Materials handling.
Materials handling is the movement and storage of goods inside the distribution center. The type of materials handling equipment used affects the efficiency and cost of operating the distribution center. Materials handling represents a capital cost;
Protective packaging.
Goods moving in a distribution system must be contained, protected and identified. In addition, goods are moved and stored in packages and must fit into dimension of the storage spaces and the transportation vehicles;
Order processing and communication.
Order processing includes all activities needed to fill customer orders. Many intermediaries are involved in the movement of goods and good communication is essential to a successful distribution system.