THIS COURSE IS SPECIFICALLY DESIGNED TO FILL THE GAPS OF GRADUATING STUDENTS ENTERING THE CORPORATE WORLD OR HIGHER LEVEL STUDIES, iT IS DESIGNED TO SIMULATE THE REAL REQUISITES OF THE BUSINESS AND INDUSTRIAL SECTOR FOR NEW GRADUATES ENTRANTS TO EXCEL AND COPE WITH THE GROUND REALITIES OF THE BUSINESS PARAMETERS IN DESIGN AND DECISION MAKINm
ENGLISH 7_Q4_LESSON 2_ Employing a Variety of Strategies for Effective Interp...
Business management Simulation Course
1. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
Business Management Simulations - replacement Course
Semester: Spring 2016 Instructor: Farooq Omar
Course description and intent
Dispense the opening to acquire indefensible hands-on real-time experience in
running a business as a member of middle to high ranked functional management
team. Students define craft and implement strategies and apply strategic concepts,
develop tools and techniques within a practical ‘simulated business like decision
based platform. The simulation demonstrates and establish how a firm's entire
value chain function and operate and interact, and how key decisions influence
business performance within a competitive market space and beyond. Students
compete simultaneously with fellow classmates and student management teams
organized within the class.
This course is designed as ‘self-evolving’ modules which flow as integrative
growth involving step by step disciplines around real time scenarios. The students
as ‘teams’ compete with each other in development of managerial expertise and
skills needed to be an effective managers, planners, and decision makers based on
Business Analytics and Modeling concepts, which are the key applied requisites of
any corporate and industrial arena
2. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
The following framework for business simulation will be used to inculcate real-
time assessments, critical and creative thinking into developing business processes
& value chain to run and create growth oriented business entity.
Decisions by Quarter – Business Development & Management Simulation
Quarter 1: Organize the firm and setup shop.
Determine desired image of company
o Designate a company name
Focus on process of working as a team to achieve goals
o Assess team skills, and work styles, and then assign corporate
responsibilities
o Determine how to manage the organization and establish group norms
Review market survey results—evaluate segments, markets, and potential
competition
o Analyze market opportunities
Establish corporate goals and strategic direction
o Select target segments
o Write mission statement
o Specify and rank order corporate goals
o Establish strategic direction
Sell 2 million in stock to executive team
Create customer value—match components to benefits (Quality Function
Deployment)
o Design a brand for each target segment
Select test market
o Open first sales office
o Open a web center (Optional)
Setup manufacturing operations
Invest in plant capacity
3. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
Quarter 2: Go to test market.
o Sell 1 million in stock to executive team
o Human resources
Establish sales force compensation package
Establish factory worker compensation package
o Sales office management
Hire sales people—assign to segments
Open new sales offices (Optional)
Hire and assign web center staff (If applicable)
Select web traffic and productivity tactics (If applicable)
o Brand design
Revise brand designs for test market (Optional)
o Advertising
Ad copy design
Media placement and ad frequency
o Pricing
Designate brands available for sale
Set brand prices—price promotions
Set sales priority
o Manufacturing
Estimate demand per sales person
Schedule daily production
Run factory simulation
Invest in plant capacity (Optional)
o Purchase market research
o Pro forma accounting
o Project cash flow
Quarter 3: Skillful adjustment and market expansion.
Evaluate financial performance
4. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
Profitability analysis
Evaluate market performance
Customer opinion—brand designs, prices and advertising
Market demand—by company, brand and per sales person
Sell 1 million in stock to executive team
Revise marketing tactics as needed, and continue test marketing
Brand designs
Brand prices, price promotions and sales priority
Sales force numbers and assignments
Web marketing tactics
Compensation packages
Advertising copy
Media placement and frequency
Sales office management
Open new sales office (Optional)
Establish production plan for quarter
Review production results from previous quarter
Forecast demand by brand
Set daily production schedule for each brand
Run factory simulation
Invest in plant capacity (Optional)
Purchase market research
Pro forma accounting
Project cash flow
Quarter 4: Invest in the future.
