FOUR TYPES OF CONCERNS OF MODERN WAREHOUSES !!!

With the emergence of the modern logistics park over the years, warehouses are slowly gaining importance. A warehouse is a planned space for the storage and handling of goods and material. Warehousing is a part of a logistics management system, which is a component in supply chain management. Although it is generally viewed by some as simply a place to store finished goods, and from where they pack and ship orders providing important economic and service benefits to both the business and its customers. So here, in this blog, we study the importance of Warehouses inIndia.

·         GIVES A CENTRAL LOCATION:

It provides a central location for receiving, storing and distributing products. As each inbound shipment arrives, goods are transferred to the warehouse personnel, products are identified, sorted and then dispatched to their temporary storage location, preserving the items. Once it’s time to move items, each order is retrieved, grouped, packaged and checked for completeness before being dispatched to their new destination.

·         ADDING VALUE:

The main objective of a logistics system is to reduce the time cycle and overall inventories, lower costs and most importantly, improve customer service. Warehousing increases the utility value of goods by providing a means to have the right products available at the right place in the right time. Processes like order consolidation, order assembly, product mixing and cross-docking within the warehouse structure also adds value to the overall logistics system.

·         ECONOMIC BENEFITS:

Consolidation operations cut outbound delivery costs for both the business and its customers. Instead of shipping items individually from multiple sources, items are delivered to a central warehouse, packaged together and shipped back out as a complete order.

·         BENEFITS TO THE CUSTOMER:

A practice called safety stocking allows businesses to maintain a stable inventory. On the inbound side, safety stocking means that an emergency such as a transportation delay or a shipment containing defective or damaged goods won’t delay filling and shipping customers order. On the outbound side, safety stocking is insurance against out-of-stock items.