How do I calculate ROI for my logistics operations?
To calculate ROI for logistics, you can use the formula: ROI = (Net Profit / Cost of Investment) x 100. What specific aspects of logistics are you looking to analyze?
I'm interested in understanding the costs involved in transportation.
Great! Transportation costs typically include fuel, vehicle maintenance, driver wages, and insurance. Do you have specific figures for these costs?
Yes, I have the following: fuel costs are $10,000, maintenance is $5,000, and wages are $20,000.
Perfect! So your total transportation cost is $35,000. If you can provide the revenue generated from these operations, we can calculate the ROI.
The revenue generated is $60,000.
Using the figures provided, your ROI would be: ROI = (($60,000 - $35,000) / $35,000) x 100, which equals approximately 71.43%. That's a solid return!
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