10 Types of Warehouses

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10 warehouses types in

today's logistics
environment,,,
01 Raw Materials storage

Those warehouses hold


inventories to support
production to have
continuous production runs.
the primary goal is to hold inventory
that satisfies the production
schedules

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02 Postponement & Customization
This type of warehouse is
used to store products at
different stages before
production or before
delivery to the final
customer.
Activities at the warehouse include:
labeling & packaging
computer assembly
product bundling

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03 Finished Goods Storage

It is the most well-known


type of warehouse, its
primary task is to store
products near the demand
point.
Values provided by the warehouses:
Hold safety stock for finished
goods
Delivery of stocks to consumer
Provide customer service
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04 Consolidation centers
Those receives the inventory
from multiple suppliers, then
consolidate them to be
shipped to one destination
Values provided by the warehouses:
Reduce transportation cost
Efficient inbound handling at the
destination
inventory stays at the center till
call off from the destination
(unlike cross docking)

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05 Break bulk

Receive bulk inventory and


break them into smaller Qty's
to deliver them mainly to
retailers' shops directly
Values provided by the
warehouses:
deliver goods to retailers that
won't be possible to be
delivered by the supplier

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06 Cross Dock Center
Receive multiple
orders/items for the same
destination then consolidate
them and dispatch to the
retails, receive and dispatch
within the same day.
Values provided by the
warehouses:
efficient in the retail sites.
The target is same-day receive
& dispatch
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07 Sortation Centers

They are usually used by the


Post companies like FedEx.
All letters and parcels are
collected in one location and
then sort them
geographically for overnight
delivery.

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08 Fulfillment Center
Is an extension of the
traditional warehouse,
however, those centers
manage a high volume of
small orders mainly e-
commerce operation
Values provided by the Center:
Support e-commerce operation

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09 Revers Logistics Center
Managing returns of e-
commerce. E-commerce
know for its high rate of
return, and this raises the
need for dedicated returns
centers
Values provided by the Center:
Returned Stocks, be available
for selling quickly.
Repack & Reuse materials
Dispose of the damaged item in
enviormental friendly manner
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10 Public Sector warehousing

It's serving governmental


needs and supporting
multiple public sectors
warehousing needs
Armed forces
Natural disasters
equipments

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All the warehouses types mentioned
here can be owned, leased, or operated
by third-party companies on behalf of
a principal.

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