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iBizSim: International
Business Simulations
Prof: Pramode Ullal
5/14/2015 Keith Ullal 1

Agenda – Day 1
• Morning Session 1:
– Introduction to iBizSim
– Student Interface, reports
• Afternoon Session 3:
– Quiz 1
• Afternoon Session 4:
– Goals and objectives in the Learning Phase
– Review of Excel formulas
– First Planning Template – Version 1

Daily Schedule
• Session 1 - 9:30 am to 11:00 am
• Break - 0:15 minutes
• Session 2 - 11:15 am to1:00 pm
• Lunch 1:00 pm to 2:30 pm
• Session 3 - 2:45 pm to 4:15 pm
• Break - 0:15 minutes
• Session 4 - 4:30 pm to 6:00 pm

Agenda – Day 1
– Introduction to iBizSim

Who and What
• Who is Elon Musk?
• What is the Tesla?
All Electric Luxury Car
selling at $69,000

TESLA
BGR – March 31, 2015 – Y. Heisler
• Elon Musk: “I Was Screwed Over By
Chinese Customers”
• “The company has faced quite a few
bumps in the road to conquering the
Chinese market”
• “Tesla sales in China last year were not as
high as the company expected and the
company fired a bunch of executives in
China”.

TELSA
• “Last year, the number of pre-orders for
Tesla cars was much higher than actual
sales”
• “These “speculators,” who ordered a car
but backed out of the deal caused the
illusion of extremely high market demand
for Tesla cars in China”

TELSA
• “The company, therefore, had way too
much inventory in China last year
because of these fair-weather customers”
• However, Musk said “ I am optimistic for
Tesla's future in China, where we will still
make tons of money by selling
extremely expensive cars to very rich
people”

Introductions
• Prof. Pramode N. Ullal
• Born in Mumbai, India
• College education(BSEE, MBA)
• Resident on India till 1967
• Resident of USA from 1967 to 2008
– Engineering and Operations
• Resident of China from 2008 to 2014
– Teaching
• Resident of India 2015

Student Introductions
•State your name and area of specialization.
•Why are you in this class?
•What are your expectations from this
workshop?

Summary of this
Business Simulation Class
• You will learn to develop increasingly
complex spreadsheets over the next 4
days
• ..iBizSim Course SM1LP Doing
PhasePlanning Template Doing Phase
SM1DP.xlsx

Summary of this
Business Simulation Class
• These spreadsheets will enable you to
analyze the state of your company over 4
quarters and in 2 different scenarios
• You will enter your decisions into the
business simulation application
• And view the results of your decisions

Introduction to iBizSim
Review and Emphasize
• Please turn off your cell phones or put
them in a “silent mode”:
• It will become a distraction when team
discussions are in progress
• You should be seated with you team
members
• If you are logged in to the “Student
Interface” logout now

Review and Emphasize
• When using iBizSim do not use IE
(Internet Explorer).
• Use the following browsers in this order:
1. Mozilla Firefox
2. Google Chrome
3. Apple Safari

• iBizSim is not an online learning tool
• The “Student Interface” has a timeout
function.
• If there is no activity the session time
expires, the account is locked
• Students will have to request the instructor
to unlock the account
• Are there any students who have been
locked out of the Student Interface?

• How to unlock student account: Instructors Only
1. Login to the “Instructor Interface”
2. Select “course”
3. Select “student”
4. Choose “User ID”
5. Unlock “student” (Caution-Do Not Delete
Student)
6. Submit
7. Done
8. Logout

• Best practice is to:
1. Login
2. Complete any tasks
3. Download all reports
4. And logout

Introduction to iBizSim - Review
 Teams of students take over the
management of a simulated company.
 Usually the simulated company is already
existing and running.(Period 0, of 5
periods)
 Several such simulated companies are
competing on the markets

Student Teams
MUST - FMS
Industry 1 Industry 2 Industry 3 Industry 4 Industry 5 Industry 6
Bench mark
Co 1,1-1
Bench mark
Co 2,2-1
Bench mark
Co 3,3-1
Bench mark
Co 4,4-1
Bench mark
Co 5,5-1
Bench mark
Co 6,6-1
1-2 2-2 3-2 4-2 3-2 4-2 (4)
1-3 2-3 3-3 4-3 3-3 4-3 (3)
1-4 2-4 3-4 4-4 3-4 4-4 (3)
12 Students 12 Students 12 Students 12 Students 12 Students 10 Students
Markets

