Case Study: Velociti Provides Fleet & Facility Deployment Solution for Old Dominion Freight Line

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Customer: Old Dominion Freight Line
Industry: Transportation and Logistics
Scope of Work:  PeopleNet On-Board Communication Systems and Cisco Access Points
Number of Units: 4,000+ Tractors
Number of Sites:  208 Locations
Time frame: 9 months

Old Dominion Freight Line Inc. (NASDAQ: ODFL) is a national less-than-truckload motor carrier providing one-to-five day service among six regions in the United States and next-day and second-day service within these regions. Through its four product groups, OD-Domestic, OD-Expedited, OD-Global and OD-Technology, the Company offers an array of innovative products and services that provide direct service to 48 states within the Southeast, Gulf Coast, Northeast, Midwest, Central and West regions of the country. In addition to domestic less-than-truckload services, the Company offers assembly and distribution services as well as LCL and FCL delivery services to and from all of North America, Central America, South America and the Far East. The Company also offers a broad range of expedited and logistical services for both its domestic and global markets, and for more than 75 years, Old Dominion has been helping the world keep promises. More information can be found at www.odfl.com.

THE CHALLENGE

Old Dominion Freight Line had a unique dual-scope requirement to install PeopleNet On-Board Communication Systems in approximately 4,000 tractors across 208 locations as well as 140 Cisco Access Points at 92 locations. The sites for both installs spanned 48 states.

Old Dominion initially considered performing the project with it’s own employees.  In the process of developing a deployment plan, they realized that the need to deploy in-cab and WLAN technology simultaneously involved complexities that made the project very challenging. They realized it was more than just an installation, it also involved project management, data and inventory management, scheduling and training.  Old Dominion determined that using internal resources, it would take 30 months to complete the project, which would delay their ROI significantly.

THE SOLUTION

Old Dominion Freight Line turned to Velociti Inc., the industry leader in technology deployment, after determining that utilizing an outside firm was the best choice.

According to Ken Erdner, CIO of Old Dominion Freight Line, “Velociti told us point blank that they could complete the project in 9 months and that using them would dramatically improve our ROI and they proved it.”

Velociti provided 10 highly trained, full-time installation technicians and a dedicated project manager to oversee every aspect of the project.  Velociti’s web-based data management system provided Old Dominion with 24/7 access to project details, status reports and inventory management, including detailed tracking information showing the complete history of each device.

THE BENEFITS

Velociti’s dedicated and highly efficient team successfully completed the project in only 9 months compared to the 30 months it would have taken Old Dominion to accomplish the task themselves.  As the systems were installed, Old Dominion saw immediately the increased fuel efficiency exceeded expectations of 1/4 mpg with an actual rate of 1/2 mpg, yielding huge savings.

Ken Erdner went on to say, “The difference between seeing those returns in 9 months versus 30 months not only paid for Velociti’s incredible service, but keeps paying through their quality of work and continued support.  Velociti has proven it’s value to us and will be an important partner as future technology projects require deployment services.”

According to Barry Craver, Director of Freight Processing for Old Dominion, “Prior to working with Velociti, we didn’t think we could find a company with expertise to deploy technology in our trucks and our terminals.  The diversity of Velociti’s capabilities would be of value to any fleet, as it was to ours.”

Velociti was uniquely qualified to handle the dual deployment.  Deryk Powell, COO of Velociti Inc. explained, “We are the only company with the full-time staff certified to handle both the in-cab and in-building scope of work, which streamlined the process saving significant time and money.  We coordinated all aspects to ensure a seamless deployment between the two solutions and made sure everything was up and running correctly before leaving each location, allowing Old Dominion to immediately leverage the systems capabilities.”