Old Dominion Freight Lines vs Fedex Freight: Competitor Angle
Former Managing Director at Fedex Freight
inpractise.com/articles/old-dominion-freight-lines-competitor-angle
Former Managing Director at Fedex Freight
Interview Transcript
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Were there other things you wanted to add to that?
One of the things the gentleman we hired from ODFL stressed frequently, was the decentralization of leadership at ODFL. The individual terminals were their own profit centers, and organizationally, they were positioned with the right level of autonomy, guidance and direction from the home office in ways that helped keep those operations tightly profitable. ODFL have a terminal manager who has, among other groups, a sales manager/small team, to support demand in the area supported by that terminal market, along with a wide latitude of financial and pricing discretion to drive optimality in that market. That starts to lead to some differences, like more localized determination of what's “good freight” and “bad freight” in that market. Good freight being more profitable freight, more dense, more efficient to handle, and bad freight being the filler that might not be quite to the same degree.
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