Hi all, I would like to request you to please provide me with the formula on how to calculate the per-person cost of transportation. Currently, we have 110 staff members who are using daily cabs for pick-up and drop-offs, and our approximate cost is 3.50 Lac per month.
Thanks in advance.
From India, Ludhiana
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4Thanks in advance.
From India, Ludhiana
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Shivraj - I use two methods of costing this out. One is the popular average cost method - 3.50 divided by 2 (considering both pick up and drop) equals 1.75, which is then divided by 110. However, this is expensive since the actual number of trips the transporter makes is closer to 2 per drop (one to go to the pick-up point and then return to the office, and the reverse at the drop). So, it's up to you to decide if you want to divide the monthly bill by 4 trips or 2.
I prefer a 'real-time' method - each employee logs in the kilometers for all times, for a period of 30 days, and I reconcile the cost against each employee at the end. This allows me to reconcile the cost against each employee so I can put in place limits for transport or transport boundaries/restrictions to hiring managers, managing with a lower transport budget.
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I prefer a 'real-time' method - each employee logs in the kilometers for all times, for a period of 30 days, and I reconcile the cost against each employee at the end. This allows me to reconcile the cost against each employee so I can put in place limits for transport or transport boundaries/restrictions to hiring managers, managing with a lower transport budget.
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