Learning objectives
To provide delegates with good understanding of the risks and costs of global sourcing. It reveals the importance of taking a total cost perspective of the global sourcing decision. Specifically, to enhance understanding of:
• Total landed value and the hidden costs associated with off-shore sourcing;
• The impact of extended lead-times on supply chain costs and performance;
• The need to align sourcing and supply chain design decisions with brand /product characteristics.
• How to mitigate the risk of supply chain disturbances that threaten business performance.
• The increased vulnerability of global supply chains to external disruptions.
The simulation runs for 2 days and is suitable for 8 – 16 participants.
Develops enhanced capabilities in procurement, purchasing, buying, supply chain, new product development and financial managers. Suitable for trained managers to sharpen their skills in action
Developed in conjunction with Cranfield School Of Management.
Overview of the game
• 4 teams are companies that compete in the European market
• Each company has 4 brands. Each brand competes against the equivalent brands of rivals’
• The brands have different characteristics that require different sourcing and distribution network solutions
• The brands are sourced globally. The teams inherit a sourcing situation that is causing bad performance
• 8 potential sources –Italy, Morocco, Romania, India (2), China (3)
• Over rounds, teams improve their company performance by steadily reducing total cost of ownership, managing disturbances and disruptions better and gaining market share