What is cross docking?
Cross Docking is a logistics strategy used in warehousing and transportation operations, where products or materials are transferred directly from an inbound truck or container to an outbound truck or container with little or no storage in between. The main idea behind Cross Docking is to reduce handling and storage costs, as well as transportation times, by streamlining the movement of goods through a warehouse or distribution center.
Why Cross Docking?
Cost Efficiency: Cross Docking significantly reduces handling, storage, and inventory carrying costs, making operations more financially efficient.
Faster Operations: Products move swiftly from inbound to outbound trucks, leading to quicker order fulfillment, reduced transit times, and improved supply chain responsiveness.
Accuracy and Reliability: Streamlined processes minimize manual handling, reducing the chances of errors, ensuring accurate order processing, and enhancing customer satisfaction.
Optimized Resource Utilization: Efficient movement of goods maximizes the use of labor, equipment, and transportation, minimizing idle time and associated costs.
Enhanced Relationships: Faster order fulfillment and reliable deliveries foster strong relationships with suppliers and customers, building trust and loyalty.
Space Optimization: Cross docking reduces the need for long-term storage, allowing warehouses to utilize space effectively and stay organized for efficient operations.
Market Responsiveness: Swift redirection of products enables businesses to adapt to changing market demands promptly, minimizing risks related to overstocking or understocking.
Environmental Impact: Reduced storage needs and transportation times lower energy consumption and emissions, making cross-docking environmentally friendly.
Crossdock Workflow
Prerequisites
Crossdock Staging Area, Location Configuration
The Cross Dock Staging area is designated for storing Crossdock boxes after approval in the following cases:
When the Crossdock plan is not yet available for the boxes.
When the Crossdock plan is available for the boxes, but the order has a late Service Level Agreement (SLA).
The setup includes configured aisles for staging, with no specific requirement for zones.
ASN creation and approval are mandatory for boxwise Crossdocking.
Advanced shipping notice (ASN) is a document that provides detailed information about a pending delivery. The purpose of an ASN is to notify when shipping occurs and provide physical characteristics about the shipment so the warehouse can be prepared to accept the delivery.
Generally, ASN contains information on how many of each item are being shipped and the physical characteristics of the shipment such as the shipment’s weight, the number of boxes, and a description of how the shipment units are packaged.
An ASN also tells which mode of transportation is being used for shipping and provides carrier information.
Box and Item code mapping details will be required by WMS to support crossdocking functionality.
Box and Item Code mapping can be created using CIMS UI or through APIs.
Below validations are present in the system to accept the box item code mapping.
Box and Item code mapping can be done against an ASN only after the ASN is approved. Note: Without using ASN functionality, Box and Item code mapping can’t be added in the system which is crucial for boxwise inwards and crossdocking.
SKU-wise total items in all the boxes that are provided in the CSV file/ API request, should not exceed the approved qty for each SKU in the ASN.
ASN-BOX-Item mapping can be requested multiple times (paginated) until gate entry is created for the ASN. For a box, the user should provide all item information at the same request.
Workflow
Please follow the below steps for crossdock workflow:
Gate Entry Process
A gate entry can be generated following the existing process with modifications in certain steps like Box ID printing will not be required.Inward Staging Putaway(Box Putaway or Pallet Putaway)
Inward staging area serves as an organized holding space for incoming boxes. It is a designated space within a warehouse where inward boxes after receiving are temporarily stored for the GRN process or Sample QC(sample QC is required for Box-wise Inwards or Box-wise Crossdock based on defined Inspection percentages).
Sample QC Workflow
The implementation of a Sample QC workflow is crucial for ensuring the quality and precision of items received in boxes, especially with box-wise inward flow. Setting a specified percentage for sample QC at the supplier level is essential to validate the accuracy of Box and Item mapping. Achieving the designated percentage result is necessary for subsequent processes like Gate entry approval, stringent inventory control, and efficient warehouse operations. Additionally, clients have the flexibility to skip sample QC for trusted suppliers, enhancing operational efficiency while maintaining rigorous quality control when needed.The Crossdock plan denotes the boxes that will get cross-docked against an outward order.
Crossdock plan is created either via API or using CSV upload in CIMS.
A Crossdock plan can be created after the gate entry is approved.
Pick approved Boxes from the Inward Staging Area for Crossdock
Boxes which are undergone sample QC can be directly sent to Crossdock Staging putaway post gate entry approval. Post that crossdock picking will be done when SLA for outward reaches. Alternatively, in case there is a delay in gate entry approval process, the crossdock boxes after sample QC can be put away back to the Inward Staging area. Post that pick approve boxes for crossdock process can be followed.
Crossdock Boxes that were lying in the Inward Staging area would be picked from the Inward staging area for crossdocking.
Crossdock Staging Putaway and Picking Workflow (Optional Step)
Boxes from this area can be moved to:
Packing Desk: If a crossdock plan is available and no consolidation of boxes is needed.
Outward Staging: If a crossdock plan is available, and there is a need for consolidating boxes. Storage boxes are converted into pack boxes when they are scanned for packing or placed in the Outward Staging area.
Storage Area: To activate live inventory. Refer Moving Cross Dock Inventory to Storage
Pre-pack Staging Workflow (Optional Step)
Packing/ Invoicing
BAU Bulk packing process to be followed.
Post Pack Staging Workflow (Optional Step)
To streamline the operations process for processing large number of B2B orders we have a feature for post-pack staging & handover using a gate pass. Both functionalities can be used independently as well.
This will help with the following:
Handling cases where there is a lag in packing to invoicing to handover activities.
Supporting handover of multiple B2B orders together at once against a Gate Pass.
Handover of Orders
BAU Bulk handover process to be followed.
Cross Dock Sub Order Deallocation
Crosdock Order deallocation is now allowed at OMS.
Cross Dock Order Cancellation
Crossdock complete order cancellation is allowed if the marketplace sends the cancellation update.
Crossdock partial order cancellation is not allowed even for marketplaces.
Seller cancellation(partially or fully) for Crossdock Orders is not allowed
