3 The Six Basic Strategies: Link to Six Basic Strategies Capstone®The Six Basic Strategies:The “Six Basic Strategies” give you a starting point. Make sure before you start making any decisions to go over the strategies and choose one that you feel comfortable using.Keep in mind that all these strategies are proven to work, if you’re not doing well it’s more likely that you’re executing the strategy incorrectly.Link to Six Basic Strategies
4 Capstone® Practice or Competition Rounds Double click on: Capstone.xls Choose: Work on My Company’s Official DecisionsEnter your User ID and PasswordGo to Decisions
5 Go to Decisions > R&D Change: Size, Performance & MTBF Capstone®R &DMarketingProductionFinanceAdditional ModulesGo to Decisions > R&DFor Existing products: Change product’s attributes to meet “Customers Buying Criteria”For New Products: Change product’s attributes to meet “Customers Buying Criteria”Change: Size, Performance & MTBF1. Give name to new product2. Choose: Size, Performance & MTBFChanges in R&D affect:1. Age of the product (current age/2)3. Buy Capacity & Automation (buy it this year, use it next year)2. Revision Date (when will the product be available for sale)3. Cost
6 Capstone® R &D Marketing Production Finance Additional Modules Go to Decisions > MarketingEnter: Price (Look at Customer Buying Criteria)Enter: Promo Budget & Sales Budget (Look at Six Basic Strategies + Student Guide)Enter: Your Sales Forecast (Look at Online Manager Guide or Student Guide > Forecasting)Link to Sales ForecastEnter: A/R & A/P (Look at Online Manager Guide)
7 Go to Decisions > Production Capstone®R &DMarketingProductionFinanceAdditional ModulesGo to Decisions > ProductionFor Existing products:For New Products:Discontinue a Product:Enter Production ScheduleBuy Capacity: Buy/Sell Capacity > enter positive number1. If no inventory > Sell all capacity (enter negative number in Buy/Sell Capacity)Buy or sell capacity (if applicable)In “Buy/Sell Capacity” cell:- Buy: enter (+) number- Sell: enter(-) numberChoose automation level: Enter (+) number in: New Autom. Rating.2. If there is inventory > Sell all but 1 unit of capacityChange Automation in: New Autom. Rating (if applicable)
8 Capstone® R &D Marketing Production Finance Additional Modules Go to Decisions > FinanceYour Goal is: Cash Position by the End of Year should be POSITIVEBorrow MoneyRetire MoneyIssue 10-year bonds: Long Term DebtRetire bonds earlyRetire stocksIssue Stocks: selling common stock to the publicDividendsBorrow 1-year notes: Current DebtIssue Dividends: give money to ShareholdersImportant: these numbers are as good as your FORECASTING. The real numbers might be different.
9 Capstone® R &D Marketing Production Finance Additional Modules For Additional Modules:Go to Online Manager Guide OrHelp > Tutorials & Demos > Additional ModulesOrStudent GuideLink to Additional Modules
10 Links to Additional Resources: Capstone®Links to Additional Resources:Student Guide PDFSpreadsheet Demonstrations:R&DProduct InventionMarketingProductionFinanceManager Guide