Learnings from Capsim Simulation

1206 WordsDec 9, 20125 Pages
1. Incorporating Learning of DM I in Capsim Simulation Following were some of the key learning of DMT - I which we incorporated in Capsim Simulation: 1.1 Setting the Right Objective The most important take away from DMT - I was it is important to set a right objective. Even if we correctly solve a wrong problem, there is no use. Hence, as we set forth our DM 2 journey we ensured that the whole team was clear of the end Objective. A lot of deliberation and debate went into finalizing the objective. From DMT - I, we were aware of the following issues which hamper decision making, issues like Group think, decisions made on Judgment alone and random methodologies. We took enough care we avoid such issues while finalizing on our…show more content…
The industry witnessed several industry level stock outs, because of low production capacities. Ideally most should have been made of the situation. We should have seen the opportunities and worked to achieve way beyond our set goals. 2.5 Keeping Long term Goals in mind One of success parameters were profits, though we did manage to make significant profits over the last two years, we did not focus on it early in the game. The profit parameter was considered as an average. We did not take any corrective measure to increase our profit margins early in the game. While focusing on immediate goals keeping long term goals in mind is also important. 2. Aspects of the simulation which we found most difficult 3.1 Impact of Decision Each decision that we made had an impact. What was difficult to comprehend was had we considered all possible scenarios while making the decision. Any of the following could result in a bad decision. 3.1.1 Missing out a possible factor It was important to consider all possible scenarios while considering a decision. In one of the cases we did not consider the possibility of other products coming in the rough area of our product. We predicted a stock out and raised prices. However, there was no stock out and we had left over inventory. Though the decision was not bad, however the fact that we did not consider all possible scenarios made the decision bad. 3.1.2 Failure to nullify impact of

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