Cross-docking on the rise, 3PL report says
Third-party logistics company Saddle Creek Corp. said the use of cross-docking is on the rise, according to a report the company released last week.
The 2011 Cross-Docking Trends Report found 68.5 percent of respondents cross-dock, up from 52 percent of respondents in 2008, when the company last released the report. The company surveyed 200 'logistics industry decision makers' across warehousing, distribution, and transportations sectors.
Other highlights:
' Of those cross-docking four or more years, 40.3 percent said recent challenging economic conditions have prompted them to increase cross-docking somewhat or substantially.
' The biggest benefits of cross-docking are improving service levels (37.9 percent), reducing transportation costs (32.4 percent) and consolidating shipments to destination (32.4 percent)
'Survey results support what we're seeing firsthand in the marketplace today,' said Tom Patterson, senior vice president of warehouse operations at Saddle Creek. 'Companies are realizing that cross-docking can help them to increase speed to market and improve service levels while reducing warehousing and transportation costs.'