Introduction to storage and distribution

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While in recent years many organizations have opted to outsource storage and distribution requirements it still remains a key activity in the supply chain – in this article we’ll cover the basic principles of storage within the supply chain – in later articles we’ll look at the issues associated with the process together with optimum operational activities and methods.

Basic Storage

Storage is simply the physical holding of materials (stocks or supplies) which are awaiting issue to customers (which could be internal and external).

Storage has a number of processes which vary from company to company but typically include:

Goods reciept (which typically includes some inspection prior to full acceptance.)
Recording issues to customers
Providing periodic maintenance and auditing of the stock
Disposal of surplus materials