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Distribution Game

Distribution Game. Version 2012 -2013. About ERPsim. About ERPsim Lab. The mission of ERPsim Lab is to conduct research, development and transfer in the field of serious games in information technology.

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Distribution Game

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  1. Distribution Game Version 2012-2013

  2. About ERPsim

  3. About ERPsim Lab • The mission of ERPsim Lab is to conduct research, development and transfer in the field of serious games in information technology. • It has created ERP business simulations that are used in more than 150 universities worldwide and, through its commercial arm, Baton Simulation Inc., in many large corporations.

  4. ERPsim Lab: Development team • Research team • Prof. Pierre-Majorique Léger, Ph.D., Director ERPsim Lab (HEC Montréal) • Prof. Gilbert Babin, Ph.D. (HEC Montréal) • Prof. Jacques Robert, Ph.D. (HEC Montréal) • Prof. Robert Pellerin, Ph.D. (ÉcolePolytechnique de Montréal) • Prof. Bret Wagner, Ph.D. (Western Michigan University) • Technical team • Jean-François Michon, M. Sc. (HEC Montréal) • Arnaud Paquet, BAA. (HEC Montréal)

  5. What is ERPsim ? Automated by ERPsim Sales Automated by ERPsim Procurement Automated by ERPsim Planning Automated by ERPsim

  6. Introduction to the distribution game

  7. ERP Simulation Games:Pedagogical objectives • To show how the ERP system supports business strategies • To develop a hands-on understanding of the concepts underlying enterprise systems • To experience the tangible benefits of enterprise integration firsthand • To develop technical skills at taking decision using an enterprise software

  8. Distribution game • In groups of at most 4 participants, each team operates a bottle distribution company. • Using standard reports, participants have to make business decisions to ensure the profitability of their operation

  9. German market • 6 products (boxes of 12x1L and 24x500mL) • 3 areas with distinct marketing accounts • One distribution channel : 18 • Market size of about € 6,000 per company per step North 45 retailers West 40 retailers South 38 retailers

  10. 6 products

  11. Game layout 25 min 25 min 25 min 20 steps 20 steps 20 steps

  12. Rules of the game • Each round will be of 20 steps (a bit more than 1 min per step) • End-of-round inventory is carried over to the next round • You can sell a product only if you have it in stock • You compete against the other teams and importers • Your objective is to maximize profit

  13. SAP Navigation

  14. ABC of Enterprise systems • An enterprise system is build around an integrated database • A system such as SAP contains tens of thousands data tables • When a user creates, changes or views data in the system, he or she performs a transaction • Data changed or created by one user can be exploited by all other users (ex. reporting, tracking, execution of orders, etc.) • All transactions are traceable, transactions with financial impacts can be reversed, never erased

  15. User interface • Users interact with the enterprise system through transactions. • A large number of pre-programmed transactions exist in SAP • Each transaction has a transaction code – one can call a transaction if one knows the transaction code • The SAP menuallows to browse and find the desired transaction • One can create a user menu or a list of favourites with the commonly used transactions

  16. SAP Menu & Navigation Extras / Settings / Display technicalnames

  17. Reports and queries • Reports and queries are transactions that allow users to view existing data • A typical query is performed as follows: • In the first page of the transaction, you must enter the selection criteria for the query (ex. Company code, product code, etc.) • Then, click on to execute the query • A table containing the requested data will appear • The display and layout can sometimes be modified

  18. Entering new data • Some transactions are designed to change or create new data (change forecast, release purchasing orders, change sale price, etc.) • The interface varies according to data required by the system • The system will not allow you to save information if all the compulsory fields have not been filled • You must save/release/confirm before exiting the transaction

  19. Other useful buttons • Use the navigation buttons to go back or get out of a transaction • You can open up to 6 sessions. Click on to open a new session • Delete , search , select all , view , enter .

  20. Participant’s job aid

  21. Let’s get started! • Set up teams: • Max 4 persons : User 1 to User 4 • Up to 26 companies : A to Z • Log in using user name and password by your instructor.

  22. Login information Client will be provided by the instructor Login: $# Where $ = Team (from a to z) # = User (from 1 to 9) Password: ERPSIM (capital letters) You will have to change your password the first time you enter

  23. Distribution Game: Round 1 25 min 20 steps

  24. Cost, inventory & initial pricing

  25. The Distribution Game:Round 1 (20 steps) • You need to maintain the price of your 6 products and invest in marketing. • What do you need to know in order to make that decision ? • You need to know how to : • Maintain price list • See available stock • Monitor sales orders • Monitor competitors

  26. Participant’s job aid & Menu

  27. Maintain Prices for DC 18

  28. Marketing expenses

  29. On marketing • Enter your daily marketing budget for each product and for each region • The impact of marketing in one region depends on your share of all marketing expenses in this region • Marketing induces customers to find your product “more desirable” • The daily marketing budget can be changed at any time

  30. Stock in material overview

  31. Check sales summary report

  32. Check market report

  33. Check sales order report

  34. The Distribution Game:Round 1 (20 days) We start the simulator for 20 days

  35. Distribution Game: Round 2 25 min 20 days

  36. It’s time to replenish ! • You need to replenish. Replenishment will allow you to purchase the same quantity that you have sold.

  37. Participant’s job aid & Menu

  38. Execute MRP

  39. After the MRP run

  40. Convert purchase requisitions into purchase orders

  41. Track purchase orders

  42. The Distribution Game:Round 2 (20 days) We start the simulator for 20 days

  43. Distribution Game: Round 3 25 min 20 days

  44. It’s time to replenish ! • You need to replenish. Change your forecast to adapt the replenishment levels to your needs • What do you need to know in order to make that decision ?

  45. Participant’s job aid & Menu

  46. Forecasting

  47. The Distribution Game:Round 3 (20 days) We start the simulator for the last 20 days

  48. Debriefing

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