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Our co-founder Nicholas Daniel-Richards answered all - or, well, almost 30 - questions about ShipHero, shipping, fulfillment, and nearly everything else ecommerce-related on AMAFeed. Read the adapted text here:
We offer a comprehensive cloud based WMS/OMS solution that's easy to use. If you want to add a 3PL (or 3PLs plural) to extend your existing capability or outsource all fulfllment, use ShipHero Marketplace.Our goal is simple. Make it easier for ecommerce businesses to win at fulfillment.
No qualifications - what is a fit for the business. Goes without saying it should be an ecommerce business (we have a number of customers who sell online and in store as well).If the business needs help with inventory, order management and shipping and wants to do this in-house, then ShipHero SaaS is worth a look.If the business is looking to outsource for ecommerce fulfillment, then ShipHero Marketplace is worth a look.
Brilliant question. My answer may surprise you. It depends on the volume of sales. Our software for managing your own warehouse starts at $500 a month, which will be too much cost for a business shipping a few items a week.If you're an early stage startup, shipping lower volumes, without the complexity of many products (SKUs) and the requirements of a warehouse team etc I would recommend ShipStation - they're a perfect get started solution.ShipHero is designed for businesses that are starting to see 50+ orders per day, the complexities of keeping inventory correct, want an effective method to automate order actions and priorities, keep shipping costs low, offer returns, minimize errors etc.Of course, with ShipHero Marketplace, you also have the option of just outsourcing fulfillment either partly or entirely, which is another perfect solution for when you need to scale.
ShipHero software is used to ship everywhere indeed, infact, we're constantly impressed on where products are being shipped to.While we don't "ship", we enable the process of making sure the order is fulfilled and then the correct shipping label is generated and used. Important to know that international shipping means dealing with customs which means getting all of the customs information correct.ShipHero allows you to set at a product level, the customs value, description or even if it should be included on the invoice (or not), making the international shipping process easier.
ShipHero does indeed support drop shipping. How's that for a simple answer?
We do 2 things.1. ShipHero WMS/OMS software - you can use this to manage your own warehouse.2. ShipHero Marketplace - you can use this to find the perfect outsourced warehouse to handle the goods for you.
Absolute frustration when scaling ecommerce!! Why is it the sales channel has fantastic options (Shopify FTW), but inventory, orders and shipping is such a process? The challenge isn't so much when you're shipping 10-30 orders per day (not to say it's easy, but you can get away with the inefficiencies a lot more), it's more when you grow beyond that. We started ShipHero on the premise of solving the problem of going going paper, and needing to track who did what in the warehouse. There's a huge gap between paper based systems, and various apps being stitched together and a multi-million dollar enterprise platform that takes years to build. Seemed like the perfect opportunity to solve these challenges, while tackling a seemingly stale and stubborn industry.Now we're nearly 6 years in, we're tackling the issue of fulfillment overall. Sure, many ecommerce businesses are looking to manage inventory and orders better, only because they can't find a good outsource solution.3PLs are typically not great. Not great to find, not very easy to integrate with and not very transparent. Thus, ShipHero Marketplace.Our perspective is, make working with oursourced 3PLs easier (think AirBnb for warehouses!) and more ecommerce businesses owners can focus on what they do best - marketing, story telling and selling great products and services. Let someone else deal with all that fulfillment stuff!As you can tell, the passion isn't going away :)
Typically, the root cause of pain around inventory and fulfillment is the inventory software itself. So you want to start with a solid solution that allows you to maintain accurate inventory - which means it needs to be tied into your ecommerce channel(s), recieving, shipping process and as a double bonus - returns restocking. If you were using ShipHero, you would connect to your ecommerce stores, shipping carriers and you're ready to go as far as seeing your inventory and incoming orders (loaded from your store) as well as having the ability to ship them.Some important questions to consider when managing inventory.
