Warehouse and Distribution

 Many people get confused with the terms Warehouse and Distribution. They think that both of them stand for the same things. However, both warehouse and distribution do not stand for the same thing but a similar one.

In this article, you will read the explanation of warehouse and distribution centers and the advantages of warehouse and distribution.

What is a Warehouse?

A warehouse is a spare room; go down, garage, or a vacant place with enough space to keep the goods in safe custody for a certain period. These goods are later sold or transported to a specific destination. The entire process is called warehousing.

The supply chain solution companies offer various types of warehousing like private, public, Bonded, Cooperative, consolidated, Government, and many others.

What is Distribution?

Distribution centers are those from which the products are directly sent to the customers. Distribution is the stage when the order has reached, and the requested inventory will move from its storage place to the ultimate customer.

The cost of the supply chain and the satisfaction level of the customer depend on this factor. The stage of distribution comes after proper storage, warehousing, and transportation.

Distribution use generally includes packaging, storage, the fulfillment of the order, customer management, and vendor returns.

Advantages of Warehouse and Distribution Warehouse:

1. If the goods are kept in warehouses, you will come to know the exact level of inventory available after each delivery.
2. It will help to make the correct decision about the future availability or requirement of the stock.
3. The warehouse will help you to focus on other matters like reducing operational cost and enhancement of the development.
4. Different goods need storage environments. These warehouses fulfill those storage requirements under one roof. For example, perishable goods must be stored in a cool place.
5. Warehouses take care of the smooth delivery of goods from manufacturer to the ultimate customer.

Distribution Services

1. A distribution system can help you to increase sales and automatically enhance the profits of the business.
2. The reputation of the firm gradually increases.
3. Quick and efficient delivery of goods will help you retain your old customers and increase the number of new customers.
4. Distribution or supply chain companies undertake the burden of safe transportation of goods with the help of various latest technologies like GPS, IoT, etc.
5. No need to take stress about the timely distribution of goods and can easily concentrate on more important jobs.

When the question is about the storage of goods, the answer is the warehouse. But Services like Order fulfillment, Mixing of various products, Cross-docking, packaging, and others come under the responsibility of distribution channels.

Jal Supply Chain management LLP is a platform that uses the latest technologies and software for smoother channelization of warehousing, distribution, and other logistic operations.