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F1 accountancy championship - are the teams overspending on the sly?


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#51 Sterzo

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Posted 25 May 2022 - 10:12

And the electric bill quadruppled, so there is more cash gone.

Again, it would be interesting to know what uses the electricity. If it's mainly wind tunnels and autoclaves, then cut your development. If it's lighting for the guys screwing the cars together, that's more of a problem.



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#52 GentlemanDriver091

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Posted 25 May 2022 - 10:13

And a big chunk of it is wages for the guys making the new molds and stuff.

Wages don’t have influence at the development budget.

Edit, quote from AMuS:

Die Topteams veranschlagen ungefähr zehn Prozent des erlaubten Budgets für die Entwicklung ihrer Autos. Also rund 14 Millionen Dollar. Die kleinen Teams haben mehr Luft nach oben, weil sie weniger Angestellte und damit weniger Lohnkosten haben und auch anderweitig sparen. Gerechnet werden nur die Materialkosten für neue Teile. Die Ingenieure müssen so oder so bezahlt werden, der Windkanal läuft bei allen den vollen Stundensatz, den die Regeln zulassen.


Edited by GentlemanDriver091, 25 May 2022 - 10:19.


#53 darvi

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Posted 25 May 2022 - 10:46

If I was managing a leading team, say one sponsored by an energy drinks giant, and I knew that my level of development spending was not sustainable at the current level over the whole season, I might well use scare tactics to try and get the FIA to increase the budget...... but, of course, I'm not.



#54 Ivanhoe

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Posted 25 May 2022 - 10:50

Wages don’t have influence at the development budget.

Edit, quote from AMuS:
 

I think SenorSjon's point was that you can't cut on that part of the development costs to compensate for higher travel en energy costs.



#55 yolo

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Posted 25 May 2022 - 10:54

This is a huge flaw in the rules as it destroys the engineering competition.

Last season was only thrilling because Merc kept throwing things at the car, trying to keep up with RBR, the whole engine, rear wing, rear suspension... such intense intrigue.

The cost cap guarantees we are unlikely to ever have that again for some time, locking in an advantage for 23 races is insane.

 

That's wrong. Merc only introduced 1 upgrade package the entire season, specifically due to the cost cap and need to prioritize the 2022 concept. 



#56 shure

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Posted 25 May 2022 - 11:41

Yes they do, as part of a mixed approach.  

 

This article is a good explanation of the challenges F1 faces: https://racingnews36...est-ever-season

Thanks, I knew they used some, but curious as to the proportion.  I don't think anything they have cannot be transported via alternate means, though, so while it would of course add cost I am still hugely sceptical of some of the claims being put forward.  If it is the case they have been caught by surprise, that says more about their poor forecasting than anything else tbh.  If my company can budget for this relatively accurately, then I don't see why the F1 circus can't.  Their needs are unlikely to change all that much, so it's not as though they have unpredictable volumes to contend with, either.

 

That's not to say it's not a challenge, but they are also accountable for their planning and if they haven't done their due diligence then that's on them.  I still feel that it's been exaggerated because they just want a license to spend