Question
You are a commercial shipyard analyst, working for a manufacturing company, examining a relatively new program. A recent program review has provided the following values:
You are a commercial shipyard analyst, working for a manufacturing company, examining a relatively new program. A recent program review has provided the following values:
Lot | Units in Lot | Expected lot cost | Actual lot cost |
1 | 2 | 512 | 562 |
2 | 12 | 2350 | 2672 |
3 | 17 | 3179 | 3691 |
4 | 32 | 5036 | 5363 |
Theres no question that actual costs have exceeded planned costs, however, your production supervisor is interested in whether this review provides evidence of a fundamental change to the anticipated production learning that was supposed to take place for this system. Answer the questions below considering costs from the company's desired position.
a) Determine whether or not there has been a change to the learning anticipated for this program. Support your claim with specific calculations based on the data above.
b) What would you anticipate the actual cost to be for a proposed fifth lot of 50 units?
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