Interesting thought. Obviously, factors such as distance, the destination country and product will have huge factors on feasibility. Thinking technically, it's quite possible (although customs clearance may be a bottleneck), however, not sustainable and probably very costly. This is actually a topic we spend a lot of time thinking about at ShipHero, and is one of the reasons why we believe having a mulitple warehouse strategy is the best approach. Basically, keep your product closer to your customers, reducing distance, time and cost for shipping.That said, it's quite a challenge to have your product located near your customers - especially in different regions of the world. We're obsessed with solving that with ShipHero Marketplace - making it easier to put your product around the world.We're also working an inventory forecasting feature that can take sales history, sales campaign information and forecasted demand modelling to recommend where product should be so you don't even need to figure that part out.So, in short - overnight shipping internationally is complicated, expensive and while shipments could be shipped overnight. We're betting the easier approach will be to have product located in warehouses closer to customers.
We see companies who have traditionally been b2b focus in the past (fewer but way larger wholesale orders, typically freight shipping) exploring or shifting to direct to consumer fulfillment. In those cases, they already have a good understanding of running a warehouse, and basically need to transform processes and figure out customer support. In most of these cases, it's about finding the right technology platform.For businesses that have not run a warehouse or dabbled in fulfillment, there's a lot a ground to cover, but it can be summed up in a few categories.
There are a bunch of fantastic write-ups on this topic, most recently Shopify posted The Beginner's Guide to Ecommerce Shipping and Fulfillment which gets into a lot more detail than me - a really great read.
It's interesting. When we first started out, we had less features and were rather scrappy in how we looked at our offering vs the competition. Several years later, with more features and more platform ability I would say, and bear with me - we don't really have a direct competitor. Yeah, there are many apps, plugins, solutions large and small aimed at helping ecommerce businesses with inventory, or printing shipping labels, or printing barcodes - however, try getting all that running on in a single solution. Not so easy. Add on top of that, something that would give you the flexibility to work with 3PLs, not easy at all unless you build something.For inventory management, we are often finding ourselves compared to Cin7 and SkuVault. For Shipping label generation, ShipStation and Shipworks. For 3PL fulfillment, ShipBob, 3PL Central and Flex. Our approach differs from what these companies provide - but everyone has a fit, for example, ShipStation is worth consideration (at least as of writing this answer) for fresh businesses starting out and need to get a few shipments out.So yeah, I guess we have a lot of competition if you looked at the number of companies that have the word "ship" in their name! The problems we are solving for scaling ecommerce businesses who need to be smart about fulfillment and our approach seems to be something a lot of ecommerce businesses prefer, and we're thankful for that while continuing to add more value each and every day.
Because our customers are ecommerce businesses, we don't receive complaints from consumers buying products and wanting shipments! That said, we have seen a few common mistakes ecommerce businesses can make when shipping orders, which are easy to avoid.
Started in my home office in the fall of 2012. It then took another 2 years or so for us to reach that point where we felt this could be a business we could grow out.Ironically, speed of success is something that we're very mindful of - in some ways we've worked hard to make sure we don't grow too fast as we don't want to drown ourselves with too many customers at once, while trying to build a product that's reliable and valuable.Everyday we're learning something new, and we feel like we're just getting started still - all good things to keep the team focused and passionate about our objectives :)
Well, it started when we had just finished the ascent of Mount Everest and we were 2 glasses of scotch in and - oh right, that's fiction :) Ok, the real story. Myself and Aaron were fixated on the problem we were going to solve. "Make ecommerce fulfillment easy for ecommerce businesses". One of the core premises of our solution was, how can you know who in your warehouse team is awesome, and who might be slacking?Thinking about this further, a lot of what helps motivate people to do great work is recognition and to know you're making a difference. On the flip side of that, underperformers in a team can be quite toxic to the rest of the team trying to do a great job. So with this in mind, our focus was quite clear. We're going to help companies discover their best employees, while at the same time, help companies that use ShipHero have happy customers!We needed to have some relevance to our industry in the name, and the word warehouse seemed a tad boring. So after much real scotch and brainstorming, and our fair share of truly horrific ideas, we ended up with what sounded about right.ShipHero!That said, we feel our brand is not about the story of ShipHero. Because we're the software that powers great brands, the best stories about how we're solving problems are the stories of the brands using our software. It's not about us, it's about the ecommerce business owners and empoyees who get up everyday to run successful businesses. We're glad to be a part of this, to make a difference and solve some real problems. So yeah, that's our brand.
If you're using a 3PL from ShipHero Marketplace then yes! There are fantastic 3PLs that offer customer support for your customers.
