Cross-docking
Cross-docking is moving freight from inbound trucks straight to outbound trucks at a dock, sorting it on the way, with little or no storage in between. Shippers and carriers use it to combine many small shipments into fewer full trucks, cutting transport cost without holding inventory.
How a cross-dock works
In Bartholdi and Hackman's warehousing text, freight at a cross-dock is "pulled off arriving trailers, sorted and loaded onto departing trailers without intermediate storage", and there is "little or no storage provided". Inbound trucks bring freight from many origins; it is sorted by destination across the dock floor and leaves on outbound trucks, each bound for one place.
- Why: "The biggest reason to have a crossdock is to reduce transportation costs" — many part loads become fewer full ones.
- What it costs: labour, which the same text calls "frequently the main cost" — every pallet is handled across the floor.
- What it looks like: research by Bartholdi and Gue found cross-docks shaped like an I, L or T are the most common.
Worked example: fewer trucks
Four suppliers each ship to six stores. Sent direct, every supplier-store pair is its own part load. Through a cross-dock, each supplier sends one full truck in, and each store gets one full truck out.
Direct: suppliers × stores = 4 × 6 = 24 part-load shipments · Cross-dock: suppliers + stores = 4 + 6 = 10 truck movesThe gap widens as the network grows: 10 suppliers and 20 stores is 200 shipments direct, 30 through a cross-dock — provided each flow fills a truck.
Cross-docking or warehousing?
A warehouse earns its keep by holding stock until it is ordered. A cross-dock earns it by not holding anything: freight is already allocated to a destination when it arrives. If pallets routinely wait on the floor for a day or two, the site has become a warehouse without the racking, systems or space of one.
The mistake people make
Scheduling inbound and outbound trucks independently. A cross-dock only works when the trucks feeding an outbound load arrive before it leaves, so dock appointments on both sides are the operation, not an add-on.
FAQ
Cross-docking: common questions
- What is the difference between cross-docking and warehousing?
- A warehouse stores goods until they are ordered. A cross-dock moves them from inbound to outbound trucks with little or no storage, because each pallet already has a destination when it arrives.
- What shape is a cross-dock?
- Research by Bartholdi and Gue found I, L and T shapes the most common. Whatever the shape, the design aims to keep the walk across the floor, from inbound door to outbound door, short.
- When does cross-docking save money?
- When many origins ship to many destinations and the flows, combined at the dock, fill trucks that would otherwise run part-loaded. The saving is in transport; the cost is the labour of handling every pallet across the floor.
Sources
- Bartholdi & Hackman, Warehouse & Distribution Science, Georgia Tech (2002 draft)
- Bartholdi & Gue, The best shape for a crossdock, Transportation Science 38(2), 2004
Related terms
- LTL (less-than-truckload)Term
- Yard management system (YMS)Term
- 3PL (third-party logistics)Term
- Lumper feeTerm
On Traqo: Yard Management schedules every dock door, so inbound and outbound trucks each get a slot.
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