You’ve been given the critical assignment of selecting the site for his company’s new plant. After months of negotiations with landowners, numerous cost calculations, and investments in ecological, social, and community impact studies, he is about to recommend building the new plant on the Lansing River site. Now just 15 minutes before his big presentation to top management, he discovers a possible mistake in his calculations: Site-purchase costs appear to be $500,000more than he calculated, nearly 10 percent over budget. He doesn’t have time to recheck all his figures, so he is tempted to just go ahead with his recommendation and ignore any discrepancies. He is worried that management won’t approve this purchase if he can’t present a clean, unqualified solution. He also knows that many objects run over their original estimates, so he can probably work the extra cost into the budget later. On his way to the meeting room, he has to make his final decision. If you were him, please try to explain the decision you made, and tell us the communication strategy when he planned to work the extra cost into the budget later.
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