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Gold/Mining/Energy : PYNG Technologies
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To: george eberting who wrote (1331)3/22/1998 1:13:00 PM
From: T Lamos  Read Replies (2) of 8117
 
You raise an interesting point George. I too would be worried *if* the folks who's expertise is in product development were also responsible for managing the manufacturing. However, this does not appear to apply in this particular situation because the company has recently hired an experienced production manager who is dedicated to performing this function alone. Having this experience that person would as the first step quickly validate if in-house manufacturing was a viable option in the preliminary cost-benefit report to company management before a decision is made to embark on creating expanded manufacturing infrastructure. If the report recommends in-house production as a viable option, the company has essentially bought the manufacturing expertise which you or others were suggesting should better be outsourced. Granted, it would take some time to ramp up production from current levels - whatever they might be. But if demand exceeds supply, they are still willing to outsource product production as a temporary measure to meet extraordinary demand (chief verified this with mr jacobs.) Bottom line is I'm comfortable with the idea of in-house manufacturing based on these points and don't see anything to worry about in this respect of the company's business plan.

To all: Any further thoughts on this matter?
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