The company is planning to expand its Business by Procuring Marine species from the coastline of...

   

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The company is planning to expand its Business by Procuring Marine species from the coastline of Tamil Nadu and transporting/ exporting it to high demand domestic and international market. The scope of this Case study is limited to Procuring the materials/ SKUs from various Landing centres situated on the coastline of Tamil Nadu & transporting it to one of the Collection centres. Key Objective: To minimize Cost per Kg (CPK) of the operation. CPK is one of the key metrics which tells the overall cost incurred on per Kg of material. Cost to be included: Ice cost, Transportation cost, Crate cost. Considering the dynamic nature of the business, we will take into account some assumptions to ease the calculations. You can find the assumptions as and when required while going through the case. Landing Centres & Collection Centre: Landing Centres KA-1 KA-2 KA-3 KA-4 KA-5 KA-6 KA-7 KA-8 KA-9 TU-1 Go-Return Time 1 a.m. - 7 a.m. 5 a.m. 4 p.m. 10 p.m. - 5 a.m. 5 a.m. 1 p.m. 3 p.m. - 6 a.m. 5 a.m. 1 p.m. 5 a.m. - 6 p.m. 3 p.m. 10 p.m. 3 a.m. 10 a.m. 3 a.m. - 7 a.m. 3 a.m. 10 a.m. 4 a.m. -8 a.m. 3 a.m.7 a.m. 3 p.m. -8 a.m. 3 a.m. -8 a.m. BEEEE 3 a.m.7 a.m. . 5 p.m. - 5 a.m. 2 a.m. 6 a.m. 2 a.m. -7 p.m. 3 a.m. -7 p.m. 3 a.m. - 7 a.m. 3 a.m. - 9 a.m. 3 p.m. - 6 a.m. 3 a.m. - 9 a.m. 4 a.m. -7 p.m. 2 a.m. - 7 a.m. TU-2 TU-3 TU-4 TH-1 TH-2 TH-10 TH-11 TH-12 TH-13 TH-14 Distance (Km) 3. Min. Landing Qty (Tonnes) 3 Lange 15 15 10 3 10 6 7 15 3 7 2 35 6 10 5 Max. Landing Qty (Tonnes) 75 9 15 4 3 15 15 17 25 5 20 25 20 20 15 4 15 8 8 5 p.m. - 6 a.m. *All the distances mentioned above is measured from our Collection centre *Consider KA, TU, & TH as three Clusters and Collection Centre located in between KA-7 & KA-8 *KA-1 to KA-7 are located to One side of Collection centre whereas rest landing centres are located to another side of collection centres. 20 4 9 3 50 8 15 6 Landing Centres are the coastline regions where the fishermen collectively land their boats after catching fishes. All the distances mentioned in the above table are measured from our Collection centre. Go - Return Time is the time at which the fishermen leave to catch the fishes and returns after catching happens. For example: 1 a.m. -7 a.m. means the boats leave at 1 a.m. in the morning and returns at 7 a.m. in the morning on same day. 5 a.m. - 4 p.m. means the boats leave at 5 a.m. in the morning and returns at 4 p.m. in the evening on same day. 10 p.m. - 5 a.m. means the boats leave at 10 p.m. in the night and returns at 5 a.m. in the morning on next day. Min. & Max. landing Qty. are the Minimum and Maximum landing quantity (in Tonnes) on a single day. Assumptions: 1. In a week of 7 days, landing happens daily. Assume that Max. quantity lands for 3 Days & Min. quantity lands for 4 days. (Hint: Take the average landing quantity per day considering the above assumption) 2. Our buying potential is 10% of average landing quantity happening in a day and we buy the materials daily without fail. Our collection centre has Infinite capacity. Ice & Crate Information: We will use crates of 65 Litres capacity. A single crate consists of 30 Kg of Fish and equivalent ice. Cost of one crate is Rs. 700 and the life span of crate is 2 years where it can be used multiple times. Ice in the crates will be effective for maximum 10 hours after crate building (Crate building means putting the fish and ice into the crate and stacking the built crate). Assumptions: 1. Ice required = 50% of the Fish quantity 2. Ice will be available at every landing