Crossdocking

Crossdocking offers significant potential for retailers wishing to streamline the supply chain from point of origin to point of sale. In addition to eliminating unnecessary handling and storage of product and all of the direct costs associated with excess inventory, crossdocking offers the potential for further savings for retailers. If fewer products are to be stored, less space and equipment will be needed to store and handle the products, order fulfilment rates should rise and product damage and product obsolescence should be greatly reduced. Improved electronic communications between retailers and suppliers also provides further opportunities for gains in efficiency.