April 19th, 2013 Team Digby: Sarah, Paul, Noelani and Rocky Course: BA 152 JD1 Instructor: Dr.

. Connole

Digby Corporation 2021 Annual Report

Table of Contents

Section 1: Letter to Shareholders.Page 3 Section 2: Company Operations..Page 4 Section 3: Financial Data...Page 5 Section 4: Summary and Future StrategiesPage 9 Section 5: Information about Company Officers.Page 11

1.

Letter to Shareholders:

To our Valued Shareholders, The Digby Corporation is a fierce competitor in todays sensor industry. We design, manufacture, market, and sell high-quality sensors for many different companies ranging from medical institutions to touch screen technologies. Our last year of operations has shown a great improvement for our business after an unfortunate decline in sales seven years ago in 2014. When we took this tragic hit to our numbers, the companys department heads created an entirely new five and ten year plan to help get our company back on track. Since this new plan has been implemented, everyone has set aside extra time in their busy schedules to sit down and talk over every decision that is to be made in the upcoming years to ensure that we would not do anything that would threaten our sales again. Gradually we worked our way out of the debt that we had encountered, and in 2021 all our hard work has finally yielded the high returns we have been anticipating. We have nearly doubled our cash position since just the end of last year, December 31, 2020 and our sales have increased by an astounding $160 million over the past seven years. After looking over our numbers, we have determined that we are in a great position to keep steadily growing over the next ten years of operation. Since 2018, all aspects of our corporation have gradually risen, and have yet to take any drops in sales or production. Of course neither we, nor any other company in the industry, can predict a possible drop in market demand due to a recession, but if one were to occur we are confident in our teams ability to adapt and overcome. We realize that being in such a fast-paced industry, our products cannot stay in the market for extended periods of time, and are now in the process of adding a second low-tech product to our company so that we can retire our prized sensor, Daze, who has helped to carry our business from the start of operations in 2013. By phasing Daze out of production, this will make room to start expanding our operations for products that meet the age requirements of our customers with more features available for use. We strive to present to our customers the best products in the industry, and take every amount of feedback from those customers to help create better instruments for their use. Our customers are our most important asset, and without them we would not be here today.

John Doe

Vice President of Operations

2.

Company Operations:

In the first year following the breakup of the monopoly in the sensor industry, Digby Corp emerged as one of six new companies that would compete for the business of the once great sensor conglomerate. From the beginning, Digby has taken great care to develop the best products at the best prices for all market segments that we provide services in. Following the broad differentiation strategy, we anticipated providing multiple product lines in each segment, carefully keeping them ideally positioned to be most appealing to the markets they serve. In the first year we made two leading mistakes, the first being a decrease in the MTFB. We anticipated saving money in the short run by reducing our products reliability, but that proved to have disastrous effects on our products marketability against our competition, and was a key contributing factor to taking on a 10 million dollar emergency loan in the first round. Other key failures in the first year were purchasing capacity in Daze that far exceeded the market growth for the segment and neglecting to prepare a facility for our new product, Daze, which set us back a year in entering the high tech market. The first year as our own company was rough on us and cost our shareholders dearly, but this adversity early on was the catalyst that drove the senior management at Digby to revisit our strategy. We recognized that in order meet our original goals of satisfying the customers needs, we needed to stop playing the corporate game and start being the transparent, reliable, and steady company that we had claimed that we would be in the beginning. The next couple years proved to be extremely difficult at Digby, with many tough decisions, but we continued to put the customers needs ahead of all other numbers and by 2018, our struggle to be a company that served our customers as our mission statement indicates was beginning to reflect in our annual reports. That year we were able to get our ROS, ROA, and ROE to place as some of the highest in the industry, due mainly to our commitment to following our strategy and placing the customer first. In 2020, Digby Corporation was proud to release its second high tech product ahead of schedule thanks to heavy investments in HR and TQM initiatives, providing yet another well positioned product, Dunk, to our customers. Dunks first full year of production was in 2021, and met the customers demands even better than we had anticipated. Digby is very pleased to be able to present this year's financial report to its shareholders, as we feel that we have really strived to fulfil our vision in providing the best products to our valued customers, while continuing to build transparent relationships with our investors, customers, employees and the communities in which we work and live. Looking to the future, Digby is developing another high tech product, Dazzle. Dazzle will be released in February of 2022, also ahead of schedule thanks to HR and TQM investments, and will replace Dizzy in the high tech market. We will phase Dizzy into the low tech, giving us two superior products in each segment in which we can continue to meet the growing needs of our customer base.

