As customer expectations rise and pressure mounts on postal and parcel operations, network efficiency has never been more critical. TMX Senior Director of Supply Chain, Jamie Dixon, explores how smart network design can elevate customer service, reduce emissions, and streamline last-mile logistics.
From a network perspective, it's absolutely critical to understand your center of gravity, where you are located in relation to your suppliers, but more importantly, your customers.
Know your network’s center of gravity
A well-structured delivery network starts with understanding your “center of gravity”, the optimal position between your suppliers and, more critically, your customers. By aligning distribution hubs closer to demand, businesses can reduce transit times and unlock greater efficiency across people, processes, and equipment.
Interleaving: The next frontier in delivery efficiency
Leading logistics operators are embracing a strategy known as interleaving, sending a single vehicle on a multi-purpose run that includes deliveries and pickups in the same trip.
Rather than dispatching separate vehicles for inbound and outbound tasks, interleaving allows for better route density and utilization. A driver might complete several deliveries, collect returns or parcels en-route, then continue with more deliveries, all in one seamless, optimized loop.
This approach not only improves productivity but reduces the number of trips required, cutting fuel usage and emissions without compromising service.
Sustainability through smarter design
Efficiency isn’t just about cost; it’s a sustainability lever. By designing networks that enable fewer vehicle movements while increasing task consolidation, operators can significantly lower their carbon footprint. This results in a greener network that’s aligned to both environmental goals and operational outcomes.
Better design means better customer service
Ultimately, great network design is the foundation for proactive, high-performing customer service. When every element, from hub location to delivery planning, is optimized, businesses are better positioned to deliver on time, every time.
It's really important to have a great network design to ensure you're providing ultimate proactive customer service.
