by Tom Davenport, Babson University

FOR COURSES IN:

Business Analytics Business Decision Making Business Intelligence Marketing Research Marketing Strategy

Data Analytics Simulation

STRATEGIC DECISION MAKING

Created by Tom Davenport, renowned thought leader on big data, this single-player simulation teaches students the power of analytics in decision making. Acting as the brand manager for a laundry detergent, students are tasked with turning around the brand’s performance by using sophisticated analytic techniques to understand current issues and

determine the best strategy for improving performance. Students will be asked to predict market demand, set the channel price, make formulation decisions, determine promotional spending strategy, and com-municate their strategy effectively to their manag-ers. The simulation makes use of consumer data informed by a multinational consumer goods company.

After reviewing the dashboard, students dive deeper into the data before making strategic decisions.

PLAYING THE SIMULATION

First, students analyze a dashboard that provides metrics on market share, profitability, competitor pricing, and demand by geographic region. Students then dive deeper by reviewing reports and manipulating demographic filters to drill into data segments by income, ethnicity, household size, region, and age.

After reviewing all screens and reports, students devise their strategy by forecasting demand and then make decisions on production, pricing, positioning, promotional spending, and communication activities. Students review their results and make 3 rounds of decisions based on their analysis and resulting performance of prior years.

Data Analytics Simulation: Strategic Decision Making

hbsp.harvard.edu

ADMINISTRATION TOOLS ON NEXT PAGE ➜

Students develop a strategic plan, make choices, and communicate their strategy in the Make Decisions window.

STRATEGIC DECISION MAKING

Over 4 simulated annual cycles, students make decisions about various factors they can manipulate in the simulation. These decisions include setting prices, determining which formulations of Blue detergent to produce, picking attributes to emphasize in marketing, predicting demand to determine how many units to produce, and allocating marketing and media spending. Between each annual cycle, students learn the impact of their decisions. They can then communicate their overall strategy in a short, open-ended text box.

Students select from available reports on the left and adjust the filters on the right to analyze specific segments of market data.

Product #7050 | Single-player | Seat Time: approximately 60 minutes | Developed in partnership with Forio Online Prin

ted

on re

cycl

ed p

aper

.

P

rodu

ct #

M00

108

MC

1957

2021

6

The Overview screen provides high-level reporting of user results, with several metrics.

A Preview of the simulation is available on our web site at hbsp.harvard.edu.

A Free Trial allows full access to the entire simulation and is available to Premium Educators on our web site.

Premium Educator access is a free service for faculty at degree-granting institutions and allows access to Educator Copies, Teaching Notes, Free Trials, course planning tools, and special student pricing.

PREVIEW AND FREE TRIAL ACCESSVisit hbsp.harvard.edu

■ Marketing Simulation: Conjoint Analysis Simulation #515713

■ Marketing Simulation: Managing Segments and Customers V2 #7018

ALSO AVAILABLE

Administration Tools for Faculty

AUTHOR INTRODUCTION AND DEBRIEF VIDEOS

A series of author videos helps instructors understand, prepare for, and debrief the simulation. These include a live recording of author Tom Davenport in his own classroom.

DYNAMIC DEBRIEF SLIDES

Instructors can download presentation-ready debrief slides that include class results.

SIMULATION DEBRIEF

The administrator Overview screen provides high-level reporting of student results, the Best Scores screen tracks user progress and results per run, and the Settings screen allows the administrator to assign configurations such as run limits and status.

Customer Service and Tech Support are available 24 hours a day, 7 days a week.

Customer Service 1-800-545-7685 (1-617-783-7600 outside the U.S. and Canada) custserv@hbsp.harvard.edu

Technical Support 1-800-810-8858 (1-617-783-7700 outside the U.S. and Canada)techhelp@hbsp.harvard.edu

A comprehensive Teaching Note covers key learning objectives, including:

■ Illustrate that understanding underlying factors and segments within the data will help students develop a coherent marketing approach over several years.

■ Show students that analytics and decision making are iterative processes and that after each new decision there is typically new data to analyze and understand.

■ Suggest that successful financial performance is the result of several possible factors and combinations of factors—rarely is there one single explanatory variable that explains an outcome.

■ Communicate that all predic-tions and forecasts are based on probabilistic assumptions, the result being a range of possible results.