Hub-and-Spoke
Logistics
Hub-and-Spoke
Network design in which flows consolidate through central hubs before being redistributed to destinations.
Examples
- 01In the hub-and-spoke network, all parcels go to a central hub overnight and are delivered to 20 regional depots the next morning.
- 02The logistics review compares hub-and-spoke cost and lead time with direct delivery for high-volume routes.
- 03For one large customer, a direct route replaces the hub-and-spoke flow, saving a day of transit and one handling step.