Global Management Challenge Blog
Normally, when anybody asked about dividend question sounds like - "How many dividends I need to pay in current period?". But this is an incorrect question, because it is important not only - how much to pay, but also - how to pay.
Training - one of new features in GMC simulator. it is very similar to management budget and affects same productional and financial performance of the company, but less powerfull. Impact of training can be summarized in 3 areas.
Lets remember how to calculate Investment perfomance (IP): Investment perfomance = Company’s market value (capitalization) + Dividends + Issuing/Repurchasing shares (with discount rate)
Each GMC-team while getting new knowledges has one main problem - search for new data for analysis. Main data-source is management report, the more, the better - more opportunities for team to analyze and develop winning strategies. If we know the fact that each round every team make decision with 75 different combinations and each of them has unique impact on the result, then we should have really a lot management reports - hundreds and thousands to make representative analysis. If you play in GMC by all rules, then you will collect, for example 100 reports at least 5 years - 1 championship a year, 4 rounds in the championship, 5 management reports in the round (of cause if you wil not lose in 1 round). During this time, your competitors (which are less legible) will go far away and will be invincible for you. Therefore, search and analysis of new and new management reports - basis of successful performance in the championship.
What is it - investment perfomance? Lets check how manage and maximize it.
One of the most underrated factors. A common optimum assembly time for products is 105% - 120%, but the real optimum assembly time can greatly go beyond this range, as it depends on several factors.
High quality raw materials (HQRM) - one of the key elements GMC simulator, which must be applied properly. HQRM influence on sales in the current period, there is no residual effect. The residual effect is possible only when the product is not implemented with HQRM and lay in stock. So it will affect on sales in future periods until it will be completely sold from warehouse.
This topic for experienced GMC-players only, because information requires serious skills and background.
Part of GMC simulator with website development did not changed much compared to the previous version of simulator. Website level by analogy with product quality estimation is also determined not by fixed number of stars (1, 2, 3, 4, 5), but numerically. But in contrast to the product quality estimation, sheet “W” with original data for management report does not contain such information.
While website rating increases, number of visitors also grows. Percentage of visitors who can come on website is directly proportional to the sales in Internet in current period. Each additional percentage of visitors gives a similar percentage increase in sales. Therefore, it is important to minimize the percentage of visitors who could not come on your website (failure rate) - as a reserve to increase sales. For example, if the percentage failure rate was 3%, and became 1%, sales in the Internet will grow by 3 - 1 = 2%