Reference no: EM132381225

Case study - Cunningham Gudgal Golf Resort

Modelling task - You are the Cunningham Holdings senior Business Analyst who is working with Oscar Cunningham the CEO of the CHL Hospitality subsidiary. Oscar has requested you to build a decision model that maximises golfer enjoyment and meets all the international golf standards that include a clubhouse.

Your first task is first to build a decision model that meet the management plan - The standard clubhouse golf course model. Oscar Cunningham, the CEO of CHL Hospitality wants to know whether the shareholders' request can be fulfil. Hence, your second task is to build the exclusive clubhouse golf course model.

If the exclusive clubhouse golf course cannot be constructed (no feasible solution) with current constraints, he has requested you to provide three options for the exclusive clubhouse golf course model for consideration.

For the proposed options to have a feasible solution, you are allowed to make the following changes to the shareholders original exclusive clubhouse specification and budget.

Option 1: you are allowed to reduce the size of the exclusive clubhouse.

Option 2: you are allowed to reduce the construction cost of the exclusive clubhouse, and

Option 3: you are allowed to increase the budget allocation hypothetically.

Note:

1. Construction costs are estimates only, as this development is rare in rural communities and reliable estimates are not available. Further work will be required if the board accepts the initial proposal.

2. The case study is prepared based on the assumption that there is no solution for the original shareholders exclusive clubhouse golf course.

3. When you make change to options 1, 2 and 3, the changes MUST be better than the standard clubhouse (management plan). For example, Option 1, when you reduce the size of the exclusive clubhouse, it should be between 2 and 4 hectares.

4. Number of golfing holes MUST be INTEGER.

Requirements -

1. Build decision models for the 18-hole international standard Cunningham Gudgal Golf Resort with a standard clubhouse, the original shareholders' exclusive clubhouse, and the three options for the exclusive clubhouse (5 decision models).

2. Write a 1500-word business report (proposal) to Oscar Cunningham, the CEO of CHL Hospitality outlining your analysis of your decision models and recommendations. Oscar Cunningham will then present your report in the upcoming Board meeting.

In helping you to prepare the business report, you MUST do the following to provide evidence to support your proposal:

Part 1: Action Plan

In the action plan you have to describe the process you will undertake to transform the business problem into a set of mathematical equations using the four steps approach.

1. Identify the decision variables - the unknown values that the model seeks to determine.

2. Identify the objective function - the quantity to be minimized or maximized.

3. Identify all appropriate constraints - limitations, requirements, or other restrictions that are imposed on any solution, either from practical or technological considerations or by management policy.

4. Write the objective function and constraints as mathematical expressions.

Part 2: Spreadsheet Model Implementation

Here, it includes the Excel and Solver implementation of your five (5) models.

1. Standard clubhouse model (management plan)

2. Exclusive clubhouse model (shareholder's request)

3. Three (3) options of the exclusive clubhouse model. Clearly state what have changed in each of the option from the original exclusive clubhouse model.

Part 3: Business Report & Communication

In the business report, first provide a description of the implementation of your five decision models (the management's standard clubhouse, the original shareholders' exclusive clubhouse and the three options for the exclusive clubhouse.

Provide an analysis of the four feasible models (the standard and the three options of the exclusive clubhouse) on their holes configuration, total enjoyment index, total land used and the total construction cost. Discuss the implication on four feasible models whether they meet shareholders' original exclusive clubhouse requirement.

Make a recommendation to Oscar your proposal model. In doing so you can rank your four feasible models based on international golfing requirement and whether meeting shareholders' requirement. Justify your recommendation.

Note: It is possible the standard clubhouse model be your recommended model although it does not meet shareholders requirement, but it may has the best international golfing requirement in terms of golfer enjoyment index, holes configuration and it is the cheapest to construct.

Attachment:- Case study - CHL.rar