Executive Summary
Introduction:
Global Supply Chain Management Simulation is game that player decide the design, demand of forecast and number of production for a cell phone company. The company has two products, Model A and Model B, the latter is more expensive than the former in cost and selling price. The time in the game split into 4 years and, in each year, player has to make decisions for the company. In the end of each year, player will see the financial report and, based on the report, do some necessary adjustments for decisions next year.
Analysis:
Design
At the beginning, we want to be conservative. So we choose designs which have no effect on our cost. Then in coming years, based on our knowledge and information provided by managers, we chose designs which we think are important for customers.
Supplier choose and production
For Model A, we chose “farfar away” supplier, because Model A is a normal item that we wouldn’t suffer huge markdowns in the end of each year. In addition, compared with “far away” supplier, “farfar away” supplier has lower setup cost, though its lead time is longer. But we can order more to manage the stock out issue.
For Model B, we chose “pretty close” supplier in the first year, because we want to choose a lower setup cost option and because Model B is a high-end one that we wouldn’t suffer high stock out cost. In second year, we found that the capacity of “pretty close” doesn’t match the monthly demand. So we switch to “re-vefas” supplier which capacity is 5k larger and we follow this option in the following year.

Recommendation:
First, in the supplier decision for model B, we should recognize the stock out cost is huge. We should choose the larger capacity one as a buffer for stock out issue. Second, after the first year, we should realize that compared with stock out cost, inventory cost is minimal, and should