COPPELL, Texas -- In conjunction with its nearly complete warehouse expansion, Minyard Food Stores here is installing an 80-foot receiving dock for use with a cross-docking project planned for 1997.
Prudencio Pineda, senior vice president of warehousing and distribution for Minyard, said he believes cross-docking will offer the opportunity to reduce warehouse inventory and maintain a high service level.
"We have not taken the first step, but once we look to our vendors to cross-dock products, hopefully we will see a 20% inventory reduction," he said.
Currently, Minyard is engaged in a cross-docking project with a third-party distributor, Bunzl, St. Louis. Bunzl provides distributors with store supplies, like paper goods, flatware and trays for bakery and deli departments, through cross-docking.
According to Pineda, Minyard downloads orders to Bunzl. Once the third-party distributor fills the orders, they are delivered to Minyard's warehouse.
"The products are unloaded from their trucks onto our outbound trucks," he explained. "It is working perfectly, and it gives us an idea of what cross-docking can do."
Though Pineda is hoping for a significant inventory reduction, he is being realistic. "Colleagues around the country are realizing these types of gains, but I am keeping in mind that all warehouses are different," he said.
Minyard's distribution center expansion project, which will result in a total of 730,000 square feet, is scheduled for completion Jan. 1.