The various functions of a warehouse are: 

(i) Storage: Storage is the basic function of a warehouse which provides space for goods, inventory and equipment. Appropriate Storage Helps in minimising the wastage, gives you profit when demand arises and ensures the safety of the goods. 

It is divided into two types:

(a) Planned Storage: Estimated storage time which is framed perfectly to meet the customer demands.

(b) Extended Storage: It refers to the extra time taken than planned storage where seasonal demands, bulk purchases are the major reasons behind this extra storage time.

(ii) Safeguarding of Goods: Second most important function of a warehouse is safeguarding of goods from natural and weather conditions and also from theft and damage. It is monitored by the appointed person who takes care of the responsibilities involved. It has all the precautionary measures to safeguard the products such as from fire, floods and other climatic factors.

(iii) Movement of Goods: 

Movement of goods consists of the following activities:

(a) Inbound Activity: which refers to unloading of goods from the vehicle into the warehouse.

(b) Transfer to Storage: which refers to transferring of goods from inbound area to storage area.

(c) Order Selecting: which refers to selecting the items required to be shipped from the storage area.

(d) Outbound Activity: which refers to inspecting the goods and loading the goods for shipment.

(iv) Financing: Warehouse financing is a type of inventory financing that involves a loan provided by a financial institution to a manufacturer or to a company. Here, goods and commodities stored in the warehouse are used as collateral security to get the loan offer. When the goods are transferred to the warehouse, the depositor of the goods gets a receipt which acts as a proof that the total value of goods is stored in the Warehouse. The warehouse can issue a certificate in the name of the depositor, which is called a ‘Warehouse keeper’s warrant’. So, while the goods are in the warehouse, you can use this certificate to get a loan.

(v) Value Added Service: Value added is some extra work involved apart from actual warehouse functions such as packing, repacking, labelling and so on. 

Some major value -added services are discussed below:

Processing: which refers to the process that certain goods are involved in to make it consumable. Seasoning of timber and polishing of paddy are the best examples here where at times warehouse owners perform this on behalf of the actual owner of goods. 

Grading and Branding: warehouses at times undertake the function of grading and branding of goods on behalf of actual owners of goods. They provide services like mixing, co-packing and repacking of goods. 

Other Services: Other value-added services include labelling, stamping, barcode printing, gift packing, quality checking, invoice printing, etc.

(vi) Information Management: Warehouse tracks all the in and out movement of goods which helps you in knowing the exact position and stock of goods and data. It helps the actual shipper/ owner of goods to read the data in a precise manner,helping in planning the upcoming goods to be stored and moved out. Error free and precise and timely information is required to make it happen.