Management – Production

• Production
• Production Management

Production

Production is a very exciting option in Virtonomics. With a vast choice of available industries, you can establish a huge vertically integrated company with its own supply chain.  The finished goods are sold to the enterprises of real participants of the simulation. 

For high-quality production, you will need a high level of technology (see factory’s «Technology» tab), equipment based on the technology requirements (purchase of equipment is done on the homepage of the factory), and employees and appropriate skills. The system will give hints on the required level of equipment and employees. You will also need the right amount of raw materials. If you strive for a successful production business, make sure you have all these requirements met. 

A sample production report:

Take a closer look at the following factors (for example): 

• Before the production processes started there were 55 motorcycles of 5,73 with a prime cost of 839,34 available at the warehouse.  Every game turn the factory produces 5 motorcycles of 2,46 quality with the prime cost of 9222,72. When newly produced motorcycles are transferred to the warehouse for sale, their quality will be the average of the two. It will happen every game turn. Bear in mind the quality of the newly produced goods when setting the selling price.   
• The conditions of the contract state that the motorcycles can be sold to any customer. There are 55 units available for delivery, but the maximum purchase volume, however, is 5 units.  This will ensure the availability of the products in the warehouse. The occupancy of the warehouse is less than 2%, which means that there is enough space at the warehouse, and you will not need to use external warehouses. 

Production Management

Before opening a factory, conduct competition analysis, evaluate their technology level, the quality of manufactured goods, prices, sales volumes and key buyers.

Make sure your factory has enough employees and the right equipment. Pay attention to the wear and tear condition of your equipment and repair it on time.

Keep an eye on the suppliers with the best offers, the changes in the prices and quality, the supply delivery limitations per game turns.

You can order from one supplier or several. You can store some amount of raw materials in case of product delivery failures. But it will put some of your assets on hold.

Improve your production business by selecting business boosters (on the factory‘s homepage.).

Manage your sales volumes — sell only to your own subdivisions, to the companies of particular players or make your products available for purchasing to every participant of the simulation.