ANDREW
S
Aakash Kulkarni
Devarsh Shah
Raunak Tandon
Sayali Joshi
Utsav Agarwal
AGENDA
Introduction
 R& D – Learnings
 Marketing – Learnings
 Production – Learnings
 Finance – Learnings
 HR and TQM – Learnings
 Conclusion

INTRODUCTION
Andrews !!!!
 Products:










Able (Traditional, now discontinued)
Acre (Low segment)
Adam (High segment, now discontinued)
Aft (Performance)
Agape (Size)
Aqua (Traditional)
Ace (High segment)
R& D LEARNINGS
-AAKASH
R & D – LEARNINGS
R & D is the backbone of the company and
must be handled carefully.
 Calculate the time and note the position you
would like to be in and move towards it.

LEARNING 1 : NEVER DO A REVERSE R & D


Round 1 
Reverse R &
D for Acer
(Low
Segment) and
revised in
round 5.
LEARNING 2: DOMINO EFFECT !!!
2014

2015
OTHER LEARNINGS
Do not spill over R & D to next year.
 Never easy to come back so be careful.
 Look at what your competitors are doing.
 Introduce new product early in the market.
 R & D a product which the market wants!!!

MARKETING LEARNINGS
-DEVARSH
LEARNING 1: UNDERSTANDING CUSTOMER
SURVEY
Round 7

Inventory: 473

Inventory: 195
LEARNING 2: POOR DEMAND FORECAST
Round 2

Round 7
LEARNING 3: MARKETING BUDGETS
Round 6
PRODUCTION LEARNINGS
-RAUNAK
LEARNING NO 1


Not reducing capacity in the initial rounds

Round 0

Round 3
LEARNING NO 2


Not doing automation as soon as possible

Round 2

Spent 43.2 million on
LEARNING NO 3


Automation was done on the entire capacity
without reducing to the ideal capacity
Sunk cost

Round 3


Selling all automated capacity in the
traditional segment in Round 4
LEARNING NO 4


Selling capacity in Low and High segment in
Round 5
LEARNING NO 5


Buying capacity in Low and Traditional
segment with as much automation possible
in Round 6
LEARNING NO 6


Sold capacity in Traditional and Low segment
in Round 8
FINANCE LEARNINGS
-RAUNAK
LEARNING 1


Finances must not drive your business,
business must drive your finances –Coach



Not considering the date of retirement of loan
 Retirement

of LTL of 6.950 million : overlooked
the fact that the repayment was due. Thus, cash
reserves were affected.
 Emergency loan.
LONG TERM LOAN
EMERGENCY LOAN
LEARNING 2
Finance drove the decisions of other
departments.
For, E.g.:
•

Affected the sales and promotion budget in the
initial stages which had a long term impact on
customer survey score.
(round 2 low end segment pic)
•
ROUND 2 LOW END SEGMENT
LEARNING 3: CONTRIBUTION MARGIN
Year
0
Andrew
s
28.3

1

2

3

4

5

6

7

8

30.8

32.1

30.9

32.0

27.5

26.9

19.7

28.9

7

8

Trend of contribution margin
35.0%

30.0%

25.0%

20.0%

15.0%

10.0%

5.0%

0.0%
0

1

2

3

4

5

6
CONTRIBUTION MARGIN AS COMPARED TO THE
INDUSTRY
Year

Andrews

Industry Average

0

28.3%

28.3%

1

30.8%

29.9%

2

32.1%

32.3%

3

30.9%

37.7%

4

32.0%

43.9%

5

27.5%

39.1%

6

26.9%

37.0%

7

19.7%

34.7%

8

28.9%

38.8%

Average

32.14%

40.20%

Deviation

8.07%
WHERE ANDREWS LOST !!
CONCLUSION
READ THE INSTRUCTIONS !!!
 A decision taken in the beginning can have
its implications till the last round. So be
careful !!!
 See what your competitors are doing and
take decisions accordingly.


Capstone presentation (2)