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Littlefield Game: Group B01

Team Details: Group No. 1(Section B) Nachiket Deshmukh (129278068) Nikhil Pokharkar (129278094) Pranavi Jakkam (129278092) Archana Choudhary (129278066) Gaurav Kataria (129278102) Final Position: Number 1
We had kept all the concepts covered in class in our mind to play the game. The key concepts according to us were: Process Analysis Capacity Utilization Bottleneck Identification Impact of bottleneck on performance of overall process Importance of maintaining utilization and queue levels at desired values

The most important part of this game was capacity planning. We had studied the document in detail and understood the product life cycle. The product was electronic and had a short life cycle. Its life cycle was about nine months (around 268 days). Like most of the electronic items, the product demand grew at a linear rate in initial phase, then it stabilized and then again declined at linear rate. We decided to do capacity planning at long term level (entire life cycle). We found out that bottleneck was going to be station 1. Our initial estimation suggested that around 4 machines would be needed at station 1 with 4th machine needed just at the end linear growth phase. The decision of purchase of 4th machine, hence, was to be taken in later stages of the game. Three machines, however, would be definitely needed. For station 2 and station 3, our analysis of utilization suggested that 2 machines would be needed from around 3rd month till about 7th month. However, it was decided that decision of an additional 3rd machine would be taken only during peak season. Hence, we purchased one machine at each station 1, 2 and 3 by end of second month (60th day). Then, we kept on observing following graphs closely: Utilization levels at each station Queues at each station

During peak season (5th and 6th months), we calculated utilizations at each station. Utilization levels were: Station 1: 0.749 with a standard deviation of 0.21 Station 2: 0.385 with a standard deviation of 0.13 Station 3: 0.367 with a standard deviation of 0.17

Hence, we decided to go ahead with only 2 machines at station 2 and 3. And then, in last phase when demand was supposed to go down on linear way, we estimated utilization levels of station 2 and 3 of 0.19 each with two machines. So, we calculated that one machine would be sufficient in last 2.5 months. Hence, we sold one machine each from station 2 and 3 in the final stages of the game. Now, for station 1, decision was challenging. We calculated that 3 machines would be needed even during later stages of the game and only in the last 1 month, machine requirement would drastically reduce from 3 to 1. Hence, we decided to keep all three machines. However, there was a span of 20 days when utilization would go to level of 1 for station 1. There was a possibility of adding a fourth machine and selling it during 7th month. This would need total investment of Rs. 80000 (90000 - 10000). Hence, if machines would have generated revenue of at least Rs. 80000; it would have been wise to invest in fourth machine. We decided not to take the risk as demand would start declining. These decisions really helped us to maintain a strong position in the game. And looking at business in the long term (overall life cycle of the product) helped us to maintain first position in the game.

Summary of our purchase/sell transactions: Day 57 59 59 91 217 217 Parameter station 1 machine count station 2 machine count station 3 machine count station 1 machine count station 3 machine count station 2 machine count Value 2 2 2 3 1 1

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