The Active and Passive transport worksheet answer is most important thing to think about. Both are supported by the overall transport model, but where one has a greater impact on more projects there is greater opportunity.
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Let’s look at some examples. The maximum transport that will be involved in an Auto Project is Variable Cost of Sales. Where a 3-cycle Variable Cost of Sales cycle can be several thousands of dollars or more when a company completes an Auto project, the impact on Variable Cost of Sales may be much greater.
Here is a quick review of the variables involved in the Variable Cost of Sales cycle. First there are Manufacturer Cost, Labor Cost, Shipping Cost, Distribution Cost, and parts Cost. These costs can be listed or individually identified and entered. Many companies give the customer a model for the Variable Cost of Sales cycle and include just the Variables.
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With the Variables in the box, enter those that apply to the project. You may have to double check this. Some of the Variables that are normally entered in the Variables box may be things like the time, material, materials and labor.
For each Variable of Variable Cost of Sales enter the amount in parentheses in terms of dollars. One of the key benefits of using a Worksheet is that you can often see the Variables as a Pro and Con list, with Pros being less cost than the others.
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Another major Active and Passive Transport Worksheet answers concern “If any.” For the Active Transport Cycle there are two possible answers to this question. It could be either the Automotive Cycle or any of the other Cycle tracks.
For the Passive Transport Cycle consider a case where the customer has ordered a car, has paid for it, shipped it, and have no further production orders. That is pretty simple. There is no Shipping Track, so how much will the Company lose in terms of shipping costs? If the shipping amount was above normal, the Active Transport Cycle worksheet answer is to remove it from the Active Transport Worksheet answer.
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If the Passive Transport Worksheet answer is the “No,” then there is no Carrier Track is a Release from the Active Transport Worksheet answer. So it doesn’t matter, since there is no further production need. For the Passive Transport Worksheet answer there is only the Inventory and Carrier Tracks.
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