Industrial chillers typically come as complete packaged closed-loop systems, including the chiller unit, condenser, and pump station with recirculating pump, expansion valve, no-flow shutdown, internal cold water tank, and temperature control. The internal tank helps maintain cold water temperature and prevents temperature spikes from occurring. Closed loop industrial chillers recirculate a clean coolant or clean water with condition addititives at a constant temperature and pressure to increase the stability and reproducibility of water-cooled machines and instruments. The water flows from the chiller to the application's point of use and back.

If the water temperature differentials between inlet and outlet are high, then a large external water tank would be used to store the cold water. In this case the chilled water is not going directly from the chiller to the application, but goes to the external water tank which acts as a sort of "temperature buffer." The cold water tank is much larger than the internal water tank. The cold water goes from the external tank to the application and the return hot water from the application goes back to the external tank, not to the chiller.

The less common open loop industrial chillers control the temperature of a liquid in an open tank or sump by constantly recirculating it. The liquid is drawn from the tank, pumped through the chiller and back to the tank. An adjustable thermostat senses the makeup liquid temperature, cycling the chiller to maintain a constant temperature in the tank.

One of the newer developments in industrial water chillers is the use of water cooling instead of air cooling. In this case the condenser does not cool the hot refrigerant with ambient air, but uses water cooled by a cooling tower. This development allows a reduction in energy requirements by more than 15% and also allows a significant reduction in the size of the chiller due to the small surface area of the water based condenser and the absence of fans. Additionally, the absence of fans allows for significantly reduced noise levels.

Most industrial chillers use refrigeration as the media for cooling, but some rely on simpler techniques such as air or water flowing over coils containing the coolant to regulate temperature. Water is the most commonly used coolant within process chillers, although coolant mixtures (mostly water with a coolant additive to enhance heat dissipation) are frequently employed.