Cross Docking And Supply Chain Case Study

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2.1.1.3 Relationship between cross docking and supply chain From management perspective, cross docking is a complex business operation, involving extensive coordination between its distributors and suppliers and customers. Performing a cross docking operation means that all channel partners will undergo a cost increase or some obstacles during implementation. On the supply side, suppliers may be required to provide smaller and more frequent shipments, while also labeling prices or barcodes if necessary. On the demand side, customers may be required to place orders on certain days, or allow lead times to be delivered more than a few days. All of these requirements lead to increased costs and increased coordination among channel partners. There…show more content…
Concepts associated with vehicles are capacity, transportation costs including the two commonly used types which are fixed costs - the cost necessary for the vehicle to depart that does not depend on the distance travelled by the truck, the variable cost is the cost taken per unit of distance travelled by the truck, the maximum distance that the truck can travel in a day (route length), type of commodity that the truck carries. • Depot: a place to store goods, truck will take goods in the warehouse to deliver to customers, after delivery, the truck will return to the warehouse. • Customer: customer can only pick up the goods delivered by the truck, but can also be a line haul customer or a backhaul customer. The concepts that come with customer include: the amount of goods that the customer requests (demand), the commodity type, the time window that customer allows the vehicle to deliver. For example, customer A's time interval is 2:00 PM to 4:00 PM, meaning that customer A only allows the car to deliver (or take) goods within 2:00 PM to 4:00 PM. • Route: The route of a vehicle is a cycle, with the starting point and ending point is the warehouse, the components points of the cycle corresponding to the customers that the vehicle comes to deliver or…show more content…
Then, of course, the vehicle must meet the first customer to get the goods, after that the goods will be delivered to the recipient. Thus, in this problem there will be a new type of constraint: precedence constraint. The vehicle must comply with this order, that is, to meet customers who placed a delivery in advance, and then to meet customers who need to receive goods. • VRP with Time Windows (VRPTW): The delivery locations have time windows within which the deliveries must be made. If the vehicle arrives customer location before service time, it has to wait until the allowed time but still has to finish before exceeding the given time window. • Capacitated VRP (CVRP): In this problem, each vehicle has a different capacity, requiring the problem to find the way for vehicles so that the total amount of goods that a vehicle must carry in a route must not exceed the capacity of the
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