30% more delivery capacity, 20% lower fuel bill: How this S’pore courier found a greener route to growth

Singapore-based courier firm XDel has increased its delivery capacity by 30% while cutting its monthly fuel bill by 20% through the use of real-time route planning technology. The company's Vehicle Route Planning (VRP) system dynamically recalculates delivery routes as conditions change, eliminating wasted mileage and boosting efficiency.

Founded in 1993 as a humble courier service, XDel has invested nearly $4 million in technology since 1999 to improve its operations and sustainability credentials. With the help of A*STAR and Enterprise Singapore, the company developed its proprietary VRP system in 2015, which allows drivers to receive updated routes directly on their mobile phones and enables real-time monitoring of deliveries.

XDel's technology proved its worth during the Covid-19 pandemic, enabling the company to quickly respond to surging demand for medications and vaccines without needing to hire more staff. The company now handles around 2,000 deliveries a day, focusing on pharmaceuticals, lab samples, and clinical trial shipments. XDel's efforts in efficiency and sustainability have made it an attractive partner for larger corporate clients, who are increasingly looking for greener logistics providers.

The company has also begun collecting and returning electronic waste for refurbishment and recycling, supporting Singapore's circular economy. As sustainability becomes a key factor in procurement decisions, XDel is tracking vehicle mileage more closely to monitor its carbon footprint and explore the use of electric vehicles, which have already reduced monthly diesel use by 75%. Looking ahead, the company plans to use artificial intelligence to further optimise its operations.