What are Cross-dock centers? Why will retailers utilize cross-dock, stock-less depots, transshipment centers in the future?

Cross-Dock Centers

            Cross-docking is a logistical process or logistics procedure where products from the manufacturing plant or the supplier are directly distributed to the retail chain or the customer with marginal to no storage or handling t | PLACE YOUR ORDER NOW AT writtask.com | facilities where logistics procedures are done before | PLACE YOUR ORDER NOW AT writtask.com | are shipped directly to the supplier or | PLACE YOUR ORDER NOW AT writtask.com | that when outbound transportation has been | PLACE YOUR ORDER NOW AT writtask.com | , the products from the manufacturing plant can make their way to | PLACE YOUR ORDER NOW AT writtask.com | facilitate the storage of the product and ensuring there is little or no storage in between (Wu et al., 2011). The centers have also changed the conveyance type, to sort intended material for different destinations, or to combine materials from varying areas into transport vehicles.

           Retailers will utilize cross-dock, stock-less depots, | PLACE YOUR ORDER NOW AT writtask.com | transshipment centers in the future because | PLACE YOUR ORDER NOW AT writtask.com | a fairly simple process that would potentially boost operational efficiency in highly complex products chain of | PLACE YOUR ORDER NOW AT writtask.com | perishable and time-sensitive inventory means cross-docking would be opted for as it would guarantee reduced shelf-life, and inventory needs to reach retailers | PLACE YOUR ORDER NOW AT writtask.com | will be used in the future as is the case currently with Bahrain, which acts as a trade entrepot between India and Arabia since it would facilitate merchandise importation and exportation without import duties | PLACE YOUR ORDER NOW AT writtask.com | depots would not be used in the future because of high logistical costs since suppliers would hold goods the customer orders in its warehouse, and requires them as and when the customer requires. Inventory costs are also high on the supplier’s side.

References

Heitz, A., Launay, P., & Beziat, A. (2019). Heterogeneity of logistics facilities: an issue for a better understanding and planning of the location of logistics facilities. European Transport Research Review, 11(1). https://link.springer.com/article/10.1186/s12544-018-0341-5

Verhetsel, A., Kessels, R., Goos, P., Zijlstra, T., Blomme, N., & Cant, J. (2015). Location of logistics companies: a stated preference study to disentangle the impact of accessibility. Journal of Transport Geography, 42, 110-121. https://www.sciencedirect.com/science/article/pii/S0966692314002464

Waller, M. A., Cassady, C. R., & Ozment, J. (2006). Impact of cross-docking on inventory in a decentralized retail supply chain. Transportation Research. Part E, Logistics and Transportation Review, 5, 359-382. https://www.researchgate.net/publication/222247994_Impact_of_Cross-Docking_on_Inventory_in_a_Decentralized_Retail_Supply_Chain

Wu, Y., Dong, M., & Yang, D. (2011). Cross-docking centre operation optimization using simulation-based genetic algorithm. Proceedings of the Institution of Mechanical Engineers, Part B: Journal of Engineering Manufacture, 225(7), 1175-1187. http://journals.sagepub.com/doi/10.1177/2041297510393623