Shunting

Seven Keys to Maximizing ROI with Shunting

Real-World Lessons from One of Canada’s Largest Grocers

The Optimized Yard: The Key to Operational ROI

A well-managed yard is more than just a transitional space between transportation and warehousing — it’s a crucial driver of operational efficiency, cost savings, and overall business success. The “Optimized Yard” is one that operates seamlessly, minimizing delays, optimizing fuel usage, ensuring worker safety, and leveraging data to make smarter decisions.

The Optimized Yard: The Key to Operational ROI

For one of Canada’s largest grocery retailers, inefficient shunting was creating significant operational bottlenecks, increasing costs, and limiting scalability. When they partnered with NSSL, they transformed their yard operations, implementing advanced technology and data-driven insights to maximize efficiency.

"We used to rely on walkie-talkies and paper logs, which led to inefficiencies and errors," said one senior executive from the company. “Now we have complete and immediate visibility into our entire yard operation in one centralized dashboard. And we can make smart business decisions about what we’re seeing.”

By consolidating all shunting activities with a national provider like NSSL, they were able to streamline workflows, lower costs, and improve real-time visibility across multiple sites.

Here’s how optimizing shunting operations can unlock powerful ROI and transform yard operations for any company managing a complex supply chain

“Now we have complete and immediate visibility into our entire yard operation in one centralized dashboard.”

Lowering Fuel Ccosts
1

Lowering Fuel Costs Through Advanced Shunting Technology

Over the past five years, diesel fuel prices in the United States have experienced significant fluctuations. In January 2020, the average retail price for a gallon of diesel was approximately $3.05. Prices peaked in June 2022, reaching a record high of $5.81 per gallon. As of January 2025, the average price stands at $3.63 per gallon. This represents an overall increase of about 19% from January 2020 to January 2025. (Source: https://www.statista.com/statistics/204169/retail-prices-of-diesel-fuel-in-the-united-states-since-2009/)

Given this fluctuation, managing fuel costs is essential. Fuel is one of the largest operating expenses in yard management, and unnecessary idling, inefficient routing, and outdated equipment all contribute to excessive fuel consumption. Without optimization, shunt trucks often burn fuel while waiting for assignments, searching for trailers, or moving inefficiently through the yard.

NSSL’s purpose-built shunting solutions, including electrified shunt trucks, have proven to be game-changers for cost reduction. By optimizing routes and increasing real-time visibility into trailer locations, customers can significantly reduce fuel waste.

In addition to fuel savings, electric vehicles (EVs) can drive significant ROI. For example, by converting just one diesel-powered shunt truck to an EV, companies can:

Save 225 gallons of diesel fuel per week
Reduce 2.3 metric tons of CO2 emissions weekly

These cost savings scale exponentially across large fleets, making fuel optimization a critical component of maximizing ROI in yard management.

2

Optimizing Yard Moves Per Hour

The efficiency of yard operations is often measured in yard moves per hour — a critical KPI that reflects productivity and throughput. An inefficient yard leads to long trailer wait times, sluggish dock loading/unloading, and a ripple effect of delays throughout the supply chain.

This is signifiant, because unplanned downtime in manufacturing can have significant financial repercussions. A study by the Aberdeen Group found that such disruptions can cost manufacturers up to $260,000 per hour, encompassing lost production, labor expenses, and repair costs.

These delays not only affect immediate production but also have downstream impacts, including increased lead times, disrupted supply chains, and potential damage to customer relationships. Addressing unplanned downtime is crucial, as it poses significant financial and operational challenges. (Source: https://www.thepowerscompany.com/resources/unplanned-downtime-playbook)

Before implementing NSSL’s shunting solutions, this leading grocer struggled with manual workflows, inconsistent processes, and underutilized assets. Within just 90 days of working with NSSL:

Net MPH

Within the first 90 days of working with NSSL, moves per hour significantly increased.

Site Activity

In the same timeframe, not only did the moves per hour and moves per week increase, the amount of hours needed to complete these moves decreased.

30% Productivity Increase

+30%

30% Productivity Increase
10% Volume Increase

+10%

10% Volume Increase
15% Labor Hours Decrease

-15%

15% Labor Hours Decrease

This means more trailers moved in less time, reducing congestion and improving operational flow across the entire supply chain.

3

Reducing Trailer Dwell Time with Real-Time Insights

Trailer dwell time — the amount of time a trailer remains idle in a yard — represents wasted resources, increased costs, and lost efficiency. Excessive dwell time ties up valuable assets, slows down fulfillment, and disrupts just-in-time inventory systems.

Reducing Trailer Dwell Time with Real-Time Insights

Trailer dwell time — the amount of time a trailer remains idle in a yard — represents wasted resources, increased costs, and lost efficiency. Excessive dwell time ties up valuable assets, slows down fulfillment, and disrupts just-in-time inventory systems.

Excessive trailer dwell time significantly impacts the trucking industry, leading to substantial financial losses. According to the Federal Motor Carrier Safety Administration, prolonged dwell times can cost the industry up to $3 billion annually (Source: https://mybluegrace.com/blog/detention-and-dwell-times-the-menaces-of-supply-chain-efficiency)

Additionally, a study by the Consumer Brands Association found that median dwell times can vary throughout the day, with peak times reaching up to 3.9 hours during late-night hours. (Source: https://consumerbrandsassociation.org/wp-content/uploads/2019/02/Dwell-Time-Report-2019.pdf)

These statistics underscore the importance of efficient yard management and the implementation of strategies to reduce dwell time, thereby enhancing overall supply chain efficiency.

