Warehouse Vs. Logistics: What’s The Difference?
Retail warehouse recruiters in NJ consider warehouse and logistics to be two different aspects of the supply chain with similar functions. In other words, the warehouse and logistics are virtually two different sides of the same coin. To explain how they differ from each other, we’ll first define both operations and show their differences.
What is the warehouse?
A warehouse can be defined as a commercial building used for the storage and organization of goods. It can also be defined as a large building where manufactured goods and raw materials are stored before sales and distribution. The warehouse is usually a central location for receiving, storing and distributing products. The functions of a warehouse may include:
- Unloading receiving &checking inbound goods
- Internal product storage and movement
- Order-picking
- Stock sorting and rotation
- Packing, loading, and shipping
- Cycle counting and replenishment
- Handling returns, maintenance, and loss prevention
What is logistics?
Logistics, on the other hand, is the management of the flow of raw materials and finished products from manufacturing to final delivery. Logistics usually involves the integration of information flow, production, inventory, security, packaging, material handling, transportation, and warehousing. Logistics activities can be divided into two parts:
- Inbound logistics – this involves all logistics activities pertaining to the movement of goods and raw materials into production facilities.
- Outbound logistics – this involves all logistics activities pertaining to the movement of finished products to the point of consumption. This may also be called order fulfillment.
Differences between warehouse and logistics
Warehouse operations management recruiters in NJ often consider warehousing to be a subset of logistics. However, they both cover two different aspects of similar functions within supply chain management as we have explained above.
Similarities between warehouse and logistics
Although different sides of the same coin, the warehouse and logistics do share some similarities. Most warehouse management activities are considered a part of the logistics management system and both activities are components of the general supply chain management.
