Cross-docking Helps JCPenney Reduce Materials Handling and Make Logistics More Efficient
Details
OPER091
10
2010
YES
300
JC Penney
Retailing
US
Operations Strategy,Logistics & Supply Chain, Environmental Sustainability
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.
Learning Objectives
The case is structured to achieve the following Learning Objectives:
- 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
- and Understand how retailers and other companies can mitigate supply chain risks.
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