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Business Game Indival
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Business Research Analyses
Student Name: Mengting ZhangStudent Number: W12027088Words Count: 2900Tutor: Mc Grane,Angela Philip Oilver
Date: 15/01/2015
3. Introduction
3.1 Business Objective At Citadel Company, we focus on developing the elements of green, family, comfortable,
environmentally and safety on the car. Our company are planning to achieve at least 2% of
total market share for both our cars by the end of 4 year, by increasing 0.5% in market share
per year. And we also aim to increase our profit to GBP 300 million by the end of the 4 th year
and sell out all of our cars throughout the 4-year period.
3.2 Summary of company performance Overall, during the 4 years period, we lunched three car models: City Car, Medium Car and
Luxury Car into the European car market. And we were successful in achieving a profit
target of GBP 420 million at the end of year. In order to seize the market share, we
increased our production by 7% from 120,000 in the 1st year to 171,194 in the 4th year. This
makes our total market share increasing from 1% in the 1st year to 1.38% in the 4th year.
Even so, we got increasing average 0.26% in the three years period and a bit go down with
0.09% in the 4th year. This figure is a bit by far to reach our setting goal of 0.5% per year.
Table 1: Summary of company performance
Key Indicators/ Year Round 1 Round 2 Round 3 Round 4
Total Sales (£m) 2052 3189.90 3803.37 3316.09
Total unsold stock (n) _ _ 3838 _
Shareholder funds (£m) 364.41 702.02 1193.97 1614.44
Closing bank balance (£m) 717.03 753.03 893.87 973.24
Outstanding loan (£m) 1300 941.48 564.97 118.03
*Figures show in £m, to nearest £1 million;
4. Company Performance
4.1. Round 1
4.1.1. DecisionsBased on the market research on European Car market provided, in the year 1, we decided
to target to two market segments as follow:
Table 4.1-1: Model of Car in the Round1
Car size Age group Total Market %
City Car(Volus)
25-40 8.9
Medium Car (Asari)
41-55 11.05
The rationale is that those sections have the largest number of customers and they are the
most popular sector in the whole Europe car market recently. As a new entrant, we agreed
that we should be cautious, so that we decided to limit our productions in the first round in
order to seize achieve 1% of market share in City Car and Medium Car.
4.1.2. Forecast and Actual result Table 4.1-2: Round 1 Forecast and Actual results
Round 1
Model
Forecast Actual
City Car
(Volus)
Medium Car
(Asari)
City Car
(Volus)
Medium Car
(Asari)
Production (unit) 72000 48000 72000 48000
Unsold Stock (unit) - - - -
Gross margin (%) 38% 36% 25.36% 31.95%
Market Shares (%) 1% 1% 1.16 1.48
Sales (£m) 2208 2052
Gross profit (£m) 819.61 620.11
Post-tax profit (£m) 221.54 -135.59
Net Cash (£m) 500 717.03
At the end of Round 1, we sold all of our cars and obtained 1.16% and 1.48% of market
share for City Car and Medium Car respectively over we expected. However, we made a
loss because of the cost of investment was high. Also we had to take out a loan to prevent
an overdraft. We are liquid at the end of round1 because of our £1300 million loan.
Figure 4.1-1: Round 1 Forecast and Actual Gross Margin(%)
City Car
Medium Car
0%
5%
10%
15%
20%
25%
30%
35%
40% 36.00% 38.00%
25.96% 31.95%
Forcast Actual
Through compare forecast and actual gross margin, I found that our labor costs per car and
cost of material per car effect on gross margins directly in the first round. If it compare with
another team, we can found that our city cost of car is too higher so that make gross margin
getting down a lot. And for medium car, our cost of car is lowest. However, the actual labor
costs more higher than forecast. Due to these two factors take balance each so that the
actual gross margin on medium did not go down a lot. Thus, although we sold all the cars
but we did not achieved the same gross profit, post-tax profit.
Figure 4.1-2: Round 1 Forecast and Actual Gross profit, Post-tax profit and Net Cash (£m)
Gross profit Post-tax profit Net cash
-200
0
200
400
600
800
1000
819.61
221.54
500
620.11
-135.59
717.03
Forecast Actual
Figure 4.1-3: Production Performance
Productivity Potential Productivity Potential Productivity with Over-time
Asari 42.35 47.71 57.25
Volus 43.64 50.14 60.17
5
15
25
35
45
55
65
From the figure 4.1-3, we can see that potential productivity of Volus and Asari respectively
are 50.14 cars and 47.71 cars per worker per year. This means we can increase our
production or we should reduce our workforce. And our average productivity at the moment
is 42.86 cars per worker per year. This figure shows it is too lower and we can increase that.
