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"Selling price" ≠ "Cost" + "Profit"

Updated: May 29, 2022

Role of a project manager (CE)

Since the end of last year, I have been sharing the greatness of Toyota's chief examiner system on the forum regarding product managers.

If you don't mind

(You need to log in, I'm sorry, currently only available in Japanese)

A natural system that GAFA found but Lean couldn't find. Its roots are in the development system of aeroplanes.

As I have mentioned many times in this forum, only a few people understood it.

In Agile, the word "KANBAN" is included in what I thought was the American way.

Unlike signboards such as shops, Kanban is a mechanism that promotes the distribution of parts, etc.

It is possible to control the amount of inventory by controlling this number. It's not just a schedule management mechanism.

I don't think they have been able to utilize even Kanban.

The concept of DevSecOps is becoming mainstream in the world.

I've heard that this is a method beyond agile.

Since Schumpeter, the word innovation has become cheaper.

The line between reform and improvement has also disappeared.

(I initially think that there was no boundary between Kaizen and innovation)


A "Selling price" ≠ "Cost" + "Profit" ... With the method of adding profit to the cost    price, customers cannot support it for a long time. (It is a method called total cost  method such as electricity charges)

B "Profit" = "Selling price"-"Cost" is the correct answer.  "Sales" means that the customer acknowledges the value of the product and "you  can pay this amount."  That's the amount you say.

The most crucial element of product development is the activity to achieve the cost target calculated by B's formula.

I took a closer look at lean development, but B's thinking isn't written anywhere while it benchmarked Toyota's product development. There is a significant omission.

One more thing is most missing in Agile, which is based on Lean development.

I will write it in the following article.


If you are involved in design and development, wouldn't it be taken for granted?

Unfortunately, it feels like this isn't the norm where I'm walking.

In my forum, I have accumulated a lot of articles about Toyota's chief investigator system benchmarked by GAFA. So I think people who understand it will understand it.

My goal is to revitalize the Japanese manufacturing industry.

If you can speak to me, I will visit you.

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