Calculate the total logistics costs

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Reference no: EM133116018

Transport Modal Choice Exercise

You are based in a UK company that plans to change its sourcing of an important electrical product line and will in future import this product from Russia. The goods will be stored in your distribution centre at Milton Keynes, from where they will then be distributed, from inventory, on a next day basis.

There is much discussion within the company as to whether the goods should be transported from Russia by sea (in part load containers), by road (by international groupage), or by standard airfreight. As a basis for an informed decision on this, you have been asked to calculate the total logistics costs per annum for each of these three mode options. Management will then be able to consider these costs, together with less quantified factors such as market responsiveness, when making the final decision.

Initial operational and cost data has been collected. Based on this data, calculate the total logistics (landed) costs of these three modes and presents a cost table to management in the given format.

Attachment:- Transport Modal.rar

Reference no: EM133116018

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