Cold Chain & Temperature-Controlled Operations worked example
Temperature Excursion Cost at 25% disposition loss share of exposed value: a worked example
Suppose disposition loss share of exposed value falls to 25%. This page works the full calculation at that level so you can see exactly which result moves and by how much. Estimate financial exposure from a temperature excursion using affected product, product value, disposition scope, and investigation costs.
The inputs for this scenario
- Cases or pallet equivalents exposed: 420 cases (held at the documented default)
- Product value per exposed case: 38 $ / case (held at the documented default)
- Disposition loss share of exposed value: 25 % (the input this scenario stresses; the baseline uses 35)
- Investigation, testing, disposal, and freight recovery costs: 1,200 $ (held at the documented default)
Working through the calculation
- The calculation starts from the formula this tool documents: Variable temperature excursion cost = cases or pallet equivalents exposed × product value per exposed case × disposition exposure share.
- total temperature excursion cost works out to 5,190 $ at these inputs, and this is the headline figure for the scenario.
- temperature excursion cost per shipment unit works out to 12.36 $ / piece at these inputs.
- variable temperature excursion cost works out to 3,990 $ at these inputs.
- investigation, testing, disposal, and freight recovery costs works out to 1,200 $ at these inputs.
How this compares with the baseline
- Against the tool's baseline example, where disposition loss share of exposed value sits at 35% and the headline result is 6,786 $, this scenario comes in 23.52% below the baseline at 5,190 $.
- It computes the total cost of a temperature excursion as exposed product value times the disposition loss share, plus fixed investigation, testing, disposal, and freight recovery costs. When the numbers land here, the stressed input is the lever to work; the walkthrough above shows exactly how much each output recovers as it climbs back toward the baseline.
Results at a glance
- total temperature excursion cost: 5,190 $ (headline result)
- temperature excursion cost per shipment unit: 12.36 $ / piece
- variable temperature excursion cost: 3,990 $
- investigation, testing, disposal, and freight recovery costs: 1,200 $
Run it with your numbers
- To rerun this with your own numbers, open the live Temperature Excursion Cost calculator, set disposition loss share of exposed value to your actual value, and adjust the remaining inputs to match your operation.
Last reviewed 2026-05-12.