How Does a Warehouse Differ from A Fulfillment Logistics Company

In the modern era, most financial transactions are done online. In such a situation, ecommerce fulfillment agencies play a huge role in how your online orders are completed. Terms like inventory, warehousing, and fulfillment services have already become a part of the everyday vocabulary. However, there are two very intrinsic differences between a warehouse and a fulfillment logistics company.

Wondering what they are? Read on to get a better understanding.

Storage: The number one crucial difference lies in the time period for which the finished product is stored at the facility. A fulfillment logistics company stores the goods for a maximum of thirty days before they are dispatched or shipped off. On the other hand, a warehouse is a long-term storage alternative. Unlike conventional fulfillment services, the warehouse has a definite storage unit and systems that ensure your manufactured items are properly stored and do not undergo any damage during this time period. While the same is applicable for 3PL fulfillment centers, the duration of the product center staying there is really short compared to a warehouse. 

Operational Functions: The other point of difference will be the operations that go on inside a warehouse and an order fulfillment center. While the terms are often used interchangeably, they have vastly different functional requirements. While a 3pl company oversees all functions of the parent company, from the acquisition of raw materials to their delivery at the correct address. A warehouse, on the other hand, oversees the storage of the goods before they are moved to a different facility for further completion of the order. The area of work is much larger for a fulfillment logistics company when compared to that of a warehousing establishment. 

 

So now that you know the two key differences between a fulfillment center and a warehouse, the only thing you need to do is see which services will be the most beneficial for your company.