Designing a distribution network that survives peak
Peak does not break networks that were designed for it. A practical guide to capacity, placement, and the maths behind both.
Every retailer discovers its network design in November. For the rest of the year a badly placed warehouse just costs a little too much; at peak, it fails outright.
Network design comes down to three decisions: how many facilities you run, where they sit, and how much of your capacity is fixed versus flexible. The first two are modelling problems — given demand by postcode, where do you minimise distance travelled and days of stock? The third is a commercial one.
The common mistake is sizing fixed capacity for peak. You then pay for empty space for ten months of the year. The better structure is a fixed base sized near your median week, with contracted surge capacity you can call on. It costs slightly more per unit at peak and considerably less across the year.
Model it before you sign anything. A network study takes weeks and routinely finds double-digit savings — a better return than any rate negotiation you are likely to run.
Want this applied to your network?
We'll model your lanes and show the numbers before you commit to anything.
Talk to a specialist
