To achieve a competitive advantage, cross-docking is the best way to go. It provides room for improvement when it comes to efficiency and handling times. The only requirement is that it be implemented appropriately.
Cross-docking is a logistic service that takes place in the distribution docking terminal. In this procedure products are unloaded from an inbound dock then transferred to an outbound transportation dock. Demystifying cross-docking requires a clear understanding of where and how it happens. One unique feature of cross-docking is that products are supplied to consumers or retail chains directly from manufacturers. Here the goods are not subject to handling time; hence are labelled appropriately. It comes in handy for consumers that can’t access the manufacturers directly.
As you may have noticed in our attempt to demystify cross-docking, handling times are crucial and must be taken into serious consideration before cross-docking occurs. The following products are best suited for cross-docking.
Cross-docking can’t compare to warehousing. The two have different ways of ensuring distribution, and they operate under other circumstances. However, this is not to say they lack similarities because the main aim is to provide products’ distribution. Take a look at the following differences between the two.
Yeah, we had to start off with matters’ saving. Not only do you get to save cash on cross-docking but also time. Cross-docking allows for immediate shipping and arrival to the destination; hence the cost of storing inventory for an extended period is reduced remarkably.
Having multiple business relationships might stir confusion. With cross-docking, you can keep one business relationship that comes in handy for you in many ways. Instead of having different shipping relationships for other shipping services, you can opt for one that caters to everything, thanks to cross-docking.
As it is, how a product is handled dictates its lifespan. With cross-docking, the level at which people come into contact with the products is minimal, reducing the chances of risk to the products.
Cross-docking takes a brief period because it does not involve preparation, such as packing materials, delivering them to the shipping company, and waiting for the materials to arrive. Instead, it is in sync with modern shipping, which understands that time is essential, hence creating time for other business specialties to take effect.
We bet you already have a clue of the time-saving attribute of cross-docking. Emphasizing the same, it is vital to note that shipping occurs as soon as an order is made.
The benefits of shipping over warehousing are needless to state. The insight above should guide you in the right direction before you settle for warehousing.
Cargo County Group provides a large variety of trucking services in Brampton, Mississauga, Toronto and GTA including expedited freight transportation, freight management and storage, warehousing, cross docking, truck and trailer repair and many more. To book your service now call us at 1-888-673-9601