Engineering Leadership Development Program

8/14/2019 Engineering Leadership Development Program

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J&JEngineering Leadership

Development Program

Management DevelopmentSimulation


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AGENDA

I. Introduction

II. Draft: Learning Objectives

III. Setting up the Simulation

IV. Example: Team Structure & Roles

V. General Simulation steps

for each team

VI. NEXT STEPS

Appendix:Biographical Summary of the Author of the Simulation


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I. Introduction

Gold Simulations core business is the development of

simulations to meet training and educational challengesnecessary to achieve outstanding employee results.

Business simulations are among the most effective

learning experiences, driving real and enduring behavioral

change.

Dynamic, realistic experiences allow the participants to

apply knowledge and learn from their mistakes before

costing your company a fortune.

What better way to learn management & leadership skills

than being given the opportunity to run a company in acompetitive environment.

It will be motivating, effective and fun!


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II. Draft Learning Objectives:

1. Learn & apply management skills by being on a firms board of

directors in a simulated marketplace & economy.

2. Understanding the big picture of managing a firm & how all

functional areas must work together to deliver outstanding business

results.

3. Learn the difficulty of making short and long term decisions in

view of uncertainty and the importance of prudent risk taking.

4. Effectively using financial information to make key decisions for

capital and expense spending to improve revenue & costs.

5. Enable the future leaders of J&J to:

-Apply Leadership Skills

-Build an effective team-Understand the Strategic Management Process

-Apply negotiation skills

-Improve planning & coordinating for success

6. Have fun competing against your peers and learn from your

mistakes.


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III. Setting up the Simulation Experience

1. Number of firms.Can have any number of JNJ managed firms competing only against

each otherorin a marketplace with computer managed firms as well

(i.e. 10 JNJ managed firms, 15 computer managed firms for a total of25 firms in the marketplace).

2. Number of JNJ people per firm.You can have any number from 1 or more. Typically the teams

range from 3 to 5.

3. Number of decisionsCan select up to 8 major decisions impacting demand, supply and

costs for several functional areas including:

-Marketing/Sales: Price, Advertising

-Customer Service: E-commerce improvements such as an on-line

services, web marketing, electronic payment &

shipping.

-Research & Dev: Investment level

-Finance & Engg: Capital investment impacting capacity & efficiency

-Operations: Production level

-Quality: Process improvements impacting efficiency & quality

-Human Resources: Training investment

4. SET Overall objective for team competition

-Maximize cumulative profits, Market Share, Capital Efficiency, other


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4. External environment

You can set the economy to make the game more complex

or less complex such as:

-Growing economy, Business Cycles, Unknown economy

5. Duration of the simulation game. Typically runs from 4 to 8 periods of play where each is

considering three months in time but any number is possible.

The decisions for each period can take as little as 15 minutes with

minimal analysis to an hour per set of decisions.

Options to reduce conference time requirements:

1. Have a few periods played by teams remotely in advance of the conference & leavethe final one or two periods to play when they are at the conference.

2. Introduce the simulation at the conference, play 1 or 2 periods and the balance after

the conference.

3. Have the entire simulation played before or after the conference.

6. Team Structure & Roles

The roles and responsibilities can be combined to accommodatevarious team sizes from 2 to 8 members with anywhere from

4 to 8 decisions. Typical roles played may include:

President & Board Members:

-VP of Operations VP of Finance VP of Marketing/Sales

-VP of R&D VP of Quality VP of Customer Service

III. Setting up the Simulation Experience - continued


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IV. EXAMPLE : TEAM STRUCTURE AND ROLES

4 members per team with 8 decisions

PRESIDENT1. Chair board meetings & lead the management board.

2. Ensure development of company mission and strategic plans.

3. Ensures all decisions are made on time.

4. Spokesperson for the company and gives summary presentation of

lessons learned at the final overall ELDP meeting on behalf of the team.

5. Responsible for Research & Development investment (since no VP

R&D)

V.P. of FINANCE & Management Board .1. Recommendation & achievement of financial objectives.

2. Assessment & impact of General Economy and Industry.3. Evaluation and forecast of cash flow and profitability.

4. Support other team members with financial analysis

5. Recommend tactical simulation decisions for capital investment (plant size)

V.P. of OPERATIONS & Management Board1. Recommendation and achievement of Operations Objectives.

2. Assessment of plant capacity utilization, productivity, and cost efficiency.3. Recommends tactical simulation decisions for production level, process

improvements/quality and training investments.

V.P. of MARKETING/SALES & Management Board1. Recommendation and achievement of sales objectives.

2. Forecasting of sales both short and long term (1 to 3 years).

3. Evaluation of company and competitor pricing, advertising.

4. Recommends tactical decisions for price, advertising and e-commerce.


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V. General Simulation Steps for Each Team

1. Evaluate internal & external environment.

2. Forecast market demand and supply.3. Formulate strategic objectives

4. Develop short and long term strategies (short term

is next 1-2 quarters and long term is next 2-3 years).

5. Enter simulation decisions on line.

6. Obtain results, and repeat steps 1-5.

General Group Discussion: Can occur after each session or watill the wrap up session indicated below.

Wrap Up Session Lessons Learned Presentation by EachTeam or Selected Teams

*How they dealt with risk and uncertainty in decision making*Utilization & importance of financial analysis to make decisions.

*How the key strategies and tactical decisions were negotiated.

*Collaboration and teamwork issues

*Impact of forecasts on company performance


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VI. NEXT STEPS

for


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Biographical Summary of the Author of the Simulation

Dr. Steven Gold, President of Gold Simulations is a professor of

economics in the College of Business at the Rochester Institute of

Technology, and department chair of Accounting and Finance. He

has been active in the development of economic and business

simulations for use in the classroom and in industry. He is the

author of 4 computerized simulation games and has published over

24 referred journal articles and proceedings in the field of simulationand gaming. The first commercially available microeconomic

simulation in the nation, MICROSIM, was published with Macmillan

Publishing Company in 1984. His other published simulation games

include: Decide-POM: Decision Exercises in Computer Instructor

Designed Environments in Production and Operations Management

(with McGraw-Hill); Astute Business Policy (with SHR Associates),

and currently Beat The Market: An Interactive Microeconomic

Game (with Gold Simulations, a company he founded). Dr. Goldwas past President of the National Association of Business

Simulations and Experiential Learning (ABSEL). He has presented

his research abroad at the International Simulation and Gaming

Association in Weimar, Germany, and as a lecturer at Scheffield

Polytechnic Institute in England; and the Czech Republic.

APPENDIX

Engineering Leadership Development Program

Documents

Transcript of Engineering Leadership Development Program