Peak season is that time of year when order numbers skyrocket, and order fulfillment, in turn, becomes a great deal more challenging. The process of picking and packing products in warehouses and distribution centers reaches peak levels, and supply chain warehouses that fail to adapt can quickly fall behind or feel overwhelmed by the sheer weight of order volume mounting by the day.

One of the ways that warehouses can maintain service quality and streamline operations, even in the face of serious peak season demand, is through automation.

Key Takeaways

• Warehouse automation helps facilities handle peak season surges by improving speed, accuracy, and efficiency while easing the burden on staff.
• Automating key workflows such as inventory management, order routing, and returns handling reduces bottlenecks and keeps operations running smoothly during high-demand periods.
• With the right technologies and best practices in place, warehouses can not only manage today’s peak season challenges but also build scalable systems for future growth.

What Are the Basics of Warehouse Automation?

In a nutshell, warehouse automation is about using technology to carry out warehouse operations with little to no human intervention or oversight required. The technologies involved may include artificial intelligence (AI), robots, sorters, and conveyance systems. They often take over labor-intensive tasks to ease the workload on human staff and improve warehouse-wide operational efficiency.

Common Peak Season Challenges Automation Addresses

The term “peak season” relates to the periods of the year when demand rises and order numbers swell, often because of sales events such as Black Friday or holidays like Christmas. In retail and logistics sectors, peak season equates to a much bigger workload, with many more orders to fulfill in only a brief span of time.

Warehouses that fail to adapt to demand spikes and other peak season challenges risk suffering serious consequences to their reputation, customer retention rates, and profitability. These are some of the challenges that automation can alleviate for a warehouse’s peak season:

• Volatile demand and order volume spikes: During peak season, the amount of orders you have to deal with may be several times greater than normal, and demand spikes can come at any time, without warning, dealing a hit to warehouse efficiency for those that aren’t ready.
• Labor constraints and seasonal staffing struggles: One of the ways that many warehouses and facilities meet peak season demand is to bring in extra seasonal staff. But it’s not always easy, and new staff members may need training and guidance to get up to speed.
• Space limitations and congestion: Inventory management often becomes much harder in peak season, because you have more inventory to handle and there are more products moving here and there around the warehouse space. Congestions and blockages often occur.
• Fulfillment accuracy and returns load: With more orders to process, more work to do, and more risk of workers getting overwhelmed and overburdened, order accuracy can suffer. Plus, you don’t just have to handle orders going out, but also returns coming back, adding to the workload.

5 Key Workflow Automations to Implement Before Peak Season

Embracing automation systems ahead of peak season helps companies enhance operational efficiency and maximize space utilization in time for rising demand and increasing order volume. Some of the best systems to implement to get ahead of the game are:

• Job creation and order batching: Automating job creation and batching simply involves setting criteria for jobs and letting automated systems fulfill and group or batch tasks accordingly. When combined with automated technologies like robotic pickers, overall order fulfillment and operational efficiency can increase enormously as a result.
• Smart inventory management and putaway: Given how difficult it can be to keep on top of your inventory at peak season, it’s also wise to find better, smarter ways to manage the stock you have. Automated inventory management uses real-time inventory data and internal warehouse technology to keep shelves and racks stacked and organized.
• Automated order routing: Order routing revolves around finding the right pathways for products and orders to travel and is especially needed if you have multiple facilities or distribution centers to manage. With automation, your warehouse management systems can redirect orders to the fastest and most efficient routes, cutting shipping costs and improving customer satisfaction.
• Walking path optimization: Warehouse workers often walk many miles each day and spend a large part of their time simply getting from place to place. Walking path optimization makes it faster and more efficient for them to get from point A to point B, so they waste less time and use less energy, too.
• Smart shipping and returns handling: As touched on above, you also have to deal with order returns during peak season, too. With so many products going in and out, there’s little margin for error. Set up smart shipping and returns systems to automatically generate shipping labels and optimize routes to save costs, while receiving returned orders more efficiently.

