Author: Matt Cunningham

Throughput is a key metric for transportation & logistics (T&L) companies: The more goods move, the more revenue comes in. Traditionally, the throughput calculation has been based on the total number of units shipped or moved divided by the amount of time it took. Operators focused on a company-wide view of throughput, looking at orders per hour, cycle time, or inventory turnover. However, organizations are redefining operational efficiency based on T&L frontline worker productivity, not just on throughput tied to fleet size or warehouse square footage.

How to Calculate T&L Frontline Worker Productivity

Realizing that increasing your organization’s throughput starts with the frontline, you need to redefine the key performance indicators (KPIs) your company tracks. KPIs should give you insights into teams and even individual employees for visibility into processes and workflows that work versus those that don’t. Companies are drilling down to understand how efficiently they run, track, and analyze these KPIs:

Basic Frontline Productivity

Frontline worker productivity = Total output per worker or team / Hours worked

The calculation to track basic T&L frontline worker productivity is simple: It’s the output of a worker or a team divided by the hours worked. The output is determined by workers’ roles, whether they pick orders, pack shipments, or make deliveries. An improvement in this KPI indicates an increase in productivity.

Route Efficiency

Route efficiency = Total operating costs (fuel, labor, vehicle maintenance) / Deliveries

OR

Route efficiency = Total time / Number of Deliveries

You have a few options for calculating route efficiency. You can look at how many deliveries a driver can accomplish or put it in terms of cost per delivery. Instead of calculating this metric for your entire fleet, look at costs and time per truck.

T&L Frontline Worker Efficiency Rate

Frontline worker efficiency rate = Hours scheduled / Actual hours worked

It’s essential to make the most of labor hours, especially with labor shortages across warehousing and transportation. Job openings have been steady in this category at about 308,000 across the U.S. in 2024 and 2025, according to the Bureau of Labor Statistics. The competitive edge belongs to operators who can maximize labor to move more freight, faster and with fewer errors.

What T&L Companies Can Learn by Tracking Worker Productivity

Taking a global rather than a granular view of T&L operations provides only a limited view. It’s possible that one area or one frontline worker is underperforming and another is overperforming. Tracking individual or team performance helps to spot inefficiencies, like bottlenecks, flaws in processes that lead to workarounds or manual interventions, and misalignments between departments.

By taking a closer look at T&L frontline worker productivity, operators have actionable intelligence that can help them optimally allocate labor, reducing overtime. Data on productivity per worker can also inform decisions about inventory to align ordering or distribution with the ability to process shipments, which can help reduce holding costs. Insights into productivity per worker can also help companies plan and schedule more effectively, helping to avoid rush fees and errors.

According to WSJ Business, Zebra Technologies research shows that steps to optimize workflows can increase T&L frontline worker productivity by 21%. And Zebra’s Elevating transportation and logistics value: The impact of intelligent operations report, the top 20 T&L companies saw a 2.3% increase in revenue and $53 million in additional profit per organization by optimizing workflows. Addressing roadblocks to maximum throughput can also keep T&L companies competitive. The industry is racing to provide the fastest service, with predictions that 40% of parcels will be delivered within 2 hours by 2028.

The Technology that Improves T&L Frontline Worker Productivity and Throughput

When you identify gaps or challenges in workflows, you can choose from several technologies that can help improve throughput. Technologies for T&L companies that facilitate access to data and applications, collaboration, and automation also provide the added benefit of enhancing employee experiences, which leads to job satisfaction, higher employee retention, and a stronger frontline.

Enterprise Communications

Mobile devices with push-to-talk communications make collaboration and alignment between the warehouse, drivers, and management easier. With mobile solutions, all stakeholders can stay informed of disruptions in real time, enabling them to adapt or pivot to keep operations and deliveries on track.

Package-Level Tracking

You can implement barcode or RFID solutions to accurately track products or assets as they move from the warehouse or distribution center to customers. These technologies also save time and increase inventory, picking, packing, and shipping accuracy by confirming the right products are heading to the right destinations.

Load Planning

Intelligent load planning allows teams to quickly calculate load dimensions and ensures each truckload is optimized. This technology increases route efficiency and controls cost per delivery.

Mobile Solutions for Drivers

Tablets or mobile computers in trucks allow drivers to enter data as they make deliveries, including sharing proof of delivery with customers or dispatch in real time. These solutions also provide visibility to confirm deliveries are on time and drivers have not encountered delays or disruptions.

Route Accounting

Route accounting solutions can allow one driver to do more, efficiently handling orders, invoices, and payments in the field with the help of mobile computers, mobile printers, and automation tools. When a driver can accomplish more independently, T&L companies will see a boost in productivity and profitability.

Find the Right Technology Match for Your Use Case

Calculating and tracking T&L frontline worker productivity is proving to be important for maximizing throughput. Comparing productivity per worker across the organization will show where you need to address issues that are slowing down your operation. Identifying inefficiencies and implementing solutions to address them can lead to big gains in revenues, profitability, and even employee satisfaction and retention.

Our team can help you evaluate your needs and explore options that increase productivity and throughput. Contact us to learn more.

About the Author:
Matt Cunningham, Vice President of Enterprise Sales at Levata, is a solution sales and leadership professional with a strong track record of helping organizations across transportation, logistics, and manufacturing environments implement technology solutions that improve operational performance. Experienced in complex solution selling and business development, Matt works closely with stakeholders across all levels of an organization to deliver measurable results in supply chain efficiency, visibility, and workforce productivity. Passionate about the intersection of people, process, and technology, Matt focuses on helping organizations build cultures and systems that enable long-term success in rapidly evolving operational environments.