IRAQ BUSINESS DESK / PRACTICAL BUSINESS SUPPORT

Tools for your next step.

BUSINESS TOOLS / DELIVERY ECONOMICS

Compare delivery options

Which option costs less once freight, cargo losses, late deliveries and buffer inventory are included?

User assumptions. Inputs stay in this tab. No live route, border, travel-time or safety data is supplied. Currency labels do not convert amounts.

Shipments per monthUse the same shipment volume for both options.Cargo value per shipmentUse the cost value of the stock, in your chosen currency.Annual inventory funding cost (%)Enter 0 if you want to exclude financing.One-time switching costCosts of moving to option B, excluding inventory cash.

Baseline optionLabelFreight per shipmentInclude handling and access-road charges on a consistent basis.Unrecovered cargo loss (%)Value lost to damage or spoilage, net of recoveries.Deliveries arriving late (%)Use your own dated shipment sample or an explicit estimate.Extra cost per late deliveryExclude freight, cargo loss and inventory finance already counted.Buffer inventory (days)Additional stock held to support this delivery option.

Alternative optionLabelFreight per shipmentInclude handling and access-road charges on a consistent basis.Unrecovered cargo loss (%)Value lost to damage or spoilage, net of recoveries.Deliveries arriving late (%)Use your own dated shipment sample or an explicit estimate.Extra cost per late deliveryExclude freight, cargo loss and inventory finance already counted.Buffer inventory (days)Additional stock held to support this delivery option.

COMPARISON / SAME SHIPMENT VOLUME

Complete every amount or load the article example. Enter 0 for an excluded cost.

Method, formulas and evidence to collect

Monthly direct cost = shipments × [freight + cargo value × unrecovered loss rate + late share × extra cost per late delivery]. Buffer inventory = monthly shipments × cargo value ÷ 30 × buffer days. Monthly financing cost = inventory × annual rate ÷ 12.

Monthly saving = total A − total B. One-time cash release = inventory A − inventory B. Switching-cost payback = switching cost ÷ positive monthly saving. Do not add the inventory release to recurring savings.

Compare similar loads and seasons. Record the sample period, shipment count, door-to-door times, invoices, losses and recovery terms. Inputs may be estimates, but a hypothetical loss reduction is not proof that a road project delivered that benefit. The model excludes changes in sales, taxes, service quality, exchange rates and stockout costs unless included in a relevant input.