3.

Financial Data:

Selected Financial Statistics Summary Our company had a great year in 2021 with one of the leading financial positions in the industry. With $196.6 million in sales and 25.1% of total market share, Digby was a very close second in the industry overall, with many financial standings unmatched by any competitor, period. The nearest of our trailing competitors had little more than half of our sales and market share. Our proven commitment to profitability of the company for the shareholders is clear in our EBIT, which more than doubled from the 2020 $17.2 million to a favorable $36.1 million. Net Income also more than doubled, up from $9.9 million in 2020 to $21.1 million in 2021. Increased sales in both segments gave us a high ROS of 10.7%, a healthy increase from the 7.8% ROS in 2020. Proportionate increases in marketing and production expenditures were a major factor in achieving more favorable financial ratios this year. We were able to improve financial standings all around even with a common size increase in variable costs of 1.6%. Investments in automation during 2021 and a new product for the low tech segment scheduled to come out next year will help reduce our variable costs considerably for 2022. Our asset turnover maintained an impressive 1.78 with only a low inventory carry-over in the high tech segment of $4 million, while some of our major competitors had considerably more inventory carry-over, as much as $46.2 million in one. ROA also increased from 14.9% last year to 19.1% this year, demonstrating the ever increasing profitability of our company, even with major asset increases. This again can be seen in the ROE percentage of 30.5%, up from 23% last year and nearly twice that of the closest competitor. We were also able to bring our SG&A/Sales ratio down to 10.5% from 11.8% last year, a decrease which is not proportionate to increased sales. While TQM initiatives and a major sales increase reflected in an extremely favorable manner on this ratio, we were able to accomplish lowering it compared to last year while increasing period costs by 38.7%. This alone displays the strong communication and hard work of the management teams to bring about effective investments leading to the greatest gains for shareholders.

Selected Financial Statistics For Round 8 (Dec. 31, 2021)

ROS Asset Turnover ROA Leverage (Assets/Equity) ROE Emergency Loan Sales EBIT Profits Cumulative Profit SG&A / Sales Contrib. Margin % Andrews 8.8% 0.94 8.3% 1.6 13.1% $0 $90,023,851 $15,344,290 $7,939,116 $36,829,998 11.1% 25.2% Baldwin 12.0% 1.07 12.8% 1.3 17.2% $0 $207,630,808 $42,610,545 $24,863,254 $100,308,582 9.6% 35.6% Chester 0.0% 0.14 -22.3% -2.2 -48.5% $341,106,226 $35,728,648 ($26,182,396) ($57,612,628) ($141,306,496) 9.0% -51.2% Digby 10.7% 1.78 19.1% 1.6 30.5% $0 $196,584,084 $36,131,467 $21,089,145 $36,645,028 10.5% 32.4% Erie 19.7% 0.54 10.7% 1.2 12.4% $0 $85,176,853 $27,992,439 $16,773,697 $62,485,659 10.8% 49.7% Ferris 3.3% 1.59 5.3% 1.4 7.3% $0 $109,433,590 $7,165,255 $3,659,123 $13,858,395 8.4% 24.0%

Annual Report

Digby 2021 Income Statement

F55198

Round: 8 Dec. 31, 2021

2021 Total $196,584 $63,262 $69,171 $483 $132,916 $63,668 $4,111 $1,746 $5,800 $9,000 $4,022 $24,679 $38,990 $2,858 $36,131 $664 $2,360 $11,587 $430 $21,089 Common Size 100.0% 32.2% 35.2% 0.2% 67.6% 32.4% 2.1% 0.9% 3.0% 4.6% 2.0% 12.6% 19.8% 1.5% 18.4% 0.3% 1.2% 5.9% 0.2% 10.7%

(Product Name) Sales Variable Costs: Direct Labor Direct Material Inventory Carry Total Variable Contribution Margin Period Costs: Depreciation SG&A: R&D Promotions Sales Admin Total Period Net Margin

Daze $76,242 $23,427 $20,134 $0 $43,561 $32,681 $2,080 $384 $1,400 $3,000 $1,560 $8,423 $24,258

Dizzy $65,274 $22,162 $26,324 $483 $48,970 $16,304 $1,073 $298 $1,400 $3,000 $1,335 $7,107 $9,197

Dunk $55,068 $17,673 $22,712 $0 $40,385 $14,683 $958 $64 $3,000 $3,000 $1,127 $8,149 $6,535

