Transcript Case 3 Manufacturing..

5621 Enterprise System Collaboration
Summer B - 2012
Team DD
Cristina Bisambra
Marta Gomez
Cristina Rodriguez
Julio Duharte
Marketing Manager
Sales Manager
PP Manager
CEO
Strategy
Our company followed the initial strategy to the
point by identifying the most profitable items in
round one, investing in marketing on all three
quarters focusing on the south region which had
the largest quantity of retail stores and
hypermarkets. Also, maintaining good inventory
with high margins, and releasing production on time
to prevent days without stock.
Profit & Revenue
Profit & Revenue
400,000,000 €
350,000,000 €
353,381,041 €
328,200,465 €
300,000,000 €
336,576,403 €
251,142,524 €
235,531,022 €
248,669,431 €
250,000,000 €
200,000,000 €
150,000,000 €
100,000,000 €
50,000,000 €
0€
DD
EE
Sum of REVENUE
FF
Sum of PROFIT
Percentage Revenue Per company
% Revenue for Company EE
% Revenue for Company DD
1 Kg Raisin Muesli
13%
1 Kg Nut Muesli
22%
1 Kg Strawberry Muesli
14%
19%
15%
1 Kg Blueberry Muesli
1 Kg Mixed Fruit Muesli
16%
1 Kg Original Muesli
% Revenue for Company FF
1 Kg Mixed Fruit Muesli
11%
21%
15%
1 Kg Raisin Muesli
1 Kg Nut Muesli
18%
17%
18%
DD 1 Kg Raisin Muesli
9%
1 Kg Blueberry Muesli
1 Kg Strawberry Muesli
1 Kg Original Muesli
13%
22%
DD 1 Kg Nut Muesli
DD 1 Kg Mixed Fruit Muesli
14%
21%
21%
DD 1 Kg Strawberry Muesli
DD 1 Kg Blueberry Muesli
DD 1 Kg Original Muesli
Percentage Revenue Per Product Per
company
Percentage Revenue Per Product Per
company
Percentage Profit Per Product Per
company
Percentage Profit Per Product Per
company
Marketing Expenses Per Product Per
Area
Marketing Expenses Per Product Per
Area
Marketing Expenses Per Product Per
Area
Marketing Expenses Per Product Per
Area
Price Changes For Each Company
Daily produced Quantity Per Product
Daily produced Quantity Per Product
Daily produced Quantity Per Product
Purchase Orders Vs. Quantity Per Product
Released POs for Company DD
450000
400000
350000
300000
250000
200000
150000
100000
50000
0
Blueberries
Large box 1kg
Large plastic bag 1kg
Nuts
Oats
Raisins
Strawberries
4500000117
4500000118
4500000119
4500000120
4500000124
4500000125
Wheat
Released POs for Company EE
900000
Blueberries
800000
Large box 1kg
700000
600000
Large plastic bag 1kg
500000
Nuts
400000
Oats
300000
Raisins
200000
Strawberries
100000
Wheat
0
4500000115
4500000116
4500000123
Purchase Orders Vs. Quantity Per Product
Released POs for Company FF
300000
Blueberries
250000
Large box 1kg
200000
Large plastic bag 1kg
Nuts
150000
Oats
100000
Raisins
Strawberries
50000
Wheat
0
4500000113
4500000114
4500000121
4500000122
4500000126
4500000127
Days without any product in stock in each
company
Correlation between Inventory
and Profit
6000000
5000000
4000000
3000000
2000000
1000000
600000
591022
587401
457291
542276
276198
208515
245744
186877
177107
163224
170964
129795
125151
119061
114303
109006
98254
94747
89342
74916
50709
35118
0
The correlation between inventory and profit is – 0.740. This
means that as inventory increases, the profit decreases, and vice
versa.
Correlation between Marketing
Expenses and Revenue
Correlation between Marketing
Expenses and Profit
9000000
6000000
8000000
5000000
7000000
6000000
4000000
5000000
3000000
4000000
3000000
2000000
2000000
1000000
1000000
0
0
3980
8220
12120
13770
15140
16780
17775
18675
19575
21835
25425
28955
32525
36745
40580
43160
47150
47150
43160
36745
40580
32525
28955
25425
21835
19575
18675
17775
16780
15140
13770
12120
8220
3980
0
0
The correlation between marketing expenses and profit is 0.961 and the correlation between
marketing expenses and revenue is 0.968. This means that there is a strong positive
relationship between both elements. As the cost of marketing expenses increases, so does the
revenue in sales and thus profit, and viceversa.
Group EE and FF Strategies
The strategies for Companies EE and FF were very
similar to ours. High Margins, investment in marketing,
maintain inventory, and controlling the releasing of
production. The only difference was that these
companies maintained their high prices the entire
game which lead them to higher profits at the end of
the game.