Expression of Interest- Hiring of consultant for “Modernized Costing System” in India Post

Expression of Interest- Hiring of consultant for “Modernized      Costing System” in India Post

Dear Comrades,
Department of Post invited expression of Interest for Hiring of Consultant for Modernized Costing System.

Some of the activities for which services would be required are detailed below.

(i) Review of the existing methodology of costing followed in the Department of Posts.

(ii) To develop a system for collecting of data for traffic, revenue and expenditure in respect of each service / product separately.

(iii) Devising a costing system for segmented report of cost for premium products,foreign mails, agency services (such as savings bank, cash certificates, PLI, Pension Payments etc.) and traditional services offered by the department.

(iv) The costing system so devised should be able to analyze the cost and profitability of each service segment wise.

(v) The proposed costing method should be developed using opportunity cost, joint costing principles and should be based amongst other on Total Costing Method, Activity Based Costing Method, Marginal Costing Method

(vi) Suggest standardized classification of cost and devise standard formats by which the cost of resources used in various services can be collected and classified for the purpose of costing of various services / products.

(vii) The costing method so devised should analysis the behavior of various costs so as to segregate the cost in to fixed and variable costs.

(viii) The costing method so devised should form a basis for management of pricing of products.

(ix) In view of above suitable costing software to be adopted by DoP may be suggested.

(x) Applying / Piloting the new methodology in at least two – three verticals for at least one – two year and training to the associated staff / officers may be completed on the basis of suggested methodology.

This is for the information of the members