OneLogix VDS hails Hino!

December 15, 2022

The OneLogix Group – a niche logistics provider with over 30 years of operational experience – has purchased 11 Hino 500 Series trucks for its vehicle carrying and storage division. Dawie van der Merwe, managing director of OneLogix Vehicle Delivery Services (VDS), tells CHARLEEN CLARKE that there are numerous advantages to going the Hino route.

The OneLogix Group was established over three decades ago and VDS, the vehicle carrying and storage division, was founded in 1988. “VDS is the oldest company in the group. It currently has more than 600 direct employees and operates a fleet of more than 200 car carriers of various sizes,” says Van der Merwe.

The smaller carriers are used for local distribution, while the larger trucks do line haul duty. “A portion of the fleet is dedicated to cross-border distribution and services in all South Africa’s neighbouring countries, as well as Zambia, Malawi, and the Democratic Republic of Congo (DRC). Our car carriers transport anywhere from six to 12 vehicles,” he continues.

While VDS is a successful company, it was hit hard by the pandemic. “Covid had a major impact on the business. It is a high fixed-cost business with no guaranteed volumes from clients. Revenue ground to a halt during the pandemic and drastic cost reduction measures needed to be taken,” Van der Merwe reveals. “We went through dark times and, to be honest, we are only now seeing some signs of light, two-and-a-half years later.”

There were other consequences too: “The pandemic has had major ramifications in the automotive industry, starting with a shortage of inventory and culminating in a current abnormal demand for new vehicles. This has caused major supply and demand spikes in the broader logistics chain,” notes Van der Merwe.

“We are addressing this by increasing our capacity through efficiency improvements in the short-term,” he says. “A calculated fleet replacement programme is also part of the solution to run a newer, more reliable fleet for improved uptime and service delivery.”

In keeping with this fleet replacement programme, VDS has taken delivery of 11 Hino 500 1627 4x2s. The trucks – which were delivered to the company’s depot in Pomona – will be used in short- to medium-distance applications. The intended payload will predominantly be six passenger or light commercial vehicles (bakkies) at a time.

“A lot of the trucks are replacing existing vehicles that have come to the end of their useful lives. Some of these are Hinos with well over a million kilometres on the odometer!” Van der Merwe highlights. “The new trucks will join numerous other Hinos in our fleet. We have several older Hino 1626 and 15-257 models, which are still going strong,” he adds.

All 11 Hinos were purchased with full maintenance contracts. “This is something new for us; we normally do all our own maintenance at our in-house OEM-accredited workshops. This reduces downtime resulting from services and breakdowns. However, Hino has offered a cost-competitive maintenance contract, which will provide us with predictability up to 300 000 km, as well as on-site servicing,” explains Van der Merwe. “This will allow us to focus on the productivity of the vehicles while having a fixed cost basis for the term of the contract.”

He says that the trucks were chosen because Hino has a proven track record with VDS. “The product performs well in terms of fuel consumption, reliability, running cost, and resale value,” he notes. “In our industry, uptime is key to providing the service expected by our clients. However, the vehicle also needs to provide a return on investment through a competitive purchase price and running cost. This is exactly what our Hinos deliver.”

Given the high price of diesel, fuel consumption was another important determining factor. “As our fleet operates with large variations in payload, on short-haul and long-haul, fuel consumption can vary from 28% to over 60% of total operating costs. With the intended routes on which the new Hinos will operate, fuel will be in the middle range of this scale,” says Van der Merwe.

“The current price of diesel makes fuel consumption the highest contributing factor in our decision-making process when purchasing a new fleet, and the Hino 1627 consistently achieves the top results – or it’s right up there with the benchmark vehicles – when it comes to fuel consumption,” he continues.

Another key factor was aftersales, and the Japanese truck maker has also been exceptional in this regard. “Hino has always been one of the leading products for our smaller vehicle carriers – with strong dealerships situated close to our major depots. Dealer support and parts availability have generally been good,” states Van der Merwe.

“In our case, the trucks require certain modifications, which were all arranged through the Motus Pomona Hino dealership. Once these modifications are completed, the truck and trailer combination can obtain permits to operate within the abnormal vehicle standards set for the motor ferry industry,” he expands.

While Van der Merwe and his team are clearly happy working with Hino, his drivers relish coming to work and hopping into one of the company’s trucks. “The drivers enjoy driving the Hino trucks, as they are well powered for the application with a broad torque band. The 1627 also includes ABS, which is critical in wet conditions,” Van der Merwe points out.

So, there you have it: a truck that delights both operators and drivers, which explains exactly why VDS remains a committed Hino customer.