GROUP2B316
NARRATIVE REPORT
On October 10, 2024, our group conducted a role play on the financial aspects of inventory
strategy and inventory carrying costs as part of our midterm presentation. Our objective
was to illustrate how different roles within a company collaborate to make inventory
decisions that affect both operations and financial outcomes. To prepare, we divided the
team into key company roles such as a business owner, employee, trucking owner, and
customs broker. Each person was responsible for portraying their role in the decision-
making process surrounding inventory management. This division allowed us to simulate a
real-world scenario where different departments must work together to optimize inventory
levels and reduce costs.
We also incorporated a creative presentation format titled "Supply Chain Patrol," a fictional
news program that tackled supply chain challenges within a soda distribution company.
The role-play involved characters such as a distributor, a broker, and a trucking provider,
each discussing the financial pressures they face due to rising costs and operational
inefficiencies. By illustrating real-world supply chain problems, the presentation effectively
highlighted the complexity of managing inventory and partnerships in a cost-efficient
manner.
In summary of our role-play presentation titled "Supply Chain Patrol," we showcased a
fictional news program that highlighted financial and operational challenges in a
company's supply chain. The role-play included interviews with a soda distributor, a broker,
and a trucking partner, along with their employees, to explore real-world issues such as
rising inventory costs, increased brokerage and trucking fees, and inefficient inventory
management. The characters portrayed how business decisions within supply chains—like
inventory management and partnerships with service providers—affect overall costs and
operations. For instance, the distributor, Ms. Azalea, expressed frustration with the rising
costs of maintaining inventory, while her broker and trucking provider explained how
increasing import volumes have led to higher fees. Employees also voiced their concerns
about operational inefficiencies and the direct impact these had on their work, illustrating
the multi-faceted effects of supply chain decisions.
The simulation provided a dynamic way of engaging with financial concepts related to
inventory strategy and supply chain management, which aligns with the objective of
educating the audience about the critical impact these factors have on business
profitability. Also, the interactive nature of the role play helped the class engage with the
financial concepts behind inventory management. After the scenario concluded, we
encouraged the audience to answer a situational quiz that we prepared. This situational
quiz reinforced the learning objectives, as students were able to see the direct relationship
between operational decisions and financial outcomes.
In conclusion, the role play, combined with the interactive format of "Supply Chain Patrol,"
was a successful way to demonstrate the importance of collaboration between different
departments when making inventory decisions. By focusing on both strategy and financial
efficiency, we were able to provide the class with a deeper understanding of how inventory
carrying costs can impact a company’s bottom line.
