Q:$1.$ Introduction $)$:

Q$2$ What is the monthly cost for the current situation using disposable bins? Include the detailed figures as an Appendix and provide a overview

Q$3$ What are the costs over $5$ years and compare with $3$PL $(10\%)$: Detailed calculations can be in the Appendix $($clearly signposted$)$ and discuss the overview in your report.

Q: $4$ What are the reusable options available apart from the lattice boxes? $(15\%)$: Explain the options, including an evaluation of their strengths and weaknesses and demonstrate which option is best and why.

Q: $6$ Critically discuss future issues

Reusable transport bins

Automobile, based in Landshut, is an internationally renowned automaker. The company has also made a name for itself in the production of axles and counts $50,000$ employees to its payroll, $15,000$ of whom work at headquarters.

Because sales and profits have declined recently, Automobile is searching for savings potentials and additional customers. In the past years, negative press and radio coverage have been mounting against Automobile concerning its environmental policies. The company's refusal to switch from disposable to reusable transport bins and the resulting waste, which is to a great extent avoidable, according to environmental organisations, is a highly criticised issue.

Automobile suspects that large portion of its unrealised potential sales results from customers switching to other car brands due to this controversy. In order to win back these customers and potentially simultaneously reduce costs, the company would like to find out whether a comprehensive implementation of reusable transport bins is feasible. Two companies have been selected for analysis $-$ Allied Auto of Hamburg and Tractormaker in Leipzig.

Allied Auto is a wholly$-$owned subsidiary of Automobile and produces vehicles for the parent company, from which it sources axles directly. Allied Auto's core competency, however, remains the production of tractors seats, which it delivers to Tractormaker in Leipzig. Tractormaker is specialised in the manufacture of tractors and transmissions of every kind with which it supplies Automobile.

Exchanges of goods between Automobile and Allied Auto are performed using standard European lattice boxes: the boxes are owned by Automobile and are imprinted accordingly in order to avoid confusion. Disposable packaging is used for all other deliveries.

Five axles or one tractor seat and four transmissions fit into one standard European lattice box. Disposable containers are procured for the tractor seats; each container can accommodate two seats. Due to their high susceptibility to damage, transmissions are transported in single disposable containers.

Disposable axle containers cost $4\mathrm{.}50$ Euros each with an additional cost of $0\mathrm{.}30$ Euros for inlays. The tractor seat containers are ordered at a price of $3\mathrm{.}50$ Euros each and transmission packaging is calculated at $3\mathrm{.}50$ Euros each plus $0\mathrm{.}35$ Euros for each inlay. Transport costs per container are shown in the table below.

$\backslash$table$[[$Cost in Euros,Landshut to Hamburg,Hamburg to Leipzig,Leipzig to Landshut$],[$Lattice box,$10\mathrm{.}50,6\mathrm{.}30,6\mathrm{.}80],[$Disposable axle bin,$9\mathrm{.}90,4\mathrm{.}80,5\mathrm{.}15],[$Disposable seat bin,$7\mathrm{.}10,3\mathrm{.}60,3\mathrm{.}85],[\backslash$table$[[$Disposable$],[$transmission bin$]],9\mathrm{.}30,3\mathrm{.}90,4\mathrm{.}10]]$

The reusable transport bins have a throughput time of two days per company. Generally, bins are en route from Landshut to Hamburg for two days and for only one day on the other routes. Each month contains $20$ working days.

A new lattice box costs $160\mathrm{.}00$ Euros and is depreciated linearly over $5$ years. The average useful life is also five years.

For axle transport, disposable containers and lattice boxes are lined with cardboard inlays which are drenched in oil by the time of delivery and must thus be disposed of as hazardous waste in accordance with strict environmental regulations. The bin itself remains virtually spotless.

Disposable cardboard boxes for tractor seats and transmissions normally reach the customer without collecting considerable grime. To protect against damage, transmissions are shipped with a foam inlay, which must be disposed of properly. One inlay is required per bin.

Material disposal volumes are shown in the table below:

$\backslash$table$[[$Item$,$Volume $($cubic meters$)],[$Disposable axle bins,$0\mathrm{.}8],[$Axle inlay,$0\mathrm{.}2],[$Disposable tractor seat bins,$0\mathrm{.}7],[$Disposable transmission bins,$0\mathrm{.}9],[$Transmission inlays,$0\mathrm{.}25]]$

The options for disposal of the materials are shown in the table below:

$\backslash$table$[[$Container type,Volume $),\backslash$table$[[$Cardboard$],[($Euros$)]],\backslash$table$[[$Hazardous waste$],[($Euros$)]],$Foam $($Euros$)],[$Fixed dumpster,$10,775,1,450,345],[\backslash$table$[[$Wheeled$],[$dumpster$]],5,450,790,198],[\backslash$table$[[$Container$],[$dumpster$]],36,2,550,3,550,883]]$

The number of transported units per month is:

Axles $-4,000$

Tractor seats $-800$

Transmissions $-3,200$

This should be a fully referenced as harwHarward

Q$7$ : Conclusions $(5\%)$