• Cost of transportation
-The payment for movement between two geographical locations and expenses related to administration and and maintaining in-transit inventory.

 

  • Speed of transportation
-The time required to complete a specific movement.
-Transport firms capable of providing faster services normally charge higher rate.
-The faster the transportation services, shorter is the time interval during which the inventory is in transit and unavailable.
  •  Consistency of transportation
-Refers to variations in time required to perform a specific movement over a number of shipments.
-Consistency is a measure of dependability of transportation.
-Inconsistency in transportation leads to inventory safety stocks required to protect against unpredictable service breakdowns.

¨Speed and consistency combine to create quality aspect of transportation.

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