Decision Making Process Analysis

Decent Essays

Describe your decision-making process for Yearly decisions. With any company the goal is to increase your sales and to decrease your cost at the same time. This can be somewhat of a challenge and can take time to achieve. Our goal was to increase our sales and decrease our production costs. Over the years our sales increased, as our sales increased so did our production costs. The demand was increasing so we improved and increased the amount of product that we made. Over all our net income increased. In year six it was $61,278, year seven was $68,237, year eight was $73,585, and year nine was $90,805. Our expenses fluctuated over the years, but we were consistent in increasing our profit. Did your decision-making process change as the simulation …show more content…

It is important to recognize which areas need to be improved and how to improve them. It is important to now to change things drastically as well. Overall we still stick with the same goal of increasing our sales and decreasing our costs. Our goal was to earn the most market share as we could with drastically low prices and then, when we maxed out on market share, raise our prices to be competitive with the other companies. We expected our market share to hold a little better than it did when we raised our prices. This brought us to re-consider our strategy and be a little more conservative and a little less aggressive. Describe three general lessons that your group learned about decision-making in the simulation environment that you would recommend to the next class using the simulation, being sure to note why you believe your recommendations would be effective. The first lesson that I learned that it is hard to work in a group setting when we all have different schedules. I would have liked to seen more communication when it comes to the decision making. Some of the team members are still confused by the whole simulation. My suggestion for the next class is to setup a time each week were everyone can work on it at the same time. Maybe phone calls would provide a faster response to

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