Would like to see your preference when it comes to planning. Personally, I think it's good to know where the average stand but I used peak volume for planning purpose. To me, the benefit of avoiding disruptions/running out of space/decreased productivity due to over-utilization of space outweighs the cost of affording idle space during less busy seasons.
A community for warehouse and logistics discussion. Allows like-minded practitioners to interact by sharing ideas and knowledge in the forum.
Would you plan your warehouse solution based on average volume or peak volume?
Agreed. It is always good to work in a warehouse with sufficient space rather than a congested one. Placing the overflow volume in another warehouse might incur additional cost as well.
One thing to note is that nowadays, the ecommerce spike is many fold increase compared to the normal days.
In US and Europe, Thanksgiving and Christmas period (including Black Friday and Cyber Monday), you will see a huge jump in sales transaction.
In Asia and China, 11November is a day where the marketplaces are providing huge sales discounts, and this peak can be more than 10 times the daily average.
If the operations involved ecommerce, then we may need to analyze carefully.