Cross Docking Advantages
Getting to know the different cross docking advantages can help you make an informed decision about whether or not cross docking would be beneficial for your business. The shipping experts from C&D Logistics want to help you select the best shipping options for your specific business needs. That is why we offer a selection of freight shipping services, including warehousing solutions like cross docking.
What is Cross Docking?
Cross docking is used to minimize the amount of handling required for getting materials from a supplier to a manufacturer and finished products from the manufacturer to the customer. In most cases, cross docking is performed at a warehouse where one side of the building is used for inbound items and the other side is used for outbound items. When done properly, freight that goes through the cross-docking process will only remain in the warehouse for a few hours at most.
Types of Cross Docking
Some of the different types of cross docking available include:
Manufacturing Cross Docking
Manufacturing cross docking involves receiving purchased and inbound products that are required for manufacturing purposes. In some cases, the warehouse may receive the products and prepare sub-assemblies for production orders.
Distributor Cross Docking
Distributor cross docking is a process used to consolidate inbound products from different vendors into a mixed pallet that is then delivered to the customer when the final item is received.
Transportation Cross Docking
Transportation cross docking works to combine shipments from a range of different carriers transporting less-than-truckload (LTL) and small-package freight for economic scalability.
Benefits of Cross Docking
The main benefit of utilizing cross docking services is consolidation. By using cross docking to consolidate incoming and outgoing shipments, your business can save a bunch of money on shipping costs, as well as on labour costs because only one truck will arrive and need to be unloaded.
Some of the other benefits of cross docking are:
- Reduces material handling
- Reduces the need to store products in a warehouse
- Eliminates the need for large warehouse areas
- Reduces labour costs by eliminating packaging and storing
- Reduces the time it takes products to reach the customer
- Increases the load size for each trip, which can help you save money in transportation costs
- Reduces the number of trips needed to transport products
- Products are moved more quickly through a cross dock
- Makes it easier to screen product quality
- Eliminates processes like pick-location and order picking
- High turnaround times
- Products can be consolidated and transported as a full load, reducing overall distribution costs
If you would like to learn more cross docking advantages, or if you are interested in one of our freight shipping services, please contact C&D Logistics at 604-881-4440 or by filling out a contact form on our website. You can also stay up to date with the latest news by following us on YouTube, Instagram, and Facebook.