WGU Supply Chain – All 3 Tasks

WGU Supply Chain – All 3 Tasks

WGU Supply Chain – All 3 Tasks

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Task 1

Supply Chain Management

Simulation Analysis (B):

Utilizing pro-forma balance sheets revealed that I was too conservative in my initial

approach. My market share was 98% in the traveler series but dismal in the workhorse line. My

decision to invest $400,000 into a certificate of deposit was a critical error. I should have opened

an office in Europe sooner to maintain market share.

Pro-forma financial statements are critical to determine the outcome of previous

decisions. After my third quarter my error was to not completely analyze my financial

statements. Earlier, in the second quarter, I had went from a negative $394,000 to a positive

$493,749. This gave me confidence in my traveler line and since I was only at 4% market share

with the workhorse line – I dropped the line completely. I made the decision after reviewing

analysis of my profit and loss statements. I viewed this as a low profit item that was taking away

from our cash assets that could be best used to catapult our traveler line

My initial goal was to gain market share and defend it. I gained market share but did not

keep it. My conservative approach early in the simulation did not allow me time to defend my

98% market share. I analyzed competitors and they were gaining ground against me.

Competitive Posture
X build a market position and defend it
X take the lead and keep it
be first to market
be the leader in all things
X be a fast follower, imitate smart competitive moves

In the 3rd quarter the pro-forma statement guided me with my decisions. I admittedly did not see that although I decided to incur the tremendous expense of opening another office, hired more sales and support people – I did not place them in the new office....

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