We mentioned in an earlier blog that the Fall season is extra meaningful to an eCommerce fulfillment company. It means that the time has come to prepare for Peak Season. What does Peak Season actually mean? It simply means the busiest season of the year. Peak Season requires some very vital planning and preparation. After more than 20 years of growth and expansion, serving clients as a third-party fulfillment service (3PL), AMS does have more than a little experience in preparing for ‘Peak’.
Planning and Forecasting
When approaching the months of Peak Season the first thing an eCommerce fulfillment company will do is to look back at the previous seasons, analyze the data, and establish some expectations based on the data. What were the order volumes last year and in previous years. Have there been significant changes during the year? Based upon history and changes, and based upon market trends, the first task is to do some forecasting.
Experience puts AMS Fulfillment at an advantage. We know that if we examine the data and forecast the season, as well as engage in preparation and planning with each client, that we, and they, will have a successful Peak Season. Of course, we cannot control disruptions in the supply chain due to events taking place around the world, but we can prepare for the season.
Examining Operations
Common sense tells us to look into our operations to see if there is anything that needs to be handled prior to Peak. Is there anything of concern in the warehouses, anything that may need attention? Is all of the equipment in good condition, are any supplies needed, does anything need to be replaced? How about bottlenecks… any concerns there?
How about the technology systems – the warehouse management system, inventory management and order management technology – will the systems handle a heavier load with ease? Everything must be checked out and if any issues are seen, the problem must be handled immediately and thoroughly.
Optimizing Inventory
Having looked into the data from the past years, and having completed the forecasting, the next step is to look into the clients’ inventory and confer with the clients with regard to the forecast. Is there enough inventory to complete the anticipated sales, including any new products being marketed over the season.
Sufficient inventory is a very vital forecast and quite a lot of thought and research will go into answering it. Thought and planning will also go into which warehouse location is closest to the client’s customers, so that the inventory will be in the right amount in the right location to assure customer satisfaction.
Seasonal Staffing
Decisions will need to be made as to how much seasonal staffing is needed. When Peak Season approaches, the hiring and training must begin. Forecasting data should point toward where there are needs as well as the number of additional associates that must be hired.
Managers will then incorporate and train the new team members in the various positions. It is wise as well to cross-train a number of current associates in order that they can be moved about to handle several different positions if needed. The team that handles returns must be fully staffed and prepared in order to efficiently handle the increased volume in returns as well.
Relationships With Carriers
During Peak Season the carriers (companies that transport the packages) are as busy as the eCommerce fulfillment service. The relationship of the fulfillment service with the carrier is extremely important. The AMS Fulfillment shipping team has excellent relationships with all of the carriers and this only intensifies during Peak.
Communication with the carriers is vital and any changes or requirements that the carriers make must be recognized and respected by shippers. It is vital as well to share the fulfillment forecasts with the carriers so that they will be prepared to meet the demands of the season.
Collaborate With Clients
The most important task, from the beginning of Peak Season forward, is to communicate and collaborate with the fulfillment clients. What do they anticipate for the season? Share with them the forecasting based on history and together the client and the fulfillment service will find the very best avenue into a successful Peak Season with lots of satisfied customers.
Last But Not Least
Monitor the results of your planning from day one. Track the Key Performance Indicators (KPIs) throughout the entire Peak Season for future use. The point is to learn about the decisions made and use what is learned in the future. Peak Season is a very significant test of the experience, skill, integrity and commitment of the fulfillment company.
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If you want your Peak Season to be all that it can be, we invite you to partner with amsfulfillment.com where we combine our experience and your ideas to bring to life a partnership that will bring success to your organization, your customers and your brand. We’re the Peak Season partner you’ve been looking for!
