Beer Factory

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Beer Factory is a simulation of a supply chain with four co-makers (retailer, distributors and factory). Participants take the role of a co-maker and decide - based on their current stock situation and customer orders - how much to order from their suppliers. All co-makers have a common goal: Minimizing costs for capital employed in stocks while avoiding out-of-stock situations.

Prizes worth INR 20,000


Please post your queries related to this event at

Beer game is played in the following rounds:

  • Receive incoming orders

  • Receive incoming deliveries

  • Send out deliveries, and finally

  • Decide on the amount to be ordered 

Deciding on each round’s order amount is effectively the only decision that players are able to make throughout the game.

Do not let your bank reserve become nil.

Every order has to be fulfilled, either directly (should the players’ inventory be large enough) or later in subsequent rounds.

  • Inventory and backlog incur cost: Each item in stock costs Rs500 per week, while each item on backlog costs Rs1000. Consequently, the primary aim of each subgroup is to keep their costs low.

  • Hence, the optimal strategy for the players is to run their business with as little stock as possible without being forced to “move into backorder”.

  • Players are not allowed to communicate. The only information they are allowed to exchange is the order amount; there is no transparency as to what stock levels or actual customer demand is; only the retailer knows the external demand.

  • Also, if the bank reserve becomes nil, the game comes to an end.

The task of each supply chain is to produce and deliver units of beer. The factory produces and the other three stages deliver the beer units until it reaches the external customer at the downstream end of the supply chain. The aim of the players is rather simple: each sub group has to fulfil the incoming orders of beer.


Efficiency of the supply chain and the players’ strategy.


1. What is the eligibility criterion ?

    You will have to present a valid ID from a recognized educational institute.


2. Is it maximum of 4 people or strictly a team of 4?

    We require strictly a team of 4 people, each to assume one of these roles- factory, distributor, wholesaler and retailer


3. Are cross-college teams allowed?

    Yes, they are allowed.


4. Are UG-PG collaboration teams allowed?

    Yes, they are allowed.


5. Is any registration fee required?

   Separate registration fee for this event is not required.


6. Is the registration online?

    Yes, your team has to register online. On spot registrations are not encouraged.

The entire details for Beer Factory can be downloaded here


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Faculty Advisor


Associate Professor                  

Department - Production Engineering


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