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General Ship Corporation has been creating nuclear destroyers for the Navy for the last twenty years. It has recently finished the design of a new class of nuclear destroyer and will be preparing a detailed budget to be followed during construction of the first destroyer.The total budget for this first destroyer is $90 million. The controller feels the initial project cost estimate prepared by the planning department was too low because the waste and spoilage allowance was underestimated. Thus, she is concerned that there may be a large cost overrun on the project and wants to work closely with the project manager to control the costs.
Question: How would you monitor the costs of this project?
Suppose organizational strategies and practices that could be enhanced by the application of Expectancy and Equity Theory
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