Comparison of Logistics and Supply Chain Solutions

Comparison of Logistics and Supply Chain Solutions
Modern warehousing logistics are comprehensive. You will find modern warehousing systems tailored to your needs. They range from conventional variations, individual, manually controlled storage towers to bespoke system solutions, and automated warehouses. As a result, you can secure a highly efficient and unique storage solution depending on your warehousing needs and that suits your company's needs as well. 

Most people find confusion in the distinction between storage and warehousing. We typically understand warehouses as spaces for storage. However, their primary purpose is storage of goods before sales or distribution. Thus, most warehouses deal with movement of high volumes of goods in fast-paced environments.

The difference between an industrial warehouse and a logistics centre 

An industrial warehouse and a logistics centre are different in nature. There is a broad distinction in the way they are used and their functions. A logistics centre provides a centre for the distribution of goods. Warehousing logistics will come into the picture whenever any company has sales of physical goods. It comprises many aspects, such as warehousing services, operations, warehouse management, and warehouse management systems.

An industrial warehouse, on the other hand, has a much broader scope of services as compared to a logistics centre. For example, an industrial space for rent in Kallang, which houses a warehouse, is entrusted with several tasks, such as storing and transporting goods. 

Warehousing and supply chains 

A supply chain is a network between your company and its suppliers that produces and distributes a specific product to the buyers. This network comprises different activities, people, and resources. The supply chain also represents the steps involved in procuring the product or service from its original state and sending it to the customer.

Warehouse logistics is playing an important role in this process as supply chains are being redesigned to keep up with rising demand. Most goods are delivered from a local or foreign manufacturer to a warehouse to transfer finished goods through the supply chain. 

Logistics and Supply Chain Functions 

Any eCommerce company will have these basic logistics and supply chain functions.

  • - Warehousing 
  • - Inventory Management 
  • - Services for Order Fulfilment 
  • - Third-Party logistics 
  • - Handling In-house Fulfilment
Let us have a look into the functions and how they differ from each other and from industrial warehousing.


The process of warehousing involves holding inventory over a long period of time. Most warehouses are large storage spaces for goods with shelves, containers, and docks, as well as small areas of storage to keep additional inventory items. This is the storage facility aspect of warehouses where you can take a warehouse space for rent in Singapore on a short-term or long-term basis. 

Warehousing helps with business-to-business (B2B) or wholesale eCommerce orders that involve bulk quantities of goods. Thus, warehousing takes care of storing and managing inventory. Logistics is the functional aspect of storing and delivering goods in a warehouse. Both warehousing and logistics are part of the supply chain. 

Inventory Management 

Inventory management keeps track of a company’s stored goods. It involves tracking, ordering, restocking inventory, and demand forecasting so that you never run out of stock. 

Supply chain management, or SCM, is more comprehensive and covers the coordination between partners that deal with sourcing, manufacturing, transporting, storing, and selling. Logistics comprises the storage and movement of items in the supply chain. Inventory management is a function of logistics, but picking, packing, and shipping orders are not included in inventory management. 

Order fulfilment services 

Order fulfilment, or supply chain fulfilment, involves the steps between taking new orders and sending the goods to customers. It includes processing orders, their warehousing, managing inventory, packing, shipping, and the returns process. However, order fulfilment does not require any storage for a long time. 

Third-Party Logistics 

It refers to outsourcing logistics to a third-party business, including warehousing, inventory management, and fulfilment. A third-party logistics provider assists you in the day-to-day operations of your supply chain logistics. However, it does not include functions such as shipping orders, renting or acquiring warehouse space, purchasing equipment, or hiring fulfilment people. 

Handling In-House Fulfilment 

Another aspect of the fulfilment process is that in-house fulfilment activities keep you in charge of the whole retail fulfilment process. This includes warehousing, inventory management, packing, and even investing in the fulfilment infrastructure your company may need. However, it does not have fulfilment outsourcing, i.e., warehouse space sharing outside your company. 

Fulfilment is a type of logistics that focuses on completing customer orders. It starts with the placement of a customer's order, but it doesn't always end when they receive it. For example, some logistics companies only provide material transport, while others may offer warehousing and order fulfilment services. 

Summing Up 

Logistics is a critical part of supply chains and tracks and manages the people and resources required to store and transfer goods and services. The supply chain covers a variety of activities, including production and inventory planning, manufacturing, materials and facilities management, and delivering goods and services. As a result, the two differ widely in their scope and functions. 

Space Resource can provide you with the apt warehouse space for rent in Singapore to successfully carry out all these functions. So contact us now to book your space!