Dazzle $0 $0 $0 $0 $0 $0 $0 $1,000 $0 $0 $0 $1,000 ($1,000)

NA $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

NA $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

NA $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

NA $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Definitions: Sales: Unit Sales times list price. Direct Labor: Labor costs incurred to produce the product that was sold. Inventory Carry Cost: the cost unsold goods in inventory. Depreciation: Calculated on straight-line. 15-year depreciation of plant value. R&D Costs: R&D department expenditures for each product. Admin: Administration overhead is estimated at 1.5% of sales. Promotions: The promotion budget for each product. Sales: The sales force budget for each product. Other: Chargs not included in other categories such as Fees, Write offs, and TQM. The fees include money paid to investment bankers and brokerage firms to issue new stocks or bonds plus consulting fees your instructor might assess. Write-offs include the loss you might experience when you sell capacity or liquidate inventory as the result of eliminating a production line. If the amount appears as a negative amount, then you actually made money on the liquidation of capacity or inventory. EBIT: Earnings Before Interest and Taxes. Short Term Interest: Interest expense based on last year''s current debt, including short term debt, long term notes that have become due, and emergency loans, Long Term Interest: Interest paid on outstanding bonds. Taxes: Income tax based upon a 35% tax rate. Profit Sharing: Profits shared with employees under the labor contract. Net Profit: EBIT minus interest, taxes, and profit sharing.

Other EBIT Short Term Interest Long Term Interest Taxes Profit Sharing Net Profit

Stock Market Summary 2021 saw a considerable gain in stock price. Digby common shares closed at $49.18, a $19.27 increase from our last annual report. With an EPS of $6.77 which is a 102% improvement from last year, shareholders can expect to see consistent dividends in the future. Although our policy is typically one of minimal stock issues, issuing $5 million shares in common stock this year allowed lucrative investments in the company, while still keeping our outstanding shares one of the lowest in the industry.

Stock Market Summary For Round 8 (Dec. 31, 2021)

Company Andrews Baldwin Chester Digby Erie Ferris Close $32.12 $64.19 $1.00 $49.18 $43.98 $13.35 Change $10.21 $5.68 $0.00 $19.27 $7.19 $1.36 Shares 2,792,923 4,380,698 5,356,571 3,116,042 4,819,862 5,459,090 MarketCap ($M) $90 $281 $5 $153 $212 $73 Book Value $21.72 $33.02 ($22.18) $22.18 $28.18 $9.21 EPS $2.84 $5.68 ($10.76) $6.77 $3.48 $0.67 Dividend $0.00 $0.50 $0.00 $0.00 $0.00 $0.00 Yield 0.0% 0.8% 0.0% 0.0% 0.0% 0.0% P/E 11.3 11.3 -0.0 7.3 12.6 19.9

TQM Investments Summary TQM investments were scaled back this year. We had already reached our maximum potential with strong investments in the last few years. 2020 saw by far the largest investment in TQM with a total of $6.7 million in expenditures. It was a necessary allocation of funds to keep variable and overhead costs as low as possible. This helped us improve our contribution margin, and increased our market demand as well. As we neared the point of diminishing returns last year in TQM investment, were able to maintain the programs this year which supported environmentally sound practices, personnel training for maximum efficiency and other cost effective practices for a much lower investment of $1.5 million.

TQM SUMMARY For Round 8 (Dec. 31, 2021)

Process Mgt Budgets Last Year CPI Systems Vendor/JIT Quality Initiative Training Channel Support Systems Concurrent Engineering UNEP Green Programs TQM Budgets Last Year Benchmarking Quality Function Deployment Effort CCE/6 Sigma Training GEMI TQEM Sustainability Initiatives Total Expenditures Cumulative Impacts Material Cost Reduction Labor Cost Reduction Reduction R&D Cycle Time Reduction Admin Costs Demand Increase Andrews $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 9.60% 10.19% 8.00% 13.14% 10.94% Baldwin $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $2,500 11.80% 13.88% 40.01% 60.02% 14.40% Chester $20 $10 $10 $0 $0 $10 $370 $20 $80 $20 $540 1.42% 1.54% 0.57% 58.00% 3.62% Digby $0 $500 $500 $0 $0 $0 $500 $0 $0 $0 $1,500 11.51% 14.00% 40.01% 59.62% 13.82% Erie $0 $0 $0 $0 $0 $300 $0 $0 $0 $0 $300 10.61% 13.20% 37.30% 60.02% 14.08% Ferris $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $5,000 11.73% 13.96% 40.01% 60.02% 14.14%