Couple of recommendations. You could start googling, researching, calling and generally spending a lot of time trying to find a 3PL (anyone who has had to find one will share the stories). Or and forgive the self promotion, you could use a new service the ShipHero team just launched to help you find an outsource fulfillment partner. Think of it as AirBnb for warehouses... https://marketplace.shiphero.com
All reputable ecommerce platforms run very secure platforms. The best companies also invest a lot of resources and time into keeping their platforms secure, and share this information so you can learn more. Here's more on Shopify: https://www.shopify.com/pci-compliantOver $123 billion dollars was spent on ecommerce sites this past quarter alone! Credit Card companies have also improved how fraud is detected and disputes are resolved. My recommendation would be to have a very easy to read policy on your security practices (if you're using Shopify, you can point to the Shopify writeup for example).
We do not have lot tracking or expiration date tracking as of this AMA! These features are in the works and planned for release later this year.
Simply put, you need to be where your customers are - both in the device they use, and the context of their user experience. You don't want to lose out on customers who may see something to buy on instgram using their mobile device, to be forced to then use another device (would they even have a desktop / laptop? prolly not) to then seperately make a purchase.Something we focused on when starting ShipHero was creating a comprehensive set of tools for mobile devices. Designed and built to look and feel like typical smart phone apps. This makes it easy to do things in the warehouse such as fulfil orders, create shipping labels, cycle count inventory, receive purhase orders or even print / scan barcode labels. By making things easier, people are less prone to making mistakes, leading to a better performing warehouse.
It's quite a question. "Better" comes in a few flavours. Probably the toughest area to compete with Amazon on is speed - going up against the amazing machine that is Amazon distribution centres is tough. That said. Couple of ways we are seeing customers create a better customer experience.Lets talk about speed. In order to ship fast, you need to do a couple of things.
Communication. Getting something in 2 days without any communication or tracking link is a worse experience vs having something delivered in 3 - 4 days with great communication. Sending a shipping notification as soon as that order is fulfilled with a tracking link is easy (especially using ShipHero of course. I am ridiculous.).Lastly, here's a big area of advantage you have over Amazon.Branded Experience.Sure, if we're buying light bulbs, general commodity type products, getting something loosely packed in a brown Amazon box is fine, because you wanted it fast and cheap. However, if you're buying something that's not the cheapest or fastest, you're most likely buying into the the brand experience.We wrote some tips on this recently - 4 ways to give your ecommerce customers a memorable unboxing experience.The basic takeway being, you have the opportunity to brand and personalize what your customer receives, make it special and not so generic. That's right, a superior experience vs Amazon, something memorable and more valuable.
Two major topics on this question.1. Marketing & Sales.This is a big big subject, with many great resources out there. I recommend you looking at the Shopify blog for great insight and resources, BigCommerce also has fantastic resources (and we have a few stories on the ShipHero blog as well).2. Fulfillment & Customer SupportThis topic I can talk to with a bit more insight. Though again, check out the ShipHero Blog for some interesting insight.Most typical mistakes we see being made from a fulfillment perspective are:
Intentional or not, you raise a very pointed question in your question. What is shipping? I've been asked if I can help advise on the actual management of ships (the floaty things), of which I can't, though I play a mean game of battleship... The world of "shipping" is large and diverse - otherwise known as logistics, and there are many smart people out there that specialize in many areas.What I can talk to is both shipping as an ecommerce business (managing inventory, prioritizing order flows and of course, printing those shipping labels) or, what I would consider to be more of a Shipping company in the context of ecommerce - a 3PL.. For those interested, the wikipedia definition of 3PL.Hopefully, this is what you're asking about. So, challenges come in all sizes depending on a few factors:
Those being the most typical challenges, it will come down to what you're good at, have assets in, connections etc. That said, even great 3PLs (I've been lucky to work with some brilliant 3PLs while building ShipHero) struggle with finding the right customers. The warehouse space, people and tech while not trivial challenges, are easier to solve than the where do you get new customers challenge. When you're small, you will take smaller customers with lower volume. As you grow and hopefully scale, the smaller customers are harder to maintain if your processes and overheads and not super efficient.To scale, you need to reach larger customers, and you need to be more efficient with the time spent with evaluating customers. Typically, larger customers require integrations with their techology and need transparency of inventory and orders in real-time. What we've seen the smartest 3PLs do is really hone in on process and efficiency of operation. Use a platform that gives their customers access to the data they need in real-time and most importantly, solve the customer aquisition struggle problem. Turns out, that's exactly what the ShipHero team is obsessed about - we're seeing more and more individuals and existing businesses that are building shipping companies (3PLs) to serve ecommerce businesses because of the tools and marketplace created by ShipHero.
