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GROT31: A Shareware Program <ASP> GROT INC. (V3.1) General Retail Operations Training (C) 1989, 1993, P. K. Winter, Toronto, Ont. TABLE OF CONTENTS [1] OVERVIEW . . . . . . . . . . . . . page 2 [2] SHAREWARE . . . . . . . . . . . . . . . 4 [3] DISCLAIMER AND AGREEMENT . . . . . . . . 5 [4] REQUIREMENTS . . . . . . . . . . . . . . 7 [5] FILES . . . . . . . . . . . . . . . . . 8 [6] PLAYING GROT [6.1] The Keyboard . . . . . . . . . . 9 [6.2] Beginning the Game . . . . . . . 10 [6.3] Sequence of Events . . . . . . . 10 [6.4] Decision Input . . . . . . . . . 11 [6.5] Reports . . . . . . . . . . . . 13 [6.6] Printed Report . . . . . . . . . 14 [7] HINTS . . . . . . . . . . . . . . . . . 15 [8] REGISTRATION . . . . . . . . . . . . . 18 GROT INC. (V3.1) [1] OVERVIEW General Retail Operations Training, or GROT, is a simulation game in which players act as managers of competing department stores. GROT INC. is the name of a fictitious retail empire, the subject of this management game. There may be two, three, or four stores, all in the same market area, and all affected by the management policies of the competition. GROT is a non-zero-sum game; it is possible for all stores to prosper or for all to suffer losses depending on the players' strategies. During each period, which corresponds to a week in real time, players examine reports concerning the inventory, sales, financial state and past performance of their stores. They make decisions to change profit margins, goods ordered, number of sale items, hiring and firing of staff, amount spent on advertising and promotions. These decisions, along with those made by the other players, will affect all the stores in the market area for the current period, and may also have long term effects extending over several periods. Each game takes between twelve and twenty-six periods. For each game the number of periods is determined randomly at the start. The manager of the store which has the highest NET WORTH at the end of the game is the winner. As entertainment, GROT INC. is best played by two, three, or four players. As a management training game, it may be profitably played by one individual trying various management styles on different stores, or by up to four teams of four players each, with each player managing one department. A composite report can be printed, so it is possible for teams to retire with their reports to discuss their strategies in private. If more time is required, games can be saved at the end of any period, to be continued at the players' convenience. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 2 GROT INC. (V3.1) The model behind GROT INC. represents the dynamic complexity that surfaces regularly as operational crises in real-life retailing. Players can analyze both the short- and the long- term impact of their decisions. But, as they would in life, players of GROT will show a wide range of reactions to eroding profits, declining sales, and decreased market share. Early reactions are, typically, characterized by lack of strategy, cautious focus on a single event, overshoots in adjustments which exacerbate the situation, and panic. During the next phase, GROT players discover that some decisions have a delayed effect. (The delayed effect is also known as the "take two aspirins and wait" rule of business.) The experienced player will have developed a feel for the effective range of adjustments of such things as inventory, margins, and staffing. At this stage the player has learned to exploit the cause-and-effect relationships in the entire GROT market area. Playing time for GROT INC. depends on the amount of time spent in analysis of reports; whole games may be played in an hour or, if all reports are analyzed, a single period could take that much time. The author of GROT INC. does not claim that the retailing model used in this game is an accurate reflection of reality. However, the model contains many variables which behave as they might do in the real world, and players will find considerable challenge in coming to grips with the complex internal reality of GROT INC. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 3 GROT INC. (V3.1) [2] SHAREWARE Shareware distribution gives users a chance to try software before buying it. If you try a Shareware program and continue using it, you are expected to register. Individual programs differ on details -- some request registration while others require it, some specify a maximum trial period. With registration, you get anything from the simple right to continue using the software to an updated program with printed manual. Copyright laws apply to both Shareware and commercial software, and the copyright holder retains all rights, with a few specific exceptions as stated below. Shareware authors are accomplished programmers, just like commercial authors, and the programs are of comparable quality. (In both cases, there are good programs and bad ones!) The main difference is in the method of distribution. The author specifically grants the right to copy and distribute the software, either to all and sundry or to a specific group. For example, some authors require written permission before a commercial disk vendor may copy their Shareware. Shareware is a distribution method, not a type of software. You should find software that suits your needs and pocketbook, whether it's commercial or Shareware. The Shareware system makes fitting your needs easier, because you can try before you buy. And because the overhead is low, prices are low also. Shareware has the ultimate money-back guarantee -- if you don't use the product, you don't pay for it. "This program is produced by a member of the Association of Shareware Professionals (ASP). ASP wants to make sure that the shareware principle works for you. If you are unable to resolve a shareware-related problem with an ASP member by contacting the member directly, ASP may be able to help. The ASP Ombudsmen can help you resolve a dispute or problem with the an ASP member, but does not provide technical support for members' products. Please write to the ASP Ombudsman at 545 Grover Road, Muskegon, MI 49442 or send a CompuServe message via CompuServe Mail to ASP Ombudsman 70007,3536." ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 4 GROT INC. (V3.1) [3] DISCLAIMER AND AGREEMENT GROT INC., a.k.a. GROT31 or GROT, program and associated documentation, on hardcopy and on magnetic media, is copyrighted and the author, P.K. Winter, reserves all rights. The GROT software and associated documentation are provided without warranty of any kind, either expressed or implied. The author specifically disclaims any implied warranties of merchantability or fitness of the software and documentation for any particular purpose. In no event will the author be liable for any damages, including any lost profits, lost savings, or other incidental or consequential damages arising out of the use or the inability to use this software. The author reserves the right to make any changes in the software and in this documentation at any time without obligation to notify anyone of such changes. GROT is a "shareware program" and is provided at no charge to the user for evaluation. Feel free to share it with friends, but please do not give it away altered or as part of another system. The essence of "user-supported" software is to provide personal computer users with quality software without high prices, and yet to provide incentive for programmers to continue to develop new products. If you find this program useful, entertaining, or educational and continue to use GROT after a reasonable trial period, please submit a registration fee of $20.00 to the author. Commercial or institutional users of GROT must register and pay for their copies of GROT within 30 days of first use. The Site-License fee for educational institutions is $40.00. The Site-License for corporations is $60.00. Anyone distributing GROT for any kind of remuneration must first contact the author at the address below for authorization. This authorization will be automatically granted to distributors recognized by the Association of Shareware Professionals (ASP) as adhering to its guidelines for shareware distributors, and such distributors may begin offering GROT immediately, however the author must be advised so that the distributor can be kept up-to-date with the latest version of GROT. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 5 GROT INC. (V3.1) You are encouraged to pass a copy of GROT to your friends for evaluation. Please encourage them to register their copy if they find that they can use it. All registered users will receive a copy of the latest, "registered" version of GROT with notification of updates. Please submit your registration fee, questions, or comments to: P. K. Winter 69 Summerhill Ave Toronto, Ont., M4T 1A9 CompuServe 71213,1337 - GROT INC. is a trademark of P. K. Winter. - IBM is a registered trademark, and PC/XT, PC/AT, PS/2, and PC-DOS are trademarks of International Business Machines Corporation. - EPSON FX-80, EPSON FX-85, EPSON LQ-570 are registered trademarks of EPSON America, Inc. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 6 GROT INC. (V3.1) [4] REQUIREMENTS To use GROT you require a 386SX or 486 based PS/2 or PC/AT compatible micro computer with a minimum of 512K RAM, one 360K floppy disk drive, and a color (VGA) display screen. GROT INC. can run off a floppy disk but ideally it should be installed on a hard drive. In either case, all components of GROT INC. must be in the same subdirectory. Before you play GROT, check your CONGIG.SYS file; it should have at least FILES=16. Consult your DOS manual for details about CONFIG.SYS and FILES. If FILES was set to less than 16, update your CONFIG.SYS and re-boot your system before starting GROT. Version 3.1 of GROT was written in Turbo Pascal (V6.0) under DOS 5.0 on a 486 machine. This version of GROT requires a VGA Multifrequency display that supports display mode Hex'12' (16 color, 640x480 resolution). GROT uses a Timer ISR. The 'old' timer interrupt is restored on exit from GROT. GROT (V3.1) appears to run without problems under Windows 3.1. However, for this version of GROT, Windows is not the target environment and thus there are no guarantees ... There is a definite performance advantage in using a true 486 machine with the math co-processor. To start GROT INC., key in GROT after the DOS system prompt (e.g. C> or A>). POINTS TO REMEMBER ■ The RESET.EXE program provided is used to initialize all the GROT files, tables, and market areas. We recommend that when you want a fresh start, use RESET. ■ Do not erase or modify any of the datasets on the GROT INC. diskette! ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 7 GROT INC. (V3.1) [5] FILES READ1ST BAT run this first ... RESET BAT used to reset GROT GROT BAT this invokes GROT31.EXE HARDCOPY BAT prints the GROT documentation READ1ST TXT text files used by the above .BAT files RESETBAT TXT GROTBAT TXT GISYSLOG DAT all the .DAT files are essential to GIFACTRS DAT the GROT simulation and should not be GISUMMRY DAT altered by any other means than the GI0LG DAT GROT31.EXE and GROTINIT.EXE programs. GI0DR DAT GI0SD DAT GI0LD DAT GROT31 EXE the main GROT program GROTINIT EXE program that re-initializes all simulation variables READ EXE program for reading text files GROT31X PCX the GROT cover screen; the program fails if this file is altered in any way GROT31 DOC this documentation ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 8 GROT INC. (V3.1) [6] PLAYING GROT INC. ------------------------- [6.1] THE KEYBOARD Keys used in GROT INC. include all the alphanumeric keys and a number of keys that have special meaning. Press ... < F1 > to indicate that the manager of Store No. 1 will enter decisions or view reports < F2 > to indicate that the manager of Store No. 2 will enter decisions or view reports < F3 > to indicate that the manager of Store No. 3 will enter decisions or view reports < F4 > to indicate that the manager of Store No. 4 will enter decisions or view reports < F10 > to signal that decisions for the current period have been completed < Esc > to exit from GROT INC. at any time ──┘ the <ENTER> key to begin the input of decisions and to complete the input of each decision < End > to return to the Main Screen from any of the others or, if the Main Screen is showing, the use of this key causes the results of all the decisions in the market area for that period to be calculated The display of three asterisks ( *** ) on the bottom line of the screen following any message means "Press any key to continue ..." ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 9 GROT INC. (V3.1) [6.2] BEGINNING THE GAME The first screen which will appear is the Summary of Games Saved. GROT INC. can save up to seven games, which are designated market areas A to G. To begin a new game, press 1 for Start New Market. The screen that now appears is the Main Menu. [6.3] SEQUENCE OF EVENTS When a period begins, the Main Menu appears and 'Store No.' will be blinking. Press the appropriate function key (F1, F2, F3, or F4) to indicate which store manager is to have a turn. This causes the store manager's name to appear with the top portion of the screen indicating general information about how the store did in the previous period (Total Sales, Gross Margins, Net Profit, and Net Worth). During a turn, there are several things you may do. Press the appropriate key from the Main Menu to view any of the various financial reports. Press < R > when the printed hardcopy of the composite reports is required for in-depth analysis. To change any of the management decisions, press < I > to reach the Decision Input Screen. All reports may be viewed, and decisions may be input in any order any number of times. To finalize decisions, press < F10 > from the Main Menu. Histograms, option < H >, will give you a valuable graphic representation as to how your store is doing. It is not necessary for players to take turns in any particular order. Moreover, it is not necessary for one player to finalize decisions before any other player has a turn. All screens are available and all decisions are changeable any number of times until players finalize their decisions by pressing < F10 >. To end a period, press < END > from the Main Menu. The use of the < END > key to signal the end of a period is accepted only after decisions have been finalized for all the stores. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 10 GROT INC. (V3.1) When seven previous games have been saved and you wish to start a new game, GROT will delete the oldest finished game. If there are no finished games then GROT will delete the game with the oldest time-stamp. To prevent the loss of any of the earlier simulations, copy and save the .DAT files on a diskette. [6.4] DECISION INPUT To view the Decision Input screen, press < I > from the Main Menu. During each period you may alter eighteen factors on the Decision Input screen. These decisions do not only affect the current period, but may also have long term effects. The column marked LAST indicates the choices that were made in the previous period. The CURRENT column is initially the same as the LAST column. The `input' process is started by pressing the < ENTER > key. As changes are entered in the column marked INPUT, the figures are updated immediately. To move the cursor to the desired position press < ENTER > or the UP/DOWN arrow keys. NOTE: Weekly decisions input are re-applied week after week until the transaction is changed. For example, if 2 new staff are added to a department, 2 more staff will be added week after week until the staff increase is changed to zero. MARGINS 'Margin' is the difference between cost and selling price of a commodity. The margin set for each department will in practice be reduced by various amounts that reflect several types of marketing losses such as shoplifting, style changes, excess inventory, spoilage, etc. Margins are further reduced by any sale items which are sold at a discount. If margins are increased in a particular store, sales will decrease because customers will shop in stores where prices are lower. However, customer loyalty to the four departments is distinctly different, so raising margins may have little effect in some departments, and more effect in others. If the margins of all the stores in a market area are raised then total sales will fall as customers move to other areas to shop. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 11 GROT INC. (V3.1) GOODS ORDERED It is necessary to order enough stock so that orders and inventory will cover sales. Volume of sales can be predicted from sales in past periods. (See Report C, and Report O). In order to prevent stockouts, inventory must be maintained (see Report G ) but excessive inventory ties up cash and results in marketing losses which reduce profits. SALE ITEMS Sale items are sold at a smaller margin than regular items in a department. While profit on sale items will therefore be lower than on regular merchandise, sales do attract new customers to the store, some of whom will return in the following period. The effect of sale items in attracting customers varies from department to department. ADVERTISING AND PROMOTIONS It is advisable to advertise to attract customers, but excessive advertising is wasteful. Similarly, any coupons or special offers increase sales, but not at a constant rate. PERSONNEL Employees in Department 2 are paid a higher hourly wage than employees in the rest of the store, who may be interchanged among departments. All staff are guaranteed 30 hours per week at their basic wage, with any overtime over 40 hours per week paid at time-and-a-half. Report 0 indicates the number of employees for the previous period and the number of hours they worked. Moderate amounts of overtime do not affect staff morale and have no effect on sales, but excessive overtime, especially by the more highly skilled workers in Department 2, causes lower morale and subsequent alienation of customers. