The Three Big Advantages of Cross-Docking vs. Warehousing

 

You’re probably familiar with meat distributors that use a standard warehousing method to keep stocks of product on hand in order to ship to grocery stores and restaurants when the time is right. And although your business may be utilizing this method with relative success, you may want to consider a meat distributor that uses an alternative. At Cargill, we utilize a method called cross-docking. By definition, cross-docking refers to moving product directly from incoming supply to outgoing shipping without long-term storage. Although this process has been around since the 1930s, new advancements in technology create even more advantages than before, allowing your business to adjust to the needs of the market in real time.

Advantages of Cross-Docking

 

Reduced Cost

 

Inventory takes up space. When a customer stores inventory long-term, the costs can be high. By using cross-docking to move products directly from a distribution center to outgoing shipping without long-term storage, you can greatly minimize or eliminate those costs.

 

One Relationship

 

Cross-docking introduces a fully integrated supply chain and network that reduces the need for multiple business relationships and the high costs incurred by smaller shipping systems. Imagine doing your warehousing and expedited shipping with the same team. Small businesses now have smaller order capabilities at a much lower cost.

 

Quality Products

 

With less hands involved, cross-docking reduces the risk of damage to the product. This results in a more consistent delivery of the meat that your customer expects. Better, more high-quality product on shelves and across tables – that’s what keeps customers coming back.

 

How can a cross-docking solution provide support for your business and the needs of your customers?  Feel free to contact a Cargill Representative to learn more about our innovative supply chain solutions and what it means to partner with a meat distributor that puts your needs first.

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