With NSSL’s real-time tracking and digital workflow tools, yard managers can pinpoint inefficiencies and optimize trailer movement. The journey of every trailer through the yard is monitored and analyzed to identify areas where dwell time can be reduced.

"Metrics that were once invisible to us are now at our fingertips," said the grocer’s Vice President of National Transport Operations. "Now, everything is digitized. We know exactly when tasks are completed, who completed them, and where."

“Metrics that were once invisible to us are now at our fingertips.”

With better visibility into trailer movements, companies can accelerate loading/unloading, improve dock utilization, and eliminate costly bottlenecks.

4

Enhancing Safety and Mitigating Personnel Risks

Yard operations are high-risk, with safety incidents causing costly downtime and fines. NSSL reduces incidents through driver training, strict safety protocols, and well-maintained equipment—protecting both workers and profitability.

According to industry data, workplace injuries cost U.S. employers over $170 billion annually.

Each lost-time injury can cost an employer an average of $42,000 in direct costs.

By centralizing safety protocols and providing continuous driver education, NSSL has helped reduce incident rates significantly for its clients. The grocer’s yard team saw a major improvement in safety compliance and accident prevention after partnering with NSSL.

NSSL ensures that every driver is highly trained, equipment is well-maintained, and processes are designed with safety in mind — protecting both workers and profitability.

"They brought in a level of professionalism and innovation that was game-changing for us," noted a senior executive. “Their focus on safety and reducing risks is paramount to our operation’s overall success.”

5

Driving Down Maintenance Costs and Eliminating Headaches with Purpose-Built Shunting Equipment

Driving Down Maintenance Costs and Eliminating Headaches with Purpose-Built Shunting Equipment

Traditional yard trucks are often not designed for continuous shunting operations, leading to excessive wear and tear, breakdowns, and high maintenance costs. According to industry data, a typical shunt truck operates approximately 3,000 hours per year and consumes between 1.5 to 2 gallons of diesel per hour. In contrast, a standard day cab truck performing similar yard duties consumes about 4 gallons per hour. This difference can result in annual fuel savings of approximately $30,000 when using a shunt truck instead of a day cab.

In addition, purpose-built shunt trucks are designed for frequent stop-and-go movements, ensuring longer lifespan and fewer mechanical issues. By extending the service life of a shunt truck, these annual savings can be extended — enhancing overall profitability.

Additionally, outsourcing maintenance through a specialized service provider like NSSL means companies can eliminate the burden of unexpected repairs and avoid the operational disruptions caused by out-of-service vehicles. By partnering with a specialized service provider, businesses can forgo the need to hire and manage in-house service technicians, reducing expenses related to wages, benefits, and training. Additionally, the complexities of ordering and maintaining parts inventory are transferred to the provider, alleviating the burden of procurement and storage logistics. The necessity for investing in tools and establishing dedicated maintenance facilities is also removed, as the external provider supplies the required equipment and infrastructure. Furthermore, outsourcing addresses environmental and regulatory concerns by entrusting the disposal of hazardous materials (such as used oil), to professionals well-versed in compliance protocols. This approach not only mitigates safety and compliance issues, but also allows companies to focus more intently on their core competencies, enhancing overall productivity.

Instead of dealing with unpredictable downtime, relying on the expertise of a company well versed in fleet maintenance ensures that shunt trucks remain at peak operational performance without the headaches of in-house repairs.

6

Improving Uptime with Predictive Maintenance and Technology

Track Engine Health

Track Engine Health

Maximize Uptime

Maximize Uptime

Prevent Downtime

Prevent Downtime

Shunting inefficiencies and unexpected breakdowns cause major disruptions in yard operations. By leveraging predictive maintenance technology, NSSL helps companies reduce equipment failures and maximize uptime.

By tracking engine diagnostics, wear patterns, and utilization metrics, predictive maintenance allows companies to address mechanical issues before they cause downtime. This proactive approach significantly reduces unplanned maintenance costs and delays.

With fewer disruptions and more reliable equipment, yards can operate at peak efficiency, ensuring continuous movement of goods and preventing supply chain slowdowns.

7

Data-Driven Decision-Making with Well Defined KPIs

Data is essential for high-performance yard operations. NSSL’s real-time visibility and data-driven insights help companies identify inefficiencies, optimize scheduling, and improve performance. By monitoring key metrics, businesses can make smarter decisions and achieve better ROI.

NSSL equips yard managers with real-time performance dashboards, allowing them to track critical KPIs such as:

check Trailer Dwell Time
check Fuel Usage and Savings
check Yard Moves Per Hour
check Safety Compliance Metrics
check Automated Temperature Alerts
Data-Driven Decision-Making with Well Defined KPIs

10% Reduction

in Trailer Fleet Size

231 Loads Saved

(Temperature Compliance) = $5 Million in Product Value

1 Million

Trailers Checked

“NSSL’s commitment to innovation and professionalism has transformed our yard operations," said the grocery retailer’s leadership team. "From digitization to real-time visibility, they’ve helped us achieve unprecedented efficiency and scalability. We’re able to benchmark performance and challenge our teams to do better, and that’s been incredibly powerful."

By monitoring and analyzing yard operations in real-time, companies gain a data-driven advantage, allowing them to make smarter business decisions that drive long-term ROI.

Conclusion: Optimizing Your Yard with NSSL

Optimizing yard operations is one of the most effective ways to increase supply chain efficiency, cut costs, and improve safety. Through advanced technology, predictive analytics, and real-time tracking, NSSL helps companies unlock the full potential of their yard operations.

The experience of one of Canada’s largest grocery retailers proves that measurable, lasting ROI is achievable with the right shunting partner.

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Check out our more in-depth case study that details how this large North American retailer optimized their yard operations with NSSL.

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