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Is possible to make effective cost control in logistic operation excluding the transportation charges ?

Transportation charges can't be reviewed for the changes . In this case what are the other way to reduce or cut cost in opertion

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Question added by Shaik Alavudeen Amanullah , Business Development Executive , Saadi Saad Al Harbi & Partners Company
Date Posted: 2017/03/28
salimahmad mujawar
by salimahmad mujawar , Senior Cost Controller , ARKAD Construction LLC

1. You need to list down tasks & assign the task with timely manner which will utilize all your logistic equipment or vehicles and it will reduce the excess numbers.

2. Provide job card to operators and ask them to get approval from customers which will get exact time of working schedules. Once you have that you will avoid idle time by operators.

3. Motivate Multiskilling operators to avoid hiring each individuals against requirements.

4. Motivate Drivers with bonuses for their fuel logs against KM running, safety drive & efficient work.

To make effective cost control,Transportation plays a huge role as its directly related to our cost and should be included in logistic operations.

Deleted user
by Deleted user

No, as its obvious that transportation charges are principal to logistic operation, these charges can be tightened or controlled with effective management but canot be excluded from logistic operatio for effective cost control

Arun Mawri
by Arun Mawri , Operations Manager , ILONA

yes of course Transportation plays a huge role as its directly related to our cost. We should ensure that each time our vehicle go in area, it should cover all other tasks. Which can be pre planned.

Ahmad Seif
by Ahmad Seif , Plant Manager , Takween Advanced Industries

reduce the time and motion

Somnath Shukla
by Somnath Shukla , Manager , Flipkart Pvt. Ltd. (Parent Company Wallmart Ltd)

Transport cost is total cost incurred while dispating the goods, The Total transport cost mus not more that 1.5 %of total sales turnover.

Ajmal PH
by Ajmal PH , PROCUREMENT OFFICER , JUNAID SANITARY WARE

Labor costs should be split into direct (hourly staff who do the work) and indirect (hourly supervisory staff or salaried management).  Further, the cost of direct hourly staff should be broken down into employed staff and temporary (contract) staff.

 

Luis Cardozo
by Luis Cardozo , Planning & Administration Control , Petrolera Sinovensa

Transportation is just part of the loggistic operation process. So, by reviewing  each one part into the all process could be meked some cost control.

Rahul Vijay
by Rahul Vijay , Management Consultant- Project Operations , Lares INC.

For efective cost control of logistic always include transportation charges for proper control the costing.

Pradeep Srivastava
by Pradeep Srivastava , Group leader (DGM) , Minda stoneridge instruments limited

Yes this is possible by the Improvment in the packing and Value added activity 

MHD Feras AL Azzam
by MHD Feras AL Azzam , Construction Project Manager , Al-Gumiha and partner Co

  1. Logistics Cost Reduction by Focusing on Safety
  2. Focus on Labor Costs
  3. Focus on Preventative Maintenance
  4. Focus on the Use of Systems & Tactical Technology
  5. Focus on Suppliers for Logistics Cost Reduction
  6. Focus on the Labour

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