Warehousing

WarehousingStores products at and between point

of origin and point of consumption, and provides information to

management on the status, condition and disposition of items being stored.

Reasons of Warehousing:Achieve transportation & production

economiesTake advantage of quantity purchase

discountsMaintain a source of supplySupport the firm’s customer service

policiesAnd etc.

Uses of Warehousin

g

Manufacturing Support

Supplier A

Supplier B

Supplier D

Supplier C

Warehouse Plant

Product Mixing

Plant A

Plant B

Plant C

MixingWarehouse

Customer 1A B C

Customer 2A B C

Customer 3A C

Customer 4A B C

Consolidation

Plant A

Plant B

Plant C

Consolidation

Warehouse

Customer 1

Customer 2

Customer 3

Breakbulk

Plant Break bulkWarehouse

Customer 1

Customer 2

Customer 3

Types of Warehousing

Cross-docking refers to moving product from a manufacturing plant and delivers it directly to the customer with little or no material handling in between

Contract Warehousing a long term mutually beneficial arrangement which provides unique and specially tailored warehousing and logistics services exclusively to one client, where vendor and client share the risks associate with the operation

Types of Public Warehouse•General Merchandise Warehouse•Refrigerated Warehouses•Bonded Warehouses•Household Goods Warehouses•Special Commodity Warehouses•Bulk Storage Warehouses