My company, Epsilon, went bust but we had some fun later on as we were resurrected as a black empowerment group to the chagrin of the other companies. Sveiby commented on all the wheeling and dealing during the game, and this was definitely one of the fun aspects of the game. Managing intangible assets is a skill, something that requires focus and a mindset different to the ordinary everyday business approach. After all, as someone in the group pointed out, cash is king. This is one of the shifts in mindset that Sveiby's exercises, co- facilitated with James van der Westhuizen, encourages.
Cash is more important than profits and by focusing on intangible assets all else follows.
But once we had shifted that mindset it was amazing how quickly the companies grew and how successful they became. An important point that emerged is that your know-how can very easily depreciate and if you don't do anything it can disintegrate. Some companies, like Macdonald's, have invested heavily in their processes so a staff turnover of 300 to 400 percent doesn't floor the company. However, this sort of staff turnover could kill a company like McKinseys. This is scary the first time, and emphasises the importance of having a year plan to guide decisions.