Warehouse Functions Every Ecommerce Brand Should Master

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Author: Jason Martin

Reviewed by: Chief Operations Officer, Product Fulfillment Solutions
Last updated: January 26, 2026

Executive TLDR

Warehouse functions go beyond simple storage—they are critical activities that keep products moving efficiently from suppliers to customers.

This guide covers the six core warehouse functions, practical optimization strategies, and how a 3PL like PFS can help ecommerce brands streamline fulfillment while reducing costs.

If you want a warehouse that runs like a well-oiled machine,
Contact Product Fulfillment Solutions.

Table of contents

When Warehouse Functions Matter

Ecommerce brands face pressure to deliver orders accurately, quickly, and cost-effectively. Without well-managed warehouse functions, inventory errors, delays, and higher operational costs can pile up fast.

  • High order volume periods like holidays
  • Complex product assortments and bundles
  • Multi-channel selling where inventory must stay accurate across platforms

Story: How Nutra Corp Streamlined Operations

Before

Nutra Corp struggled with inventory inaccuracies and slow picking and packing during peak season. Orders were delayed and customer satisfaction dropped.

Pain points

  • Disorganized inventory storage
  • Manual picking and packing errors
  • Lack of real-time inventory visibility

The shift

By partnering with PFS, Nutra Corp implemented systematic warehouse functions including receiving, storing, picking, packing, and shipping using our real time information systems and kitting and assembly solutions. Accuracy improved, costs dropped, and fulfillment speed increased.

Core Warehouse Functions

1. Receiving

Receiving ensures inbound shipments are accurately verified, documented, and updated in inventory. Best practices include scheduling deliveries, using barcode/RFID scanning, and inspecting for accuracy.

2. Storing

Properly organizing inventory by SKU, product type, or demand frequency reduces picking time, prevents damage, and minimizes stockouts.

3. Picking

Picking retrieves products to fulfill orders. Strategies like batch, zone, or wave picking, combined with technology like voice-directed or pick-to-light systems, increase sp