That's a difficult question for me to answer, I will need to delegate that. I kid! It can be difficult to delegate if the approach to delegation is more task oriented - at least in my opinion and experience.hat I mean by that is, most of us, me included, do a much better job and feel more invested when we're given objectives or tasks in areas we can own. For me at least, what has worked well is sharing the vision and goals of what you're trying to do. Instead of "can you do x", more, "we need to do x, and this is why. I need your help, can you take this on?".Of course, this also is about personality - but in most cases, giving someone a clear objective with an option to take ownership and work with you to accomplish tasks versus simply telling someone to do tasks will typically result a happier team member, better outcome and more willingness to go beyond what you originally expected.
Fabtastic question. Myself and Aaron (other co-founder and what I like to call big brain) are very involved, we need to be as we still have so much to do. My day to day is mainly focused on answering questions on what we offer, doing demos with new leads, visiting customers warehouses and growing our team. We've built a profitable business, and are 25 people as of this moment - so there's opportunity as you scale to give team members ownership of roles and tasks.For example, this time last year I was working support chat all day. Today we have much smarter people covering support and I can focus on annoying you on #AMA along with other efforts to talk about ShipHero and help customers. ShipHero and providing value to our customers is our absolute focus.
Firstly - "professional" seems a bit rich for me :) I've been all over the place career wise, following what seems to be the randomness of opportunity that comes your way. That said, everything I've done has been centered around technology and an early obsession with solving problems and building products. Over the years, as I've grown up (shudder the thought) that obsession morphed into what looks great and ultimately, what drives a positive customer experience.Talk about randomness though. My last full-time gig before focusing on ShipHero was working at the NBPA (National Basketball Players Association), leading the digital efforts and working with various NBA players who are very passionate and involved in technology startups.I was without a doubt, the worst basketball player around. I'll stick with building things that solve problems and bring value to people I think :)
Something I have honestly struggled with. Startup life, at least in my experience is about freedom to choose what you prioritize, however the struggle is what to prioritize! I start my day by writing out the key objectives I want to get done for that day. I respond to emails and have a quick 10 minute standup meeting with my team. Then, several hours seem to fly by! and before you now it, it's 2pm. I have a stop and reflect for 10 mins around this time, see how I'm doing on my objectives and get back into it. Stop around 7pm. Typically most nights there are calls with customers in other parts of the world (different timezones) and the catchup of emails etc from the day. Most nights I put a hard stop in around 10pm, and will every now and then get a glass of wine in :)One bit of advice I have is this. It's easy to work, and work you will. That said, you need to make sure you're getting some time to yourself. This does wonders for productivity and overall health. Be sure to take care of yourself! I also never bother with wifi (outrageous!) on planes, and use that time to be disconnected and either sleep or read.
It seems like there's so much happening right now that's truly exciting.What I'm excited about:
So many things coming - and I'm barely scatching the surface :)
You can chat with us directly over at shiphero.com or shoot us an email at hello@shiphero.com
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While your team is still walking aisles, your competitors are cutting pick times in half with automation. Guess whoâs shipping faster and stealing market share?
Automation isn't the future anymore. It's the present. For growing eCommerce brands or fulfillment centers under pressure to deliver faster, cheaper, and more accurately, automated warehouse picking systems are no longer a luxury. They're a necessity.
In this guide, you'll learn how automated picking systems work, the types available, how to choose the right one, and how ShipHero can help you streamline fulfillment processes with confidence.
Automated warehouse picking systems use software, robotics, and real-time data to locate, retrieve, and prepare items for shipment, without relying solely on human labor. Instead of employees walking long distances and manually selecting items, automated systems bring items to workers or direct them with tools like lights, voice commands, or mobile robots.
For example, in the eCommerce space, brands use Goods-to-Person (GTP) systems to increase operational efficiency and efficiently handle large catalogs of SKUs. In retail, where seasonal order surges can overwhelm manual processes, automated solutions help companies double their picking speed and maintain consistent fulfillment even during peak demand.
