FedEx has acquired route optimization solutions provider RouteSmart Technologies as part of its efforts to drive efficiency across its global operations and strengthen its suite of technology solutions.
The two companies expect seamless integration as they build on many years of collaboration. RouteSmart’s Routing as a Service (RaaS) product already serves as the backbone for the internal FedEx Route Optimization (FRO) tool, which the company is rolling out globally as part of its ongoing network transformation.
“This is yet another step on our journey to make supply chains smarter for everyone as we revolutionize logistics,” said Raj Subramaniam, president and chief executive officer of FedEx Corporation. “Our physical network generates terabytes of data that contain invaluable insights about the global supply chain.
“Through this acquisition, we will use RouteSmart’s expertise and proven technology platform to accelerate the deployment of a common route optimization capability for FedEx operations that will enable our team members to work safer and smarter as they deliver superior service to our customers.”
Larry Levy, president of RouteSmart Technologies, added, “We are excited to tighten our strategic relationship with FedEx as we further drive efficiency throughout FedEx’s global operations and accelerate our solutions for all clients we serve.”