Logistics technology: New ODFL warehouse offering has an IT focus

Jeff Berman, Group News Editor -- Logistics Management, 7/17/2008

THOMASVILLE, N.C.—Regional less-than-truckload (LTL) carrier Old Dominion Freight Line (ODFL) recently announced it is expanding its supply chain services with a new warehouse service offering that leans heavily on information technology.

This initiative marks ODFL’s entrance into the warehousing and distribution sector. Rick Keeler, ODFL senior vice president of strategic development, said the company will assist shippers without in-house logistics services.

These services include SAP-supported warehouse management services (WMS) from strategically located facilities in major U.S. gateways, such as pick and pack, replenishment, labeling, Web-based visibility, and reporting, among other services.

“These IT services—like radio frequency technology for freight tracking and accounting capabilities—are the backbone, in terms of how are going to manage inventory for our customers,” said Keeler in an interview with LM.

Keeler also noted that bundling IT capabilities with other services is something ODFL has done in the past when augmenting its LTL service capabilities.

In an interview with LM, Keeler said this effort is part of an initiative launched by ODFL to provider services for shippers that need warehouse space by leasing warehouse space and providing warehousing services directly as a business vertical to compliment ODFL’s LTL services.