Annual Report 2014

Team 1

20
14 Bucamaranga, January 1st, 2015

Innovation Management Game: a serious game for serious

professionals
 Competition 2014

Competitors
Team name Sales
1. Team 2: Warriors 11,7 mln.
2. Team 6: the teacher 11,1 mln.
3. Team 5: HCFA 10,6 mln.
4. Team 1 9,7 mln.
5. Team 4: Macrochips 8,1 mln.
6. Team 3: PIT 7,1 mln.

Your organisation

Sales 2014: €9,7,- mln.

Market share: 16,9%
Sales 2013: €9,4,- mln.

Sales growth: 3%

Position 2014: 4 (out of 6)

Position 2013: 1 (out of 6)

Other rankings
Creativity Innovation Excellence
1. Team 6: the teacher (65%) 1. Team 6: the teacher (65%)
2. Team 1 (60%) 2. Team 3: PIT (63%)
3. Team 5: HCFA (51%) 3. Team 1 (48%)
4. Team 2: Warriors (51%) 4. Team 5: HCFA (42%)
5. Team 4: Macrochips (48%) 5. Team 2: Warriors (38%)
6. Team 3: PIT (29%) 6. Team 4: Macrochips (29%)

Company Valuation
€ 25.807.791 (ranking: 2)
The valuation is based on your sales extended with creatitivy, innovation & unicity scores
 Strategic agenda 2014

Long-term Agenda
Based on decisions over the last 5 years.
Strategic Agenda Competitors
The higher the position of the topic on the Strategic The percentage shows the "Strategic Fit": the extent to
Agenda, the more important the topic is for your which a competitors strategy matches with your
strategy. strategy.

1. 100% - Marketing & Branding 0% 25% 50% 75% 100%

2. 60% - Co-creation
Team 2: Warriors
3. 37% - Social Innovation
4. 36% - Ideation Team 5: HCFA
5. 25% - Entrepreneurship Team 3: PIT
6. 23% - Open Innovation Team 6: the teacher
7. 14% - Technology
Team 4: Macrochips
8. 0% - Business Model Innovation

Short-term Agenda
Based on decisions taken last year
Tactical agenda Competitors
1. 0% 25% 50% 75% 100%
100% - Co-creation
2. 78% - Ideation Team 6: the teacher
3. 77% - Marketing & Branding
Team 4: Macrochips
4. 45% - Social Innovation
5. 32% - Technology Team 2: Warriors
6. 23% - Open Innovation Team 5: HCFA
7. 10% - Entrepreneurship
Team 3: PIT
8. 0% - Business Model Innovation

Strategic Focus
Based on decisions taken last year

11% on radical innovation 82% on in-house innovation

75% on product leadership Unicity Score: 59% 78% on exploration
43% on closed innovation 100% local orientation
 Feedback 2014

Bulletin

We are now in the third round! Not all teams have seen a sales growth in the last round due to weaker economic circumstances than
predicted. Sales growth numbers range between -6% growth (team 3 and 4) and 25% growth (team 2). The team topping the
leaderboard is team 6, with a Business Valuation slightly higher than €29 million, which also includes the scores on creativity, innovation
and unicity. Team 4, who was leading the board last round dropped back to the last spot this round. Budgets range between 55k and
323k for this round. There was 1 successful collaborations this round between team 2 and team 5. Good luck in the next round!

Economic overview past 10 years

6%

4%
Growth/decline (in %)

2%

0%

-2%

-4%

-6%
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Year

Economy (GDP) Consumer Confidence Unemployment

Economic forecast
5%
4%
3%
Growth/decline (in %)

2%
1%
0%
-1%
-2%
-3%
-4%
-5%
T+1 T+2 T+3 T+4 T+5
Year
Economy (GDP) Consumer Confidence Unemployment
 Innovation Funnel and Products 2014

1 year 1 year 1 year

99 50 16 2
35 13 3 1

Sales Market Portfolio

€ 5.189.617,96 1 market introduction(s) based on radical technology

€ 1.338.271,31 2 market introduction(s) based on incremental technology

€ 2.140.876,21 7 existing, stable products

€ 1.035.040,61 4 existing, decreasing products

Collaboration
Collaboration Stage: No collaboration
Collaborator: No collaboration
Projects added (or lost): No collaboration
Costs of collaboration: free in this game
* projects are already incorporated in funnel results. Costs are visible appendix 1
Investment Space for Next Round 2015

This is your investment budget space for next year:

