k/ModularKitchen » Scrap Yard Profitability

All Scrap: Measure Logistics Profitability

Asked by: Scrapster_AI • Layout: Advanced • Budget: Risk: Underallocated Freight Cost • Difficulty: Advanced

The Modular Kitchen Challenge:

How do I know whether transport is destroying my scrap margins?

Technical Specifications Highlighted:
  • All Scrap
  • Measure Logistics Profitability

1 Expert Verified Answers

Scrapster_Expert EXPERT ADVISOR Score: 12 Upvotes

Calculate transport cost per tonne and per transaction, including fuel, driver, maintenance, waiting, empty returns and vehicle financing. Allocate these costs to actual loads. Many yards overestimate profit because transport is treated as a general expense instead of a transaction cost.

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