centres. Cost of 1 ice can of weight 50 Kg is Rs. 150 The company is planning to expand its Business by Procuring Marine species from the coastline of Tamil Nadu and transporting/ exporting it to high demand domestic and international market. The scope of this Case study is limited to Procuring the materials/ SKUs from various Landing centres situated on the coastline of Tamil Nadu & transporting it to one of the Collection centres. Key Objective: To minimize Cost per Kg (CPK) of the operation. CPK is one of the key metrics which tells the overall cost incurred on per Kg of material. Cost to be included: Ice cost, Transportation cost, Crate cost. Considering the dynamic nature of the business, we will take into account some assumptions to ease the calculations. You can find the assumptions as and when required while going through the case. Landing Centres & Collection Centre: Landing Centres KA-1 KA-2 KA-3 KA-4 KA-5 KA-6 KA-7 KA-8 KA-9 TU-1 Go-Return Time 1 a.m. - 7 a.m. 5 a.m. 4 p.m. 10 p.m. - 5 a.m. 5 a.m. 1 p.m. 3 p.m. - 6 a.m. 5 a.m. 1 p.m. 5 a.m. - 6 p.m. 3 p.m. 10 p.m. 3 a.m. 10 a.m. 3 a.m. - 7 a.m. 3 a.m. 10 a.m. 4 a.m. -8 a.m. 3 a.m.7 a.m. 3 p.m. -8 a.m. 3 a.m. -8 a.m. BEEEE 3 a.m.7 a.m. . 5 p.m. - 5 a.m. 2 a.m. 6 a.m. 2 a.m. -7 p.m. 3 a.m. -7 p.m. 3 a.m. - 7 a.m. 3 a.m. - 9 a.m. 3 p.m. - 6 a.m. 3 a.m. - 9 a.m. 4 a.m. -7 p.m. 2 a.m. - 7 a.m. TU-2 TU-3 TU-4 TH-1 TH-2 TH-10 TH-11 TH-12 TH-13 TH-14 Distance (Km) 3. Min. Landing Qty (Tonnes) 3 Lange 15 15 10 3 10 6 7 15 3 7 2 35 6 10 5 Max. Landing Qty (Tonnes) 75 9 15 4 3 15 15 17 25 5 20 25 20 20 15 4 15 8 8 5 p.m. - 6 a.m. *All the distances mentioned above is measured from our Collection centre *Consider KA, TU, & TH as three Clusters and Collection Centre located in between KA-7 & KA-8 *KA-1 to KA-7 are located to One side of Collection centre whereas rest landing centres are located to another side of collection centres. 20 4 9 3 50 8 15 6 Landing Centres are the coastline regions where the fishermen collectively land their boats after catching fishes. All the distances mentioned in the above table are measured from our Collection centre. Go - Return Time is the time at which the fishermen leave to catch the fishes and returns after catching happens. For example: 1 a.m. -7 a.m. means the boats leave at 1 a.m. in the morning and returns at 7 a.m. in the morning on same day. 5 a.m. - 4 p.m. means the boats leave at 5 a.m. in the morning and returns at 4 p.m. in the evening on same day. 10 p.m. - 5 a.m. means the boats leave at 10 p.m. in the night and returns at 5 a.m. in the morning on next day. Min. & Max. landing Qty. are the Minimum and Maximum landing quantity (in Tonnes) on a single day. Assumptions: 1. In a week of 7 days, landing happens daily. Assume that Max. quantity lands for 3 Days & Min. quantity lands for 4 days. (Hint: Take the average landing quantity per day considering the above assumption) 2. Our buying potential is 10% of average landing quantity happening in a day and we buy the materials daily without fail. Our collection centre has Infinite capacity. Ice & Crate Information: We will use crates of 65 Litres capacity. A single crate consists of 30 Kg of Fish and equivalent ice. Cost of one crate is Rs. 700 and the life span of crate is 2 years where it can be used multiple times. Ice in the crates will be effective for maximum 10 hours after crate building (Crate building means putting the fish and ice into the crate and stacking the built crate). Assumptions: 1. Ice required = 50% of the Fish quantity 2. Ice will be available at every landing centres. Cost of 1 ice can of weight 50 Kg is Rs. 150

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