, labour costs as well as relevant
overheads has to be controlled with implicating alternatives to the process.
There must be installation of computer-based machineries, robotic arms which will help
the business in having accurate outcomes as well as help in reducing the labour costs implicated
in the business. On the other side, as per managing the profitability of the organisation on which
there will be requirement of managing the costs such as salaries, research and development
expenses as well as other variable of fixed costs which are required to be controlled. Thus,
reduction in costs will be helpful in bringing the profitable gains to Global cars. There will be
raise in the market value as if team member considers to reduce the costs.
On the other side, with reference to manage the current ratio of the organisation on which
there will be requirement of having managed debts as well as effective amount of assets. It will
help Global cars in meeting the short-term solvency of the business which will improves its
financial health. As per considering the market value of the car in the capital market which is
required to be increased and attractive among the investors. Thus, there must be effective plans
for dividend policies made by the organisation.
Marketing decisions
In accordance with analysis it is analysed that the firm need to focus on improvement of
global car models which will assist in appropriate sales (Thavikulwat and Chang, 2014). To
create an identity in the market which will be effective in generating the large number of
consumers for these brands. It is required that the business must implicate promotional strategies
which must be adequate in terms of fetching the consumer attention. Innovations with the engine
as well as cars model will be more effective with reference to make validate advertising efforts.
To promote the brands such as Sports 19, Breeza, Max, Speed 25 and Brew on which there
will be requirement for having influences of effective promotional channel. There will be
requirement of attracting the large number of clients, consumers as well as investors which will
positively affect the financial health of the business. Firm will have effective amount of revenue
as well as profitable gains which in turn will be useful to manage the operational efficiency and
manages market positioning of firm.
22

In respect with such process there will be use of product design, processing, advertising as
well as communicating the features of models among the market on which implicating the
affective channel will be more helpful to Global cars to have large consumer response.
Along with this, business must use effective methods and modes of promoting the brands
in the market such as using social media, Facebook, WhatsApp, twitter and Instagram which will
be effective in terms of communicating the features and car models among the market. People
will analyse the costs, quality and features as per their desire to purchase the cars. Moreover,
they can show their interest and motivation will encourage them to buy the car. Due to such
impacts there will be raise in the sales revenue form such cars and the firm will have better
profitability.
Operating decisions
By considering the operational gains of the business on which it is necessary for the
business top have effective operational control and management of cost allocations (Cannon and
et.al., 2014). The higher costs implicated in various activities such as R&D, Advertisement,
Fixed overheads and training costs of the employees which are required to be controlled by the
professionals in Global cars. There is requirement of making cost strategies which will insists the
appropriate control over expense incurred in the operations. the spending made over research and
development, marketing, salaries required to be controlled. Thus, for the new models the firm
need to reduce the workforce.
It will be suggested to the professionals at Global cars that they must have effective
financial and operational planning which will help them in reducing the costs implicated in each
activity as well as gaining the adequate amount of revenue through it. There can be raise in te
revenue and profitability as the operational expenses such as advertisement, salaries, research
and development will be controlled and managed as per their requirement. Moreover, it will be
said that they must use budgeting techniques in estimating the costs for the upcoming period as
well as analysing the future demands for such models.
The variance between budgeted and standard costs must be helpful in planning and
decisions making regarding business operations. It must be pre-planned that, cost implicated in
research and development process which is necessary to have innovation the products or model’s
Global cars have been offering. Therefore, it must be according the requirement and the
maximum consideration must be emphasised on optimum utilisation of the implied resources.
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Human resource decisions
The human resource manager will focus on hiring new and technically skilled staff which
will help in managing, developing and improvement in innovations for models of global cars
(Kujawski and Januszewski, 2017). Effective training and development techniques are being
required in the business which will be helpful in making adequate operational gains to the
business.
As per improving the business efficiency there will be requirement of recruiting highly
qualified, talent, skilled and educated employees which will implement their potential efforts to
bring raise in the level of production. There will be higher gain and profitability in the business
which will insists the adequate changes I the productivity. Bringing innovation in the models will
be more attractive to the consumers in respect with having the higher amount of revenue. Along
with this, recruiting best team will be helpful in improving the productive gains of the business
which cane be adequate and effective with reference to meet the business targets.
There must be effective training and development program allotted to them which will guide
them in preforming their duties in the right manner. They must be encouraged for implicating
their innovative thinking regarding the operations of the firm. Manufacturing units will require
the high potential engineers who would designed and test the models of cars which will be
satisfactory among the consumers. Moreover, this planning will be helpful in creating unique
identity in the market as well as having improved market share.
Team performance
As per analysing the team performance and efforts made by them in the completion of this
report where all the team mates have made efforts. they have committed to their practices and
brought the adequate information for the research. There have been use simulation game
software which in turn will be useful for managing the operational practices. As per analysing
the organisational performance where, there have been changes in the policies, cost allocation in
various activities as well as uses of techniques in improving the business activities through
implicating strategies for the operations. However, the main focus is payable on selling of each
vehicle, less number of unsold stock, improved market share as well as effective control over the
operating expenses. The commitment level of teammates has made this report more reliable and
valid. Further to have more effective simulative outcomes there is requirement of making
adequate planning and better operational management.
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As per analysing the outcomes of the all the 4 rounds on which it can be said that the car
models which have been manufactured and produces by team have raise in the revenue. Thus, in
the 1st round only two models were presented and produced by the firm. After attaining the
adequate success in the revenue, the firm has become capable of adding new features as well as
increasing the product line. Thus, due to team efforts and dedication to perform the duties have
encourage the entire organisation to deliver the quality products and services among the
consumers. Commitment of team mates towards the duties and paganization objectives on which
they were having appropriate gains which in turn increases the business efficiency.
Reflection
I have responsible for analysing the transactional results and managing the accounts of the
firm. Thus, during each round there have been raise and fall in the revenue as well as expenses
incurred in the operations. I was concentred regarding such changes and make the proper
transactional entries in the books. On the basis of this simulative report I have learnt the process
of analysing the outcomes from the rounds. Thus, there have been reports based on various car
models of Global car. My overall experience with the entire operations of company.
However, there have been various estimations and analysis over the data base which will be
helpful to determine the consumers requirement and growth of the business till the next round.
Along with this, I can have said that there is requirement of increasing the marketability of
models such as promoting the brands, inviting consumers as well as reducing costs implied in the
activity. I believe that, Managing the cost of sales, productivity as well as automation allocation
will help industries in managing the firm’s operations as well as making drastic changes in the
operational control.
CONCLUSION
On the basis of above report it can be said that there has been ascertainment of various
financial information which were being analysed through determining the performance of Global
cars in respective years. Thus, there have been various models which were being developed and
launched by frim in the market such as Sport 19, Breeza, Brew, Speed 25 and Max. However,
analysing the financial performance of the business with respect to make higher revenue where
determination of outcomes has helped in increasing the operational gain through reducing costs.
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Online
Global cars. 2018. [Online]. Available through :<
http://executive.trainingsimulations.co.uk/Whatif/index.php?
Action=previousresults&ID=71801&>.
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