UNISIM II

The Background  

UNISIM II is a business simulation that demonstrates the importance of management decision-making in the context of a competitive marketing situation. Decisions need to be made of aspects of production, marketing, selling, finance and planning. The simulation also involves the negotiation of suitable wages and conditions for the workforce and coping with random factors and events.

The original UNISIM used an interactive computer model, which was developed by a team from Unilever. The more recent UNISIM II, whilst based on the algorithms used in UNISIM has been completely rewritten and updated. The copyright of UNISIM II is held by the Industrial Careers Foundation (ICF).

A feature of the original UNISIM model was its realistic reaction to individual company decisions and market wide factors, all of which affect the market as a whole and thus the performance of all the companies. This realism has been maintained in the updated UNISIM II.

A number of variations of the model have been developed, those used most regularly include scenarios based upon the chocolate, bicycles and fashion industries. In these scenarios each company manufactures products, which it distributes to small specialist shops and large retail stores. It is not selling direct to the consumer.

Normally each company is in competition with 5 other similar companies for the available market.

At the beginning of the simulation each team has taken over a company with its complete stock, factory, lines, production teams and sales and office staff. The previous management has run it for 1 year. Typically the new management teams will then run their companies for a further 2 years.

Objective

Each company tries to make the most profit using the capital employed and the most successful company is the one that has the highest return on capital assets expressed as an annual percentage.

To win, a team must have its whole factory intact with lines producing its products. At the end of the event none of the workforce must be in dispute with the management.

Decision-making

Each team makes its decisions each period (1 quarter of a year) by filling in a decision-form. Depending upon the situation this will either be either completed by hand or electronically. During the time allotted for the decision the companies may send a representative to the UNISIMII Simulation Manager for their market to seek advice or negotiate terms.

The results of the companies' decisions are returned as "Marketing and Sales Information" and "Financial & Managerial Accounts". Hints as to changes in the economic climate, important Health and Safety issues etc. will come in the form of cryptic messages. It is important that the teams look out for these.

Every team is given a unisim manual, where they will find detailed help and advice on the decision-making process and the associated rules.

The UNISIM Simulation Managers

A very important role in UNISIM II is played by the Simulation Managers. Typically this team will be formed of designated students from the schools or colleges involved. Whilst being members of the overall team responsible for the efficient operation of the simulation, the UNISIM II Simulation Managers have specific responsibility, normally in pairs, for a market of 6 companies. The UNISIM II Simulation Managers have three roles:

  1. To run the simulation by processing the company decisions and having the results ready to a tight schedule.

  2. To help on any technical points.

  3. To act as a negotiator in four main ways:
  • As the trades union representative on behalf of the staff.
  • As the commodity wholesaler over raw material and packing prices.
  • As a judge of ideas for advertising, sales promotions or other innovations that will help to increase sales of the companies' products.
  • As the provider of market research, at a cost.
 The UNISIM II Package

The flexibility and versatility of UNISIM II is such that for schools, colleges and other organisations to gain the maximum benefit, the ICF specifies that the simulation is offered as a fully serviced bespoke package - rather than merely selling the software itself.

Challenge Training Partners therefore use this approach. UNISIM II is much more than a computerised business game, it combines the realism of the unisim model with a number of other extremely strong features, such as:
  • One on one negotiation with the trades union over terms and conditions for the company's production and sales workforce.
  • Negotiations on raw materials, packaging, warehousing costs, interest rates etc.
  • Opportunities to design and develop innovation marketing material and strategies.
  • Use of enterprise and entrepreneurial skills through ideas for the future of the companies.
A typical package would include:
  • Manuals for everyone involved.
  • Training for the Simulation Managers. 
  • Provision of all software, forms etc.
  • Briefings for everyone involved.
  • Overall operation of the simulation

UNISIM II and your business

UNISIM II is a "fully fledged" business simulation. It is not a "dumbed-down" model for use in schools.

UNISIM II therefore provides an excellent simulation for use on training course and seminars. Typical uses recently for UNISIM II in this way have been as part of a graduate trainee induction programme (PriceWaterhouseCoopers), and as a tool to raise commercial awareness whilst providing a spine activity at a Leadership Event (Barclays Bank)

UNISIM II is highly flexible and can readily be adapted to meet specific requirements and constraints. 

Tailoring UNISIM II to meet your specific needs

We always welcome the opportunity to develop simulations "tuned" to suit the specific needs and interests of individual clients, be they schools, colleges, universities or businesses.

We work closely with our clients, extensively re-writing the model if necessary, to make the simulation relevant for the context in which it is being used.

If you have a specific requirement for a market-driven business simulation that can be used to raise awareness in any or all of the following:

Finally, for more information about the UNISIM II Package please contact:      

 Andy Clayton  

Tel: 01254 246373
Email: andy.clayton@ct-partners.co.uk

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