Balance Sheet and Cash Flow Summary The end of 2021 saw a strong cash position for the company of $46.2 million, 92.7% higher than last year which was also a healthy year financially. The increased cash flow in 2020 allowed us to acquire more income producing assets. We also financed a healthy mix of short and long term debt, as well as stock issues. This helped us keep a very satisfactory leverage of 1.6. While seeing a considerable increase of 60.7% in owners equity, we were also able to aggressively take advantage of investment opportunities to stimulate major growth in our company. Relative to the already impressive nearly doubling of our cash position from 2020, our profits increased by an astounding 113%. While net cash from operations tripled in 2021 compared to 2020, necessary plant improvements were only increased by 25%. Investments in plant improvements in 2021 rose to $20 million as compared to $15 million in 2020, and $6.2 million in 2019. As our company becomes more and more profitable, plant improvements will help boost our contribution margin considerably, and allow us an even greater competitive edge. This healthy financial structure allows us a stable position in the market, and sends the message that Digby Corporation has risen to the top, and that we are here to stay.

Annual Report

Digby

F55198

Round: 8 Dec. 31, 2021

Balance Sheet
DEFINITIONS: Common Size: The common size column simply represents each item as a percentage of total assets for that year. Cash: Your end-of-year cash position. Accounts Receivable: Reflects the lag between delivery and payment of your products. Inventories: The current value of your inventory across all products. A zero indicates your company stocked out. Unmet demand would, of course, fall to your competitors. Plant & Equipment: The current value of your plant. Accum Deprec: The total accumulated depreciation from your plant. Accts Payable: What the company currently owes suppliers for materials and services. Current Debt: The debt the company is obligated to pay during the next year of operations. It includes emergency loans used to keep your company solvent should you run out of cash during the year. Long Term Debt: The company's long term debt is in the form of bonds, and this represents the total value of your bonds. Common Stock: The amount of capital invested by shareholders in the company. Retained Earnings: The profits that the company chose to keep instead of paying to shareholders as dividends. ASSETS Cash Account Receivable Inventory Total Current Assets Plant & Equipment Accumulated Depreciation Total Fixed Assets Total Assets LIABILITIES & OWNER'S EQUITY Accounts Payable Current Debt Long Term Debt Total Liabilities Common Stock Retained Earnings Total Equity Total Liab. & O. Equity $10,886 $8,000 $22,425 $41,311 $25,104 $43,995 $69,099 $110,409 9.9% 7.2% 20.3% 37.4% 22.7% 39.8% 62.6% 100.0% $7,144 $6,000 $10,261 $23,405 $20,104 $22,905 $43,009 $66,414 $63,064 ($19,059) $44,005 $110,409 $46,221 $16,158 $4,025 $66,404 2021 Common Size 41.9% 14.6% 3.6% 60.1% 57.1% -17.3% 39.9% 100.0% 2020 $23,985 $10,383 $4,014 $38,382 $42,980 ($14,948) $28,032 $66,414

Cash Flow Statement

The Cash Flow Statement examines what happened in the Cash Account during the year. Cash injections appear as positive numbers and cash withdrawals as negative numbers. The Cash Flow Statement is an excellent tool for diagnosing emergency loans. When negative cash flows exceed positives, you are forced to seek emergency funding. For example, if sales are bad and you find yourself carrying an abundance of excess inventory, the report would show the increase in inventory as a huge negative cash flow. Too much unexpected inventory could outstrip your inflows, exhaust your starting cash and force you to beg for money to keep your company afloat. Cash Flows from Operating Activities NetIncome(Loss) Depreciation Extraordinary gains/losses/writeoffs Accounts Payable Inventory Accounts Receivable Net cash from operation Cash Flows from Investing Activities Plant Improvements Cash Flows from Financing Activities Dividends Paid Sales of Common Stock Purchase of Common Stock Cash from long term debt Retirement of long term debt Change in current debt(net) Net Cash from financing activities Net Change in cash position Closing cash position $0 $5,000 $0 $12,164 $0 $2,000 $19,164 $22,236 $46,221 $0 $10,677 $0 $2,000 $0 ($1,588) $11,089 $3,929 $23,985 ($20,084) ($15,070) 2021 $21,089 $4,111 $0 $3,742 ($11) ($5,774) $23,156 2020 $9,882 $2,865 $0 $2,858 ($4,014) ($3,682) $7,909

4.

