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Showing posts with the label FREIGTH COST

DIRECT TO CUSTOMER

 In the ERA of Covid 19 pandemic, business down, people at home so all we need to think about some different structure altogether. I am working in Cake and Bakery unit, people will consume, but how the product will get cater to customer point directly. The solution we have arrived is to tie up with various courier service, For Ex :- Letter gets delivered then why not materials. If we get registered our product into any modern trade format 25% - 30% margin need to be assured from MRP + freight + Distribution cost. Altogether calculate and spend the money for courier service. Its the fact very low val sku might not get delivered but make a bundle pack, special packaging with a bubble pack and the materials ready to travel. People will go to the website and place the order, prepaid and just need to inform a courier . Materials will get picked from warehouse end get delivered. Benefit we can reach customer to every point of the nation, and digital marketing reqd to promote the same onl...

Business to Customer Logistics

   In the Covid 19 Pandemic, logistic is a important role to play. For Ex :- As sales down , loadability is a issue  distributor not eger to take volume. Then what's the option  ? Bulk Breaking Arrange courier to deliver the same to pic the materials from warehouse to retailer . Only packaging need to be good to enhance the visibility and damage reduction. On the way it can be ensured that there is no gap in the market. Deal in bulk to reduce freight & calculate margin so in normal distributor did not complain for rate issue. Design a APp and give a advertisement. Think in some holistic way. Sumit Chatterjee Senior Supply Chain Manager Dream Bake Pvt Ltd ( Brand Winkies , Mainly into package Cakes division ) Faculty member for Management Subject under Techno India University . More than 10 + years’ experience in FMCG Supply Chain CII Certified Supply Chain Management Professional MBA Marketing & Finance from Future Business School Post Graduate Diploma in Log...

FREIGHT COST CALCULATION

  The important question is to how to calculate freight cost ?  The distance from x to y certain transporter want x amount . For Ex take certain parameters before negotiation PER TRIP FREIGHT Kolkata to Guwahati  present mkt rate Rs 60 k Distance 1010 km Approx.3.5 mileage so Diesel 78 / per liter Diesel costing approx. :- = 1010/3.5 = 288 ;  288 *78 = 22.5 k Standard time :- 5 days  So   Driver Salary 20 k , per trip approx. 5 k Maintenance monthly 10 k, per trip approx. 2.5 k EMI :- 20 k monthly, so per trip 5 k So costing coming around 35 k Misc 5 k Approx. 40 k will be grand total On per trip transporter is charging 20 k profit . If the homework is done , you are in a position with the parameters to negotiate and deal with a transporter . Its very much important to negotiate on the right path.  Also keep in mind payment terms , return load and market demand and supply for the same. For ex if there is no return load transporter will charge retu...