This distribution center best practice is called the cross docking. Cross-docking is basically sending a product you are sending from one dock to another dock i.e. from the receiving dock to the outbound shipping dock directly without any intermediary processes. Cross-docking makes it so much efficient because you don’t have to send it to the reserve and then again from reserve to the active location and then pick from the active location.
In the cross-docking process the quantity needed is recognized after the case comes-in. Then recognizing that there is a need for this product with the required number of units, you will be directly sending it to the outbound dock. In the outbound dock a label gets applied and then it goes to the retail store. It’s much more common in the retail world because in the retail world you are shipping it from a DC and they are shipping to all the retail stores that they are serving so it’s okay if they ship one or two units extra. As you get it they are the only one’s shipping the product to their own stores and eventually everything gets sold in the store anyway.
In the retail world the processes that drive are called the distribution.
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