The process is surprisingly seamless:
This flow is driven by smart software that integrates with warehouse management systems and supports key warehouse processes, including picking, packing, and tracking real-time inventory.
Want a deeper look at the tech behind it? Read this guide on warehouse automation software.
Thereâs no universal solution for warehouse automation. The best picking system depends on your space, order volume, and the variety of products you offer. Some work better for high-SKU, high-volume operations; others are ideal for smaller, more focused setups. Below, we break down the top systems and which warehouse types theyâre best suited for.
GTP systems deliver inventory directly to a stationary picker, eliminating walking marathons. This setup enhances inventory management, reduces physical strain on workers, and improves worker safety.
It also optimizes order accuracy by minimizing human error. By minimizing walking time and keeping pickers in one place, GTP systems significantly boost pick rates while also cutting down on labor fatigue.
Pick-to-Light is an automated solution that uses LED light bars to guide workers to the right location for picking items, enhancing accuracy, speed, and efficiency while reducing errors.
When paired with Pack-to-Light and Receive-to-Light, your entire workflow is streamlined. Pack-to-Light ensures precise packing, while Receive-to-Light optimizes inventory storage and retrieval. Together, these technologies simplify inventory management, reduce labor costs, and accelerate fulfillment.
At ShipHero, we offer all three solutions, Pick-to-Light, Pack-to-Light, and Receive-to-Light, under one roof, seamlessly integrating with your existing systems to optimize warehouse operations. The combination can help boost efficiency by 20% while also cutting costs by up to 30% for batches of 10 to 30 orders.
Pickers wear headsets and follow voice commands to locate items, like a GPS for your warehouse. This hands-free approach automates repetitive tasks, shortens training time, and reduces picking errors, even in noisy environments. It also improves accuracy, even in noisy environments where traditional methods might fall short.
AMRs, or autonomous mobile robots, navigate the warehouse floor independently, delivering items or bins to human workers or packing stations.
Unlike fixed systems, AMRs offer greater flexibility and adapt to varying warehouse sizes, support scalable operations, and offer the flexibility to grow without major infrastructure changes. Theyâre also highly scalable, which makes them a smart choice for warehouses looking to grow or adjust operations without major infrastructure changes.
These are high-tech racking systems equipped with robotic cranes or shuttles that automatically store and retrieve inventory. Theyâre especially well-suited for large warehouses with high inventory turnover, where speed and space efficiency are critical.
Businesses that need to maximize vertical storage find these systems invaluable, and industries such as pharmaceuticals, automotive, and electronics often benefit the most from their precision and scalability.
Still not convinced? The real-world benefits speak for themselves. Automation significantly reduces human error, particularly in fast-paced warehouse environments where accuracy is crucial. It also speeds up fulfillment, often cutting pick times in half or more.
By streamlining operations, businesses can lower labor costs by either reducing headcount or reassigning team members to more valuable tasks.
By transitioning to automation, companies often see dramatic improvements in efficiency and cost savings. For example, automation can reduce warehouse labor costs by up to 60%, allowing businesses to reallocate resources and scale more effectively.
Itâs not always smooth sailing when implementing automated picking systems. One of the biggest hurdles is the high initial investment, as hardware, software, and integration can come with a steep upfront cost.
Staff training is another challenge, as teams need time to learn how to use the new technology effectively. There can also be short-term disruption; installation and onboarding may temporarily slow down operations. But the long-term gains are often worth it.
For example, James Enterprise struggled with paper-based picking and processing delays before switching to ShipHeroâs Warehouse Management System.
The transition required workflow changes and staff training, but with proper planning, such as going paperless, reorganizing their layout, and utilizing smart pick paths, they boosted productivity by 38%. New hires cut their pick time from 55 to 34 seconds in just five days, proving that smart automation pays off.
Finding the right automated picking system starts with understanding your specific needs. Warehouse size plays a big role, as larger spaces often benefit most from solutions like AMRs or AS/RS that can cover more ground efficiently. If your business manages a high variety of SKUs, systems like GTP or voice picking can offer the flexibility and accuracy you need.
For those working with tighter budgets, starting with light-based or voice-guided systems can provide a solid foundation without breaking the bank. Regardless of your starting point, scalability is crucial; your system should be able to grow in tandem with your business. Partnering with ShipHero ensures you get expert, customized guidance and future-proof solutions designed specifically for your operation.
