Warehousing and Storage

Term storage may refer to storage building (warehouse) and premises or the goods in the stock (stock, inventory). Storage, in turn, means storage operation (warehousing, stock keeping), and storage operations (warehouse operations). Logistics service companies operate in this business providing warehousing services to their customers.

Some stock must be kept in order to guarantee availability of the products. The standby phase, in which products are stored, depends on the production strategy. The more finished product is stored the more capital tied up in the stock, so companies plan even more their production as far as possible by customer orders.


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