A practical guide on how to do analyses during consulting projects
What is the aim of this presentation?
Consulting firms are hired very often to help with Supply Chain and Production. During such projects, you will quite often have to look at the production planning and optimize it. Optimizing production planning will require a good understanding of what drives production capacity, as well as how production can impact the costs in the whole supply chain. In this presentation, I will teach how to perform fast and efficiently different types of analyses related to production planning.
In the presentation you will learn the following things:
1. What the production capacity depends on and how to estimate it
2. How to find optimal production batches for different products in Excel that will minimize costs in the whole supply chain
3. How to plan production capacity for the future
4. How and when to use different methods for production planning
This presentation is based on my 15 years of experience as a consultant in top consulting firms and as a Board Member responsible for strategy, performance improvement, and turn-arounds in the biggest firms from Retail, FMCG, SMG, B2B, and services sectors that I worked for. I have carried or supervised over 90 different performance improvement projects in different industries that generated in total 2 billion of additional EBITDA.
For more check the following course: https://bit.ly/ProductionPlanningAsen
Purchasing & Procurement Analyses for Management ConsultantsAsen Gyczew
During Consulting Projects a lot of attention will be devoted to Purchasing & Procurement. Usually, this area generates big cost reductions and helps improve liquidity. Finding potential savings is not always easy and requires well-organized approach to companies purchases. Luckily, there are a lot of techniques and frameworks that will help you in a structured way to look for savings and potential improvements of liquidity. In this course, I will teach you how to perform fast and efficiently different types of analyses in Purchasing & Procurement.
In the course you will learn the following things:
1. General information about Purchasing & Procurement.
2. Useful frameworks for analyzing Purchasing & Procurement.
3. How to find ways to cut costs in Purchasing & Procurement.
4. How to identify potential ways to improve your liquidity, especially quick wins.
5. How to estimate in Excel potential impact of proposed changes.
For more check the following course:
https://bit.ly/PurchasingConsulting
Examples of business analyses in Excel - from consulting projectsAsen Gyczew
This presentation will help you drastically improve your knowledge and skills in improving analyzing business issues, especially during consulting projects. It is designed for people who want to become management consultants, business analysts or have to run and optimize sales and marketing, operations on daily bases. In this presentation you will learn 3 things
1. How to understand main challenges in business analyses in Excel
2. How to use Excel, to find improvements in sales, operations and the business model.
3. Where to look for savings and improvements, how to calculate potential savings in Excel and implement them
The presentation is based on my 14 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from Retail, FMCG, SMG, B2B and services sector that I worked for.
This is part of my online course on Supply Chain for Management Consultants. Check the link to get a discount: http://bit.ly/SalesAnalysisManagementConsulting
Business Idea Generation for Management Consultants & ManagersAsen Gyczew
To build a business you need a good idea that you can explore and develop. Unfortunately, coming up with a good business idea is not easy. Most firms and universities don’t show how to come up with business ideas. They concentrate on teaching you how to run existing businesses. Luckily, there are a lot of proven methods to find interesting business ideas. If you are Management Consultant you can use them during consulting projects to help your customers grow their business. If you are a manager or startup founder they will prove priceless in your quest to discover new business opportunities. In this course I will show you different methods to come up with killer business ideas. In the course you will learn the following things:
1. How to come up with business ideas by improving existing products, solving existing problems
2. When specific methods of business idea generation can be applied
3. How specific business method should be applied
4. How to find ways to 10x existing solutions
5. How to innovate your product and your business model
6. How to build add-on business using your current business
For more check the following course: http://bit.ly/BusinessIdeasGeneration
Scaling Business for Management Consultants & ManagersAsen Gyczew
A practical guide on how to scale businesses in practice fast and efficiently
Course summary
What is the aim of this course?
If you have managed to build a successful business that is also profitable, at some point you will start thinking about scaling your business and drastically growing its size and profits. This will require a different approach than the everyday management of the business. You need different frameworks to scale fast & efficiently the business. In this course, I will teach you how to find ways to scale the business fast & efficiently. I will also show you how to prepare the organization for scaling
In the course you will learn the following things:
1. How firms like Tesla, Amazon have scaled their business
2. How to scale different areas of you firm
3. How to identify biggest bottlenecks preventing you from scaling
4. How to estimate the speed of scaling
5. How to design your scaling process
6. Scale faster
7. Scale successfully Sales, Operations and Recruitment
For more check the following course
https://bit.ly/ScalingBusinesses
Strategy for Management Consultants & Business AnalystsAsen Gyczew
Strategy is one of the most dreaded subject in any businesses. There are so many conflicting frameworks that is difficult to decide what to choose. In this course you will learn a framework that will help you formulate and execute the strategy for your businesses on the level of top consulting firms i.e. McKinsey, BCG, Bain, PwC, EY. You will also see how others are implementing their strategic choices. What you will see here is a part of my online course: http://bit.ly/StrategySlideshare
This course will help you drastically improve your knowledge and skills in creating as well as executing a strategy for your business (or your customers’ businesses). It is designed for people who want to become management consultants, business analysts or work on creating and implementing the strategy inside the business. In the course you will learn 3 main things:
1. What strategic choices do you have and how to choose the optimal one?
2. How to calculate the impact of chosen strategy or tactic?
3. How to implement the strategy and how others are doing it?
Business Model Innovation for Management ConsultantsAsen Gyczew
Business Model Innovation for Management Consultants
A practical guide on how to change & innovate the business
Course summary
What is the aim of this course?
Consulting firms are hired very often to help to change the Business Model. Those projects are difficult as you have to generate innovation and convince the firm to change. There is no one recipe for how to innovate. However, there are some proven techniques, frameworks, approaches that will help you find a way to innovate the Business Model. In this course, I will teach you how to pick the right Business Model Innovation technique during consulting projects.
In the course you will learn the following things:
1. What frameworks, tools techniques you can use to Innovate your Business Model
2. How others have implemented the Innovation
3. How to estimate the potential impact of the Business Model Innovation in Excel
For more check the following course:
https://bit.ly/BusinessInnovationsMC
Niche strategy in practice - case studiesAsen Gyczew
The success of many companies depends on figuring out a clever way to grow, earn or operate that will change drastically change the game, stack the cards in their favor. There are many interesting business hacks that give this result. In this lecture I will show you how one of such business tactics – niche strategy has been successfully implemented in many businesses. This powerful tactic applied has already disrupted many industries like automotive, many marketplaces, cab industry and delivery industry. One of the best known examples are Tesla, Uber, Yelp, Square
In this presentation apart from the case studies of companies that implemented niche strategy I will show you what you should do to be successful in this strategy.
In what way will you benefit from this presentation?
The presentation is a practical, step by step guide loaded with tones of, tricks, hints, examples that will show you where you can go with your business. There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the presentation you will know:
1. How niche strategy work?
2. How you should build it in your industry?
3. Where you have to look for improvements to be competitive?
4. How to estimate your competitive advantage using data from your industry?
Financial Analysis for Management Consultants & AnalystsAsen Gyczew
During many consulting projects, you will have to do a lot of financial analysis and draw conclusions about specific companies or industries. This is especially true during due diligence projects, strategic projects and turn-arounds. Financial analyses will help you decide which option is better, what investments you should take, estimate potential improvements or estimate the impact on the profit and the balance sheet. On top of that, during consulting projects, you have to do everything 3x faster and with little data. Therefore, I will teach you in this course how to do fast and efficiently financial analyses and how to draw conclusions from them
In the course you will learn the following things:
1. How to do financial analyses in Excel fast and efficiently
2. How to draw conclusions from the analyses
3. How to analyze financial statements in Excel
4. How to use financial indicators
5. How to model a business in Excel
6. How to analyze business units of the firm
7. How to carry out analyses related to M&A
8. How to evaluate potential investment in Excel
9. How to estimate the value of the firm using simple methods
For more check the following course: http://bit.ly/FinancialAnalysisExcel
Purchasing & Procurement Analyses for Management ConsultantsAsen Gyczew
During Consulting Projects a lot of attention will be devoted to Purchasing & Procurement. Usually, this area generates big cost reductions and helps improve liquidity. Finding potential savings is not always easy and requires well-organized approach to companies purchases. Luckily, there are a lot of techniques and frameworks that will help you in a structured way to look for savings and potential improvements of liquidity. In this course, I will teach you how to perform fast and efficiently different types of analyses in Purchasing & Procurement.
In the course you will learn the following things:
1. General information about Purchasing & Procurement.
2. Useful frameworks for analyzing Purchasing & Procurement.
3. How to find ways to cut costs in Purchasing & Procurement.
4. How to identify potential ways to improve your liquidity, especially quick wins.
5. How to estimate in Excel potential impact of proposed changes.
For more check the following course:
https://bit.ly/PurchasingConsulting
Examples of business analyses in Excel - from consulting projectsAsen Gyczew
This presentation will help you drastically improve your knowledge and skills in improving analyzing business issues, especially during consulting projects. It is designed for people who want to become management consultants, business analysts or have to run and optimize sales and marketing, operations on daily bases. In this presentation you will learn 3 things
1. How to understand main challenges in business analyses in Excel
2. How to use Excel, to find improvements in sales, operations and the business model.
3. Where to look for savings and improvements, how to calculate potential savings in Excel and implement them
The presentation is based on my 14 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from Retail, FMCG, SMG, B2B and services sector that I worked for.
This is part of my online course on Supply Chain for Management Consultants. Check the link to get a discount: http://bit.ly/SalesAnalysisManagementConsulting
Business Idea Generation for Management Consultants & ManagersAsen Gyczew
To build a business you need a good idea that you can explore and develop. Unfortunately, coming up with a good business idea is not easy. Most firms and universities don’t show how to come up with business ideas. They concentrate on teaching you how to run existing businesses. Luckily, there are a lot of proven methods to find interesting business ideas. If you are Management Consultant you can use them during consulting projects to help your customers grow their business. If you are a manager or startup founder they will prove priceless in your quest to discover new business opportunities. In this course I will show you different methods to come up with killer business ideas. In the course you will learn the following things:
1. How to come up with business ideas by improving existing products, solving existing problems
2. When specific methods of business idea generation can be applied
3. How specific business method should be applied
4. How to find ways to 10x existing solutions
5. How to innovate your product and your business model
6. How to build add-on business using your current business
For more check the following course: http://bit.ly/BusinessIdeasGeneration
Scaling Business for Management Consultants & ManagersAsen Gyczew
A practical guide on how to scale businesses in practice fast and efficiently
Course summary
What is the aim of this course?
If you have managed to build a successful business that is also profitable, at some point you will start thinking about scaling your business and drastically growing its size and profits. This will require a different approach than the everyday management of the business. You need different frameworks to scale fast & efficiently the business. In this course, I will teach you how to find ways to scale the business fast & efficiently. I will also show you how to prepare the organization for scaling
In the course you will learn the following things:
1. How firms like Tesla, Amazon have scaled their business
2. How to scale different areas of you firm
3. How to identify biggest bottlenecks preventing you from scaling
4. How to estimate the speed of scaling
5. How to design your scaling process
6. Scale faster
7. Scale successfully Sales, Operations and Recruitment
For more check the following course
https://bit.ly/ScalingBusinesses
Strategy for Management Consultants & Business AnalystsAsen Gyczew
Strategy is one of the most dreaded subject in any businesses. There are so many conflicting frameworks that is difficult to decide what to choose. In this course you will learn a framework that will help you formulate and execute the strategy for your businesses on the level of top consulting firms i.e. McKinsey, BCG, Bain, PwC, EY. You will also see how others are implementing their strategic choices. What you will see here is a part of my online course: http://bit.ly/StrategySlideshare
This course will help you drastically improve your knowledge and skills in creating as well as executing a strategy for your business (or your customers’ businesses). It is designed for people who want to become management consultants, business analysts or work on creating and implementing the strategy inside the business. In the course you will learn 3 main things:
1. What strategic choices do you have and how to choose the optimal one?
2. How to calculate the impact of chosen strategy or tactic?
3. How to implement the strategy and how others are doing it?
Business Model Innovation for Management ConsultantsAsen Gyczew
Business Model Innovation for Management Consultants
A practical guide on how to change & innovate the business
Course summary
What is the aim of this course?
Consulting firms are hired very often to help to change the Business Model. Those projects are difficult as you have to generate innovation and convince the firm to change. There is no one recipe for how to innovate. However, there are some proven techniques, frameworks, approaches that will help you find a way to innovate the Business Model. In this course, I will teach you how to pick the right Business Model Innovation technique during consulting projects.
In the course you will learn the following things:
1. What frameworks, tools techniques you can use to Innovate your Business Model
2. How others have implemented the Innovation
3. How to estimate the potential impact of the Business Model Innovation in Excel
For more check the following course:
https://bit.ly/BusinessInnovationsMC
Niche strategy in practice - case studiesAsen Gyczew
The success of many companies depends on figuring out a clever way to grow, earn or operate that will change drastically change the game, stack the cards in their favor. There are many interesting business hacks that give this result. In this lecture I will show you how one of such business tactics – niche strategy has been successfully implemented in many businesses. This powerful tactic applied has already disrupted many industries like automotive, many marketplaces, cab industry and delivery industry. One of the best known examples are Tesla, Uber, Yelp, Square
In this presentation apart from the case studies of companies that implemented niche strategy I will show you what you should do to be successful in this strategy.
In what way will you benefit from this presentation?
The presentation is a practical, step by step guide loaded with tones of, tricks, hints, examples that will show you where you can go with your business. There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the presentation you will know:
1. How niche strategy work?
2. How you should build it in your industry?
3. Where you have to look for improvements to be competitive?
4. How to estimate your competitive advantage using data from your industry?
Financial Analysis for Management Consultants & AnalystsAsen Gyczew
During many consulting projects, you will have to do a lot of financial analysis and draw conclusions about specific companies or industries. This is especially true during due diligence projects, strategic projects and turn-arounds. Financial analyses will help you decide which option is better, what investments you should take, estimate potential improvements or estimate the impact on the profit and the balance sheet. On top of that, during consulting projects, you have to do everything 3x faster and with little data. Therefore, I will teach you in this course how to do fast and efficiently financial analyses and how to draw conclusions from them
In the course you will learn the following things:
1. How to do financial analyses in Excel fast and efficiently
2. How to draw conclusions from the analyses
3. How to analyze financial statements in Excel
4. How to use financial indicators
5. How to model a business in Excel
6. How to analyze business units of the firm
7. How to carry out analyses related to M&A
8. How to evaluate potential investment in Excel
9. How to estimate the value of the firm using simple methods
For more check the following course: http://bit.ly/FinancialAnalysisExcel
As a business analyst or a management consultant you have to master some vital skills that will help you survive the first 2-3 years of your work. Some of the have to do with tools (Excel, Presentations). Others with your productivity and skills (financial modeling, business modeling). You also have to learn tools techniques and frameworks that will help understand faster the business and provide more value. In this presentation you will find an overview of most important things that you have to master along with suggested courses that I recommend taking. They will help you become more efficient and will help you develop your skills and knowledge.
How to optimize processes in practice during consulting projectsAsen Gyczew
Optimizing processes is not an easy task. It requires a structured approach to it and good understanding of helpful methods such as lean manufacturing, theory of constraints, queuing models, Overall Labor Efficiency and others. In this presentation I will show you how you can approach process optimization. I will show you not only the general approach to this subject but also we will go briefly through methods. I will also show you one example of process optimization in retail. You will have also a lot of links to additional resources that will help you learn the methods required to do process optimization during consulting project or internally in the firm on your own. There will be also a link to the course where you can learn more on that. The presentation is devoted to 3 parts
1. General framework / approach to process optimization
2. Examples of methods and tools used during process optimization
3. Cases study – process optimization in retail
Cost Reduction for Management Consultants & ManagersAsen Gyczew
Every company has to control costs in order to survive and prosper. Therefore, many firms on regular basis perform cost reduction projects. Cost reduction project may be part of a wider Performance Improvement Project or be a standalone project carried out only in one of the business units. Those projects are extremely interesting because you will be able to make a real change, create a new reality and improve part of the business or even the whole business. There are also very difficult as you have to not only analyze areas but also find ways to cut costs, improve the current situation as well as, on some occasions, implement the change. The skills that you will learn during this sort of projects will be also very useful once you move to work for regular businesses or set-up your own firm. In this course I will show you how to deliver such projects fast and efficiently. In the course you will learn the following things:
1. How to identify potential savings especially quick wins
2. How to optimize processes
3. How to analyze investments
4. How to carry out make-or-buy analysis
5. How to spend less
For more check the following course: https://bit.ly/CostReductionCourse
What exactly does a consultant at McKinsey do?Asen Gyczew
If you want to join consulting, find a work in McKinsey, BCG, Bain or other top consulting firms then you most likely wonder what consultants do in practice. In this presentation I will briefly try to summarize it.
