Wednesday, May 11, 2005

Warehouse tip

Capitalism Game Series

Cap2 has no warehouse facility but you can create a semi- warehouse by building a factory and opening purchase, inventory and sales units

Example: you have 3 beef farms but want to supply and buy from one location.

Key:
P= Purchase unit
I= Inventory unit
S= Sales unit

warehouse set-up


PPP
I I I
SSS



Disable auto purchase and link each purchase unit to a different frozen beef farm.

Connect all the purchase units to the Inventory units. Connect the Inventory units to the Sales units.

A new sales price will be set which you can change +/-

If you have bottle necks forming in the sales use training, if your still having bottle necks with a 9 rating try:

PPP
ISI
SSS.

Its an interesting concept I have just tested this linking 2 sugar farms to 4 cola factories producing in total 17m cans. I used a large factory as the warehouse. My set-up was:

P I P
I I I
S S S

No bottle necks formed in the sales units (sales rating was 4) and the extra inventory helped to keeps the factories supplied with sugar after the farms had harvested.

The major downside was I duplicated the freight cost as I was shipping the same product twice (sugar from farm to factory/warehouse then onwards to the cola factory - all in different cities).

This cost an additional $38m per year also the large factory on my set-up had annual costs of:

$2.16m Factory overhead
$1.40m Training
$0.722 Salary

This caused the unit cost of my cola to increase from 60 cents to 95 cents.

Overall the costs were offset by profits I made in the warehouse by increasing the sugar price this made $30m but doing the math I was down $12m by warehousing such a low cost product like sugar.

May work better with higher value goods like wallets or CPUs but freight costs for sugar often exceed its value, better to have the farm located within the same city as the factory in my experience.

milo

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