Shared, dedicated, managed or 4PL warehousing: what changes?

Shared warehousing

The 3PL holds the lease and shares the building across clients, each in its own zone. It suits growing and seasonal brands, because space and manpower flex with volume. Ask how capacity, stock controls and peak requirements are allocated between clients.

Dedicated warehousing

The 3PL holds the lease and runs a site for one brand alone, with layout, racking and manpower built to that brand’s SKU profile. It suits brands with steady, large volumes or special handling. Prozo runs 10 dedicated warehouses of 5.2 lakh+ sq ft for brands that want a site of their own.

Managed warehousing

The brand keeps the building and the lease; the 3PL brings the manpower, processes and technology and signs the service level. It suits enterprises that already hold large facilities. Prozo runs 11 managed warehouses of 12.9 lakh+ sq ft inside buildings its clients hold.

4PL partner warehousing

Tier 2 and tier 3 demand rarely justifies a lease. In a 4PL model, the operator grades a regional 3PL’s site and runs your stock there on its own procedures and technology, while it signs the contract and carries the liability. Prozo works with 80+ 3PL partners, with partner sites of 1,000 to 20,000 sq ft that open in weeks.

Keep pricing separate from the model

Pay-per-use bills per unit, per pallet or per shipment, so a slow month costs less and the 3PL carries the space and manpower risk. Cost-plus passes cost through plus a fee, with every line visible, so the brand keeps the benefit of scale. Prozo offers both, on any of the four models.

Plan the transition

Agree stock reconciliation, system integration, process acceptance and who owns any inventory differences. Set milestones for testing and the first dispatch. Prozo’s real estate, warehouse design and solution design teams plan the site, layout and freight network before a rate is quoted.