3PL news: Old Dominion Freight Line rolls out Vault Logistics

By Jeff Berman, Group News Editor
August 04, 2011 - LM Editorial

Less-than-truckload (LTL) transportation services provider Old Dominion Freight Line (ODFL) is getting into the third-party logistics (3PL) game, announcing this week it has rolled out Vault Logistics, its new 3PL offering.

Company officials said that Vault unites several existing ODFL business units into an independent operating division comprised of warehousing, business solutions, fleet and warehouse dedicated services and truckload brokerage units.

In an interview with LM, Vault Logistics President Michael Venegoni said that ODFL has been providing warehouse, truck load brokerage and TMS (Transportation Management Systems) technology services to a limited degree for several years.

“Today our clients are asking for expanded services and logistics solutions to cope with economic pressures and the demands placed on them by their customer base,” he said. “Many of our customers today are looking for ways to control costs and gain efficiencies in their supply chain. It makes sense for us to partner with our customers to help them achieve their strategic supply chain goals and accelerate their growth.” 

What’s more, he explained that in continuing the service excellence, discipline and family heritage that Old Dominion is already known for along with financial stability, Vault’s focus is to really understand its customer business and engineer solutions that are customized to solve specific business challenges. The result of this, he said, is positive financial and operational impact allowing our customers to grow their business, noting that the company has the experience and technology to deliver solid results.

Vault Logistics will provide shippers with various services, including:
-managed transportation- which includes logistics management and TMS Technology;
?-dedicated warehouse and fleet services;
?-warehouse and distribution; and
?-truck load brokerage.

Vault Logistics will kick off operations with a team of 36 staffers and has plans to grow aggressively. Venegoni said that Vault will have a strong—but not exclusive—relationship with OFL’s LTL business, saying that ODFL developed Vault to offer a neutral service that’s designed to best fit its customers’ needs across all modes.

And although Vault Logistics is an independent operating division of ODFL, it will share services including human resources, finance, IT, marketing, and legal.

“We have the advantage of an extremely strong senior leadership team at ODFL where we collaborate for best-in-class business process and leverage buying power for cost controls,” said Venegoni. “We’ll purchase LTL transportation from ODFL or work within the customer’s existing ODFL contracted pricing if it’s in the best interest of the customer.”

In terms of the competitive advantages this expansion brings to ODFL, he said that ODFL has expanded its service to address the real world issues its customers face today by bringing another dimension to its solution set for the ODFL sales team.

“Customers are asking for a broader range of solutions and innovations across increasingly complex and dynamic supply chains,” said ODFL CEO David Congdon in a statement. “The right solutions will drive efficiencies and contribute significantly to their bottom lines to grow their business. Vault Logistics is a significant investment in our future and expansion of our capabilities to help our customers thrive in the new economy.”



About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Seasonally-adjusted (SA) for-hire truck tonnage in February was down 3.1 percent (2000=100) compared to a revised 1.3 percent (from 1.2 percent) increase in January. ATA said this reading marks the lowest level for the SA index going back to last September.

It was a busy day for railroad-related legislation yesterday, with the United States Senate Commerce, Science, and Transportation Committee approving two bills with a railroad focus by a voice vote. The respective bills are S. 808, the Surface Transportation Board Reauthorization Act of 2015 and S. 650, the Railroad Safety and Positive Train Control Extension Act.

Indications given by a splinter group of the International Longshore and Warehouse Union suggest that shippers should not assume the tentative contract with the Pacific Maritime Association is a “done deal.”

Navis announced that George A. Kohlrieser, an internationally recognized expert on leadership, will present a general session at Navis World 2015, taking place March 29-April 1, 2015 at the Intercontinental San Francisco Hotel.

While its day-to-day objectives remain the same, the online load board freight-matching service Internet Truckstop announced today it has a new name: Truckstop.com.

About the Author

Jeff Berman, News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA