Central warehouse

Central warehouse - In the case of delivery via a central warehouse, the delivery of the goods is handled via a single warehouse. A delivery via a central warehouse usually takes place when larger quantities of goods have to be transported over long distances. A delivery via decentralized warehouses is usually advantageous if several customers who are spatially close to one another are served with smaller quantities on a tour. If the customers are supplied via spatially distributed warehouses (branches), there is usually greater flexibility (physical proximity to the customer, short transport routes).

Delivery via a central warehouse is often associated with lower costs per transport unit than delivery via a decentralized warehouse.

However, it has to be decided on the basis of company-specific aspects whether the customers are to be supplied via a central warehouse (cheaper) or via a decentralized warehouse (higher delivery service).

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