Barilla America focuses on improving efficiency and reducing costs across its transportation network, which includes plants in Ames, Iowa, Avon, New York, and Montreal, Quebec, along with several regional distribution centers. As Barilla expanded its footprint, including acquiring the Montreal plant in 2021, it operated shipping lanes with fuel costs above and below national averages. However, its reliance on fuel surcharges based on the US Department of Energy’s national diesel fuel price index created inaccuracies in carrier fuel reimbursements. The index is updated weekly and reflects a limited sample of fuel stations, failing to capture regional price variations. This approach led to misaligned fuel compensation, increased transportation costs, and the need for a more precise method to

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