tag:blogger.com,1999:blog-5467119.post8907049216333230662..comments2023-10-24T10:09:22.146+01:00Comments on The Yorkshire Ranter: 0x05B7Y: Out of Bolts ErrorAlexhttp://www.blogger.com/profile/17153530634675543954noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-5467119.post-38587886112857162902007-10-18T13:16:00.000+01:002007-10-18T13:16:00.000+01:00Sounds like another example of "just-in-time" inve...Sounds like another example of "just-in-time" inventory management striking again. While it is much more cost-effective to only have parts for manufacture when you need them, stocking nothing yourself, lowering your numbers for works-in-process; this does not factor in any kind of risk that 1. your supplier may not be able to make-good on the order because he is using the same type of stupid system. Something tells me it more costly to delay the manufacture of end-products rather than stock enough inventory to be able to meet production deadlines. Stupid accountants.Jameshttps://www.blogger.com/profile/14929772172264856367noreply@blogger.comtag:blogger.com,1999:blog-5467119.post-14785639495232548532007-10-14T02:31:00.000+01:002007-10-14T02:31:00.000+01:00Spot on Duane - who else is going to do it once su...Spot on Duane - who else is going to do it once supplier #1's shit hits the fan, and who are they going to employ other than #1s team?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5467119.post-66194992906793055782007-10-13T22:34:00.000+01:002007-10-13T22:34:00.000+01:00So pretty much all software developed for strictly...So pretty much all software developed for strictly internal use would count as intermediate goods, right? Sounds plausible.duaneghttps://www.blogger.com/profile/03807382108921381872noreply@blogger.comtag:blogger.com,1999:blog-5467119.post-25022520250431374252007-10-12T08:33:00.000+01:002007-10-12T08:33:00.000+01:00I wonder if the bolts are an intermediate good uni...I wonder if the bolts are an intermediate good unique to the 787. If so, Rothbard's application of the calculation argument to the corporation might be relevant. He argued that when vertical integration reached the point where there was no external market for some production inputs, the corporation operated in calculational chaos in regard to that input. And John Menge (in "The Backward Art of Interdivisional Transfer Pricing") showed that in the average manufacturing corporation, a majority of intermediate goods are product-specific and not avaiable in the outside market. For such intermediate goods, transfer pricing operated on essentially the same basis as the Soviet planned economy: a wild guesstimate based on the value of more basic inputs in outside markets, with a generous helping of cost-plus markup.<BR/><BR/>This doesn't even touch on other forms of information filtering and opportunism in a hierarchy. You put them all together, and it's pretty hard to distinguish a corporate-planned economy from a state-planned one. Except, of course, the Soviet politicians defended the bureaucratic oligarchy as "socialist," while Western politicians defend it as "our free enterprise system."Kevin Carsonhttps://www.blogger.com/profile/07525803609000364993noreply@blogger.comtag:blogger.com,1999:blog-5467119.post-2861370925483457792007-10-11T20:27:00.000+01:002007-10-11T20:27:00.000+01:00Surprised it needs bolts at all.Surprised it needs bolts at all.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5467119.post-62078805909543333952007-10-11T11:24:00.000+01:002007-10-11T11:24:00.000+01:00At BAE, they call it the Binliner...At BAE, they call it the Binliner...Anonymousnoreply@blogger.com