There are a lot of people who think that warehouses and distribution centers are one and the same. They’re under the impression that companies use them for similar purposes. But this isn’t actually true, as warehouses and distribution centers are two different things. You should remember this when you’re thinking about using one or the other for your business. Here are a few things that set warehouses and distribution centers apart.
Warehouses are usually used to store products for longer periods of time than distribution centers.
When companies rent out warehouse space, they usually do it to store products for extended periods of time. While some companies will use their warehouse space to ship products to customers, many rely on warehouses to handle their extra inventory. Distribution centers, on the other hand, are designed to help companies fulfill orders from customers quickly. Companies don’t usually use them for storing products over long periods of time.
Warehouses aren’t always as active as distribution centers are.
Some warehouses can be very busy. There are constantly products moving in and out of them. Generally speaking, they’re not usually as busy as distribution centers are. Since products tend to hang around inside of warehouses longer, there isn’t always a ton of activity inside of them. Products are always working their way through distribution centers, though, which usually make them more active than warehouses.
Warehouses don’t necessarily need to utilize the same state-of-the-art equipment as distribution centers.
To process orders quickly and keep products moving through them, distribution centers need to be outfitted with all the latest state-of-the-art equipment. This equipment is used to pick and pack products and to keep tabs on inventory. Some warehouses have similar equipment inside of them. But since warehouses aren’t often faced with the same kinds of complex operations you’ll find in distribution centers, they don’t always need to have this technology in place.
Are you trying to decide whether to rent a warehouse or a distribution center for your business? Affiliated Warehouse Companies can tell you more about the two options and help you pick which one would be best. Call us at 732-739-2323 today to get started.
