Capacity Management Tool

In this article, we will introduce a new feature called Capacity Management Tool that enables you to set an order handling capacity to fulfill orders more efficiently, ultimately improving your fulfillment performance and unlocking your sales.

What is Order Handling Capacity?

Order handling capacity represents the number of orders a seller can handle in a single day. Each seller's handling capacity varies depending on factors such as the number of products sold, the size of the store, and the number of staff, all of which influence this capacity.
With Capacity Management Tool, sellers will be able to define their own order handling capacity*. By accurately setting your order handling capacity, you can effectively manage your orders and the fulfillment process, while also benefiting from an extra 1 business day to ship orders that exceed your order handling capacity.*This feature will be available exclusively to whitelisted sellers.

Benefits of Capacity Management Tool

How to Set Your Handling Capacity

1. You can easily set your handling capacity by navigating to Orders > Manage Orders > Fulfillment Settings on Seller Center. Here, you will find the Order Handling Capacity Settings, allowing you to set up your order handling capacity*.

*This feature will be available exclusively to whitelisted sellers.

2. On this page, you can input your order handling capacity. You will also see a recommended capacity. Please ensure that the number you enter falls within the platform's recommended range. We recommend entering an appropriate and realistic daily order handling capacity to take full advantage of the extended dispatch time for orders that exceed your order handling capacity.
   
   

How to Turn Off Capacity Management Tool

1. If you want to disable the handling capacity tool, navigate to Orders > Manage Orders > Fulfillment Settings and click on the edit icon next to Order Handling Capacity Settings.
   
2. This will open the Order Handling Capacity Settings page with your current configuration. Toggle the switch off to disable the tool.
   
3. A pop-up will appear asking for confirmation to turn off the capacity setting. Click 'Turn Off' to disable the tool.
   
4. After 'Turn off' the tool, you can receive orders normally. However, new incoming orders will not enjoy the SLA extension policy
   

How Handling Capacity Works

After setting your order handling capacity, let's explore how order handling capacity works and what it can offer:

• For orders falling within your order handling capacity, you are required to fulfill them within the standard Service Level Agreement (SLA).
• For orders that exceed your handling capacity, to ensure timely shipment and enhance fulfillment performance, the platform will give an additional one (1) business day to the standard SLA.
• In the case of orders that exceed your daily order handling capacity, you may utilise up to the next three (3) business days worth of order handling capacity.
• Once you have reached the maximum order handling capacity, encompassing both the daily capacity and the capacity of the next 3 business days, you will no longer be able to accept additional orders for that day. Customers will see the products in your shop as 'sold out.'

To provide you with a clearer understanding, let's look at the following examples:

• If you set your handling capacity to 1,000 orders:

You may utilise up to the next three (3) business days worth of order handling capacity. The maximum handling capacity is 4,000 orders.

• If the orders do not exceed the handling capacity limit:

You have to arrange shipments for all your orders and change the order status to 'Shipped' within the standard Service Level Agreement (SLA) of two (2) business days and will not be able to enjoy the benefits of this tool. Therefore, it is recommended to set handling capacity at a realistic and practical level to leverage on the extra handling time.

• If the orders exceed the handling capacity limit:

The exceeded orders (e.g. 1,001st order onwards) will receive an additional one (1) business day to dispatch in addition to the existing Service Level Agreement (SLA) of two (2) business days. The exceeded capacity will be deducted from next day handling capacity.

• When you have reached your maximum handling capacity, you'll receive a message that says "Capacity limit reached" indicating that you can't accept any more orders for the day unless customers decide to cancel their orders.
  

• If you change your handling capacity limit:

The new handling capacily limit will take effect on the next business day. You can change the handling capacity limit as often as you'd like and the maximum handling capacity will be recalculated from the remaining capacity.

• For non-working days and public holidays:

The non-working days or public holidays will not receive the allocated capacity, but you may still utilise up to the next three (3) business days worth of order handling capacity.

How to Monitor Handling Capacity

On the Manage Orders page, you will find an announcement indicating the status of your order handling capacity:

• If you receive more orders than your daily order handling capacity allows, you'll receive a notification that says "Order volume spike" along with the number of orders you can accept that day. To ensure timely fulfillment, it's a good idea to prioritise order processing based on the ship by date (oldest first).
  
• When you have reached your maximum handling capacity, you'll receive a message that says "Capacity limit reached" indicating that you can't accept any more orders for the day unless customers decide to cancel their orders.
  
  

FAQ

1. Who can use this tool?

Sellers who are eligible to use this tool must meet specific fulfillment performance and other criteria. Sellers with good fulfilment performance such as low Late Dispatch Rate(LDR) and fast dispatch time, would be eligible to use this tool. However, these criteria are subject to change.

2. Where can I check my remaining capacity for the day?

You can easily check their remaining capacity for the day on Manage Order page. There will be a prompt showing the number of remaining capacity for the day.

3. How often can I adjust handling capacity?

There is no limit to how often sellers can adjust the handling capacity, but please note that the new order handling capacity will take effect the next day.

4. Under what circumstances should I set handling capacity?

We recommend using this tool to set handling capacity during campaigns when you anticipate a surge in orders or when using affiliates to help promote their products.

5. Can I set unlimited order handling capacity?

No. You have to fill in the capacity within platform’s recommended range.

6. Can I use the additional one (1) business day extension from Order Handling Capacity in combination with a campaign period extension or another SLA extension?

Yes, you can use the additional one (1) business day extension from Order Handling Capacity in conjunction with another SLA extension. For example, if you have a campaign period SLA extension of three (3) business days and combine it with the one (1) business day extension from Order Handling Capacity, your resulting SLA will be four (4) days.