Determine what other factors should be considered when deciding the following: When to centralize manufacturing

  • Which is the lead cost alternative in Years 1, 5, and 10?
  • How much would the variable cost per unit have to be in Year 5 for the automated alternative to justify the additional annual fixed cost of the automated alternative over the manual alternative?
  • Determine what other factors should be considered when deciding the following:
    • When to centralize manufacturing
    • When to opt for higher technology options