Introduction to iBizSim Review
 The teams are required to analyze the
current state of the company and the
markets through:
1. Management report
2. Parameters List
3. Decisions report
4. Market reports

 The teams subsequently have to:
1. Define Business objectives
2. Develop the strategy to achieve the
objectives
3. And setup plans to implement the
strategy.
Objectives Strategy Plans

 The teams are required to create a plan in
a Word Document:
 Objectives are to be defined in the first
column
 In the second column the strategy “how”
is noted to reach those objectives
 This document is used to write your first
“Strategy Paper” at the end of the
Learning Phase

Example
Define Business
Objectives
Define Strategy (How)
in achieving these
goals
1. To increase sales by 2% in Period
1
• By lowering the sales price of
“Petra” and Quarto” by 5%
2. To increase the after tax profit
margin by 10% each Period 2
• By decreasing the production time
per unit of each product by 2%
3. Productivity Goals:
4. Growth Goals:
Quantify

 The decisions the teams make are
entered into the simulation.
 The business simulation uses a complex
algorithm to calculate:
1. Market reactions and
2. The resulting performance of the simulated
companies.
 The results of these calculations are then
available in the form of reports

 This cycle of:
 Analyzing results
 Adjusting goals
 Adapting the strategy
 Preparing decisions
 Continues for 4 Periods

 The simulated duration of a Period can
be, depending on the business simulation,
1. As short as one week or
2. As long as one year.
 The simulation is run over a number of
Periods
 iBizSim uses a Period of 3 months
 There are 4 Periods in this simulation for
each scenario.
 There are 2 scenarios (Learning &Doing)

iBizSim Simulation Cycle
4 Periods = 1 Year
Analyze the state of the business
Define business objects,
strategy and plans
Enter decisions in the Student
Interface
Calculate the results of the
simulated company
View results from reports
Period 0
Period 1
Period 2
Period 3
Period 4

 iBizSim is a general simulation that covers
all aspects of:
1. Managing a company in Germany
2. It produces consumer goods
3. For the:
4. “home market”
5. and the “export market”

 The functional areas covered are:
1. Sales
2. Logistics
3. Production
4. Purchasing
5. Finance
6. Human resources (a little of)
 There are 4 Phases in this simulation.

1. Phase 1:
Learning phase
2. Phase 2:
Strategic planning phase
3. Phase 3:
Doing phase
4. Phase 4:
Reflection phase

 Phase 1: Learning phase
 Explore and understand the simulated
environment,
 Manage the simulated company
 Learn the user interface to the business
simulation.

 Manage the simulated company for one
year.
 4 Periods
 Develop spreadsheet templates for the
sales, production, purchasing and finance
plans.
 Learn to understand and accept
teammates and start working together as a
team.

 The mistakes made and the results
achieved during the Learning Phase do
not count towards your final grades.
 The results of a company at the end of
phase 1 are not carried over to phase 3.
 In phase 3 each company starts once
again with a new initial situation.

 Phase 2: Strategic planning phase
 Use modern tools of strategic
management and strategic planning:
1. Balanced scorecard (Boston Consulting
Group)
2. Strategy map
3. SWOT analysis
4. Financial Ratio Analysis

 Balanced scorecard
 These nonfinancial metrics are valuable
mainly because they predict future financial
performance rather than simply report what’s
already happened
 Strategy map
 A Strategy map is a diagram that is used to
document the primary strategic goals being
pursued by an organization or management
team

 SWOT analysis
 A SWOT
analysis (alternatively SWOT matrix) is a
structured planning method used to
evaluate:
 Strengths
 Weaknesses
 Opportunities
 Threats involved in a project or in a business
venture

 Ratio Analysis:
 Financial analysis of the past performance
of a company:
1. The Income Statement
2. Balance Sheet
3. And Cash Flow Statement

Balanced Score Card

Strategy Map

SWOT Analysis

 Develop an integrated planning model with
a spreadsheet program and use it as a
decision planning tool.
 Analyze the state of the simulated company.
 Define the business objectives for the coming
fiscal year.
 Define the strategy for achieving those
business objectives .

 Set up plans for one year:
1. Sales
2. Production
3. Purchasing
4. Finance
 Prepare and submit a “Strategy Paper”.

 Phase 3: Doing phase
 Manage the company for another year.
 Implement the strategy defined in Phase
2.
 Develop a controlling system to check the
results.
 If necessary, make appropriate changes to
the strategy and the business plans.

