1. Executive at …. Staffordshire University April Training Executive Ltd. April House, Tarvin Road, Frodsham Cheshire WA6 6XN 01928 735868 Level 3 Undergraduate Programme April TRAINING Business Simulation 2011 EMC plc

2. Welcome to Executive A Real Time Simulation based on the European Automotive Industry April TRAINING

3. To provide practical and relevant experience in the operation of a business team to achieve strategic business challenges and deliver impressive business results in a challenging market and economic environment. Our Aim is :

4. PLANNING – Preparing a Strategic Plan, agreeing responsibilities DECISION MAKING – Making five sets of business decisions as a team and to deadlines REVIEWING AND REPORTING – Assessing your progress during each year of the simulation and submitting an individual report at the end of the module PRESENTATION – Some teams MAY be asked to make a presentation on their experience at the end of the module The Simulation in Overview… You will be working in a team environment to manage an automotive company trading in the European car market. The module will comprise the following elements :

5. 1.Critical thinking 2.Business review and financial analysis 3.Environmental and business analysis 4.Portfolio and market management and development 5.Stakeholder expectations management Learning Objectives (1) Learning during the module will include :

6. Learning Objectives (2) 6.Managing across the market and business value chains 7.Managing unexpected events 8.Managing financial investment and performance

7. 9.Understanding the impact of business decisions on company performance and results 10.Working in a team environment under strict deadlines and reporting pressure Learning Objectives (3)

8. Module Structure  5 leagues  Up to 9 companies trading in each league  You are taking managerial responsibility for EMC plc as it enters FY 2011/2012. The company has been trading for many years already  In a period of significant market turbulence  The marketplace replicates what is happening in the real environment today  External business issues will crop up from time to time  Briefing documents have been provided

9. AlphaBeta Delta Gamma Epsilon Leagues in the Simulation Module

10.  Share Price  Return on Capital Employed  Current Ratio  Capital Gearing Ratio  Market Position & Share (total)  Gross Profit %  Output per worker per annum Assessed Performance Measures

11. Business Plan  Unique company name, logo and strap line  The company mission/vision statements  Choice of target market  Summary of competitor analysis to identify problems or threats and opportunities  Overall target markets and strategic rationale  Financial objectives You will be required to prepare your business strategy and plan in not more than 7 ppt slides (plus a header page) WE WILL PROVIDE A SET OF TEMPLATES FOR YOUR USE

12. Management Roles Available….  Chief Executive Officer  Strategic Planning Executive  Manufacturing Executive  Finance Executive  Technical and Engineering Executive  Sales and Dealer Network Executive  Human Resource Executive  Marketing Executive

13. Key Stakeholders  Customers  Employees  Suppliers  Shareholders  Governments  Local Communities

14. Simulation Module Schedule A full timetable can be found on page 7 of the Handbook

15. THE SIMULATION

16. The Marketplace All your production facilities are situated in the UK and cannot be relocated to other European locations

17. How the market is segmented Under 25 25 to 40 41 to 55 Over 55 CITY e.g. Mini MEDIUM e.g. Astra LARGE e.g. Jaguar X LUXURY e.g. BMW 6 1 2 34 5678 9 1314 11 15 12 16 Platform Age Group 10 Your products will be targeted at one of these sector numbers

18. Market sector share % of the total market when you takeover EMC plc Market Forecast for 2011/12 is 12-15m new car sales Size City e.g. Mini Medium e.g. Astra Large e.g. Jaguar X Luxury e.g. BMW 7 % of total market 37.2538.9718.725.06

19. What’s it all about ? Marketing and Image Managing Finance OperationsPeople and Teams

20. Annual Business Decisions  Products (Models)  Names, Market Sectors, Specifications, R&D, Price  People  Number to be Employed, Pay  Plant  No. of Factories, Level of Automation, Output Capacities  Promotion  Advertising  Customer & Dealer Incentives  Sponsorship  Finance  Loans, overdrafts, credits terms for customers and suppliers, financial investments, share trading

21. Starting Position  First year of trading is year 3 of the simulation  Inflation will be 5-6%  Company has a debt of £800m – You MUST begin repaying this immediately at a rate of £100m per annum  Company has invested £425m in a new model – you will be responsible for its launch in your first year of trading  The company has offered 500,000 shares for sale to the General Public  Gilts can be purchased with an interest rate of 14.48% for 5 years

22. To begin running the Simulation You will receive an email containing a team number, a password and a link similar to: http://executive.trainingsimulations.co.uk// PlayerLogin/index.php Click on the link to run the simulation

23. Introductory Screen Enter your serial no. and game name here and press Next

24. Then… Select your team number from the drop-down menu, enter your password and press

25. Enter the Simulation Click here to go straight to the decision-making screens Click here to view Cost & Data Sheet/Reports

26. Screen 2 to view and print/save the Cost & Data sheet. To print or save a report click on the relevant icon here Press the button Note: This can be accessed at any time via the Results option on the quick navigation panel on the left-hand side of the page

27. Decision Screens 1 Enter the name, size, age group target and price for the model. Press Decisions to move to further options For information on individual decisions, click on the question mark. General is provided on each page

28. Model Designs Decisions Select a body style and engine size for the model by choosing the appropriate checkbox You can select more than one option per model, if you wish Press once you are happy with your choices

29. Pick other options that can be made available on your model Select as many or as few as required. Prices can be found on the Cost & Data Sheet Model Options Screen Press to continue, or to change your earlier inputs. returns you to the overview screen

30. Choose any R&D projects that you wish to apply to this model Research & Development Projects

31. Follow this procedure for all subsequent models, and then press to enter Company Decisions Once you’re happy with your decisions for that model

32. PRODUCTION Enter the workforce to be allocated to each model Insert any automation expenditure, the target factory output and the weekly wage to be paid. Select

33. Marketing, New Model & Market Research If you wish to launch a new model next year, invest here Purchase market research/data on competition Invest in advertising to raise the profile of your company & products Notification of the number of factories needed to house the workforce employed

34. FINANCE  Enter :  The amount you wish to borrow  The dividend to pay  Shares to be issued  Number of credit & debit days Decide if the company will invest in gilts Invest in your competitors’ companies by purchasing and trading shares (from year 2)

35. Once all Model and Company Decisions are entered, press to view a forecast of your results. Note: All Model and Company Decisions must show a green light before proceeding Next…

36. Changing Decisions This report gives a prediction of the results that MAY be achieved with this set of decisions To return to the decision screens and make amendments select

37. Finally Once the team is happy with the decisions made, select to submit them to the simulation for processing. IMPORTANT ONCE THIS BUTTON HAS BEEN SELECTED YOU WILL NO LONGER BE ABLE TO CHANGE OR ACCESS THE DECISIONS FOR THE YEAR/ROUND

38. In summary….  The business simulation activity lasts for 2 months  It covers a wide range of business and project management skills  It is a competitive activity – you need to make good business decisions  The deadlines are critical events and MUST be met  Your group tasks are detailed in the briefing notes

39. If you have any questions….  Please post all queries on the Blackboard facility  Please refrain from posting several individual questions - collate them for your team  We will respond quickly to your questions  Please direct ONLY simulation-related queries to Julio Faria

40. April Training Executive Ltd April House Tarvin Road Frodsham Cheshire WA6 6XN Tel : 01928 735868 Email : jjf@trainingsimulations.com