Value Nets© provides a unique educational approach to supply chain management using games and simulations to enhance understanding and engagement. The program highlights the importance of cultural transformation in organizations and the integration of marketing, while addressing the complexities of supply chains. It serves as an effective pedagogical tool for various stakeholders, fostering collaboration, teamwork, and strategic execution within supply networks.

1. Value Nets© : a unique learning experience in Supply Chain

2. Value Nets helps to experience in a nutshell Value Networks issues and opportunities Consumers Customers Customers Customers Suppliers Manufacturers Distributors Suppliers Tier 2 Suppliers Tier 2 Suppliers 3PL Contract Manufacturers

3. Supply Chain is not a science, it is a difficult art It is complex, dry, highly evolving, and dependent on expensive systems and processes. But it only meets its full promises, when there is a deep cultural change in the whole company. It is perceived as an executing function, and gets a hearing when its execution is irreproachable, but its full potential is achieved at the strategic level, which demands the commitment from Marketing & Sales. Half of the Supply Chain projects fail, for not taking into account sufficiently, points 1 & 2. Recent research on learning processes (Damasio, Goleman, Kolb,…) shows that a true “buy in” of a complex message, needs emotion and experience. Vis-à-vis these two requirements, games and simulations within a few hours, are the closest exercises to “real life”, without having the cost of its failures. The Beer Game, born in the 60’s, so far the reference in Supply Chain games, is not anymore adapted to today’s and tomorrow’s issues, which are about mastering navigation on Value Networks. Value Nets© ambition is to bridge this gap. You cannot control a complex system, you can only disturb it. Richard Pascale in « Surfing the Edge of Chaos »

4. Clients comments « It is the first game I see, which shows so clearly, how Supply Chain can create value » FMCG Russia training director « Thanks to Value Nets, I understand at last, what Lean is all about » FMCG Africa & Middle East supply chain director « Value Nets has help me to reinforce the cohesion within my team » ICI Paints France supply chain director « We won, because we were fully complementary with my collegue from finance, and worked in harmony during the game. Campbell Europe supply chain director « An excellent game to demonstrate the importance of communication and transparency in supply chain » FMCG Argentina general manager « The game gives a quite complete overview of the key operational strategies, and shows well the importance of consistency when executing a strategy“ FMCG China general manager “ It helped me to understand the importance of all the elements of the supply chain” President of FMCG Europe & North America

5. Value Nets business benefits An effective pedagogical tool : Value Nets allows to have a powerful insight of the drivers and the dynamics of a Value Network, to acquire of global business vision of the different supply chain approaches, and to seize the interconnections between strategy, tactic and execution. A collaboration vector : Value Nets allows to understand the roles and responsibilities of the different actors, to recognize the benefits of cooperation between the various players, and brings to the fore the importance of communication between the different protagonists. A teambuilding experience : Value Nets is a smart, unforgettable and relevant teamwork exercise, which reveals talents and uncover hidden characters.

6. Value Nets game advantages Universal : relevant to all functions (experts or not) and all management levels (from junior level to general managers and executive committees) Stimulating : provide a competitive and positive atmosphere, favorable to pass messages or encourage creativity. Transparent and user-friendly : no “black box”; a board game supported by a comprehensible computer based model. Relevant : a perfect, yet subtle balance of the supply chain performance drivers. Open : no silver bullet, same players can shoot again ! Evolving : from 8 to 24 players, and their multiples. Can be customized to different industries specificities. Quick and easy to plug in : 4h, ideal to introduce a seminar, wrap up a session, or conclude an event in a fun way.

7. Value Nets in practice 4, 5 or 6 companies compete in a value network. Their objective is to maximise cash, by optimizing and managing their supply network. To achieve this goal, the teams must define strategies and their related projects, negotiate between themselves, and the operations at the execution level, under a strong time pressure. The players physically move the materials to reinforce the « human » aspect of the game, but all the calculations are computer based to focus players on the game itself, and not on the administrative tasks.

8. To win Value Nets, you need a strategy, the right tactics and perfect execution Strategy Tactics Execution

9. Execution : An Example during 1 period Example of black stones Same logic for white stones Stones move 1 square per period Square jump = 100 € penalty Flow of Goods Sharks & Partners Period n ° Organic Black White Amber 3 ORDER VOUCHER

10. 4 possible Operational Strategies to Win Product Leadership ( Compete on Speed ) Customer Intimacy ( Compete on Scope ) Cost Leadership ( Compete on Scale ) Operational Excellence ( Compete on Execution ) Project

11. Examples of experiential learnings in Value Nets Concrete Experience Abstract Conceptualization Reflective Observation Active Experimentation David Kolb : Experiental Learning (1984)

12. End Game (1/4) If only I had made the End Game…

13. End game is about long term anticipation… Tons Once you find you are short, you are in for 12 months of sh… 2 nd Plant realization 18 Months Q1 Q2 Q3 Q4 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 - 2005 - - 2006 - - 2007 - - 2008 - - 2009 - - 2010 - Site 2 Outsourcing Longchamps

14. S&OP (2/4) Finance & Supply Chain Must work like Brothers On S&OP

15. A joint work between Supply Chain and Finance, allows to clarify the Gap analysis in S&OP meeting PRE S&OP MEETING PRE-S&OP MEETING S&OP Meeting DEMAND PLANNING SUPPLY PLANNING MANAGING NEW ACTIVITIES It’s better to be roughly right rather than precisely wrong FORECAST OBJECTIVE GAP What are the options to close the gap ?? FINANCIAL PLANNING FOR CODI FINANCIAL VIEW & SCENARIOS Hit the Target YEAR-END 0 Left to Right Thinking Avoid to Loose Sales Forecast Accuracy Plants control PRE S&OP MEETING PRE-S&OP MEETING MANAGING DEMAND MANAGING SUPPLY VOLUME

16. Manufacturing (4/4) You must have forward Visibility of the Demand To Pacify my Factory

17. Make Manufacturing a competitive advantage OPC and S&OP should evolve towards a tool of “ pacification of operations” Sales Production Flexibility = Nervosity