Difference Between A Warehouse And A Fulfilment Service Centre

The term warehouse and the fulfilment centre are thought to be synonyms to each other. For a layman, both these terms are the same. The real thing to remember is that both these terms are distant from each other in every possible way and can be distinguished from each other conveniently. In order to make the best use of both, it is important to learn the difference between the two. The key features that can be used to distinguish the two are:

  • Storage duration
  • Functioning
  • Pick up frequency

Storage duration

How long you want to store your goods? This time factor is the key element in distinguishing the two locations. Although a fulfilment centre has a warehouse component to it still it cannot be called a warehouse. The purpose of this component is to give enough space to the merchant’s inventory in specialized parts of the centre. The inventory cannot be placed in the fulfilment centre for a long time usually more than a month. This would, in fact, increase the cost. The purpose of the warehousing in Adelaide is to keep the things safe while the fulfilment centre is the place to keep the goods before they are actually shipped. The purpose is to save the cost of shipping. Placing the goods to be transported in the fulfilment centres reduces the time of transit.

Functioning

There is little movement witnessed in the warehouses. They look more static and stagnant especially when they are compared with the fulfilment centre. The latter are usually experiences continuous in and out the movement of the inventories. As it is the location prior to the shipping hence the inventories don’t stay long in here. Usually, the movement on the fulfilment centre owes to entry and departure of inventories, creating pick and drop lists for timely delivery, packing the goods before shipping, marking the inventories with the address and the region of delivery, keeping the receiver informed about the entire movement, and then finally handling the stuff that is returned due to any reason. Click here for more info on pick and pack in Sydney,

In the case of warehouses, such activity is hardly witnessed. They lack the hustle and bustle that marks the fulfilment centres. The inventories stay longer here.

The pickup frequency

Once the inventory enters into the fulfilment centre they have to stay connected with the shipping agency in order to pick up the goods. They have to keep in touch with the carrier companies so that the delivery is made well in time without any waste of time and damage to the goods. It is for this reason that the fulfilment centres come up with a cut-off time to manage the inventories. There are no regular pickups from the warehouse instead.