Cross Docking
Cross Docking is a distribution system that distributes goods to regional centers without storage and thus minimizes the effort of handling activities. Cross Docking is therefore an important optional component of distribution logistics and Supply Chain Management. The concept implements the application of the principle of flow in the distribution area.
Brief description
Cross Docking (też x-docking) powstał w latach 90-tych i określa grupowanie towarów odpowiednie dla klienta oraz filii. Tutaj w tzw. Transshipment Point w Docking-Station towar czy przesyłka są rozpieczętowywane i w nagromadzonych małych ilościach dalej przetransportowywane do filii.
A single customer or subsidiary is supplied by a single tractor that covers multiple orders of goods. Such centralization leads to a drastic reduction in the number of transport routes. This further bypasses many warehousing processes.
The name Cross Docking derives from a handling strategy where one side receives goods while the opposite side reloads the truck. The important element here is that the goods are not stored in the meantime, but are grouped together within seconds.
Features and assumptions
The structure of this distribution strategy typically requires a high investment volume and a well-structured process flow.
With the help of Cross Docking, it is possible to realize an increase in delivery execution in the sense of 24-hour service. The prerequisite for this is a fast turnout of transshipments and a large size of orders, which guarantee the most efficient grouping of delivery volumes compared to direct deliveries.
In order to keep the throughput of goods reasonably high, technical systems or sub-systems for grouping, transportation and packaging are installed in many cases and combined with information and communication systems (for example, using bar code marking).
Benefits
- avoiding storage processes
- minimize the need for storage space
- small execution time
- delivery on time
- Simplified delivery to individual branches thanks to simple change of charging media
Application
Cross Docking is primarily used in trade and can be practiced in two different ways. As a one-step process, it is already the sending person who marks the goods and it is further merely routed through the Cross-Docking point to the final recipient. A single subsidiary or branch is specified as the end point. The second possibility is a two-stage Cross-Docking procedure. In this case, the shipper prepares the goods with respect to the Cross-Docking point, and the consignee takes over the actual preparation for the subsidiary.
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