HARDEE QUESTION 1 & 2
The option to relocate and diversify into a new market was provided to Hardee Transportation. Due to the insufficient number of backhaul opportunities, the corporation had been attempting to avoid moving between Pittsburgh and Miami. The new transfer between Pittsburgh and Miami can nonetheless proceed, but with certain restrictions. We have discovered that pursuing the new move would be expensive, that it is difficult to distribute the available labour, and that the lack of prior experience in sorting and segregating will necessitate the use of additional resources, including time, money, and expensive training programmes. For sorting and segregation, the pallets must be broken apart, the freight must be sorted by the retailer’s shop areas, and the pallets must then be repalletized for each store.
The objective is to check where the moving is under profit or not and to reduce the cost while increasing the profit.
There are many things which we learnt from this assignment but some major key highlights that we found very beneficial are –
- Investing in a reputable insurance provider gives customers access to money in the event of unanticipated mishaps while driving. You don’t need to be concerned about going over your spending limit because the insurance provider pays the other party on your behalf.
- Cost-plus pricing, competitive pricing, value-based pricing, price skimming, and penetration pricing are just a few of the pricing techniques that Hardee Transportation can apply. The price is more in line with customer expectations when employing value-based pricing, and the company can match the value of the customer.
Also there are some things which we can improve compared to our previous submission. Knowing the client’s primary goal and the primary reason they came out and requested help is essential before you present to the client. Hardee Transportation’s primary objectives in this study are to ensure that the moves are profitable, to lower costs while increasing profits, and to ensure that the moves are profitable. The team presented a plan for increasing personnel during the class discussion, with the team arguing that Hardee would profit financially from adding 1 extra line-haul driver through slip seating and 1 more dock worker. The team failed to provide a tabular calculation of the amount of savings the business may achieve with this strategy. If Hardee Transportation decides to use slip-seating and hire dock workers, the savings calculated in the table above are what they stand to save. It is crucial to provide clients with a visual demonstration of the amount of money they may save by adopting this technique.
Hardee Transportation Question 3 & 4 Reflection
In this assignment, we were discussing about the profitability of entering into a new transportation market. We were given the case of Hardee Transportation, who was entering into a new market. The assignment was all about calculating the pickup, sort, line-haul, and delivery costs, and the total cost of the moving in order to analyze the profitability of new market. We were given the all the cost related data’s for the determining the overall cost of the move.
Total pick up cost = $833.32
Total sorting cost = $417.36
Total line haul cost =$1914.883
Total delivery cost = $88
Total cost of moving =$3578.919
Cost per revenue mile = $2.8
Our calculations showed that Hardee’s management should consider the number of drivers the firm has, where they are situated, and what the company’s terminals do when evaluating its self-evaluation. After completing an internal audit, the management team at Hardee’s may enhance customer relations by visiting clients and making ideas for modifications. These changes will improve the two parties’ business relationship while also increasing revenues and lowering costs.
Reflection for Leaf Men’s Wear
Objective: Identifying the cheapest transporting Company in order to reduce the transportation costs.
Evaluating the amount, revenue and potential business sales and quantity of shipping our team has chosen to propose Chase Trucking Ltd after estimations to be the least carrying costs of any other company, which is 282105 $. Chase Trucking Ltd is reliable guide for the contract signature. It coincides with the reduced budget of the company and therefore can make substantial savings.
|Logistics Companies||Chase Trucking Ltd.|
We also estimated the costs for new sales shipment plans in which the total shipment cost will rise.
|Logistics Companies||Vancouver||Edmonton||Winnipeg||Montreal||Final cost|
|Chase Trucking Ltd.||$1582.62||$730.38||$578.34||$249.2||$3812.68|
Chase Trucking Ltd. Indicates that the total cost of $2789.82 rises to $3812.68. New revenues showed Vancouver’s greatest growth. Where ultimate cost surged by almost 80%.
Our group suggested that shipments should be combined at the destinations to decrease the cost. We were unsure of the customer demands of the areas that can raise questions regarding the recommendation. Storage facility set up in all the five destinations will reduce transport costs even farther. It is also important to note that the shipment should be made with the required quantity of 1000lb and not less than that.