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The Best Capsim Guide 3 - Research and Development [update for Capsim 2024 and Capsim 2025]

Capsim Capstone Foundation 2017 - Free Guides and Tips

Capsim Guide - Capstone Guide 2022

MBA SIMULATION GAME WINNING GUIDES AND SUPPORT

New Capsim Guide for Capsim 2024

- FREE support for Round 1 and Round 2
- Support to complete all 8 rounds of the whole Capsim Capstone (support fee USD 40) [Top results guaranteed]
- 1 hour ZOOM guide to complete 1 round and guide to complete all the other rounds [USD 40]
- Support 1 ANY round to save your Capsim to get back good sales and profit [USD 10]
- Free video guides with step by step and winning tips to win all the 8 rounds
Email: mbahelp2002@gmail.com

FREE ONLINE SUPPORT FOR 2 ROUNDS

 [update for Capsim 2023 and Capsim 2024]

MBA Simulations Games Support

Free Guides and Tips

Free Personal Support for 2 rounds

Videos Explanations for All decisions. 

Help with MBA Simulation Games 24/7

Email to: mbahelp2002@gmail.com

 

NEW FREE (Downloads)

MBA Simulations Games Support 

Free Guides and Tips

Free Personal Support for 2 rounds 

Videos Explanations for All decisions. 

Free Downloads:

1. Free Excel file for Sales Forecast and Production Calculation - LINK 1

2. Free Video guides - Round by Round - Step by Step - LINK 2

Online Support for MBA Simulation Games 24/7

Email to: mbahelp2002@gmail.com

 

NEW Free Video Guides and Excel Files 

Free Excel file for Sales Forecast, Production Calculation - LINK 3

Free Video Guides - Round by Round - Step by Step - LINK 4

Free Personal Support for 2 rounds

Email to: mbahelp2002@gmail.com

 

Free Online Support - New Updates with step by step and  round by round guides

 

The Best Capsim Guide 

With Helpful Capsim Tips Per Round 

Update To Win Capsim 2024 [And Capsim 2025]

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New Capsim Guide for Capsim 2024

- FREE support for Round 1 and Round 2 - Support to complete all 8 rounds of the whole Capsim Capstone (support fee USD 40) [Top results guaranteed] - 1 hour ZOOM guide to complete 1 round and guide to complete all the other rounds [USD 40] - Support 1 ANY round to save your Capsim to get back good sales and profit [USD 10]

- Free video guides with step by step and winning tips to win all the 8 rounds

Email: mbahelp2002@gmail.com

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Step by Step for each round to win all 8 rounds

Win with top sales and profit, BSC 860-960/1000

Free Capsim Winning Guide and Tips for MBA

Free support for Rounds 1 and 2

You can gain a lot of knowledge and skills from this business simulation.

Of course, this guide and tips can help to remove all this the stress, anxiety, sleep deprivation, and social isolation due to this business simulation.

Save several weeks or a month of research by just 4-8 hours reading this guide and apply step by step decisions making, for all the 8 rounds

If you are looking for some help with Capsim, this is the Best Free Guide with helpful Capsim tips per round to help you get through this MBA Capsim Capstone course.

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Guide to Capsim 2024 and Capsim 2025

This is step by step guide to help you avoid the kind of mistakes that makes you lose when you start Capsim and also tips to get you win the game. 

Good Luck and Success!

You should do before start the Capsim

1 - Log in and read Industry Condition Report (Top menu, report tab, last row)

2 - Read Courier Report of last round (to get Market overview, Pricing, Production and Competitors analysis)

3 - Prepare an Excel file to calculate R&D, Sales Forecast and Production for each round.

You can download free Excel file here - LINK TO ALL EXCEL FILES

or Download Capsim Capstone Excel file here - LINK 2

Or email to: mbahelp2002@gmail.com to get Free support for creating excel file.

Free Personal Support for Rounds 1-2

Email: mbahelp2002@gmail.com

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FOR QUCK AND URGENT SUPPORT

  1. Send me a WhatsApp Message: https://wa.me/84768232858

 

  1. Send me a Telegram message: https://t.me/CapsimSupport

 

 

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DOWNLOAD FREE Excel file to Calculate R&D, Sales Forecast and Production 

For Capsim Simulations 2024 and 2025

All For FREE

Free Download Link here

Simulation Includes Price
1. Capstone vs Computers R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
2. Capstone vs Humans R&D Table for 8 rounds, Suggested R&D round by round numbers for 3 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
3. Foundation vs Computers R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
4. Foundation vs Humans R&D Table for 8 rounds, Suggested R&D round by round numbers for 3 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
5. Global DNA vs Computers R&D Table for 8 rounds, Exchange Rates Tool. Forecasting tool



FREE
6. Global DNA vs Humans R&D Table for 8 rounds, Exchange Rates Tool. Forecasting tool

FREE
 


 
7. Capsim Core R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds


FREE
8. CompXM Capstone R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds


FREE
9. CompXM Basix R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds


FREE
10. GlobalDNA R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds

FREE

Free Download Link here

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For FREE Support for Round 1 and Round 2

You can send email to: mbahelp2002@gmail.com

If you need customized Excel for your game

You can download Industry Condition Report from your game and email to mbahelp2002@gmail.com. Will create excel file for your game for FREE (in 24 hours)

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Free Capsim Capstone Video Guide - 

Step by Step - Round by Round guide by videos

Link to video guide here

Capsim Capstone Video Guide for Round 1 - FREE

Capsim Capstone Video Guide for Round 6 -  FREE

Capsim Capstone Video Guide for Round 8 -  FREE

Capsim CompXM Video Guide for Round 1 -  FREE

Capsim CompXM Video Guide for Round 4  FREE

Capsim GlobalDNA Video Guide for Round 1 -  FREE

Capsim GlobalDNA Video Guide for Round 7 -  FREE

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Capsim 2023 - Best Capsim Guide with Helpful Tips - Free Winning Guide and Tips - Round 1 https://www.youtube.com/watch?v=65t9ebyMt30

 

Capsim Capstone 2023 - Top 10 Tips to Win Capsim 2023 - Guide to Win All 8 Rounds

https://www.youtube.com/watch?v=AwietYk8fEM

 

Capsim 2023 - Best Capsim Guide with Helpful Tips - Free Winning Guide and Tips - Round 2

https://www.youtube.com/watch?v=2yKRxv--_0o

 

Capsim Guide - Capstone 2022 - Capstone - The Best Capsim Guide with Helpful Capsim Tips - Round 3

https://www.youtube.com/watch?v=MIYWe2eQNcE

 

Capsim Capstone 2023 - Quick Guide to Win Capstone 2023 - SP - Round 4

https://www.youtube.com/watch?v=QLd4DnzIj5w

 

Capsim Guide [2023 2024] - The Best Capsim Guide with Helpful Capsim Tips - Round 6 Step by Step

https://www.youtube.com/watch?v=CfL8eUzkfqQ

 

Capsim Capstone 2023 - The Best Guide for Round 7 to Win Capsim 2023 - Guide 1

https://www.youtube.com/watch?v=4DOxAI3dqYo

 

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FREE Video guide for CompXM  

(for all 4 rounds of CompXM)

step by step guide for each round

CompXM Guide - Round 1 - Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=eCbQln68438&t=56s

CompXM Guide - Round 2 - Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=ip5GErMEDvA&t=92s

CompXM Guide - Round 3 Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=er1BJgoBLfY&t=143s

CompXM Guide - Round 4 Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=ZsIev_RvuBI&t=84s

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Update for Capsim 2024 and Capsim 2025

Free Excel file for 8 Rounds (R&D, Marketing, Production, Pricing) - Link 1

VIP Access Excel file to Win 8 Rounds and Top Winning Links - Link 2

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QUICK GUIDE TO WIN ALL 8 ROUNDS 

(Capsim Capstone)

 

Before you begin, remember, this is long term strategy game with 8 rounds.
The general strategy for this game is investing heavily in R&D, Promo and Sales, Production Capacity Expansion, Increase Automation, HR, TQM, using long-term liabilities in the earlier rounds (1-3) and gain top sales and profit all rounds from 4-8. 

If this is a group assignment, need to consider:

- A team leader to review all decisions
- R&D is the key to win, if there is mistake, need 2-3 rounds to fix, then can not compete with other teams. So, again, R&D is the key.
- Marketing face only 4 decisions: Price, Promo and Sales and most important, Sales Forecast Calculation
- Production face only 3 decisions: Production plan calculation, Production capacity expansion and Automation. (Note that Production depends on Marketing sales forecast)
- HR with only 2 decisions
- TQM with 10 simple decisions
- Finance with 3-5 decisions (do not fear them).

If you have free time, you can read all Financial reports, it is very details. You can learn a lot from reading report (but note that winning is more important)

To win the game, you just need to look at Sales and Profit.
So, do not put too much hope on Finance member, their key job is to get enough funds for 3 first rounds and pay dividends in later rounds.

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Capsim Tips Per Capsim Round

Brief Summary Capsim Tips Round 1

Capsim Reminders 

Before Starting Capsim Business Simulation Game

  1. Note to reduce prices by $0.50 every year to keep products more competitive.
  2. Make sure to add enough capacity for production for each segment, if not, competitors will sell more, then lose customers.
  3. Key to win is new products: If a new product is invented, invest in capacity, and set automation for new products.
  4. If funds are available, in Production, invest in automation for new invented products.
  5. Changing a product size and or performance, every round based on perceptual map or Courier report
  6. Low end product does not require re-positioning
  7. Spend an hour to read the instructions booklet to get a better understanding of the game. It is simple but useful knowledge.

Research and Development (R&D) Decisions Capsim Tips Round 1

  • Invented a new product (in Low End segment, to double sales and profit from Round 4 to 8)

Marketing Decisions Capsim Tips Round 1

  • Paid for accessibility (1200-1400, Low End 2000)
  • Paid for awareness (1200-1400, Low End 2000)

Production Decisions Capsim Tips Round 1

  • Purchased automation for new product and existing products.
  • Purchased capacity for new product invented and existing products.
  • Sell surplus capacity for Traditional (-600)
  • Sell surplus capacity for High End (-300)
  • Add new capacity for new R&D product (600, automation 5)
  • Increase automation for Traditional to 5 and Low End to 6.5

Finance Decisions Capsim Tips Round 1

  • Issued stocks (MAX)
  • Issued bonds (MAX)
  • Changed Accounts Receivables due date to 90 days or 46 days
  • Changed Accounts Payable payment date to 30 days

Sample strategy for Round 1

 

 

 

 

 

 

Brief Summary Capsim Tips  Round 2

 

Research and Development (R&D) Decisions Capsim Tips Round 2

  • Repositioned segments: traditional, high-end, performance and size.