Figure 4.1-4: Medium Car Marketing share Figure 4.1-4: City Car Marketing share
Competition Competition
Pacer Citadel
IcarTrans
0.00%
0.50%
1.00%
1.50%
2.00%
1.05%1.48% 1.73%
1.21%
Medium Car Marketing Share Marketing share %
Pacer Citadel
IcarTrans
0.00%0.20%0.40%0.60%0.80%1.00%1.20%1.40%
0.00%
1.16%
0.00%
1.21%
City Car Marketing Share Marketing share %
Due the competition of marketing share on the medium car and city car in the four
companies, we can continue to invest more on medium car based on the our company
Citadel’s edge on the medium car. And the information of market research, which Medium
car will grow by 7% in the second year, supports this point as well. And iCar hole the most
market share for Medium cars because of that they are cheaper and they made more cars
than us. Thus, we should improve the option of our Medium car or make more car in the next
year.
Furthermore, from the information of company in the next year, TRANS aren’t going for a
new model so they will try to make more cars in the Medium and City car markets this year.
For this reason we might have more competition here next year. We could try and improve
our cars with more options or change our target market but this might be expensive. We
could also make fewer cars with more in the new model category.
4.1.3. Round 2 DecisionsBased on the good sales result in the first round as well as the information on marketing
research, we decide to increase our production to 7% (from 12,000 to 165,611) in order to
seize more market share while the whole market is predicted to rise by 7% on the city car
and 11% on the medium car. Furthermore, a new model (luxury car) would be lunched in the
second round.
We agree that we should reducing the training expenses and invest more in promotion.
Realizing the effect of automations to productivity, we reducing the training expenses and
invest 137 more units of automation and hired extra 1315 workers more for second round.
And we also agreed that we should invest more on promotion cause of new model and
increasing the salary for improves the productivity of worker.
4.2. Round 2
4.2.1. Forecast and Actual result
Round 2
Model
Forecast Actual
City
Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
City Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
Production
(unit)66193 99418 6383 66193 99418 6383
Unsold Stock
(unit)- - - - - -
Gross margin
(%)27% 35% 30% 25.75% 30.81% 29.21%
Market
Shares (%)1.4% 1.9% 1% 1.42% 1.9% 0.96%
Sales (£m) 3173.93 3189.90
Gross profit
(£m)1270.83 939.35
Post-tax
profit (£m)527.72 337.79
Net Cash
(£m)1249.67 753.03
To compare with round 1, our average gross margin is 29.45%, which has marginally less
than last year. However, due to the reducing of labor and training costs and the increasing of
sales it make our profit was increased. And it also related to the new model contributed
significantly. Meanwhile, we got £753.03 million bank balance due to increasing profits.
Figure 4.2-1: Round 2 Forecast and Actual Gross Margin(%)
City Car Medium Car Luxury0%
5%
10%
15%
20%
25%
30%
35%
40%
25.00%
37.00%
30.00%25.75%
30.81% 29.21%
Forcast Actual
From the Figure 4.2-2, we can see that the actual gross margin of city car and luxury car are close to forecast gross margin. Only the gross margin getting a bit down than frocast.
Figure 4.2-2: Round 2 Forecast and Actual Gross profit, Net Profit and Bank Balance (£m)
Gross Profit Net Profit Bank Balance
Round 2 Forecast 1064.24 383.1 717.03
Round 2 Result 939.39 337.79 753.03
£100.00
£300.00
£500.00
£700.00
£900.00
£1,100.00
Comparison of GP, NP and Bank Balance
£mill
ions
Figure 4.2-3 : Round 2 Production Performance
Asari (Medium) Volus (City) Turian (Luxury)
Productivity 77.73 81.62 8.99
Potential Productiv-ity
80.58 84.68 10.74
51525354555657585
ProductivityCa
rs/W
orke
r/Ye
ar
From the production performance in round 2, the productivity of cars is close to full potential
due to appropriate workforce and automation.
