Building High-Performance Last Mile Networks Across Multiple Regions

This article addresses the strategic challenge of building and managing distributed last-mile carrier networks that operate effectively across multiple geographic regions. As e-commerce demand continues to pressure delivery timelines, enterprises face increasing complexity in coordinating diverse carriers, managing regional variations in capacity and capability, and maintaining service consistency. The topic reflects a broader industry shift toward network optimization as a competitive lever rather than a cost center. For supply chain professionals, the implications are significant.

Last-mile delivery represents 50-60% of total logistics costs for many retailers and 3PLs, making network design a critical decision. Building a high-performance carrier network requires enterprises to balance vendor consolidation with competitive tension, standardize processes while accommodating regional nuances, and invest in visibility technology that coordinates multiple independent carriers. The ability to dynamically shift volume among carriers based on service performance, capacity availability, and regional demand patterns is increasingly table stakes. The structural challenge is that last-mile networks cannot be centrally controlled the way legacy supply chains operate.

Instead, enterprises must architect transparent, data-driven incentive structures that encourage carriers to meet service targets while maintaining cost discipline. Regional variations—driven by geography, population density, labor availability, and local regulation—require flexible network designs that avoid one-size-fits-all approaches.