Companies need to carefully verify the coordinates entered in the Size and Performance cells. They should not enter 0 in these cells to terminate a sensor . Doing so will only create an unmarketable sensor (to terminate a sensor , sell all its Capacity on the Production Spreadsheet). Companies should make sure the coordinates entered fall within a segment circle. If they are outside of all segment circles they will not appeal to any customers and consequently will not sell.
When companies launch an R&D project they will see the project completion date in the Revision Date column. If an R&D project takes more than one year to complete, the company will not be able to start a follow-on project in the following round. Companies cannot start a new R&D project before the previous one completes (the entry cells for that sensor will be yellow- companies will be unable to enter new numbers). Also, the new coordinates will not appear in the next Capstone® Courier (the sensor is still at its old coordinates as of December 31 of the previous year).
Companies need to check Revision Dates carefully. Starting a second R&D project, or changing (on the Production Spreadsheet) the Automation level for a sensor in R&D will change the Revision Date.
The term Age and Perceived Age are used interchangeably. An existing sensor has its Age/Perceived Age cut in half on the day it emerges from an R&D repositioning project. For example, if a sensor with an Age/Perceived Age of 3.6 years is repositioned (revised) today, customers would perceive the Age to be 1.8 years. An R&D project that changes only MTBF (reliability) will not change Age/Perceived Age.
Sensor invention requires four entries: a Size value, a Performance value, an MTBF and a Name. To invent a sensor , enter a name in an NA cell.
Companies need to make sure that the new sensor name starts with the first letter of company's name.
Companies need to be sure to purchase production Capacity and Automation for a new sensor one year prior to the sensor 's release.
During the R&D period, products continue to be produced at their old specifications (Size, Performance and MTBF). On the Revision Date, the sensor begins production at the new specifications. Any products in inventory are reworked to match the new specifications.
Your company must have at least one sensor model and cannot have more than eight.
Each market segment has its own expectations regarding price range. Under most circumstances, if a company prices a sensor outside the expected range they will see a reduction in demand for the sensor . Under any circumstances, if prices are $5.00 above the range, they will get zero sales.
Companies should not confuse the Sales Forecast with the Production Schedule. The Sales Forecast is a tool that drives proforma information. Actual production will be based on information entered on the Production Spreadsheet.
Sensors may only be produced on their own production lines. Companies cannot transfer production Capacity from one sensor to another.
Companies can produce up to 200% of rated Capacity by running a 2nd Shift (or Overtime if the HR module is enabled). Companies cannot produce more than 200% of line's rated Capacity.
To get useful proforma information, companies should match their Production Schedule to the company's Sales Forecast.
There is a one year lag between purchase and use of additional production Capacity and Automation. Buy it this year - use it next year.
Cash from sale of plant Capacity (by entering a negative number in the Buy /Sell Capacity cell) is immediately available.
Entering a smaller number in the Automation cell does not raise cash (company's should watch the Investment row). Entering a new value in Automation incurs a retooling cost, no matter if it is up or down.
New products require Capacity and Automation to be purchased a year prior to release.
Selling all of a sensor 's Capacity will eliminate (discontinue) the sensor . Any remaining inventory will be sold to scrappers at 50% of the cost of production. Selling all but one unit of Capacity allows companies to sell inventory at full price.
Please Note: Stock Issues are not permitted in your simulation.
To get accurate projections of financial demands, companies should enter all decision data on the other spreadsheets.
Brokers charge a 5% fee for issuing Bonds.
Brokers charge a 1.5% fee to retire Bonds early.
The following transactions always occur on the same day (January 1)- paying off debt, borrowing short term (Current Debt), and borrowing Long Term (Bonds).
If companies buy back bonds prior to maturation they pay street value. If companies allow them to mature they pay the face value.
Bond ratings are a function of total debt (the more companies owe, the lower the rating and the higher the interest).
If companies do not adequately cover their financial needs (either because they failed to raise money or their sales did not go as forecasted) they will take an Emergency Loan. An Emergency Loan is an above-market-rate loan that will cover cash shortfall until the next round, at which time it converts to a short term loan (Current Debt).
The sensor 's price was too high or low.
The sensor was not inside the Rough Cut circle of any segment.
The MTBF was too low.
The Production Schedule was set to 0.
If the HR Module is active, Worker Complement was too low and the products were not produced.