The work you do depends on your position at a consulting firm:
1. Business Analyst – is the entry position in most consulting firm. Here you do a lot of research for specific projects or business development. You are also responsible for delivering most of the analysis that end up in the deliverables (presentation) along with accompanying slides. The workload is huge. You are not efficient as the rest of the team so you end-up working 12-15 hours 6-7 days a week. On average you stay on this position 2-3 years.
2. Associate / Senior Consultant. This guys are extremely experience so most of the things they can do independently. The not only perform part of analyses during the project but they also do a lot of project management. Typically 1 Associate would supervise 1-3 business analysts. On many occasions you start interacting with the Customer – Directors, VPs, C-level. You gradually are being prepared to manage project and sell them. You spend on this position 2-3 years
3. Engagement Manager / Project Manager. On this position you have to deliver the project. You do hardly any analytical work yet you have to check the work of BAs and Associates. On top of that you will manage at least to some extent the relationship with the customers.
4. Associate Principle / Partner / Director. On this position you are the sales man. You have to generate demand for the services, convince potential customers to pay your high fees and also to supervise the delivery of some projects. On this position you are constantly on meetings, phone calls, traveling from one city to another, from project to another. Most of the days you network and talk to CEOs, COOs, Board Members, PE Partners and others. You still have to bring a lot in revenues to stay in the firm. In some cases you supervise also part of the projects (at least on paper) and be the face for specific area or industry.
Top 25 must read books for management consultantsAsen Gyczew
As a management consultant or a business analyst you have to read a lot to master the intricacy of business world. You should not only master typical management consulting techniques but also reach for books on lean manufacturing, financial modeling and valuation, managing people, building strategy, effective work and many many more.
In this presentation you will find my impartial selection of books that I have read and helped me a lot on my way to the top of consulting and management world.
Decision Making with Excel for ManagersAsen Gyczew
As a manager you will be tempted to trust your guts and use your experience to decide what and how to do it. Quite often this approach may be misleading. It is much better to use data driven approach and before you make the decision look at the potential consequences. In this course I will show you how to make more rational choices as a manger using Excel. We will go through a lot of case studies that will help you master this skill.
In the course you will learn the following things:
1. How to be data driven in solving problems
2. How to make better decisions using Excel
3. How to handle uncertainty when you are making decisions
4. Which method, framework you should use in a specific situation
You will learn how to make decisions using make or buy analysis, voting system, simulations, rankings, how to analyze the costs of different investments (aiming at cost reduction, removing bottlenecks, requested by the customers). We will also how to apply the portfolio decision making, value proposition alignment, strategic alignment frameworks.
For more check my course: https://bit.ly/DecisionMakingExcel
Segmentation Methods for Management Consultants & Business AnalystsAsen Gyczew
A practical guide on how to analyze segments of customers during consulting projects
If you are participating in a consulting project devoted to Sales & Marketing or Strategy most likely you will have to either do segmentation or analyze existing segments of customers. You will try to achieve it on the basis of internal data, market research as well as other external data. In this course, I will teach how to rapidly and efficiently segment customers and analyze existing segments during consulting projects.
In the course you will learn the following things:
1. How you can segment customers?
2. When to use a specific segmentation technique?
3. Crucial Excel formulas you will need to do segmentation
4. How to do simple segmentations in Excel using internal or external data
5. How the B2B segmentation differs from B2C segmentation
This course is based on my 15 years of experience as a consultant in top consulting firms and as a Board Member responsible for strategy, performance improvement, and turn-arounds in the biggest firms from Retail, FMCG, SMG, B2B, and services sectors that I worked for. I have carried or supervised over 90 different performance improvement projects in different industries that generated in total 2 billion of additional EBITDA. On the basis of what you will find in this course I have trained in person over 100 consultants, business analysts and managers who now are Partners in PE and VC funds, Investment Directors and Business Analysts in PE and VC, Operational Directors, COO, CRO, CEO, Directors in Consulting Companies, Board Members, etc. On top of that my courses on Udemy were already taken by more than 103 000 students including people working in EY, Walmart, Booz Allen Hamilton, Adidas, Naspers, Alvarez & Marsal, PwC, Dell, Walgreens, Orange, and many others.
For more check the following course:
https://bit.ly/SegmentationMC
Essential Real Estate Modeling in ExcelAsen Gyczew
What is the aim of this course?
Modeling real estate in Excel is not easy. In real estate, you will have to forecast the cash flow for long investment periods. In most models, you will have to forecast loan payments, maintenance costs, operational costs, and potential revenues from operating the real estate. On top of that, in real estate, we have different business models that will have different business drivers. To make your work easier, I will teach you in this course how to model in Excel fast and efficiently real estate investments.
In this course you will learn the following things:
1. Essential concepts related to real estate and modeling them in Excel
2. What are the main drivers of the profits in real estate for different business models
3. How to model buy & rent of real estate in Excel
4. How to model in Excel hotels and other short-term renting businesses (Airbnb, booking.com)
5. How to model in Excel flips/flipping
6. How to make decisions on the investment in real estate, based on the Excel model
For more information check my online course: https://bit.ly/RealEstateModels
Top 10 courses for every management consultantAsen Gyczew
As a management consultant you have to master some vital skills that will help you survive the first 2 years of your work. Some of the have to do with tools (Excel, Presentations). Others with your productivity and skills (financial modeling, business modeling). In this presentation you will find an overview of most important things that you have to master along with suggested courses that I recommend taking.
How to manage successfully a Consulting ProjectAsen Gyczew
Managing Consulting Projects is extremely difficult. You work in a hostile environment, long hours on difficult things. On top of that the bill for your services for the customer is pretty high so he will want to squeeze out of you as much as possible. At the same time his people may dislike you as you are an outsider that in their point of view pretends to know better. Therefore, many Project Managers fail on deadlines or cannot deliver value for the customer. Luckily there is a way to do a consulting project on time, get your customer and his people happy with the result as well as get well paid for your work. This course will help you drastically improve your knowledge and skills in managing consulting project. It is designed for project managers, especially those working in consulting. After finishing the course you will know:
1. How to prepare for the project to make your customer and your team happy as well to finish the project much earlier than your competitors
2. How to create value for your customer
3. How to deliver the project within the budget and way ahead of deadlines
4. How to execute the project without having to work 7 days a week 15 hours a day
5. How to overdeliver and get buy-in from your customer
6. How to build strong foundation for future projects
7. What tools to use
8. How to be efficient as a team
The course is based on my 12 years of experience as a Project Manager in top consulting companies and as a Board Member responsible for strategy, improvements and turn-arounds in biggest companies in Retail, FMCG, SMG, B2B sectors that I worked for. On the basis of what you will find in this course I have trained over 100 consultants, business analysts and managers who now are CEO, Operational Directors, COO, Investment Directors, Directors in Consulting Companies, Board Members, Customer Insight Managers, Data Science Managers
Lean manufacturing for Management Consultants and Business AnalystsAsen Gyczew
This presentation will help you drastically improve your knowledge and skills in optimizing production and operations of any company through a series of practical cases. It is designed for people who want to become consultants, business analysts or have to run and optimize production on a daily bases. In the course you will learn 3 things:
1. How to understand any production or operational activities
2. How to optimize the production and operations in order to get more things done, cheaper at higher quality with less resources
3. Where to look for savings and improvements, how to calculate potential savings in Excel and implement them
The course is based on my 12 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. On many occasions I had to optimize the whole production and operational side of the businesses I was responsible for. On the basis of what you will find in this course I have trained over 100 consultants, business analysts and managers who now are Production Directors, Operational Directors, COO, Investment Directors, Directors in Consulting Companies, Board Members etc.
Getting into consulting is one of the most difficult tasks. It’s not only very selective but also quite tough and long recruitment process. You will have at least 5 job interviews, spend on average 2-3 months in recruiting process and your chances of succeeding will be around 5-10%. I will help you significantly boost the odds in your favor.
This course will help you prepare for the cases that you will be asked to solve during the job interviews with consultants. I will improve your knowledge and skills in analysis through a series of practical cases. It is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have participated in over 200 recruitments and the materials in this course will encompass all the tricks that you should use during the interview. On the basis of what you will find in this course and I have trained over 100 business analysts who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the course you will know:
1. How to approach any type of cases that you may come across in the job interview?
2. How to apply the most useful concepts and methods used later by consultants in their work?
3. How to be efficient during the interview?
4. How the consultant minds works?
M&A for Management Consultants & Business AnalystsAsen Gyczew
What is the aim of this presentation?
Consulting firms are hired very often to help with Mergers & Acquisitions. Those projects are difficult as you have to deliver results fast and you have to deal with many stakeholders. You not only have to help select potential targets, model businesses in Excel, but also you will have to estimate the potential benefits of M&A, the value of the firm and forecast the development of the acquired firms. In this course I will teach how to perform fast and efficiently different types of analyses during M&A projects.
In the course you will learn the following things:
1. What kind of analyses you may have to do during M&A project
2. How to Select Potential Targets for M&A using Excel
3. How to create a financial model in Excel for M&A purposes
4. How to estimate the value of M&A target
5. How to estimate potential synergies coming from M&A process
6. How to conduct commercial due diligence
7. What kind of market research tools you can use during due diligence
For more check the following course http://bit.ly/MAMConsulting
Tags: financial analysis, M&A, investment analysis, NPV, financial indicators, controlling, valuation, acquisition, mergers Management Consulting projects, Consulting Project, McKinsey, OC&C, PwC, EY, Bain, BCG, performance improvement projects, Alvarez & Marsal
Overview of business models used in on-lineAsen Gyczew
We work with startups on daily basis within our accelerator StartupAkademia and we have noticed that despite tones of very good books on lean methods (i.e. Lean Analytics, Running Lean etc.) startups as well as small / medium businesses have problems with applying this knowledge in practice. We have noticed that, especially first time startups, do not really understand their business model (which is totally understandable). That's why, it is very difficult for them to know what they should concentrate on. Most entrepreneurs / startups have more or less clear business idea but quite often they do not know the business models they can chose and end up learning it the hard way, through their mistakes. Some of them have read the Lean analytics, Lean Starup or Running Lean but even then they do not know exactly how to translate it into coherent Excel model. A business model in the form of Excel is very important for evaluating your business, seeing how much cash you need and how your hypothesis and KPIs are translating into the business
Therefore we build a course on Udemy: https://www.udemy.com/on-line-business-models-in-excel-practical-guide/
The presentation you will find here is just a fraction of what you can find in the course
What will this course give you?
The course is a practical, step by step guide loaded with tones of tips and tools that will help you significantly speed up with your business, especially if you are a startup or a small / medium business. There is little theory – mainly examples, a lot of tips from our own experience as well as other notable examples worth mentioning. Our intention is that thanks to the course you will know:
- What your business model is about, what to concentrate on and what are the key KPIs for you?
- How you can translate it into Excel and evaluate your business?
- How to make conclusions on the basis of your business model presented in the form of Excel
Effective Meetings for Management Consultants & AnalystsAsen Gyczew
What is the aim of this presentation?
During consulting projects you will be doing plenty of interviews and meetings. At the beginning, you may find them very stressful and challenging, especially, when you have to talk with directors, managers that are much older than you, and that have much bigger experience than you. Luckily, there are a lot of interesting techniques that will help you conduct efficiently interviews and meetings during consulting projects.
In this course, I will show you different tips and methods that will help you achieve your goals. Thanks to this course you will learn the following things:
1. How to prepare and conduct initial interviews during consulting projects
2. How to conduct regular meetings
3. How to make sure that your final presentation is a success
4. How to conduct implementation and internal meetings during consulting projects
For more check the following course: https://bit.ly/MeetingsConsultants
MVP – how to test your business idea without building the productAsen Gyczew
It is not that difficult to have a business idea even one that seems like a breakthrough and instant success. The reality bites and 90% of startups fail fast and at the same time cost their founders a small fortune. That’s why the recent development of so called lean startups revolves around learning fast and at small cost to build a product customer need and are willing to pay. Crucial part of this path is a creating a prototype of your product that enables you to test the reaction of your potential customer. This is the MVP – Minimum Viable Product.
MVP has to be Viable which means that it delivers some noticeable value to the customer, solves his pain. Minimum means that it cannot be overcomplicated, it has to have the minimal amount of features for you to be able to draw the right conclusion on what works and what does not work.
In most cases the choie of MVP stops at the landing page as the Holy Grail of lean startup and testing, the ultimate MVP, but the life is much more complicated and landing page in many cases simply is not enough? How do you test community and whether people will share and comment? How do you want to test physical products that have to be tasted and smelled?
On top of that not all MVPs are born equal. Some test one part of your business model whereas others are perfect for testing different question marks that pop-up constantly in your mind.
In this presentation we will show you through examples what should be the MVP for your business model, how to pick the right one for your needs and what are the added benefits of MVP. We will also give estimation of the costs and time needed for creation of MVP.
How to conduct market research in startups and small firms?Asen Gyczew
Many business mistakes are made due to insufficient market research. That’s why U created for you this guide to simple market research methods supported byon-line course so that you can see how with virtually no money you can research many important to you aspects like the size of the market or segment, the sales tactics of competitors, customer preferences etc. .
I will show you 3 groups of market research methods:
1. Consulting methods
2. On-line methods
3. Off-line methods
Since we want you to be able to do market research on your own there will be very little theory and loads of nice examples in many fields. You will master the market research in fields such as: retail, fast moving consumer goods, food sector, on-line businesses, services and some off-line businesses. This training will be especially beneficial for small business owners, startup, and consultants. You will learn what mystery shopping, store-checks is, bottom-up , top-down approach and others.
You will be able also to download from the on-line courses many additional resources
1. Links to free presentation and movies showing examples of research
2. Links to books worth reading
3. Excels with calculations showing you how you can do the market research as well as analyses and draw conclusions
How to create a management consulting presentationAsen Gyczew
In management consulting you are delivering your advices, observation and analyses using presentations. On some projects you may be producing as much as 200-300 slides. Slide preparation is very time-consuming and you have to make sure that you structure you work properly to deliver according to promised deadlines.
In this presentation I will show you how to prepare a great presentation for your customer that will help you deliver your thoughts in a coherent manner and win him over. I will teach you how to prepare the presentation in the right order so you do not waste your time. You will also learn what type of slides you can consider and when you should use a specific type of slide.
This presentation is based on my 12 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have not only delivered presentations on numerous projects myself but I was also receiving presentations from consulting companies such as PwC, BCG, McKinsey, EY, Accenture, OCC as a Board Member in many companies. I have seen the process of preparing and delivering presentations form all angles. On the basis of what you will find in this course and I have trained over 100 business analysts and consultants who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
Retail for Business Analysts and Management ConsultantsAsen Gyczew
Retail has become very competitive. We have the rise of e-commerce and multichannel, buyers behavior change drastically. This leads to lower margins. As a Business Analyst or Management Consultant you have to be able to analyze the Retailer you work for fast and find possible improvements. This course will help you drastically improve your knowledge and skills in optimizing Retail business through a series of practical cases. It is designed for people who want to become consultants, business analysts or have to run and optimize Retail business on a daily bases. In the course you will learn the following things:
1. How to analyze Retailer and find low hanging fruits
2. How to build business model of the Retailer in Excel in order to see the big picture and see how specific KPIs impact the profit
3. How to optimize Retailers operations
4. How to behave in a multichannel surrounding (when you have also e-commerce operations)
5. How to expand your business into new categories and markets
6. How to analyze in-store engagements
There will be also many growth hacks that Retailers use.
The course is based on my 12 years of experience in Retail as well as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from Retail, FMCG, SMG, B2B sector that I worked for.
