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Keeping Up with Growing Warehouse Demands: 5 Warning Signs

TL;DR

  • Warehouses are facing higher demands with growing order volumes, increasing returns processing, and customer expectations
  • This quickly escalates to order backlogs, shipping delays, rising labour costs, and more
  • Automated sortation systems help combat these challenges by improving throughput, sorting accuracy, and warehouse efficiency

 

 

The problem: Your operational demands are outgrowing your warehouse

Growing order volumes are often a sign of success. But as demand increases, so do the challenges that come with it.
But don’t worry, rising demands is surely a good thing, right? What could possibly go wrong…

 

The unfortunate reality for many warehouses is that managing a drastic increase in order volume can cause more problems than opportunities. Processing an influx of orders can easily result in bottlenecks and delays, a huge problem for customer satisfaction rates.

 

This combined with increasingly complex fulfilment requirements, faster delivery expectations, and changing consumer demands, truly challenges warehouses and their operational capabilities.

 

A common explanation for this increasing complexity in fulfilment requirements is the popular trend of “returns culture”.

Definition: Returns Culture
A popular trend in online shopping where consumers buy multiple versions of the same product (varying in size, colour, etc.) with the intention of returning most items.

Since returns are being made so easy (and often free), returns handling is becoming a normalised operation for warehouses.

 

Not to add more pressure to the situation, but evolving consumer demands now include faster delivery expectations. People expect their online shopping to be delivered within a few days, sometimes even overnight.

 

These changes in consumer demands and expectations, combined with (sudden) increases in order volumes, can seriously challenge a warehouse’s operational capabilities. Especially for warehouses that still primarily rely on manual sortation.

 

As order volumes grow, warehouses often show clear warning signs before they reach their capacity. Let’s explore common signs that show that your warehouse may be reaching its limits.

 

 

5 clear warning signs that you’re outgrowing your warehouse

It’s not always clear that your operations are slowly heading towards a bottleneck. That’s why we’ve highlighted five clear warning signs for you:

If you notice… It could mean…
Growing number of order backlogs Throughput capacity is reaching its limit
Frequently missed shipping deadlines Fulfilment speed is no longer keeping up with demand
Error rates increasing during busy periods Relying on manual sorting processes leads to frequent errors
Rising labour costs Additional staff are needed to maintain current throughput
Peak seasons causing dirsuptions Seasonal demands overwhelm existing processes

 

Recognise some of these warning signs? Don’t panic! Let’s explore how you can resolve them with automated sorting.

 

 

How does automated sortation help manage growing demands?

Although these problems can feel overwhelming, automated sortation systems can easily work through them. They are specifically designed to improve warehouse throughput, efficiency, and accuracy.

 

By processing multiple order simultaneously, automated sortation allows warehouses to sort through significantly larger quantities of products in less time.

 

Some of the key benefits of automated sortation include (in a nutshell):

 

  1. Increased throughput: Enables warehouses to process a larger volume of orders
  2. Improved efficiency: Helps operations move products faster and more consistently
  3. Better sorting accuracy: Systems like automated identification (scanning) reduce the likelihood of errors, helping improve customer satisfaction rates
  4. Reduced reliance on manual labour: Minimises repetitive manual tasks, helping businesses address labour shortages while reducing operational costs
  5. Optimised footprint: Can be designed to maximise available floor space, allowing businesses to increase capacity without needing to expand their facility
  6. Batch picking: Increases efficiency rates by heavily reducing time spent on picking orders

 

Great! Now that we understand how automated sortation helps, let’s look at some practical ways to implement it.

 

 

So, how can EuroSort help?

Our systems are designed to optimise your operations by increasing efficiency and reducing operational challenges. Each system is customised to fit your operation’s needs. Here’s how we do it:

 

  1. Split Tray Sorter: Drops items completely flat into outbound cartons or chutes, increasing sorting accuracy while operating on a smaller footprint.
  2. Push Tray Sorter: Handles unruly items within its three walls, using a mechanical divert to gently items into its correct destination. Very robust and flexible design, perfect for supporting omnichannel operations.
  3. Cross Tray Sorter: Uses four walls to contain any irregularly shaped item, keeping it on the sorter even during turns. Doubles the amount of exits by pushing items onto either side of the sorter.
  4. E-Sort: Our newest and most compact invention. Stacks destinations vertically via our SmartWall technology, delivering up to 80 destinations per 2.5 square metres. Perfect for operations that process tens of thousands of items per hour.

 

Increase your throughput, capacity, and warehouse efficiency by investing in the right automated sortation system.

 

Think it’s time for your warehouse to go through an automation-transformation? Get in contact with our team today and discover the best system for your operational needs.

 

 

FAQ

1. How do I know if my warehouse needs automation?

If you’re experiencing growing order backlogs, frequent shipping delays, increasing sorting errors, rising labour costs, or operational disruptions during peak seasons, your current processes may be struggling to keep up with demand. These are common signs that it’s time to consider implementing warehouse automation.

 

2. Is manual sorting still suitable for growing warehouses?

Manual sorting can work well for warehouses with lower order volumes and simpler operations. However, as demand increases and fulfilment becomes more complex, manual processes can become more difficult to scale efficiently.

 

3. What type of automated sortation system is right for my warehouse?

Your ideal solution depends on product size, throughput requirements, available footprint, future growth plans, and more. EuroSort designs each automated sorter based on your specific operational challenges and long-term goals.