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I just heard about xref and have never tried learning what it is.
Let say you are a piping draughtsman/ civil draughtsman
You would need the mechanicals and the structures to complete your piping
You would then X-ref in on a mechanical or structural layer the mechanicals and the structurals
you would then continue to do your piping
When you finished you can then turn the layer of especially if you submit you drawing for checking because the checker would have his /her own mechanicals and structurals
If want to make the structurals part of your drawing you would you the bind command
But remember if it is binded and the mecchanicals change you have to delete that layer and bring in the new structures or mechanicals