“Maharaj, imagine owning the world’s most important kitchen… but never selling food yourself.” Tenali threw a question while discussing on the current chip manufacturing process in the world. Maharaj looked confused. “Then how does the kitchen earn money, Tenali?” Tenali smiled. “By cooking for everyone.” Maharaj frowned. “But why would Apple, NVIDIA, AMD, and Qualcomm […]
Maharaj looked satisfied. “Tenali, sales are growing well. Customers are happy too.” Tenali smiled. “Excellent. Then profit must also be rising?” Maharaj went silent. “Not exactly…” Tenali opened the numbers. “Annual turnover?” “₹12 crore.” “Gross margin?” “18%.” “Cash discounts given?” “₹24 lakh.” Tenali paused. “And how much did collections improve?” Maharaj replied softly, “Average payment […]
“Tenali, this CNC machine claims 1,000 units per shift. Why are we producing only 620?” Maharaj Looked frustrated. “Operators are working. Machines are healthy. Orders are pending. Still dispatches are getting delayed. We are planning to buy another machine…” Tenali walked to the shop floor. “How many product changeovers happen daily?” “Five to six.” “And […]
“Tenali… customers are shouting about delays. Production says jobs are moving. Stores say material is issued. Inspection says work is pending. But nobody can tell me where a job actually is!” Tenali smiled. “Then your factory has production activity… but no production visibility.” “Tell me: How many active jobs are running today?” “About 137.” “How […]
Maharaj frowned at the report. “Tenali… our daily capacity is 500 units.But we’re stuck at 350. Machines are fine. Workers are present.Where are 150 units disappearing?” Tenali smiled.“Let’s investigate.” “Tell me; do workers know the daily target?” Maharaj paused. “Not exactly.” “Are design changes communicated daily?” “Sometimes… through supervisors.” “Do you track repeated errors?” “No […]
“Tenali, our new mixer grinder is selling fast. 5,000 units in a month! Yet… losses of ₹2,50,000. How?” Maharaj asked Tenali. Tenali answered immediately, “Let’s investigate the numbers, Maharaj. Selling Price: ₹2,000 per unit Current Cost: ₹2,050 per unit Expected Volume (initial plan): 8,000 units Actual Volume: 5,000 units Fixed Costs: ₹40,00,000 You priced first… […]
“Tenali, profits are flat despite stable sales?” Maharaj was curious and sad at the same time. “Exactly, Maharaj. Revenue is ₹50 lakh every month. But costs? stuck at ₹44 lakh.” Tenali leaned forward. “Maharaj, please show me last 3 months’ data.” Maharaj opened the sheet: Labour cost: ₹12 lakh → ₹12.2 lakh → ₹12.4 lakh […]
“Maharaj, your plant runs 12 hours daily. Still profits are flat?” Maharaj replied, “Yes! Machines are fully occupied.” Tenali asked for data. “Here’s what I see: • Machine A utilisation: 95% • Machine B utilisation: 52% • Average order delay: 18 days • Overtime cost: INR 22,000/month • Pending orders: INR 3.6 lakh” Maharaj said, […]
“Maharaj, which is your best product?” Tenali asked Maharaj Maharaj smiled. “Product A! 55% of our sales. Clear winner.” Tenali raised an eyebrow. “Or… clear illusion?” Maharaj frowned. “What do you mean?” “Let’s play a quick game,” Tenali said. “Tell me the numbers.” Maharaj replied: “Product A → 4 machine hours, INR 200 margin Product […]
Maharaj sounded confident. “Tenali… we pushed sales this quarter using heavy discounts. Revenue jumped from 80 Lakhs to 1.1 Crore.” “And profit?” Tenali asked Maharaj paused. “…fell from 16 Lakhs to 9 Lakhs.” Tenali nodded. “Let us see the numbers clearly: Selling Price reduced: from INR 500 INR 440 Variable Cost: INR 380 Contribution per […]
