Capstone presentation

ANDREWSAakash KulkarniDevarsh ShahRaunak TandonSayali JoshiUtsav Agarwal

AGENDA

Introduction R& D – Learnings Marketing – Learnings Production – Learnings Finance – Learnings HR and TQM – Learnings Conclusion

INTRODUCTION

Andrews !!!!

R& D LEARNINGS

R & D – LEARNINGS

R & D is the backbone of the company and must be handled carefully.

Calculate the time and note the position you would like to be in and move towards it.

LEARNING 1 : NEVER DO A REVERSE R & D

Round 1 Reverse R & D for Acer (Low Segment) and revised in round 5.

LEARNING 2: DOMINO EFFECT !!!

2014

2015

OTHER LEARNINGS

Do not spill over R & D to next year. Never easy to come back so be careful. Look at what your competitors are

doing. Introduce new product early in the

market. R & D a product which the market

wants!!!

MARKETING LEARNINGS

LEARNING 1: UNDERSTANDING CUSTOMER SURVEY

Round 7 Inventory: 473

Inventory: 195

LEARNING 2: POOR DEMAND FORECAST

Round 2

Round 7

LEARNING 3: MARKETING BUDGETS

Round 6

PRODUCTION LEARNINGS

LEARNING NO 1

Not reducing capacity in the initial roundsRound 0

Round 3

LEARNING NO 2

Not doing automation as soon as possible

Spent 43.2 million on automation !!!!

Round 2

LEARNING NO 3

Automation was done on the entire capacity without reducing to the ideal capacity

Round 3

Sunk cost

Selling all automated capacity in the traditional segment in Round 4

LEARNING NO 4

Selling capacity in Low and High segment in Round 5

LEARNING NO 5

Buying capacity in Low and Traditional segment with as much automation possible in Round 6

LEARNING NO 6

Sold capacity in Traditional and Low segment in Round 8

FINANCE LEARNINGS

LEARNING 1

Not considering the date of retirement of loan Retirement of LTL of 6.950 million :

overlooked the fact that the repayment was due. Thus, cash reserves were affected.

Emergency loan.

LONG TERM LOAN

EMERGENCY LOAN

LEARNING 2

• Finance drove the decisions of other departments.

For, E.g.:• Affected the sales and promotion budget in

the initial stages which had a long term impact on customer survey score.

(round 2 low end segment pic)

ROUND 2 LOW END SEGMENT

LEARNING 3: CONTRIBUTION MARGIN

Year 0 1 2 3 4 5 6 7 8

Andrews 28.3 30.8 32.1 30.9 32.0 27.5 26.9 19.7 28.9

0 1 2 3 4 5 6 7 80.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

Trend of contribution margin

CONTRIBUTION MARGIN AS COMPARED TO THE INDUSTRY

Year Andrews Industry Average

0 28.3% 28.3%

1 30.8% 29.9%

2 32.1% 32.3%

3 30.9% 37.7%

4 32.0% 43.9%

5 27.5% 39.1%

6 26.9% 37.0%

7 19.7% 34.7%

8 28.9% 38.8%

Average 32.14% 40.20%   

Deviation 8.07%