October 8, the Exotic Adventures Inc (EAI) happened to have an expedition in Amazon River. It was the mightiest river in the world and surrounded just about half of the territory of Peru. This cruise was very exciting and interesting because of the astonishing and amazing views that can be seen. But a journey especially by sea was not that easy to prepare because we must consider everything: the weather and the sea, the number of the passengers, the condition of the vessel, the captain and the crew, the foods and beverages, the safety of the whole journey and the budget or the costs and income of the expedition.
After all the preparations, EAI was facing an uncomfortable situation and experiencing the one of the most delicate and compromising predicament in their journey. They have to decide wittily on how to solve the problem. The options are available but they have to choose the best solution. Having the right choice will benefit the company and the passengers as well. The tree graph above showed the estimated additional costs and savings differences of the options considered by the management of the EAI.
The graph indicated that there was a big difference with the three options in the terms of costs and savings of the company. The first option was to cancel the cruise on October 8 and inform their customer sooner before they left their homes and began traveling. This option was the smallest additional cost for the company because they could save their other expenses despite the fact that they would be experiencing shortfall on their budget if they pick this option.
Second option was to cut the second voyage from Manaus if the problem was still existing, it was much higher than the first one because of the charter flight they prearranged if the downstream voyage was cut on Manaus and due to lesser savings on their operating costs for pilot’s, fuel and port since they gone half way of their journey. It also increased the additional cost by giving the refund of almost fifty percent to the first group of passenger. EAI would not be able to save also the expenses that allotted to food for the passengers from Belem to Manaus.
Same thing on the third option, which was pursuing the downstream voyage and backing off if it was not possible to reached Iquitos. But, it almost doubled the additional costs of the first option, they could only save very small amount of money from fuel and smaller reimbursement for the traveler given that they reached the upper river on their trip. If we focus clearly to the three options that the EAI were considering, all of them had a negative point of view.
Thinking of the money, option one had the smaller additional cost but the argument was, they will be having loss of income without trying or striving for the possibilities of conquering the situation by putting their voyage on chances. With the twenty percent probability of achieving the success for the second option, the disagreements was the possibility of losing their client if the conflict will occur on the said tour, the worst was bringing up the rear of their traveler’s life in exchange of earnings.
Option three was attributing fifty percent accomplishment of the voyage also in sighting of trailing their customer with the unsafe navigation on the Amazon River due to the unpredictable and unusual level of its water. Meanwhile, Option two and three’s positive sides were the attitude of thinking positively in the midst of trials and doing something instead of surrendering and giving up the little chance on hand. Although operating all kinds of business, like voyaging a cruise ship, was uncertain: investing your money, time and effort doesn’t mean that it will succeed.
Therefore I strongly recommend the first option which was canceling the voyage on October 8 rather than continuing the voyage and then cancelled the second voyage from Manaus if the water levels continue to drop, and pursuing the voyage afterwards turning back before Iquitos. Twenty percent (20%) of the second option and fifty percent (50%) of third option’s probability was not the point in choosing of cancellation of the October 8 voyage but the safety of their passengers.
Even if the information of their two agents from different places was not the same, one was that everything was fine and the other was not safe for the vessel to navigate. It was easier to believe the information of the Brazilian agent, because the problem he stated was in his country rather than claiming the good possibilities that’s not in that territory. I would not take the chance of risking the life of the people aboard on that ship in exchange of the money and profit of the company. Yes, the company will not profit in canceling the plan, instead their funds maybe deficit.
But it is one hundred percent definite that the life of their client is secure. On the other hand, option two and three are not also sure of gaining from the voyage because of the situation their facing and the fact that the plan was only break even. Implementing the two other options are very uncertain not only for their profit, security of their passenger but also the dignity of the company if there are undesirable things occur while in the midst of the unpredictable water level of the river.
Postponing the schedule flight or voyage is understandable if there is a valid reason. And will not affect the credibility of the company through the reasonable purpose. As what the Dalmatian Coast Cruises Croatia, Cruise Member’s Responsibility says: Cruise members are responsible for preparing for the cruise by studying the itinerary and pre-departure information sent by World Sailing Cruises Ltd Cruise members shall be fully responsible for their safety, conduct and entertainment.
And as the Term Condition followed by Endando Tours of Ecuador: However, in the case of any event of force major such as: changes to National Parks and/or government regulations, adverse weather phenomena, civil or public disturbances, or any other situation(s) that may threaten the physical safety of our passengers and/or their belongings, the published itineraries may be changed. Aiming a big profit will be meaningless for a company if they will sacrifice the safety of their client.
In reverse, sacrificing the benefits of the company for the welfare of their customers has a good reward from God. Still good service is highly commendable. References Dalmatian Coast Cruises Croatia, Cruise Member’s Responsibility (2004) http://www. dalmatiancoast. com/croatia/gulet-charters-cruises/booking-conditions. html Endando Tours Ecuador, General Terms and Conditions http://www. angermeyercruises. com/index. php? arb=ARB0000011 Cruise Member’s ResponsibilitySample Essay of Eduzaurus.com