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While Warehouses and Distribution Centers (DCs) Store Products, They Perform

Question 1

Multiple Choice

While warehouses and distribution centers (DCs) store products, they perform different functions. Which of the following statements regarding warehouses versus distribution centers is TRUE.


A) Warehouses store all products, typically for an extended period of time, while DCs hold minimum levels of inventories that are predominantly high-demand items.
B) DCs handle most products in four cycles (receive, store, ship, and pick) while warehouses handle most products in two: receive and ship.
C) Warehouses perform many value-added activities, while DCs perform few value-adding activities.
D) DCs focus on minimizing the operating cost to meet shipping requirements, while warehouses focus on maximizing the profit impact of meeting customer delivery requirements.
E) Warehouses and DCs do essentially the same things and are not really different.

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