Types of Warehouses and Their Business Use

Storing your goods might seem easy especially if you want to rent a warehouse or warehouses. However, this notion might change if you fail to select a warehouse that is durable putting proximity into consideration.

If you choose a warehouse that you find difficult to meet up with your customer’s demand for time, you might end up losing those customers. Therefore, we advise that before you choose a warehouse, spend some time thinking through the type of warehouse you’d need to support your business objectives.

To help you achieve your set goals and objectives, the light industrial office for rent has compiled a list of the various types of a warehouse to aid you in selecting a suitable warehouse for your business. Here is our list:

1.      Distribution Center Warehouse

The Distribution warehouse is a type of warehouse used to store as well as sell large quantities of goods. In most cases, the distribution warehouse stores goods gotten from several manufactures and in turn sell to retailers based on their demands.

These goods are stored for just a short period, sometimes just for a few days. Also, the distribution center is regarded as a major part of the supply chain, hence, it must be arranged correctly. Once you have a good supply chain, you can simultaneously serve a lot of customers with ease.

2.      Climate-controlled Warehouse

The Climate-controlled warehouse is the second on our list. It is termed this way as it is a warehouse used to store and ship perishable goods. This type of warehouse is located in humidity-controlled environments, to store perishables goods like fresh flowers, and other goods that require freezers.

The warehouse is designed in such a way that it is capable of storing whatever type of perishable goods no matter the climate, thereby keeping the goods at temperatures for resale.

3.      Private Warehouse

The third on our list is the Private Warehouse. This type of warehouse is mostly owned by companies that store their food privately or by large retail corporations. Another name for the private warehouse is called propriety warehousing.

This type of warehousing requires a lot of facilities to be put in place, hence a capital investment has to be put in place to build and maintain such a warehouse. Also, the private warehouse can be located on-site or off-site where manufacturing takes place.

We recommend the private warehouse for you if you are willing to make the financial investment for the storage of your goods either as an establishment or sole owner of a business.

4.      Public Warehouse

 If you are on the lookout for a warehouse for companies who have a short-term need of a warehouse, the public warehouse is ideal for you. This type of warehouse is designed to serve as a viable option for manufactures who run out of space with their warehouse.

You can get the public warehouse to store surplus goods that couldn’t be contained in your warehouse. It helps you to solve the problem of an overflow in your warehouse until you’re capable of building or relocating to a bigger warehouse.

5.      Automated Warehouse

 Just as the name implies, the automated warehouse helps you to house goods through the use of order and software to track, receive, store, and move goods to consumers. It makes use of complex equipment ranging from racking and pallets to forklifts to move these goods more quickly and easily within the warehouse. 

The automate warehouse solves the problem of overcrowding in warehouses and it reduces the need for human labor. Also, it avoids human errors as they can accurately receive and ship goods effectively.

6.      The Fulfillment Center Warehouse

This is a third-party warehouse, where activities like order processing, picking, packing, and shipping of goods are handled for e-commerce. The fulfillment center warehouse is mostly used by e-commerce merchants to store and shipping of goods.

It functions with a business model that requires sellers to firstly ship their goods to the fulfillment center before an order is placed for the fulfillment center to process and ship out this order. As a result, it eliminates the growing need of e-commerce retailers to maintain their warehouse.

Conclusion

In the end, we advise that your choice of the warehouse should meet both your long term and short-term business needs as well as distribution needs.

For some people, they start with the public warehouse due lack of finance of owning a warehouse before growing to the fulfillment center warehouse or other warehousing types.

However, if you notice that the demand for your product is on the rise, and you have the necessary funds to own a warehouse, we advise that you build or rent your warehouse to meet your business objectives.

We at corporate visions are here to serve you and together help you make those decisions.

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