Preset boundaries simplify the number of route permutations and logistical decisions, making route planning a much quicker and easier process. This also means as soon as orders are placed, FedEx contractors know almost immediately which driver is going to be delivering the package. By assigning each zone to a dedicated driver, they are able to focus on a specific area of the city, get familiar with the route and its customers, and complete more deliveries per route in a shorter amount of time. The boundaries of a route, also known as driver territories, are configured in advance and allows ISPs to split a large geographic area up into delivery zones so their drivers aren’t wasting time driving all across the city. Once orders are processed in the FedEx system, they are automatically assigned to a particular route by zip or postal code. How do FedEx drivers know where to go? Step 1: Sort routes by zip/postal codeįedEx customers can create a shipment or schedule a pickup a number of ways: via FedEx’s website, by calling the FedEx toll-free line, or by walking into their closest FedEx store. An average FedEx driver can deliver anywhere between 75 and 125 packages per day! This is extremely high if you were to compare it to the home delivery industry at large, where the average is closer to about 15 to 35 per day. Because of this, operational efficiency of deliveries is almost taken care of by itself. The most important advantage they have is the luxury of very high order volumes, and hence density. So, how do they plan their delivery routes efficiently and manage such high delivery volumes logistically? FedEx Ground and Home DeliveryįedEx Ground and Home Delivery services are the last-mile ground shipping arms of the FedEx corporation, an American multinational courier delivery service.Ī single Fedex contractor or ISP can deliver anywhere between 500 to 2,500 packages a day, with fleets ranging from 5 to 25 vehicles. It does not reflect the operations of the wider ISP network or FedEx’ internal operations. I know what you're thinking – they must be doing something right! I’d like to give you an insider’s peek into the FedEx world maybe you can learn a thing or two for your own home delivery logistics.ĭisclaimer: The following observations are based on a tight collaboration we’ve had with a handful of Fedex contractors, also known as FedEx Independent Service Providers (ISPs). In the U.S., the answer is 3.4 million packages. Pop quiz: How many packages does FedEx deliver a day? Have you ever wondered how FedEx - one of the world’s experts in logistics - manages its deliveries?
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