MIT15 772JF14 Lec03

Beer Game Results
1
Muddy Charles Inventory
150
retailer
retailer
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
-50
-100
-150
2
150
distributor
distributor
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
-50
-100
-150
3
150
wholesaler
wholesaler
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
-50
-100
-150
4
150
factory
factory
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
-50
-100
-150
5
Muddy Charles Inventory --- total cost = $3601
150
retailer
wholesaler
100 distributor
factory
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
-50
-100
-150
6
Muddy Charles retailer orders
40
retailer
35
30
25
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
7
Muddy Charles wholesaler orders
wholesaler
40
wholesaler
35
30
25
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
8
Muddy Charles distributor orders
distributor
40
distributor
35
30
25
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
9
Muddy Charles factory orders
factory
40
35
30
25
20
factory
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
10
Muddy Charles orders
40
35
30
25
retailer
20 wholesaler
distributor
factory
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
11
75 Ali baba retailer inventory
60
45
30
15
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 retailer
-15
-30
-45
-60
-75
12
75 Ali baba wholesaler inventory
60
45
30
15
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 wholesaler
-15
-30
-45
-60
-75
13
75 Ali baba distributor inventory
60
45
30
15
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 distributor
-15
-30
-45
-60
-75
14
75 Ali baba factory inventory
60
45
30
15
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 factory
-15
-30
-45
-60
-75
15
Ali Baba Amazon Inventory -- total cost = $2219
75
60
45
30
15 retailer
wholesaler
0
distributor
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
factory
-15
-30
-45
-60
-75
16
Ali baba retailer orders
50
45
40
35
30
25
retailer
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
17
Ali baba wholesaler orders
50
45
40
35
30
25
wholesaler
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
18
Ali baba distributor orders
50
45
40
35
30
25
distributor
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
19
Ali baba factory orders
50
45
40
35
30
25
factory
20
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
20
Ali Baba Amazon Orders
50
45
40
35
30
retailer
25 wholesaler
distributor
20 factory
15
10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38
21
22
23
24
25
26
27
Project Ideas
28
Strategies
• Work in teams – we might enlist an LGO student(s)
• You propose your own project

– Research
– Start-up
– Other connections
• We propose project
– Not necessarily clear cut
– You are still the “entrepreneur”
– Take it as far as you want
29
Air Liquide
• Explore feasibility of delivering Oxygen to
hospitals in developing countries
– Choice of technology
– Design of supply chain; make-buy choices
– Business model, including financing
– Cameroon and Ghana are possible target markets
30
ARTI- Tanzania
• How to improve the operation of new production
line for Ag-waste charcoal briquettes
– Grinder
– Mixer
– Extruder
• Likely to require consideration of upstream and

downstream operations
• D-Lab scale-up partner
31
WeCycler
• As the business continues to expand, a project
could:
– Look at how to achieve more efficient routing of
vehicles
– Examine how to improve customer retention
32
Ghonsla
• Examine transportation of product (insulation
panels) from manufacturing facility to sales
region
• Focus on cost and time
• Likely to require consideration of upstream
and downstream operations, which are linked
by the transportation

33
Organic Waste processing with BSF
• Mapping of supply chain
• Make – Buy choices
• Cost modeling
34
MIT OpenCourseWare
http://ocw.mit.edu
15.772J / EC.733J D-Lab: Supply Chains

Fall 2014
For information about citing these materials or our Terms of Use, visit: http://ocw.mit.edu/terms.

MIT15 772JF14 Lec03

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Beer Game Results

• You propose your own project

– Cameroon and Ghana are possible target markets

• Likely to require consideration of upstream and

• D-Lab scale-up partner

• D-Lab scale-up partner

15.772J / EC.733J D-Lab: Supply Chains

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