In Wheel Time Podcast: Your Go-To Automotive Talk Show Jan 24, 2024

Shifting Gears in the World of Transportation and Supply Chain with Expert Ann Reinke

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Welcome to another In Wheel Time Podcast, a 30 minute mini version of the In Wheel Time Car Show that airs live every Saturday morning 8 to 11am, central Max Anywhere Podcasting and streaming worldwide.

It's the In Wheel Time Car Talk Show Just ahead.

Ann Renke, ceo of TIA Transport Intermediaries Association.

Ann has a career-long association with American Transportation in the private sector and with the US Department of Transportation as well.

Very smart lady and we're going to talk to her.

Conrad will have the In Wheel Time Car Clinic and will also have this week's auto news Howdy, along with Mike out of this World, mars King, conrad DeLong.

We always need more.

Jeff Zekin, I'm Don Armstrong.

Thanks so much for joining us on our live broadcast and if you're listening or watching on the stream, we thank you for that as well.

All right, let's just get right to it, ann.

I heard that you're pronouncing your last name, renke, that's good enough.

Yeah, I'll take it.

Thank you for having me on.

I appreciate it.

Well, thank you.

And it's an honor to talk to you.

Your career is really something and I want to tell everybody 16-year career in Washington DC, the office of CSX.

You know who CSX is?

I have no idea.

Trains, pardon me.

Trains yeah, exactly, I'm the vice president, government affairs there, overseeing the federal state government and community affairs departments.

She received a BA from Rice University right here in Houston.

That's the most important part of my resume.

That's it.

Go Owls.

Yeah, the Owls.

So you were you a fighting owl?

Did you play volleyball or anything?

Passive Owl.

I want the sidelines being very encouraging, as we've lost to everyone in the back of the company, so you're a Cowboys fan.

Oh God well, oh Lord, well.

So Ann tell us what is TI Transportation Intermediaries Association?

What does that company do?

Sure, so we're an association representing brokers and third-party logistics companies, and so who are they?

They're what we call the middlemen, the people who are in the center of the supply chain between the shippers.

So some of your members, I would assume you know auto dealers, auto makers on the one hand, and then carriers and other modes of transportation on the other.

We're putting the two together.

So we have members who would work with the GMs of the world, and then we have members who do all kinds of things from hazmat to fresh food, to what have you, and then they work to contract with the truck driver.

Mostly we're about 80% truck-facing and we have about 2,000 members.

The logistics industry it's about a $276 billion industry.

It's one of those industries that no one knew about until really until the pandemic.

And then when people said where the heck is my toilet paper and my cereal and wherever else, they're like oh wait, there's a whole supply chain.

So we benefited a little bit from the pandemic in that regard.

Well, ann, I have to tell you and you know this from being here in Houston for a while but Houston is a huge port.

We have a huge port here and we also have a very huge rail presence here.

Yes, matter of fact, the call letters of KPRC Channel 2, and KPRC radio Cotton Port and Rail Center, and all of us have been caught up in some sort of you know a trains blocking an intersection or whatever, but the trains in and out of Houston is tremendous.

We have two major trail yards up on the northeast side of town and if you were to fly over them you'd go.

Oh my gosh, I had no clue that it was that big.

So we're very much in tune with the transportation part of your job, especially here in the Houston area.

So, do you have any?

Well, you clearly have something to do with shipping as well, because once the ship gets here, you've got to get it to wherever else it's going to go.

That's right.

But you know, I was thinking about our interview and our discussion today and how we align, and so part of it is the customers that we have right, the automakers, et cetera.

But part of it too is we're really interested in what the future of transportation is in terms of.

Is it going to be automation, right?

So you are looking at automated vehicles.

I'm sure you have a lot of thoughts about that.

We're thinking about what does automated trucks do for us.

Does that work from a safety perspective, since we're the ones hiring the truck, is that actually going to benefit the shipper and the end user to have an automated vehicle?

There's lots of pros and cons.

