Physical distribution is the motion of stuffs from the manufacturer to the consumer. This motion of stuffs is divided into two maps: Physical supply is the motion and storage of goods from providers to fabrication. Physical distribution is the motion and storage of finished goods from the terminal of production to the client. The peculiar way in which the goods move through distribution centres. jobbers. and retail merchants is called the channel of distribution. A channel of distribution is one or more companies or persons who participate in the flow of goods and/or services from the manufacturer to the concluding user or consumer. The dealing channel is concerned with the transportation of ownership. Its map is to negociate. sell. and contract. The distribution channel is concerned with the transportation or bringing of the goods or services.

To a big extend market requires a well-run distribution system. Distribution adds topographic point value and clip value by puting goods in markets where they are available to the consumer at the clip the consumer wants them. The specific manner in which stuffs move depends upon many factors. some of which are the channels of distribution that the house is utilizing. the types of markets served. the features of the merchandise. and the type of transit available to travel the stuff.

Role of repositing:

The service maps warehouses perform can be classified into two sorts: ( 1 ) General warehouse where goods are stored for long periods and where the premier intent is to protect goods until they are needed. ( 2 ) The distribution warehouse has a dynamic intent of motion and commixture. The accent is on motion and managing instead than storage. The size of the warehouse is non so much its physical size as it is the throughput. or volume of traffic handled. Items should be warehoused merely if there is an countervailing benefit gained from hive awaying them. Warehouses serve three of import functions: transit. consolidation. merchandise commixture and service. Any distribution system should seek to supply the highest service degree ( the figure of orders delivered in a specified clip ) at the lowest possible cost. Warehouses are used to hive away stock list.

The direction of warehouses makes determinations on site choice. figure of distribution centres. layout and methods of having. storing and recovering goods. Material handling: Materials managing is the motion and storage of goods inside the distribution centre. The type of stuffs managing equipment used affects the efficiency and cost of runing the distribution centre. Materials managing represents a capital cost. Reception: unloading. review and accounting.

Protective packaging: Goods traveling in a distribution system must be contained. protected and identified. In add-on. goods are moved and stored in bundles and must suit into dimension of the storage infinites and the transit vehicles. It besides includes careful labeling and designation.

Order processing and communicating: Order processing includes all activities needed to make full client orders. Many mediators are involved in the motion of goods and good communicating is indispensable to a successful distribution system.