The information relating to Current and Alternative Transportation will be used to analyze the choice between using Maersk (Ocean Freight) and UPS (AirExpress).

a) What are the annual transportation-related costs for each of these options?

b) What are some other factors and/or costs(such as impact to inventory levels, safety stock, and the resulting costs) that may be helpful to consider when trying to support/justify your recommendation?

c) Based on your analysis, which option would you recommend, supporting your answer with quantifiable factors where possible.

Transportation Information Similar to the changes that have been contemplated with regard to product sourcing, Throx would like to use a single-sourcing strategy for transportation. As an alternative to their current use of Maersk Ocean Freight, Throx would like to consider UPS AirExpress which would significantly reduce actual shipping time from Shanghai to Richmond. The table below provides information for evaluating a potential change of shipping from ocean to air