Costing and Pricing Of Transport Samples †MyAssignmenthelp.com

Question: Discuss about the Costing and Pricing Of Transport. Answer: Introduction The report is intended to compare and contrast the different pricing arrangement of Celero, which has been considered as an independent logistics group based in Mauritius. The different types of the comparisons have been further seen to recommend for peak in demand for its services and how these can be implemented along with the control demand. Discussion Transport demand is identified as the capacity of the transport infrastructure and the modes for geographically defined transport system. This has been determined with fully or partially expressed values in terms of the number of people. Transport supply is considered as the geographically defined mode of the transportation services which are based on certain time period. In addition to this, the supply has been determined with the infrastructures capacity and frequency of the services. Capacity has been further assessed as per the static and dynamic means which is able to represent the space amount available for transport (Kolisch, Brunner and Larsen 2016). The common goal for fulfilling of the derived transport demand has been seen to be based on the various types of the consideration which has been seen to be related to support for mobility. The demand for the services can be further related to provide transport supply. In addition to this the interdependency factor can be considered as the main concept for supply and demand. The different types of pricing arrangements of transport in an operation need to be considered as per the cost of services and value of service. The cost of service pricing has been seen to be based on the established transport cost which varies with the cost of service as per the distance and volume approach. The value of the service pricing has been further based on the demand of transportation and the competitive situation (Hitt, Xu and Carnes 2016). In terms of the shipping cost the different types of the transportation pricing has been further based on the various type of the pricing consideration has been discerned with Free on Board pricing, factory gate pricing, delivered pricing zone pricing, quantity discounts, allowances and pricing and negotiations (Slack, Chambers and Johnston 2013). With particular consideration for Celero it has been observed that the shippers are seen to be focusing more than fewer carriers and greater emphasis on the different types of the negotiated prices. The main form of the negotiation process has been seen to be evident with the development of the mutually benefitting agreements and the same has been recognised with the performance motivation variances. The most significant form of the negotiation peeress has been further able to state on the various tryout the factors which been related to the carriers and shippers working towards a common goal to reduce the base cost of the carriers (Harvey, Heineke and Lewis 2016). Conclusion The main depiction has been able to state that the demand for the transportation has been related to the consumptive and the productive transport needs. The pricing arrangement has been further related to the Cost-of-service pricing and Value-of-Service Pricing. References Harvey, J., Heineke, J. and Lewis, M. (2016) Editorial for Journal of Operations Management special issue on professional Service Operations Management (PSOM), Journal of Operations Management, pp. 48. doi: 10.1016/j.jom.2016.03.005. Hitt, M. A., Xu, K. and Carnes, C. M. (2016) Resource based theory in operations management research, Journal of Operations Management, 41, pp. 7794. doi: 10.1016/j.jom.2015.11.002. Kolisch, R., Brunner, J. O. and Larsen, J. (2016) Airport operations management, Computers and Operations Research, p. 163. doi: 10.1016/j.cor.2015.09.001. Slack, N., Chambers, S. and Johnston, R. (2013) Operations Management, Operations Management. doi: 9780132342711.