Pick and Drop (Milk Run)
Pick up and Drop (Milk Run) is a system used to manage transportation leading to cost reduction, inventory management effectiveness, and flexibility. The factory will arrange trucks, which will set out to pick up materials from suppliers according to the arranged places. Once all materials are picked up from all suppliers, the truck will go back to the factory to pack or distribute the goods.
At present, the delivery of materials from suppliers to customers can be done in two ways as follows,
- Suppliers deliver the materials themselves.
- The company arranges the trucks owned by a contractor to pick up materials from Suppliers.