Summary and Future Strategies:

Our improved financial position, operations structure, and market share in the sensor industry once again displays our commitment to the company vision of always creating a better product and upholding the highest standards. As we move into 2022 and beyond, our dedicated team is continuously assessing and revising our strategies. Research & Development Department: R&D strategy for 2022 will be to continue to keep our current products at the leading edge of anticipated demands for size, performance and age. With our new product, Dazzle, coming to market in early 2022, we will begin the process of transitioning Dizzy into the low-tech segment. This will enable us to better serve our customers by having multiple strong products to choose from in each segment. By 2025, we will begin a long-term strategy of introducing and phasing out high-tech products in an alternating pattern so that we are continually meeting the latest demands of our high-tech customers. Looking to the future, Digby intends to continue releasing highly effective and reliable products that will truly stand the test of time. Marketing Department: We plan to continue an aggressive spending plan in both our Sales and Promotion budgets in the marketing department for the upcoming years. Now that we have the ability to keep both our high and low tech segments stocked with quality products, we can spend more money to ensure that that our products are reaching the companies that we cater towards. It is of our highest priority to ensure that that our customers are happy with the products that we are producing, and will continue to take their feedback and enhance anything that can feasibly do to make our customers satisfied. Maintaining high customer surveys has always been one of our top priorities, and we will continue to keep that one of our top priorities. The price of our products is an important aspect to both of our segments, and we will always make sure that we are putting out high-quality products at reasonable prices. We had previously mentioned having an awards program put in place for those customers that stick with our company even during those difficult times, and within the next five years we will be developing this program further. For anyone that has purchased through us before, we will start to pair up their orders with items that we feel might be beneficial to them, offering a discounted rate if purchased together. We will also continue to make sure that we are making the most accurate sales forecasts that we can. We know that the industry changes from year to year, and we will not forecast our sales at more than 20% of what our production line is carrying. This will ensure that when we are running the numbers for our possible returns on sales for the upcoming year that we can try to avoid having to take out an emergency loan. This company is not only comprised of ourselves, but also the men and women that invest in and buy our products. We are here to serve our customers and shareholders, and we will do everything in our power to ensure that we are protecting the company and its assets. Production Department: Productions strategy for moving into the next year includes phasing out one of our older products and restructuring to introduce a newer product into the market. We will continue to invest in the plant for our newly introduced product Dazzle and increase automation with each product as budget allows. Over the next 5 and 10 years we will grow capacity to meet the demand that we generate. After our products are well positioned, we will investigate modest increases in automation to their ideal levels to improve margins, but never at the expense of our ability to reposition products and keep up with
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segments as they move across the perceptual map. Productions plans to maintain an overall contribution margin above 33% by reducing labor costs by investing in automation and by increasing productivity index to above 110%. Also, maintaining a plant utilization of 130% for each product is an ideal goal for production to keep our labor costs down. Human Resources strategy for the next round includes keeping our complement at 100% with a recruiting budget of $1000 per product line that Digby has out. Training hours will stay at 80 hours a week to maintain our productivity index above 110%. Over the next 5 and 10 years, Digby will continue to utilize the Human resources module to keep labor costs down and improve margins. Time spent in recruiting and training will only increase the productivity index of employees, which in turn will drive labor costs down. Improving the margin will contribute to Digby being able to keep up with the market in improving size and performance of our products. The Finance Department: Finance strategies in the coming year will continue to ensure that all departments are adequately funded to accomplish our overall company strategy to continue moving towards the leading position in the industry. Investments in R&D, Marketing and Production will be maintained with an appropriate mix of financing through current and long term liabilities, as well as prudent allocation of equities. Along with our increased profits over the last two years, the resulting favorable interest rates allow the flexibility needed to adjust our financial position for optimum growth. We expect to continue providing a strong commitment to each department through good communication and planning to keep costs down while achieving realistic goals in operations, and contributing to accurate forecasting in each department. This year we will strive to achieve a leverage of 2.0 from our current position of 1.6, and in following years maintain a target range between 1.8 and 2.5. We will accomplish this through implementing responsible measures to balance debt and equity. Management will continuously review pragmatic allocation of profits. While using excess funds to invest in company growth, we will at the same time maintain policies for issuing bonds and borrowing funds that will hold our leverage in an ideal position. We will strive to keep stock issues to a minimum, and only retire bonds early if we feel that our financial position requires it. We also plan to implement a policy of yearly dividend issues to maximize returns for shareholders. If there is a large surplus of cash flow due to successful sales campaigns, we will also review options for buying back stock, but never at any time neglecting the number one priority of healthy company growth with profitable returns. Management is confident that the strategy for the coming year can be successfully implemented to facilitate and maintain the growth that we have been enjoying in the last few years. We should see improved products, higher market shares with more satisfied customers, steady growth in production, and an even stronger financial position. We are positioned to take the lead in the sensor industry, and management is committed to nurturing the momentum that is taking us there. Our strategy is geared towards investing in the long term to benefit our customers, shareholders, and the community. With our team of dedicated individuals that has formed a proven winning team, we will work towards the goal of retaining an undisputable leading position in the industry for the next decade and beyond.

