CROSS DOCKING AS AN ENABLER OF LEAN WAREHOUSING IN PEPSICO PAKISTAN

Abstract

The aim of this study was to evaluate the impact of logistics modern strategy of cross docking on lean warehousing in PepsiCo Pakistan. Cross docking deals with logistics operations and its efficiencies to enhance its distribution process to end customer. The success factor of cross docking that implemented in PepsiCo is the information technology which helps to drag the customer product requirement and leads to meet their demand, the coordination between inbound and outbound supplies and shipment become more reliable. It is also include to minimize the storage space which enables to maintain lower inventory in warehouse. The study involved use of questionnaires filled by 25 respondents and financial data of PepsiCo. The respondent individuals belonged to different age groups, social classes and areas of residence. To analyze the data, Regression, ANOVA and Correlation tests were applied. Data from three different PepsiCo from annual reports was conducted to determine their growing profits by applying this strategy. The analysis and comparative results clearly suggested that cross docking which leads to lean in PepsiCo Pakistan become more successful and bring efficiency in their logistics system to optimize supply chain cost and provide best sendees to its end customer. The outcomes of the research might help the corporate decision makers, government policy formulators and other related quarters to understand the impact to successful logistics operations PepsiCo in Pakistan and to understand the overall dynamics and mechanism of upcoming information technology of supply chain management.