Implementing warehouse picking automation isnât just about installing new tech; itâs about doing it strategically. To get the most out of your investment and avoid common pitfalls, follow these proven best practices:
âBest Practices for Successful Warehouse Picking Automation
For example, Black Wolf Nation and its 3PL arm, ONE23 Fulfillment, partnered with ShipHero to scale their operations. By adopting ShipHero's warehouse management software, they increased their order volume from 10,000 to over 25,000 per month in less than a year. This strategic implementation allowed them to efficiently manage growth and expand into the 3PL space.
Most companies see a return on investment within 12 to 24 months, depending on the system and order volume.
Yes. Many automated systems are designed to be scalable and cost-effective, which makes them ideal for small warehouses. Solutions like Pick-to-Light and voice picking can start small and expand as your operation grows.
Yes. Advanced systems feature adjustable grippers, sensors, and packaging logic to safely handle delicate or irregularly shaped products.
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Warehouse management systems make daily warehouse operations efficient. And wave planning is at the heart of it.
As part of the supply chain industry where efficiency is of utmost importance, the fast-paced environment of warehouse management requires every aspect of operations to work on schedule. This is where wave planning comes into play and brings efficiency to the table.
It integrates with warehouse management systems and streamlines end-to-end warehouse operations to meet customer expectations of fast shipping and real-time updates.
Wave planning batches orders for optimized picking routes, shipping, and priority. It supports operational workflows and integrates with warehouse wave picking strategies to maximize productivity, reduce errors, and improve overall daily warehouse output.
This turns warehouse operations into an organized process of handling and systematizing hundreds of orders a day.
Applying the best practices for wave management allows for maximum efficiency in managing daily warehouse operations. Start with these:
Not all orders need to be shipped at the same time. Some can wait, others canât. Strategic planning means prioritizing orders based on shipping deadlines to ensure they are shipped out and delivered on time. This increases customer satisfaction and overall operational efficiency. To better understand the core workflows that make this strategy effective, explore how we have explained the six key warehouse processes.
Accessing real-time data allows you to monitor every wave thatâs happening, from orders getting picked up to those that are delayed. This lets you take action accordingly, especially when spotting issues as they are happening.
Downtimes are red flags in wave management. They are equal to unproductivity and possible shipment delays, both affecting operations to meet quotas and customer satisfaction.
Reduce idle time in operations with these methods:
High-demand periods like holidays, promotions, and occasional spikes can cause chaos, especially if you donât have a plan in place. That chaos can overwhelm your normal operations and lead to delays and unsatisfied customers.
Avoid this by ensuring scalability for peak periods with effective wave planning:
If youâre preparing your warehouse for high-volume fulfillment, it may be worth exploring how automated warehouse picking systems can make wave execution more efficient and adaptable.
Warehouses have different zones to which pickers are assigned.
Having specific picking zones gives structure to the picking process, making it easier to execute even through high-volume orders.Having defined picking zones helps:
Wave management gives you the flexibility to adapt quickly when an unexpected change occurs during operations.
A common issue often faced in wave management is the sudden changes in order volume. This disrupts the flow of current waves and may have an avalanche effect on the whole operation if not solved immediately.
Hereâs how wave management adjusts operations to meet demand fluctuations:
A warehouse management system creates an overall plan that controls the flow of a warehouse's production. Using tools and automation, a WMS simplifies and streamlines wave management to execute warehouse operations from fulfillment to packing and delivery.
The main difference between wave planning and wave management is that the former is where the strategizing happens, while the latter is the execution and overseeing that the plan takes place.
Wave planning is the strategic part of grouping what orders should be fulfilled together, setting the time for wave releases, and adjusting them based on warehouse capacity and labor availability.
Wave management is the main operational part where the production happens. It tracks the real-time progress of wave execution to ensure things are running smoothly according to plan.
The main difference between digital and wholesale waves lies in their order size, wave planning, and operational goal. Due to their differences, each wave type requires different planning and strategy.
