Packet-switching operations in a network device are managed based on the detection of excessive-rate traffic flows. A network device receives a data unit, determines the traffic flow to which the data unit belongs, and updates flow tracking information for that flow. The network device utilizes the tracking information to determine when a rate at which the network device is receiving data belonging to the flow exceeds an excessive-rate threshold and is thus an excessive-rate flow. The network device may enable one or more excessive-rate policies on an excessive-rate traffic flow. Such a policy may include any number of features that affect how the device handles data units belonging to the flow, such as excessive-rate notification, differentiated discard, differentiated congestion notification, and reprioritization. Memory and other resource optimizations for such flow tracking and management are also described.