Understanding the Differences Between Traditional Warehousing and Cross-Docking

Efficient product distribution and delivery can translate to higher profits and better customer service. If you’re looking to improve your business’s delivery capacity, it may be time to consider cross-docking. Here’s how this handy process can help your company ship more goods faster. 

What is cross-docking?

Cross-docking is a shipping and logistics procedure that lets businesses reduce their required inventory rates. When using the cross-docking process, a business’s products are taken to a warehouse and, rather than undergoing time-consuming inspections, are immediately prepared for shipment. The products can even be transferred to another vehicle in the same facility for even faster service. Cross-docking necessitates excellent organizational skills, but many businesses find that the practice is well worth it. 

How does it differ from traditional warehousing? 

Traditional warehousing often involves storing your product for a certain amount of time. In addition to the extra time wasted in storage, your product may also have to be inspected, cross-referenced, or cataloged. These procedures require extra manpower and resources, which could otherwise be spent on more profitable practices. Cross-docking allows your business to eliminate extraneous costs and time-consuming activities. 

What are the advantages of cross-docking?

Cross-docking essentially eliminates the middleman, so your product gets delivered to your consumers faster. Reduced shipping time often improves the customer-business relationship and enhances customer satisfactionYour product is also handled by fewer employees, decreasing the risk of damage during the shipping process. Inventory needs are typically simplified as well, with less storage space required to house your product. If some of your products need to be processed through traditional channels, you can opt to only cross-dock certain shipments. 

Contact Xcel Delivery Today

Our cross-docking services at Xcel Delivery in Tucson, AZ,  will have your product shipped out quickly and effectively. For more information on our courier delivery services or to request an estimate, call (520) 355-4897 or send us a message here.

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