In: Operations Management
Match the distribution center function with its example:
These are the terms:
- Stockpiling
- Breakbulk
- Cross-docking
- Reverse logistics
- Value-added services
- Production support
And these are the functions that need to be matched:
A) The Spangler Candy Co. loads full-truck loads of Dum Dums for shipment to DCs for Target, Walmart, and Kroger
B) Customer returns are sent from each individual store in Ohio to the Findllay DC
C) A package from LA arrives at the FEDEX hub in Memphis and is loaded on a plane to New York within 20 minutes
D) In January, John Deere holds lawn movers at all of its DCs
E) In the Frito Lay DC, a grocery store display for Doritos is assembled
F) At a DC, within one mile of the Jeep assembly plant, car parts are sequenced for the assembly line
We will first define the terms and then match them with various functions.
Stockpiling: Stockpiling is keeping bulk materials in any DC or warehouse.
Breakbulk: Breakbulk means shipment of items individually and not in large quantities. These are not shipped in any containers.
Cross-docking: Cross-docking is unloading from one shipment and loading into another.
Reverse Logistics: Reverse logistics is concerned with the materials being returned.
Value added service: It refers to value added to goods through a manufacturing, production or assembly process.
Production Support: Activities supporting production of main product.
Answering for Functions:
A. Here, the Dum Dums are loaded into trucks individually and not in bulk. The Dum Dums are shipped in FTL. Hence this is Breakbulk.
B. Here customer returns are managed efficiently. This is Reverse Logistics.
C. Here, one shipment ends in Memphis and the second shipment starts immediately. Hence this is Cross-docking.
D. Here, large quantities are kept in stock at all DCs. Hence this is Stockpiling.
E. Here, the display assembled will add value to the doritos produced. Hence this is Value added service.
F. Here, The Car parts are sequenced in order to support the production of Jeeps. Hence, this is Production Support.
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