Table of Contents
What is a tiered material store?
The material passes through various storage levels as part of the manufacturing process. Accordingly, a differentiation can be made between the level-related types of material stores:
That Incoming warehousethat is directed outwards and serves as a buffer between the procurement cycle and the production cycle. Its job is
- continuously supply the production with the required material,
- keep the production process free from possible market fluctuations,
- Include material for speculative reasons if necessary.
That Workshop warehouse, which, as an interim storage facility in the production area, holds the materials that have already passed through one or more production stages and are to pass through one or more production stages.
- In the case of flow production, workshop warehouses are largely avoidable.
- In workshop production, there are usually several workshop warehouses between the individual production stages.
That Product warehouse, which after completion of the production takes the products, spare parts, semi-finished products and goods and serves to absorb the fluctuations in the sales market. Its organization depends on whether it is delivered directly to the end user, via distribution centers or via legally independent sales organizations.