Nov 16, 2023
2023 Guide to Peak Season: Transportation and Warehousing
As with most years in supply chain logistics, 2023 has been filled with many uncertainties. However, this year we’ve found ourselves amid a peak season that looks exceedingly different from past years. To better understand the unique challenges of 2023, we talked with the experts at TA Services and created a guide for adjusting to this year’s unusual peak season shipping and inventory management processes. We’re covering it all, from understanding the basics to learning how a soft market will impact shipping demands this holiday season to tips for efficient peak season warehousing operations.
Peak season: The basics
What (and when) is peak season?
Peak season is the period when there is a substantial increase in demand for shipping and warehousing services. While seasonal demand varies by industry, the holiday season (October through December) typically brings heightened demand for logistics companies, in turn affecting all industries.
How does peak season impact logistics operations?
A surge in consumer demand around the holidays increases the pressure on supply chains to meet that demand. Historically, this means tightened capacity with limited trucks, drivers, and warehouse space as well as increased shipping and warehousing rates. Which is why efficient planning and resource allocation are crucial for businesses to meet their delivery commitments during peak season.
Transportation: A different kind of peak season for 2023
How is the current market impacting 2023’s peak season?
2023 holiday peak season shipping looks a lot different compared to years past. Capacity exceeding shipping demands has put the industry in a soft market throughout the year. This doesn’t seem to be changing and many experts in the industry are saying there won’t be much of a shipping peak season in 2023.
Preparing for peak season (or a lack of one) in 2023
Transportation planning has always been (and will continue to be) an unpredictable industry. Several external, unpredictable factors — from consumer behavior to weather incidents — can impact operations. Regardless of what happens this peak season, it is always wise to plan early and expect the unexpected.
Choosing a partner for peak season
Working with a flexible partner who can adapt to your changing needs is crucial during any peak season. A reliable 3PL partner like TA Services offers scalability, cost-saving opportunities, and industry expertise tailored to meet your goals.
- Scalability
TA Services relies on our vast network of carrier partners to help shippers move their freight across North America. Because we’re not constrained by the capacity of our own fleet, we can scale up or down to meet fluctuating demand. We offer multimodal services and value-added solutions to help you choose the most cost-effective and efficient transportation solutions for your shipments. This flexibility ensures that you can efficiently manage the variability in your operations during a potentially unpredictable peak season. - Cost savings
Historically, the heightened demand of peak season shipping brings a spike in rates. This may not be the case this year, but it’s still important to ensure you are getting the most competitive rates. TA Services prioritizes building long-lasting relationships with shippers and carriers, allowing us to offer reliable capacity and strong buying power. By leveraging our industry knowledge and relationships, you can benefit from competitive pricing regardless of what this peak season brings. - Industry expertise
TA Services has more than 37 years of experience in the logistics industry, giving us insight into the intricate dynamics of supply chains. Our industry expertise and relationships will help you anticipate trends and market shifts and adjust accordingly to support your business needs. We can help you plan effectively to meet customer demands, even in unexpected situations.
Warehousing: Tips for navigating peak season
When it comes to warehousing, accommodating peak season demands can be challenging. During this time, limited capacity and labor are partnered with an increased demand for products and fast, accurate fulfillment. We’ve put together five tips to help you improve your warehousing operations during peak season.
- Using data to predict inventory and staffing needs
Every peak season is different, but it’s important to look at data from previous years to understand trends and help forecast future needs. Important data points include inventory levels, number of pallets in and out, warehouse utilization, and number of trucks and shipments. Be sure to have the correct processes and systems in place to track this information as well as the industry expertise to extrapolate insights that you can turn into an effective strategy. - Be strategic with your warehouse layout
A strategic warehouse layout will help streamline order picking and reduce inefficiencies, saving both time and money. Warehouse optimization processes like slotting can help you enhance your warehousing operations by using heat maps to identify the most frequently accessed items and rearrange your layout to prioritize them. You may also need additional packing stations to accommodate the extra volume. Additionally, consolidating pallets that might obstruct your access to high-demand products will streamline your internal movements. - Hire temporary staff to help meet demand
During peak season, consider adding temporary staff to meet the anticipated increased workload. While these new employees may only be there briefly, ensure a smooth transition by providing thorough orientation and training processes. Equipping temporary workers with the necessary knowledge and skills will help maintain productivity even in hectic times. - Provide a safety refresher before the holiday rush
With increased demand, tighter deadlines, and new temporary staff, warehouses often see a spike in safety incidents during peak season. Prioritize your staff’s well-being as well as the safety of your products by providing safety refresher training. Color-coded safety vests can also be a vital tool during peak season. Provide different colors for new or temporary employees, seasoned employees, and managers. That way, new employees will know who to ask for help, and seasoned employees will know who to offer some extra support. - Choose a 3PL partner to help handle peak season challenges
A reliable 3PL partner can bring valuable expertise, resources, and scalability to your warehousing operations. At TA Services, we can help manage your warehousing and fulfillment operations, handle increased demand, and optimize your supply chain for success. With over 2 million square feet of warehouse space and the ability to scale wherever you need us to be, you can count on having the capacity you need during busy holiday shipping seasons — and throughout the entire year.
Navigate peak season with confidence
Get in touch with a member of the TA Services team to learn more about our full-service logistics solutions and the benefits of partnering with our experienced team during peak season and beyond.