Cross-Docking

Cross docking is a logistics procedure where products from a supplier or manufacturing plant are distributed directly to a customer or retail chain with marginal to no handling or storage time.

There are several factors to consider that make cross docking in warehousing a challenge — the first of which is distance to the customer or retailer. To lower the handling time, suppliers must be located in somewhat close proximity to those locations.

While this works for customers or retailers in heavily populated areas, it still presents a problem once you move on to areas that are outside of city limits. The entire cross docking concept is predicated on setting up a cross dock warehouse in more remote areas so demand is still met at a reduced travel time and with as little handling in storage facilities as possible.

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