Marketing Decisions Capsim Tips Round 2

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Tips Round 2

  • Purchased more automation.
  • Purchased more capacity.

Finance Decisions Capsim Tips Round 2

  • Issued stocks.
  • Issued bonds.
  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Tips Round 2

  • Recruiting costs: $5,000.
  • Training: 80 hours.
  • Negotiated new labor terms.

Brief Summary Capsim Round 3

 

Research and Development (R&D) Decisions Capsim Round 3

  • Repositioned segments: high-end, performance, size and high-end (invented product).

Marketing Decisions Capsim Round 3

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Round 3

  • Purchased more automation.
  • Purchased more capacity.

Finance Decisions Capsim Round 3

  • Issued stocks.
  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Round 3

  • Recruiting costs: $5,000.
  • Training: 80 hours.

Brief Summary Capsim Tips Round 4

Research and Development (R&D) Decisions Capsim Tips Round 4

  • Repositioned segments: traditional, high-end, performance, size and high-end (invented product).

Marketing Decisions Capsim Tips Round 4

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Tips Round 4

  • Purchased more automation.
  • Purchased more capacity.

Finance Decisions Capsim Tips Round 4

  • Issued stocks.
  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Tips Round 4

  • Recruiting costs: $5,000.
  • Training: 80 hours.

Total Quantity Management (TQM) Capsim Tips Round 4

  • Costs: $1,500 per category.

Brief Summary Capsim Tips Per Round 5

Research and Development (R&D) Decisions Capsim Tips Per Round 5

  • Repositioned all segments.

Marketing Decisions Capsim Tips Per Round 5

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Tips Per Round 5

  • Purchased more automation.

Finance Decisions CapsimTips Per Round 5

  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Tips Per Round 5

  • Recruiting costs: $5,000.
  • Training: 80 hours.

Total Quantity Management (TQM) Capsim Tips Per Round 5

  • Costs: $1,500 per category.

Brief Summary Capsim Tips Round 6

Research and Development (R&D) Decisions Capsim Tips Per Round 6

  • Repositioned segments: traditional, high-end, performance, size and high-end (invented product).

Marketing Decisions Capsim Tips Round 6

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Tips Round 6

  • Purchased more automation.
  • Purchased more capacity.

Finance Decisions Capsim Tips Round 6

  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Tips Round 6

  • Recruiting costs: $5,000.
  • Training: 80 hours.

Total Quantity Management (TQM) Capsim Tips Round 6

  • Costs: $1,500 per category.

Brief Summary Capsim Tips Round 7

Research and Development (R&D) Decisions Capsim Tips Round 7

  • Repositioned segments: traditional, high-end, and high-end (invented product).

Marketing Decisions Capsim Tips Round 7

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Tips Round 7

  • Purchased more capacity.

Finance Decisions Capsim Tips Round 7

  • Retired stocks.
  • Retired bonds.
  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Tips Round 7

  • Recruiting costs: $5,000.
  • Training: 80 hours.
  • Negotiated new labor terms.

Brief Summary Capsim Tips Round 8

Research and Development (R&D) Decisions Capsim Round 8

  • Repositioned segments: traditional, high-end, performance, size and high-end (invented product).

Marketing Decisions Capsim Round 8

  • Paid for accessibility.
  • Paid for awareness.

Production Decisions Capsim Round 8

  • No more automation and capacity purchased.

Finance Decisions Capsim Round 8

  • Retired stocks.
  • Retired bonds.
  • Accounts Receivables due date to 90 days (same from the previous round).
  • Accounts Payables payment date to 30 days (same from the previous round).

Human Resource Decisions Capsim Round 8

  • Recruiting costs: $5,000.
  • Training: 80 hours.

 

FREE PERSONAL SUPPORT

FREE WINNING GUIDES AND TIPS

FREE SUPPORT FOR ROUND 1 & ROUND 2 (FREE)

WIN ALL ROUNDS

NEW WINNING TIPS 2018

Email to: winMBAsim@gmail.com

 

FREE Excel File

for R&D,

Sales forecast

and Production

New update Capsim 2023 and Capsim 2024

Download

 

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Common Capsim FAQs

  1. How to win Capsim?
  2. How to increase days of working capital in Capsim?
  3. What’s the best position on the perception map?
  4. How to reposition products in Capsim?
  5. What’s the importance of repositioning products in Capsim?
  6. How to invent products in Capsim?
  7. What effect age revision has on a product?
  8. How to do products drift or age in Capsim?
  9. When should capacity be purchased in Capsim?
  10. What’s the best Capsim automation strategy?
  11. Do you have Capsim cheat sheet to download?
  12. How to increase leverage in Capsim?
  13. How do you calculate Capsim sales forecast?
  14. Do you have to create a Capsim SWOT analysis?
  15. How to pay Bonds due in Capsim?
  16. What are Capsim emergency loans?
  17. How to avoid Capsim emergency loans?

 

Here Are The Answers To Capsim FAQs MBA Students Ask About Capsim Simulation Game

Q 1. How To Win Capsim?

Make it rain in the earlier rounds by investing heavily in product invention, capacity, and automation, because it takes money to make money.

Q 2. How To Increase Days Of Working Capital In Capsim?

The concept is to increase the amount of current assets and/or to decrease the amount of current liabilities.

Days of Working Capital = Working Capital / (Sales/365)

Working capital can be improved by:

  • Being profitable
  • Issuing stock for cash
  • Replacing short-term debt with long-term debt
  • Selling long-term assets for cash
  • Settling short-term debts for less than the stated amounts
  • Collecting more of the accounts receivables than was anticipated
  • Reducing the balance required in the current asset account Allowance for Doubtful Accounts

 

Q 3. What’s The Best Position On The Perception Map?

Capsim Questions About Repositing Products In Capsim

This section includes Capsim questions based on repositing products in Capsim.

Q 4. How To Reposition Products In Capsim?

Changing a product size and or performance repositions a product on the perceptual map. In fact, improving a product performance’s and decreasing the size moves the product towards the lower right on the perceptual map.

Q 5. What’s The Importance Of Repositioning Products In Capsim?

Products in segments must be repositioned to keep up with the drifts by making them smaller and faster each year. Positioning affects material cost. Therefore, the more advanced the position is the more expensive the cost of materials will be. In addition, repositioning also cuts products age in half.

Repositioning cost may include:

  • Low-end position cost $1.00
  • High-end position cost $10.00
  • MTBF 1,000 house add $0.30 to material cost

Improving positioning and reliability and reliability will make a product more appealing to customers, however doing so increases material costs.

Q 6. What Effect Age Revision Has On A Product?

Age revision is the age of a product after the product has been updated. This is one way you can manipulate the product cycle of your products in the game. So if you want an older product to look newer then reposition it. However, understand when a product is repositioned on the perceptual map during the year its age will be cut in half. If no repositioning is done the product will age by one year.

Generally, you would allow products to age into whatever segment you want to dominate and keep the products in that segment by repositioning the product based on what the customers in that product segment want.

For example, if your strategy entails dominating the low-end segment then you would just allow the products in the other segments to drift to the low-end segment. Plus you would invent products in the earlier rounds to replace these low-end products if your intention is minimizing Research and Development expense.

Remember, once low-end products drift out of the dashed circle customers will no longer buy them. Thus, to keep on dominating that segment you will require new low-end products. If you fail at supplying the demand you created your competitors will be happy to take your market share.

Therefore, you could either reposition the product by revising the product or you can let that product drift out of the dashed circle then replace it with one of the products you invented in the earlier rounds. However, for this to work you must invent products in the earlier rounds because it takes a while for new products to drift/age into the low-end segment. So plan accordingly.

 

Q 7. How Do Products Drift Or Age In Capsim?

 

Q 8. How To Invent Products In Capsim?

The name of invented products must start with the first letter similar to the products already created by the game. Example, if you are on team Andrews and you decided to create three products they should be labeled Acted, Awag and Abat.

 

Q 9. When Should Capacity Be Purchased In Capsim?

Production department must purchase production capacity to build the new product one year in advance. Invention projects take at least one year to complete. Example, if one product was invented then capacity would be ordered as follows:

Invent Product Acted

In Year 1: Schedule Acted for manufacturing and Purchase capacity for Acted

Year 2: Launch Acted

 

Q 10. What’s The Best Capsim Automation Strategy?

  • Traditional: 8-8.5
  • Low-end: 10 towards the end of the game
  • High-end: 6-7, and 6.5 for other product segments

Note, increase automation slowly because you need Total Quality Management (TQM) module to become effective at the beginning of the fourth round.

 

Q 11. Do You Have Capsim Cheat Sheet To Download?

No cheat sheet available. However, questions are welcomed.

 

Q 12. How To Increase Leverage In Capsim?

You issue stock and bonds.

 

Q 13. How Do You Calculate Capsim Sales Forecast?

Last year’s sales units multiple by the segment growth rate for the upcoming year. Therefore, if you ran out of stock in the previous year adjust the sales unit by adding the additional inventory you would have sold if you didn’t run out of stock. Then multiply that figure by the new growth rate for the upcoming year for that product segment.

 

Capsim Sales Forecast Calculation Example

So for example, if you in 2018 you sold 2,000 units in the high-end segment but your stock out was 100 units, and the growth rate for the upcoming year is 5%. Now assuming everything stays relatively the same as last year then your sales forecast for the upcoming year 2019 would be:

  • [(2,000 units+100 units) x 0.05] + [(2,000 units+100 units)]= $2,205 OR
  • (2,000 units+100 units) x 1.05 = 2,205

Note, calculating the sales forecast is only the first step in predicting the sales forecast. As always things never stay the same, so there are other factors you need to consider then adjust that number base on these factors.

