class%2016-18%20Beer%20Game%20Instructions-Handout

class%2016-18%20Beer%20Game%20Instructions-Handout - The...

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The Beer Game Simulate a simple beer distribution supply chain with a retailer, a wholesaler, a distributor, and a factory Sit with all your group members in a line 4 people in a group, each takes the role of one of the above 4 positions Join/merge with other groups if your group has less than 4 people If 5 people in a group, the spare one can act as the supply chain manager… Listen carefully for instructions (important!!)
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Beer (1 clip = 1 case) flows from right to left Retailer b Wholesaler b Distributor b Factory Information (Post-It notes) flows from left to right Retailer B Wholesaler B Distributor B Factory Request
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The Beer Game Players Retailer, Wholesaler, Distributor and Manufacturer Goal Minimize system-wide (chain) long-run cost Information sharing: Only through orders Demand Unknown Costs Holding cost: $0.5/case/week Penalty cost: $1.00/case/week Leadtime 2 weeks order processing delay 2 weeks shipping delay Play the game for 25 weeks
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class%2016-18%20Beer%20Game%20Instructions-Handout - The...

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