Abstract
The case study introduces Atal Indore City Transport Services Limited (AICTSL), a public transport management body in Indore, at a crucial juncture pertaining to fleet capacity management. Located in the central state of Madhya Pradesh in India, Indore has been a popular destination for industrial activity. Amid a cash crunch, increasing travel demands, the need for route expansion and myriad socio-economic factors, Rahul Shrouti, the senior operations manager, has to make a strategic decision to increase the number of buses. The dilemma faced by Shrouti is formed by the investments required, time period to recover the investment, operating expenses and the variability of the associated costs. Hence, the case highlights a context of capacity expansion, which calls for efficient change management. Besides, macro factors, concepts such as the time value of money, payback period, internal rate of return and linear regression have been brought about explicitly. The case study will drive multi-faceted classroom discussion through MS Excel-based number crunching. The case study will help the practitioners in making decisions for capacity planning and support change management.
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