Two weeks ago we were introduced to the SAP ERP Simulation Game. In this game, we had groups that bought and sold bottled water to stores in the German market. This game consisted of 40 days, split into two rounds (class periods). I thought the game was hard because there were a lot of things we had to focus on at once, while the days were flying by. We had 15 minutes, which was the equivalent of 20 days, to raise prices, compare prices, and decide where the six products should be marketed. My team didn’t do so well the first round and we learned what we needed to do to improve our profit, since the game was ranked by profit. However, in the real world businesses are not just ranked by profit. An example of another thing businesses should be ranked by is high margin because it generates high profitability. The higher you set the price over the cost, the more profit you generate.
By the end of the second round, my team came in third place. We learned that communicating was extremely important. By working together, we let each other know where we should raise or lower prices, which areas were buying what products, and the prices all the other groups were setting their products. We had the group member who was in charge of telling all this information sit in the middle so we could communicate better as a team. However, I think my group could have communicated better by looking at the areas better. We focused more on where we should market the different products based on prices. This game showed me that businesses succeed when they work together because there are many changes made in such little time to generate the maximum amount of profitability.
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