 

How To Adjust Capsim Sales Forecast To Reflect The Impact Of External And Internal Factors

For instance, if are you currently dominating this segment and based on your competitor’s last year performance there is no way they will be able to retaliate then 2,205 might be too low. Which means that there is a possibility you might stock out.

In this situation consider the overall demand for that product segment then adjusts sales forecast accordingly. Word of caution: don’t forecast sales units over the total demand in any product segment even if you are dominating that segment.

However, if you’re not dominating that segment you wouldn’t want to go up above your original calculated sales forecast. You also need to consider capacity, labor, and finance. Do you have enough capacity, labor, and finance to produce these units? In brief, always ensure you are also financially capable of producing products.

Overall, your sales forecast starts with a calculation. However, this figure is later on adjusted based on your competitor’s past performance and whether you believe they can retaliate, plus your ability to produce these units.

 

Q 14. Do You Have To Create A Capsim SWOT Analysis?

To keep you on track create a SWOT analysis. In addition, adjust the SWOT analysis at the end of each round to reflect your company’s current positions externally and internally.

 

Q 15. How To Pay Bonds Due In Capsim?

All bonds due at the end of the year are automatically converted into current debt. This debt is paid on January 1st. However, ensure you have funds available to make the payment when it is due to avoid triggering an emergency loan.

 

Capsim Questions About Capsim Emergency Loans

This section includes Capsim questions based on Capsim emergency loans and how to avoid Capsim emergency loans.

 

Q 16. What Are Capsim Emergency Loans?

Firstly, avoid emergency loans at all cost. In brief, the Capsim game gives you emergency loans when you manage cash poorly. Therefore, Capsim emergency loans affect your stock prices even when your company is profitable, plus the interest rate is just ridiculous – it’s 7.5% plus whatever the current debt rate is.  In general, once again avoid emergency loans.

 

Q 17. How To Avoid Capsim Emergency Loans?

Ensure you have enough cash to cover short term debts for the upcoming rounds before starting that round. If you realize there is a chance of you running out of cash at the beginning of the next round issue more stocks to raise funds. In addition, try your best to meet your sales projections by forecasting properly then producing products customers want better than your competitors. In general, excessive inventory and capacity and automation purchase without proper funding usually trigger Capsim emergency loans.

 

FREE PERSONAL SUPPORT

FREE WINNING GUIDES AND TIPS

Free support FOR ROUND 1 & ROUND 2 (FREE)

WIN ALL ROUNDS

NEW WINNING TIPS 

Email to: winMBAsim@gmail.com

 

FREE Excel File

for R&D,

Sales forecast

and Production

New update 2023 and Capsim Capstone 2024

Download

 

 

NEW - Capsim Tips For Each Capsim Module

Use these Capsim tips as a guide to help you formulate your own strategy. Good luck!

Capsim Tips For Capsim Research And Development Module

  • Research and development decisions directly impact your marketing and production plans.
  • Marketing and Research and Development decisions address product repositioning on the perceptual map, the number of products in each segment, age of products and MTBF.
  • Production and Research and Development decisions impact the cost of materials, purchase of new and automation levels. Note, the higher the automation level the longer it takes to complete Research and Development projects.
  • Your first product needs to be completed before another one can be started. So if a product is not completed in the first year it goes into the second year and the other product cells will be locked.
  • Project Management: 6 Month project cost $500,000, 1 Year project cost $1,000,000.
  • Unsold units built prior to revision date are reworked free of charge to match the new specs.
  • Project completion time increases if the company put two or more products in Research and Development at the same time.

Capsim Research And Development Recommendations

  • Develop a strategy before you start developing any products. Are you going to maintain a presence in every single product segment or focus on low-end products only or focus on high-end only or dominate high-end but still maintain a presence in the other segments and so on. Once you determine what’s your overall strategy then you may start developing and reposition products based on that strategy.

Capsim Tips For Capsim Marketing Module

  • Increase Customer Survey Score: Increase accounts receivables to 90 days to improve your customer survey score. Note, TQM also helps increase the customer survey scores but it isn’t available until later on in the game.
  • Beware a product with the highest customer survey score will outsell the competitor’s product.
  • Increase Awareness: In Capsim awareness is increased by spending the promotional budget which finances advertising and public relations campaigns expenses.
  • Increase Accessibility: Accessibility is built over time by utilizing the product’s sales budget. Capsim sales budget finances salespeople and the distribution systems serving customers.
  • Pricing Products in Capsim: Don’t price products $5 above or below the price range. Also remember, the price range decreases by $0.50 on the low and upper range every year.
  • Achieving 100% accessibility is difficult. In order to achieve 100% accessibility for any product segment, you must have two or more products in that product segment. Once 100% accessibility is reached you can use a combine the sales budget of $3,500,000 to maintain 100% accessibility.
  • Note, accessibility is concerned with the product segment and not the product so once a product leaves a product segment then it no longer benefits. Also unless the product segment still has two products that segment will no longer benefit from the combined budget.
  • Sales budget are less effective when products are not positioned within the solid circle and when the product’s price and MTBF are not following the product segment guideline.
  • New products invented creates a buzz so 25% awareness is given for free. Therefore, inventing products is highly highly recommended.

Capsim Marketing Recommendations

  • Use a promotional budget of $3,000,000 annually in the earlier rounds until product awareness is 100%. Then scale back to $1,400,000 annually to maintain 100%.
  • Depending on your strategy allow products to drift/age into other product segments to achieve 100% accessibility.
  • Follow product pricing and MTBF guidelines for each product segment.
  • Use no more than $4,500,000 sales budget for two products in a product segment and use no more than $3,000,000 sales budget for one product in a product segment.

Capsim Tips For Capsim Production Module

  • The production module is where the action happens – products are scheduled for manufacturing.
  • The production units for each product line needs to be adjusted to your forecasted sales units.

Capsim Production Recommendations

  • Allocating Capacity in Capsim: Always ensure there is enough capacity for each product for the next round before ending your current round.
  • Capacity must be purchased for every product invented.
  • Invest heavily in capacity and automation in the earlier rounds.
  • Avoid selling capacity and automation because there’s a loss involved.

Capsim Tips For Capsim Finance Module

  • Short term assets like accounts receivables and inventory are funded with current debt offered by banks.
  • Investments in capacity and automation are funded by bonds and issuing stock.

Capsim Financial Recommendations

  • Issue stock and long term debt in the first three rounds to invest heavily in capacity and automation.
  • Retire stocks once you have excess cash, low debt leverage, and excess working capital.

Capsim Tips For Capsim Human Resource Management Module

  • Human resource management is one of the modules that’s added later on during the game. For this module ensure you negotiate when you are asked to. Most importantly, don’t be cheap – ensure you try your best to please your workers to avoid strikes.
  • Side note, if you invest in automation during the earlier rounds you reduce your dependence on manual labor, which allows you to save money on hiring workers, so plan accordingly.
  • Managing recruiting and training is the top priority in this module.  The minimum recruiting cost is $1,000 and the maximum $5,000. Never spend more than $5,000 on recruiting because there isn’t any additional benefit. In fact, there is diminishing returns when $5000 is spent on recruiting. In terms of training, 80 hours is highly recommended.
  • Spending top dollar on recruiting and training produces a higher productivity index and a lower turnover rate. This, in turn, reduces the need for more workers thereby lowering labor cost per unit.

Capsim Human Resource Management Recommendations

  • Hire employees at $5,000 and with 80 hours of training. However, this can be adjusted depending on your level of automation and sales units forecast for the upcoming year.

Capsim Tips For Capsim Total Quality Management Module

  • TQM module helps reduce the cost of your business operations, shortens the length of time required to complete R&D projects and increase demand for the products.

Capsim Total Quality Management Recommendations

  • Invest $1,500 per category in the first and second round then $1,000 the third round of TQM.

 

FREE PERSONAL SUPPORT

FREE WINNING GUIDES AND TIPS

FOR ROUND 1 & ROUND 2 (FREE)

WIN ALL ROUNDS

NEW WINNING TIPS 2024 and 2025

Email to: winMBAsim@gmail.com

 

FREE Excel File

for R&D,

Sales forecast

and Production

New update - Download

 

 

NOTE - Capsim A Game Of Path Dependence Theory 

Capsim rounds 1 to 3 are critical to how successful you will be at Capsim simulation. Remember the path dependence theory which basically means decisions made in the past limits the decisions you can make in the future. In this game, this theory takes center stage since you can’t undo the decisions once you advance to another round.

Therefore, if you mess up the earlier rounds it will be difficult to bounce back since the type of decisions you need to make in the later rounds can be restricted or limited due to the decisions you made in the earlier rounds. Hence it is important to make the best decisions, especially during the first three rounds to set a strong foundation you can build on. Use the Capsim guides below to help you fortify your strategy. Good luck!

 

 

FREE PERSONAL SUPPORT

FREE WINNING GUIDES AND TIPS

FOR ROUND 1 & ROUND 2 (FREE)

WIN ALL ROUNDS

NEW WINNING TIPS 

Email to: winMBAsim@gmail.com

 

FREE Excel File

for R&D,

Sales forecast

and Production

New update 2024 - Download

 

 

Capsim Guide Plan With Winning Capsim Strategy Plan

There are various strategies you can use to beat Capsim as long as the core of each strategy is based on giving customers what they want. This Capsim winning strategy involved dominating the high-end product segment while still maintaining a presence in each segment until the end of the game. Overall this strategy worked – Andrews successfully dominated the game at the end of 8th round.

Disclaimer

If you read until this point, you win 85% of the game.

The fact every product has a life cycle that cannot be ignored. Moreover, keeping products in a product segment requires constant repositioning which is costly. Overall, it’s cheaper to allow a product to drift downwards to the low-end product segment without repositioning while newly invented products replace them.

Don’t make R&D mistake. Plus also remember that your company is producing sensors for a company like Apple. So your sensors have to be ready for market by the end of June every year in order to get the best sales.

In the end, your performance will be determined by:

  • How much risk you are willing to take in the earlier rounds AKA how much you are willing to make it rain using bonds and shareholders money.
  • Your ability to forecast sales thereby accurately supplying sensors based on market demands.
  • Most importantly, your ability to effectively analyze your competitor’s last move in order to better predict your competitor’s next move.

