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Lean Bronze

Category - Continuous Improvement

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Cross-docking is a form of inventory flow where products are received at an inbound dock and immediately moved "cross dock" for outbound shipment to customers. The benefits of cross-docking make it an attractive option, but the operating conditions under which it is most beneficial are not always clear. Which of the following is NOT a cause for this lack of clarity?

Inaccurate less-than-truckload pricing.
Tariffs and taxes.
Variation in demand
Storage costs for truck-load shipments.

Explanation

Answer: B - Tariffs and taxes are not a cause associated with operating conditions under which cross-docking value cannot be determined. Pricing variation and storage costs affect the clear representation of the benefits.

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