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Supply Chain Management > Distribution Strategies > Flashcards

Flashcards in Distribution Strategies Deck (9)
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1
Q

Direct shipping

A

No warehouse or cross dock center
Costs and lead time lower, bullwhip minimised
Make to order and fragile goods or short life cycle high perishability

2
Q

Traditional Warehouses

A

Distribution centers and warehouses that keep inventory to meet demand of customers
High outbound costs, however risk pooling can be applied
Inventory management centralised or decentralised?
Centralised or local facilities?
Shorter lead time vs cutting costs?

3
Q

Cross docking

A

Warehouses and distribution centers only inventory transfer point. Only sorted, grouped or redistributed. Products already belong to retailer or customer
“Best of both worlds”

4
Q

Different types of cross docking

A
  1. One-touch: Transfer one van to another
  2. Single-stage: Control purpose, no sorting
  3. Two-stage: Goods unloaded sorted prepared then loaded into vans
  4. Parcel: Goods sorted per region
  5. Mixed: Goods received and sent anywhere within station
5
Q

2 types of cross-docking operations

A

Pre-sorted, pick-to-zero

6
Q

When to cross-dock?

A

Predictable, high demand
Lead time is critical (perishable products)
High holding costs

7
Q

Lateral shipments

A

Shipment between same level in SC to meet demand. Need to share information, takes advantage of risk pooling

8
Q

Advantages direct, warehousing and x-dock

A

Direct and x-dock inventory advantage

Warehousing transport cost advantage

9
Q

Wal-mart choices

A

Combined warehouse and x-dock, little direct
Little pre-sorted x-dock
Most product flows warehoused
Remainder x-dock: push