Setting materials, labor, and overhead standards is challenging. If standards are set too low, companies might purchase inferior products and employees might not work to their full potential. If standards are set too high, companies could be unable to offer a quality product at a profitable price and employees could be overworked. The ethical challenge is to set a high but reasonable standard. Assume that as a manager you are asked to set the standard for materials price and quantity for the new 1,000 CKB Mega-Max chip, a technologically advanced product. To properly set the price and quantity standards, you are asked to assemble a team of specialists to provide input.

Required:

Write a professional email to the controller, John Smith, stating:

Your recommendation for the team of specialists. Identify four types of specialists to provide input into the standards and why you chose each of them.

How you plan to evaluate the appropriateness of the standards after they are implemented.