Digital waves service the B2C channel, are high in volume, and often have small, single-item orders that require urgent or same-day deliveries. The wave strategy used is frequent and short for flexibility. For this wave type, warehouse managers use WMS-integrated mobile devices for tech support
Meanwhile, wholesale waves are for bulk orders, often for retail distribution, resellers, or B2B supply chains. Wholesale waves have a lower order volume with large shipments and more flexible timelines.
Yes, it can be used if they have large volumes of orders per day, orders with time-blocked pickups, or group orders with shipping deadlines.
Yes. eCommerce and retail, grocery and food distribution, healthcare and pharmaceutical, industrial supply, and consumer packaged goods industries are industries that benefit from wave planning. These are industries with high order volume, delivery sensitivity, and high operational complexity.
Yes, wave management is designed to make warehouse operations, including same-day shipping, possible. Wave management creates a structure that speeds up the order fulfillment, speeding up the process for all warehouse operations, such as same-day shipping.
Your warehouse isnât slow because your team isnât working hard. Itâs slow because theyâre working inefficiently. When every picker is chasing orders in random directions, you lose time, increase errors, and risk customer satisfaction.
Wave picking fixes that by turning chaos into coordination. By grouping orders for optimized picking routes and releasing them in scheduled âwaves,â you can streamline picking, reduce walking time, and enhance picking speed, especially in high-volume eCommerce environments.
In this guide, weâll explain what wave picking is, how it works, and how to use it to run a faster, leaner, and more accurate warehouse.
Wave picking is a warehouse picking strategy where orders are grouped and released in scheduled âwavesâ throughout the day. Each wave organizes orders based on factors like delivery time, product type, or warehouse zone, to help your team pick faster, move smarter, and stay organized. When paired with automated warehouse picking systems, wave picking becomes even more powerful, and minimizes manual effort while maximizing speed and accuracy.
For example, a warehouse might group all orders that need same-day shipping into a morning wave, while standard shipping orders are picked in the afternoon. This keeps the flow structured and reduces chaos on the floor.
Brands using wave picking have seen measurable results. A study published in Acta Logistica found that accurately batching and releasing orders in structured waves reduced cycle times by more than 13% compared to unplanned methods, proving how it standardizes warehouse processes and improves resource utilization. This demonstrates how even modest changes in picking structure can lead to significant gains in warehouse efficiency.
Wave picking operates through a structured, three-phase process: pre-wave, wave, and post-wave.
Each stage plays a critical role in coordinating order fulfillment, from organizing batches of orders to guiding pickers efficiently through the warehouse and ensuring fast, accurate packing and shipping. Understanding how each phase works is key to unlocking the full efficiency potential of wave picking.
Before picking begins, the warehouse management system (WMS) organizes inventory for efficiency by grouping orders into waves based on factors like shipping deadlines, SKU type, or zone. It then generates batch pick lists, allocates resources, and ensures that equipment and carts are ready, laying the groundwork for a smooth picking process using proven picking strategies.
Good Company, a 3PL provider, exemplified this by leveraging ShipHero's multi-item batch feature. This streamlined their pre-wave setup, enabling them to group multiple orders with shared items into single picking runs. This drastically reduced picker travel, and as they scaled from 500-600 to 6,000-10,000 units daily within 18 months, allowed them to halve their pick time. This demonstrates the immense power of an optimized pre-wave process.
Once a wave begins, pickers follow optimized routes through the warehouse to collect items. The goal is to reduce backtracking and congestion by assigning pickers to specific zones or paths.
E-Commerce Xpress, an eCommerce fulfillment provider, has significantly streamlined its picking process by adopting ShipHero's Warehouse Management System (WMS). Their previous manual methods caused inefficiencies and excessive picker travel. By using ShipHero's multi-batch order feature, they transformed their picking phase. This technology groups multiple orders into single runs, creating highly optimized routes and eliminating unnecessary trips. The result was profound: E-Commerce Xpress could fulfill 200 orders in just 2 hours with one person, a task that previously required four staff members 4-5 hours. This showcases how wave picking handles peak operational loads and supports multi-order fulfillment with ease.
After items are picked, they move to packing and shipping. This phase includes labeling, verifying accuracy, and dispatching the final product. A well-organized post-wave process ensures orders are completed on time and without mistakes.Consider Vareya, a 3PL and fulfillment company, which dramatically improved its post-wave efficiency and client satisfaction by adopting ShipHero's Warehouse Management System (WMS). Previously, Vareya struggled with disconnected systems, resulting in significant errors and excessive paperwork. By migrating to ShipHero, they automated workflows and shipping labels, ensuring efficiency and accuracy in packing and dispatch. This allowed them to triple business volume and meet customer service levels consistently.
