Online orders turn into parcels inside specialized buildings. A fulfillment center is a facility that receives inventory, stores it, picks and packs customer orders, and hands them to carriers for delivery.
Unlike traditional retail distribution centers that ship to stores, fulfillment centers focus on individual consumer orders. High SKU counts, small order sizes, and tight delivery promises drive layout and automation choices. Returns processing is often handled in the same building.
Warehouse management systems orchestrate put-away, picking waves, and packing stations. Labor planning and slotting strategies determine whether same-day or next-day promises can be kept. The fulfillment center has become the operational heart of e-commerce logistics.
- Facility that processes and ships individual customer orders
- Handles storage, picking, packing, and returns
- Designed for high SKU variety and small orders
- Critical to e-commerce delivery promises
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