 

Walk On The Shoulder Of Giants

Don’t be afraid to walk on the shoulder of giants for this one. Yes, research! You need to know what others have done and the possibilities. This will help you avoid pitfuls and also help you formulate your own strategy to help you win Capsim.

 

Give Customers What They Want

In this game, if you fail to give the customers what they want in comparison to your competitors you will lose. Now there are some situations where you may not be able to give them exactly what they want. Nevertheless, it’s your job to satisfy the customer better than your competitor as much as you can with the resources you have available. Focus on R&D

 

Always Monitor Your Capsim Competitors Strategic Decisions

Always monitor your competitor’s strategy. The capstone courier shows you the decisions your competitors made during the prior round. Monitoring their strategy will help you better determine decisions for each department for upcoming rounds. Have your long term strategy, round 1-2-3 are most important 

 

Before Starting Capsim

There are two main things you should definitely do before you start the game: First, read the Capsim booklet from front to back until you gain a better understanding of the purpose of the game and what’s your purpose in it all. The booklet is very resourceful – it explains the modules well. If you don’t read the booklet you are walking in this game blind and most likely you won’t like the results neither will your professor.

Secondly, if this is a group assignment ensure every team member is placed in the right position. For example, a marketing person shouldn’t be in charge of finance and a finance person shouldn’t be in charge of marketing unless they have exceptional experience in both areas. Jim Collins said it best “the right people in the right seats“.  However, if you are playing this simulation game alone don’t worry it’s doable just go through the booklet and research before you start playing the game. 

New advice: Watch all video guides for 8 rounds, you can find several lists of links to video guide for each round in this article. View all of them from early roudn to have a visions of long term strategy.

Good luck and success!

New tip: 

If you are really want to win and understand of the simulation, get 1 hour ZOOM session guide for detail guide for all decisions of each round

 

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Guide to Capsim 2024 and Capsim 2025

This is step by step guide to help you avoid the kind of mistakes that makes you lose when you start Capsim and also tips to get you win the game. 

Good Luck and Success!

You should do before start the Capsim

1 - Log in and read Industry Condition Report (Top menu, report tab, last row)

2 - Read Courier Report of last round (to get Market overview, Pricing, Production and Competitors analysis)

3 - Prepare an Excel file to calculate R&D, Sales Forecast and Production for each round.

You can download free Excel file here - LINK TO ALL EXCEL FILES

or Download Capsim Capstone Excel file here - LINK 2

Or email to: mbahelp2002@gmail.com to get Free support for creating excel file.

Free Personal Support for Round 1 and Round 2

Email: mbahelp2002@gmail.com

 

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Update with The Best Guide and Helpful Tips To Win Capsim 2024 and Capsim 2025

Video Guide

Capsim Round 1 Video guide - Link 1

Capsim 2022 - Best Capsim Guide with Helpful Tips - Free Winning Guide and Tips - Round 1

 

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Capsim Round 3 Video guide - Link 7

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Capsim Round 6 Video guide - Link 8

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Capsim The Best Guide and Tips - Link 9

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---

New Updated links for The Best FREE Support for Capsim Capstone and CompXM (2024 - 2025)

 

 

  1. FOR CAPSIM CAPSTONE SUPPORT

YOU CAN DOWNLOAD FREE EXCEL FILE FOR CAPSIM CAPSTONE - LINK 1

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  1. FOR COMPXM SUPPORT

YOU CAN DOWNLOAD FREE EXCEL FILE FOR COMPXM HERE - LINK

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CompXM Guide 2023 - Round 1 - Step by Step Guide Best Guide to get 860 960

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---

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- FREE support for Round 1 and Round 2 - Support to complete all 8 rounds of the whole Capsim Capstone (support fee USD 40) [Top results guaranteed] - 1 hour ZOOM guide to complete 1 round and guide to complete all the other rounds [USD 40] - Support 1 ANY round to save your Capsim to get back good sales and profit [USD 10] - Free video guides with step by step and winning tips to win all the 8 rounds Email: mbahelp2002@gmail.com

--- ---

FREE PERSONAL SUPPORT FOR ROUND 1 & ROUND 2

Help with MBA Simulation Games 24/7

Email to: mbasim.ferris@gmail.com

 

FOR QUCK AND URGENT SUPPORT

  1. Send me a WhatsApp Message: https://wa.me/84768232858
  2. Send me a Telegram message: https://t.me/CapsimSupport

 

 

Update with The Best Guide and Helpful Tips To Win Capsim 2022 and Capsim 2023

 

Video Guide

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FREE Excel Spreadsheet for Capsim 2022 and Capsim 2023

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FREE PERSONAL SUPPORT FOR ROUND 1 & ROUND 2

Help with MBA Simulation Games 24/7

Email to: mbasim.ferris@gmail.com

 

 

TIP 01 - R&D 8 Rounds guides - Round by Round Guide from Round 1 to Round 8: 

In order to apply this Round to Round strategy for R&D, we need to create an excel file with your own data from Industry Condition Report and put data in Excel file to get more precise numbers.

 

 ------

NEW 2023

---

The Best FREE Support for Capsim Capstone and CompXM (2023 - 2024)
 
1. FOR CAPSIM CAPSTONE SUPPORT
YOU CAN DOWNLOAD FREE EXCEL FILE FOR CAPSIM CAPSTONE - LINK 1
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IF YOU NEED PERSONAL SUPPORT FOR CAPSIM CAPSTONE  (8 ROUNDS)
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4. New Quick Guide to Win Capsim Capstone 2023 - 2024

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CompXM Guide 2023 - Round 1 - Step by Step Guide Best Guide to get 860 960

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5. Top links (The Best FREE guide with Helpful Tips to Win Capsim 2023-2024)

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https://www.youtube.com/watch?v=CGUl_01VcS8

 

 
 
 
FOR QUICK AND URGENT SUPPORT

1. Send me a Facebook Message

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2. Send me a WhatsApp Message

https://bit.ly/3siLp9U

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NEW 2023 - ZOOM 1 HOUR SESSION

NEW 2023 - ZOOM 1 HOUR SESSION

1 Hour Tutorial through Zoom for CAPSIM

For 1 hour online tutorial

- Screen share

- Step by Step guide how to set decisions for R&D, Marketing, Production, HR, Finance, TQM

- Explanation for all decisions

- Guide to understand Industry Condition report, Courier report, R&D calculation, Sales forecast and Production Calculation for each round

- Q&A during 1 hour online guide

After the online guide session, you will be able to continue all the other rounds to gain top sales and profit.

Email: WinMBAgames@gmail.com

Support fee is USD 50

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Guide to Capsim 2022 and Capsim 2023

This is step by step guide to help you avoid the kind of mistakes that makes you lose when you start Capsim and also tips to get you win the game. 

Good Luck and Success!

You should do before start the Capsim

1 - Log in and read Industry Condition Report (Top menu, report tab, last row)

2 - Read Courier Report of last round (to get Market overview, Pricing, Production and Competitors analysis)

3 - Prepare an Excel file to calculate R&D, Sales Forecast and Production for each round.

You can download free Excel file here - LINK TO ALL EXCEL FILES

or Download Capsim Capstone Excel file here - LINK 2

Or email to: mbahelp2002@gmail.com to get Free support for creating excel file.

Free Personal Support for Rounds 1-2

Email: mbahelp2002@gmail.com

 

FOR QUCK AND URGENT SUPPORT

Telegram: https://t.me/CapsimSupport

Twitter: https://twitter.com/capsimguide

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DOWNLOAD FREE Excel file to Calculate R&D, Sales Forecast and Production (For Capsim Simulations 2023) - All For FREE

Free Download Link here

 

Simulation Includes Price
1. Capstone vs Computers R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
2. Capstone vs Humans R&D Table for 8 rounds, Suggested R&D round by round numbers for 3 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
3. Foundation vs Computers R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
4. Foundation vs Humans R&D Table for 8 rounds, Suggested R&D round by round numbers for 3 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds

FREE
5. Global DNA vs Computers R&D Table for 8 rounds, Exchange Rates Tool. Forecasting tool



FREE
6. Global DNA vs Humans R&D Table for 8 rounds, Exchange Rates Tool. Forecasting tool

FREE
 


 
7. Capsim Core R&D Table for 8 rounds, Suggested R&D round by round numbers for all 8 rounds, Suggested prices and Promo/Sales Budget numbers for all 8 rounds. Forecasting tool and Suggested Forecast for the first 3 rounds


FREE
8. CompXM Capstone R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds


FREE
9. CompXM Basix R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds


FREE
10. GlobalDNA R&D Table for 4 rounds, Suggested R&D round by round numbers for all 4 rounds. Forecasting tool and Suggested Promotion/Sales numbers for the 4 rounds

 

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Free Download Link here

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For FREE Support for Round 1 and Round 2

You can send email to: mbahelp2002@gmail.com

If you need customized Excel for your game

You can download Industry Condition Report from your game and email to mbahelp2002@gmail.com. Will create excel file for your game for FREE (in 24 hours)

 

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Free Video Guide - Step by Step - Round by Round guide by videos

Link to video guide here

Capsim Capstone Video Guide for Round 1 - FREE

Capsim Capstone Video Guide for Round 6 -  FREE

Capsim Capstone Video Guide for Round 8 -  FREE

Capsim CompXM Video Guide for Round 1 -  FREE

Capsim CompXM Video Guide for Round 4 -  FREE

Capsim GlobalDNA Video Guide for Round 1 -  FREE

Capsim GlobalDNA Video Guide for Round 7 -  FREE

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Video guide for CompXM

CompXM Guide - Round 1 - Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=eCbQln68438&t=56s

 

CompXM Guide - Round 2 - Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=ip5GErMEDvA&t=92s

 

CompXM Guide - Round 3 Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=er1BJgoBLfY&t=143s

 

CompXM Guide - Round 4 Step by Step Guide Best Guide to get 860 960 - FREE

https://www.youtube.com/watch?v=ZsIev_RvuBI&t=84s

 

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Guide to Capsim 2022 and Capsim 2023
This is step by step guide to help you avoid the kind of mistakes that makes you lose when you start Capsim and also tips to get you win the game. 

Good Luck and Success!

