US Foods seeks to eliminate wasted miles in its routing system

Dive Brief:

US Foods has launched the first phase of a delivery route optimization initiative as it adapts to changing customer order patterns, Chief Commercial Officer and interim CEO Andrew Iacobucci said on the company’s Q1 earnings call.

Phase one focuses on identifying wasted miles in its current routing system and, in the coming months, remapping routes so customers are routed to the most efficient distribution center by mileage and service, said Executive VP and Chief Supply Chain Officer Bill Hancock.

In phase two, the company will work to replace its current system with dynamic routing technology, according to Iacobucci. The initiative has already led to a roughly 10% improvement in case volumes per mile in the company’s leading markets compared to the same period in 2019, he said.