Figure 4.2-4 :Competition on market share Figure 4.2-4 :Competition on market share
Pacer Citadel Trans Icar0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
City Car Market Share Competition
Car Company
% Ma
rket S
hare
Pacer Citadel Trans Icar0.00
0.50
1.00
1.50
2.00
2.50
Luxury Car Share Market Competition
Car Company
% Ma
rket S
hare
Figure 4.2-5 :Competition on market share
Pacer Citadel Trans Icar0
0.20.40.60.8
11.21.41.61.8
2
Medium Car Market Share Competition
Car Company
% M
arke
t Sha
re
According to the competition of market share in four companies, our company Citadel got
the highest market share in the medium car market share. And we got similar market share
with Trans’s company because of Trans’s has sold out more cars than us. However, the
markets share of Luxury car, which we got lowest. From the report of company competition,
we found that Icar company sold out the most car in the whole luxury car market so that’s
why it got the highest market share.
4.2.2. Decisions of Round 3 Obviously, our company got profit in this year due to reduce labor costs and training costs. In
addition, the new model contributed significantly. So in the third year, our company will slight
reduce training expenses and invest slightly more in promotion. And we will maintain the
existing workforce and increasing salary to £ 486 in-keeping with industry average. On the
other hand, our company will try to reduce our automation by not maintaining all of it.
Moreover, the market will raise form 13.0m to 13.2 cars. The City car market is expected to
grow by around 3%. The medium car market is expected to grow by around 1 %. We
account the budget that 9.25% total market on City car and 10.86% total market on Medium
car in the third year.
Regarding to new model Luxury Car, due to the market research in the third year reported
that the luxury car market is expected to shrink by around 1%. So we cautiously aimed to
obtain 0.2% of the market share and decided to sell at a reasonable price to penetrate the
market.
4.3. Round 3
4.3.1. Forecast and Actual result Round 3
Model
Forecast Actual
City Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
City Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
Production
(unit)78566 110991 8202 75387 110332 8202
Unsold
Stock
(unit)
- - - 3179 659 -
Gross
margin (%)31% 37% 34% 29.03% 32.18% 29.30%
Market
Shares (%)1.4% 2% 1.2% 1.57% 2.08% 1.25%
Sales (£m) 4303.22 3803.37
Gross
profit (£m)1523.75 1181.87
Post-tax
profit (£m)664.00 491.77
Net Cash
(£m)1450.63 893.87
Ending Round 3, we were the only company in the group who did not sold out all of the
products. However, we got the highest market share in the medium car company.
Figure 4.3-1. Compare Forecast and Actual Gross margin (%) for 3 model Round 3
City Car Medium Car Luxury0%
5%
10%
15%
20%
25%
30%
35%
40%
31.00%
37.00%34.00%
29.03%32.18%
29.30%
Forcast Actual
From the company report, the labour cost of medium car and luxury car were £ 256.72 and £
2430.32. However, the forcast of labour coast of medium car and luxury car were £188.83
and £ 2256.71. Thus, the high labour cost is the main reason to make actual gross margin
going down. And Poor human resource management is a key reason for labor cost
increases in a company. Additionally, regulation regarding minimum wage is an external
source of labor costs increases.
Figure 4.3-2. Forecast and Actual Gross profit, Net profit and Bank Balance (£m)
Gross ProfitNet Profit
Bank Balance
0
200
400
600
800
1000
1200
1400
16001523.75
664
1450.63
974.64
420.48
973.24
Forecast Result
Figure 4.3-3 : Round 3 Production Performance
City Car Medium Car Luxury Car
Forecast 115.04 113.92 10.73
Result 97.84 94.46 9.98
10
30
50
70
90
110
units
From the competition report said that our company got the highest productivity
(cars/worker/year). However, it is still a bit far away from our forecast. It because of we did
not offer enough salary for workers to improve their productivity.
4.3.2. Decisions of Round 4 Despite the city car market is expected to shrink by around 6%, the medium car market is
expected to shrink by around4% and the luxury car market is expected to shrink by around
12%. And the market size will increase to12.4 million. From the chart in the market research,
we account the budget of growth for city car, medium car and luxury respectively are
37.22%, 20.92% and 4.47%. In addition, costs risen with inflation in the next year so our cost
of sales will be higher if we don’t alter our production down or decrease our workforce.
Overall, we all agree that we produce 64620 targets city cars, 96403 target medium cars and
6663 target luxury. According to the number of cars, we account the 870 workers for city car,
1309 workers for medium car and 621 workers for luxury car. We should just leave
automation as it is as the cost of not maintaining it would be higher potentially.