How to become world class business analystAsen Gyczew
Business analyst are one of the most important part of a successful business. They help you make the right decision and to spend money wisely. We show here what a business analyst has to know, what business analysis he should be doing and what knowledge he should have to be successful
Liquidity Management for Management Consultants & ManagersAsen Gyczew
Many companies despite having profits still have problems with cash. In other words they have to improve their liquidity. This topic is not widely discussed and a few management consultants as well as managers know how to do it practice. Therefore, more companies die because of problems with liquidity than due to low profits. Luckily, there are a lot of techniques that will help you in a structured way look for ways to generate more cash from the business.
In this course I will show you different methods that you can use to improve the cash position of your business. You will learn the following things:
1. How to identify potential ways to improve your liquidity, especially quick wins
2. How to estimate in Excel how much cash you can generate from specific solution
3. How to pick the optimal solution
4. How to prevent the firm from going bankrupt due to liquidity problems
You will learn here how to cut costs, reduce inventory, reduce receivables, improve payables, and restructure debt and many more:
For more check the following course: http://bit.ly/LiquidityManagementConsulting
As a business analyst or a management consultant you have to master some vital skills that will help you survive the first 2-3 years of your work. Some of the have to do with tools (Excel, Presentations). Others with your productivity and skills (financial modeling, business modeling). You also have to learn tools techniques and frameworks that will help understand faster the business and provide more value. In this presentation you will find an overview of most important things that you have to master along with suggested courses that I recommend taking. They will help you become more efficient and will help you develop your skills and knowledge.
How to optimize processes in practice during consulting projectsAsen Gyczew
Optimizing processes is not an easy task. It requires a structured approach to it and good understanding of helpful methods such as lean manufacturing, theory of constraints, queuing models, Overall Labor Efficiency and others. In this presentation I will show you how you can approach process optimization. I will show you not only the general approach to this subject but also we will go briefly through methods. I will also show you one example of process optimization in retail. You will have also a lot of links to additional resources that will help you learn the methods required to do process optimization during consulting project or internally in the firm on your own. There will be also a link to the course where you can learn more on that. The presentation is devoted to 3 parts
1. General framework / approach to process optimization
2. Examples of methods and tools used during process optimization
3. Cases study – process optimization in retail
Cost Reduction for Management Consultants & ManagersAsen Gyczew
Every company has to control costs in order to survive and prosper. Therefore, many firms on regular basis perform cost reduction projects. Cost reduction project may be part of a wider Performance Improvement Project or be a standalone project carried out only in one of the business units. Those projects are extremely interesting because you will be able to make a real change, create a new reality and improve part of the business or even the whole business. There are also very difficult as you have to not only analyze areas but also find ways to cut costs, improve the current situation as well as, on some occasions, implement the change. The skills that you will learn during this sort of projects will be also very useful once you move to work for regular businesses or set-up your own firm. In this course I will show you how to deliver such projects fast and efficiently. In the course you will learn the following things:
1. How to identify potential savings especially quick wins
2. How to optimize processes
3. How to analyze investments
4. How to carry out make-or-buy analysis
5. How to spend less
For more check the following course: https://bit.ly/CostReductionCourse
What exactly does a consultant at McKinsey do?Asen Gyczew
If you want to join consulting, find a work in McKinsey, BCG, Bain or other top consulting firms then you most likely wonder what consultants do in practice. In this presentation I will briefly try to summarize it.
The work you do depends on your position at a consulting firm:
1. Business Analyst – is the entry position in most consulting firm. Here you do a lot of research for specific projects or business development. You are also responsible for delivering most of the analysis that end up in the deliverables (presentation) along with accompanying slides. The workload is huge. You are not efficient as the rest of the team so you end-up working 12-15 hours 6-7 days a week. On average you stay on this position 2-3 years.
2. Associate / Senior Consultant. This guys are extremely experience so most of the things they can do independently. The not only perform part of analyses during the project but they also do a lot of project management. Typically 1 Associate would supervise 1-3 business analysts. On many occasions you start interacting with the Customer – Directors, VPs, C-level. You gradually are being prepared to manage project and sell them. You spend on this position 2-3 years
3. Engagement Manager / Project Manager. On this position you have to deliver the project. You do hardly any analytical work yet you have to check the work of BAs and Associates. On top of that you will manage at least to some extent the relationship with the customers.
4. Associate Principle / Partner / Director. On this position you are the sales man. You have to generate demand for the services, convince potential customers to pay your high fees and also to supervise the delivery of some projects. On this position you are constantly on meetings, phone calls, traveling from one city to another, from project to another. Most of the days you network and talk to CEOs, COOs, Board Members, PE Partners and others. You still have to bring a lot in revenues to stay in the firm. In some cases you supervise also part of the projects (at least on paper) and be the face for specific area or industry.
Top 25 must read books for management consultantsAsen Gyczew
As a management consultant or a business analyst you have to read a lot to master the intricacy of business world. You should not only master typical management consulting techniques but also reach for books on lean manufacturing, financial modeling and valuation, managing people, building strategy, effective work and many many more.
In this presentation you will find my impartial selection of books that I have read and helped me a lot on my way to the top of consulting and management world.
Decision Making with Excel for ManagersAsen Gyczew
As a manager you will be tempted to trust your guts and use your experience to decide what and how to do it. Quite often this approach may be misleading. It is much better to use data driven approach and before you make the decision look at the potential consequences. In this course I will show you how to make more rational choices as a manger using Excel. We will go through a lot of case studies that will help you master this skill.
In the course you will learn the following things:
1. How to be data driven in solving problems
2. How to make better decisions using Excel
3. How to handle uncertainty when you are making decisions
4. Which method, framework you should use in a specific situation
You will learn how to make decisions using make or buy analysis, voting system, simulations, rankings, how to analyze the costs of different investments (aiming at cost reduction, removing bottlenecks, requested by the customers). We will also how to apply the portfolio decision making, value proposition alignment, strategic alignment frameworks.
For more check my course: https://bit.ly/DecisionMakingExcel
Segmentation Methods for Management Consultants & Business AnalystsAsen Gyczew
A practical guide on how to analyze segments of customers during consulting projects
If you are participating in a consulting project devoted to Sales & Marketing or Strategy most likely you will have to either do segmentation or analyze existing segments of customers. You will try to achieve it on the basis of internal data, market research as well as other external data. In this course, I will teach how to rapidly and efficiently segment customers and analyze existing segments during consulting projects.
In the course you will learn the following things:
1. How you can segment customers?
2. When to use a specific segmentation technique?
3. Crucial Excel formulas you will need to do segmentation
4. How to do simple segmentations in Excel using internal or external data
5. How the B2B segmentation differs from B2C segmentation
This course is based on my 15 years of experience as a consultant in top consulting firms and as a Board Member responsible for strategy, performance improvement, and turn-arounds in the biggest firms from Retail, FMCG, SMG, B2B, and services sectors that I worked for. I have carried or supervised over 90 different performance improvement projects in different industries that generated in total 2 billion of additional EBITDA. On the basis of what you will find in this course I have trained in person over 100 consultants, business analysts and managers who now are Partners in PE and VC funds, Investment Directors and Business Analysts in PE and VC, Operational Directors, COO, CRO, CEO, Directors in Consulting Companies, Board Members, etc. On top of that my courses on Udemy were already taken by more than 103 000 students including people working in EY, Walmart, Booz Allen Hamilton, Adidas, Naspers, Alvarez & Marsal, PwC, Dell, Walgreens, Orange, and many others.
For more check the following course:
https://bit.ly/SegmentationMC
Essential Real Estate Modeling in ExcelAsen Gyczew
What is the aim of this course?
Modeling real estate in Excel is not easy. In real estate, you will have to forecast the cash flow for long investment periods. In most models, you will have to forecast loan payments, maintenance costs, operational costs, and potential revenues from operating the real estate. On top of that, in real estate, we have different business models that will have different business drivers. To make your work easier, I will teach you in this course how to model in Excel fast and efficiently real estate investments.
In this course you will learn the following things:
1. Essential concepts related to real estate and modeling them in Excel
2. What are the main drivers of the profits in real estate for different business models
3. How to model buy & rent of real estate in Excel
4. How to model in Excel hotels and other short-term renting businesses (Airbnb, booking.com)
5. How to model in Excel flips/flipping
6. How to make decisions on the investment in real estate, based on the Excel model
For more information check my online course: https://bit.ly/RealEstateModels
Top 10 courses for every management consultantAsen Gyczew
As a management consultant you have to master some vital skills that will help you survive the first 2 years of your work. Some of the have to do with tools (Excel, Presentations). Others with your productivity and skills (financial modeling, business modeling). In this presentation you will find an overview of most important things that you have to master along with suggested courses that I recommend taking.
How to manage successfully a Consulting ProjectAsen Gyczew
Managing Consulting Projects is extremely difficult. You work in a hostile environment, long hours on difficult things. On top of that the bill for your services for the customer is pretty high so he will want to squeeze out of you as much as possible. At the same time his people may dislike you as you are an outsider that in their point of view pretends to know better. Therefore, many Project Managers fail on deadlines or cannot deliver value for the customer. Luckily there is a way to do a consulting project on time, get your customer and his people happy with the result as well as get well paid for your work. This course will help you drastically improve your knowledge and skills in managing consulting project. It is designed for project managers, especially those working in consulting. After finishing the course you will know:
1. How to prepare for the project to make your customer and your team happy as well to finish the project much earlier than your competitors
2. How to create value for your customer
3. How to deliver the project within the budget and way ahead of deadlines
4. How to execute the project without having to work 7 days a week 15 hours a day
5. How to overdeliver and get buy-in from your customer
6. How to build strong foundation for future projects
7. What tools to use
8. How to be efficient as a team
The course is based on my 12 years of experience as a Project Manager in top consulting companies and as a Board Member responsible for strategy, improvements and turn-arounds in biggest companies in Retail, FMCG, SMG, B2B sectors that I worked for. On the basis of what you will find in this course I have trained over 100 consultants, business analysts and managers who now are CEO, Operational Directors, COO, Investment Directors, Directors in Consulting Companies, Board Members, Customer Insight Managers, Data Science Managers
Lean manufacturing for Management Consultants and Business AnalystsAsen Gyczew
This presentation will help you drastically improve your knowledge and skills in optimizing production and operations of any company through a series of practical cases. It is designed for people who want to become consultants, business analysts or have to run and optimize production on a daily bases. In the course you will learn 3 things:
1. How to understand any production or operational activities
2. How to optimize the production and operations in order to get more things done, cheaper at higher quality with less resources
3. Where to look for savings and improvements, how to calculate potential savings in Excel and implement them
The course is based on my 12 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. On many occasions I had to optimize the whole production and operational side of the businesses I was responsible for. On the basis of what you will find in this course I have trained over 100 consultants, business analysts and managers who now are Production Directors, Operational Directors, COO, Investment Directors, Directors in Consulting Companies, Board Members etc.
Getting into consulting is one of the most difficult tasks. It’s not only very selective but also quite tough and long recruitment process. You will have at least 5 job interviews, spend on average 2-3 months in recruiting process and your chances of succeeding will be around 5-10%. I will help you significantly boost the odds in your favor.
This course will help you prepare for the cases that you will be asked to solve during the job interviews with consultants. I will improve your knowledge and skills in analysis through a series of practical cases. It is based on my 11 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have participated in over 200 recruitments and the materials in this course will encompass all the tricks that you should use during the interview. On the basis of what you will find in this course and I have trained over 100 business analysts who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
There is little theory – mainly examples, a lot of tips from my own experience as well as other notable examples worth mentioning. My intention is that thanks to the course you will know:
1. How to approach any type of cases that you may come across in the job interview?
2. How to apply the most useful concepts and methods used later by consultants in their work?
3. How to be efficient during the interview?
4. How the consultant minds works?
M&A for Management Consultants & Business AnalystsAsen Gyczew
What is the aim of this presentation?
Consulting firms are hired very often to help with Mergers & Acquisitions. Those projects are difficult as you have to deliver results fast and you have to deal with many stakeholders. You not only have to help select potential targets, model businesses in Excel, but also you will have to estimate the potential benefits of M&A, the value of the firm and forecast the development of the acquired firms. In this course I will teach how to perform fast and efficiently different types of analyses during M&A projects.
In the course you will learn the following things:
1. What kind of analyses you may have to do during M&A project
2. How to Select Potential Targets for M&A using Excel
3. How to create a financial model in Excel for M&A purposes
4. How to estimate the value of M&A target
5. How to estimate potential synergies coming from M&A process
6. How to conduct commercial due diligence
7. What kind of market research tools you can use during due diligence
For more check the following course http://bit.ly/MAMConsulting
Tags: financial analysis, M&A, investment analysis, NPV, financial indicators, controlling, valuation, acquisition, mergers Management Consulting projects, Consulting Project, McKinsey, OC&C, PwC, EY, Bain, BCG, performance improvement projects, Alvarez & Marsal
Overview of business models used in on-lineAsen Gyczew
We work with startups on daily basis within our accelerator StartupAkademia and we have noticed that despite tones of very good books on lean methods (i.e. Lean Analytics, Running Lean etc.) startups as well as small / medium businesses have problems with applying this knowledge in practice. We have noticed that, especially first time startups, do not really understand their business model (which is totally understandable). That's why, it is very difficult for them to know what they should concentrate on. Most entrepreneurs / startups have more or less clear business idea but quite often they do not know the business models they can chose and end up learning it the hard way, through their mistakes. Some of them have read the Lean analytics, Lean Starup or Running Lean but even then they do not know exactly how to translate it into coherent Excel model. A business model in the form of Excel is very important for evaluating your business, seeing how much cash you need and how your hypothesis and KPIs are translating into the business
Therefore we build a course on Udemy: https://www.udemy.com/on-line-business-models-in-excel-practical-guide/
The presentation you will find here is just a fraction of what you can find in the course
What will this course give you?
The course is a practical, step by step guide loaded with tones of tips and tools that will help you significantly speed up with your business, especially if you are a startup or a small / medium business. There is little theory – mainly examples, a lot of tips from our own experience as well as other notable examples worth mentioning. Our intention is that thanks to the course you will know:
- What your business model is about, what to concentrate on and what are the key KPIs for you?
- How you can translate it into Excel and evaluate your business?
- How to make conclusions on the basis of your business model presented in the form of Excel
Effective Meetings for Management Consultants & AnalystsAsen Gyczew
What is the aim of this presentation?
During consulting projects you will be doing plenty of interviews and meetings. At the beginning, you may find them very stressful and challenging, especially, when you have to talk with directors, managers that are much older than you, and that have much bigger experience than you. Luckily, there are a lot of interesting techniques that will help you conduct efficiently interviews and meetings during consulting projects.
In this course, I will show you different tips and methods that will help you achieve your goals. Thanks to this course you will learn the following things:
1. How to prepare and conduct initial interviews during consulting projects
2. How to conduct regular meetings
3. How to make sure that your final presentation is a success
4. How to conduct implementation and internal meetings during consulting projects
For more check the following course: https://bit.ly/MeetingsConsultants
MVP – how to test your business idea without building the productAsen Gyczew
It is not that difficult to have a business idea even one that seems like a breakthrough and instant success. The reality bites and 90% of startups fail fast and at the same time cost their founders a small fortune. That’s why the recent development of so called lean startups revolves around learning fast and at small cost to build a product customer need and are willing to pay. Crucial part of this path is a creating a prototype of your product that enables you to test the reaction of your potential customer. This is the MVP – Minimum Viable Product.
MVP has to be Viable which means that it delivers some noticeable value to the customer, solves his pain. Minimum means that it cannot be overcomplicated, it has to have the minimal amount of features for you to be able to draw the right conclusion on what works and what does not work.
In most cases the choie of MVP stops at the landing page as the Holy Grail of lean startup and testing, the ultimate MVP, but the life is much more complicated and landing page in many cases simply is not enough? How do you test community and whether people will share and comment? How do you want to test physical products that have to be tasted and smelled?
On top of that not all MVPs are born equal. Some test one part of your business model whereas others are perfect for testing different question marks that pop-up constantly in your mind.
In this presentation we will show you through examples what should be the MVP for your business model, how to pick the right one for your needs and what are the added benefits of MVP. We will also give estimation of the costs and time needed for creation of MVP.
