Name : Abhinav Mittal Registration No.

: M001-21

Strategy Simulation : Delta-Signa Case Study

Strategy Choice : Product Innovation

Rationale :
Delta/Signal should follow a niche-supplier innovation strategy that will allow us to charge a price premium for our products a
One of the most crucial success criteria for keeping a strong competitive position in the car market is [innovat
The innovative value proposition might attract a higher price by focusing on manufacturers and other suppliers in this market.
To ensure long-term sustainable success, an innovation strategy centred on specialised suppliers should be followed.
 : M001-21

e premium for our products and maintain protection for our intellectual property.

ther suppliers in this market.

should be followed.
Rationale:
Innovation will increase customer's perception of the company
Improve Employees' capabilities
Design High Quality products
Design High Performance products
Align R&D with strategic initiatives
Leverage Supplier Technology
Become expert in product design innovation
The main goal was to start with projects focused on internal procedures, then move on to learning and growth to create organ
product innovation.
Once the organisation had the necessary skills, the focus shifted to reaching out to additional customers and creating a brand
innovative supplier through investments in trade exhibitions, marketing campaigns, and other initiatives to boost customer sa

As a result, the early rounds of investment were in R&D Engineer Training, Monitoring Technological Product Trends, R&D: Ap
Technologies, Supplier Optimization Program, R&D Initiative: Wear-Resistant Parts to increase product quality by boosting lab

Gradually the focus of expenditures shifted to New Technology Customer Trade Show, "High Quality" Trade Marketing Campa
Initiative to increase customer impression of the company as a high-quality supplier. Then, during Customer Contentment Pro
Asked" Replacement Policy is used to promote customer satisfaction.

All of these initiatives improve overall customer satisfaction and lead to an overall increase in the company's revenue and fina
Customers R1 R2 R3 R4 R5
C-4 ✔ ✔ ✔ ✔ ✔
C-5 ✔ ✔ ✔ ✔ ✔
C-8 ✔ ✔ ✔ ✔ ✔
C-11 ✔ ✔ ✔ ✔ ✔
C-13 ✔ ✔ ✔ ✔ ✔
C-15 ✔ ✔ ✔ ✔ ✔
Internal Processes
P-5 ✔ ✔ ✔ ✔ ✔
P-8 ✔ ✔ ✔ ✔ ✔
P-11 ✔
P-12 ✔ ✔ ✔
P-16 ✔ ✔ ✔ ✔ ✔
P-19 ✔ ✔ ✔ ✔ ✔
Learning & Growth
L-1 ✔ ✔ ✔ ✔ ✔
L-13 ✔
L-17 ✔ ✔ ✔
L-18 ✔ ✔ ✔
L-19 ✔ ✔ ✔ ✔ ✔
L-21 ✔ ✔ ✔

Analysis
For Customer my initiatives were constant throughout.
The major changes were done in Internal Processes and Learning&Growth
My EPS started dipping in R2 and R3 and in order to increase that L-17 and L-18 bo
for R4 which showed EPS in the positive as seen in the bar chart below
P-11 (R&D process initiatives) were introduced in R5 to focus on the innovation
and quality and increase EPS further
There was no such need to make any major changes in my strategy as my sales wer
EPS was improving. EBIDTA was on the rise
and Stock Market value peaked at $109.46

Room for Improvement

As my Stock Market value per share reached $109.46 in R7
I should have made no changes in the simulation but just to improve a metric I mad
which caused a dip in my Stock market value from 109.46 to 97.47 which affected m

Result
The improvement of internal procedures and learning and growth was
first prioritised over increasing financial KPIs.
However, proper internal procedures and customer-related activities
were implemented throughout the second part of the process to improve financial
Final Buyout Price: The buyout price was $121.31, compared to the final
stock market value per share of $97.47. The CEO had a wonderful performance,
and I would give him a perfect score of 10.
Financial Metrices

ML-11
Significant expenditure was made in IT mordernization: activity
based costing system in order to increase understanding of product cost.

MC-5
Investment in an innovative trade marketing effort was launched
from the start in order to enhance the company's reputation for
innovation.
A varied R&D collaboration programme was also undertaken in order to increase it
MC-6
Investments were made to advance the reputation for sticking behind quality throu
 R6 R7 R8
✔ ✔ ✔
✔ ✔ ✔
✔ ✔ ✔
✔ ✔ ✔
✔ ✔ ✔
✔ ✔ ✔

✔ ✔ ✔
✔ ✔ ✔
✔ ✔ ✔

✔ ✔ ✔
✔ ✔ ✔

✔ ✔ ✔
✔ ✔
✔
✔ ✔ ✔
✔ ✔

d Learning&Growth
crease that L-17 and L-18 both were chosen
bar chart below
o focus on the innovation

my strategy as my sales were improving

ust to improve a metric I made a change

.46 to 97.47 which affected my result

and growth was

lated activities
process to improve financial metrics.
mpared to the final
wonderful performance,
ng of product cost.

rtaken in order to increase its uptake.

sticking behind quality through programmes like the "No Questions Asked" Replacement Policy.
Key Learnings

The general strategy stayed the same in both the practise and gaming rounds, however several goals were modified after the
This convinced us that course modifications are necessary when required metrics don't perform as anticipated.

A strategic map has been created to examine how the chosen approach will function to meet predetermined goals. It was use
determining the steps that need be taken to achieve the intended results while aligning the strategy that was decided.

Selecting the appropriate goals for each part of finances, clients, internal operations, and learning and growth

Recognized the value of concentrating on a certain strategy, creating initiatives that are linked with the plan, and continuously

Each phase of the budget allocation process took into account the chosen metrics and objectives, and course adjustments wer
goals were modified after the practise round.
as anticipated.

edetermined goals. It was useful in

tegy that was decided.

ng and growth

with the plan, and continuously investing in those efforts to build a competitive edge.

s, and course adjustments were made along the way to meet the overall strategy.