Executive Summary

The Concept
It is a basic delivery service which provides point-to-point conveyance of goods within a city. It is a highly customized service charging premium depending upon the urgency and the distance of the delivery. The delivery is done via delivery boys who make use of public transportation to shift goods across the Hub and Spoke model of distribution across selected regions of the city.

The Service Offering

The customer needs to explicitly mention the nature of the good, the pick-up point and the delivery point online. Based on the urgency and the distance of the delivery a premium is quoted and the transaction is forwarded to the relevant Hub. There are dedicated collection and delivery boys present in the region and as the order is received, the relevant collection boy is dispatched. The collection boy gets the goods asked for and in case of any clarification contacts the office who route him to the customer. The collection boy has clear instructions as to where he must hand over the goods. He is then assigned another pick-up. The delivery boy picks up the goods from the given spot and delivers it at the requisite address. There is no monetary transaction with customer and the collection or delivery boy. The delivery boy is assigned his next assignment.

Customer Management System

The customers expect timely and correct delivery of the goods and our system will inform the customer based on the availability on the time and expense for the delivery as soon as the order is placed. There will be predefined parameters on which orders will be taken to avoid ambiguity. After the delivery, the customer is given an online feedback opportunity to be able to identify and improve any problems. Our major focus are customers who have a time crunch, who dont want to travel to the pickup spot and those who are in some kind of emergency situation. We will promote our services through social networking websites and traditional advertisements.

Employee Management System

Our major chunk of employees will be fresher and willingly to travel long distances, those with prior experience with related deliver systems will be preferred. They will be trained to use the technology and customer handling. Performance will be measured purely on deliveries and ratings. Since high attrition is expected a robust hiring process will need to be in place and a quick training session.

Funding Mechanism
The services are premium based, this will be there till economies of scale is achieved and then there could be plans to alter the price. The parameters on which the price is decided is very objective and will give a sense of fair pricing.

Financials
Based on an estimate of average 3 member families and 2 orders per family per month, it is expected to generate about 10.23% return on investment. There is scope for further improvements in the margin, subject to the order size and associated tie-ups. Due to less initial fixed cost structure entry and exit options are not difficult.