You should do before start the Capsim

1 - Log in and read Industry Condition Report (Top menu, report tab, last row)

2 - Read Courier Report of last round (to get Market overview, Pricing, Production and Competitors analysis)

3 - Prepare an Excel file to calculate R&D, Sales Forecast and Production for each round.

You can download free Excel file here - LINK TO ALL EXCEL FILES

or Download Capsim Capstone Excel file here - LINK 2

Or email to: mbahelp2002@gmail.com to get Free support for creating excel file.

Free Personal Support for Rounds 1-2

Email: mbahelp2002@gmail.com

 

------

Update with The Best Guide and Helpful Tips To Win Capsim 2022 and Capsim 2023

 

Video Guide

Capsim Round 1 Video guide - Link 1

Capsim 2022 - Best Capsim Guide with Helpful Tips - Free Winning Guide and Tips - Round 1

 

Capsim Round 1 Video guide - Link 2

CapSim Guide - Capsim 2022 - The Best Capsim Guide with Helpful Capsim Tips - Round 1 Step by Step

Capsim Round 1 Video guide - Link 3

Capsim Guide - Capstone 2022 - Capstone - The Best Capsim Guide with Helpful Capsim Tips - Round 1

 

Capsim Round 2 Video guide - Link 4

Capsim 2022 - Best Capsim Guide with Helpful Tips - Free Winning Guide and Tips - Round 2

 

Capsim Round 2 Video guide - Link 5

Capsim Guide 2022 2023 - Free Support for Round 2 - Best Capsim Guide with Helpful Capsim Tips

 

Capsim Round 2 Video guide - Link 6

CapSim Guide - Capsim 2022 - The Best Capsim Guide with Helpful Capsim Tips Round 2 Step by Step

 

Capsim Round 3 Video guide - Link 7

Capsim Guide - Capstone 2022 - Capstone - The Best Capsim Guide with Helpful Capsim Tips - Round 3

 

Capsim Round 6 Video guide - Link 8

Capsim Guide - Capsim 2022 - The Best Capsim Guide with Helpful Capsim Tips - Round 6 Step by Step

 

Capsim 2019 2022 - Round 1 Free Winning Guide and Tips (Free Support for Round 1 and 2)

 

The Best Guide and Helpful Tips to Win Capsim 2022 and Capsim 2023

 

The Best Capsim Guide With Helpful Capsim Tips Per Round

 
 
CAPSIM 2022 - QUICK WINNING GUIDES AND TIPS
 
 

The Best Capsim Guide With Helpful Capsim Tips Per Round (to win Capsim 2022 and Capsim 2023)

The Best Capsim Guide - Link 3

The Best Capsim Guide (Capsim 2022) With Helpful Capsim Tips Per Round

The Best Capsim Guide - Link 4

Capsim Guide 6 - R&D Research and Development - All 8 rounds guides (update Feb 2020 - 2022)

The Best Capsim Guide - Link 5

Capsim – Capstone (Win all 8 rounds – Step by Step guide – Round by round)

The Best Capsim Guide - Link 6

 

Capsim Guide 2022 - Winning Guides and Tips 22

 

FREE Excel Spreadsheet for Capsim 2022 and Capsim 2023

FREE ALL VIDEOS GUIDES AND SAMPLE STRATEGIES - LINK

FREE ALL EXCEL FILES AND NEW WINNING GUIDES AND TIPS - LINK

FREE EXCEL FILE FOR CAPSIM CAPSTONE 2022 2023 - LINK 2022 

 

FREE PERSONAL SUPPORT FOR ROUND 1 & ROUND 2

Help with MBA Simulation Games 24/7

Email to: mbasim.ferris@gmail.com

 

FOR QUCK AND URGENT SUPPORT

Telegram: https://t.me/CapsimSupport

Twitter: https://twitter.com/capsimguide

 

------

 

 

 

Online Guide One Hour for All decision

(Win with Top Results Guarantee)

Through Skype or Team Viewer

Videos Explanations for All decisions

All Round Walk Through 

Win All rounds with new strategies

Email to: mbahelp2002@gmail.com

 

 

NEW 2020 Free Video Guides and Excel Files (Update Feb 2020)

Free Excel file for Sales Forecast, Production Calculation - LINK 1

Free Video Guides - LINK 2

Free Personal Support for 2 rounds

Email to: mbahelp2002@gmail.com

Step 1. Download Industry Condition Report (from your game)

Step 2. Download Excel file for automatic calculation strategies and decisions

 

Step 3. Very important

Open page 2 of Industry Condition Report and get the Table 2, first line for Round 0  and put that numbers in Round 0 in Excel file, then the file will automatically calculate all decisions for 8 rounds, with 4 different STRATEGIES.

DO NOT USE THE DEFAULT numbers in excel file, that is a little bit different from YOUR GAME (creator and administrator change the numbers when new industry is created for new class).

--> Get Round 0 number from Industry Condition Report

--> Put into Excel file, Round 0 (only 1 row) --> Then the file will automatically calculate all the decisions

(Check Drift and Ideal Offsets - 2 last rows of table 1 -  they often do not change for all game)

 

We can download and use the Excel file to calculate Specifications for R&D more easily.

If you have come to this Step. We are started the half way to win the Simulation Game Simulation !!

Again, this Round to Round guides can apply if we start from Round 1.  DO NOT use this suggestions if you are already in the middle of the game, having completion several rounds without this guides. If so, your company may not have enough upgrades and automation to follow this suggested strategy, you can refer to other TIP to Rescue Company or Mid Game Tips.

Now, if you are in Round 1, we can apply this Round to Round Strategy and Win the game.

The numbers are from my game, you need to use your Excel file, numbers will be a little different. If you can not create your file, email: wincapstone2012@gmail.com - I can create a file for you for FREE.

We use the following strategy for the guides and winning TIP in Round to Round Strategy.

 

R&D: Research and Development

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

ROUND 1. R&D

  1. Create a new Low End sensor PFMN 4.1 - SIZE 16.3 MTBF 12.000 - this is Low End sweet spot  Year 4
  2. Change original Low End sensor MTBF to 12.000 (don't re-position original Low End)
  3. Re-position original Traditional sensor to PFMN 6.1 SIZE 14.3 MTBF 14.000 (min)
  4. Re-position original High End sensor to PFMN 9.2 SIZE 11.2 MTBF 20.000 (min)
  5. Re-position original Performance sensor to PFMN 9.8 SIZE 16.0 MTBF 27.000 (max)
  6. Re-position original Size sensor to PFMN 4.4 SIZE 10.6 MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 2. R&D

  1. Create a new Traditional sensor PFMN 8.2 - SIZE 12.2 MTBF 14.000 - this is sweet spot for Traditional Year 4
  2. Re-position original Traditional sensor to PFMN 6.8 SIZE 13.6 - Keep 14.000 (min)
  3. Re-position original High End sensor to PFMN 10.1 SIZE 10.3 - Keep MTBF 20.000 (min)
  4. Re-position original Performance sensor to PFMN 10.8 SIZE 15.3 - Keep MTBF 27.000 (max)
  5. Re-position original Size sensor to PFMN 5.1 SIZE 9.6 MTBF - Keep MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 3. R&D

  1. Create a new High End sensor eg. PFMN 11.9 - SIZE 8.5 - this is High End sweet spot Year 4
  2. (Optional) Create a new Size or Performance instead of High End (with round 4 sweet spot specifications)
  3. (Optional) Re-position original Performance and Size sensor ONLY if you plan to continue them (with round 3 sweet spots specification - see above table).
  4. Re-position original High End sensor to PFMN 11.0 SIZE 9.4 - Keep MTBF 20.000 (min)
  5. Re-position original Low End sensor to PFMN 4.1 SIZE 16.3 - Keep MTFB 12.0000 (this takes more than a year to complete)
  6. Re-position original Traditional sensor to PFMN 7.5 SIZE 12.9 - Keep MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

So, for 3 first Rounds, we create new Low End, Traditional and High End each Round.

We can also stop Performance and Size (we will do that by lower Promo and Sales budget to 0 in Marketing and Production).

 

ROUND 4. R&D

  1. Re-position original Traditional sensor to PFMN 8.2 SIZE 12.2 - Keep MTBF 14.000 (min)
  2. Re-position original High End sensor to PFMN 11.9 SIZE 8.5 MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 4 sweet sport from above table).  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 5. R&D

  1. Re-position both Traditional sensors to PFMN 8.9 SIZE 11.5 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 12.8 SIZE 7.6 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 5 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 6. R&D

  1. Re-position both Traditional sensors to PFMN 9.6 SIZE 10.8 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 13.7 SIZE 6.7 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 6 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 7. R&D

  1. Re-position both Traditional sensors to PFMN 10.3 SIZE 10.1 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 14.6 SIZE 5.8 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 7 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 8. R&D

  1. Re-position both Traditional sensors to PFMN 11.0 SIZE 9.4 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 11.5 SIZE 4.9 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 8 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

TIPS: Lower MTBF to the minimum of the range (except Performance segment only)

From Round 1 to Round 8, for all the rounds, when we do R&D, we should lower MTBF to the minimum of the range in order to save cost and increase contribution margins.

The is the key Profit Driving tool since Reliability only accounts for small percentages of the Customer Buying Criteria (see all the 5 segments to see details, in Capstone Courier Report every year, page 5-9).

Note: If we want safe strategies, keep MTBF as average.

Except only Performance segment, we keep that max MTBF at 27.000, for all the other 4 segments, we select minimum MTBF eg. Traditional to 14.000, Low End to 12.000, High End to 20.000 and Size to 16.000

We set MTBF for Performance to max 27.000 because buying criteria for this segment is 43%. See following figure.

Again, the numbers for each Industry is changed when game created for different class or group, so we need to check the number from Industry Report and Capstone Courier every round (year).

If we want to compete is 3-4 segments (not all 5), the two most potential and profitable are Low End and Tradition.

They are most potential lucrative.

We need to read reports for Round 1, Round 2 and Round 3 and then in Round 3 and 4 we will select to leave 1 or 2 least competitive which have least profit.

Creating 1 new segment, eg. Low End is good (often in Round 1)

Creating 2 new segments, eg. Low End and Traditional will provide more Profits in later Round, eg. 5-6-7 and 8. (Often we create New Traditional in Round 2)

In Round 3, we can create new High End segment (more profitable). However, if we see strong competition in High End, we should create new segment in SIZE (better than Performance - high cost).