4.4. Round 4
4.4.1. Forecast and Actual result Round 4
Model
Forecast Actual
City Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
City Car
(Volus)
Medium
Car
(Asari)
Luxury
Car
(Turian)
Production
(unit)64620 96403 6333 67799 97062 6333
Unsold
Stock
(unit)
3179 659 - - - -
Gross
margin (%)26% 30% 28% 26.58% 30.53% 28.69%
Market
Shares (%)0 0 0 1.51% 1.92% 1.10%
Sales (£m) 4303.22 3316.09
Gross
profit (£m)1523.75 974.64
Post-tax
profit (£m)664.00 420.48
Net Cash
(£m)1450.63 973.24
At the end of year,we sold out all of our products as well as the number of unsold cars
previous round and achieved £3316 million of sales as we expected. Our forecasts on gross
margin were just slightly different from actual.
Figure 4.4-1. Forecast and Actual Gross margin Round 4 (%)
City Car Medium Car Luxury23%
24%
25%
26%
27%
28%
29%
30%
31%
26.00%
30.00%
28.00%
26.58%
30.53%
28.69%
Forcast Actual
End of round 4, our gross margin finally got up than forecast. Beacause of reducing the cost
of labour and material.Therefore, it our forecast on gross profit, post-tax profit and net cash
were quite closed to the actual results.
Figure 4.4-2. Forecast and Actual Gross profit, Post-tax profit and Net cash Round 4
Gross Profit Net Profit Bank Balance
Forecast 958.07 307.31 1297.68
Result 974.64 420.48 973.24
100
300
500
700
900
1100
1300
£ M
illio
n
From the figure 4.4-2, we can see that our company got gross profit and net profit close to
the forecast. However, we confuse about that our bank balance should be closed to the
forecast as well.
Figure 4.3-3 : Round 3 Production Performance
City Car Medium Car Luxury
Forecast 84.58 80.85 10.74
Result 73.65 74.28 10.2
5
15
25
35
45
55
65
75
85
units
4.5. Over Trend
4.5.1. ProductionIn the four years, our production increased by 7% from 120,000 units to 171,194 units and
sales increased from £2050m to £3316m during four years. We only got a problem with car
sales in round 3 in which 3179 units of city cars and 659 units of medium car model were in
stock.
Figure 4.5-1: Productions and car sold in four years (units)
Round1 Round2 Round3 Round4
120000
171994
197757
170356
120000
171994
193921
171194
0 0
-3838
0
Production Sold Unsold
4.5.2. Market ShareFigure 4.5-2: Market share trend (%)
Round1 Round2 Round3 Round4
City Car 0.0116 0.0142 0.0157 0.0151
Meduim Car 0.0148 0.019 0.0208 0.0192
Luxury Car 0 0.0096 0.0125 0.011
0.25%
0.75%
1.25%
1.75%
2.25%
Figure 4.5-3: Total Market share trend (%)
Round1 Round2 Round3 Round4
Market share 0.01 0.0132 0.0147 0.0138
0.10%
0.30%
0.50%
0.70%
0.90%
1.10%
1.30%
1.50%
Market share
Axis Title
Average market share steadily increased from 1.00 % to 1.38% during the three years and
has a little bit down at fourth year by 1.47%(see figure 4.5-3). This figure did not achieve the
business objective goal of 2% total market share. And only medium car got 2.08% market
share in the third year (See Figure 4.5-2). However, from the line chart (Figure 4.5-2), we
can see that average whole trend was rising.
4.5.3. Shareholder FundsFigure 4.5-4: Citadel’s Shareholder Funds in four Years (£million)
Round1 Round2 Round3 Round4
Shareholders Funds 364.41 702.2 1193.97 1614.44
100
300
500
700
900
1100
1300
1500
1700
Shareholders Funds
£ M
illio
n
During the four years, our shareholder Funds increased from £364.41m to £1614.44m. The
line chart shows that it was rising trend during four years. So it means our company has able
to ear profit over the time and it might be uptrend in the next year (see Figure 4.5-4).
4.5.4. Cash PositionFigure 4.5-5: Cash Position trend (£million)
Round1 Round2 Round3 Round40
200
400
600
800
1000
1200
717.03 753.03
893.87973.24
cash position
cash position
Due to the loan of £1300m, which we borrowed at the beginning of year 1, it make our
company has enough current assets to support the business plan. And our Net cash rose
from £717.03m to £ 973.24m smooth and steady during four years. According to this raising
trend, our company might be can return all current liabilities in the future.
