The Beer Distribution Game

Rules

instructions
  • Check deliveries. Check how many units of beer are being delivered to you from your supplier.
  • Check orders. Check how many units of beer your customers have ordered.
  • Deliver beer. Deliver as much beer as you can do to satisfy demand - in the game, this step will be performed for you automatically.
  • Make order decisions. Decide how many units of beer you need to order from your wholesaler to keep your inventory stocked up and to ensure you have enough beer to meet future demands.

Objectives

instructions
  • Keep your inventory steady. You need to keep your inventory steady to ensure you can deal with fluctuations in demand. Try to reach an inventory target of 250 by the end of the game.
  • Keep your cost down. Both excess inventory and backorders increase your cost. Keep your total cost below €7,800.
  • Keep overall cost down. Excessive order behavior on your part will lead to shocks in the supply chain, which increase overall supply chain cost. Ensure that the total cost of the supply chain remains below €29,300.

Pitfalls

instructions
  • Delays. Your demands for beer may not be fulfilled immediately – your supplier may also be out of stock and will then have to pass is own order up the supply chain.
  • Shocks. Excessive order behaviour may lead to shocks in the supply line, which increases the overall supply chain cost.
  • Inventory Costs. If you order to many units of beer, your inventory costs will rise, because you will need more people to handle the beer and more storage space. The target level of beer units in your inventory is 400 units. Inventory cost you €0.5 per unit.
  • Backorder Costs. If you order to few units of beer, you may not be able to supply your customer with enough beer. Backorders cost you €1 per unit.