Expanded Slides for Momentum

EMILY O’CONNOR – VP FOR HUMAN RESOURCES AND MARKET RESEARCH

REBECCA RYAN – VP MARKETING

LUKE O’LOUGHLIN – VP SALES MANAGEMENT & PRESIDENT

ROBERT O’CONNOR – VP FINANCE

WILLIAM LAHART – VP MANUFACTURING

Momentum“A business venture always moving forward, we aim to be a driving force in the Marketplace, providing high quality, innovative and reliable products as well as offering a fantastic after-sales service for our valued customers.”

• To be the leader in the Mercedes Market by the end of the simulation.

• To be the most profitable company in the market.

Strategic Objective:

• Customer: Mercedes• Geographic Location: • Chicago, Paris, Shanghai, Web centre

Scope:

• Value Proposition: Our highly innovative products and our high level of customers service and support.

Advantage:

Brand Strategy

:

Momentum I

Momentum II

Momentum III

Momentum Move

Momentum +Momentum

Force

• Top Features:• High Speed• Auto Back up

• Lower Price • Introduction of R&D

Features: Ultra-Fast Power

• R&D Features:• High Speed

• Ultra-Fast Power• Auto-Back Up System

• High Speed Networking • Competitive Price

Major Media Inserts

4 5 6 €3,950.00

€4,000.00

€4,050.00

€4,100.00

€4,150.00

€4,200.00

€4,250.00

€4,300.00

€4,350.00

€4,400.00

€4,450.00

Our Average Price vs. Mercedes Segment

Average

Average Segment Price Average Price for Momentum

• * plus €100 Rebate• ** plus €150 Rebate

Q2 Q3 Q4 Q5 Q60

5

10

15

20

25

30

35

40

# Of Regional Ad Inserts

Market Average # of Regional AdsMomentum Average # of Regional Ads

Rating: 64 Rating: 83

Q2

Q3

Q4

Q5

Q6

€0.00 €200,000.00 €400,000.00 €600,000.00

Advertising Expenses in Comparison to Market Average

Momentum Advertis-ing Expenses

2 3 4 5 60.6

0.65

0.7

0.75

0.8

0.85

0.690.7

0.71

0.82

0.8

Marketing Effectiveness

Quarter

Mark

eti

ng E

ffect

iveness

Quarter 1

Quarter 2

Quarter 3

Quarter 4

Quarter 5

Quarter 6

Chicago X X X X X

Web Centre

X X X X

Paris X X X

Shanghai X

Q2 Q3 Q4 Q5 Q605

10152025303540

6 7 914 12

48

11 117

129

7

Number Employed by Momentum

Tota

l N

um

ber

Quarter 2

Quarter 3

Quarter 4

Quarter 5

Quarter 6

05

10152025303540

Net Profit %

Sales OfficesWeb Center

Perc

en

tag

es

Quarter 2 Quarter 3 Quarter 4 Quarter 5 Quarter 60

500

1000

1500

2000

2500

3000

Demand vs. Sales

Sales Offices Web Centre Sales S.O. Sales W.C.

Unit

s S

old

196 2050

Stockouts:

Q2 Q3 Q4 Q5 Q6

Gross Profit Margin 32.63 51.89 53.05 47.2 44.05

Average Gross Profit Margin

25.1 41.69 54.07 52.38 49.69

5

15

25

35

45

55

Gross Profit Margins

Gross Profit Margin Average Gross Profit Margin

In %

Q2 Q3 Q4 Q5 Q6

Net Profit Margin

-31.9 -14.65 -60.56 18.53 2.69

Aver-age Net Profit Margin

-121.7 -18.14 -139.43 15.34 20.8

-150

-130

-110

-90

-70

-50

-30

-10

10

30

Net Profit Margins

Net Profit Margin Average Net Profit Margin

In %

Financial Figures

Financial Perfor-mance

Investment In Fu-ture

Asset Managemenr Financial Risk

Momentum 15.4 3.87 1.42 0.99

Industry Aver-age

18.04 3.95 1.12 0.93

1

3

5

7

9

11

13

15

17

19

Balanced Scorecard Figures

Momentum Industry Average

Q2 Q3 Q4 Q5 Q60

500

1000

1500

2000

2500

Average Cost of Goods Sold

QUARTER

COST

Q1 Q2 Q3 Q4 Q5 Q60

10

20

30

40

50

60

70

80

Effective Capacity / Demand

Effective CapacityDemand

UNITS/DAY

1 2 3 4 5 60

10

20

30

40

50

60

Manufacturing Capacities

Fixed Capacity

Operating Capacity

Effective Capacity

QUARTER

UNITS/DAY

Q1 Q2 Q3 Q4 Q5 Q60

500000

1000000

1500000

2000000

2500000

3000000

3500000

Effects of underestimating/overestimating quant-ity demanded

excess capacity

lost profit/stock out

COST

Learning Outcomes

Consistency

Communication

Improved Our Decision Making

Teamwork – Can Always Be

Improved

Pay Attention To Fixed

Capacity