As online commerce becomes increasingly mainstream, the question of where to store inventory is a unique issue that merchants must consider. However, the convenience of online shopping is attractive, but where are these products and goods kept before the order is completely placed? When analyzing a business’s product fulfillment and shipping logistics, the topic of warehousing is likely to arise.
While some may envision a warehouse in Kolkata as a large facility with rows upon rows of stored goods, in reality, the picture is quite different.
Modern warehouses are clean, lively, and organized hubs for product fulfillment and inventory management. Without proper warehouse management, a business might suffer dramatically. In this blog, we will discuss different types of warehouses and some of the available options for those exploring these warehouse types, as well as what specific properties entrepreneurs should look out for when selecting a public warehouse.
Different Types of Warehouses
In its most straightforward logic, a warehouse is a large building where goods and materials are temporarily stored prior to being exported and sold. However, a large variety of businesses and companies require access to warehouses, especially huge companies that have grown enough and need more accommodating space for their products.
When a company identifies a need for a warehouse, or even multiple warehouses, they are forced to explore the unique types of warehouses to choose the best one for its specific products and goods. Let us examine five of the most common types of warehouses, from cold storage facilities to private warehouses.
Each of these warehouse types will undoubtedly be utilized for a unique kind of business. Therefore, choosing the best warehouse in Kolkata for your business needs is a crucial step in ensuring that product and inventory fulfillment go as planned.
-
Public Warehouse
A public warehouse is a warehouse owned by governmental entities that is primarily available for private sector companies. These types of warehouses are rented out for personal and business use.
Public warehouses are an attractive option for business owners who need to store inventory for a short period, as other warehouse options can be more expensive. They are mainly used by new or growing businesses, such as e-commerce companies and startups, due to their affordability compared to a private warehouse.
Public warehouses are generally basic in terms of their setup, typically lacking the advanced technological capabilities found in other warehouse types.
- Accessible to the public
- An affordable option for new businesses
- Great for seasonal businesses
- Ideal for short-term storage
2. Private Warehouse
The popular warehouse option is a private warehouse, mainly referred to as proprietary warehousing. While a public warehouse is primarily owned by a government body or a third party, private warehouses are owned by a company division. If a business is genuinely interested in a private warehouse, it is required to make a substantial upfront investment to secure the building, cover facilities management, and maintain the premises.
According to the experts of Ganesh Complex, private warehouses are a specific option for wholesalers, distributors, and manufacturers. While a private warehouse is a more expensive option than a public warehouse, it certainly offers business owners more overall control of their inventory management and building facilities. This is ideal for companies that require a substantial long-term presence in a specific region. It offers a more exclusive location for various business operations.
3. Smart Warehouse
The increasingly popular warehouse option is the smart warehouse, which is a warehouse where the storage and fulfillment processes are automated with the aid of AI, such as robots and drones.
The Artificial Intelligence present in it is responsible for packing, weighing, transporting, and storing raw materials, with several income orders being automated to be fulfilled immediately.
Smart warehouses have long been a go-to option for large e-commerce companies like Amazon, which seek to streamline their order fulfillment and inventory management processes for accuracy and efficiency.
- Inventory management is more accurate.
- Automated functions save on labor and decrease human error
- Increase safety and security within the facility
- It provides insight into the overall business efficiency
4. Cooperative Warehouse
A cooperative warehouse is a warehouse that is owned by multiple businesses and organizations. These companies tend to work closely, and access to the cooperative warehouse can result in cost savings for both companies.
Cooperative warehouses are most commonly found among farmers and wineries, as these businesses can store their products seamlessly in a shared space.
Both businesses utilize a cooperative warehouse, which can certainly reduce their spending on inventory storage, thereby increasing the profit of all cooperative members in the long run.
This is great for groups of businesses with the same inventory types. It is primarily accessible due to combined investments. It can save businesses money on reduced rates for multiple tenancies.
5. Consolidated Warehouse
Consolidated warehouses collect small shipments from multiple suppliers in one geographical location, combining them into a larger and more economical shipping load for a single destination.
Therefore, the grouping together of these smaller shipments is an attractive feature for companies that may not have a large amount of inventory, such as new companies and startups.
The caveat of this warehouse type is that these shipments will undoubtedly need to be intended for only one area, which might be restrictive for companies trying to expand. These are economically friendly and time-saving, with lower shipping costs for warehouse tenants. It doesn’t require higher inventory levels, and no capital investments are necessary for lower-risk use.
Qualities To Look For In A Warehouse
As we have explored various warehouse types, it is now time to consider the finer details that make a warehouse a suitable location for storing inventory. Each warehouse can be unique, with some differing from others. Several key features of an efficient warehouse should be considered before selecting one.
Some of the key qualities businesses should look for in a well-managed warehouse include the following.
- Up-to-date Software
- Updated Mechanical Systems
- Proper Security
- Up-to-date Emergency and Safety Protocols
- Prompt Delivery and Positive Customer Service
- Required Storage Space
- Proper Temperature Controls (If needed for cold storage)
Concluding Thought
When first approaching the need for warehousing, it can be quick to get overwhelmed by the several types of warehousing to choose from. This is primarily for new or growing businesses; it is crucial to select a warehouse that can accommodate your specific inventory while providing access to facilities that will support prolonged growth and profitability.
Ganesh Complex has an extensive understanding of the unique warehouse types, with a good knowledge of inventory and supply chain management.
Ganesh Complex aims to assist businesses in selecting the most suitable warehouse for their specific goals and needs. Still, the question that lurks around the corner is whether we will discuss different types of warehouses. Connect with Ganesh Complex today.
