Kamis, 06 September 2018

Cross-docking Might Just Be What Your Halloween Makeup Store Needs To Thrive

By Daniel Wood


It's an understatement to say that today's cosmetics market landscape is a challenging one. In an era where consumers are more informed than ever, a retailer's survival their ability to fulfill orders accurately and on time. If that sounds like a tall order for your still-growing Utah Halloween makeup online store, maybe it's time you adopted cross-docking as a logistics management strategy.

Think your business is too simple for you to start throwing around terms like 'cross-docking?' It's actually less complicated than you think. Specifically, it involves the use of inbound inventory to fulfill existing customer orders. A typical cross-dock facility is designed to allow unloading, screening, and sorting of incoming shipments under the same terminal. They're then dispatched to their relevant destinations via pre-selected means.

Much like every other concept known to man, cross-docking is far from being a universal answer for all supply chain problems. No prizes for guessing that careful planning and effort are mandatory for its successful implementation. Nevertheless, the technique has proved a handy tool for online businesses. So it's only natural that you'll want to take a look at its potential benefits:

Better Turnaround Times: This comes from the ability to link up both ends of your supply chain, thus bypassing the warehousing phase . Keep in mind, though, that this won't do away with the need for the said facility. In actual sense, what cross-docking does is reduce the amount of time inventory spends in storage. This creates room for quicker order fulfillment, more so when combined with automated processes.

Frees up Space: The less time it takes to ship inventory after it's received, the more square footage you'll have available in your warehouse. From there, it's up to you to decide whether to scale up your operation or use the space for other purposes. Even if it's a rented facility you're using, the reduction in your requirements will still boost your business's bottom line in some way.

Minimizes Risk: Cross docking cuts out some of the steps involved in a standard warehouse operation. This in turn minimizes handling and movement, thus taking out some of the risk involved. Specifically, inventory is less likely to get damaged or lost when it passes through a minimal amount of hands. The likelihood of overstocking will also shrink substantially.

Cost Effective: With cross-docking, shipments headed to a similar destination can be transported together. This leads to better utilization of the available carrying capacity, thereby optimizing costs in the long term. The carbon footprint of each unit product also shrinks.

Added Worth For Your Customers: No prizes for guessing that your customers will appreciate the expedited order fulfillment. But how about using a fraction of the cost savings to offset the shipping expense on their part? Seldom will you ever get a better opportunity to enrich your customers' shopping experience.

The biggest concern for any product-dependent business is to match existing demand with supply capacity. Additionally, this is an era where cost-efficiency can be the difference between your success and failure. Cross docking could very well be your ticket out of this catch-22 situation. Of course, proper planning will be key during its implementation.




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