Pros and Cons of Making Dental Crowns In-house and The "Make" vs. "Buy” Decision Problem

Dental Associates of Northern Virginia Student's Name Institution Affiliation Generally, in northern Virginia, Dental Associates of Northern Virginia (DANV) is one of the region's most prominent dental groups (Deshpande et al., 2020). The head administrator is torn in these two circumstances between keeping up with new technologies by investing in cutting-edge all-porcelain crown-making machinery and sticking with a sluggish wait-and-see method. An important consideration for the network's chief administrator is whether or not to build an in-house laboratory for all-porcelain restorations, which would increase the network's core expertise. With the help of these two instances, students will learn about operational issues from both a patient and a doctor's point of view, which is a valuable learning experience. It is also essential to analyze how a doctor's practice and a whole network of clinics are affected by the rapidly evolving technological landscape.
Question a
Technically, the cons of in-house crown production include increased dentist confidence in the quality of the material used, reduced patient wait times, and more time for doctors to meet patients while also working on crowns. The drawbacks include the time and money it takes to keep up with the latest technology and the necessity for physical room to store the equipment. I would think that one CEREC machine would be required for each dental clinic and require upgrades every five years.
Question b
Typically, my recommendation would have been for Dr. Fox to purchase the new CEREC3 machine and build the crowns in-house instead of buying them from an outside laboratory.
Make
Buy
Fm=100,000
Cm=25/crown
Fb= 0
Cb = 150 +15 /crown
5 years
Fb= 0
Cb = 150 +15 /crown
5 years
Fb= 0
Cb = 150 +15 /crown
5 years
Fb= 0
Cb = 150 +15 /crown
5 years
Fb= 0
Cb = 150 +15 ...