WAREHOUSE

WHAT IS WAREHOUSE?

Warehouse is the part of firm’s logistics system that stores product (raw materials, parts, goods in process, finished goods) at and between point of origin to the point of consumption, and provides information to the management on the status, condition and disposition of items being stored.

The main activities related to the warehousing are:

• Ø  Material Handling
• Ø  Transportation
• Ø  Packaging
• Ø  Production/manufacturing
• Ø  Oder processing
• 
  

Public warehouse

Operated as an independent business that offering the service of storage, handling and transportation, on the basis of a fixed or variable fee.

There are six types of public warehouse.

i.                    General merchandise. This warehouse most common form of public warehouse. This warehouse is design to store almost any kind of product. Does not require the specialized services. Used by manufacturer, distributors and customers.

ii.                  Refrigerated warehouse. Also known as cold storage warehouse. Provide temperature and can control the temperature suitable with the storage environment. Used for preserving perishable items. For example, fresh fruit and vegetable. Also stores non-perishable items. For example, film, pharmaceutical. In this warehouse, it divided by two which is in frozen and chilled.

iii.                Household Goods. This warehouse is specializing in the storage and handling of household furnishings and furniture. These warehouses are used for storage of personal property rather than merchandise. Three main types include open storage, private room and container storage.

iv.                 Bonded Warehouse. Licensed by government to store goods prior to payment of taxes or duties. Any movement of goods in and out must be accompanied by government form. Types of goods store such as cigarettes, liquor’s, electrics goods. Allow delay of tax and import duties payment.

v.                   Special Commodities Warehouse. Used for storage of particular agricultural product such grain, aluminum, wool, coffee bean, cotton etc.

vi.                 Bulk Storage. Provide tank storage of liquids and open or sheltered storage of dry products. Services are restricted to storing, handling, mixing and breaking bulk of bulk products such as liquid chemicals, petroleum and syrups.