How to conduct market research in startups and small firms?Asen Gyczew
Many business mistakes are made due to insufficient market research. That’s why U created for you this guide to simple market research methods supported byon-line course so that you can see how with virtually no money you can research many important to you aspects like the size of the market or segment, the sales tactics of competitors, customer preferences etc. .
I will show you 3 groups of market research methods:
1. Consulting methods
2. On-line methods
3. Off-line methods
Since we want you to be able to do market research on your own there will be very little theory and loads of nice examples in many fields. You will master the market research in fields such as: retail, fast moving consumer goods, food sector, on-line businesses, services and some off-line businesses. This training will be especially beneficial for small business owners, startup, and consultants. You will learn what mystery shopping, store-checks is, bottom-up , top-down approach and others.
You will be able also to download from the on-line courses many additional resources
1. Links to free presentation and movies showing examples of research
2. Links to books worth reading
3. Excels with calculations showing you how you can do the market research as well as analyses and draw conclusions
How to create a management consulting presentationAsen Gyczew
In management consulting you are delivering your advices, observation and analyses using presentations. On some projects you may be producing as much as 200-300 slides. Slide preparation is very time-consuming and you have to make sure that you structure you work properly to deliver according to promised deadlines.
In this presentation I will show you how to prepare a great presentation for your customer that will help you deliver your thoughts in a coherent manner and win him over. I will teach you how to prepare the presentation in the right order so you do not waste your time. You will also learn what type of slides you can consider and when you should use a specific type of slide.
This presentation is based on my 12 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. I have not only delivered presentations on numerous projects myself but I was also receiving presentations from consulting companies such as PwC, BCG, McKinsey, EY, Accenture, OCC as a Board Member in many companies. I have seen the process of preparing and delivering presentations form all angles. On the basis of what you will find in this course and I have trained over 100 business analysts and consultants who now are Investment Directors, Senior Analyst, Directors in Consulting Companies, Board Members etc.
Retail for Business Analysts and Management ConsultantsAsen Gyczew
Retail has become very competitive. We have the rise of e-commerce and multichannel, buyers behavior change drastically. This leads to lower margins. As a Business Analyst or Management Consultant you have to be able to analyze the Retailer you work for fast and find possible improvements. This course will help you drastically improve your knowledge and skills in optimizing Retail business through a series of practical cases. It is designed for people who want to become consultants, business analysts or have to run and optimize Retail business on a daily bases. In the course you will learn the following things:
1. How to analyze Retailer and find low hanging fruits
2. How to build business model of the Retailer in Excel in order to see the big picture and see how specific KPIs impact the profit
3. How to optimize Retailers operations
4. How to behave in a multichannel surrounding (when you have also e-commerce operations)
5. How to expand your business into new categories and markets
6. How to analyze in-store engagements
There will be also many growth hacks that Retailers use.
The course is based on my 12 years of experience in Retail as well as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from Retail, FMCG, SMG, B2B sector that I worked for.
How to become world class business analystAsen Gyczew
Business analyst are one of the most important part of a successful business. They help you make the right decision and to spend money wisely. We show here what a business analyst has to know, what business analysis he should be doing and what knowledge he should have to be successful
Liquidity Management for Management Consultants & ManagersAsen Gyczew
Many companies despite having profits still have problems with cash. In other words they have to improve their liquidity. This topic is not widely discussed and a few management consultants as well as managers know how to do it practice. Therefore, more companies die because of problems with liquidity than due to low profits. Luckily, there are a lot of techniques that will help you in a structured way look for ways to generate more cash from the business.
In this course I will show you different methods that you can use to improve the cash position of your business. You will learn the following things:
1. How to identify potential ways to improve your liquidity, especially quick wins
2. How to estimate in Excel how much cash you can generate from specific solution
3. How to pick the optimal solution
4. How to prevent the firm from going bankrupt due to liquidity problems
You will learn here how to cut costs, reduce inventory, reduce receivables, improve payables, and restructure debt and many more:
For more check the following course: http://bit.ly/LiquidityManagementConsulting
Lean six sigma - Waste elimination (Yellow Belt)Abhay Yadav
Lean Six Sigma is a methodology that relies on a collaborative team effort to improve performance by systematically removing waste; combining lean manufacturing/lean enterprise and Six Sigma to eliminate the eight kinds of waste (muda): defects, overproduction, waiting, non-utilized talent, transportation, inventory, motion, extra-processing
Sales Forecasting for Management Consultants & Business AnalystsAsen Gyczew
During many consulting projects, you may be asked to forecast the sales of the firm or check sales forecast models done by the customer. Sales forecasting requires a specific approach to data and also a lot of creative, out of box thinking, to address the issue of insufficient data and changing environment. In this presentation, I will teach you how to do fast and efficiently basic sales forecast models in Excel. We will create a relatively simple sales forecast. Nevertheless, they will significantly help your customer define strategy and decide whether he should open a new factory, enter a new field, buy a business. We will NOT get into complicated models, forecasts as in most case you will not have neither time nor data to do them. It would also require a wider knowledge of mathematics, statistics, econometrics and a usage of more advanced tools than Excel. The things you will learn in this presentation will be sufficient in 70% of the cases and can be done with the knowledge of basic Math. Such basic sales forecasts are especially important during Strategy projects, M&A projects and business development projects. In such projects, you want to get fast rough sales forecasts using simple methods. A similar approach as we will show in this presentation can be used as the starting point for budgeting models.
In the presentation you will learn the following things:
1. The essential concepts in sales forecasting and the main tools that you may need.
2. How to forecast sales in Excel using simple methods fast and efficiently
3. What drivers of sales you should take into account for selected industries. We will look at different cases studies to see how you can move from drivers to a working model in Excel
For more check my online course: http://bit.ly/SalesForecastConsulting
This power point slide is all about the contemporary trends in quality engineering and management.every one should have a knowledge about the quality engineering in a 21st century.quality gives you more success in life.i had been giving you some techniques use in quality engineering program for a business purpose.
Production for Management Consultants and Business AnalystsAsen Gyczew
This presentation will help you drastically improve your knowledge and skills in optimizing production and operations of any company through a series of practical cases. It is designed for people who want to become consultants, business analysts or have to run and optimize production on a daily bases. In the course you will learn 3 things:
1. How to understand any production or operational activities
2. How to optimize the production and operations in order to get more things done, cheaper at higher quality with less resources
3. Where to look for savings and improvements, how to calculate potential savings in Excel and implement them
The course is based on my 12 years of experience as a consultant in top consulting companies and as a Board Member responsible for strategy, improvement and turn-arounds in biggest companies from FMCG, SMG, B2B sector that I worked for. On many occasions I had to optimize the whole production and operational side of the businesses I was responsible for. On the basis of what you will find in this course I have trained over 100 consultants, business analysts and managers who now are Production Directors, Operational Directors, COO, Investment Directors, Directors in Consulting Companies, Board Members etc.
I've been asked to put together a basic (and therefore relatively quick) introduction to Lean Six Sigma & DMAIC. While it’s not yet finished, I thought I would put it out there for people to comment on. Since the presentation is supposed to be training material there’s more text on the slides than I would prefer, but there are a few exercises and games to get the trainees involved.
I've put the PowerPoint version on my blog:
http://alesandrab.wordpress.com/2013/06/07/introduction-to-lean-six-sigma-dmaic/
FOR MORE CLASSES VISIT
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a. Observe the critical path diagram. Why are there two arrows pointing to task F? b. Why is the critical path shown as A-B-E-G-I? How is the critical path defined
A simple project listing of five activities and their respective timejohann11370
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1. Which of the following is a measure of operations and supply management efficiency used by Wall Street? Dividend payout ratio Receivable turnover Current ratio Financial leverage Earnings per share growth
2. An activity-system map is which of the following? A diagram that shows how a company's strategy is delivered to customers A timeline displaying major planned events A network guide to route airlines A facility layout schematic noting what is done where A listing of activities that make up a project
Observe the critical path diagram. Why are there two arrows pointing to task F?
Why is the critical path shown as A-B-E-G-I? How is the critical path defined?
What would happen if activity F was revised to take 4 days instead of 2days?our readers.
OPS 571 HELP Lessons in Excellence / ops571help.comkopiko46
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a. Observe the critical path diagram. Why are there two arrows pointing to task F? b. Why is the critical path shown as A-B-E-G-I? How is the critical path defined? c. What would happen if activity F was revised to take
Funnel Analysis for Management Consultants & Business AnalystsAsen Gyczew
A practical guide on how to do funnel analyses & use them for decision making
Funnels and funnel analyses are great tools that can help you find problems and opportunities, optimize processes as well as manage projects. They are widely used by technological firms. However, many industries are still not using them, despite their big potential. In this presentation, I will teach you how to use funnel analyses to increase the profits of the firm.
In the presentation you will learn the following things:
What are funnels?
1. How to analyze funnels in Excel
2. How funnels look like for e-commerce, marketplace, SaaS firms and other business models
3. How to use funnels and funnel analysis to increase sales and profits
4. What are cohorts and how to use them to analyze funnels?
5. How to use funnels to manage tests, projects, or tasks
For more check the following course:
https://bit.ly/FunnelsConsulting
Data Visualization for Management Consultants & AnalystAsen Gyczew
What is the aim of this course?
In consulting you will spend a lot of time on creating presentations to show the results of your analyses to the customer. That is why, data visualization is so important. With proper display of data you have more chances of convincing the customers that your approach makes sense. In this course I will teach how to use different data visualization techniques to show the results of your analyses during consulting projects.
In the course you will learn the following things:
1. What types of slides you should use to present your thoughts
2. What types of charts you should use for data visualization
3. How to read the charts
4. How to create charts in Excel
5. How to create charts in PowerPoint
6. How to create dynamic charts in Excel
For more check the following course
https://bit.ly/DataVisualizationMC
How to delegate work efficiently - a practical guide for Management Consult...Asen Gyczew
A practical guide on how to delegate work fast & efficiently
Course summary
What is the aim of this course?
If you want to advance in your career and get promoted you have to learn how to efficiently delegate work to other people. It is not an easy skill to master, but you also do not have to be born with a special talent. With a proper approach, you can delegate any work efficiently. Luckily, there are a lot of interesting management productivity hacks that will help you delegate work efficiently to other people. In this course, I will teach how to delegate efficiently work to other people and still not jeopardize the quality of the work.
In the course you will learn the following things:
1. How to delegate efficiently
2. When to use different types of delegation
3. How NOT to do things you are not supposed to do
4. How to make sure that the team works efficiently
For more check the following course:
https://bit.ly/DelegateManagementConsultans
Strategy is one of the most dreaded subjects in any business. There are so many conflicting frameworks that are difficult to decide what to choose. In this presentation, you will learn a framework that will help you formulate and execute the strategy for your businesses on the level of top consulting firms i.e. McKinsey, BCG, Bain, PwC, EY. You will also see how others are implementing their strategic choices. What you will see here is a part of my online course: https://bit.ly/StrategyForConsultants
Check also the course on M&A: https://bit.ly/MAMConsulting
M&A is one of the way to expand the business, disrupt others and protect yourself against disruption. We will see how this has been achieved by Disney and Amazon
Project Management Office (PMO) for Management ConsultantsAsen Gyczew
What is the aim of this course?
Sometimes to create value in the firm or manage a huge number of complicated projects you have to set up Project Management Office (PMO). PMO is responsible for making sure that all strategic projects will be delivered on time. PMO has to also analyze and select projects and support project managers in managing project delivery. Building and running PMO is pretty difficult, especially when it comes to selecting the right projects and later on implementing them. I will teach you in this course how to do it efficiently. We will look at different types of PMO set-up for different purposes. In this course you will learn:
1. In what situation PMO is used and how its goals differ depending on the situation
2. How to select the right projects to implement using PMO
3. What PMO deliverables you will have to create
4. What tools you can use to run the PMO efficiently
Personal Finance using Management Consulting HacksAsen Gyczew
What is the aim of this presentation?
No matter how much you earn it’s not easy to build wealth. The money you earn somehow magically disappears although it seems to you that you have been quite frugal. On top of that, it’s difficult to make certain tradeoffs in life where you have to spend money: Should you cook on your own or buy prepared food? Is it better to rent apartment of buy your own? Should you go for MBA or not? We are not taught at school to make rational decisions and manage our money and wealth. Luckily, there are a lot of nice management consulting tools, techniques and frameworks that will help you spend less, be more efficient, earn money and generate additional income. You don’t have to go to top consulting firm to learn them. You can master them by taking my presentation.
This presentation will help you drastically improve your skills in managing money and making more rational choices using management consulting tools, techniques and frameworks. If you have a specific problem just let me know and I will give you tips on how to solve it using the tools presented in this presentation.
The presentation is designed for people who want to become more data driven and less emotional in the way they manage money and make decisions related to money. Thanks to the presentation you will be making better decisions and you will learn techniques that will help you faster build your wealth. In the presentation you will learn 6 main things:
1. How to spend less money
2. How to make sure that you spend money on the right things
3. How to be more productive, work faster and more efficiently
4. How to earn more money
5. How to generate additional revenue streams
6. How to invest wisely your money
You can find more in my course: http://bit.ly/PersonalFinanceHacks
How to change your business during the recession caused by corona virusAsen Gyczew
A few years ago I have seen a documentary movie showing a refugee camp. To my surprise they have managed to create a mini economy inside the camp. There was a school, hairdresser, somebody who could fix the tent. In other words even if the worst happens a new balance is created in which the flow of goods and services carries on.
We will see the same thing during and after the corona virus pandemic. He will be most likely witnessing pretty big recession this year and the businesses will have to adapt to the new situation.
We will see a lot of changes in sales, operations, population control that will help you go back to the new normal state in which the economy will be rebuild. Similar to what after 9/11 there will be however a lot of changes in the way in which we handle human contact and how we organize our enterprises.
We have prepared a few tips on that in a form of a presentation. We have divided it into 2 parts. In the first one we provide some tips for the firms. In the second one for the governments. Some of them are short term tips how to handle the situation 6 months. There are also tips that will help you avoid such a huge shock to the everyday life in the long run
Enjoy this presentation
I would also recommend checking the following other resources:
1. Bain – Defending Retail against coronavirus
2. Roland Berger - Three Scenarios For How Coronavirus May Affect Economies And Industries
How to train Management Consultants & Business AnalystsAsen Gyczew
Having good people that can do great job is the fundamental thing that every consulting firm has to secure. If you a smaller consulting firm you will struggle with attracting the best and brightest. Therefore, the training process at your firm is crucial. It will help you deliver great results for your customers and scale your business. However, training Business Analysts and Management Consultants is not easy. It takes a lot of time and effort to transform a freshman into a world class Business Analyst. I had the pleasure to train numerous Management Consultants and Business Analyst that not only did a great job at consulting firms but later on went on to become partners and directors at PE funds, COO, CEO, CRO, Directors. In this course I will show you what process and tools I have been using and I will teach you how to train your Business Analysts and Management Consultants efficiently (fast and with little resources). Thanks to the approach that I will show in this course you will have a significant competitive advantage over others.
In the course you will learn the following things:
1. How to define the profile of the ideal consultant
2. What options are on the table when it comes to training consultants and business analysts
3. How to estimate the costs of each every type of training
4. How to allocate time to training
5. How to build the training machine for your firm
For more check my course: http://bit.ly/TrainManagementConsultants
Essential Finance & Accounting for Management Consultants and Business AnalystsAsen Gyczew
During many consulting projects you will have to analyze financial statements (balance sheet, income statement, cash flows) and draw conclusion about specific company. This is especially true during due diligence, strategic projects and turn-arounds. Financial analyses require relatively good understanding of finance and accounting. Business Analysts and Management Consultants that did not study Finance or Business tend to have some problems with navigating this area. This course will help you overcome this problem. Those of you who have finished Business School or Economics will find here a great refresher with a lot of practical tips how to do certain analysis during a consulting project.
This course will help you drastically improve your knowledge and skills in finance and accounting. It is designed for people who are or want to become management consultants, business. In the course you will learn 5 main things:
1. How to read financial statements such as a balance sheet, an income (profit & loss) statement, cash flows
2. How to draw conclusions from financial statements
3. Main principles of accounting
4. How to analyze financial indicators
5. How to estimate the value of the firm / do valuation
I will NOT teach you everything about finance & accounting because it is simply not efficient (and frankly you don’t need it). This course is organized around 80/20 rule and I want to teach you the most useful (from business analyst / consultant perspective) things that will enable you to understand the financial data and analyze them.