 Phase 4: Reflection phase
 Analyze the results of the company at the
end of the Doing phase 3.
 Compare the results of phase 3 with the
business objectives set in phase 2.
 Understand and explain the differences
between the expected, planned values
and the achieved, actual values.
 Prepare and submit an “Analysis Paper”.

Grading - iBizSim
 Team grade
 Strategy paper (End of Phase 2) 25%
 Analysis paper (End of Phase 3) 25%
 Company performance (Doing Phase) 25%
1. Debt to Equity Ratio < 160%
2. Profit after tax = or > than Benchmark Company
3. Balanced Scorecard = or > than Benchmark
Company
 Individual grade
 Quiz(zes) - 2 25%
 Total: 100%

Take Away-What have you learned
in this session and future sessions
• Examples:
– Formulating goals
– Team work
– Decision making
– Taking a risk
– Forecasting
– Evaluation of
Competitors
– Time Management
– Working under
pressure
– Effect on one
decision on another
– Learning new
technology
– Punctuality

End of Session 1
Morning – Day 1
Questions

Agenda – Day 1
– Student Interface
– Reports

Learning Phase
• Students should have read all of the
documents by downloading them before
coming to the first session
• The “Management Report” and the
“Parameter List” will provide all the
information needed for Period 0 and
transitioning to Period 1
• It will also provide all the answers to Quiz
1

Learning Phase
• An “Entry Quiz” will be taken in this
session. (Individual Grade)
• This quiz has 15 question lasting 30
minutes
• It is an open book quiz
• Except discussing answers with a team
member or classmates.

Login
• Login to the below URL Access:
• courses.ibizsim.com
• Institution ID: MUST-FMS
– Course ID: TC15L
– Company ID: Unique to each team
– User ID: Unique to each student
– Password: Unique to each student
– If you don't have a user ID as yet, please register
yourself now

Login

Register Process for
Non-Conforming Students
• Instructions on how to upload a list will be shown
the Instructors in another session
• Institution ID:
• Course ID:
• Company ID:
• First Name:
• Last Name:
• Student ID:
• Email address:
• Enter captcha code
• Register:

Register Process for
Non-Conforming Students

Name your Company
• Teams are required to name your
company
• You may have to rename your company
prior to running the simulation
• This is done by selecting “Preferences”
on the top right of the opening page
• Change the name of the company from
the default one shown

Opening Interface
• Header Panel with a menu bar
– Logout
– Preferences
• User information
• Company name
• Center Panel
– Horizontal Tabs:
– Important Message
– Logo
– Version
– License

Opening Interface

Opening Interface
• Left Side Vertical Panel:
• Welcome
• Course Summary
• Management report
• Market research report
• Parameter list
• Decisions entry (In the Future)
• Decisions report (Past and Future)
• Course documentation
• Members report

Always Read Important Messages
• Important do's and don'ts:
• Please do not use any of the browser
functions such as:
1. Clicking on the back and refresh/reload
buttons,
2. The opening of secondary tabs and
windows,
3. And bookmarking a web page while
logged in to courses.ibizsim.com

Always Read Important Messages
• Important do's and don'ts
4. If you click on the back button of your
browser, you will see a pop-up dialog box.
5. The appearance of this dialog box is
dependent on the browser that you are
using.
6. You will be asked whether you want to:
7. "Stay on (this) Page“
8. or "Leave (this) Page".

Important Message
7. Please choose to stay on the page.
8. Otherwise you may be logged out with or
without a reasonable message.
9. If you click on the refresh/reload button of
your browser, you may first see a
different pop-up dialog box.

Important Message
10.The appearance of this dialog box is also
dependent on the browser that you are
using.
11.You will be asked whether you want to:
12."Cancel“
13. or "Continue/Send/Resend" some
information.
14.Please choose "Cancel".

Opening Interface
• Download the:
1. “user manual” in PDF format
• Download the other reports in Excel
format: (.xml)
1. Management report
2. Market research report
3. Parameter list
4. Decisions report
5. Members report

Opening Interface

How to Download Reports in Excel
Format
• Top of page horizontally left to right:
• Period Number: 0
• Output Type: Select Excel
• Submit:
• Download
• Save in a location where you can find it
• Done
• Logout

How to Download Reports in Excel
Format

Preparation to Take Quiz 1
• Please get familiar with the:
1. Management Report
2. The Parameter List
3. Market Reports

Takeaway’s
• What have you learned from this session?

End of Session 2
Morning – Day 1
Questions

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