CALABILITY ON DEMAND
Logistics "stress test"
Can your workflow withstand the next peak season?
TL;DR
- Bottleneck during peak season (Peak Season) is often not the warehouse, but the office, which can't keep up with entering documents into the system.
- Strategy for hiring temporary workers is risky due to bugs and the time it takes to implement.
- Automation in the cloud provides on-demand scalability - the system processes a sudden increase in orders (up to 1000%) at the same time as the standard volume.
Imagine a hydroelectric dam. Most of the time, the water level is stable and the turbines run steadily. But there comes that moment - a cyclical peak - when the water pressure increases tenfold. If the structure has a weak point, the dam will break where the smallest crack appears.
In logistics, this moment is calledPeak Season (Peak Season). Whether it's Black Friday, the pre-Christmas period or the construction season, the mechanism is the same. As Operations Directors, we negotiate rates with couriers and do forklift inspections. However, in my 20 years of experience, it is not the warehouse that is the most common point of failure.
The bottleneck that chokes the flow of goods paradoxically turns out to be.... the office. Or more precisely: the manual processing of documents, which cannot keep up with the pace of incoming orders.
Anatomy of a bottleneck: Why is the office blocking the warehouse?
In an ideal world, every order flows into the ERP through an API. In B2B reality, processes are hybrid: orders flow in via email as PDFs, and deliveries arrive with paper documents. The problem during peak season is not in the process itself, but in its performance under sudden load.
When the volume of orders grows by 300% in a day, a backlog (congestion) forms in the office. The mechanism of disaster looks like this:
- Warehousemen are waiting for orders.
- The merchandise is physically on the shelf, but the system "doesn't see" it because the receipt document is waiting to be entered.
- Couriers get upset because packages are not ready.
This classic bottleneck. Your warehouse has the capacity of a highway, but data enters it via a dirt road of manual entry.
"We will hire students for the top" - why is this strategy failing?
The traditional response to Peak Season is to scale human resources. As a practitioner, I say plainly: this strategy is patching holes with duct tape.
- The mathematics of crisis: If the volume grows 10 times, you can't effectively manage a team 10 times larger.
- Learning curve: A temporary employee needs time to learn the specifics of your documents. At the peak, no one has time to do this.
- Cost of error: A tired employee will eventually get the product code wrong. The cost of fixing the error (return, claim) can "eat" the entire margin.
Humans are not linearly scalable indefinitely.
Cloud scalability: How to handle 1000% growth in 24 hours?
The solution to the seasonal peak is not "more hands to work," butcloud Scalability. Business Process Automation (BPA) tools, such as Dokum, operate with computing resources available on demand.
What does this mean for you?
- Absolute Flexibility: The system does not get tired or stressed by time pressure, whether it processes 50 or 5,000 documents.
- Fixed lead time: The PDF data extraction time remains the same (usually under a minute).
- Cost per use: You pay for the actual documents processed, which provides cost flexibility.
Operational Simulation: Traditional vs. Automation Scenario
Let's assume a sudden influx of 1,000 PDF orders on Monday morning.
Scenario A: Traditional Model (Manual) 5 employees need about 80-100 man-hours to enter these orders. The last order will not hit the warehouse until Tuesday afternoon.Effect: 24-hour shipping delay, stress and errors.
Scenario B: Automated Model (Dokum) 1,000 PDF files are "run through" the Dokum. Within minutes or so, the data is ready for import into ERP.Effect: At 9:30, the warehouse has a set of orders. The goods leave the same day.
The difference is that the technology removes physical barriers to data processing.
Summary: Firefighter or Strategist?
There are two types of managers in operations management.Firefighter he puts out fires when milk is spilled.Strategist designs the system so that a fire does not break out at all.
The upcoming peak season is the ultimate test for your processes. If your workflow is based on manual work, you're taking a risky gamble. Implementing automation gives you peace of mind and confidence that operations will ride any sales success.
Don't wait for the first wave of orders.Run a performance test on your own documents now and see how a scalable cloud can secure your supply chain.