For merchants, cost cutting is even more important heading into the holidays, as it provides greater flexibility during a time when the competition is fierce. Here's one way that merchants may be able save big money this holiday season: kitting.

In the world of order fulfillment, kitting is referred to as the bundling of individual items into ready-to-ship packages, and it's a term that is often used interchangeably with "assembly," which can mean to group two or more finished products together.

But there is more than one method of kitting.

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Keywords: supply chain management, value chain, logistics services, logistics management, logistics & supply chain, warehouse management, WMS, warehouse management solutions