Increase in container shipping costs and delays since 2020.
Vancouver’s leader in trucking and warehousing explains how cross-docking can help your business today. It’s not just a reduction in material handling and storage time, but there are many cost savings opportunities to be had!
At Sandhar Trucking, we are committed to helping you save time and money while delivering superior service at all times. With a recent boom in the demand for goods, your business may greatly benefit from Cross-Docking. Let’s dive into how this reduction of material handling helps your bottom line.
What Is Cross-Docking?
Cross-docking involves sending goods directly from the supplier or manufacturer to the customer or retail chain with minimal or no handling or storage time in between transport. It’s an efficient system designed to unload inbound shipments, sort and consolidate materials, and immediately load them onto outgoing vehicles.
This essentially helps expedite shipments to customers and delivers an optimized supply chain. With cross-docking, the distribution center provides a place to sort and allow goods to flow to the final destination quickly. Your customers are able to get what they want when they want it.
How does Cross-Docking work?
A facility, like our warehouse, will provide a place to effectively and efficiently sort and organize your shipment. With loading docks on either side, the shipment generally arrives on one side of the building and the goods are then sorted and organized in the middle. It is then loaded and shipped on the other side of the building.
The materials involved in a cross-docking scenario have been pre-allocated to the next link in the supply chain and do not need to be stored or wait for a pending sale. In an ideal situation, the goods will flow in and out and be transferred directly on an outbound truck upon arrival at a warehouse facility. There are various systems implemented at different facilities depending on the needs as it’s not one size fits all.
Types of Cross-Docking
There a few types of cross-docking scenarios including:
- Manufacturing Cross-Docking – A central distribution center receives incoming materials and products, then sorts and organizes the goods for shipment to different manufacturing locations for production orders.
- Distributor Cross-Docking – Inbound products from multiple manufacturers are consolidated into a mixed product pallet and shipped to the customer.
- Transportation Cross-Docking – This helps consolidate shipments from various carriers, including LTL trucking, into one common shipment.
- Retail Cross-Docking – A distribution center will receive, sort, combine and repack goods from various suppliers onto pallets. The products are then sent to multiple retail locations.
Benefits of Cross-Docking
This reduction in handling and the need for storage at warehouse facilities has many benefits including:
- Increase in efficiency by streamlining the shipping process
- Reduction in the need for warehousing and the costs associated with storage
- Decrease in costs associated with transportation, inventory control, and labour
- Being able to fully utilize transportation resources
- Faster deliveries and shipments to customers
How to make Cross-Docking work for you
- Regular and open communication and planning with all parties involved to ensure materials are at the right place at the right time
- Reliable suppliers that ship accurately and on time in order to ensure goods are then delivered to the customers in a timely manner
- Sufficient transport carriers to meet demand
As a leader in Metro Vancouver’s trucking industry with a newly expanded 100,000 square feet bonded sufferance warehouse, 12 loading docks, and grade doors & 7 railcar loading bays, we offer a wide range of warehousing services, including cross-docking, to help your business grow. Our experienced team and a large fleet of trailers are here to make sure your goods are transported safely and on time.
Contact our friendly team today to discuss your shipping needs at (604)-276-9044 or info@sandhartrucking.com!