STATE BOARD OF AGRICULTURE. 



TO DETERMINE OVER DISTRIBUTION. 



When we compare unnecessary duplication and unnecessary wagons we 

 find that there is no relation between them. The iDercentage of unnecessary 

 duplication in Kalamazoo is twice the percentage of unnecessary wagons, 

 while the percentage of unnecessary duplication in Lansing is nearly three 

 times as great as the percentage of umiecessary wagons. In considering over- 

 distribution or inefficiency of delivery the question arises as to which of the 

 two is the indicator. Over-distribution is important only as it affects the 

 cost of milk. To determine which indicates over-distribution we must, 

 therefore, find their relation to the saving of the total cost of milk. Since 

 delivery is but one of the items entering into the cost of milk any saving 

 made by delivery must necessarily be spread over the entire cost of the milk 

 before it has any effect on the entire costs entering into placing milk on the 

 consumer's doorstep. This percentage of saving as sho\vn in the following 

 Table No. IV was figured from the same theoretical system as were unneces- 

 sary duplications and unnecessary wagons. This saving in cost of distribu- 

 tion was spread over the total milk costs which includes cost of producing, 

 processing, delivering, investment and managerial ability, with the following 

 results. 



Table No. IV 



THIS TABLE SHOWS THE RELATION OF UNNECESSARY WAGONS AND UNNECES- 

 S.\RY DUPLICATION TO THE PERC''NTAOE OF SAVING OF TOTAL MILK COSTS 

 EFFECTED BY THE ESTABLISHMENT OF A THEORETICAL DiSiltlBUTING 

 SYSTEMS 



From the table we see that the relation between unnecessary wagons and 

 unnecessary duplications was not proportional while an almost direct relation 

 exists between the percentage of saving and the percentage of unnecessary 

 wagons. Since this is true we must conclude that size of load is a much 

 better indicator of efficiency than is duplication of routes. 



Comparative Studies. 



The relation of the different operations necessary in distributing milk have 

 often been discussed with the idea that there was either directly or inversely 

 a proportion between them. Some of the operations considered propor- 

 tional were as follows: 



1. The miles traveled by the wagons were indirectly proportional to the 

 quarts sold per mile. 



2. The time to deliver a load was indirectly proportional to the quarts 

 sold per hour. 



