Business Observation Paper
For this assignment I decided to observe three different companies: vehicle shipping company National Transport, LLC, medium size, kitchen cabinet-making Kraftmaid Cabinetry Company, and a freight and logistics trucking company RM Logistics, LLC.
The first company, National Transport, LLC ships vehicles statewide, nationwide, and worldwide. They cooperate with local auctions, personal buyer and sellers, and insurance companies; I think that is the main reason of their success. The owner manages all operations; employees do the loading job. Operations and input involved in the process are receiving the order, picking up cars from locations, storing and loading them in containers, shipping with their own trucks and drivers, tracking delivery on the railroad and …show more content…
Main OMM cost for this company is shipping container from continent to continent; it cost them a minimum of $3000. I think it should be considered as some sort of distributing cost. Since they have their own towers and forklifts, the other expenses are rent for warehouse and land, which are considered Plant cost. Paying for labor to load vehicles, drive trucks, and truck maintenance is one of their second highest expenses. Employees are organized very simple: they have a few teams and the leader for each team; but two people are especially unique, because they know how to fit five cars in one container (normally they load four). Their best tip for competition is the price; it is lower than any other shipper. Honestly, there is not much competition in the area of worldwide shipping, so despite their low quality services they have many customers.
The second company, Kraftmaid cabinet-making business was founded in Independence, Ohio in 1969. They
The first company, National Transport, LLC ships vehicles statewide, nationwide, and worldwide. They cooperate with local auctions, personal buyer and sellers, and insurance companies; I think that is the main reason of their success. The owner manages all operations; employees do the loading job. Operations and input involved in the process are receiving the order, picking up cars from locations, storing and loading them in containers, shipping with their own trucks and drivers, tracking delivery on the railroad and …show more content…
Main OMM cost for this company is shipping container from continent to continent; it cost them a minimum of $3000. I think it should be considered as some sort of distributing cost. Since they have their own towers and forklifts, the other expenses are rent for warehouse and land, which are considered Plant cost. Paying for labor to load vehicles, drive trucks, and truck maintenance is one of their second highest expenses. Employees are organized very simple: they have a few teams and the leader for each team; but two people are especially unique, because they know how to fit five cars in one container (normally they load four). Their best tip for competition is the price; it is lower than any other shipper. Honestly, there is not much competition in the area of worldwide shipping, so despite their low quality services they have many customers.
The second company, Kraftmaid cabinet-making business was founded in Independence, Ohio in 1969. They