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This is VERY bad engineering practice, you throw away knowns for unknowns. A blue sky design isn't a fix. Especially if your corporate culture has the wrong leadership. First year engineers take engineering economics for a reason. Money is always an object.
Is there never a case where it is cheaper + better to start over? I think sometimes there is. The design of 737 MAX was flawed from the get-go. They made the engines bigger because bigger engines run hotter and burn less fuel. Ordinarily this would require the fuselage to be raised as well, so that the bigger engine can fit under the wing. Instead they changed the position of the engine. Instead of being hung under t…
It’s almost impossible for a completely fresh design to be safer on day one. There’s so many different ways to fuck up many of them are counterintuitive because nobody ever considers if someone could install this backwards until someone does. 20+ years of debugging written with people’s lives tests just about everything in a way engineers never really think about