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 12 GROT INC. (V3.1) LOANS Fixed liabilities (see Report B ) are charged the lowest rate of interest and are not repaid during the game. If a decision is made to borrow money, the interest charged will be slightly higher than that charged on fixed liabilities. If there is not enough cash on hand to cover expenses, an emergency loan will be automatically issued, with a higher interest rate (see Report C ). If the store is in an unfavorable financial condition as determined by the ratio of net worth to fixed assets (see Report G ), then this interest rate will be even higher. [6.5] REPORTS All the reports available from the Main Menu have similar layout of basic information at the top and bottom of the screen. At the TOP of the screen the following is displayed: ■ Market Area (A to G) ■ Store No. (Player 1 to 4) ■ Period (1 to 26) ■ Title of the Report At the BOTTOM of the screen the following is displayed: ■ Press < END > to return ... ■ Press < ESC > to quit GROT ... Again, the following are the reports available any time to all players during a game. [B] Balance Sheet [C] Cash Management [G] General Report [N] Net Worth Comparison [O] Operating Statement [P] Past Performance [R] Printed Report [S] Share of Market [H] Histogram ( VGA Graphics ) ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 13 GROT INC. (V3.1) [6.6] PRINTED REPORT Select < R > from the main menu to generate hardcopy output. You will need an EPSON FX or EPSON LQ compatible printer. ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 14 GROT INC. (V3.1) [7] HINTS If your primary purpose in using GROT INC. is entertainment, then we suggest that you read the following hints and notes. If, however, the objective in using GROT INC. is educational or management training in a more formal setting, then we recommend that the instructor should control the availability of the following hints. GENERAL NOTES ° customers are attracted to department stores that offer specials and promotional items ° at the time when you are about to take charge of the GROT department store, the store has experienced moderate profits with a slight downward trend ° prices and sales volumes were relatively stable during the past year ° the starting decision variables (margins, goods ordered, etc.) are typical of your predecessor's decisions ° as a general rule, sales depend on both current and past decisions ° you are cautioned not to make radical changes in your store at the outset until you develop some understanding of sensitivity of the model with respect to the decision variables ° shift in sales volumes among competing stores is based in part on deviations from the average margin in the market ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 15 GROT INC. (V3.1) Margins ° you have no control over the cost of goods sold ° margins are affected by the special sales and marketing losses ° margins affect sales differently in different departments ° if in any one of the four departments you set margins higher than those of the competition, then you should expect to see some decrease in the volume of sales Orders ° large orders might cause excessive inventory which leads to marketing losses and lower profits ° to avoid stock-outs in any department, the new orders plus stock on hand must cover sales ° for Department 3 the inventory should be maintained between $45,000 and $50,000; you are left to discover the optimal inventory levels for the other three departments ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 16 GROT INC. (V3.1) Specials ° specials will attract customers and, as well will inspire some customer loyalty ° the maximum number of specials in Department 1 is nine, in all other departments the maximum number of specials is three ° specials can increase sales by as much as 6% in Department 4; in other departments the impact of specials is somewhat lower and it is left to you to work out the precise relationship between sales and specials ° specials in one department can lead to a slight increase of sales in other departments ° to be effective, specials must be more than 2% and less than 6% of sales; it is left to you to discover the effective range of specials as a percentage of sales ° an increase in specials will increase sales, but not at a constant rate Advertising ° advertising increases sales, but not, however, at a constant rate ° advertising expenditures below a fixed figure or above a fixed figure has no beneficial effect on sales and profits; it is left to you to discover the effective advertising range ° specials are more effective when advertised; it is left to the student to discover the precise correlation between advertising and specials ────────────────────────────────────────────────────────────────────────────- (C) 1989,1993, P.K. Winter, Toronto, Ont. 17 GROT INC. (V3.1) [8] REGISTRATION Personal license $20.00 Site-License (schools) $40.00 Site-License (corporate) $60.00 PAYMENT ENCLOSED ___________________________ NAME ______________________________________ ADDRESS ______________________________________ ______________________________________ ______________________________________ ______________________________________ COMPANY ______________________________________ PHONE (___) ___ - ____ FAX (___) ___ - ____ DATE _________________ Please return this registration with any questions or comments you may have to: P. K. Winter 69 Summerhill Ave Toronto, Ont., M4T 1A9 CompuServe 71213,1337 ______________________________________________________________