Differences between Distribution Centers and Warehouses

593 WordsFeb 23, 20182 Pages
worker While distribution centers and warehouses come from the same sector of services, in storage management. They are actually quite different. With both of them providing different services within their niche. However for you to fully understand the differences, you must first know what each of them carry out on a day to day basis. Warehouses: Warehouses are buildings or structures which store goods. Normally for retail purposes. These goods are kept within the warehouse until the retailer in question needs them, either to stock their shelves or to provide them directly to their customers. You will find that large retailers such as Argos, own their own warehouses, while smaller independent retailers tend to go for a third party experience. This is because for most smaller retailers, the overhead costs of having their own warehouse is not feasible. However the same can be said for larger retail chains. For large retail changes it is not feasible to be paying a third party to store their goods. As they tend to have millions of units of products, which take up a lot of room. Warehouses tend to only ship to retailers. Rather than to individual customers, which makes their job comparatively easier compared to that of a distribution center. As they can send items in bulk, cutting down costs of individual shipping and wrapping. It also means that, storing the stock is some what easier for them too. As they only need to separate the goods into which retailers they belong to.
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