Andri Bagus Nugraha - 29111318 - Balance Scored Card

Name: Andri Bagus Nugraha NIM: 29111318

Balancing the corporate balance scorecard

After playing this simulation I have already know about the aspect of balance scorecard in Technology Company. It was different from the other because in technology company has rapid development product, recruiting and training the technology talent, making and communicating critical product development decision and also the customer users and segmentation. As CEO of Sentra software which has the problem in profit and revenue gap, I need to do several steps to return its revenue and profit. The first thing to do is to reduce the consultant; it because the user of  the product is the computer well educated (programmer, DBA, etc.) since the product itself is a data mining tools. And after reducing the consultant, I’m adding the PD Effort allocation to 80s end to adding more quality and EOU the product. Well, after adding this numbers I’ve got warned by Phil that

Customer Services are poor which his tips to adding more CS and/or adding the skill and training numbers. Well for the next period, I’m adding the customer service by 3, based on Phil tips, and adding the price

to $90 to increasing the revenue and profit gap, and adding more training value to increase the quality of the employee. Oh yeah my Boss (Steve Tucker) were happy about that, wow.. He said genius to increase the product price (very classic) and revenue gap increase to 8% and profit gap increase to 2%. I’m continuing this step until quarter 4 and the each gap has become 28% and 8%. I’m adding the PD point up to 9 7 and software release version become 2.0 and Sentra become the

leader of Data Mining Software. I’m continuing this until period 7 the revenue and profit gap become better which each has 33% and 12%. And also I’m adding more point to IT Spending/Employee to get increase the release readiness. At period 8.25, bad situation happens at Data Digger (the competitors) which they do layoff the employee. For me it were 2 probability, data digger may do layoff because their market share was taken by Sentra which Sentra has 43% market share among the competitors. And also it is a sign that the

demand in market were going down. After looking the graph, the growth for techie is become lower and lower. It was because the customer service backlog that increasing customer service lead time, the solution is hiring more customer service. And it was awesome, when Data Digger does layoff, I’m adding more customer service to handling

customer backlog and reduce the lead time and Sentra releasing a new version for the software and it’s become 3.0. But the bad news is the sales growth for techie is decreasing to -3%. Why it happens? It because the techie market is saturated and it’s needs to get handled.

What should I do? Well I think if we’re looking at the market segmentation; there are 2 segments which there are techie and GM users. The number of GM sales and presentation is increase year by year. And thinking the market demand is uncontrollable and techie segment is full of uncertainty, we should focus on GM segmentation to increasing the revenue and profit gap. Techie won’t just leave by that. We also

take the remaining market of techie. After 12 periods I get fired, it because I can ’t get the remaining market of techie and the transition to GM market was failed since it wasn’t too optimized. Here’s the log

And the graph

For the graph customer show us the techie sales become lower and GM become higher. T hat’s indicating the techie sales become saturating.

It’s has huge impact to the revenue and profit gap which when the sales rate is down, but customer service and consultant need to be pay and also the infrastructure and product development cost were huge.

And the balance scored card before the saturation and after saturation Before:

After: