After working for 30 years, Ramjee Somjee Dutt, Operation Management

Assignment Help:
After working for 30 years, Ramjee Somjee Dutt opted for VRS and started a courier company and did
very well in the first four years. He was now looking for expansion of his business and decided to
venture into Road transportation business between Chennai and Mumbai and Mumbai and Delhi as he
felt that he could do well on this line. However before taking a final decision he hires your
Management Consultant firm formed by yourself. He has requested you to work out the Price to quote
his clients for these two routes considering the costs involved. He expects to earn a minimum profit of
Rs 1000 per day per truck after meeting all expenses. Your analysis of market conditions tell you the
following:
Vehicle cost Rs 7 lacs Depreciation 15 % Maintenance costs per day Rs 150 Drivers monthly Salary
Rs 5000 : Attendants monthly salary Rs 3000 . Misc expenses Rs 200 per day. Driver allowance is Rs
125 per day and attendant gets Rs 75. Diesel cost per liter is Rs 25 and the vehicle gives an average
mileage of 4 km to a liter. The Financial institutions offer loans at 10 % interest pa, which Ramjee has
been negotiating. It has been observed that on an average the vehicle covers 400 km per day. The
distance between Mumbai to Delhi is 1500 km and Mumbai to Chennai is 1350 km. The driver gets
rest day in Mumbai only for one day after they return from any trip.

Related Discussions:- After working for 30 years, Ramjee Somjee Dutt

#title=OEF., TWO HANDED CHART WITH 10 OPERATIONS

TWO HANDED CHART WITH 10 OPERATIONS

Compute labor productivity change, Eric Johnson makes billiard balls in his...

Eric Johnson makes billiard balls in his New England plant. With recent increases in his costs, he has a newfound interest in efficiency. Eric is interested in determining the prod

Explain efects in the accounts receivable department, Category- 1) Invoi...

Category- 1) Invoice Amount does not agree with check amount 2) Invoice not on record 3) No formal invoice issued 4) Check (payment) not recieved on time 5) Check no

Calculate first''s rop, First printing has contracts with legal firms in Sa...

First printing has contracts with legal firms in San Francisco to copy their court documents. Daily demand is almost constant at 12,500 pages of documents. The lead time for paper

Explain what is the theoretical number of workstations, Tasks: A - 20 sec -...

Tasks: A - 20 sec - no precedence B - 7 sec - preceded by A C - 20 sec - preceded by B D - 22 sec - preceded by B E - 15 sec - preceded by C F - 10 sec - preceded by D G - 16 sec -

Explain why is mis one of the most important courses, Why is MIS one of the...

Why is MIS one of the most important courses for a business student?

Explain opportunities that have inspired change in business, Generate and d...

Generate and discuss examples of problems and opportunities that have inspired change in business today

Define productivity percentage change for each category, 1 Eric Johnson mak...

1 Eric Johnson makes billiard balls in his New England plant. With recent increases in his costs, he has a newfound interest in efficiency. Eric is interested in determining the pr

Explain the proper marketing, Marketing strategy consists of selecting a se...

Marketing strategy consists of selecting a segment of the market as the company's target market and designing the proper marketing "mix" that meets the needs of that segment. Discu

Mass customisation - operation strategy, Mass Customisation - Operation Str...

Mass Customisation - Operation Strategy This example of mass customisation is rather limited in scope to denim trousers. A customer who wishes to purchase a jacket of a partic

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd