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Private Warehouse is the type of warehouse is owned and operated by channel suppliers and resellers and used in their own distribution activity. For instance, a major retail chain may have several regional warehouses supplying their stores or a wholesaler will operate a warehouse at which it receives and distributes products. The benefits of private warehousing are;-

1. Private warehousing offers better monitoring systems over the handling and storageof products as required by the management from time to time which would enhancethe performance of the warehouse.

2. There is less likelihood or error in the case of private warehousing since thecompany’s products are handled by its own employees who are able to identify theproducts of their own company.

3. Private warehousing is the best choice for some of the locations and the products handled because of the non-availability of the public warehousing.

4. Private warehousing has the opportunity to specially design its facilities for automatic material handling equipment where as public warehousing may have the same.

5. Enabling the end user to increase their efficiency by means of better design and structured lay-out.

6. Efficient use of human resources in warehouse operation improves end users’ overall performance.

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