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In this game our supply chain consists of the end customer i.e. the factory, a component manufacturer called „CM-A“ , a component manufacturer called „CM-B“ , an OEM called “OEM-C”, an OEM called “OEM-D” and the customer.
You will play in teams of 4 where every player represents one of the main parts of the supply chain by taking over the mentioned roles. By working together, you can hopefully improve the performance of the supply chain by providing enough chips. That means, final goal of the game is to have the lowest cost at the end of the game. Of course, reducing your costs will help your team reduce the costs for the whole team.
As the flow diagram showed below, there are information flow and shipment flow. Here, the time delay between the supply chain partners for Order and Delivery is important: Between CM-A, CM-B, OEM-C and OEM-D, we have a time delay of 2 weeks for the order and 2 weeks for the delivery. Between Factory and two component manufacturers, we have a delay of 1 week for order and 1 week for delivery. Only between customer and two OEMs there is no delay. Each Week starts with an order from the end customer to the factory. We play 20 weeks, where every week represents one round → so you have to place 20 orders in total.
One important information is that since customer have their own preference, they will always order different amounts of chips from OEM-C and OEM-D , so does component manufacturers. They will order different amounts of chips from CM-A and CM-B. For example, OEM-C receive 10% of customers 'order, and OEM-D receive 90% of customer’s order; Then, OEM-C placed 10% orders to CM-A and 90% of orders to CM-B, and OEM-D placed 90% orders to CM-A and 10% of orders to CM-B. Before next week start, CMs will reditect to the third-party platform to receive additional information to help them make order decisions. Please consider this when you place the order.
Finally, let's talk about the cost. Whenever the customer order, we need to ensure we have enough chips to deliver. If we want to be able to always fulfill the order, we will have to have inventory. Storing 1 unit in the stock costs 0,5$ per piece. however, if we cannot fulfill the order, we will have backorders and be added costs of 1$ per unit.
Please be reminded that: When the game starts, the supply chain is already running and balanced All players begin with some stock The customers order every week, and we can‘t predict their order behavior however we have to react to it.
Now, after answer these questions correctly, you are good to go! Good Luck! {{ formfields }} {{ next_button }} {{ endblock }}