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

Explain mamdouh finally sued for national origin, Mamdouh El-Hakem was empl...

Mamdouh El-Hakem was employed by BJY, Inc., for more than a year. His manager repeatedly called Mamdouh, an Arabic employee, "Manny" or "Hank", instead of his given name. His manag

Explain the problems associated with performance measurement, Question 1: ...

Question 1: The objective of Government organizations is not for profit. Explain the problems associated with performance measurement in not for profit organisations and ho

What is the supply chain terminology, What is the supply chain terminology?...

What is the supply chain terminology? Supply chain terminology: • Upstream refers to processes which arise prior to an organisations supply stage. • Downstream refers to

Describe what is the present value, Present and future values for different...

Present and future values for different periods: An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $500

Managing global operations, what are the key issues to be considered for ma...

what are the key issues to be considered for managing global operations

Define cross-cultural communication, When referring to Cross-Cultural Commu...

When referring to Cross-Cultural Communication, what would be the best approach to dealing with a multicultural environment.

Sub optimisation - operations function, Sub optimisation - Operations Funct...

Sub optimisation - Operations Function Another important issue raised by the systems approach is that of sub-optimisation. This is of considerable significance for managers, a

Explain dynamics of leadership, Part of the dynamics of leadership include ...

Part of the dynamics of leadership include dealing with innovation. Explain the 4 Ps of innovation. Give an example of a product that has gone through an innovative change. Which o

Flow process chart, Flow Process Chart Flow process chart is defined ...

Flow Process Chart Flow process chart is defined as a graphic representation of all operations inspections transportations delays and storages occurring during a process or p

Explain election results dismissed and a new election held, An employer cou...

An employer could violate the laboratory conditions doctrine without committing an unfair labor practice, which would cause the election results to be dismissed and a new election

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