4.5.5. Gross marginFigure 4.5-6: Gross Margin for each model in four years (%)
Round1 Round2 Round3 Round4
City Car 0.26 0.26 0.2903 0.2658
Medium Car 0.3195 0.3081 0.3218 0.3053
Luxury Car 0 0.2921 0.293 0.2869
3%
8%
13%
18%
23%
28%
33%
Perc
ent
From the Round 1 to Round 4, the gross margin for all cars got highest per cent at third year.
And the entire gross margins were growing smooth and steady during the four years.
Moreover, medium car always hold the highest gross margin in the three types of cars.
4.5.6. Strike Day The number of strike days gradually decline keep 3 days in each round. This reflected our
effort in improving the human resource during the game as we tried to increased wages
annually.
Figure 4.5-7: Strike days in each year
Round1 Round2 Round3 Round4 0
0.5
1
1.5
2
2.5
3
3.5
Number of strike days
Number of strike days
5. Learning
5.1. Financial Management
Financial StatementThorough analyses company performance; I learnt the important of understanding financial
statement in order to assess a business. With the knowledge equipped in class I can
understand the financial statements that provided in each round of Business game. It
contained needed information to helps me identify the key issue in order to make appropriate
decisions.
I also aware the integrated link between Balance Sheet, Income Statement and Cash Flow
in analysing the financial statements. Any alteration in each statement will lead to change in
the others. Costales and Szurovy (1994) proved this when suggest that it is necessary to
consider all the financial statements as a whole while evaluate company performance.
Price StrategeDuring the whole 4 rounds, we did not apply a price strategy for our company. We were too
concerned about sales and productions and managed to sell all the cars. In fact, we did not
have a clear pricing strategy over the game. However, we lucky sold out all the cars and get
profit.
If the game operated again, I would employ an appropriate pricing strategy in order to
increase our profit as much as possible. For example, in the first round, I would apply price-
skimming strategy to quickly get back money spent on research and development. In the
next rounds, along with boosting productions, I would use Average pricing Strategy to avoid
competition and keep the perception of good quality products as they have a strong link to
each other (Smith, 2011).
5.2. Human Resource
Training employeesDuring the 4 Rounds, we keep to reducing training expenses due to increasing automation
Human Resource PlanningIn the game, we considered human resources planning as a part of the business in order to
meet the company’s objective. Smith et al (2006) suggest that the most difficulty of Human
Resource Planning is to bring it together with the company business’s plan in order to
achieve the goal.
However, we did not understand well in the first round so that we just guess how many
workers we need to hire. Obviously, this is the one of the reason to make we got loss in the
first round. And we did not improve the salary of worker too much so that makes strike days
did not goes down. If I could to be manger or doing business in the future, I would initially
take human resources planning as an important part of my business plan.
5.3. Operations Management
Productivity and Quality Automation has significantly influenced to our productivity and product quality even we
did not improve enough wages for each worker. It showed in all four rounds that every time
we decided to change the allocation of automations for each car model, it directly affect to
warranty costs per car (see Appendix 1). This means that, quality increased helped to
reduce costs , therefore increase profit. Raturi and Evans (2005) claim that improving
product quality can bring more profit to organizations through seizing market share and
increase in sales.
Measuring and improving PerformanceDuring the game, we did not apply performance measurement to assess how well our
company in order to improve our performance. As Barnes (2008), measuring performance is
crucial in operation management in order to successfully manage an organization.
Measuring the company performance in each round would help me to identify the strengths
and weaknesses, therefore, to assess the efficiency and compatible of decision-making.
Besides, measuring competitors’ performance, especially, the one who got high
achievement would help us set a good standard.
5.4. Marketing Management
Marketing Research
Based on the information in market research on European car market provided, we decided
to target to the segments in which the customers was the largest and in order to seize 1% of
market share in the first round. In the business game, we did not employ marketing mix very
well (price, product, and place promotion) to improve our marketing strategy. As we see in
the third round, we had a number of unsold cars on the city car and medium car. Even we
are the highest market shares in the city car and medium car compare with another team.
However, I found out that our product had not matched the quality that our customer need or
want.From the fact, I understand that the market is uncertain and decision-making should
not be entirely based on the research; a right decision should consider the personal
experience and knowledge (Peter and Donnelly, 2011).