Management Consulting Approach to Problem SolvingAsen Gyczew
Time and again you will come across problems that are seeming unsolvable. In many cases you don’t even know how to approach them. Luckily, there are a lot of nice management consulting tools, techniques and frameworks that will help you solve every day problems. You don’t have to go to top consulting firm to master them. You can master them by taking my course.
This course will help you drastically improve your skills in solving problems using management consulting tools, techniques and frameworks. In this course we will mainly concentrate on solving real life problems like: goal settings and defining what and when to do, estimating the cost of a wedding, losing weight and getting in shape, deciding whether to do an MBA or not, choosing the right boyfriend / girlfriend, deciding whether you should buy a car or not, deciding when to retire and many more. If you have a specific problem just let me know and I will give you tips on how to solve it using the tools presented in this course.
The course is designed for people who want to become more data driven and less emotional in the way they solve problems and make decisions. Thanks to the course you will be making better decisions and solve problems that have seemed so far unsolvable. In the course you will learn 3 things:
1. What consulting techniques, tools and frameworks there are
2. When to apply each and one of them
3. How to use them in practice including examples how to calculate specific things in Excel
This is a part of my online course: http://bit.ly/SolvingProblemsHacks
Performance Improvement Project for Management ConsultantsAsen Gyczew
One of the projects you will participate during your work in management consulting is the Performance Improvement Project. You will be hired by the owner or the Board of Directors to improve the business. Those projects are extremely interesting because you will be able to make a real change, create a new reality and improve part of the business or even the whole business. There are also very difficult as you have to not only analyze areas but also find ways to improve the current situation as well as, on some occasions, implement the change. The skills that you will learn during this sort of projects will be also very useful once you move to work for regular businesses or set-up your own firm. In this course I will show you how to deliver such projects fast and efficiently. In the course you will learn the following things:
1. How to conduct performance improvement projects
2. How to estimate in Excel savings and improvements
3. Where to look for performance improvements in FMCG and Retail
4. What frameworks can be used during performance improvement projects
This course is based on my 14 years of experience as a consultant in top consulting firms and as a Board Member responsible for strategy, performance improvement and turn-arounds in biggest firms from Retail, FMCG, SMG, B2B and services sectors that I worked for. I have carried or supervised over 90 different performance improvement projects in different industries that generated in total 2 billion of additional EBITDA. This presentation is a part of my online course: http://bit.ly/PerformanceImprovementProjects
KPIs and metrics for Management Consultants and ManagersAsen Gyczew
Practical guide how to use KPIs to understand & manage a business
Most businesses on the face of it look very complicated and difficult to understand. On top of that the competition is so fierce that you have to take decisions based on data and not on gut feeling (a very misleading creature). That’s why it’s crucial to define and understand the main drivers and metrics measuring those drivers. If you have properly defined Key Performance Indicators (KPIs) you can understand the mechanism behind any business, you will be able to model it in Excel and you will know how to grow it or improve it. You can also use properly defined KPIs to manage people efficiently, give them goals aligned with your goals. That’s why I have decided to create a course solely concentrated on this KPIs.
This course will give you the knowledge and insight into drivers and KPIs used in different business models that can be used for understanding the business, managing it, motivating people and improving results. The course will make your life during a consulting project much easier. If you are already a manager thanks to this course you will learn how to use the KPIs to understand and grow your business.
This course will help you drastically improve your knowledge and skills in understanding and improving your business using KPIs. It is designed for management consultants and newly appointed managers that want to excel at their work. In the course you will learn 6 things:
1. How to understand the business through KPIs
2. How to use KPIs to model the business in Excel
3. How to use KPIs to manage the business
4. How to use KPIs to motivate people
5. How to use KPIs to improve the business
6. What is a good KPI
For more check my course: http://bit.ly/KPIsCourse
SMCG for Management Consultants and Business AnalystsAsen Gyczew
Consulting projects especially when it comes to consumer goods business are very demanding. The two most complicated areas are sales and marketing and supply chain. During consulting projects I have seen business analysts and management consultants struggling with understanding the business fast enough to deliver value to the customer. This course will give you the knowledge and insight into real life case studies that will make your life during a consulting project in a consumer goods business much easier.
This presentation will help you improve your knowledge and skills in analyzing and improving Slow Moving Consumer Goods businesses (SMCG). It is designed for people who want to become management consultants, business analysts or have to run and optimize SMCG businesses on daily bases. In the course you will learn 3 things:
1. How to model SMCG business in Excel
2. How to improve sales and marketing in order to increase margin and profit
3. How to improve supply chain in order to increase margin and profit
For more check my presentation: http://bit.ly/SMCGSlideshare
It’s not easy to transition first from an efficient specialist to a manager and later on to an outstanding CEO. What made you a great specialist quite often is a problem at a manager level. You have to totally switch the way you work and on what you concentrate. The same goes for your transition from manager to CEO. Being a CEO is not just managing a bigger team or more senior team. If you want to be successful you have to fully redefine your role, unlearn some things and learn new skills.
Most of the people have problems with those sort of transitions. If all you have is a hammer, everything looks like a nail. This old saying is unfortunately very true when you move to managerial positions. You tend to continue doing things that made you successful but what I got you here won’t get you there.
This course will help you redefine your role and transition from a specialist to a manager and later on to a CEO. I will provide you clear guidelines what and how to do in order to be efficient and effective manager as well as CEO. In this course you will learn 5 things
1. How to be an efficient and effective manager
2. How to be an efficient and effective CEO
3. How to understand the business from the position of a CEO
4. How to improve the business as a CEO
5. How to make your business strategically sustainable
buy old yahoo accounts buy yahoo accountsSusan Laney
As a business owner, I understand the importance of having a strong online presence and leveraging various digital platforms to reach and engage with your target audience. One often overlooked yet highly valuable asset in this regard is the humble Yahoo account. While many may perceive Yahoo as a relic of the past, the truth is that these accounts still hold immense potential for businesses of all sizes.
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s DholeraAvirahi City Dholera
The Tata Group, a titan of Indian industry, is making waves with its advanced talks with Taiwanese chipmakers Powerchip Semiconductor Manufacturing Corporation (PSMC) and UMC Group. The goal? Establishing a cutting-edge semiconductor fabrication unit (fab) in Dholera, Gujarat. This isn’t just any project; it’s a potential game changer for India’s chipmaking aspirations and a boon for investors seeking promising residential projects in dholera sir.
Visit : https://www.avirahi.com/blog/tata-group-dials-taiwan-for-its-chipmaking-ambition-in-gujarats-dholera/
At Techbox Square, in Singapore, we're not just creative web designers and developers, we're the driving force behind your brand identity. Contact us today.
At Techbox Square, in Singapore, we're not just creative web designers and developers, we're the driving force behind your brand identity. Contact us today.
The 10 Most Influential Leaders Guiding Corporate Evolution, 2024.pdfthesiliconleaders
In the recent edition, The 10 Most Influential Leaders Guiding Corporate Evolution, 2024, The Silicon Leaders magazine gladly features Dejan Štancer, President of the Global Chamber of Business Leaders (GCBL), along with other leaders.
Anny Serafina Love - Letter of Recommendation by Kellen Harkins, MS.AnnySerafinaLove
This letter, written by Kellen Harkins, Course Director at Full Sail University, commends Anny Love's exemplary performance in the Video Sharing Platforms class. It highlights her dedication, willingness to challenge herself, and exceptional skills in production, editing, and marketing across various video platforms like YouTube, TikTok, and Instagram.
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
Discover the innovative and creative projects that highlight my journey through Full Sail University. Below, you’ll find a collection of my work showcasing my skills and expertise in digital marketing, event planning, and media production.
LA HUG - Video Testimonials with Chynna Morgan - June 2024Lital Barkan
Have you ever heard that user-generated content or video testimonials can take your brand to the next level? We will explore how you can effectively use video testimonials to leverage and boost your sales, content strategy, and increase your CRM data.🤯
We will dig deeper into:
1. How to capture video testimonials that convert from your audience 🎥
2. How to leverage your testimonials to boost your sales 💲
3. How you can capture more CRM data to understand your audience better through video testimonials. 📊
Understanding User Needs and Satisfying ThemAggregage
https://www.productmanagementtoday.com/frs/26903918/understanding-user-needs-and-satisfying-them
We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
In this webinar, we won't focus on the research methods for discovering user-needs. We will focus on synthesis of the needs we discover, communication and alignment tools, and how we operationalize addressing those needs.
Industry expert Scott Sehlhorst will:
• Introduce a taxonomy for user goals with real world examples
• Present the Onion Diagram, a tool for contextualizing task-level goals
• Illustrate how customer journey maps capture activity-level and task-level goals
• Demonstrate the best approach to selection and prioritization of user-goals to address
• Highlight the crucial benchmarks, observable changes, in ensuring fulfillment of customer needs
2. 2
Consulting firms are hired very often to help with Supply Chain and Production. During such
projects you will quite often have to look at the production planning and optimize it.
3. 3
Optimizing production planning will require a good understanding of what drives
production capacity as well as how production impact the costs in the whole supply chain
4. 4
In this presentation, I will show you how to perform fast and efficiently
different types of analyses related to production planning.
5. 5
Target Group What you will learn What you will get
Management Consultants &
Business Analysts
Analysts working in PE, VC funds
People responsible for production
planning or sales forecasting in
corporations
Production and Supply Chain
Managers
What the production capacity
depends on
How to find optimal production
batches for different products in
Excel that will minimize costs in
the whole supply chain
How to plan production capacity
for the future
Ready made analyses in Excel
List of Recommended readings
(articles, books)
6. 6
This presentation will help you perform fast and
efficiently production planning analyses on the
level of top management consultants
8. 8
In business you have to make a lot of important decisions
In this presentation, I will show you how to perform fast and
efficiently different types of analyses related to production planning
9. 9
Essential Methods for
Production Planning
KPIs and goals for
Production Planning
What Production Planning
does in practices
Kanban & Continuous Flow
Advanced Methods for
Production Planning
Capacity management
10. 10
What you will see in this presentation is a part of my online course where you
can find case studies showing analyses along with detailed calculations in Excel
Production Planning for Management
Consultants & Analysts
$190
$19
Click here to check my course
13. 13
Production Planning Department does a lot of things. In this section we will
briefly show you what kind of issues they have to deal with in their daily work.
14. 14
In this section we will talk about the following things
What Production Planning
has to decide on?
Optimal sequence of
production batches
Definition of terms used in
Production Planning
What the production
capacity depends on?
Theory of constraints and
bottlenecks
Links to Sales Forecasting &
Purchasing Planning
Where Production Planning
can be in the organization?
Production Planning role in
different production
systems
16. 16
In production planning, we use many terms, which are not always clear.
In this part, we will discuss briefly the most commonly used terms.
17. 17
Let’s go through some definitions we will use in production planning
Production schedule Production batch
SKU
Bottleneck
Optimal production batch Capacity estimation
18. 18
Let’s start from SKU
Stands for Stock Keeping Units
SKUs represent different product characteristics, like: producer,
brand, size, color
The main role of SKU’s is to help you keep track of your inventory
SKU is defined as a code used by online or offline stores to identify
a specific product
SKU =
19. 19
So if you have big bottle of milk and small bottle they will be 2 different
SKUs although inside of the bottle you have the same product
20. 20
Let’s have a look at the definition of production schedule
It is a timetable of production activities for products, assembles and
manufactured goods in given period of time
Can be created in different planning stages: production planning,
material planning and manufacturing planning
In short it shows you what will be produce on what machine or a
production line
Production schedule =
21. 21
Let’s have a look at an example of production schedule in a factory
producing juice
Production schedule Duration of the task
Day 1 Day 2 Day 3 Day 4 Day 5 Day 6 Day 7
Production Line 1
Production Line 2
Production Line 3
Production Line 4
Production Line 5
Apple juice
Blueberry juice
Orange juice
22. 22
Let’s have a look at the definition of production batch
It’s a group of similar products that are produced together
Each batch goes through one stage of the production process
before moving onto the next stage
Bigger production batches tend to have lower cost of production
On the other hand bigger production batches mean also much more
inventory
Production batch =
23. 23
Demand is usually scattered in time. By grouping it and producing it as one
batch we save money
Day 1 Day 2 Day 3 Day 4 Day 5
Demand Production batch
Day 1 Day 2 Day 3 Day 4 Day 5
24. 24
Obviously I can have different batches. Only 1 of them will be optimal
Batch 1 Batch 2
Day 1 Day 2 Day 3 Day 4 Day 5
Batch 3
Day 1 Day 2 Day 3 Day 4 Day 5
Day 1 Day 2 Day 3 Day 4 Day 5
25. 25
Let’s have a look at the definition of optimal production batch
Optimal production
batch
=
A production batch that helps you achieve usually minimal costs or
maximal total gross margin
In other words it’s the Optimal quantity of units that can be
produced at a minimal cost or maximal gross margin
In the costs we include production costs as well as warehousing
costs, cost of frozen capital
26. 26
Let’s have a look at the definition of bottleneck
It is a part of the process that limits the output of the whole system
Bottleneck blocks the system and does not allow it to do more
We can distinguish two types of bottleneck: short-term bottlenecks
and long-term bottlenecks
Short-term bottleneck is caused by temporary problem
Long-term bottleneck is caused by repetitive problems and have
impact on the whole production process
Bottleneck =
28. 28
Example 1
7 5 7
Example 2
5 10 20
Example 3
5 5 3
x Stage capacity
What is the throughput of every system and where is the bottleneck?
29. 29
Let’s have a look at the definition of capacity estimation
Allows you to define maximum production output with the
available resources in a given period of time
The capacity can be estimated over days, weeks or months
You have to know the capacity of specific machine, factory to be
able to plan properly the production
Capacity estimation =
30. 30
Let’s have a look at some example of capacity estimation in a cinema
Number of screens x
Number of seats
per 1 screen
=
Daily cinema
capacity
Number of movies
per day per screen
x
5 x 400
=
12 000 6
x
5 x 400
=
6 000 3
x
5 x 500
=
15 000 6
x
10 x 500
=
30 000 6
x
32. 36
Production planning defines several things. In this lecture, I will show
you what Production Planning Department has to decide on.
33. 37
Production planning is responsible for defining some of the following
things
Define sequence of
production
Capacity estimation
(by groups)
Optimal production
batches
Identity bottlenecks
Production schedule
34. 38
Let’s see how it works in practice
Sales demand / Sales
forecast
Production planning
Inventory level
Production capacity
Availability of people
Availability of machines
Availability of resources
Production schedule
Sequence of production
Production orders with
deadlines
36. 40
Next thing that quite of production planning does is to put batches in
some order. Let’s imagine we will produce 3 types of juice
Apple juice Blueberry juice Orange juice
37. 41
Let’s look how we can order those bottles
Option 1
Option 2
Option 3
Option 4
Option 5
Option 6
Apple juice Blueberry juice Orange juice
Apple juice Orange juice Blueberry juice
Orange juice Apple juice Blueberry juice
Orange juice Blueberry juice Apple juice
Blueberry juice Orange juice Apple juice
Blueberry juice Apple juice Orange juice
38. 42
To select the optimal option you have to take into consideration the
following parameters
Loss of juice in liters
Set-up time
Price of juice
Shifts
Lack of inventory of some
type of juice
Speed of the machine for
different types of juice
40. 44
We have discussed shortly main terms that are useful in production
planning
Production schedule Production batch
SKU
Bottleneck
Optimal production batch Capacity estimation
Capacity estimation
Smart batching
41. 45
In the next few lectures, I will concentrate on bottlenecks and capacity
estimation
Production schedule Production batch
SKU
Bottleneck
Optimal production batch Capacity estimation
Optimal Sequence of
production batches
44. 48
Example 1
7 5 7
Example 2
5 10 20
Example 3
5 5 3
x Stage capacity
What is the throughput of every system and where is the bottleneck?