We can talk about that.

And then the other part, which I think I caught a little bit of, is this EV mandate which, as you know, in California, God knows, everything bad happens, it starts.

In California.

They have this EV mandate to have zero emissions for trucks by 2045.

And I'm sure you guys have thoughts on that, as it relates to not only trucks but also auto.

Well, yeah exactly, you know, here in the Houston area everybody's going wait a minute.

They're ultimately not going to have somebody behind the wheel of an 18-wheeler.

Sometimes I think that might not be too bad.

An 80,000 pound, 80,000.

Yeah exactly, we had an incident here a few weeks back where some 18-wheeler driver, I guess, lost his mind on drugs or something, parked the thing in the middle of the freeway and then ultimately had to have a one-armed bandit from the police department open up the entire side of the 18-wheeler to drag this guy out of there after the dog went after his head and they let it lose a four-hour major freeway shutdown.

So you know there are goods and bads when it comes to 18-wheelers and automation and that sort of stuff, but that's the way things are going though, because behind the scenes and I don't think most people really realize that is the fact that they are working on a driverless tractor trailer and all over the major centers where transportation is key and let's just use Amazon they must have two dozen Amazon facilities here in the Houston area

alone.

Huge, huge, and there is a perfect example of something that could really use an automated system.

Yeah, I think you're right and that's exactly right.

You're tugging on the point which is there are trade-offs, so they're going to be amazing things in that, you know, there's not necessarily a sufficient driver population as drivers retire.

A lot of truck drivers are getting older and they're not filling back up those ranks to the extent necessary.

So, you know, here's a way that we can magnify the population by having an automated sort of opportunity.

On the other hand, what is the risk profile of the driving public if they know that next to them is an 80,000-pound truck that doesn't have a driver?

Right, I mean, it's the same thing as if you've ever been in a driverless car or seen a driverless car.

You sort of feel like you're worried.

Right, even if it may be it's supposed to be more reliable than human you're still a little concerned about it.

It's hard from a public perception to accept that.

Well, and then the driver.

You know people do dumb things.

When there's a driver in the 80,000-pound truck, how dumb are they going to be when there's not somebody in the 80,000-pound truck, and how is it going to react to the stupidity of people?

Sorry, you're exactly right.

Well, you know how many car radio talk shows do you get on that you're able to chuckle at some of this stuff and you have to have a sense of humor.

Listen, we're in a brave new world, right, and the fact is there's such tremendous things where we can't be gloom and doom.

There's lots of fabulous things to look forward to.

However, all of this comes with tradeoffs, as we talked about.

I mean, the other thing too is you probably know that the trial lawyers are always looking for new industries to pursue, and so if we, the broker, contract a driverless truck well, and something were to happen because we all live in the land where something happens does that mean that we get sued because we made an unsafe choice by using a driverless truck?

Right, I mean, these are kinds of the considerations.

So, unfortunately, there's probably going to be some kind of regulatory angle or litigation angle here in the future, even if there are a lot of benefits.

Yeah, and then there's Jim Adler, the Texas Hammer.

You know he's going to sue the daylights out of everybody.

And will he be standing on a driverless truck?

So, Ann, let's talk for just a second about what you mentioned it, about the shortages of products.

And I'm not talking about microchips coming in from China.

I'm talking about, you know, seat covers or car polish or whatever it may be.

You know we see trains going up and down the track.

What happened to the transportation industry when we had that whole pandemic shut down for a couple of months?

Yeah, we call it the perfect storm.

So it was all kinds of shortages from top to bottom.

So driver population shortage was, first and foremost, actually getting trucks moving.

Then there was a, you know, mineral and supply shortage, meaning the trucks were actually like to make the components of the trucks that was that was lacking as well, and then getting the commodities that they were, you know, stuck in China in many ways.

Right, many times that they were stuck there or they were stuck in other places and we couldn't get to them.

It just was kind of like from top to bottom.

