This week’s problem lies around the struggles I went through as the marketing director, given the fact that we’re broke as heck and we needed to allocate money to areas that are just as important as marketing/advertising. Having to decrease and allocate a logical amount towards our advertising was rough for me this week mainly because we released our commuters product. Simple words, main problem this week: decreasing costs.
ANALYSIS OF THE PROBLEM:
For the last two or three learning journals, this has been the same problem. But, this is only because each week something bad happens for our team. It is either 1. We have no money, 2. We have no money or 3. We still have no money. This has been making it extremely hard for myself to calculate amounts needed that would be most effective.
Starting last week, we made significant cuts to our advertising budget. Why? Because it turns out, out of all firms, we were spending the most on advertising. As a result of the cut, we did have a decrease in sales and overall less wholesale sales rev to work with for this rollover but our SHV did increase. On top of that, I brought up the fact that we still have a commuters product to launch so why not launch it to increase our sales. But of course, me being silly, I did not think about the fact that we would need to allocate money towards advertising for it. It didn’t come to mind because I was already focused on allocating enough for our current products but just when I thought we were good, we were indeed not good. I had to go and change all my figures around which ultimately lead to me spending way less on some products and way more on other products hoping it will work in our favour, based on the demand of each bike.
FORMULATION AND TESTING A TENTATIVE THEORY TO SOLVE THE PROBLEM:
This whole simulation has been a game of testing and praying for the best. I reckon you only know what you’re really doing if you’re in team Sugma (great job, jeez). I think this whole semester, trying new things and learning about what went right and what didn’t go so right is something that we can all benefit from. Realising that we were spending too much on marketing/advertising was a big wake up call. Looking back, it makes me think about what was going on in my head (obv nothing) when I allocated such large amounts to advertising. So, a theory I have been trying out since last week is minimising costs where possible and pushing out the products that give us more bang for our buck. I think doing this has made our products more effective and it is something that has helped the team quite a lot I reckon and I’m very proud of that. We may have been a little late to the party (with our SHV increasing) but we still got there eventually.
A review I got from Pearl Hans last week got me thinking (thanks Pearl). She mentioned that a way to solve this problem would be by asking yourself "If I could go back and repeat this week, what would I have done differently to ensure the problem does not occur". And I think looking back at our team 3 weeks ago, I would definitely say I could have changed a lot in terms of being more open, doing more research and asking more questions.
Brooks & John (2018, p.62) talk about how asking questions is quite vital. I agree with this very strongly. In the beginning of this whole simulation, I was so eager to go to the labs with my group because that way, we were able to ask Peter questions, and get guidance so we knew we were on the right track. Consequently, the team and I did not do this and I did not manage to email Peter personally either to get more of an insight on whether what I was doing, as the marketing director for my team, was too much, too little or just right. However, with recent research showing that asking questions achieves great learning and impression management (Brooks & John, 2018, p.63), I have taken full advantage of this in labs and asking Peter, as well as my team, questions to make sure what I am doing is on par with everything else and I have learnt that this helped so much and is something that needs to be considered in the future where applicable.
With only a 3 more rollovers left to go, anything can happen and that is something that needs to be at the back of everyone’s mind. Given our teams' position and where we sit on the leaderboard, we cannot take any big risks anymore and me being the marketing director, I am going to keep focusing on what I have been doing as it seems to be working in our favour. In Managing Oneself, the article by Drucker (2005, p. 102), it is stated that to find your strengths, feedback analysis is crucial. It is where you take note of what you do and what you expect to happen from those actions. I won't exactly state what my next few plans are of course, but hopefully we can get our SHV above $5 (dream big hahaha)
Brooks, A., & John, L. (2018). The surprising power of questions. Harvard Business Review, 86(3), 62-63. Retrieved from http://search.ebscohost.com.ezproxy.auckland.ac.nz/login.aspx?direct=true&db=buh&AN=129192448&site=ehost-live&scope=site
Daudelin, W. M. (1996). Learning from experience through reflection. Organizational Dynamics, 24(3), 36-48.
Drucker, P. F. (2005). Managing Oneself. Leadership Perspectives, 83(1), 102. doi:10.4324/9781315250601-24