45. 49
The are 4 rules that you should follow when it comes to bottlenecks
Identify what is the bottleneck
Increase its throughput by lowering the time needed for everything that goes
through the bottleneck
Add new resources to bottleneck
Adjust everything to the bottleneck – so it works at the same pace
46. 50
Imagine that you are working in a company working in a content marketing
Research topics for a
post
Write a post Create illustration
Edit and modify
post, add illustration
and schedule
20 5 7 10
# of post that can
be done in a week
by 1 person
Speed up the writing process (faster typing,
better tools, shortcuts for the most popular
words)
xx
20 8 7 10
10 9 10 10
Make the researcher do also par time
writing and making illustration
We have almost doubled the production of post with the same resources
The same principles would apply if all the activities were done only by you – in this case it would mean that you
should not do too much research and illustration but rather improve the typing speed and match the number of
illustration and researches to your capacity in writing
If you have no impact on the process (you are one of the guys above just doing his own part and your boss does not
want to listen to you then simply do less – identify the bottleneck and adjust your speed to his speed.
On the other hand if you are the bottleneck then speed up because the whole team depends on you.
47. 51
Check the video on YouTube for more details
Click here to go to the video
48. 52
Check the video on YouTube for more details
Click here to go to the video
50. 54
Your friend Ivan works in a content marketing agency and wants to
improve the work of his team. Help him using the bottleneck framework
51. 55
A few things about Ivan team
He manages 4 people
Every person specializes only in
1 area
You measure your success in
number of posts produced
52. 56
Below you can see the production capacity for each and every stage.
1 person works on 1 stage only
Research topics for a
post
Write a post Create illustration
Edit and modify
post, add illustration
and schedule
20 7 10
# of post that can
be done in a week
by 1 person
xx
5
54. 58
Your friend Ivan works in a content marketing agency and wants to
improve the work of his team. Help him using the bottleneck framework
55. 59
Just as a reminder a few information about the content marketing
agency
He manages 4 people
Every person specializes only in
1 area
You measure your success in
number of posts produced
56. 60
Let’s see how we could increase production of posts
Research topics for a
post
Write a post Create illustration
Edit and modify
post, add illustration
and schedule
20 5 7 10
# of post that can be done in
a week by 1 person
Speed up the writing process (faster typing,
better tools, shortcuts for the most popular
words)
xx
20 8 7 10
10 9 10 10
Make the researcher do also par time
writing and making illustration
We have almost doubled the production of post with the same resources
The same principles would apply if all the activities were done only by you – in this case it would mean that you
should not do too much research and illustration but rather improve the typing speed and match the number of
illustration and researches to your capacity in writing
If you have no impact on the process (you are one of the guys above just doing his own part and your boss does not
want to listen to you then simply do less – identify the bottleneck and adjust your speed to his speed.
On the other hand if you are the bottleneck then speed up because the whole team depends on you.
58. 62
Now imagine that you were asked to increase the production capacity of a factory.
Try also to calculate the financial impact of the proposed scenarios.
59. 63
A few things about the firm
The product has to go through 3
stages
1 ton of product generates USD 30 of
margin after variable costs
You want to see to what level you can
increase production
Try to also estimate the impact on the
annual EBITDA of proposed changes
60. 64
Before we look at specific scenarios, we have to discuss 2 issues
What the production
capacity depends on?
How to calculate
monthly production
capacity
62. 66
First let’s see what the production depends on assuming there is just 1
production stage
# of hours when
we were producing
=
Total number of
units produced
Units produced per
1 hour of work
x
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
# of hours when
we were producing
Available time in
hours
x
% of Time used for
production
=
63. 67
Let’s calculate a simple example
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
24 x 50%
=
Total number of
units produced
10
x = 120
64. 68
Now let’s imagine that we increase the % of Time used for production to 70%
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
24 x 50%
=
Total number of
units produced
10
x = 120
24 x 70%
=
Total number of
units produced
10
x = 168
65. 69
The same results can be achieved by increasing units producer per 1 hour of
work
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
24 x 50%
=
Total number of
units produced
10
x = 120
24 x 70%
=
Total number of
units produced
10
x = 168
24 x 50%
=
Total number of
units produced
14
x = 168
66. 70
Finally let’s see what other names we can use for this drivers of capacity
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
Available time in
hours
x
Overall Equipment
Efficiency (OEE)
=
Total number of
units produced
Throughput per 1
hour
x
68. 72
We said that the production depends on 3 drivers
Available time in
hours
x
% of Time used for
production
=
Total number of
units produced
Units produced per
1 hour of work
x
Available time in
hours
x
Overall Equipment
Efficiency (OEE)
=
Total number of
units produced
Throughput per 1
hour
x
69. 73
Now let’s see how it looks like for the whole month
Available time in hours
During the month x
Overall Equipment
Efficiency (OEE)
=
Total number of units
produced during the
month
Throughput per 1 hour
x
Available time in hours
During the month =
# of days during the
month when we work x
# of working hours per
day of work
Total number of units
produced during the
month
=
# of days during the
month when we work x
# of working hours per
day of work x
Overall Equipment
Efficiency (OEE)
Throughput per 1 hour
x
70. 74
Let’s have a look at a simple example
800 = 20 x 8 x 50% 10
x
Total number of units
produced during the
month
=
# of days during the
month when we work x
# of working hours per
day of work x
Overall Equipment
Efficiency (OEE)
Throughput per 1 hour
x
71. 75
You can increase production by changing different drivers
800 = 20 x 8 x 50% 10
x
Total number of units
produced during the
month
=
# of days during the
month when we work x
# of working hours per
day of work x
Overall Equipment
Efficiency (OEE)
Throughput per 1 hour
x
1 200 = 30 x 8 x 50% 10
x
1 200 = 20 x 12 x 50% 10
x
1 200 = 20 x 8 x 75% 10
x
1 200 = 20 x 8 x 50% 15
x
4 050 = 30 x 12 x 75% 15
x
73. 77
Just as a reminder a few things about the firm
The product has to go through 3
stages
1 ton of product generates USD 30 of
margin after variable costs
You want to see to what level you can
increase production
Try to also estimate the impact on the
annual EBITDA of proposed changes
74. 78
In previous lectures we said that the monthly production depends on 4
drivers
Total number of units
produced during the
month
=
# of days during the
month when we work x
# of working hours per
day of work x
Overall Equipment
Efficiency (OEE)
Throughput per 1 hour
x
75. 79
Let’s instead of hours and throughput per day use hours and throughput
per shift
Total number of units
produced during the
month
=
# of days during the
month when we work x
# of working hours per
day of work x
Overall Equipment
Efficiency (OEE)
Throughput per 1 hour
x
Total number of units
produced during the
month
=
# of days during the
month when we work x # of shifts per day x
Overall Equipment
Efficiency (OEE)
Throughput per 1 shift
x
76. 80
In the case study we have 3 stages not one. So first we have to calculate
the potential capacity per stage
Total # of units going
through Stage 1 =
# of days during the
month when Stage 1
works
x
# of shifts per day for
Stage 1 x OEE for Stage 1
Throughput per 1 shift
for stage 1
x
Total # of units going
through Stage 2 =
# of days during the
month when Stage 2
works
x
# of shifts per day for
Stage 2 x OEE for Stage 2
Throughput per 1 shift
for Stage 2
x
Total # of units going
through Stage 3 =
# of days during the
month when Stage 1
works
x
# of shifts per day for
Stage 3 x OEE for Stage 3
Throughput per 1 shift
for Stage 3
x
Total # of units
Produced =
Minimal # of units
going through every
stage
77. 81
In previous lectures we said that the monthly production depends on
number of drivers
Total # of units going
through Stage 1 = 30 x 2 x 60% 12
x
Total # of units going
through Stage 2 = 30 x 3 x 80% 10
x
Total # of units going
through Stage 3 = 30 x 3 x 60% 10
x
Total # of units
Produced =
Minimal # of units
going through every
stage
78. 82
In previous lectures we said that the monthly production depends on
number of drivers
Total # of units going
through Stage 1 =
Total # of units going
through Stage 2 =
Total # of units going
through Stage 3 =
Total # of units
Produced = 432
432
720
540
79. 83
In the 1st scenario assumes that you will increase OEE for stage 1
The bottleneck is the stage 1 of
production
We want to increase the production
by moving OEE
Assume that you increase OEE from
60% to 70%
The change will require capex of USD
20 K
80. 84
In the 2nd scenario assumes that you will increase the throughput for
stage 1
The bottleneck is the stage 1 of
production
We want to increase the throughput
per shift
Assume that you increase throughput
from 10 to 16
The change will require capex of USD
30 K
81. 85
In the 3rd scenario assumes that you will increase the number of shifts
for stage 1
The bottleneck is the stage 1 of
production
We want to increase the number of
shifts when we work
Assume that you increase the number
of shifts in stage 1
The change will require additional
Opex of USD 20 K
82. 86
In the 4th scenario assumes that you will combine all improvements
The bottleneck is the stage 1 of
production
Combine all improvements from
scenarios 1-3
Remove the bottleneck in stage 3 –
increase throughput
The change will require additional
Opex of USD 20 K & Capex of 80 K
84. 88
One of the biggest problem for efficiency is the so called Parkinson’s
Law – Work expand so as to fill the time available for its completion
85. 89
People when asked to evaluate the time certain things will take build in
buffers
A B C
A + B + C
A + B + C
A B C Central buffer
Declared time
Buffer time
Real execution
86. 90
Check the video on YouTube for more details
Click here to go to the video
89. 93
Production planning is linked with other planning activities
Sales forecasting Production planning Purchasing planning
90. 94
The way they influence each other will depend on the product and the
lead times for delivering necessary raw materials
Sales forecasting Production planning Purchasing planning
Sales forecasting Purchasing planning Production planning
Option 1 – short lead time or big inventory
Option 2 – long lead time
92. 96
The role of production planning will depend greatly on the
production system used. Let’s discuss this briefly.
93. 97
Bear in mind that production planning will have different role in
different production system
You produce only if you have an order from the customer for specific good and quantity
You don’t produce anything in advance
Make to order
You produce ahead of time without a customer order
You are trigged by changes in stock
There is no direct link to the behavior of customers
Make to stock
This is a mix of make to stock and make to order
You produce components, semi products ahead of time (make to stock)
The assembling of the finished product requires an order from customer (make to order)
Make to assemble
You design product with the customer first
Based on the design you start the production process
Make to engineer
94. 98
Let’s have a look at some examples
Computers – Dell in B2B channel
Carmakers – BMW
Luxury products and accessories – Louis Vuitton
Food – sushi
Make to order
FMCG – L'Oréal,
Fashion – H&M, GAP
Food – mass production
Computers – Dell, Asus in B2C channel
Make to stock
Food – Subway
Carmakers – spare parts, cheaper brands like Volvo, GM brands
Chairs
Fashion – Zara
Make to assemble
Custom-made furniture manufacturers
Make to engineer
95. 99
Let’s see how the role of the production planning will differ
Make to order
Aggregate orders from customers
Check availability
Create production order
Define sequence of production
What production planning does
Make to stock
Define optimal production batches, lead time and trigger mechanisms (on the basis of the inventory level)
Define sequence of production
Create production order for components
Make to assemble
Define optimal production batches, lead time and trigger mechanisms (on the basis of the inventory level)
for components
Define sequence of production of components
Create production order for components
Aggregate orders from customers (for finished products)
Define sequence of assembling finished products
Create production order for assembling
97. 101
In many cases, Production Planning is a part of the Production Department
CEO
Production Supply chain Sales Controlling / Finance
Production planning
98. 102
In many cases, Production Planning is a part of the Supply Chain
Department
CEO
Production Supply chain Sales Controlling / Finance
Production planning
99. 103
It may also be a part of the Sales Department.
CEO
Production Supply chain Sales Controlling / Finance
Production planning
100. 104
Some firms prefer to place the Production Planning under the Controlling
Department
CEO
Production Supply chain Sales Controlling / Finance
Production planning
101. 105
Production planning can be also a separate department
CEO
Production Supply chain Sales Controlling Production planning
102. 106
For more details and content check my online course where you can find case
studies showing analyses along with detailed calculations in Excel
Production Planning for Management
Consultants & Analysts
$190
$19
Click here to check my course
105. 109
Let’s now move to production planning methods. In this section I will
show you the essential methods for finding optimal production batches.
106. 110
In this section we will talk about the following things
Calculating optimal
production batches – case
study in juice production
2 stage production – case
study in cosmetics
Simple framework for
calculating the optimal
production batches
Scenario Analysis applied
to optimal production
batches – bakery case study
Scenario Analysis
108. 112
On a typical production line there are many products produced. One
instance of producing the same product is called production batch.
109. 113
8 000 2 000 3 000 1 000 2 000 2 000
Production batch is measured in quantity units and can be of different
size
110. 114
TPA 8s
TPA 8a
TPA 21
TPA 8b
845 hl
701 hl
618 hl
860 hl
1 732 hl 1 375 hl
1 300 hl 1 300 hl
Average production
batch
Optimal production
batch
Quite often when you compare optimal with actual production batches
you see that a lot of money could be saved
111. 115
In most cases, for every product, you should set minimal and safety stock
level and calculate the optimal batch. Below how the stock will change
S - Safety stock
level
Q – Optimal
production batch
LT – Lead time for
production cycle
Maximum stock
level
Stocks of
one SKU
Time
112. 116
Stocks level used to find moment, when work order should be send to Production
Department and production should be started
Let’s have a look at the definition of main terms used when looking for an
optimal batch
Safety stock level
Maximum stock
level
Optimal
production batch
Lead time for
production cycle
Stock level achieved when Safety stock level is increased by optimal production batch = S
+ Q
Batch size optimized to minimize costs of production and warehousing costs
Time needed for goods production, quality control check up and transport to the
warehouse or distribution centers
Definition
113. 117
Optimal production batch =
2 * Expected demand * Cost of readjusting production line
Cost of frozen capital
Expected demand – average weekly sales in pieces
Cost of readjusting production line – Costs of employees working during starting up production cycle, costs of media used and
waste of juice
Cost of frozen capital – unit costs of raw materials used for production of goods
Total costs of production =
Cost of readjusting
production line +
Expected
demand
Optimal
batch
Optimal
batch
1
2
Cost of frozen
capital
* *
*
Fixed costs Variable costs
Minimizing
Below are the most typical used formula for optimal production batch
(EOQ – Economic Order Quantity)
115. 119
Bundle 1 Bundle 2 Bundle 3 Bundle 4 Bundle 5
Sometimes forecasting gets a bit complicated if you have to look at
bundles
116. 120
Forecast bundles
Translate it into
products
Calculate optimal
batches
Prepare assemble
plan
Prepare production
plan
Produce &
assemble
For bundles you have to translate them into products and account for
optimal production batches
118. 122
Future is pretty difficult to figure out. You don’t know what will happen.
In those cases it is a good idea to consider a few different scenarios
119. 123
Future is pretty difficult to figure out. You don’t know what will happen.
In this cases it is a good idea to consider a few different scenarios
120. 124
Imagine that you are ice cream producer and you have to decide how much ice-
cream to produce for the next day without knowing what will be the weather.
Therefore, you have to consider different scenarios
Scenario 1 Scenario 2 Scenario 3
100 70 30
121. 125
The scenario analysis consists of 5 steps
Define the thing
(goal function) you
want to analyze
Define which drivers
are the least certain
Define the scenarios
Define your
behavior / policy
Check the goal
function for every
policy
You should be
analyzing the things
that are threatened
by different
scenarios and are
important for your
business
It can be profit,
NPV from new
investment,
inventory you
should have etc.
It is good to define
3-5 different
scenarios
In every scenario
the main drivers
will have different
value
You should assign
certain probability
to every scenario
Scenarios do not
depend on you but
your behavior does.
