Ch1 Incidents for Discussion

Ch1 Incidents for Discussion - but if the manufacture...

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Blake Morrison Matt Koziol Mike Mayfarth Ch 1. Incident for Discussion Maladroit Cosmetics Company If I were the plant manager at Maladroit Cosmetics and I was about to take delivery of six new machines that cost a total of 4 million each and at the same time was currently handling several other projects this is what I would do: I would choose choice number 3; I would hire the company that manufactures the machines to also install the machines. There are many reasons why I would do this. The first reason is that these machines are very expensive and I would rather have the manufacture install it because they have most certainly installed these machines before and have experience doing so. If I were to install these machines it would be very likely with the lack of experience that I might have some problems setting it up or even damaging the equipment. This could create additional costs as well as risk that it not be ready for the deadline;
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Unformatted text preview: but if the manufacture installs the equipment then there reasonable for having the machines ready for the deadline. Secondly, if it cost relatively the same amount for my company to install it compared to the manufactures; there is no point in installing these machines ourselves because our company is already busy working on other projects. If the machine was one small machine at a total cost of $4,000 I would still have the manufacture install it because there experts at it. If my company and I were busy on other project I would no be quick to pull my crew off a project to work on installing a machine that will cost the company about the same in the end. I would rather focus on my projects and let the manufactures install the machine. An investment in machinery is a capital investment because purchasing machinery is a fixed asset that will have a useable extensive live that enables your company to be competitive....
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This homework help was uploaded on 04/07/2008 for the course EM 464 taught by Professor Ladd during the Spring '08 term at Washington State University .

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