Welcome! Please use the navigational links to explore our website.
PartsASAP LogoCompany Logo (800) 853-2651

Shop Now

   Allis Chalmers Case Farmall IH Ford 8N,9N,2N Ford
   Ferguson John Deere Massey Ferguson Minn. Moline Oliver
 
Marketplace
Classified Ads
Photo Ads
Tractor Parts
Salvage

Community
Discussion Forums
Project Journals
Your Stories
Events Calendar
Hauling Schedule

Galleries
Tractor Photos
Implement Photos
Vintage Photos
Help Identify
Parts & Pieces
Stuck & Troubled
Vintage Ads
Community Album
Photo Ad Archives

Research & Info
Articles
Tractor Registry
Tip of the Day
Safety Cartoons
Tractor Values
Serial Numbers
Tune-Up Guide
Paint Codes
List Prices
Production Nbrs
Tune-Up Specs
Torque Values
3-Point Specs
Glossary

Miscellaneous
Tractor Games
Just For Kids
Virtual Show
Museum Guide
Memorial Page
Feedback Form

Yesterday's Tractors Facebook Page

  
Tractor Talk Discussion Board

Re: Free JD parts - what's up with that?


[ Expand ] [ View Replies ] [ Add a Reply ] [ Return to Forum ]

Posted by JRSutton on November 27, 2012 at 08:51:57 from (75.130.109.233):

In Reply to: Re: Free JD parts - what's up with that? posted by Dean on November 27, 2012 at 06:09:56:

Very true - I agree with your overall point...

but you do have to be careful with such detail numbers.

Many cost accountants come out with figures like that, then everybody assumes that each letter sent must be carefully considered because they each cost $50, which is a huge mistake.

It doesn't include the spare time factor - it assumes that the workers are working at perfect peak efficiency at that one task.

In fact, if it's costing a company that much to send a letter - it almost proves they're not working at peak efficiency.

If the people who send the letters are ALREADY a cost - the cost of sending an ADDITIONAL letter is the cost of sending an additional letter.

In simple terms:

Say you have a letter sending department that costs $100,000 per year to operate.

They send out 2000 letters per year. Dividing $100,000 by 2000 letters means each letter cost $50 per year.

Say that department came upon a decision point to resolve a $35 mistake that would require sending a letter.

Armed with the knowledge that letters cost $50 each, it wouldn't be worth sending it.

However - in reality the department will not be operating at peak performance levels. There's room for them to send an extra letter without hiring new employees or paying overtime.

So that letter would most likely cost only the additional postage, paper, and ink.

In fact, sending the extra letter could LOWER the annual per letter costs.

You're now dividing that $100,000 (plus a stamp and peice of paper) by 2001 instead of 2000.

And somewhere a manager will be proudly presenting his per letter cost savings to his superiors - and they'd be right - but in a very misleading way.

This post was edited by JRSutton at 08:54:55 11/27/12.



Replies:




Add a Reply

:
:
:

:

:

:

:

:

:

Advanced Posting Options

: If you check this box, email will be sent to you whenever someone replies to this message. Your email address must be entered above to receive notification. This notification will be cancelled automatically after 2 weeks.



 
Advanced Posting Tools
  Upload Photo  Select Gallery Photo  Attach Serial # List 
Return to Post 

TRACTOR PARTS TRACTOR MANUALS
We sell tractor parts!  We have the parts you need to repair your tractor - the right parts. Our low prices and years of research make us your best choice when you need parts. Shop Online Today. [ About Us ]

Home  |  Forums


Today's Featured Article - Engine Valves - Some Helpful Information - by Staff. Intake - On the intake stroke the piston moves doward, sucking in carburized fuel through the open intake valve. Exhaust valve is closed. Compression - With both the intake and exhaust valves closed, the pistons upward stroke compresses or squeezes the fuel into the combustion chamber. Firing - Ignited by the spark, the compressed fuel explodes and forces the piston downward on its power stroke. Intake and exhaust valves are closed. Exhaust valves and seats are exp ... [Read Article]

Latest Ad: Oliver 550 Diesel runs like a watch three point hitch pto engine gone threw about two hundred hours ago nice clean tractor [More Ads]

Copyright © 1997-2024 Yesterday's Tractor Co.

All Rights Reserved. Reproduction of any part of this website, including design and content, without written permission is strictly prohibited. Trade Marks and Trade Names contained and used in this Website are those of others, and are used in this Website in a descriptive sense to refer to the products of others. Use of this Web site constitutes acceptance of our User Agreement and Privacy Policy

TRADEMARK DISCLAIMER: Tradenames and Trademarks referred to within Yesterday's Tractor Co. products and within the Yesterday's Tractor Co. websites are the property of their respective trademark holders. None of these trademark holders are affiliated with Yesterday's Tractor Co., our products, or our website nor are we sponsored by them. John Deere and its logos are the registered trademarks of the John Deere Corporation. Agco, Agco Allis, White, Massey Ferguson and their logos are the registered trademarks of AGCO Corporation. Case, Case-IH, Farmall, International Harvester, New Holland and their logos are registered trademarks of CNH Global N.V.

Yesterday's Tractors - Antique Tractor Headquarters

Website Accessibility Policy