Warehousing ll

Marketing S.S.S 2 Second Term

WEEK 2

Warehousing ll

Performance Objectives

Students should be able to:

1. List the types of warehousing

2. Give the importance of each type.

Content

i. Types of warehousing.

ii. Importance of each type.

Types of warehousing

1. Storage warehouse

2. Distribution warehouse

Storage warehouse

it holds goods and services for moderate to long periods in an attempt to balance supply and demand for manufacturers and consumers.

Importance of Storage Warehouse

Storage warehousing is of great importance to the fast-developing businesses of today.

1. It helps lessen the expense of companies in having to transport all the goods to different places.

2. Storage warehouses serve as depots for merchandise or other parts for manufacturing companies.

3. Storage warehouses are basically commercial buildings used in storing goods or merchandise owned by different companies.

4. These warehouses are generally used by companies involved in businesses. These businesses include exporting, importing, manufacturing, wholesaling, transporting, and many other industries that require large storage facilities. Storage buildings are often comprised of very wide areas that are mostly located in industrial zones.

5. Storage warehouses are equipped with cranes, forklifts, and container trucks which are used in loading and unloading cargos.

 

Distribution warehouse

It assembles and redistributes goods, keeping them moving as much as possible.

Importance of Distribution Warehouse

1. Distribution warehouses facilitate assembling the product and redistributing it within a short period of time.

2. They can also be centralised (when located near the factory) or decentralised (when located near the market).

3. Distribution warehouse has the flexibility to warehouse goods that are redistributed to wholesalers, retailers and/or directly to customers simultaneously.