Latest / The Operator's Manual with Fexingo: Daily Decisions, Tactical Wins, and Business Execution
How FedEx Saved Millions With a Single Routing Algorithm
In this episode, Lucas and Luna unpack FedEx's lesser-known operational win: a package routing algorithm called 'The Hub and Spoke Optimizer' that saved the company over $800 million in fuel and labor costs between 2020 and 2025. They walk through how the system works, why it was so hard to implement, and the one stubborn metric that almost killed the project. Along the way, they discuss the broader lesson about incremental optimization versus bold system redesign—and why most companies leave this kind of money on the table.
#FedEx #RoutingAlgorithm #HubAndSpoke #Operations…
The skinny
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