Evaluate financial performance
Use activity based costing (ABC) to evaluate profitability
of brands and sales offices
o Evaluate market performance
Customer opinion—brand designs, prices and advertising
Market demand—by company, brand and per sales person
Competitor tactics—segments targeted and selection of
marketing tactics
5. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
Conduct demand analysis to estimate brand, price, advertising, and sales
force elasticity
o Develop one year business plan
Goals—marketing, financial and ownership
Marketing strategy
Manufacturing strategy
Financial strategy
Pro forma cash flows and financial statements
Size of equity request, number of shares offered, and share
price
o Present business plan to venture capitalists and negotiate equity
investment (consult your instructor or Marketplace processing center
for details)
Consider taking out conventional loan
o Invest in R&D for new brand components
o Begin global roll out of business plan
o Revise marketing tactics as needed
Brand designs
Brand prices, price promotions and sales priority
Sales force numbers and assignments
Web marketing tactics
Compensation packages
Advertising copy
Media placement and frequency
o Sales office management—expand market coverage
Open new sales office(s)
o Revise production decisions as needed—improve production
economies
Forecast demand by brand
Set daily production schedule for each brand
Run factory simulation
Invest in plant capacity
o Purchase market research
6. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
o Pro forma accounting
- Project cash flow
• Prepare tactical plan
Quarter 5: Expand the business strategy.
o Evaluate team performance—self-assessment of roles played,
contributions made, and adjustments needed
o Evaluate performance—financial, marketing, and competitive
o Manage strategy
Unanticipated competitive moves
Financial capability
Skillfully adjust strategy
o Marketing—make incremental changes in tactics
Review market research
Use activity based costing (ABC) to evaluate profitability of
brands and sales offices
Conduct demand analysis to estimate brand, price, advertising,
and sales force elasticity
o Brand design—increase demand
Brand ratings
Continuously improve component selection (R&D)
Introduce new brands with new R&D components
Explore R&D licensing opportunities and strategic alliances
o Human resources—motivate employees
Compensation packages
o Sales channels—expand market coverage
Open new sales office(s)
Increase sales force
Revise sales force assignments—target most profitable
segments
Web marketing tactics—increase visitor sales and customer
satisfaction
o Advertising—increase demand
Ad copy ratings
Media placement and frequency
7. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
o Pricing—increase demand
Brand prices, price promotions and sales priority
o Revise production decisions as needed—improve production
economies
Forecast demand by brand
Set daily production schedule for each brand
Run factory simulation
Invest in plant capacity
o Purchase market research
o Pro forma accounting
Project cash flow
Company performance report
Learning Outcomes
This Business Simulation course offers students a strong and broad business
modeling by integrating courses in Management, Finance, Marketing, Information
Technology, Supply Chain and Project Management. Students will learn pragmatic
business skills such as problem solving, decision making, team building and
strategic planning & execution. In addition, the BBA simulation coursework
includes a unique Project Management focus that imparts and equips specialized
skills often desired by corporate and industrial employers. BBA students will also
focus and develop their newly acquired skills and knowledge during a required
time frame. All baccalaureate students will enact a practical contact with and
observation of facts derived from diversified job centric curriculum that will
prepare them for a wide variety of business career fields – in addition to their
school learning.
Grading Criteria
Case Module analysis/QUIZ 7*5 = 35%
Class participation & Discussion 10%
8. Business Management Simulation Course Work. Institute of Management Sciences
(PAKAIMS) February 2016. Author: Farooq Omar, Copy Rights Reserved by the author
Assignments (Module Presentations)
Mid Term 20%
Modular Presentation (Individual) 05%
Final Examination 30%
______
Total 100
Note: All material and knowledge resource will be provided by the
faculty. Due to the nature of the course, try to avoid class ‘bunks’ and
late comers will suffer. No delayed work will be entertained unless it is
approved by the (IMS) Dean and the PAKAIMS Registrar.
Prepared by Farooq Omar