CROSS-DOCKING IN THE SALES SUPPLY CHAIN: INTEGRATION OF INFORMATION AND COMMUNICATION (I+C) RELATIONSHIPS

Authors

  • Tamás Babics

Abstract

The secret of the successfully working companies resides in the consistent adaptation as well as the high-level satisfaction of the continuously changing consumer demands. According to a current approach in these days we can talk about the competition struggle not only of companies and products but also of the supply chains of certain companies [4]. The management of the supply chain means the coordination of the product, service and information flow inside and outside of networks in order to reach consumer satisfaction [2]. Consequently, the supply chain indicates all those organizations and their activities, which forward the product from the raw material source to the end user, at the same time, include the information system, assuring communication among the participants of this process [5]. The key of assuring consumer satisfaction is the maximization of the supply chain usually organically independent of participants´ performance (producing companies, suppliers, distributors, and logistics providers) as well as the optimization of operating costs. The change of disposition data along the supply chain cuts down order lead time, improves flexibility and increases the performance of logistics services. The realization of the effective information flow means to activate and operate connection among logistics softwares, which have different structure and functions in practice. Passing company limits necessitates the efficient communication among partners participating in the operation of the supply chain. The logistics system, which was established by the commercial and producing companies as well as their partners according to the above, is called logistics databus, partners jointly operating the supply chain and being in dispositional relationship with each other are called virtual companies [7]. The study presents the reasons, which lead towards the joining a 3rd party logistics provider (3PL) on the sales supply chain, and reveals the challenges of cooperation as well as enlightens through an example from the field of supply logistics that in addition to the separation of warehousing and distribution how it is possible to assure information flow through passing company limits.

Keywords:

sales supply chain; 3<I><sup>rd</sup></I> party logistics provider; (3PL); cross-docking; I C relationship

How to Cite

Babics, T. (2005) “CROSS-DOCKING IN THE SALES SUPPLY CHAIN: INTEGRATION OF INFORMATION AND COMMUNICATION (I+C) RELATIONSHIPS”, Periodica Polytechnica Transportation Engineering, 33(1-2), pp. 69–76.

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Articles