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?
A)Inaccurate less-than-truckload pricing.
B)Tariffs and taxes.
C)Variation in demand
D)Storage costs for truck-load shipments.

Question

Quizplus · Accepted Answer

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.

Cross-Docking Is a Form of Inventory Flow Where Products Are