Embed Size (px)
Citation preview
© TATA Interactive Systems GmbH. All rights reserved.
TOPSIM – General Management Participants’ Manual – Part II Initial Situation
Version 13.1 Standard Scenario
P
TOPSIM® – General Management
Table of contents
1 Decisions ......................................................................................................................................... 1 2 Participants‘ reports ....................................................................................................................... 2 2.1 No. 2 Market results and Value of Inventory ..................................................................................... 2 2.2 No. 3 Production Lines – Environmental Technology........................................................................ 3 2.3 No. 4 Human Resources and Product Development......................................................................... 4 2.4 No. 5 Cost Type, Cost Center Accounting ........................................................................................ 5 2.5 No. 6 Cost Accounting (Unit-of-output costing) ................................................................................. 6 2.6 No. 8 Profit and Loss Statement and Balance Sheet ........................................................................ 7 2.7 No. 9 Financial Report and Cash Flow .............................................................................................. 8 2.8 No. 11 Out-of-Line Situations .......................................................................................................... 11 2.9 No. 12 Market Research Report I.................................................................................................... 12 2.10 No. 14 Business Report on the Industry.......................................................................................... 13
TOPSIM® – General Management
Page 1 of 13
1 Decisions
You will find information about the current situation of the COPYFIX Inc. below. To get a first over-
view, you will be provided with the decisions taken by the previous board for period 0. Moreover,
you will be also provided in the following chapter with all necessary reports of COPYFIX Inc. of
period 0 to analyze strengths and weaknesses of COPYFIX Inc. This analysis should be the basis
of your decision-making process.
Sale
s
COPY I
Market 1
Price (unit) 3,000 EUR
Advertising 6.0 mEUR
Corporate Identity 2.0 MEUR Market 1
Market res. report Yes: X Sales 100 No. of ppl.
R&
D
Technology Ecology Value analysis
COPY I 34 No. of ppl. 2.5 mEUR 1.0 mEUR
Pu
rch
-
asin
g COPY I
Input Materials / Parts 30,000 Units
Pro
du
cti
on
COPY I
Production Volume 40,000 Units
Production Lines Type A Type B Type C
Investment ---- No. of new Line(s) --- No. of new Line(s) --- No. of new Line(s)
Disinvestment --------- No. of Line(s) --------- No. of Line(s) --------- No. of Line(s)
Maintenance 1.5 mEUR / Line ------ mEUR / Line ------ mEUR / Line
Rationalization 0 mEUR / Line ------ mEUR / Line ------ mEUR / Line
Process optimization 0 mEUR
Investments in Environmental Technology 1.5 mEUR
Production Staff - recruitment / dismissal (-) 50 People
Training 0.5 mEUR
Non-salary staff costs 40.0 %
Fin
an
cin
g
Short Term-Loans 0 mEUR
Long-Term Loans 0 mEUR
Purchase of securities 0 mEUR
Dividends 50.0 % of income
Pla
nn
ed
fig
ure
s
COPY I
Market 1
Sales revenue 130.0 mEUR
Return of equity 18.0 %
Cash Flow 14.0 mEUR
+
TOPSIM® – General Management
Page 2 of 13
2 Participants‘ reports
2.1 No. 2 Market results and Value of Inventory
Note: The valuation of inventory of finished goods (here COPY I) meets the costs of goods
manufactured.
TOPSIM® – General Management
Page 3 of 13
2.2 No. 3 Production Lines – Environmental Technology
Note: Fully depreciated production lines are still available for production. The maintenance
factor is displayed as a figure that has been rounded up (Internally: 0.956666)
TOPSIM® – General Management
Page 4 of 13
2.3 No. 4 Human Resources and Product Development
Note: The product development expenses of 1.5 mEUR spent on "Technology" corre-
sponds to the R & D cost center’s “Wages and Salaries” expense of 1.50 mEUR.
TOPSIM® – General Management
Page 5 of 13
2.4 No. 5 Cost Type, Cost Center Accounting
Note: Cost type accounting includes all of the costs incurred by the company.
The overhead cost of 36.68 mEUR is the total cost for all of the cost centers to-
gether.
Direct costs are costs which are tied directly and immediately to COPY I.
TOPSIM® – General Management
Page 6 of 13
2.5 No. 6 Cost Accounting (Unit-of-output costing)
Note: Cost unit accounting works out step by step (job order costing) the costs in-
curred for Copy I.
The finished products of Copy I enter the finished goods inventory at the
value of the cost of goods manufactured (CGM).
The cost of production is the total cost incurred for one unit of Copy I.
Direct costs: costs traced directly to the product.
Overhead costs: costs that are traced to a cost center (see previous report.)
The costs in Euro/Unit refer to the units which were manufactured in the
period (Period 0: 40000 units).
TOPSIM® – General Management
Page 7 of 13
2.6 No. 8 Profit and Loss Statement and Balance Sheet
Increase / Reduction of the = Closing Inventory 10.23 mEUR
finish goods inventory - Opening inventory 16.16 mEUR
= Change of finished goods inventory –5.93 MEUR,
in other words, the finished goods inventory decreased during
the period by 5.93 mEUR
Material expenses = Material for the production of COPY I
= Material (input materials/parts) + Factory materials
= Cost of direct materials
Other expenses = Total costs which appear under "Other costs" in cost-type accounting
TOPSIM® – General Management
Page 8 of 13
2.7 No. 9 Financial Report and Cash Flow
TOPSIM® – General Management
Page 9 of 13
TOPSIM® – General Management
Page 10 of 13
Notes on the financial report:
Cash in from sales, current period Sales * Percent of payments received in the
period
Cash in from sales, previous period See “Accounts receivable” from previous peri-
od
Other expenses Corresponds to the item labelled "Other ex-
penses" in the P/L Statement
Loan amount required for the period
Opening cash balance + Total cash in
- Total cash out – Minimum closing cash bal-
ance
The Cash-Flow shows a company’s ability to finance new investments without additional capital. It
can be derived by adding depreciation expenses plus the increase in the pension reserve to the
after-tax profit
TOPSIM® – General Management
Page 11 of 13
2.8 No. 11 Out-of-Line Situations
Hinweis: The return on equity is calculated on the basis of the owner’s equity at the beginning
of the period.
Planning quality
The planning quality index demonstrates the extent to which the
company’s actual performance differs from its plan.
Possible ratings on the index range between –1.0 and +1.0:
Best = +1.0 for an absolute difference of approximately 0.0.
Worst = -1.0 for a large absolute difference.
Planning quality for
the period Sum of the individual planning quality ratings for the period
Cumulative planning
quality
Cumulative planning quality rating from previous periods
+ Planning quality of period
Earnings value for
the period (mEUR)
The earning value of the period is composed of :
Net income for the period (mEUR)
+ (Planning quality of the period * Value of a planning quality point
in mEUR)
The value of a planning quality point is determined by the simula-
tion facilitator.
Cum. earnings value
(mEUR)
Cumulative earnings value from the previous periods
+ Earnings value for the period
TOPSIM® – General Management
Page 12 of 13
2.9 No. 12 Market Research Report I
Hinweis: The R & D expenditures are the sum of the costs for technology, ecology and
value analysis.
TOPSIM® – General Management
Page 13 of 13
2.10 No. 14 Business Report on the Industry