To get the full benefits of wave picking, itâs essential to follow proven best practices that align your people, tools, and workflows. From using the right technology to organizing pick paths and handling carts efficiently, these core strategiesâlike those in our warehouse picking strategies guideâwill help you maximize speed, accuracy, and productivity in every wave.
A powerful WMS like ShipHero automates wave creation, drives real-time decision-making, and optimizes paths. It ensures every wave is precisely executed and synced with inventory.
Calculating optimal picking routes is one of the most effective ways to reduce travel time on the warehouse floor, a major contributor to inefficiency. By using route optimization software, pickers follow the shortest and most logical paths through the facility, thereby avoiding unnecessary backtracking and congestion. This not only speeds up fulfillment but also reduces fatigue and boosts overall productivity, especially in high-volume environments where every second counts.
Efficient cart handling is key to successful wave picking. Organizing carts by order, zone, or SKU reduces sorting time and speeds up packing. This keeps the workflow smooth, reduces errors, and enhances overall fulfillment efficiency.
Wave picking comes in different forms, each suited to specific warehouse needs. Whether youâre handling large SKU volumes, urgent orders, or multiple zones, choosing the right strategy can boost speed, accuracy, and efficiency.
Organizing wave picking by product type allows warehouses to group similar SKUs into the same wave. This reduces picker travel time, as items are often stored near each other, and enables faster, more efficient picking by creating consistent, repeatable paths through the warehouse. Itâs especially useful for high-assortment operations where grouping like products streamlines the process.
Wave picking by order priority ensures that urgent orders, such as express shipments or VIP customers, are grouped and processed first. By releasing these high-priority orders in the earliest waves, warehouses can ensure faster turnaround times and meet strict delivery deadlines, thereby maintaining high customer satisfaction and consistent service levels.
Dividing the warehouse into picking zones allows each wave to focus on a specific area, reducing unnecessary movement and streamlining the picking process. Assigning pickers to dedicated zones allows waves to run simultaneously in different zones, reducing congestion and enabling scalability in operations.
Wave picking is a fulfillment strategy designed to group orders into scheduled "waves" based on factors like shipping deadlines, product locations, or customer types.
This method is especially valuable in high-volume or time-sensitive operations where precision and speed are critical. Below are four key benefits of using wave picking in your warehouse:
Wave picking keeps operations structured, which allows you to process more orders per shift without expanding your physical footprint.
By reducing idle time and unnecessary movement, wave picking streamlines the entire fulfillment process. After adopting ShipHeroâs WMS, American Tall saw a 275% increase in picking efficiency and cut fulfillment errors by 50%, allowing them to scale operations by 400%âclear proof of how structured picking methods lead to faster, more reliable order delivery.
With batch pick lists, scanning, and real-time tracking, wave picking drastically reduces errors in item selection and order completion.
Fewer errors, faster picks, and optimized labor use = lower costs. Wave picking helps you do more with fewer resources.
The main difference between wave picking and batch picking lies in their timing and level of structure. Wave picking organizes and releases orders at scheduled times throughout the day, which is ideal for high-volume warehouses where precise timing and a smooth workflow are essential. This method offers a structured approach that reduces errors and supports scalability, but it requires more upfront planning and a reliable warehouse management system.
In contrast, batch picking allows warehouse staff to pick multiple orders in a single trip without being tied to a specific schedule. Itâs a simpler, more flexible method thatâs well-suited for smaller operations with lower order complexity.
While batch picking is easy to implement and has a lower barrier to entry, it becomes less efficient when dealing with large volumes or time-sensitive orders. Choosing the right approach depends on your warehouse size, order volume, and fulfillment goals.
Yes. Wave picking can scale down for smaller operations to help them improve organization, reduce picker confusion, and streamline fulfillment.
No. Only certain WMS platforms, such as ShipHero, offer full wave picking functionality, including automated order grouping, routing, and inventory syncing.
Absolutely. Wave picking was designed for fast-paced, high-volume environments where timing, accuracy, and scalability are critical.
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