The drive for effective, efficient stockless supply chains is becoming more evident every day. Retailers, manufacturers and wholesalers alike strive to create value in the supply chain by increasing the efficiency and removing the inefficiency wherever possible. After all, we all know that storing product is inefficient and adds cost not value, to the supply chain.
Typically, the management elements that add value to the supply chain are:
- Simple cross-docking
- Complex cross-docking
- Pick-by-line, and
- Short-cycle-ordering
Of course, the simplest way to get product straight from manufacturer to customer (or store) has always been direct delivery. However, the management of today’s supply chains has become a sophisticated mixture of multi-channel fulfilment. This element of sophistication demands that product touches the distribution centres, so it is up to the distribution centre to create the value.
Marketplace View
Cross-docking and pick-by-line solutions are commonplace throughout the industry. However, the terminology used is not necessarily what customers might expect. There are many shades of grey, particularly in pick-by-line, so it is always worth asking “What is included?”
Cross-docking is typically a simple method of receiving a pre-picked and packed container and moving that container directly to a suitable dispatch marshalling area, ready for onward distribution.
Pick-by-line is typically bulk delivery of each product line and the subsequent picking of each of those product lines to store containers.
Most best-of-breed supply chain solutions will deliver pick-by-line at execution level, i.e.: receiving, picking and dispatch only, but what is normally excluded and overlooked are the purchasing, aggregation and order-well management elements.
Therefore, the cautionary note is that a tick in the box is not necessarily a guarantee for delivery of expectations.
Cross Docking
This consists of two types: simple, and complex. In its simplest form it performs the prerequisite of receiving a pre-picked and packed container and moving that container directly to a suitable dispatch marshalling area, ready for onward distribution. In its complex form, it performs the receiving and break-down of multi product containers to individual store containers.
Take perfumes for example. Perfumes are not ordered in pallet quantities, but you do not want to receive one case at a time for each store. Instead you receive a container of pre-picked cases to satisfy the requirement for all your stores. The clever bit is that the container can now be broken down by store and then moved to a suitable dispatch marshalling area for each store.
Pick By line
Our vision of pick-by-line is “From cradle-to-grave” – we cover every aspect that a Retailer can reasonably expect from the management of the supply channel. This includes:
- Store Order Management
- Order aggregation, and
- Purchasing through to
- Pick-by-line execution
With the execution of pick-by-line, you will find:
- Comprehensive store apportionment
- The ability to receive and pick from multi-item containers
- Catchweight handling, and
- EAN128 compatibility
All essential requirements for chill and perishable operations are also included. As you would expect from a best-of-breed solution; paper, RF and native voice options are available.
In Summary
AquiTec gives you a complete solution for the stockless supply chain. |