All, here is our google group email, please always copy this.
From: Lehmuth, Christopher
Sent: Monday, June 17, 2013 11:30 PM
To: Pande, Subhash; Thelma Nsofor
Cc: Hyuliya Aferol; cgle...@hotmail.com; cgle...@gmail.com; Luebbert, Andrea; andrea....@gmail.com
Subject: RE: Global Tycoon Pre-Sim: how to re-run it on my computer?
Importance: High
Hey guys, just in case you couldn’t open it yet or haven’t read it yet, here is our consultant report on our company. I highlighted a few things we could probably talk about and that are probably key to our strategy.
Note: JA = Japan
Consultant Report for Company 3 at the end of Q12
Congratulations, you now own the company formerly known as Internat'l Amalg.! Use this report to better understand your company and
its industry position. All information is correct and verified. Good luck!
BALANCE SHEET
Your principal assets are your JA cash, external accounts/receivable, LED TV work-in-process inventory, US production capacity, and
JA production capacity. Your principal liabilities are your JA taxes payable and US short-term debt.
INCOME STATEMENT
US margins are good (46.7% of sales revenue) and JA margins are good (54.4% of sales revenue). Focus on driving down your cost of
goods. Notice that you are losing money in US. Which line items on the income statement jump out at you, and what can you do about
them? You are also paying corporate income taxes in JA. How can you better balance you earnings across regions?
Notes: Should we look to contract with another company to drive down our COGS? Remember we should write penalties into our contracts.
FINANCE
Need cash in US? Issue some stock now. SEC advance notification requirements have been waived for quarters 13 and 14. Focus on
shifting earnings to US and reducing your parent equity.
Notes: We only paid a 10% premium, we may be in good shape to get some equity issued to expand operations in JA due to excess demand (see below)
INVENTORY
Assuming full production using regular-time labor and current number of lines, line speed, and raw material waste, you have enough raw
materials for 1 quarter in US and JA. You have 26,626 US LED TVs and 25,098 JA LED TVs ready for immediate shipment to customers,
subsidiaries, and/or competitors.
Notes: I’m okay with procuring additional raw materials to hold us through times of increasing prices, I think if we can get them for cheap now let’s stock up a bit but not get crazy. I think 3 Qtrs of raw materials supply should be sufficient but we can discuss as a team.
PRODUCTION
Your overall production efficiency is above average for LED TVs. Your regional unit production cost ranges from $472 to $503 (Q1$s)
per LED TV. Know how to calculate these numbers. Your line speeds are among the best for US LED TVs and JA LED TVs. Review
those factors that contribute to line speed - worker experience, wages, maintenance, and productivity R&D. Your cumulative production
volume is average in US and JA. Your wages are about average in US and JA. Your maintenance is very good in US and JA. The quality
of goods coming off your production process is increasing for US LED TVs and JA LED TVs, as shown by comparing the WIP quality
with the FG quality on the Inventory report.
Notes: We have high efficiency and our maintenance and quality are on the upswing, we may be positioned well for differentiation vs. volume but again let’s discuss as a group (this is just an off the cuff observation – I need to look through the numbers too).
MARKETING
Worldwide there is excess demand for LED TVs and significant excess demand for OLED TVs. Your company's regional demand, as a
percent of capacity, is 77% for US LED TVs and 117% for JA LED TVs. Where you have excess demand, you may have opportunities to
expand operations or raise prices. Compared with others around the world, your perceived quality, or value, is relatively high for US LED
TVs and JA LED TVs. Your advertising effectiveness is the worst for US LED TVs. Your sales force size is small in US and JA. As a
percent of sales revenue, you may be spending too much on your US and JA sales forces. Try to balance all your marketing investments
to keep your orders strong.
Notes: excess demand in JA for LED TV’s, since our quality is perceived as relatively high we may be able to bump our prices up early but we’ll have to keep an eye on maintenance and quality measures.
RESEARCH & DEVELOPMENT
Benefits accrued from your R&D projects since quarter 2 have been consistent for LED TV productivity, consistent for LED TV quality,
fairly consistent for OLED TV productivity, and consistent for OLED TV quality. Relative to your competitors, your technology is average
for LED TV productivity, above average for LED TV quality, below average for OLED TV productivity, and above average for OLED TV
quality.
