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Warehousing logistics is the use of self-built or leased warehouses, sites, storage, storage, handling, transportation and distribution of goods. The traditional definition of warehousing is given from the perspective of material reserve. Modern "warehouse" is not "warehouse" or "warehouse management" in the traditional sense, but under the background of economic globalization and supply chain integration, it is the warehouse in the modern logistics system.

With the development of logistics to supply chain management, enterprises increasingly emphasize the unique role of warehousing as a resource provider in the supply chain. Warehouses are no longer just storehouses for goods.

In a word, the change of warehouse role is the transformation from warehouse to distribution center. The essential difference between the traditional warehouse and the distribution center is that the warehouse focuses on the management space, while the distribution center focuses on the management time (i.e. the turnover speed of goods), so the essential difference between the two is that the distribution center manages both space and time.


 Role in Logistics and Supply Chain

First, warehousing is the inventory control center in logistics and supply chain. Inventory cost is one of the main supply chain costs. In the United States, inventory costs account for about one third of total logistics costs. Therefore, inventory management, inventory reduction and inventory cost control become the main tasks of warehousing in the supply chain framework to reduce the total cost of the supply chain.

Secondly, warehousing is the dispatching center of logistics and supply chain. Warehousing is directly related to supply chain efficiency and response speed. It is hoped that the accuracy of modern warehousing can reach more than 99% and respond quickly to special needs. Distribution on that day has become a business mode adopted by many warehouses. Customers and warehouse managers constantly improve their goals in terms of accuracy, timeliness, flexibility and responsiveness to customer needs.

Thirdly, warehousing is the value-added service center in logistics and supply chain. Modern warehousing not only provides traditional storage services, but also provides value-added services such as post-assembly, packaging, coding, marking and customer service related to manufacturing delay strategy, so as to improve customer satisfaction and service level in the supply chain. It can be said that the vast majority of value-added services in logistics and supply chain are embodied in warehousing.

Finally, warehousing is the main application center of modern logistics equipment and technology. Integrated supply chain management is realized through the application of modern management technology and scientific and technological means. Efficiency promotes the integrated operation of supply chain. The application of advanced scientific and technological means and equipment, such as software technology, Internet technology, automatic sorting technology, photoconductive sorting, RFID, voice control technology, improves warehousing. Efficiency provides the conditions for realization.
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