Interim storage

What exactly is an interim storage facility?

An interim storage facility is a specific type of warehouse that is primarily used in production logistics. In multi-stage production, unfinished products, also known as semi-finished products, are stored here at short notice.

If the parts are then needed for a subsequent production step, they can be removed again. Intermediate storage therefore serves as an important link and also as a buffer between the various stages of production.

When is interim storage required?

Operating an interim storage facility is not essential for every manufacturing company. It is particularly important when a product goes through several production stages before it is finished.

If the production capacities of the different stages are not properly coordinated, demand and supply can be disrupted.

For example:

The output of one production stage is greater than the demand of the following stage. Here, surplus semi-finished products have to be temporarily stored in a temporary warehouse until they are needed.

Advantages of an interim storage facility

Companies that produce or trade goods in high volumes in particular benefit from such storage facilities:

• Simplified inventory control through central storage of individual primary or semi-finished products
• Lower transportation costs due to smaller distribution of storage areas
• More efficient flow of goods thanks to shorter delivery times

However, temporary storage is also used for goods that still have to go through a maturing process. These include cheese and wine, among other things.