Balanced Scorecard
Comp-XM uses a Balanced Scorecard for simulation scoring. A Balanced Scorecard is a common analysis technique that allows companies to gauge their current performance and formulate future goals. Balanced Scorecards are divided into four areas:
• Financial • Internal Business Process • Customer • Learning and Growth
Each Comp-XM Scorecard is built from criteria which are assigned a weight– a level of importance. Criteria, weights and results for each round, and criteria, weights and results for a fi nal overall scorecard, are available from the Dashboard.
As you enter decisions in the Comp-XM Spreadsheet, projections of the Balanced Scorecard results for the upcoming year are available via the proforma menu. Scores from previous years are available on the website; login to your simulation then click the Results/ Scorecards link.
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Figure 3.1 Material Positioning Costs: These costs vary depend- ing on the product’s relative location on the perceptual map. For example, at the start of Round 1, products placed at the trailing edge of the Thrift segment would have a positioning component cost of $1.00; products placed at the leading edge of the two high technology segments would have a positioning component cost of $9.25. Material component costs drop 3% to 4% per year.
Human Resources
3
Comp-XM uses a straight line depreciation method calculated
over fi fteen years.
3.3.3 Second Shift/Overtime Labor costs increase 50% when a second shift is hired or when the fi rst shift works overtime.
3.3.4 Automation Increasing automation has a linear effect on labor costs. Between an automation of 1.0 (lowest) to 10.0 (highest), labor costs fall approximately 10% for each point of automation.