Overview and tasks of a distribution center
A distribution center is an interface in the form of a building complex that functions exclusively within a logistics network. It can be a warehouse, a transshipment point or a combination of the two. Usually, it is a combination of the two, where goods are stored, moved (material flow in intralogistics) and transferred to different means of transport.
Generally, individual customer- and order-specific goods are put together in a distribution center using picking and distributed to smaller distribution centers via goods issue. In other words, a distribution center describes an interface function of logistics in which material flows between producers and customers are organized and processed. Typical functional areas are goods receipt, warehousing, picking, packaging, and goods issue.
Capacity utilization in the distribution center
On the basis of key figures, the internal costs and revenue of such a transshipment and storage location can be estimated and planned.
For example, the following factors must be taken into account for goods receipt:
- Acceptance items (pallets),
- inbound shipments,
- goods identification,
- personnel,
- unloading techniques,
- water, rail, and
- road delivery.
Another factor is the so-called throughput time fulfillment, in which picking and finishing (packaging), for example, play an important role.
For more information, see, for example, order throughput times and picking and packing.