Finance Staff Review
The finance staff reviewed the dispute. In the course of this review, the engineering department of the manufacturing staff was asked to review the added operations and comment on the acceptability of the proposed cost increases. The quality control department of the manufacturing staff was asked to verify whether quality was actually better as the result of the added operations and whether the new units were of higher quality than the units purchased from the outside vendor 18 months ago. The engineering department stated that the proposed costs were reasonable and represented efficient processing. The quality control department stated that the quality was improved and that the new parts were of superior quality to the parts previously purchased from outside sources.