Cross-docking allows long haul trucking companies the ability to stage freight near its destination, prior to final delivery. Grow your sales with DEAR POS on all devices.
Is a Sustainable Textile Supply Chain Possible? When it is effectively implemented, cross-docking can cut storage and labor costs. 0000023691 00000 n Cross-docking is also often used when handling time sensitive and perishable inventory. Blue Eagle Logistics caters to freight forwarders, 3PLs, and long haul carriers. To lower the handling time, suppliers must be located in somewhat close proximity to those locations. Some of the immediate benefits of cross docking include the following: Simplifying the loading process allows for quicker turnarounds. Carriers with multiple shipments on trailers often must reorganize shipments so the first delivery stop is on the tail of the trailer because most consigness will not handle another party’s freight and insist their freight is easily accessed.
Of course, if you do choose a more traditional approach, you’ll probably need a cloud-based inventory management system along with a few other tools for effectively running your business – in which case, you’ll need DEAR Inventory. Most companies that move inventory or materials would benefit from cross-docking. What cross docking in warehouse management does is reduce the need for any long-term storage of products. This eliminates the need for surplus inventory to be stored in case of out of stock situations. © Copyright 2020 - Datex Corporation. 0000001060 00000 n Sometimes there are products that are staged at the warehouse, but the goal is to move the product with minimal storage or handling. You want to be able to manage the demand for your product and get it out to customers as fast as possible. They would procure two types of products, items they sell each day of the year, called staple stock, and large quantities of products that are purchased once and not usually stocked again.
While cross docking does expedite the shipment process, you shouldn’t skip critical steps like quality control and inventory tracking. All rights reserved. When you cross dock, you simply receive the products, scan them into your OMS, and then ship them off. Cross-docking is widely used in the logistics industry based on three common arrangements – Hub and Spokes arrangement: In this method of Cross Docking, materials are brought from various sources into one central hub location. Cross-docks are facilities which function without storage in supply chains [1]. Precise organization demands high-quality technology, efficient work processes, and fast workers. ico-arrow-default-right. When is cross-docking used? This … The name, cross-docking, originates in the actual process of receiving products through an inbound dock and transferring these products across the dock to an outbound transportation dock. In any business where you are selling products, those products are transported via truck, ship, airplane, or whatever other type of transportation you can think of. Particularly for e-commerce businesses, crock docking in warehousing should be considered a fulfillment solution. Lastly, cross-docking is used when fulfilling orders for which customers are willing to wait.
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