Description
It explains the concept with the case study of SAKS Inc
AGENDA
? Introduction
? Crossdocking ? When Crossdocking is applicable ? Prerequisites ? Advantages and drawbacks ? Case Study : SAKS Inc.
How to do it?
Step 1
• Product and Supplier Selection
• Planning and Designing the Operation
Step 2
Step 3
• Cost Justification and Sharing
• Implementation and Maintenance
Step 4
When is Crossdocking applicable?
Perishable Products
Staple Items
High Quality Items
Promotional Products
Prerequisites of Crossdocking
? Total commitment and continuous monitoring at all times
? ?
? ?
by all the parties involved Effective communication between parties Perfect coordination of material flows. – Many interrelated decisions have to be made under numerous resource and time constraints. Mathematical models can be of great use. Perfect quality requirements Sharing the costs and benefits of crossdocking
Case Study – SAKS Inc.
? Department Store Retailer with leading brand names
like SAKS Fifth Avenue, Proffitt’s Younkers, Parisian. ? 350 stores and 6 DCs (2005) ? Customers can also order directly over the internet.
Cross-docking
Merchandise delivered as cartons
Key to Cross Docking – Information must flow in advance of merchandise
Base Process-DC in Steele, Alabama
55 ft trailers get unloaded across 16 receiving docks
Cartons flow from inside the trailer via conveyors to the appropriate receiving line
If a trailer is filled but delivery is not scheduled, the trailer itself can act as a miniature warehouse
Cartons to be grouped according to the destination / Selling zone
Tunnel down the center of the truck is created
Automation- Conveying & Sorting System
Value added processing station
Ink Jet Sprayers
Shipping Lines
Benefits
? Labor Savings (45000 cartons per shift processed)
? Payback period of 18 months ? Theory of constraint processes ? YMS solution reduced the turn time from 10-12 mins to
7 minutes or less. ? Increased ability to flex deliveries to the stores ? Increased store replenishment accuracy
doc_484525517.pptx
It explains the concept with the case study of SAKS Inc
AGENDA
? Introduction
? Crossdocking ? When Crossdocking is applicable ? Prerequisites ? Advantages and drawbacks ? Case Study : SAKS Inc.
How to do it?
Step 1
• Product and Supplier Selection
• Planning and Designing the Operation
Step 2
Step 3
• Cost Justification and Sharing
• Implementation and Maintenance
Step 4
When is Crossdocking applicable?
Perishable Products
Staple Items
High Quality Items
Promotional Products
Prerequisites of Crossdocking
? Total commitment and continuous monitoring at all times
? ?
? ?
by all the parties involved Effective communication between parties Perfect coordination of material flows. – Many interrelated decisions have to be made under numerous resource and time constraints. Mathematical models can be of great use. Perfect quality requirements Sharing the costs and benefits of crossdocking
Case Study – SAKS Inc.
? Department Store Retailer with leading brand names
like SAKS Fifth Avenue, Proffitt’s Younkers, Parisian. ? 350 stores and 6 DCs (2005) ? Customers can also order directly over the internet.
Cross-docking
Merchandise delivered as cartons
Key to Cross Docking – Information must flow in advance of merchandise
Base Process-DC in Steele, Alabama
55 ft trailers get unloaded across 16 receiving docks
Cartons flow from inside the trailer via conveyors to the appropriate receiving line
If a trailer is filled but delivery is not scheduled, the trailer itself can act as a miniature warehouse
Cartons to be grouped according to the destination / Selling zone
Tunnel down the center of the truck is created
Automation- Conveying & Sorting System
Value added processing station
Ink Jet Sprayers
Shipping Lines
Benefits
? Labor Savings (45000 cartons per shift processed)
? Payback period of 18 months ? Theory of constraint processes ? YMS solution reduced the turn time from 10-12 mins to
7 minutes or less. ? Increased ability to flex deliveries to the stores ? Increased store replenishment accuracy
doc_484525517.pptx