Management consultant firm, 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:- Management consultant firm

Explain major operations planning activities, In an overview of the major o...

In an overview of the major operations planning activities in a typical logistics organization, which of the following activities follows aggregate sales and operations planning? a

Explain artists and producers royalties, Downloading music, radio, and vide...

Downloading music, radio, and video programs from the Internet is easier than in the past, but some companies are still worried that people will illegally obtain copies of this pro

Capacity implication, how can make a plan for appropriate capacity of a cin...

how can make a plan for appropriate capacity of a cinema by replacing amount of standard seats with luxury seats?

Explain the marketing objective for a product in the, The marketing objecti...

The marketing objective for a product in the _____ stage of the product life cycle is to create consumer awareness and gain trial. introduction growth maturity decline

Explain how it affects the body in a negative way, A good thesis statement ...

A good thesis statement on the subject- Working Overtime: How it affects the Body in a Negative Way

Explain a sports marketing mix for your organization, 1. generate a sports ...

1. generate a sports marketing mix for your organization to address the promotion mix of advertising, public relation, sales promotion and pricing 2. Justify market selection de

What challenges does develops his five year product roadmap, What challenge...

What challenges does Adam-Woodford face as he develops his five year product roadmap?

Compute the aggregate production rate, The BackPack Company produces a line...

The BackPack Company produces a line of backpacks. The manager, Jill Nicholas, has decided that the BackPack Company must have very good customer service. She has asked you to d

Explain risk assessment methodologies, Discussion 1- Thinking about any act...

Discussion 1- Thinking about any activity that you engage in that involves risk, developed a risk management plan for that activity. Discussion 2- Compare and contrast the follo

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