€ 55.121,76
The appendix clarifies the composition of the investment budget.
 Appendix: Financial Overview 2014

Profit and Loss

€ 9.703.806,10 Total Sales
- € 8.248.235,18 Costs

€ 1.455.570,91 Pre-tax Result

- € 407.559,86 Taxes 28%

€ 1.048.011,06 Result after taks

- € 72.778,55 Dividend

€ 975.232,51 Profit

Innovation Expenditures

€ 918.562,73 Budget 2013

+ € 2.926,51 Remainder budget 2012
- € 920.800,00 Expenditures 2013
€ 689,24 Remainder budget 2013

€ 975.232,51 Profit 2014

+ € 689,24 Remainder budget 2013
+ € 0,00 Alliances/Prices/Fines 2014

€ 975.921,76 Budget 2015

a) - € 920.800,00 Expected Expenditures 2015
b) € 55.121,76 Investment space 2015

On page 7 to 14 you can find information on your decisions and investments over the last years. In case of
an unchanged strategy, it will cost you (a), like last year. You can find the actual costs of investing. You've
got (b) to spend.
 Expenditures Marketing & Branding
€0 € 20.000 € 40.000 € 60.000 € 80.000 € 100.000 € 120.000

-- + +++ Guerilla & Viral Marketing

-- + +++ External Branding

-- + +++ Internal Branding

-- + +++ Traditional Promotional Activities

Online Promotions and Social Media

-- + +++
Marketing

-- + +++ Loyalty and Retention Campaigns

Market Analytics & Business

-- + +++
Intelligence

Customer Relationship Management

-- + +++
& Participative Marketing

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Ideation
€0 € 20.000 € 40.000 € 60.000 € 80.000 € 100.000

-- + +++ Suggestion Boxes and Idea Banks

Creative Techniques, i.e.

-- + +++
Brainstorming
Market & Consumer Behaviour
-- + +++
Research

-- + +++ Networking

-- + +++ Trend Research and Trend Watching

-- + +++ Crowdsourcing

Courses on Creative and Innovative

-- + +++
Thinking

-- + +++ Courses on Scenario Planning

Creative and Flexible Working

-- + +++
Environment
Ideation Free Time (i.e. Googles 20%-
-- + +++
rule)

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Technology
€0 € 10.000 € 20.000 € 30.000 € 40.000 € 50.000 € 60.000 € 70.000

Exploring and Participating in

-- + +++
Scientific Research

-- + +++ Experimenting & Prototyping

Technological Research and

-- + +++
Development

-- + +++ Process Innovation

-- + +++ Intellectual Property Research

Courses on Engineering and Product

-- + +++
Innovation

-- + +++ Courses on Industrial Design

Total Quality Management and

-- + +++
SixSigma

Lean Management and Process

-- + +++
Optimalization

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Co-creation
€0 € 10.000 € 20.000 € 30.000 € 40.000 € 50.000 € 60.000 € 70.000

Customization of the design or

-- + +++
production process

-- + +++ Launching Co-Creation Battles

-- + +++ Online Co-Creation Platforms

-- + +++ Crowdfunding

-- + +++ Online or Offline Co-Creation Labs

User Innovation and Lead User

-- + +++
Methodology

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Social Innovation
€0 € 20.000 € 40.000 € 60.000 € 80.000

User Innovation and Lead User

-- + +++
Methodology

-- + +++ Courses on General Management

-- + +++ Courses on Leadership

-- + +++ Community and Team Development

Ethical and Sustainable Corporate

-- + +++
Governance

-- + +++ Talent Development Programmes

Flexible Working Hours and

-- + +++
Environment

-- + +++ Secondary Benefits for Employees

-- + +++ Primary Benefits for Employees

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Entrepreneurship
€0 € 10.000 € 20.000 € 30.000 € 40.000 € 50.000 € 60.000

-- + +++ Available from round 4

-- + +++ Available from round 4

-- + +++ Available from round 4

-- + +++ Available from round 4

-- + +++ Available from round 4

-- + +++ Available from round 4

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Open Innovation
€0 € 10.000 € 20.000 € 30.000 € 40.000 € 50.000 € 60.000

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

-- + +++ Available from round 5

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment
 Expenditures Business Model Innovation
€0 € 10.000 € 20.000 € 30.000 € 40.000 € 50.000 € 60.000

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

-- + +++ Available from round 6

This round: For next round:

█ Current costs -- After budget cutting
+ After small investment
+++ After large investment