Key Takeaways
Direction
Speed
Velocity
The Challenge
XPO’s Last Mile Logistics Division faced significant challenges as it handled over 30,000 daily shipments for 50+ retail customers. These included custom orders requiring processing across multiple warehouses, dozens of distribution centers, and thousands of drivers nationwide. A critical roadblock was XPO’s reliance on third-party platforms for essential supply chain components like warehousing, same-day delivery, and national assembly services. This dependency hindered scalability and operational efficiency. By addressing these challenges, XPO sought to differentiate itself and attract new clients.
Icreon partnered with XPO to analyze the situation deeply and envisioned a proprietary, end-to-end integrated platform. This solution aimed to modularize operations, reduce third-party reliance, and establish XPO as a logistics-as-a-service leader, ensuring sustainable growth and competitive advantage.
"One of the biggest strengths of Icreon has been taking our business context into account and considering the wide range of users and departments that interface with our technologies on an ongoing basis."
Christopher Colom, VP, Customer Experience, XPO Logistics
Our Solution
Over the course of a 3-year relationship with the organization, Icreon built mission-critical systems, a universal connector for seamless third-party integrations, and a centralized dashboard for real-time clarity. These efforts streamlined onboarding, improved operational capacity, and enabled XPO to act as a “logistics-as-a-service” company, driving growth and efficiency across the business.
Direction
Icreon collaborated with the founding management team to identify the critical need for rethinking the fulfillment processes. By analyzing major breaks and siloes within the supply chain, the team prioritized designing a solution that addressed inefficiencies and facilitated scalable client growth. Over a 15-week period, the team engaged deeply with every aspect of the process—accompanying contract carriers, observing warehouse operations, collaborating with sales and marketing teams, and auditing end-to-end order processing.
Speed
Icreon designed a middleware architecture that facilitated dynamic integration with third-party POS systems, creating a unified platform for real-time operational insights. Centralized dashboards provided end-to-end visibility across warehouses, distribution centers, and driver operations, while tailored modules enhanced flexibility for onboarding and customized client solutions. This approach not only modernized XPO's tech stack but also ensured long-term adaptability for future logistics challenges.
Velocity
By standardizing third-party POS integrations and creating a unified platform, XPO streamlined operations, reduced costs, and improved efficiency. This transformation led to an 80% increase in market capitalization, $150 million in new contracts, and over 30,000 daily eCommerce deliveries across the U.S. Additionally, customer onboarding time was reduced from 8 weeks to just 3 weeks, enhancing scalability and growth.
The Results
The new end-to-end platform modularized operations, enabling XPO to scale efficiently while positioning itself as a logistics-as-a-service provider. By unifying data from multiple clients, the platform created a single source of truth, fostering an open architecture with valuable insights into customers and partners. This enhanced XPO’s ability to identify growth opportunities and improve customer service.
The transformation yielded impressive results: an 80% increase in market capitalization, $150 million in new Last-Mile contracts, and the capability to deliver over 30,000 e-commerce goods daily. Additionally, onboarding time for new customers dropped from eight weeks to just three.