Advanced Automation Technologies for Peak Efficiency

Optimizing and automating some core processes, like inventory management and shipping, is a good first step. However, you also need the necessary technologies to power automation across your facility. Technologies like intelligent robotic pickers and autonomous mobile robots that can pick and move items around or even travel across the warehouse to deliver goods without human workers.

High-density automation technologies are also must-haves in busier warehouse environments that deal with huge order traffic, like automated carousels with revolving shelves that can sort and move items on their own. Forward-looking scalability planning, too, will allow you to plan not just for the next or present peak season, but future peak seasons, fueling continuous improvement each year.

Metrics & KPIs for Peak Season Performance

Measuring peak season performance is the only way to know how well you are effectively navigating the challenges it brings. For that, you need clear key performance indicators (KPIs) to keep track of, and some of the most important KPIs to understand performance are:

• Order lead times (how long between an order being placed and it being ready to ship)
• Return rates (how many orders are sent back)
• Error rates (how many mistakes in picking and packing are made within the warehouse)
• Average cost per order (how much you are spending to process each order, taking into account shipping, storage, and labor costs)

Use analytical tools and warehouse management systems to obtain the data you need to track these metrics and derive insights from them. Leading tools also help with demand forecasting and provide seamless visibility into shipping costs, so you can better prepare for peak season volume spikes and optimize your warehouse’s cost-efficiency rating.

Best Practices & Strategic Implementation

Implementing automation effectively isn’t just about installing new systems. It’s about making thoughtful choices that align with your operations. 

The following best practices will help you maximize automation’s impact and ensure your warehouse is fully prepared for peak season:

• Do not wait. Start now: The sooner you embrace automation, the better. Even if it’s far in advance of peak season, that just gives you more time to get used to it and optimize it.
• Align automation with operations, don’t disrupt: Don’t completely flip your operations upside down to integrate automation. Find natural, fitting ways to work them into your operations.
• Foster flexibility, not just capacity: Don’t just think purely in terms of speed and order numbers; use automation to make your facility more dynamic and flexible so it can cope with peak season challenges.
• Leverage a modern WMS as the brain center: Every good warehouse has a strong warehouse management system as its brain, controlling and streamlining its operations. Don’t overlook this and make sure to invest in a quality WMS and associated tools, like warehouse execution software.

Want to Discover How Automation Can Help You? Contact BoxLogix for Your Expert Consultation

Automation is the proven path to better warehouse operations, and it’s the almost magical remedy to so many of the problems that plague facilities during peak season times. Embrace it now, and you’ll be ready to face those challenges head-on for your next peak season and all those that follow. 

BoxLogix can help. Contact our team to learn all about warehouse automation technology and tools.

Frequently Asked Questions (FAQs)

What is warehouse automation, and how does it help during peak season?

Warehouse automation uses technology such as robotics, AI, and smart systems to streamline operations with minimal human effort. During peak season, it helps warehouses keep up with surging order volumes by improving speed, accuracy, and efficiency.

What are the most common peak season challenges for warehouses?

Warehouses often face volatile demand spikes, labor shortages, space congestion, and higher risks of order errors and returns. These challenges can overwhelm traditional processes, making automation a valuable solution to maintain performance.

Which warehouse processes can be automated to handle high order volumes?

Key processes that benefit from automation include job creation and batching, inventory management, order routing, walking path optimization, and shipping and returns handling. Automating these areas reduces bottlenecks and ensures smooth workflows even at peak demand.

What types of technologies are used in warehouse automation?

Common technologies include autonomous mobile robots (AMRs), robotic pickers, automated storage and retrieval systems (AS/RS), and high-density solutions like carousels. These are powered by advanced software, often integrated with warehouse management systems, to coordinate operations.

How can automation help with labor shortages during peak season?

Automation reduces the reliance on seasonal hires by taking over repetitive, labor-intensive tasks. This allows existing staff to focus on higher-value work, helping warehouses stay productive even when staffing is limited.