A distribution center is responsible to the enterprise for an efficient and rapid flow of material from the enterprise to the customer and permits it in the global surrounding field to remain competitive. The function of distribution logistics lies thus in the connection of the production of the enterprise with its customers and covers all activities, which stand with the supply of the customers with half and prefabricated factories as well as commodities in connection. A distribution center represents a possibility of realizing the flow of material in this sense.

Gave up a distribution center

Among the tasks of a distribution center one ranks among other things incoming goods, goods despatched like also the job execution range, which covers for example Sorterpackerei, commissioning like also storage. Nowadays distribution centers have modern IT-plants, which fulfill the tasks as far as possible.

By the central completion of the tasks a distribution center makes not only the reduction possible of the transport volume but also purchase advantages. Thus advantages for the consumer develop as also for the enterprise. Possible advantages, which arise as a result of the use of a distribution center for the consumer, are for example a increased supply speed, small inventory gaps in the shelves like also a large selection of goods.

For the enterprise however stand in the foreground cost saving, more efficient goods handling due to shorter turn-around times, decrease of the stocks, maintenance of the goods availability and faster supply times. Although with a distribution center numerous advantages are connected, then this also any disadvantages face.

Disadvantages for the enterprise are for example unawareness of the requirements of the users, more complex material handling like also more complex receiving controls, ponderousness, delay and the danger of the Monopolgehabes of the Distributionszenturms. Probably one of the most substantial disadvantages of the distribution center is in its actual nature - the central completion of incoming goods and goods despatched for a large number because of retail businesses. The retail businesses are placed by this centralization in dependence of the distribution center. If it comes now to a loss distribution center, is not only a business - if this has its own distribution department - all business, which refers the goods of this distribution center, separates endangered. Current example of such a case can be found on the basis the devastating hurricane Rita on the gulf coast of the United States.

Practical examples

• Whale Mart

This enterprise avails itself of two distribution centers for its 89 supercenters in Germany, in order to have the correct product, at the right time, at the correct place for the consumer available. The logistics strategies whale Marts lie on the one hand in a low inventory camp, on the other hand in the so-called CROSS docking. Here the goods are turned over directly in the distribution center and kommissioniert to house-specific pallets. These are delivered then immediately to the individual net curtains.

This enterprise operates 350 distribution centers, which complete everything from frozen food to the entertainment electronics and these articles on over 3.500 retail trade locations to completely France supply. In order to ensure efficient achievement of the distribution centers, this was equipped with a new and efficient logistics and inventory management system.

Process of the distribution

The process of the distribution is clarified on the basis and begins at the unloading ramp. There the detailed commodity is adjusted scanned and with the orders. Assistance of the wireless data acquisition of Intermec receives when stowing away in depots, Kommissionieren for shop orders, loading the LKWs and administration of the setting routes a complete overview of the item transaction in the entire Supply chain. The wireless terminals reduce the administration expense and improve the conditions of work as well as the security of the operators, because it is excluded one of the largest injury risks: Tangling in cables. In combination with the info. log software the devices camp errors at all points of movement of goods set an end.

Summary

In the context of the globalization a distribution center attains ever more at meaning. A center in each country to possess is from today's viewpoint an outdated strategy. Rather large centers must be established at traffic-technically favorable places, which can supply several countries. Thus over Sweden Northern Europe is opened, over Belgium the north of Continental Europe and over Southern France south Europe. In Asia frequently singing pore is selected completely as location for the supply Southeast Asia. With the help of a distribution center thus so economic advantages can be attained, it the enterprise in the today's time permit to remain competitive.

Literature

Griessenberger, C, Kuzmany, K., Zechmann Hamidi, S. (2005): Marketing decisions in the foreign business, Vienna (3.Auflagen)

Related links

• Intermec (called up on 22 November 2005)
• Walmart Germany (called up on 22 November 2005)

Articles in category "Distribution center"

We found here 5 articles.

Related Websites

We found here 3 related websites.

• Online Distribution Center
  Online ordering of official materials and products. Scriptures, publications, music, pictures, and...


• Target
  Trend-forward merchandise at this national discount retailer.


• Wal-Mart
  Online sales from the discount store.