Ian E Coleman
Eighteenth Edition: Thursday, June 23, 2011
For a little bit over a week Eire Aonair has been working on a new project through the EA Advisory Group (click on the link to learn more). For this latest project our members donated some resources and managed to scratch together a Q2 food factory and a Q3 weapons factory (which I believe has recently been replaced by a Q4). Our goal was to demonstrate that companies could become more efficient by buying cheap raw materials off of the international markets, rather than producing those raw materials themselves. This project is still in progress, but we thought we'd supply the public with an introduction and some insight into our progress.
Sir Adriano Prette has been running the TRC companies, and the information used in this article about the performance of the project and the output of other methods has been provided by him. A big thank you to him for his hard work.
What Is The Test Run Company Project?
The Test Run Company (TRC) Project/Plan/Thing is a project from Eire Aonair that is taking real companies and using them in order to investigate new methods for running communes. Now we could have just crunched numbers and we would likely have gotten the same results; but for the sake of having a little fun, providing some actual practiced results, and for the experience of it, we decided to put our theories to the test.
We based our model of the conventional commune system off of the Irish Army. Ultimately we want to help all of Ireland to produce more damage in order to defend our land and prosper as a people.
How Has The Project Been Carried Out/What Results Have Been Found?
Due to financial restrictions the project used a Q2 food factory and a Q3 weapons factory. For this project a focus has been placed on weapons production since it is easier to self produce food using private companies. The main idea is to sell surplus food and weapons to cover raw material costs.
In our Q3 weapons company we have 4 workers producing 48 Q3 weapons. This requires 1440 weapons raw materials which at the lowest world market rates end up costing a total of 0.864 gold.
In our Q2 food company we have 2 workers producing 280 Q2 food. This requires 560 food raw materials which at the lowest world market rates end up costing a total of 0.308 gold
EACH WORKERS SHARE
The test run company currently distributes 258 food to 6 workers (45 Q2 food/worker). This leaves us with 22 Q2 food to be sold at 1.4 IEP (an earnings of 0.034222 gold).
As a result we have to sell 1.1378 gold worth of weapons to meet our total raw material costs of 1.172 gold ((0.864 the WRM cost) + (0.308 the FRM cost)) That means we must sell 31 weapons leaving us with 17 weapons to distribute among our 6 workers (2.83333 Q3 weapons/worker).
Totals: 45 Q2 food (180 health) and 2.83333 Q3 weapons (509.99 health)
How Does This Compare To The Current Irish Army?
The Irish army uses Q5 companies for weapons and food. This means that comparing our output with their current output in terms of damage and health would be pointless.
We haven't collected exact data on the Irish Army, but based on the use of Q5 companies in a raw material production model, let's suppose the following:
We have a raw materials company with 2 workers producing enough raw materials for 1 worker in a Q5 weapons company to produce 12 Q5 weapons. This means that the total 3 workers will produce 12 Q5 weapons.
The food company works much the same. We have 2 workers producing enough raw materials for 1 worker in a Q5 food company to produce 140 Q5 food The total 3 workers will produce 140 Q5 food.
EACH WORKERS SHARE
There are no raw materials costs so the final products are divided evenly among the 6 workers.
Totals: 23.3333 Q5 food (233.333 health) and 2 Q5 weapons (1000 damage)
So How Do We Compare?
For the sake of comparison let's have a look at what the EA Advisory Group's TRCs could have looked like if we did have Q5 companies.
In our Q5 weapons company we have 5 workers producing 60 Q5 weapons. This requires 3000 weapons raw materials which at the lowest world market rates end up costing a total of 1.8 gold.
In our Q5 food company we have 1 worker producing 140 Q5 food. This requires 700 food raw materials which at the lowest world market rates end up costing a total of 0.385 gold
EACH WORKERS SHARE
Since we require 108 food, we can sell 32 food for 0.1532 gold. This leaves us with raw material costs of 2.0318 which we would need to sell 34 weapons to pay for. This leaves us with 26 weapons between 6 employees.
Totals: 18 Q5 food (180 health)and 4 and 1/3 Q5 weapons (2166.66666 damage)
Calculated based on current market prices (June 23, 2011 at 19:30 eRep Time) the two commune supply packages would stack up value wise like this:
EA Advisory Model: 18(3.68IEP) + 4(48.88IEP) = 261.76IEP
Current IA Model: 23.3333(3.68IEP) + 2(48.88IEP) = 183.63IEP
This means that the alternative model could be evaluated as 42.55% more efficient.
Who Is Involved In This Project?
Special thanks for the progress of this project goes to:
Sir Adriano Prette - Who has donated so much to this project, has been the manager of the communes, and supplied all of the information and conclusions that I've regurgitated to you today.
Donnzer - Who as the head of the Department of Defence for the EA Advisory Group, started the discussion about this project and organized the great collaborative effort that we've seen.
Stranger Here Myself - Who has been an inspiring economic mind within the party. He was the first in the party to calculate the opportunity cost of working in Raw Material companies versus simply buying them off of the world market.
D-Glennon - Who came up with the idea of a shadow cabinet which would later become the EA Advisory Group. This idea is what lead us to our current methods of thought. He's also helped us by promoting our project to the Irish Army a little bit.
Eire Aonair and the members of the EA Advisory Group - Who have worked in this projects communes and donated to upgrade costs for the project. Donations came from 10.1.13.5.19, Ulaidian, Donnzer, Sir Adriano Prette and myself. I'm sorry if I missed anyone or made a mistake (I was just basing that off of an old running total from the forum). There really was a great amount of support and its hard to account for.
Also a great thanks to Bhane and the Irish Army - Who were nice enough to support us as the project had many of their workers on temporary leave.
In the future Eire Aonair may be opening its own military unit. It looks like we want this unit to be a part of the Irish Army by the voting done here: Allegiance Voting (Available to EA Members Only). If we decide to have a commune component to this unit, we will likely use the commune method put forward here.
I hope that I've done this project justice with the few calculations that I did myself. I think we've made some great progress, and I'd like to continue that progress by continuing with the project, doing some more calculations, and hopefully talking to people outside of the EA Advisory Group about how to apply this research.
Ian E Coleman - The Coleman Global - Writing on behalf of Eire Aonair and the EA Advisory Group.
Wiki Page: Eire Aonair @ the wiki
eRep Page:Eire Aonair
Video:Eire Aonair @ YouTube
***Other Stories in this Paper***
Report: "Ireland's Population Problem"
Editorial: "The People of eRepublik"
Editorial: "A Few Cautious Statements"
Eire Aonair: "Eire Aonair: Looking for a Party?"
Eire Aonair: "Eire Aonair: Test Run Company Project - A More Efficient Commune"