<p>In a fast moving environment and in a globalized market, companies are searching efficient distribution methods that enable broad product assortment, lower level of inventories, shorter customer order fulfilment, lower transportation costs in order to achieve a more efficient procurement process and a improved customer service. This paper will focus on a new solution in supply chain design to solve these trade-offs between management cost cutting and higher customer level within markets characterized by an increasing globalisation. Merge in transit (MIT) distribution method allows companies to reduce inventory and transportation costs while guaranteeing a high customer perceived service level. It is a new technique in which goods shipped from several supply locations are consolidated into one final customer delivery. The company needs to coordinate shipments so that they arrive simultaneously and goods can be bundled and shipped immediately to the final customer for arrival on due date. Economical benefits and drawbacks will be investigated from a supply chain prospective.</p>

In a fast moving environment and in a globalized market, companies are searching efficient distribution methods that enable broad product assortment, lower level of inventories, shorter customer order fulfilment, lower transportation costs in order to achieve a more efficient procurement process and a improved customer service. This paper will focus on a new solution in supply chain design to solve these trade-offs between management cost cutting and higher customer level within markets characterized by an increasing globalisation. Merge in transit (MIT) distribution method allows companies to reduce inventory and transportation costs while guaranteeing a high customer perceived service level. It is a new technique in which goods shipped from several supply locations are consolidated into one final customer delivery. The company needs to coordinate shipments so that they arrive simultaneously and goods can be bundled and shipped immediately to the final customer for arrival on due date. Economical benefits and drawbacks will be investigated from a supply chain prospective.