The challenge
A growing consumer products operation faced rising parcel costs as volumes increased. Carrier discounts alone could not explain the gaps between expected and actual transportation spend. Dimensional weight, oversized cartons, delivery zones, and fragmented shipping decisions were driving unnecessary expense.
Our approach
Dimensional weight and carton engineering
Compared actual weight with billable dimensional weight and evaluated right-sized packaging and carton assortments to reduce shipping empty space.
Split versus consolidate
Modeled when multiple smaller boxes could cost less than one oversized parcel, accounting for duplicate minimum charges, additional handling, and surcharges. Conversely, identified when consolidating compatible orders improved cost per unit.
Zones and fulfillment origins
Evaluated customer demand density, origin locations, and zone-skipping opportunities using consolidated linehaul and regional parcel injection.
Carrier strategy and commercial terms
Compared national, regional, postal, and last-mile solutions; examined tiered volume discounts, dimensional divisors, fuel, residential fees, and minimum charges.
Shipment-level optimization
Developed total-cost logic to compare packaging, shipment grouping, origin, service level, and carrier for each shipment.
The recommendation
The resulting strategy shifted the emphasis from discount negotiation alone to systematic decisions across packaging, network design, order configuration, and carrier sourcing. The preferred option was not always the fewest boxes or the lowest published rate—it was the lowest total landed cost while meeting customer service requirements.
The ADK Advisory perspective
Parcel optimization begins before a label is printed. Decisions about what goes in the box and where it ships from can matter as much as the contracted transportation rate.