Introduction
Cross-docking / Direct-to-Shelf (DTS) is an inventory management approach used by supermarkets and retail shops to shorten replenishment cycles and reduce storage and handling costs.
In cross-docking, products delivered by suppliers to a distribution center (DC) are not kept in long-term storage. Instead, they are quickly sorted and transferred directly from inbound trucks to outbound trucks heading to stores. This enables faster store replenishment, lower warehouse space requirements, and reduced inventory holding costs.
Direct-to-shelf extends this concept further at the store level. Goods arrive in shelf-ready packaging, allowing staff—or in some cases suppliers—to place items immediately onto store shelves without using a backroom. This is common for fast-moving consumer goods such as beverages, snacks, and household items.
Feature Faster replenishment and fresher products
Lower inventory and storage costs
Reduced handling and store labor