From: Pande, Subhash
Sent: Sunday, June 16, 2013 1:43 PM
To: Lehmuth, Christopher; Thelma Nsofor
Cc: Hyuliya Aferol; cgle...@hotmail.com;
cgle...@gmail.com; Luebbert, Andrea;
andrea....@gmail.com
Subject: RE: Global Tycoon Pre-Sim: how to re-run it on my computer?
Happy Fathers Day!!!
On the meetings: I am available on Monday, Tuesday and Wednesday evenings from 6:15 pm.
Best!
Subhash Pande
Washington University in St. Louis | OLIN BUSINESS SCHOOL
"Creating knowledge…Inspiring individuals…Transforming business."
Email: subhas...@wustl.edu | Tel: 573-291-7229
From: Lehmuth, Christopher
Sent: Sunday, June 16, 2013 10:17 AM
To: Thelma Nsofor
Cc: Hyuliya Aferol; Pande, Subhash;
cgle...@hotmail.com; cgle...@gmail.com; Luebbert, Andrea;
andrea....@gmail.com
Subject: RE: Global Tycoon Pre-Sim: how to re-run it on my computer?
Good morning Thelma, yes you are correct we discussed meeting on Wednesday and we are still doing that. Subhash asked if we could meet again so I was just asking if anyone was available for a supplemental meeting, no problem if people can’t meet, just feeling out availability.
From: Thelma Nsofor [mailto:thelma...@gmail.com]
Sent: Sunday, June 16, 2013 9:11 AM
To: Lehmuth, Christopher
Cc: Hyuliya Aferol; Pande, Subhash;
cgle...@hotmail.com; cgle...@gmail.com; Luebbert, Andrea;
andrea....@gmail.com
Subject: Re: Global Tycoon Pre-Sim: how to re-run it on my computer?
I have class on Monday and Tuesday? I thought we discussed meeting on Wednesday?
Sent from my iPhone
On Jun 16, 2013, at 12:53 AM, "Lehmuth, Christopher" <lehmuthch...@wustl.edu> wrote:
For some reason Andrea wasn’t on the original distribution.
From: Lehmuth, Christopher
Sent: Saturday, June 15, 2013 10:06 PM
To: 'Hyuliya Aferol'
Cc: Pande, Subhash; cgle...@hotmail.com; cgle...@gmail.com; Thelma Nsofor
Subject: RE: Global Tycoon Pre-Sim: how to re-run it on my computer?
Importance: High
Hyuliya,
Here you go:
1. Copy the attached .zip file to your desktop.
2. Unzip the file (folder name should now be called be “DATA”)
3. Open your “Global Tycoon” folder (not the application – this was placed on your PC with the install)
4. Rename your existing “DATA” file to something else (something like “DATA_1”)
5. Copy the unzipped “DATA” folder from step 2 into your “Global Tycoon” folder.
6. Open the Global Tycoon application and you should see all of the decisions and the 4 quarters we did last weekend for the pre-sim.
Here is an image of what the “Global Tycoon” folder should look like (notice “DATA” is highlighted):
<image002.jpg>
Let me know if you have any problems, I can meet Monday night too if anyone wants to meet. We don’t all have to be there but some of us could talk through the company and review the data together.
Let me know!
Chris
From: Hyuliya Aferol [mailto:afe...@gmail.com]
Sent: Saturday, June 15, 2013 5:58 PM
To: Lehmuth, Christopher
Cc: Pande, Subhash; cgle...@hotmail.com; cgle...@gmail.com; Thelma Nsofor
Subject: Global Tycoon Pre-Sim: how to re-run it on my computer?
Hi,
Do you guys know how I can run the pre-sim decisions we made? Chris, can I run it base on that file you sent to John, the administrator and how? I just want to experiment with it and see how things will change when I change some of the financial decisions?
Thanks,
HyuliyaOn Sat, Jun 8, 2013 at 3:49 PM, Lehmuth, Christopher <lehmuthch...@wustl.edu> wrote:
Team 2 Pre-Sim results for Summer 2013 Tycoon.
Please reach out with any questions or issues.
Thanks!
Chris
Christopher G. Lehmuth | PMBA XXXII – Team 11
1627 Locust Street # 303 | Saint Louis MO, 63103 | cgle...@hotmail.com | 314-495-0125
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