Exploring the Benefits of Cross Docking

Are you looking for ways to reduce your need for warehousing and improve your delivery timelines? If so, then cross docking could be right for you. Cross docking is a logistics process in which goods are unloaded from one vehicle directly onto another vehicle to continue the delivery process. With cross docking, the need for storage is drastically reduced, as is downtime in the shipping process. Here is a look at some of the benefits of cross docking. 

Reduced Need for Storage Space

Storing goods is a significant expense for many businesses. The cost of storage space can be one of the biggest expenses some companies face. For some businesses, storage expenses can be prohibitive, causing them to keep smaller amounts of inventory on hand, which in turn leads to shipping delays. Cross docking drastically reduces the amount of storage space required for inventory. In fact, for some businesses, it eliminates the need for on-site storage completely, leading to a drastic reduction in overhead costs. 

Less Inventory Loss

The longer inventory is stored in a warehouse, the more prone it is to being damaged. On top of the cost of insurance to protect inventory, businesses also have to deal with the logistical disruption of replacing lost inventory. Additionally, insurance may not fully cover the cost of damaged inventory. With cross docking, less storage time means less risk of inventory loss. Since fewer people handle goods with cross docking than traditional warehousing, there is also a reduced risk of damage caused by human error. 

Faster Delivery Times

Whether your goods are delivered to B2B clients or directly to consumers, one thing that everyone wants is the fastest delivery times possible. With cross docking, you can dramatically cut your delivery times because the process is so efficient. Cross docking cuts downtime and keeps your items moving, so that they reach their destinations as quickly as possible. 

At Xcel Delivery Services, we offer cross docking services to ensure the most efficient delivery process possible for your goods. We can help if you need one-time cross docking assistance or ongoing logistic support. For more information, contact our logistics company in Tucson at (520) 355-4897 or in Phoenix at (602) 368-1300.

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