Tag Archives: IS-Retail Merchandise Logistics

Cross docking

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Cross-docking is an efficient consumer response (ECR) concept used to improve logistics, in particular in the distribution center. The goods are taken from goods receipt to goods issue without being placed in storage in the meantime. You can use the cross docking method to increase inventory turn, move the goods through the distribution center more quickly and reduce the costs for processing and storage.You can also use the cross-docking method in SAP Retail even if you do not use a warehouse management system. Cross-docking includes the following processing methods:

  • Cross-docking

The shipping units are not unpacked or repacked between goods receipt and goods issue.

  • Flow-through

Once they have been received, the goods are transported to a repacking zone, where they are repacked. They are then taken to goods issue. The following types of flow-through exist:

    • Recipient-driven flow-through

After goods receipt, the merchandise distribution data is evaluated and the relevant deliveries are created for the recipients. The articles for these deliveries are then picked.

    • Merchandise-driven flow-through

The goods are picked in the distribution center using a distribution order. When a handling unit (e.g. a pallet) is full, a delivery is created containing the content of the handling unit. You can only use this method if you use Lean WM.

A pallet of boxes of red wine is delivered to goods receipt. A distribution order is created for the pallet when the goods receipt is posted, and is printed in the form of a distribution list. A member of the warehouse staff takes the pallet to the distribution zone, where there are a number of pallets, each assigned to a different store. Other articles have already been placed on these pallets for the stores.

The warehouse staff use the information on the distribution list to put the boxes of red wine on the store pallets, e.g. 6 boxes on pallet 1 (Boston store), 4 boxes on pallet 2 (Cambridge store) etc. Once a store pallet is full, a delivery is created for it in the system. The goods on the pallets are then secured, and the pallets transported to goods issue.