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Feedback Loops - SLP: Time Normal

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It's still 2006: 1/2/2006, the beginning of Time Warp 3. You have completed your analysis and revised strategy for the next four years and taken a breather. Just like the last time, you enter your predetermined decisions each year and collect the data for future analysis. Time flies and it is certainly deja vu.

Now it is now New Year's Eve, 2009, and you are hoping against hope that Time Warp 3 and all time warps will soon come to an end. You have the results of decisions. How did you do? What was your final score? Once again you celebrate hard, hoping you wake up in 2010.

It's New Year's day, 2010. You just had a great New Year's Eve celebration, you finished another four years of moving Handh eld through 2006 - 2009, and are ready to charge ahead into the future. As you turn on the TV and try to open your eyes, you notice something strange (again?). The TV commentator is saying something about New Year's Day, 2010. Wait, 2010? YES, YES. You did it. You have moved ahead into 2010!!!

You realize that this experience has been invaluable. You know it will help you make better decisions for Handheld as you move forward. But before you move ahead, you want to make sure that you have learned what you need to know.

You decide to analyze and compare the last two Time Warp results. You want to see how this last Time Warp results compare to the previous Time Warp results [the results from this run in SLP5 to the results of the run in SLP4.] So you put the results side by side and you put the decisions side by side. And you analyze what happened â?" how the results were different. And you use CVP analysis to help you understand why the results were different.

You think this is very important and you write it all down so you can refer back to it later if you need to as move forward into 2010 and beyond.

You hope this never happens to you again, even though you realize how valuable this experience has been.

SLP5 ASSIGNMENT: Run the simulation with the Strategy that you developed in SLP4 for Time Warp3. Access the simulation site Click here. Collect the results for all three products over all four years. Compare the results from Time Warp 3 with those of Time Warp 2. Show the results side by side and show the decisions side by side. Explain how they are different. Use CVP analysis to explain why they are different.

SLP5 Expectations: You need to be detailed, clear, and complete. Using CVP analysis, explain how the different prices and R&D allocations have generated different results. Celebrate the end of the Time Warps!!!

Decision Matrix Table - Download this Word doc with a blank table you can use to show your proposed strategy decisions.

PowerPoint discussing CVP - provides a good overview of Cost Volume Profit analysis, the various equations that you can use, and how to use it. Some examples are provided showing how to use the CVP Calculator.

CVP Calculator - this an Excel-based calculator that you can use to determine prices, volumes, and profits. Keep in mind that it will tell you what NEED, but the market determines what you actually get.

Time Line Summary:

2009: 12/15 hired. 12/30 turned in first report to Sally a few days early. 12/31 â?" celebrated
Time Warp 1 begins: 1/1/2010 WARPS INTO 1/1/2006
You freak out, then realize you have to make decisions for 2006 â?" 2009, which you do.
12/31/2009 â?" you have gone through all four years, and you write your report to summarize how you did. You are hoping that you will wake up tomorrow and it will be 2010.
Time Warp 2 begins: 1/1/2010 WARPS INTO 1/1/2006 (Again)
1/1/2006: you decide to use CVP analysis and develop a four year plan for your strategy.
1/2/2006: you begin to implement your four year plan. You follow it and use the pre-determined decisions for each year, through 2009. You keep track of the results, year by year, both financial and marketing.
12/31/2009 - Celebrate and hope Time Warp is over.
Time Warp 3 begins: 1/1/2010 WARPS INTO 1/1/2006 (Again).
1/1/2006 (for the third time.) You decide to do the same thing you did the last time and develop a four year plan.
1/2/2006: you begin to implement your four year plan. You follow it and use the pre-determined decisions for each year, through 2009. You keep track of the results, year by year, both financial and marketing.
12/31/2009 - Celebrate and hope for the best
1/1/2010 - You made it through the Time Warp - you analyze the results, compare this last run with the previous run and write your final report.

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Solution Summary

The solution includes 1170, MLA formatting, 2 references. Detailed analysis and calculation has been included, with a full details for the overall score. Complete explanation year wise has been included.

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