 

TIPS: Re-position Low End sensor for only ONE time in Year 3

The original Low End sensor should only be re-positioned once for the entire game, not to the Ideal Spot. 

The Traditional segment sweet spot is the same with Ideal, Drift spots because Ideal Offsets is 0-0 for this segment.

The High End, Performance, and Size segments have sweet spots half way from Drift to Ideal Sport. We can use excel file to calculate (download at the end of this article).

Note: If Sweet spot with half way cost too much and too long time to R&D, we can select strategy 4 with 1/3 way from Drift to Ideal spots.

We upgrade original Low End only one time for the entire game, upgrade in Year 3 with specification of Year 4 Sweet Spot (PFMN 4.1 - SIZE 16.3 or PFMN 4.9 - SIZE 15.5) - The new Low End segment will be created in Year 1 with Sweet Spot specification of Year 4.

Note that all figures to input in your game is different from this articles, you should get number from Industry report, put 1 line in Excel file and get your own game figures. Just input in only Round 0 - Strategy 1 --> Then all tables will be updated.

See the table bellow for details.

Note: if any products which do not require Age as 0-1 year, we do not have to update every year, we can update to Pfmn and Size of 2-3 years later. Then the products can meet requirement better and sell better.

------

So, when we start Simulation Game 2017, we can have 4 options or 4 different strategies.

Option 1. Follow Drift suggested from Industry Condition Report (each Industry is different from others

We can use the Excel file to calculate Specifications for R&D more easily.

 

 

 

WE NEED TO INPUT FIRST LINE (ROUND 0) WITH SPECIFIC NUMBERS FROM INDUSTRY CONDITION REPORT OF YOUR OWN INDUSTRY (THIS LINE LOOK FAMILIAR BUT THEY ARE DIFFERENT FROM ANY GAME TO GAME, CLASS TO CLASS).

The segment circle drift rates is the 2nd bottom line (Note to get data from Your Industry Condition report to Excel file)

The segment Ideal Spot Offset is the bottom line (Note to get from Your Industry Condition report to Excel file)

If we follow this strategy, our products are up to date but not very competitive, because most of competitors try to upgrade toward Ideal Sport which is much better specifications.

 

Option 2. Follow Drift plus Ideal Spot Offsets suggested from Industry Condition Report (each Industry is different from others)

This strategy is the Highest upgrade specification, therefore, it often cost too much and takes too long time for R&D.

Also, this specification is too good, (ideal), so, we often out of stock, we can not produce enough to sell to market.

Then, we get less Profit.

 

If should not follow strategy 2, it is too much advance in R&D and it cost too much time and money.

 

OPTION 3. Half way from Drift to Ideal Spot Specification.

 

OPTION 4. One third way from Drift to Ideal Spot Specification

 

We often start with Strategy 4 or 3 above. It is the best way to get Profit and also Competitiveness at the same time.

 

 

NOTE: R&D Specifications and Revision Date

Make sure that  R&D projects complete in the same year, before 31st December same year, or we can not sell new products in the year.

If we can not upgrade products as our plan, we can try as close as possible, it is important that new products are launched in the year, from June to July. Some may say, 26th June for example.

There are 2 exceptions to this rule:

1. Creating a new Product can take longer than a year

2. Upgrading Original Low End sensor for only 1 time in Round 3 will take longer than 1 year.

Note that, as long as new products are not ready, old versions are still being sold  with old specifications.

If new product is ready in November 30, we have only 1 month to sell them, so we will not get much profits from this new R&D.

We need to create a base for our strategy, we can use excel file like this - LINK TO FILE 

NOTE: Numbers for the first line is taken from Industry Condition Report. Each Industry has DIFFERENT starting numbers, so, we need to input these Specification in the excel file to create our own STRATEGIES.

We need to download Industry Condition Report from our own game to create plan for all rounds ahead.

Note to put Specification of your own Industry in to this line in excel files. We need to put that in one line only, other lines will be automatically calculated for all 8 rounds to Drift spots, Ideal spots and all 50% to sweet spots.

Check all the figures carefully to make sure we are setting plan with correct numbers from Industry Report. Also, we check with report after each round to adjust Pfmn and Size for each product after each round.  


We can set 1 or 2 or 3 different strategies.

Strategy 1. Increase specifications with Drift Rates

Strategy 2. Increase specifications with Drift Rates and Ideal Offsets.

Strategy 3. Increase specifications with Drift Rates and 1/3 Ideal Offsets (+30%)

Strategy 4. Increase specifications with Drift Rates and 1/2 Ideal Offsets (+50%)

We can also follow different strategies to win the game, with high Net Profit, high Market share, and other Financial factors including ROE, ROA.

 

TIP. Add or change specification each round depending on Time to launch, should be in June and July same year so we have enough time to sell new products.

TIP. This tip is quite sophisticated, if we find a product with 2-3-4 years of age, we do not have to upgrade every round, so we can upgrade 1 time for a few years ahead, eg. Low End product, we can upgrade 1-2 times only.

TIP 02 - MARKETING - 8 Rounds guides - Round by Round Guide from Round 1 to Round 8

 

Apply  $2.000 for promotion and sales budgets for Traditional and Low End, because above this level, diminishing returns are experienced.

Apply $1.500 for High End, Performance and Size segments.

Keep this spending from Round 1 to Round 3, until we can decide which segments we will continue. Then, we increase all segments to $2.000 to compete. 

For segments, we do not want to continue, for example Performance or Size, we reduce budgets for that segment to only $0.

Eg. PRICE $35

Promo Budget: 1.500

Sales Budget: 1.500

Forecast: 1.580

This is for basic Marketing decisions. 

For Promotion, we continue $ 2.000 until we reach 100% awareness. Then we can cut it back to $ 1.400 per round.

For Sales, we continue $ 2.000 until we reach 100% accessibility. Then we can scale back to $ 1.650 for each sensors.

TIPS:
We can increase much higher, or even max, to see how much awareness and accessibility we can get, just click CALCULATION button to see how much we get for that year. Then we can increase or decrease spending to get 100%.

NOTE:

Budget for sales, accessibility for multiple sensors in a segment, they are combine together.

See figures in followings:

We can adjust the percentage to focus on products we want to promote more than the others.

 

 

Free Personal Support for 2 rounds

Videos Explanations for All decisions. 

Help with MBA Simulation Games 24/7

Email to: mbahelp2002@gmail.com

 

NEW FREE (Downloads)

1. Excel file for All Decisions Calculation 8 Rounds - LINK 1

2. All Winning Guides and Tips with 6 Different Strategies - LINK 2

 

 

 

 

PRICING

Each round we can lower all prices down at least $ 0.50 from maximum price of the segment to keep up with customer expectation (lower each year)

We can create in excel file a table for Prices to keep track of lowering prices every year - LINK

We need to check from Capstone Courier Prices (from page 5 to page 9) to see max prices for each segment, in the top product at the end of each page

 

If competitors are cutting prices in Traditional and Low End segments, we need to lower prices to close to their levels.

However, when competitors lower their prices too much, they will not have enough capacity to sell, also they suffer stock out.

We can still keep prices higher and get market shares at higher profit level. This is why we need to calculate demands and plan production as precisely as we can.

NOTE

We DO NOT have to compete with prices in High End, Size and Performance, because buying criteria is low, only 9 - 19%

 

SALES FORECASTING

Do not trust computer suggestions, they always wrong.

We have a formula to calculate and forecast sales for next round

1. Get Market shares from Page 10 of Courier Report

2. Get Total Sales also from Page 10 

3. Get Market potential growth for each segment from page 5 to 9 

Sales forecast = Potential market share % x Segment size x (1 + Segment Growth Rate).

Note:

Page 10 gives us Potential Market share, we use this (do not use actual market share)

If we think we can sell more, we can just adjust the percentage.

Note:

We can use Excel file to calculate more conveniently. Use 8 sheets for 8 round, just copy and paste number from Courier Report Page 10, Page 4 and select market growth rate from page 5-9 into each sheet. We can get Sales Forecast and also Production.

Download the Excel file from here - LINK

If you need help, we can create a file for you for FREE - email: mbahelp2002@gmail.com 

See figure

NOTE: Use potential market share (RIGHT Column) to calculate and forecast sales.

 

NOTE

You can copy and paste into excel file, then it can calculate automatically Sales and Productions. You can adjust the percentage if we think we can sell more or less.

Tip:
We can add 500 products for newly added products, they often sell well because of high Pfmn and smaller size than expected. And, increasing capacity every round for new products. We need to add capacity and automation to new product right from the year of R&D so that we can have new capacity to produce as soon as the R&D in completed.

 

 

TIP 3 - Re-position Low End sensor for only ONE time in Year 3

The original Low End sensor should only be re-positioned once for the entire game, not to the Ideal Spot. 

The Traditional segment sweet spot is the same with Ideal, Drift spots because Ideal Offsets is 0-0 for this segment.

The High End, Performance, and Size segments have sweet spots half way from Drift to Ideal Sport. We can use excel file to calculate (download at the end of this article).

Note: If Sweet spot with half way cost too much and too long time to R&D, we can select strategy 4 with 1/3 way from Drift to Ideal spots.

We upgrade original Low End only one time for the entire game, upgrade in Year 3 with specification of Year 4 Sweet Spot (PFMN 4.1 - SIZE 16.3 or PFMN 4.9 - SIZE 15.5) - The new Low End segment will be created in Year 1 with Sweet Spot specification of Year 4.

Note that all figures to input in your game is different from this articles, you should get number from Industry report, put 1 line in Excel file and get your own game figures. Just input in only Round 0 - Strategy 1 --> Then all tables will be updated.

See the table bellow for details.

 

 

TIP 4 - Lower MTBF to the minimum of the range (except Performance segment only)

From Round 1 to Round 8, for all the rounds, when we do R&D, we should lower MTBF to the minimum of the range in order to save cost and increase contribution margins.

The is the key Profit Driving tool since Reliability only accounts for small percentages of the Customer Buying Criteria (see all the 5 segments to see details, in simulation Courier Report every year, page 5-9).

