Reflecting on this week has been an extremely stressful one. Our team continues to lose cash and go down in profitability and no one in our group seems to understand why.This is my identified problem which will need to be further analysed according to Daudelin (1996).
Our team started off this simulation guns blazing with everything seeming to work out for us. However the past few rollovers have not worked well in our favour. We originally thought we knew what we were doing and understood how each decision impacts our performance, however if that were true, then why has our performance been dropping over the past three to four rollovers if we originally assumed we understood how the simulation works?
Greiner, 1976 talks about 5 phases of evolution and revolution as organisations grow.
Phase 1: Make and Sell
Phase 2: Efficiency of operations
Phase 3: Expansion of Market
Phase 4: Consolidation of organisation
Phase 5: Problem solving and innovation.
I wish I had read the reading by Greiner (1972) earlier as I believe this theory helps to provide some reasons to our problem. Phase 1 was all about making and selling-simple enough and something we executed rather well. Our efficiency was at an absolute high which leads into phase 2. This I believe was the start to our problems. We should have looked to aim toward phase 3 of expanding our market most likely 2-3 rollovers prior to our actions in deciding to do so (Greiner, 1972). This allowed other companies to focus on expanding into the markets first, while we were still happy with what we had made and sold and contented to pursue efficiency, even though our efficiency was generally speaking, achieved already. We should have focused on just consolidating our sound organisation, making incremental changes here and there. However we seemed to become fixated and stuck in phase 3 of expansion of markets which I believe ultimately lost us significant cash.
Reflecting back on this MikesBikes experience we probably should have aimed for phase 4 with at least 3 rollovers to go. So before the double rollover was presented to us we could have seen if our decision of innovating something would be accepted or not. If it wasn't we could have just undone those decisions (to a certain extent) and problem solved something safe and compact to finish off on the double rollover.
Instead we went into a double rollover unsure about our decisions and trying to take risks in different markets unsure of their impact on our overall organisation and SHV value. According to Daudelin you must decide whether to take action or not, but as the simulation comes to its end, there is no longer any opportunity to take action, only reflection on what could have been…should have been.
Overall I have thoroughly enjoyed this simulation experience and rather look to take action in providing a high quality reflective journal come end of the semester.
Daudelin, M. W. (1996). Learning from experience through reflection. Organizational Dynamics, 24(3), 36–48
Greiner, L. E. (1972). Evolution and revolution as organizations grow. Harvard Business Review, 50(4), 37--46.