The aim of this Bachelor’s thesis was to improve the drop-shipping function in Konecranes DC Nordic-unit’s daily operations. This thesis surveys material flows going through the DC Nordic warehouse and disadvantages of the current drop-shipping process. Possibilities to improve the current process are defined based on the process description which was made as a part of this thesis.

The process description of the current process was made by interviewing employees and by the author’s own observations made during the earlier employments in the unit. The data utilized in this thesis were collected from the ERP system used for daily operations. Literature and researches were used for giving a wider view of drop shipping as a process.

As a result of the study several problems were found in the current drop- shipping process. The most important findings were low transparency of the whole process and lacking reporting methods. Improving of the information flow and utilizing of the possibilities offered by the ERP system were found to be the best ways to improve the efficiency of the process. Also improving of supplier relations, were found to be an important task for future development.

As utilizing of the drop-shipping function will become more common in the future, all the problems occurring during daily work should be taken into account and written down. In this early phase of the current process, it is easy and furthermore very important to fix all possible problems. The results of this thesis will be used as a base for active process development in the future.