Warehousing refers to the activities involving storage of goods on a large-scale in a systematic and orderly manner and making them available conveniently whenever the need arises. Warehousing and warehouse management are part of a logistics management system, which is itself a component in supply chain management. Although viewed by some as simply a place to store finished goods, inbound functions that prepare items for storage and outbound functions that consolidate, pack and ship orders provide important economic and service benefits to both the business and its customers.
Warehouse management is essential to any logistics system, which is an essential part of supply chain management. While some erroneously view a warehouse simply as a storage facility, some warehousing process elements will play a substantial role in ensuring that the entire supply chain system functions efficiently. In fact, there are a number of benefits that a warehouse offers
Well, the requirements of type or number of warehouses depends upon your type of business because of the variety and quantity of products. Warehouse is the most important element of any business. It creates time utility by bridging the time gap between production and consumption of goods. Warehousing is helpful in storing goods when the demand is less than the supply and also helps you release goods when the demand exceeds the immediate production. This feature of warehousing is helpful in regulating supply of goods in addition to stabilizing prices by harmonizing demand with supply. It is helpful in safe and secure supervision of goods. This enables the businessmen to curtail various risks like loss, fire, theft, and damage of goods. It also allows transport optimization along the supply chain, and allow companies to work with an optimal inventory regarding service quality.