There weren't sufficient people in a, in a warehouse, there weren't sufficient people driving the truck, there weren't sufficient commodities to carry, there weren't right, on and on and on, and so it took a while for the supply chain to figure itself out.

Right, right the ship, so to speak.

I'll say one other thing.

No one was getting their hair cut, no one was going on trips, no one was prevailing upon any services.

So what did they do with all their disposable income?

They just bought a bunch of stuff.

I'm sure you were sitting at home and you're like you know what?

I hate my dining room table.

I need a new dining room table or I hate my carpet.

I'm going to get a new carpet, whatever it was, everyone was buying stuff, and so the volumes were unprecedented.

You've never seen the amount of volumes in 2021 and 2022 ever.

Well, and it's not surprising, and I hadn't thought of it that way that people were at home.

So what do you do when you're at home?

Shop on Amazon.

Well, shop on Amazon, wayfarer, you know, anywhere.

But you buy all of that stuff online or, you know, have the services like carpeting.

You don't think about it.

Where's the carpet made?

How does it get here?

You don't think about that.

You go to Home Depot and there's a whole big rolls and rolls and rolls of it.

I'll have that put that in there.

So one of the things you've now mentioned about three times was the shortage of drivers.

Does your organization do anything trying to help grow the amount of drivers available to the industry?

Yeah, I mean what we can do is be supportive Since we don't own trucks ourselves, we just contract to hire them we can be supportive of.

For example, the US DOT did a pilot project of allowing men and women, 18 under 21, basically to be registered as truck drivers across state lines.

Right now they're not allowed to, so they started this pilot project and, quite frankly, it makes all the sense in the world.

I mean, if you have an 18-year-old who's going to Afghanistan or what have you, and they can't drive a truck to another state, that doesn't make any sense, right?

So we try to help to expand that population.

And then there are other things we can do too, which is supporting their various schools that are teaching CDLs, and so we're supportive of that.

I mean, from our perspective, whatever we can do to have the next generation go into these lines of work, I mean selfishly, we want them to be logistics professionals, but we also want them to be truck drivers, because otherwise, that's you know, 80% of our members are relying on them.

So that's what we try to do, is just be supportive of those opportunities.

Where do you get an education in transportation, whatever you called it, logistics?

Logistics.

Where do you get that education in logistics?

Because that is a Besides Rice University, Besides Rice University exactly.

But seriously, I don't know how would you get into that sort of thing.

Well, see, that's exactly right.

So that's part of our education campaign.

Tia has its own education resources, but these are typically people who are already in the industry.

But to get into the industry, we're actually working with various universities.

For example, university of Tennessee, at Chattanooga, they have part of our education to teach their you know undergrads to have a logistics degree.

But there are other programs that are famous for their logistics programs.

University of Denver is another one, and so these schools, university of Wisconsin, university of Michigan, they all have supply chain schools, and so we think it's probably kind of.

Next step for us is to see how many universities we can work with to provide our educational resources if they want, if they choose to.

I mean, they're already that have a ton of logistics professionals and resources.

They don't necessarily mean this, but we that's where we think the next generation of folks is coming from.

Why wouldn't it be more focused on, or at least partially focused on, community colleges, bringing it back home to those that aren't going to have a four year degree?

That's a great point and I don't think I think we are sort of agnostic on whether it's an elite university or if it's a community college.

Quite frankly, whatever educational resources we can provide we don't have, we are not snobbish about it.

We were happy, we're happy to provide anything that we can because ultimately that helps our profession.

And you know, you may or may not experience this with what you're dealing with, but there's a lot of fraud in the industry.

There's a lot of fraud in the supply chain, and so if we have a really professionalized group of folks, of logisticians, as they call them, that ultimately benefits everybody, including the reputation of our industry, but also the end user and then consumer.

Yeah, because a degree in logistics and supply chain is going to be much more valuable than a degree in French Renaissance art.

Well, hey, hey, hey yeah.

Somebody have a degree in French Renaissance art.