You can define a
policy / behavior
that helps you in a
specific situation
Concentrate on
drivers that have
big impact and big
volatility
The aim of this step
is to pick the right
policy, given the
scenarios and their
policy
The best policy is
the one that gives
you highest
benefits (highest
goal function)
122. 126
In the next lectures I will show you how to create and use scenario
analysis in practice using an example from airplane industry
Which price formula is the best
for my profits
124. 128
Now we will try to see which price formula is better for aircraft
maintenance service company
2 sites – in Poland and Croatia
Consider 4 different formulas
Consider 3 different scenarios
125. 129
Now we will try to see which price formula is better for aircraft
maintenance service company
Materials
Scenario 1
$ 30 K
Number of
manhours needed
3 000 man-hours
Probability of the
scenario
30%
Scenario 2
$ 20 K
3 400 man-hours
25%
Scenario 3
$ 15 K
3 800 man-hours
45%
126. 130
Now we will try to see which price formula is better for aircraft
maintenance service company
Materials
Times & Materials
Cost of Materials
increased by 15%
markup
Labor
$ 50 per 1 man-hour
We look at the real
man-hours needed
Fixed Fee
$ 25 K
$ 140 K
Mixed Option 1
$ 25 K
Fixed: $ 140 K
On top of that 15% of
the labor cost
calculated using Times
& Materials formula
Mixed Option 2
$ 25 K
Fixed: $ 140 K
On top of that for all
man-hours above 2
800 we use the Time
& Materials formula
but using the price of
$ 90 per 1 man-hour
128. 132
Just as a reminder we were trying to decide which pricing formula is the
best for the MRO organization
2 sites – in Poland and Croatia
Consider 4 different formulas
Consider 3 different scenarios
129. 133
It seems that the Mixed Option 2 price formula is the best solution
Gross Margin
In thousands of USD
90
58
84
117
Times & Materials Fixed Fee Mixed Option 1 Mixed Option 2
131. 135
Let’s imagine that a local bakery would like you to estimate the optimal
production batch for muffins. You will use for that scenario analysis.
132. 136
A few information about the firm
30 locations in Poland
They sell coffee, own made cakes,
sandwiches and quiches
They would like to optimize the muffin
production process
133. 137
The muffin production process consist of 3 main stages
Purchase of
materials
Preparation of
dough
Forming Baking Sales
Prepare the
workplace
Gather and add
needed ingredients
Mix the ingredients
Divide the dough
into two smaller
parts
Store the part of
the dough for next
process
Fill in the cake
molds
Prepare the oven
Transport the
muffins to bakery
oven
Remove the muffins
from the bakery
oven after they
have been baked
and prepare them
for transport to
stores
Muffin sales in own
stores
Purchase needed
ingredients
136. 140
Just as a reminder you work for a local bakery that wants you to estimate the
optimal production batch for muffins. You used for that scenario analysis.
137. 141
A few information about the firm
5 locations in Poland
They sell coffee, own made cakes,
sandwiches and quiches
They would like to optimize the muffin
production process
138. 142
Options for Dough
Options for Baking and Forming
Option A - preparation of
250 pieces in 1 batch
Option B - preparation of
400 pieces in 1 batch
Option C - preparation of
800 pieces in 1 batch
Option D - preparation of
1200 pieces in 1 batch In Days of Sales
Option 1 - preparation of
120 pieces in 1 batch 35 892 34 230 33 111 32 205 0,4
Option 2 - preparation of
200 pieces in 1 batch 31 546 29 884 28 766 27 860 0,6
Option 3 - preparation of
400 pieces in 1 batch 28 288 26 626 25 507 24 602 1,2
Option 4 - preparation of
800 pieces in 1 batch 26 658 24 996 23 877 22 972 2,4
In Days of Sales 0,8 1,2 2,4 3,6
Let’s have a look at the change in monthly cost of producing muffins
Currently
After
changes
Monthly cost of muffin production – cost of labor and warehousing
In EUR
139. 143
For more details and content check my online course where you can find case
studies showing analyses along with detailed calculations in Excel
Production Planning for Management
Consultants & Analysts
$190
$19
Click here to check my course
142. 146
In production planning, you have to decide how to organize production so that it is
optimal not only from the point of view of production but the whole supply chain
143. 147
In this section, you will learn 3 things
Goals of production
planning
Production Planning value
drivers
Typical problems in
Production Planning
145. 149
The primary goals of Production Planning is to efficiently produce, with
low inventory and providing at the same time on time delivery
Efficiency
of production
High Customer
Service
Low
inventory
WIP
Finished Goods
Raw Materials
High utilization
of machines
Smooth production
Low costs
On time delivery
Delivery according to
the order
147. 151
Several drivers related to production planning have impacts on value
generation
Production planning
Allocation of products to
machines/ production routes
Machine utilization
Batch order
Batch size
Driver Impact on
Machine efficiency, throughput,
waste level
Delivery time, throughput, costs
WIP level, lead time, efficiency of
machines, waste level
Waste level, efficiency of
machines (set up time), lead time
Variability
Delivery time, throughput, waste
level
149. 153
There are a few typical problem usually occur in production planning
Potential Problem
Production planning process not linked with
sales planning process
Analysis needed
Production planning does not take into account
machine park abilities, production plan does not
optimize OEE, i.e.:
Short production batches
Frequent setups / losses of raw materials
Products not ascribed to machines on which
their production is optimal
Low stability of production plans
Real production differs from production plans
Short planning horizon
Production
planning vs
sales planning
process
Analysis of production planning process (process mapping)
Number and scale of plan corrections a month / week
Production
planning vs
production
Analysis of the logic behind planning model used (production for
warehouses vs. production as a realization of orders)
Analysis of production planning efficiency (impact on OEE):
Analysis of planned downtime (frequency and length of setups)
Analysis of production batches length in comparison with optimal
batches length and scale of orders / sale in regarded period
Analysis of the level of shortages on different production lines / for
different length of production batches
Production planning horizon vs. „lead time” and stock management
model
Real production vs. production plan
152. 156
Now let’s have a look at more advanced methods of finding optimal
production batches. They can be very useful in more complicated case studies.
153. 157
In this section, we will talk about the following things
Simulation method applied
in sales – case study
Simulation method applied
in logistics – case study
What is a simulation
method?
Simulation method applied
in optimal production –
case study
155. 159
Future is pretty difficult to figure out. You can use scenario analysis or
you check ALL the potential options and see which is optimal
156. 160
Imagine for a second that you have a small bakery trying to decide what is the optimal
number of cakes that you should bake. You want to use simulations to find out
157. 161
For the producer of cakes that at the same time can bake from 1 to 10 cakes
using the simulation to find optimal production batch would entail calculating
the costs for all options
158. 162
There are plenty of things you can do thanks to simulations
Find optimal solutions
Carry out sensitivity analysis
Plan & Forecast
Test the boundaries of the
system
Find weak spots
…..
159. 163
In the next lectures I will show you how to use simulation in practice. I
will be talking about 2 examples
What will be the effect of the
price increase
Simulation of the whole
Logistics System
160. 164
What will be the effect of the price
increase – Introduction
161. 165
The impact of the price change on your profit will depend on a few
factors
How big the increase is
What your competition does?
How aware of prices are the
customers?
Price sensitivity
The role of the product you
are increasing the price
Components of the average
basket
162. 166
Imagine that you want to estimate the price change impact for a small
chain of local coffee shops
20 location in Poland
Sell coffee, cakes, sandwiches and
quiches
3 different motives for going there
164. 168
Imagine that you want to estimate the price change impact for a small
chain of local coffee shops
20 location in Poland
Sell coffee, cakes, sandwiches and
quiches
3 different motives for going
there
165. 169
If we look just at coffee gross margin, we should increase the price of coffee by
9%. If we look at the total gross margin, 4% price increase makes more sense
0
2 000
4 000
6 000
8 000
10 000
0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20% 21% 22% 23% 24% 25% 26% 27% 28% 29% 30%
0
5 000
10 000
15 000
20 000
0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20% 21% 22% 23% 24% 25% 26% 27% 28% 29% 30%
Gross Margin – Only for Coffee vs price increase
In thousands of USD
Gross Margin – Coffee and Cakes vs price increase
In thousands of USD
167. 171
Let’s imagine that you have to optimize the distribution
system of a juice producer located in Serbia.
168. 172
Let’s imagine that you have to optimize the distribution system of a
juice producer located in Serbia
Introduction:
You were employed by a producer of local brand of Cola to carry out an operational audit.
The producer located in Serbia where it has a significant market share. Currently, apart from warehouse next to the production facility
in Subotica, it has two additional distribution centers in Novi Sad and Belgrade.
Currently, the goods are collected from the distribution centers by shops
Tasks:
Calculate the cost of the current system assuming that you have warehouses in all locations
Assume that you use 24-tonnes trucks for transportation
169. 173
Let’s imagine that you have to optimize the distribution system of a
juice producer located in Serbia
Subotica
Novi Sad
Belgrade
Niš
Kragujevac
Prijepolje
171. 175
Simulations are pretty difficult, therefore, we will try to provide you
certain tips that will help you understand what we do in Excel.
172. 176
Future is pretty difficult to figure out. You can use scenario analysis
or you check ALL the potential options and see which is optimal.
173. 177
Imagine for a second that you have a small bakery trying to decide what is the optimal
number of cakes that you should bake. You want to use simulations to find out.
174. 178
For the producer of cakes that at the same time can bake from 1 to 10 cakes
using the simulation to find optimal production batch would entail calculating
the costs for all options
175. 179
There are plenty of things you can do thanks to simulations
Find optimal solutions
Carry out sensitivity analysis
Plan & Forecast
Test the boundaries of the system
Find weak spots
176. 180
In our cases study, we will consider different options. To do the
simulation we should first estimate how many options there are.
177. 181
Imagine that you are working for FMCG company that has 3 warehouses and is
wandering whether no to cut down number of warehouses. How many
different options you would have to examine?
178. 182
In order to solve it thing about the supply chain system as if it was a system
consisting of 3 independent parts, 3 warehouses.
W1 W2 W3
179. 183
Every warehouse can be a part of the system or can be excluded from it. In
other words, we have for every warehouse 2 options: closed or open
W1 W2 W3
Open
Closed
180. 184
This means that to calculate number of all options we multiply the number of
options for every warehouse. Since we have 2 options per warehouse we get 8.
W1 W2 W3
2 2 2
x x = 8
Open
Closed
181. 185
You may decided to exclude the option where there are no warehouses (all are
closed). In this case we would have 7 options we have to consider
W1 W2 W3
2 2 2
x x = 8
=
-1
7
Open
Closed
182. 186
The last thing we want to do is to have automatic generator of
options. We know we have 8 different options we can consider.
183. 187
First we will put 1 if the warehouse is open and 0 if it is closed
= Open = 1
= Closed = 0
184. 188
We have 3 potential locations for warehouses.
Subotica Novi Sad Beograd
185. 189
The following sequence of 1 and 0 would mean that Subotica is opened,
Novi Sad is closed, and Beograd is open
Subotica Novi Sad Beograd
1 0 1
186. 190
If on the other hand we had the following sequence, Subotica and Novi Sad
would be opened and Beograd would be closed
Subotica Novi Sad Beograd
1 1 0
187. 191
As you may remember we have 8 different options for 3 warehouse. For 3
warehouse you could list them for 10 it would be very difficult
Subotica Novi Sad Beograd
1 0 0
0 1 0
1 1 0
0 0 1
1 0 0
0 1 1
1 1 1
0 0 0
188. 192
The number of options can be calculated using the following formula.
This means that for 10 warehouses there are 1 024 options.
𝟐# 𝒐𝒇 𝒘𝒂𝒓𝒆𝒉𝒐𝒖𝒔𝒆𝒔
=
# of options
𝟐𝟑
=
8
𝟐𝟓
=
32
𝟐𝟏𝟎
=
1 024
# of warehouses
3
5
10
189. 193
To speed up the generation of options we will treat the sequence of 1 and 0
that corresponds to specific option as a binary number
Subotica Novi Sad Beograd
1 1 0
190. 194
Binary number can be converted into well known decimal number. You
have to multiply the 0 or 1 by the right power of 2 (depending on the
position)
1 0 0
𝟐𝟐
𝟐𝟏
𝟐𝟎
𝟒 𝟐 𝟏
191. 195
Let’s convert 1 0 0 in binary system into decimal system. As you can see it is
4 in decimal system.
1 0 0
𝟒 𝟐 𝟏
X X X
= = =
4 0 0 = 4
192. 196
So, every option can be converted in decimal system
Subotica Novi Sad Beograd
1 0 0
0 1 0
1 1 0
0 0 1
1 0 0
0 1 1
1 1 1
0 0 0
4
2
6
1
5
3
7
0 or 8
=
=
=
=
=
=
=
=
193. 197
In Excel we will do the opposite thing. We will convert decimal number into
binary number. Every binary number will be a different, unique option
Number in decimal
system from 1 to 8
Binary Number A unique option
4 1 0 0
Warehouse only in
Subotica
2 0 1 0
Warehouse only in Novi
sad
7 1 1 1
Warehouses in all 3
locations
194. 198
We do that to make a scalable solution. For 3 warehouse we could easily list all
options manually . For 10 warehouse it would not be possible
𝟐# 𝒐𝒇 𝒘𝒂𝒓𝒆𝒉𝒐𝒖𝒔𝒆𝒔
=
# of options
𝟐𝟑
=
8
𝟐𝟓
=
32
𝟐𝟏𝟎
=
1 024
# of warehouses
3
5
10
196. 200
Since we want to use a simulation, we will have to make our calculations
dynamic. For that we can use the so-called steering variables.
197. 201
Steering variables act like a switch that can easily allow us to include or
exclude certain part of the model, depending on the situation.
198. 202
Let’s see how we would calculate the costs of warehousing for the whole
system assuming that we have 3 warehouse.
Costs of Warehouse in
Subotica +
Costs of Warehouse in
Novi Sad
=
Cost of warehousing
Costs of Warehouse in
Beograd
+
199. 203
Unfortunately for every option we would have to have a different formula
Warehouse only in
Subotica
Costs of Warehouse in
Subotica +
Costs of Warehouse in
Novi Sad
=
Cost of warehousing
Costs of Warehouse in
Beograd
+
Warehouse in Novi Sad
& Beograd
Costs of Warehouse in
Novi Sad
=
Cost of warehousing
Costs of Warehouse in
Beograd
+
Warehouse only in
Beograd =
Cost of warehousing
Costs of Warehouse in
Beograd
Warehouse in Subotica
& Novi Sad
Costs of Warehouse in
Subotica +
Costs of Warehouse in
Novi Sad
=
Cost of warehousing
Warehouse only in
Subotica
Costs of Warehouse in
Subotica
=
Cost of warehousing
200. 204
Not to have every time a different formula we will use 3 steering variables
Steering
Variable for
Subotica
Steering Variable
for Novi Sad
Steering Variable
for Beograd
= S =
Will be equal to 1 if the warehouse in
Subotica is open
Will be equal to 0 if the warehouse in
Subotica is closed down
= N =
Will be equal to 1 if the warehouse in Novi
Sad is open
Will be equal to 0 if the warehouse in Novi
Sad is closed down
= B =
Will be equal to 1 if the warehouse in
Beograd is open
Will be equal to 0 if the warehouse in
Beograd is closed down
201. 205
Thanks to this we can create one general formula that automatically will
adjust to the situation
Costs of Warehouse in
Subotica
+
Costs of Warehouse in
Novi Sad
=
Cost of warehousing
Costs of Warehouse in
Beograd
+
x S x N x B
203. 207
At the end thanks to the simulation we get the optimal solution. It
seems that regional warehouse don’t make economical sense
1 611
1 480
1 838
2 431
2 788
2 657
3 015
1 254
Warehouse only in
Subotica
Warehouse only in
Novi Sad
Warehouse in
Subotica and Novi
Sad
Warehouse only in
Belgrade
Warehouse in
Subotica and
Belgrade
Warehouse in Novi
Sad and Belgrade
Warehouse in all
locations
No warehouses
Total cost of end products distribution system
In thousands of USD
205. 209
As you have probably noticed we calculate the number of trips to specific
location in a simplified way. Let’s see what is the logic behind.
206. 210
Every truck has 2 limitations when it comes how much cargo it can take
Truck’s limits
Weight limits Cargo size limits
24 tons of cargo 24 pallets
207. 211
The number of trips you have to do will be based on the bigger number
of trips
Truck’s limits
Weight limits Cargo size limits
# of trips based on
the weight
# of trips based on
the size
# of trips = Maximal of
both
208. 212
Let’s see how we calculate the number of trips based on 2 criteria
Cargo Transported in tons
# of trips based on the weight =
Maxima cargo you can put in
the truck in tons
Cargo Transported in pallets
# of trips based on the size =
Maximal # of pallets you can
put in the truck
209. 213
In the case of juice the weight of 1 pallet is around 0.6 ton and that is
why the # of trips based on the size will be also the maximal one
Cargo Transported in
tons
# of trips based on the
weight =
Maxima cargo you can
put in the truck in tons
Cargo Transported in
pallets
# of trips based on the
size =
Maximal # of pallets you
can put in the truck
1 440
=
24
2 400
=
24
= 100
= 60
210. 214
That’s why we actually only calculate the number of trips based on the
size (number of pallets)
Truck’s limits
Weight limits Cargo size limits
# of trips based on
the size
# of trips = # of trips
based on the size
212. 216
Let’s imagine that you are working for a cheese producer. Your task is to
find the optimal production batch. Use for this the simulation method.
