Cross-docking Helps JCPenney Reduce Materials Handling and Make Logistics More Efficient


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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:

Price:

Case Code : OPER091 For delivery in electronic format: Rs. 200;
For delivery through courier (within India): Rs. 200 + Rs. 25 for Shipping & Handling Charges

Themes

Supply chain / Materials Handling / Distribution

Case Length : 10 Pages
Period : 2007-2009
Organization : JCPenney
Pub Date : 2010
Teaching Note : Not Available
Countries : USA
Industry : Retail

Abstract:

The case study is about JCPenney Corporation, Inc. (JCP), a leading retail chain in the US. It discusses how JCP used cross-docking.

The case discusses the operations at the JCP's Lathrop, California, Retail Logistics Center, the sixth cross-dock facility of the company that was opened in July 2007.

It illustrates how the use of cross-docking helped JCP reduce materials handling and made its logistics more efficient. The case also highlights how the use of energy-efficient technologies and processes and proper site selection helped JCP reduce costs and mitigate supply chain risk.

Issues:

» Study JCP's operations in Lathrop, California, Retail Logistics Center.

» Understand the issues and challenges in employing cross-docking and how it compared to other commonly used distribution strategies.

» Understand the issues and challenges in materials handling.

» Understand how retailers and other companies can mitigate supply chain risks.

Contents:

  Page No.
Introduction 1
Background Note 2
The Challenge 3
The Lathrop RLC 4
Outlook 5
Exhibits 7

Keywords:

Materials handling, Supply chain, Logistics, Distribution, Distribution strategy, Cross-docking, Merchandise flow strategy, Merchandising system, Inventory system, Location, layout, Warehouse management system, automated sorting system, JCPenney

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