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It's common sense that we need to know how much our product is costing us. We have to design good cost systems to quickly and
It's common sense that we need to know how much our product is costing us. We have to design good cost systems to quickly and accurately capture cost data. But as senior managers, you have to make tough decisions based on the information that your staff (cost accountants included) provides you. You're a senior manager of a large company that makes a product that in the normal course of use is safe and useful to consumers. Occasionally, despite your best efforts consumers do stupid things, but on the whole, you manufacture a safe product. However, today your new product is running over budget and behind schedule. Your safety people tell you that there's a risk of your product will explode in very rare circumstances causing injury or even death. It can be fixed with a $5 part. The fix will delay time to market and cost more than $11 per unit to retrofit. What would you do
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