Cross-docking is a method of managing goods in a warehouse that minimizes the need for long-term storage. In practice, it involves the quick transfer of goods that are delivered to the warehouse onto other vehicles for further transportation. The goal of cross-docking is to speed up the delivery process and reduce the costs associated with storage. Goods pass through the warehouse but do not stay there for long – often only for a few hours.
There are several primary forms of cross-docking:
A supply chain is the entire process that encompasses everything needed for a product to reach the final customer from the manufacturer. The supply chain begins with raw materials, which are processed into products, includes their transport and storage, and ends with the delivery of the finished product to the consumer. Many different companies and organizations participate in the supply chain – from raw material suppliers to manufacturers, distributors, and retailers. The goal of supply chain management is to deliver products efficiently and economically in the right time, place, and quantity.