[1] A COST–BENEFIT ANALYSIS OF FREIGHT MODE SHIFT FROM AIR TO SEA: EVIDENCE FROM WIND POWER LTD.

CrossRef D.O.I. :https://doi.org/10.56815/ijmrr.v5si1.2026.1-10

Authors

  • Dr. D. Mythili Assistant Professor, Sri Ramakrishna College of Arts and Science – Coimbatore, TN, India.
  • Mr. Harish Student, Sri Ramakrishna College of Arts and Science – Coimbatore, TN, India.

Abstract

This study conducts a cost-benefit analysis to assess the feasibility of switching from air freight to sea freight at Wind Power Ltd, focusing on optimizing logistics costs, lead time, and operational efficiency. The aim is to evaluate potential savings, identify key operational differences, and determine whether the transition would provide a sustainable, cost-effective alternative to air freight. Primary data was collected through surveys and interviews with 150 employees involved in logistics, procurement, and supply chain management. Secondary data from internal shipping records and industry reports supplemented this collection. The analysis compares transportation costs, delivery reliability, and customer satisfaction across both freight modes. The results reveal that while sea freight offers significant cost savings, it is associated with longer lead times and occasional service delays. The findings suggest that switching to sea freight could provide long-term cost efficiency, particularly for non-urgent shipments, but requires process adjustments to accommodate longer transit times.

Keywords:

Cost-benefit analysis, Air freight, Sea freight, Logistics optimization, Wind Power, Operational efficiency, Supply chain

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