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In-Depth Analysis of Global and Local Warehousing Facilities

Warehousing is an integral part of the logistic operation.  There is a need for the product to be stored until such time that it will be shipped to the buyer. Manufacturers produce the product, but it is not automatically shifted to the buyer.  Warehousing Facilities in Miami can be defined as a process that incorporates the receiving and the storage of the product to arrange them for the redistribution.   It can also be described as taking the responsibility of storing the product.  By storing the product in a predetermined amount of time, and releasing them at an opportune time they create a time utility.

Function of Warehousing in Miami

The primary function of a warehouse can be divided into 5 categories; for grading and packing, financing, risk bearing, price stabilization, and Storage.  Let us analyze them closer.

Storage and Inventory

The fundamental function of Warehousing Facilities Miami is for storing the goods.  Those goods that are not needed immediately will be stored first in the warehouse.  These goods are referred to as Surplus Commodities.  These items are seasonal and will only be shipped as necessary.

Cost and Prices Stabilization

Warehousing Facilities Miami plays a primary role in the stabilization of cost and prices.  It is generally achieved by the aforementioned time utility.  They generally avoid the slump of the price due to the high amount of supply or the increase in price when there is a low demand for the product.

Risk Bearing

Products that are stored in the warehouse are exposed to numerous threats and risks such as fire, exploration, deterioration, and theft.  Warehousing Facilities Miami is designed in order to minimize the risk associated with it.  There is also the existing contract of bailment once the products are already stored in the warehouse.  There is also a keeper that is responsible for maintaining the quality of the product and protects them from any risk.  The keeper is liable should there be any damage acquired by the goods.


A warehouse may act as a source of loan for the investors for addressing their business operation.  For instance, the banks and other financial institution are providing advance loan by presenting the receipt.  It can also be a source of financing wherein the goods will serve as the security.

Grading and Packing

There is also warehouse facility in Miami that comes with packing, processing and the grading of the product.  Goods are packed contingent upon the request of the owner. The type of warehousing in Miami can be categorized into two; namely Private and public warehousing.

Private warehousing is owned by a private firm.  They have the entire control over the warehouse and the process involved with it.  It is utilized when the company has a specific storing and handling process.  Public warehousing is generally operated by the experts.  They provide their service from different private firms.  These private firms will pay a fee to acquire the service of the warehouses.  There is a third type which is called bonded which is designed specifically for the imported products.

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