Chapter 10: Now What? video
>> We need to get the final design for the bang gun to production by 5 o’clock today, which is only an hour from now. Okay, I know we all don’t agree but we need to make some decisions.
>> Well, is the only remaining issue is whether or not to use metal for durability or plastic for low cost?
>> That’s my understanding.
>> Okay, I really think we need to keep this within the original price range. If we go with the metal parts, that’s going to raise the cost $1.50 each, which is likely to reduce sales.
>> But plastic parts will break much more easily. The toy gun is likely to get used pretty hard by kids and if we go with the plastic, we’re likely to see a lot of returns. That will really hurt our margins.
>> Yeah, but if we don’t sell them in the first place, there won’t be any returns. I think the plastic is going to be durable enough.
>> Okay. You know what? We’re not getting anywhere with this. Let’s just take a break, Allison, and we’ll reconvene in 5 minutes.
>> Frustrated with this. We should be making better progress on this final issue. Is there anything that we can do to make this meeting more productive?
>> Okay, let’s get started again.
>> I really think that we need to go with the metal parts.
>> I think that the plastic is best. We really need to keep this within the right range.
>> But it needs to last. Only metal will hold up to a lot of play.
>> Oh please, plastic holds up well enough if it’s made right.
>> What are you talking about? You’re not being realistic.
>> Oh, I’m not being realistic?
>> No, you’re not being realistic.
>> Come on guys, we’re not going to get anywhere — we’re not getting any decisions made like this. All right, let’s get this back together and I need you two to stop bickering and make a decision. We only have an hour left to do this and we only have one more decision left to make.
>> Yeah, Alex, I’m not bickering. I really think that plastic parts are the right choice.
>> Metal is the way to go. I’m not kidding!
>> Okay, I just need you both to act like professionals here and make a decision.
>> Wait, we are acting like professionals and we’d like to make a decision too.
>> Sheesh Alex, we’re just trying to lobby for what we feel is right for the product and the company.
>> All right, I’m just trying to push the conversation forward here.
>> We’re not getting anywhere. Let’s just tell production that we couldn’t finish today.
>> But we have to finish today. You know, it will cost the company a lot of money if we delay this product.
>> So I understand both your positions and I agree with them both. We want to keep our bang gun as durable as possible but we also have to stay within our price range but our top priority has to remain safety. We can’t sacrifice safety for low cost. So is there any way that we can come up with a solution that’s going to satisfy both of you?
>> At least the trigger and flag mount have to be metal, since they take the most abuse.
>> Okay, great. So what does that do to our cost?
>> Well, it would be below our maximum target cost and raise the cost per unit only 52 cents according to the cost sheet.
>> Look, I think we both want the same thing. I want the product to be high quality too but I mean can the handle at least be plastic? I mean that would save us almost $1 per unit and this demo from the vendor seems durable enough and it would keep the price where it needs to be.
>> Yeah. No, I think that would be fine. I agree that we want to keep the toy as affordable as possible. This plastic should hold up well enough since it doesn’t take as much abuse.
>> Okay great. So our decision is to make the gun with both plastic and metal parts.
>> Yup, I’m happy with that.
>> Thanks for compromising Billie. I know that you would prefer to go with all metal.
>> I would but I understand your concerns about cost and I’m happy with this decision.
>> All right, great. Good job team, I got to get this down to production, okay?
>> Sounds good. Thanks, Alex.