Except only Performance segment, we keep that max MTBF at 27.000, for all the other 4 segments, we select minimum MTBF eg. Traditional to 14.000, Low End to 12.000, High End to 20.000 and Size to 16.000

We set MTBF for Performance to max 27.000 because buying criteria for this segment is 43%. See following figure.

Again, the numbers for each Industry is changed when game created for different class or group, so we need to check the number from Industry Report and simulation Courier every round (year).

 

If we want to compete is 3-4 segments (not all 5), the two most potential and profitable are Low End and Tradition.

They are most potential lucrative.

We need to read reports for Round 1, Round 2 and Round 3 and then in Round 3 and 4 we will select to leave 1 or 2 least competitive which have least profit.

Creating 1 new segment, eg. Low End is good (often in Round 1)

Creating 2 new segments, eg. Low End and Traditional will provide more Profits in later Round, eg. 5-6-7 and 8. (Often we create New Traditional in Round 2)

 

In Round 3, we can create new High End segment (more profitable). However, if we see strong competition in High End, we should create new segment in SIZE (better than Performance - high cost).

 

------

So, when we start simulation 2017, we can have 4 options or 4 different strategies.

Option 1. Follow Drift suggested from Industry Condition Report (each Industry is different from others

We can use the Excel file to calculate Specifications for R&D more easily.

 

WE NEED TO INPUT FIRST LINE (ROUND 0) WITH SPECIFIC NUMBERS FROM INDUSTRY CONDITION REPORT OF YOUR OWN INDUSTRY (THIS LINE LOOK FAMILIAR BUT THEY ARE DIFFERENT FROM ANY GAME TO GAME, CLASS TO CLASS).

The segment circle drift rates is the 2nd bottom line (Note to get data from Your Industry Condition report to Excel file)

The segment Ideal Spot Offset is the bottom line (Note to get from Your Industry Condition report to Excel file)

If we follow this strategy, our products are up to date but not very competitive, because most of competitors try to upgrade toward Ideal Sport which is much better specifications.

 

Option 2. Follow Drift plus Ideal Spot Offsets suggested from Industry Condition Report (each Industry is different from others)

This strategy is the Highest upgrade specification, therefore, it often cost too much and takes too long time for R&D.

Also, this specification is too good, (ideal), so, we often out of stock, we can not produce enough to sell to market.

Then, we get less Profit.

 

If should not follow strategy 2, it is too much advance in R&D and it cost too much time and money.

 

OPTION 3. Half way from Drift to Ideal Spot Specification.

OPTION 4. One third way from Drift to Ideal Spot Specification

 

We often start with Strategy 4 or 3 above. It is the best way to get Profit and also Competitiveness at the same time.

TIP 5 - R&D 8 Rounds guides - Round by Round Guide from Round 1 to Round 8

Note: 

In order to apply this Round to Round strategy for R&D, we need to create an excel file with your own data from Industry Condition Report and put data in Excel file to get more precise numbers.

Step 1. Download Industry Condition Report (from your game)

Step 2. Download Excel file for automatic calculation strategies and decisions

FREE DOWNLOAD - LINK

Back up link - LINK

 

Step 3. Very important

Open page 2 of Industry Condition Report and get the Table 2, first line for Round 0  and put that numbers in Round 0 in Excel file, then the file will automatically calculate all decisions for 8 rounds, with 4 different STRATEGIES.

DO NOT USE THE DEFAULT numbers in excel file, that is a little bit different from YOUR GAME (creator and administrator change the numbers when new industry is created for new class).

--> Get Round 0 number from Industry Condition Report

--> Put into Excel file, Round 0 (only 1 row) --> Then the file will automatically calculate all the decisions

(Check Drift and Ideal Offsets - 2 last rows of table 1 -  they often do not change for all game)

 

We can use the Excel file to calculate Specifications for R&D more easily.

If you have come to this Step. We are half way win the simulation Simulation !!

Again, this Round to Round guides can apply if we start from Round 1.  DO NOT use this suggestions if you are already in the middle of the game, having completion several rounds without this guides. If so, your company may not have enough upgrades and automation to follow this suggested strategy, you can refer to other TIP to Rescue Company or Mid Game Tips.

Now, if you are in Round 1, we can apply this Round to Round Strategy and Win the game.

The numbers are from my game, you need to use your Excel file, numbers will be a little different. If you can not create your file, email: winsimulation2012@gmail.com - I can create a file for you for FREE.

We use the following strategy for the guides and winning TIP in Round to Round Strategy.

 

 

 

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R&D: Research and Development

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

ROUND 1. R&D

  1. Create a new Low End sensor PFMN 4.1 - SIZE 16.3 MTBF 12.000 - this is Low End sweet spot  Year 4
  2. Change original Low End sensor MTBF to 12.000 (don't re-position original Low End)
  3. Re-position original Traditional sensor to PFMN 6.1 SIZE 14.3 MTBF 14.000 (min)
  4. Re-position original High End sensor to PFMN 9.2 SIZE 11.2 MTBF 20.000 (min)
  5. Re-position original Performance sensor to PFMN 9.8 SIZE 16.0 MTBF 27.000 (max)
  6. Re-position original Size sensor to PFMN 4.4 SIZE 10.6 MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 2. R&D

  1. Create a new Traditional sensor PFMN 8.2 - SIZE 12.2 MTBF 14.000 - this is sweet spot for Traditional Year 4
  2. Re-position original Traditional sensor to PFMN 6.8 SIZE 13.6 - Keep 14.000 (min)
  3. Re-position original High End sensor to PFMN 10.1 SIZE 10.3 - Keep MTBF 20.000 (min)
  4. Re-position original Performance sensor to PFMN 10.8 SIZE 15.3 - Keep MTBF 27.000 (max)
  5. Re-position original Size sensor to PFMN 5.1 SIZE 9.6 MTBF - Keep MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 3. R&D

  1. Create a new High End sensor eg. PFMN 11.9 - SIZE 8.5 - this is High End sweet spot Year 4
  2. (Optional) Create a new Size or Performance instead of High End (with round 4 sweet spot specifications)
  3. (Optional) Re-position original Performance and Size sensor ONLY if you plan to continue them (with round 3 sweet spots specification - see above table).
  4. Re-position original High End sensor to PFMN 11.0 SIZE 9.4 - Keep MTBF 20.000 (min)
  5. Re-position original Low End sensor to PFMN 4.1 SIZE 16.3 - Keep MTFB 12.0000 (this takes more than a year to complete)
  6. Re-position original Traditional sensor to PFMN 7.5 SIZE 12.9 - Keep MTBF 16.000 (min)  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

So, for 3 first Rounds, we create new Low End, Traditional and High End each Round.

We can also stop Performance and Size (we will do that by lower Promo and Sales budget to 0 in Marketing and Production).

 

ROUND 4. R&D

  1. Re-position original Traditional sensor to PFMN 8.2 SIZE 12.2 - Keep MTBF 14.000 (min)
  2. Re-position original High End sensor to PFMN 11.9 SIZE 8.5 MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 4 sweet sport from above table).  

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 5. R&D

  1. Re-position both Traditional sensors to PFMN 8.9 SIZE 11.5 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 12.8 SIZE 7.6 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 5 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 6. R&D

  1. Re-position both Traditional sensors to PFMN 9.6 SIZE 10.8 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 13.7 SIZE 6.7 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 6 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 7. R&D

  1. Re-position both Traditional sensors to PFMN 10.3 SIZE 10.1 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 14.6 SIZE 5.8 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 7 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

ROUND 8. R&D

  1. Re-position both Traditional sensors to PFMN 11.0 SIZE 9.4 - Keep MTBF 14.000 (min)
  2. Re-position both High End sensors to PFMN 11.5 SIZE 4.9 - Keep MTBF 20.000 (min)
  3. (Optional) Re-position original Performance and Size sensors only if we plan to continue them (use round 8 sweet sport from above table).   

Note: You need to adjust the number of PFMN and SIZE to get new product launch in June or July.

 

 

TIP 6 - MARKETING - 8 Rounds guides - Round by Round Guide from Round 1 to Round 8

 

 

Apply  $2.000 for promotion and sales budgets for Traditional and Low End, because above this level, diminishing returns are experienced.

Apply $1.500 for High End, Performance and Size segments.

Keep this spending from Round 1 to Round 3, until we can decide which segments we will continue. Then, we increase all segments to $2.000 to compete. 

For segments, we do not want to continue, for example Performance or Size, we reduce budgets for that segment to only $0.

 

For Promotion, we continue $ 2.000 until we reach 100% awareness. Then we can cut it back to $ 1.400 per round.

For Sales, we continue $ 2.000 until we reach 100% accessibility. Then we can scale back to $ 1.650 for each sensors.

TIPS:
We can increase much higher, or even max, to see how much awareness and accessibility we can get, just click CALCULATION button to see how much we get for that year. Then we can increase or decrease spending to get 100%.

NOTE:

Budget for sales, accessibility for multiple sensors in a segment, they are combine together.

See figures in followings:

 

PRICING

Each round we can lower all prices down at least $ 0.50 from maximum price of the segment to keep up with customer expectation (lower each year)

We can create in excel file a table for Prices to keep track of lowering prices every year - LINK

We need to check from simulation Courier Prices (from page 5 to page 9) to see max prices for each segment, in the top product at the end of each page

 

If competitors are cutting prices in Traditional and Low End segments, we need to lower prices to close to their levels.

However, when competitors lower their prices too much, they will not have enough capacity to sell, also they suffer stock out.

We can still keep prices higher and get market shares at higher profit level. This is why we need to calculate demands and plan production as precisely as we can.

NOTE

We DO NOT have to compete with prices in High End, Size and Performance, because buying criteria is low, only 9 - 19%

 

SALES FORECASTING

Do not trust computer suggestions, they always wrong.

We have a formula to calculate and forecast sales for next round

1. Get Market shares from Page 10 of Courier Report

2. Get Total Sales also from Page 10 

3. Get Market potential growth for each segment from page 5 to 9 

Sales forecast = Potential market share % x Segment size x (1 + Segment Growth Rate).

Note:

Page 10 gives us Potential Market share, we use this (do not use actual market share)

If we think we can sell more, we can just adjust the percentage.