That makes me think of Groundhog Day.

I think it croissants, croissants, that's it.

But part of it.

I was kind of amazed because I did not know until we started talking to you and even today even more, the amount of information that I don't have regarding logistics and the supply chain and things.

You know, stuff comes in on a boat, somebody takes it off, they put it on a truck and it comes to Walmart.

That, I mean, that's what I think a lot of us think about.

We don't understand all the intros, all the steps.

No.

That there may be 25 or 30 people involved.

To do that Right, it's also got to pass through customs on the way to.

Well, not only that, but I mean you got to get it off the boat, you got to load it onto the containers and you got to get it to the trucking company, and then you got to get it.

You know, there's just a fulfillment center and then they deliver it.

Yeah.

It's amazing.

That's why you know let's say you're a Walmart why would you work with a broker?

Well, the fact is because we are that transportation department.

So you just listed like seven steps, and so our professionals are the ones who can figure out the best path forward from you know the boat to the store, and what the lane should be, how fast we can do it, who's the best carrier to use all of that stuff.

That's why they turn to a broker, as opposed to having an enormous you know transportation department themselves.

They're going to go to us and say just take it off our hands, we don't really you know you're the one, you're the professional, you know how to do it, you know the subject matter expert.

Depend on them to facilitate all of that for you, does it?

matter that, if it's maybe like a refrigerator size and maybe a price point versus maybe like a pack of napkins or a pair of socks or something, is there like a priority on what gets sent or is it all loaded together and moved?

So it really just depends.

I mean, we have what they call truckload, which would be one truckload filled with the same thing, and then there's less than truckload.

That's the LTL, which is the service that essentially is all right.

You think about, like the milk truck that has to make a lot of stops.

It's sort of the equivalent of the milk truck that has to make a lot of stops, like the local truck that has, all right, we're gonna stop here and drop off the napkins.

Now we're gonna stop here and we have a pallet of, you know, mallow bars.

I don't know why that just came to me, but you know I love Mark Nellifedius.

I would whatever, I would, whatever, I would, whatever, right.

So that's sort of that's how it works, whereas there's a service that you can provide.

And then you think about like oversize and over dimensional freight, for example, those wind turbines that you see all over Texas.

Well, there's our specific equipment for that, so our members would know, all right, I know which carriers have that specific equipment and so I'll be able to work, you know, to get those things moving, whereas the wind turbine people, they don't know, that's not their business, their business is making wind turbines.

And so they rely on us.

Sarah, we're gonna take that, you know, and get it going.

So is there one point that there would be a truck line maybe developing a type of transportation for that wind farm or maybe an oil field company that has a specific product or machinery that needs to go on a specific truck?

I mean, is that all part of it as well?

Yeah, I mean.

So we have a member.

Actually, he just testified in Congress this past week about the supply chain.

The company is Tucker Worldwide and that they have a pharmaceutical business and so there's very, very specific trucks that you need to move pharmaceuticals right.

For example, the COVID-19 vaccine had to be refrigerated at a certain temperature, and so he had access to all of that equipment because of his experience with pharmaceuticals.

So my point is you have, if you have a dedicated customer and that's what they do and they work with a broker and they say I know I can trust you because I know you've got access to that equipment it sort of takes a load off their mind.

They don't have to worry about it, and then that you know it allows us to do what we do best.

I think one other thing I'd say is all of this stuff that we're talking about the various steps we collect data about it and so that that data then becomes really meaningful to help us know how to do it better and how to sell our services to others who may be in the same business.

And how it impacts the end user's cost, because transportation is also considered part of the cost of purchase.

You know.

And now, with all of this mess that's going on in the Red Sea?

And instead of passing through the Suez Canal in three days now they gotta go around the Cape Horn.

Cape Horn through South Africa.

You know that's adding time and money costs to everything and a delay in the mallow bars and a delay in the mallow bars At least the vanilla portion of the mallow bars coming out of Madagascar, right.

That's exactly right.