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5.

Information about Digby Company Officers:

Sarah - Vice President of Production At the beginning of this class, I thought that the simulation was a bit overwhelming. It was a lot of information to grasp, but as I initially thought, as we played each round the simulation became clearer. What Ive learned from playing the simulation is that keeping to your companys strategy is important to its success. Digby had an emergency loan during the beginning of the simulation that threw us for a loop. But we stuck with our strategy and we were able to pull out of that emergency loan and finish the simulation on a strong point. Towards the end of the semester, I was excited to keep playing and eager to see the results each Monday. I caught myself saying that I wish we had a few more rounds to keep playing! Over all, the class has taught me how to coordinate a group simulation, with members all over the world. We worked well as a team and were able to successfully communicate assignments via email and Google Docs.

Paul - Vice President of Finance I really enjoyed this simulation, and I feel that it is a fantastic tool for putting into practice the concepts covered in my previous business and accounting classes. It was overwhelming at first to get a grasp on all the factors that come into play to research, forecast and make decisions for each round. But as time went on, it all started coming together, and I found myself learning a great deal throughout each round. As I conducted research and consulted with my teammates I found myself learning to look at the company as a whole, and internalizing many previously studied concepts that I had found difficult to
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understand, such as what different financial ratios say about a companys operation and performance, or how each department interrelates and relies on each other to make the best decisions for the company. The competitive aspect really stimulated me, and motivated my desire to do as thorough research as possible, which I also really enjoyed doing. If I had had more time in my schedule, I would have happily invested it in even more research of simulation data and business management concepts for our decisions. I have to say that even though the decision process was relatively simple, you could never research enough to satisfy the need to accurately assess the market, your competitors, and forecast the next round. I feel that this was also a great exercise in teamwork, and it was fun to work with my classmates to troubleshoot our problems and work towards accomplishing our goals. There was certainly a deep impression as well on the importance of formulating a well thought out strategy, and adhering to it. It was always tempting to swing one way or another to chase after short term profits, but I could really see how a strong commitment to underlying principles as stated in our vision and strategic goals paid off for our team in the long run.

Noelani- Vice President of Marketing This simulation was not what I was expecting at all, and it took some time getting used to it. I was really glad that there were a few practice rounds for us to play around with and try and get a hang of what we were doing. I felt very fortunate to be on a team of people that cared very much about the end result of the simulation. The hard work that everyone on my team put in to see this simulation out was amazing. We all worked very well together, were able to formulate the plans that were required of us, and more importantly we all knew what our strategies were and were able to carry them out throughout the entire simulation. We had a very stressful first couple of rounds during the actual game play because we made a fatal decision to set our price at $38 and we most definitely suffered the consequences. However, as odd as it may sound, I am glad we made this failure in the beginning of the simulation and not more towards the end. Because this happened right off the bat, we had the opportunity to fine tune our strategies, set up approximately 5 hours a week of face-to-face time on google hangout, and pull ourselves out of debt, slowly but surely. We definitely came to the conclusion that sticking to our strategy all the way through the game play was an important part to our companies success in the end. Everyones department decisions weighed equally on the outcome of each year of gameplay, and I feel like every did an amazing job working their numbers. I couldnt have asked for better department heads to have worked with this year.

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Rocky- Vice President of R&D The first couple weeks of this class were really intense, trying to learn how to use the simulation felt quite overwhelming at times. The crash we suffered in the first round was actually quite fortunate because in many ways, as it caused us to slow down, dig into the guide, and really think about (and discuss) what we were doing and how to get from where we were to where we wanted to be at the end of the simulation. This grounding experience played a key part in really causing us to try and understand the simulation better, how to manage the different departments, and most importantly how to get all the departments to work together to achieve our goals. (Re) Following our strategy was the key piece in our successful recovery process starting in round 2 all the way through round 8. Seeing the long-term success of sticking to a good strategy really helped me to see the effectiveness of being intentional in planning and consistency.

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