SMM092 Modelling Practice (CP2)
Resit Coursework Assignment
Task Background
You are asked to formulate a model project of your choice for any real or imaginary business application (e.g. manufacturing or sales of a new product, developing and providing some service or transportation, review of any past historical scenario, etc.). You have complete freedom to choose the application that you wish to implement (e.g. anything that is close to your heart, past study topic and/or relevant to your dream work/career). However, it must be an original task developed solely by you and it is not allowed to simply re-use and/or adopt any of the past exam paper tasks (i.e. from internal or external sources).
It is essential that you clearly state the aims and objectives of the model and the metrics/parameters used to assess the business application. Thus, the application should have between 4-6 data tables (or more) with parameters relevant to the situation being modelled. Ideally, there should be at least one set of parameters that will need to be checked, validated and then adjusted to make them suitable for modelling (e.g. data that might come from a less reliable source, as in the P1 test context).
Furthermore, there should be at least 3 distinct base scenarios for modelling and/or forecasting purposes. Finally, there must be at least 1 extra model extension scenario (e.g. a last-minute change suggested by a senior member of the business management team, as in the P2 test context).
You will be assessed based on the complexity, validity and usefulness of the developed spreadsheet model and the way it is presented. Similarly, the accompanying Audit Trail and the Summary document to the given model (and its results) will be an all-important part of the assessment (see below).
Part 1: Instructions for the Modelling Task [30 marks]
1. The first task is to formulate the business application and state the aimsand objectives of the spreadsheet model
2. Specify a number ofparameters that are relevant tothemodeland present theminassorted tables (e.g. ina data input sheet)
3. Carryout the data validation and the sensitivity checkson the input data and/or parameters
4. Carryout the modelling task and show clearly the specified scenarios
5. Label clearly all the stagesofthe modelling and provide a number of sense and/or reasonableness tests
6. Provide suitable ways of summarising andillustrating the metricsofthe stated scenarios. Make sure to provide suitable comparative plots for quantitative assessment of the modelling outcomes
7. Carryout the stated model extension task of the new/extra scenario. Make sure that the new set of parameters are applied to all of the previous base scenariosand relevant outputs are produced fora final assessment
Part 2: Instructions for the Documentation Task [70 marks]
I. Complete the modelling task described in Part 1 in Excel
II. Ensure that the approach you have used and the methodology behind your calculations are adequately explained in the Audit Trail. The Audit Trail should be included in the Excel spreadsheet model
III. Prepare a separate Summary Word document using discussions, bullet points and charts, capturing the main features and results. As a minimum you should cover the following:
• Discussion of the background to the modelled application, including the base and the extra (extension) scenarios
• A statement to describe the main aims and objectives of the modelling task
• Clarification of the input data/parameters and their sources
• A summary of your approach to each of the tasks set out in the Task Description
• A suitable comparison and analysis of the base scenarios
• A suitable comparison and analysis of the extra (extension) scenario , particularly in terms of the modifiedbase scenarios
• A discussion of all the sense and/or reasonableness checks
• A final analysis of the metrics relevant for the assessment of the given modelling application
• A graphical and descriptive/quantitative comparison of all the final scenarios
• Finally, but not least, the Conclusions and Next Steps to the given modelling application
IV. Submit the Excel spreadsheet model , with the Audit Trail, and the Summary Word document using the assignment tool on the Moodle page.