213. 217
Imagine that you want to estimate the production batch for your
company
One of the biggest cheese producer in
Poland
Production of long-ripening cheese
Cooperation with over 1 000 local
suppliers
214. 218
For more details and content check my online course where you can find case
studies showing analyses along with detailed calculations in Excel
Production Planning for Management
Consultants & Analysts
$190
$19
Click here to check my course
217. 221
The role of the production planning will be different if you have implemented
continuous flow with kanbans. We will discuss in this section what is continuous flow.
218. 222
In this section we will talk about the following things
How to implement
continuous flow
Continuous flow in services
What is Kanban?
220. 224
Since each person is not talking to each other you are creating a lot of work
in progress (WIP) that you have to throw away
Cut the bread
Cut cheese
Cut the meat
Assemble the
sandwich
20
15
10
6
10
X
Hourly Capacity in pieces
Inventory in pieces
14
9
4
221. 225
By introducing Kanban you limit the work in progress / inventory
Cut the bread
Cut cheese
Cut the meat
Assemble the
sandwich
20
15
10
6
10
X
Hourly Capacity in pieces
Inventory in pieces
Kanban
225. 229
Consulting is a place where the work is very volatile – one day you work 15
hours and next day you have nothing to do. What you want to do is use the
time of low activity to somehow prepare yourself and absorb periods of high
activity
1 2 3 4 5 6 7 8 9 10 11 12
226. 230
Therefore you create a shelf of tasks to be done once you are free. This to-dos
should be properly selected and structured and can have the form of a Kanban
227. 231
Below you have an example of defining of to-dos for the Kanban shelf
Product
development
Read articles
Read 5 articles
Read 5 articles
Read 5 articles
Read book
Read 50 pages
of 1 book
Read 50 pages
of 1 book
Read 50 pages
of 1 book
Product
proposal
Draft in pencil
Draft in PP
Fill in 5 slides
Fill in 5 slides
228. 232
Tasks from the Product development exercise you put into the Kanban
Education Product development Sales
229. 233
There are number of things that you can put on the shelf
Learning new tools
Learning new skills
Improving skills
Project preparation
Knowledge base preparation
Training preparation
Conduct training (esp. lesson
learnt)
Business development
Template preparation
Product Development
231. 235
Ideally you would like to have a continuous flow of goods
Each process “speaks” to each other and it is enough to
say to the last one what you want. The rest will follow
Pull process not a push process
We produce only what the customer needs and exactly
as much as he wants
Hardly any inventory
We use efficiently resources especially people
232. 236
In order to implement it in real life we have to define some terms
Hourly capacity
Number of semi-products / parts that can be
produced by a specific worker
Cycle Time (CT)
Time in minutes needed to produce 1 semi
product /part by a specific worker
=
=
Hourly Capacity =
60
Cycle Time (CT)
Takt time
Frequency with which the product is demanded
by the customer
=
Cycle Time (CT) ≈ Takt time
233. 237
Continuous flow gives you a lot of advantages
Short cycle time
Less inventory
Higher quality
Fewer inefficiency
Better usage of people
Less space
Faster servicing of the customer
Lower need for
transportation
Lower costs
236. 240
You have 4 people. Each of them does the sandwich from beginning till the end
Cut the bread
Cut vegetables
Fry vegetables
Cut the cheese
Assemble the sandwich
Pack the sandwich
4
5
3
6
7
11
36
x
CT in
minutes
237. 241
You have 4 people. Each of them does the sandwich from beginning till the end
Cut the bread
Cut vegetables
Fry vegetables
Cut the cheese
Assemble the sandwich
Pack the sandwich
4
5
3
6
7
11
36
36
x
CT in
minutes
238. 242
If you divide the activities and give 1 activity per person you can lower the
waiting time of the customer
Cut the bread
Cut vegetables
Fry vegetables
Cut the cheese
Assemble the sandwich
Pack the sandwich
4
5
3
6
7
11
36
Cut the bread
Cut vegetables
Fry vegetables
Cut the cheese
Assemble the sandwich
Pack the sandwich
3
4
2
4
6
10
29
All operations done by 1 person Division of work and specialization
10
x
CT in
minutes
239. 243
Yet since each person is not talking to each other you are creating a lot of work
in progress (WIP) that you have to throw away
Cut the bread
Cut vegetables Fry vegetables
Cut the cheese
Assemble the
sandwich
Pack the
sandwich
15
30
20
15 10
6
10
3
2
4
4 6
10
10
80
X
Hourly Capacity in pieces
CT in minutes
Inventory in pieces
120
40
32
40
240. 244
When we compare the 2 options we can see that there are some strong
advantages of the division of work yet is causing lot of waste
All operations done by 1 person Division of work and specialization
4
# of people 6
36 minutes
Total cycle time
needed to produce
the sandwich
29 minutes
We are not using the people – no
customer cannot do anything
Type of waste We are wasting food that we have to
throw out at the end of the shift
36 minutes
Time the customer
awaits for the
product
10 minutes
None; just raw materials
Inventory of Work
in Progress
A lot . The biggest in vegetables – for 120
sandwiches
242. 246
If we want to limit the waste we will have to look at the cycle time of each
and every operation. As you can see this is due to the fact that some
process are much faster than the things that follow after them. You have to
get even cycles
3
2
4 4
6
10
Cutting Bread Cut Vegetables Cut Cheese Fry vegetables Assemble sandwiches Pack the sandwich
Takt time
243. 247
The are number of ways in which you can try and get the even cycle
times
Combine two operations
Divide 1 operation into many
Speed up the operation
Put Kanban between the 2 process or FIFO lane and limit the time
of specific worker spend on the working station
244. 248
We know that customers want to eat 6 sandwiches during the hour. It
means that we need cycle time of 10 for every process
10
6
245. 249
Let’s see what we can do with our cycle times
3
2
4 4
6
10
Cutting Bread Cut Vegetables Cut Cheese Fry vegetables Assemble sandwiches Pack the sandwich
Takt time
246. 250
We can combine some of the processes to get to the pace required by
the customer for every processes
7
6 6
10 10
Cutting Bread & Cut
Cheese
Cut Vegetables & Fry
vegetables
Assemble sandwiches Pack the sandwich Required by customer
demand
247. 251
In this we lower down the inventory drastically and have fewer people
Cutting bread &
Cut Cheese
Cut & fry
vegetables
Assemble the
sandwich
Pack the
sandwich
10
8,6
10
6
10
7
6 6
10
10
0
X
Hourly Capacity in pieces
CT in minutes
Inventory in pieces
11
21
248. 252
Let’s see how the 3 options compare with each other
All operations done by
1 person
Division of work and
specialization
4
# of people 6
36 minutes
Total cycle time
needed to produce
the sandwich
29 minutes
We are not using the
people – no customer
cannot do anything
Type of waste We are wasting food that we have to throw out at the end of the shift
36 minutes
Time the customer
awaits for the
product
6 minutes
None; just raw materials
Inventory of Work
in Progress
A lot . The biggest in
vegetables – for 120
sandwiches
Continuous Flow CT
10; no limiting lanes or
Kanban
4
29 minutes
6 minutes
21 sandwiches are
thrown and 11 sets of
vegetables for
sandwiches
249. 253
In this we lower down the inventory drastically and have fewer people
Cutting bread &
Cut Cheese
Cut & fry
vegetables
Assemble the
sandwich
Pack the
sandwich
10
8,6
10
6
10
7
6 6
10
10
0
X
Hourly Capacity in pieces
CT in minutes
Inventory in pieces
11
21
250. 254
If we put FIFO lanes and kanbans we can further improve
the customer experience and lower
Cutting bread &
Cut Cheese
Cut & fry
vegetables
Assemble the
sandwich
Pack the
sandwich
10
8,6
10
6
10
7
6 6
10
10
Hourly Capacity in pieces
CT in minutes
Lane limiting the inventory
FIFO Lane
Max 1
FIFO
Lane
Max
2
FIFO Lane
Max 2
FIFO Lane
2
Kanban
251. 255
Let’s see how the options compare with each other
All operations done by
1 person
Division of work and
specialization
4
# of people 6
36 minutes
Total cycle time
needed to produce
the sandwich
29 minutes
We are not using the
people – no customer
cannot do anything
Type of waste We are wasting food that we have to throw out at the end of the shift
36 minutes
Time the customer
awaits for the
product
6 minutes
None; just raw materials
Inventory of Work
in Progress
A lot . The biggest in
vegetables – for 120
sandwiches
Continuous Flow CT
10; no limiting lanes or
kanban
4
29 minutes
6 minutes
21 sandwiches are
thrown and 11 sets of
vegetables for
sandwiches
Continuous Flow CT
10; lanes and Kanban
4
29 minutes
0 minutes
2 packed sandwiches
2 almost ready
sandwiches
2 sets for sandwiches
254. 258
Production planning will look differently if you have implemented continuous flow and Kanban.
In this section, I will show you how to calculate optimal production batch and Kanban size.
255. 259
In a traditional push system, you send the production order to Stage 1. On top
of that you have to create plans, set priorities for other stages as well
Production planning Stage 1
Stage 2
Stage 3
Production Orders
& Main Plan
Plan
Plan
256. 260
If you implement continuous flow and Kanban you send the plan to the last
stage that thanks to the pull system will relate it to other stages.
Production planning Stage 1
Stage 2
Stage 3
Kanban
Plan
Kanban Size
Kanban Size
Optimal
Production Batch
Optimal
Production Batch
Optimal
Production Batch
258. 262
Let’s imagine that you have to define the
Kanban for French fries in a chain of burgers.
259. 263
A few information about the firm
They have a chain of 200 restaurants
In the buffer there should be at least
French fries for 5 minutes
In the buffer there should be at most
French fries for 10 minutes
Find optimal size of the buffer /
Kanban for different situations
261. 265
Let’s imagine that you have to calculate the size of the
Kanban for legs in a furniture factory.
262. 266
A few information about the firm
You have to produce 3 different
components for chairs
Before assembling there will be
Kanban for components
Estimate how much inventory we
need in the Kanban for legs
Estimate how many Kanban cards
there will be in circulation for legs
263. 267
Let’s have a look how the whole production process looks like.
Produce set of legs
Produce the back
Produce the seat
Assemble the
chair
264. 268
We want to put a supermarket with Kanban cards that will help us to keep the
assembling going and limit the inventory level at the same time
Produce set of legs
Produce the back
Produce the seat
Assemble the
chair
Kanban
265. 269
We will concentrate now only on the production of legs
Produce set of legs
Produce the back
Produce the seat
Assemble the
chair
Kanban
266. 270
Let’s have a look at the formula we will use to calculate how much
Inventory of prepared legs we need for assembling
Inventory of set of legs
required =
Time required to
create a production
batch of legs in hours
x
Average demand for
legs per 1 hour (from
assembling)
x
1 + Safety Margin in
percentage
Inventory of set of legs
required =
Lead time to create 1
production batch in
hours
x
Average demand for
legs per 1 hour (from
assembling)
x
1 + Safety Margin in
percentage
267. 271
Obviously the inventory will change as the lead time, demand and
safety margin will change
Inventory of set of legs
required =
Lead time to create 1
production batch in
hours
x
Average demand for
legs per 1 hour (from
assembling)
x
1 + Safety Margin in
percentage
25 set of legs = 2 x 10 x 125%
13 set of legs = 1 x 10 x 125%
50 set of legs = 2 x 20 x 125%
60 set of legs = 2 x 20 x 150%
268. 272
The assembling is done in a different building so to inform the production of
legs we will use Kanban cards to send signals.
Produce set of legs
Assemble the
chair
Kanban
Kanban
card
269. 273
1 Kanban card will mean that the production needs 10 new sets of legs.
1 Kanban Card =
270. 274
Let’s see how we can calculate the number of Kanban cards that we
need to correspond to the required inventory
Inventory of set of legs
required =
Lead time to create 1
production batch in
hours
x
Average demand for
legs per 1 hour (from
assembling)
x
1 + Safety Margin in
percentage
# of Kanban Cards =
Inventory of set of
legs required ÷
Number of set of legs
assigned to 1 Kanban
Card
271. 275
The number of Kanban Cards will change with changes in inventory and
number of set of legs assigned to 1 card
# of Kanban Cards =
Inventory of set of
legs required ÷
Number of set of legs
assigned to 1 Kanban
Card
6 = 60 ÷ 10
5 = 50 ÷ 10
12 = 60 ÷ 5
273. 277
Let’s continue our case study with the chair producer.
This time we will have 2 types of legs.
274. 278
A few information about the firm
Now we produce 2 types of set of
legs: white and brown
Estimate the optimal production
batches
Estimate the inventory required
Estimate the number of Kanban cards
required
275. 279
Now we will consider a situation where we have 2 types of legs – white and
brown
Produce set of legs
Assemble the
chair
Kanban
Kanban
Cards for white legs
Minimal production
batch
Kanban card for
brown legs
276. 280
From the previous case study, we know how to calculate the inventory and
number of Kanban cards.
Inventory of set of legs
required =
Lead time to create 1
production batch in
hours
x
The average demand
for legs per 1 hour
(from assembling)
x
1 + Safety Margin in
percentage
# of Kanban Cards =
Inventory of set of
legs required ÷
Number of sets of legs
assigned to 1 Kanban
Card
277. 281
Since we have now 2 types of components more tricky will be the lead
time
Inventory of set of legs
required =
Lead time to create 1
production batch in
hours
x
The average demand
for legs per 1 hour
(from assembling)
x
1 + Safety Margin in
percentage
# of Kanban Cards =
Inventory of set of
legs required ÷
Number of sets of legs
assigned to 1 Kanban
Card
278. 282
Since we have now 2 types of components more tricky will be the lead
time
Lead time to create 1
production batch in
hours
=
Full Process Time
needed to create 1
batch
Waiting time
+
Full Process Time
needed to create 1
batch
=
Pure production time
without setups to
create 1 batch
Change over / Set-up
time
+
Waiting time =
Waiting time to get
sufficient demand for
1 batch
Potential waiting time
to finish other
products
+
Lead time to create 1
production batch in
hours
=
Pure production time
without setups to
create 1 batch
Change over / Set-up
time
+ +
Waiting time to get
sufficient demand for
1 batch
Potential waiting time
to finish other
products
+
280. 284
In continuous flow we want to make the production batches as short as
possible. We calculate the minimal production batch using backward reasoning
Total Available time
Time needed to produce the goods without the set-up time
(changeover time)
Maximal time for set-ups
(changeover)
281. 285
Once we have the total maximal time for set-ups I can calculate how many set-
ups I can do and the minimal size of production batch
Maximal time for
set-ups (changeover)
per 1 SKU
=
Maximal time for
set-ups (changeover)
for all SKUs
÷ # of products / SKUs
Maximal # of setups
per SKU =
Maximal time for
set-ups (changeover)
per 1 SKU
÷ Duration of 1 set-up
Minimal size of
production batch =
Total demand for
specific SKU ÷
Maximal # of setups
per SKU
282. 286
Let’s have a look at an example
Total Available time = 480
Time needed to produce the goods without the set-up time
(changeover time) = 300
Maximal time for set-ups
(changeover) = 180
283. 287
Let’s have a look at an example
Maximal time for
set-ups (changeover)
per 1 SKU
=
Maximal time for
set-ups (changeover)
for all SKUs
÷ # of products / SKUs
Maximal # of setups
per SKU =
Maximal time for
set-ups (changeover)
per 1 SKU
÷ Duration of 1 set-up
Minimal size of
production batch =
Total demand for
specific SKU ÷
Maximal # of setups
per SKU
90 = 180 ÷ 2
2 = 90 ÷ 45
200 = 400 ÷ 2
284. 288
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