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In this episode, Rob Liss, VP at MAKA Logistics, discusses the Guadalajara-Dallas rail line and reflects on a decade of industry changes.
In this week's episode, we sat down with Rob Liss, Vice President at MAKA Logistics. Rob takes us through his journey into the industry, reflecting on the many significant changes he's witnessed over the past decade. He recounts his early days at Command Transportation ( later bought by Echo Global Logistics in April 2015) and shares his views on the cultural differences between the two companies. Rob also updates us on the construction of the Guadalajara- Dallas rail line.
After graduating with a BA in Economics and English from Loyola University, Rob explored various fields, from working at a law firm and attending bartending school to ultimately taking an entry-level role at Command Transportation.
Rob recounts his time spent at the company fondly, comparing it to a Rolex watch. “It was a well-run company. I think I learned a lot from Command in terms of how it was structured. Working there was like working inside a Rolex. It was a very well-orchestrated machine, in terms of how all the pieces worked. Everyone had a defined role, and all the incentives were very much aligned to go out and get profitable freight, really focus on high-margin business and high-touch accounts. It was not a volume play. It was always about finding the right freight for the right carrier.”
In 2013, Command was acquired by Echo Global Logistics. Despite initial difficulties in integration, the two companies eventually resolved their differences. “Echo was more of a Timex watch. More mass market for more people, trying to get more revenue, not focusing on the profit as much as showing growth. So there was definitely some culture clash. The reputation that Command guys got from the Echo guys is that we were very mean and aggressive, and I don't think that was totally undeserved. It was something that, I think, overall was really good for Echo. It definitely had some tension points there, but they are definitely two very difficult companies to integrate. But as they came together, you can see they're doing great now.”
He also shared his views on the topic of the mutually beneficial relationship between the U.S. and Mexico, emphasizing that a stronger, more prosperous Mexico contributes to a stronger U.S. economy. “A stronger Mexico is great for a stronger U.S. economy. It’s a big market that's really close to us. A richer, more prosperous Mexico is great to have a richer, more prosperous United States. And same with Canada. So, we've got all the resources that we need for North America right here. The more productivity and growth that you have in North America, the more that those benefits are going to be shared across. I think that's sort of going to be a rough transition, and from where it goes, we're basically getting these huge Chinese subsidies forever, but it's going to come back in that, you know, the Mexican market can buy U.S. goods, and that's important for overall growth.”
Rob also updated us on the Guadalajara- Dallas rail line that is set to be ready at the end of this year. “The initial line that we're running is going to be from Guadalajara to Dallas, which is more competitive because it's easier for a truck to compete with that amount of miles, but it's manageable in terms of repositioning, so that's a lower cost where it can kind of balance out. They're going to complete that for sure by December.”
On that same note, he shared his views on the current state of safety and efficiency of rail operations in the United States. “If safety is not your number one priority, it's not a priority. You can't go to a truck driver's funeral and be like, ‘Yeah, well, safety was our third priority.’ And I think a lot of companies lose sight of that. There was a John Oliver thing on the railroads last year, and they had a clip they played of Hunter Harrison, who's now deceased, talking about having blood on his hands from train derailments. What they didn't say was that his railroad was the safest in the country. So there's always room for improvement.”
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