Which of the following warehousing approaches combines inventory from multiple suppliers into a consolidated shipment to a specific customer?
Correct Answer: B
* Warehousing Approaches: Different strategies are used in warehousing to optimize storage and distribution.
* Cross-Docking: Involves unloading materials from incoming shipments and directly loading them onto outbound shipments, minimizing storage time.
* Options:
* Reverse Logistics (A): Refers to the process of moving goods from their final destination for returns or recycling, not relevant to consolidation.
* Cross-Docking (B): Combines inventory from multiple suppliers and consolidates shipments to specific customers, improving efficiency and reducing costs.
* Bulk-Breaking (C): Involves breaking down large shipments into smaller quantities, not necessarily consolidating multiple suppliers.
* Drop Shipping (D): Direct shipment from supplier to customer without intermediary handling.
* Conclusion: Cross-docking is the approach that combines inventory from multiple suppliers into consolidated shipments to a specific customer.
References
* "Supply Chain Logistics Management" by Donald J. Bowersox, David J. Closs, and M. Bixby Cooper.
* APICS Dictionary, 16th Edition.