Note:

We can use Excel file to calculate more conveniently. Use 8 sheets for 8 round, just copy and paste number from Courier Report Page 10, Page 4 and select market growth rate from page 5-9 into each sheet. We can get Sales Forecast and also Production.

Download the Excel file from here - LINK

If you need help, we can create a file for you for FREE - email: winsimulation2012@gmail.com

See figur

NOTE: Use potential market share (RIGHT Column) to calculate and forecast sales.

 

NOTE

You can copy and paste into excel file, then it can calculate automatically Sales and Productions. You can adjust the percentage if we think we can sell more or less.

TIP 7 - MARKETING - 8 Round by Round Guide from Round 1 to Round 8

 

MARKETING - Round by Round Decisions

 

Round 1 - Marketing

  1. Leave A/R lag (Account Receivable) at 30 days, this will be increased later rounds to get higher demands when we have more profits and more cash available.
  2. Leave A/P lag (Account Payable) at 30 days. This is always stay at 30 days for all 8 rounds
  3. Set Promotion and Sales budgets both for $2.000 for Traditional and Low End sensors
  4. Set Promotion and Sales budgets all for $1.500 for High End, Performance and Size
  5. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  6. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

(Note: This round we create a new Low End sensor in R&D)

 

Round 2 - Marketing

  1. Expect the new Low End sensor to sell about 0.2 x original Low End sensor market share
  2. Leave A/P lag (Account Payable) at 30 days. This is always stay at 30 days for all 8 rounds
  3. Set Promotion and Sales budgets both for $2.000 for Traditional and Low End sensors
  4. Set Promotion and Sales budgets all for $1.500 for High End, Performance and Size
  5. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  6. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

(Note: This round we create a new Traditional sensor in R&D)

 

Round 3 - Marketing

  1. If we decide to exit a segment, such as Size or Performance, keep the Promotion and Sales budgets at $0.
  2. What ever segments we decide to stay, increase Promotion and Sales to $2.000
  3. Expect new Traditional sensor to sell about 0.3 x original Traditional sensor market share.
  4. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  5. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

(Note: This round we create a new High End sensor in R&D)

 

Round 4 - Marketing

  1. Increase A/R Lag (Account Receivable) to 46 days, this helps to increase demands
  2. Once 100% awareness is reached for a sensor, in any round, we can scale back to $1.400 but need to check if can that budget maintain 100% awareness.
  3. Expect new High End sensor to sell about 0.75 x original High End sensor market share.
  4. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  5. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

(Note: This round we exit segments because we have reduced Promo and Sales budgets to $0 also we have reduce Production capacity to only 1)

 

Round 5 - Marketing

  1. Increase A/R Lag (Account Receivable) to 61 days, this helps to increase demands
  2. Note to add new market shares for new developed products, check in page 10 simulation Courier.
  3. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  4. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

 

Round 6 to 8 - Marketing

  1. Note to add new market shares for new developed products, check in page 10 simulation Courier.
  2. Once 100% accessibility is reached for a segment (in any round) we can scale back the Sales budget t $1.650 for each segment to maintain 100% accessibility. Note to adjust and then check the graphs at the end of the market table.
  3. Lower all prices at least $0.50 as indicated in the excel table or check from Courier Report for max price for that segment last year
  4. USE THE SALE FORMULA or EXCEL FILE to calculate sales forecast and production - LINK 

 

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------

TIP 8 - PRODUCTION - 8 Round by Round Guide from Round 1 to Round 8

Note to check Workforce needed and Workforce complement, if the box is editable, make sure to match the needed with This Year to save money. Otherwise we waste money.

We will increase automation every round.

Traditional to 8.0 (4.0 - 5.0 - 6. 0 - 7.0 - 8.0)

Low End to 10.0 (5.0 - 6.7 - 8.4 - 10)

High End to 5.0

Performance to 6.0

Size to 6.0

 

SETTING PRODUCTION 

Production amounts should always be 112% of Sales Forecast.

This allow some extra inventory to take advantage of competitors suffer from stock out. This often happens.

When we calculate production, we need to take in to account inventory from previous round. 

We can use excel file to calculate PRODUCTION more conveniently - LINK

If we see that year we have Stock out, we can increase production more than 112% to 120% or even 125%. If we see some inventory, we can reduce for that segment back to 112%.

 

 

ADDING MORE CAPACITY

Our goal is to keep our plant production at 150% (full first shift and 50% second shift).

This allows more flexibility to deal with short term market changes.

Remember that added capacity isn't available until next round. So if we add capacity in round 2, it will be available in round 3.

If we see any factory with more than 150% capacity, we can add more capacity to that, just simply multiple the excess over 150% with total capacity. For example 180% of 2.000 factory, we will add 30% surplus = 30% x 2.000 = 600

NOTE:

We do not sell factories, even we are not using 100% at the current round.

NOTE:

We only reduce the segments we want to exit to 1. By doing so, we can still sell the rest of inventories in that segment at full price, not 50% price.

 

TIP 9 - PRODUCTION - 8 Round by Round Strategy

If we can not complete all suggestion, try to come as close as possible.

Try to use all the budget available in the first 3 rounds and more if possible

The KEY to win simulation is to control Automation as early as possible. The more automation is better.

Round 1 - Production

  1. Upgrade original Low End sensor from 5.0 to 6.7 automation
  2. Upgrade original Traditional sensor from 4.0 to 5.0 automation
  3. Create 500 capacity with automation 5.0 for the new Low End sensor
  4. Add extra capacity for original Low End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

 

Round 2 - Production

  1. Upgrade original Low End sensor from 6.7 to 8.4 automation
  2. Upgrade original Traditional sensor from 5.0 to 6.0 automation
  3. Create 500 capacity with automation 5.0 for the new Traditional sensor
  4. Upgrade new Low End sensor from 5.0 to right 8.4 automation.
  5. Add extra capacity for original Low End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

 

Round 3 - Production

  1. Upgrade original Low End sensor from 8.4 to 10.0 automation
  2. Upgrade new Low End sensor from 8.4 to 10.0 automation.
  3. Upgrade original Traditional sensor from 6.0 to 7.0 automation
  4. Upgrade new Traditional sensor from 5.0 right to 7.0 automation
  5. Create 400 capacity with automation 3.0 for the new High End sensor
  6. Add extra capacity for new Low End sensor
  7. Add extra capacity for original Low End sensor

NOTE: check the bottom right corner to see if we use close to total available budget.

 

Round 4 - Production

  1. Upgrade original Traditional sensor from 7.0 to 8.0 automation
  2. Upgrade new Traditional sensor from 7.0 to 8.0 automation
  3. (Optional) Reduce Capacity for segments that are being exited, such as Performance and Size
  4. Upgrade original High End sensor from 3.0 to 4.0 automation
  5. Upgrade new High End sensor from 3.0 to 4.0 automation
  6. Add extra capacity for all needed sensors

NOTE: check the bottom right corner to see if we use close to total available budget.

 

Round 5 - Production

  1. Upgrade original High End sensor from 4.0 to 5.0 automation
  2. Upgrade new High End sensor from 4.0 to 5.0 automation
  3. (Optional) Reduce Capacity for segments that are being exited, such as Performance and Size
  4. Add extra capacity for new High End sensor
  5. Add extra capacity for all needed sensors

NOTE: check the bottom right corner to see if we use close to total available budget.

 

Round 6 and 7 - Production

  1. Add extra capacity for all needed sensors

 

Round 8 - Production

  1. Last round of the game, do not add any capacity or automation !!

TIP 10 - HUMAN RESOURCES DECISIONS

It is important to invest in HR because productivity is measured in the Balanced Score Card and also this investment will reduce labor costs.

Usually HR has a few options available are Recruiting Spending, Training Hours 

Aim for the maximum of $5.000 recruitment spending and 80 hours training every round.

If you have limited funds, try $2.000 and 40 hours training.

If the Labor negotiations are available, we can use half way, win - win strategy, between demanded and current contract. 

NOTE:

when input number here, double check to make sure correct numbers and avoid labor strikes.

We often use half way for negotiations, average of current contract and labor demands.

 

 

TIP 11 - TQM/Sustainability RESOURCES DECISIONS

In TQM focus on setting $1.500 to $2.000 per round for each item, select the most useful initiatives first. Continue this for three round and then stop spending money into that initiatives, because it will no longer make any significant changes. We can see this from graphs at the end of screen.

NOTE

$5.000 is the maximum budget for each initiative for the whole game.

Optimal way to add money is $2.000 - $2.000 and $1.000 or $1.500 - $1.500 and $1.000 depends on maximum allowed for each round.

Priority order for TQM initiative benefits:

  1. Reduce material costs
  2. Reduce labor costs
  3. Reduce R&D costs
  4. Increase demands
  5. Reduce SG&A expense

There are generally the best initiatives to put money in first:

  1. CCE/6 Sigma Training
  2. GEMI TQEM Sustainability
  3. CPI Systems
  4. Vendor /JIT
  5. QIT
  6. QFDE

We can apply try with different initiatives to see which one will bring more effects or most effective. Then in later rounds, we spend money in less effective initiatives when we have more extra money.

We can see the suggestions in the following tables.

 

 

 

TIP 12 - FINANCE

Finance should always be the last decision we make after all the other section decisions have been made.

How we make decisions in Finance depends on How the game will be graded.

Most groups are graded on the Balanced Scorecard.

Some groups are graded on Profit or Stock Price.

FOR ALL GRADING METRICS.

We can keep at least $16.000 (000) cash for a round to avoid emergency loans.

We can keep more cash, it is always better than lack of cash.

We need to keep right amount of cash to get MAX   Days of Working Capital (not too much, not too little).

When we have much Cash and Net Profit, we need to pay off dividends and retire stocks to increase Leverage and also get max points for Days of Working Capital.

 

 

 

We need to create a base for our strategy, we can use excel file like this - LINK TO FILE 

NOTE: Numbers for the first line is taken from Industry Condition Report. Each Industry has DIFFERENT starting numbers, so, we need to download Industry Condition Report and input these Specification in the excel file to create our own STRATEGIES (page 2 of 8 from report). Only for Round 0 of STRATEGY 1 - then other cells will be automatically updated.

Note to put Specification of your own Industry in to this line in excel files.

 

 

 

 


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