Centralized Warehouse

Logistic includes various activities like warehousing, handling of goods, inventory control, marketing, forecasting and customer service. Within supply chain, warehouse is a crucial element and due to shift in strategies it is the most affected section.

There are two basic strategies in stock and warehouse management: centralized and decentralized. The centralized storage is better way of stock control, and according to it reduces costs and total inventories.

Advantages of a central warehouse:
*Lower storage costs / lower location costs
*Quality in decision making
*Lower training needs
*Standardization of work standards and instructions
*Coordination Facility
*More efficient warehouse organization and management
*Identification of intermediate collaborators with the least determinant organization
*Use of economies of scale
*High readiness to deliver (high availability of goods)
*Centralization of warehouse processes

Central warehouse management or simply called warehousing is basically revolving around stock management, inventory management, sorting, picking, order fulfillment and shipping. Warehouses is considered to be the backbone in the supply chain and is the connecting point between various partners of supply chain.
Centralized Warehouse