5.5. Comment on GameThe data on competition should include the information on productions, sold and unsold cars
of all companies, so that, it would easier for us to compare and learn from others. And it
would be more realistic if we could pay discriminate wage for employees who worked in the
different car model, as well as give inventive and rewards to workers in order to increase
productivity and product quality.
5.6. ConclusionThe business game helps me reinforce the knowledge that I had learnt in the four areas
financial, marketing, operations and human resources management. Over the game
process, I had practiced my management skills that are necessary for me as a manger in the
future. Especially, it helps me to perceive the important role of working in a team in order to
achieve the collective goals.
6. Team performance
6.1. Team RolesDue to a person is assigned a suitable role, he would perform better (Adair, 2009) . So that
in the first round we decided to divide the task into three functional areas and allocated to
each team members based on individual’s background and qualifications. However, I came
from design background and never have knowledge of business or management. So that, in
the first round I was mainly responsible for marketing management as I had experiences in
this field from my previous job and tried to find out which part I am good at.
However, in order to assist team members in their individual learning, we agreed that in each
round individual should mainly take responsibility for a different task from the previous round.
Moreover, for each round, we appoint a different team member to record the meeting
minutes and present our decisions in seminar.
Consequently, in the Round 2 and 4, I have the turn to take the role of financial manager and
Operations Manager to share task with Chris and Neal. I felt that by practising finance, I had
strengthened my knowledge in this field and effectively contribute to teamwork. However, at
the same time, I and other team members also occupied another role. We had to manage
multiple tasks and other team members also occupied another role. Adair (2009) suggest
that if a member takes so many roles in a team he or she suffers for tense that affect to
individual’s performance. Thus, if I could participate in the game again, I would like taking
only one role from the beginning to the end rather than taking different tasks at a time. And
in this business game, I found that my interesting on finical department and I would like
developing this part in my future.
6.2. Communication
In CITIADEL company, we aware of the important role of communication in our teamwork.
We have got almost 16 meetings from round 1 to round 4. Everyone tried to contribute him
or herself for teamwork. However, I found that communication was insufficient in our team.
The idea and options mostly came from our each member and we vote to get final decision.
Nevertheless, here was an issue with language as Victoria and Chris urged Maria not to
base her decision on the fact that she understood Neil’s points better, as he communicated
them in Chinese.For example, Neal and Maria hardly spoke out their idea and try to find me
for translate to another group member. And this process makes another two English speaker
feel uncomfortable and misunderstanding.
Our problem might cause by the fact that we was lack of understand individual’s differences.
As play the game again, I would suggest my team members to have some outside activities
together. This would be a good way to improve communication and strengthen the
relationship between team members in order to increase team performance (Syer and
Connolly, 1996).
6.3. Decision Making
In CITIADEL company, we believed that every idea and opinion should be agreed by the
voting of all team members before going to final decisions. And we all Collaijborative
discussion leading to consensus on decisions. However, our time management did not go
very well in the 1st round. This was because in the first round we spent a lot of time to
choosing car and no one really well-understand the finical part of whole business game. And
it made we got short time do research on the finical part and made a loss on that.
During the first two rounds, I also felt that my ideas and opinions have not been listened by
the team. Especially, I used to have different views with another group member in some
areas related to production and option but when we put issues in-group discussion, other
team member trend to avoid conflict with
6.4. Leadership
Initially, we collectively elect Chris whose preferred team role was shapers according to his
Belbin Team Role report. But we decided to have revolving leaders. It means that in every
round, each team member would have chance to take the leading role to conduct the
meeting and present decisions. This would enable individual to develop his/her skills and
leadership through practicing as suggested by Adair (1998).
At the beginning of Round1, actually I cannot understand the whole process of business
game totally and I just follow the task that leader give us to do. However, from the Round 3, I
actively contribute myself to Finance part and help leader to coordinate another team
members. And I also tried to put all ideas and options into discussions and maintain the
democratic environment to ensure that everyone really engage in the teamwork. As a result,
from round 2 to round 4, I received support from the rest of the team for most of my idea that
has affected to our company performance.
Reference
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Adair, J. (2009), Effective Teambuilding How to make a winning team. 2nd ed. London: Pan
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Smith, B.J., Boroski, J.W. & Davis, G.D. (2006). Human resource planning, Human
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Tim J.Smith (2011), Pricing Strategy: Setting Price Levels, Managing Price Discounts, &
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