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Global Factory

Global Factory

Employees, who think entrepreneurially and who understand the financial relations within the company, are the basis for a long-term success of the company.

The simulation game is a seminar which simulates the situation of a company, showing the possibilities of the participants to support their company.

Course Content:

In small groups, the participants play the management team of a manufacturing company. This enterprise has been successful during the last years and has realised profits. But the economic and competitive context is changing and profitability is now threatened. The management team must take steps to lead the company to success again. The participants will manage the company over a simulated 3 year period.

This seminar begins with a discussion about challenges which the participants are confronted with in their company, starting from extern obligations and offered chances up to the present targets of the company, e.g. stock market. After a brief introduction to the logic of finance economy in terms of business management, the actual simulation begins.

The seminar demonstrates the relation between cause and effect, which influence the balance sheet and the P&L account. Thus, the participants learn how the productivity and profitability of their company can be influenced by their own action. The participants optimise their company for example by reducing the stocks as well as the length of a run. These improvements are also simulated and in the ongoing calculation of liquidity the participants observe how the profitability and productivity of their company grow.

Learning objectives:

  1. Understand the importance of fixed and variable assets to business success
  2. Understand the interplay of production supply and distribution
  3. Understand the impact of overhead costs such as administration, marketing, research and development
  4. Understand the impact of stock reduction, just-in-time and other measures of rationalisation
  5. Understand the indicators of profitability and performance
  6. Understand the thinking and expectations of shareholders