ASSIGNMENT 1 FRONT SHEET

Qualification BTEC Level 5 HND Diploma in Business

Unit number and title Principles of Operations Management

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Student name Bui Thi Khanh Tan Student ID GBD210387

Class GBD1009 Assessor name

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Define when the low season and high season of your company are.

Peak season in the logistics sector in general and SF Express in particular refers to specific times of the
year when demand for logistics and supply chain services increases significantly and predictably (Osano,
2023). Every year, companies of all types, sellers, resellers, importers, manufacturers, wait and prepare for
the most prosperous and profitable time of the year, a period known as Season peak, starting in mid-
August and lasting until late fall, usually until Thanksgiving (in the US). This phenomenon is often caused
by consumer behavior due to the holiday season we experience every year; people spending their savings
on late-night in-store purchases and late internet ordering are just some of the growing effects following
this period (Ortiz, 2024). Peak Season in logistics is the busiest part of the year for logistics and supply
chain professionals. It is the increase in demand for capacity due to the prime time of retail season,
holiday season, back to school purchases, and the clearance of inventory from the summer period. At this
time of the year, freight rates skyrocket and the capacity for loading cargo becomes incredibly tight (Ortiz,
2024).

Low season is often a time when freight volumes and demand for logistics services decrease. This can
happen in months with few holidays, summer vacation periods, or when industries are affected by various
factors.

Propose actions to deal with the demand-capacity gap in the low and high seasons.

Demand management is a method for planning and forecasting demand for company products (Pienaar, 2022).

Demand management is one approach that SF Express may use to close the gap between capacity and demand
during both high and low seasons. These include working with other logistics companies, implementing dynamic
pricing strategies, working with a strong demand forecasting system, hiring temporary workers during peak
seasons, analyzing historical data to identify capacity constraints and making necessary investments, and being
proactive in communicating with customers (Ortiz, 2024). By putting these strategies into practice, SF Express will
be able to better control demand swings, maximize resource use, and guarantee effective operations all year
round.

However, planning is not always perfect, so always have a backup plan for every contingency, learning from
previous experiences.