So we provide such a tremendous benefit and again, I know that a lot of people don't think one red second about where anything comes from that they buy at the store.

But I do think that there has gradually become an awareness, again because of the pandemic, and we didn't have access to stuff that we always had access to.

It's quite a paper I mean I'm sure you've had like that.

We had bizarre not to.

I have nothing wrong with the country of Turkey, but we had this weird Turkish paper towels.

It's like why am I having Turkish paper towels?

Where's my bounty right?

I mean, you know just all of it.

Exactly.

That's when you start thinking about these things and you start wondering and, like I say, I just in looking, talking to you and looking at the background material, it's just like I never knew that, never thought about that.

Well, and to go back to something you mentioned just a few minutes ago was the truck that delivers multiple different things to people.

Somebody has to plan, had to load that truck properly, so as they hit each stop, that's the next thing coming off the truck.

So that's some of the logistics you've got to facilitate as well.

Now the real reason that we called you today and wanted to talk to you.

Besides the Malo bars and Rice University owls and that sort of thing, are you really pulling for the Baltimore Ravens today?

No, god, no Ha ha, ha, ha.

Well, where are you located?

Look, I'm nothing against the Ravens, so I did spend some formative years in Texas, so I have a sweet spot for the Texans.

Go, texans, right.

Yeah, yeah yeah, they had a blowout.

That was incredible, but I am a Redskins slash commanders fan.

But we've had what?

35 years?

Sorry to hear that.

A mediocrity.

I know God help us.

We're on the ascendancy, though we're on the ascendancy.

Yes, right, listen yeah when you're at the bottom, it's always looking up.

Anytime that you want to come on the show, you just let us know.

We don't even have to talk about TIA, we'll talk about Malo bars in the Texans.

And as they say in Texas bless your heart.

Well, by the way, my son is.

I have a seven year old son who's so obsessed with Hot Wheels unbelievable and I kept calling.

I was like mine's got to be on the Hot Wheels show.

He's like come on, show up.

What's his name?

What's your son's name?

It's Wyatt.

Wyatt.

What's going on, Wyatt?

That's it.

Shout out to Wyatt.

Shout out to Wyatt and it's been a real pleasure, a real blast.

Thank you so much.

It's a pleasure to meet you and anytime you're in Houston, Texas, come and see us and be a live guest in the studio.

I will.

Let's go to Neen Fuzz together, hey hey, yeah well.

Lupe.

Tortilla.

Lupe Tortilla fans.

Oh, that's right.

That's one of your sponsors.

That's okay, we'll treat you to Tex-Mex, so come on down.

And a Malabar.

Yeah, that's it, and thanks again.

Thanks so much.

Have a great day you too.

How much fun is that.

Yeah, very cool.

Okay, time now for Conrad's car clinic.

It's the car clinic time.

What are we car-climicking today?

Well, we're gonna talk about your car when it's freezing outside.

All right, that's good.

You know, the first instinct before driving anywhere may be to let your car warm up, but that might not be such a great idea.

According to experts, the engine only needs, you know, less than a minute to reach all of its temperatures and getting all the fluids flowing.

Doesn't matter about age of the car.

I don't really matter about age of the car.

So once the fluids get flowing and everything's working which happens, you know, shortly after you start it- Certainly this morning to go right, you know.

The other thing I wanted to talk about is is your windshields.

So you know, when it's this cold out now we didn't see it quite this cold, but I've had some, some frost on my car.

Well, when you have these little marks in your windshield, the little chips and stuff, you know, you got to be real careful how you, first off, clean the windshield and, second off, how you defrost the windshield.

So if you put your defroster on max, get it temperature and then crank it up, there's a high probability that little rock chip is going to spread to a big long crack and that's going to go across the windshield.

Because you had to remember, a windshield is basically two pieces of glass With a piece of plastic between them.

So if you heat the inside glass up faster than the outside glass, the inside glass expands and that will Basically run those cracks.

So instead of cranking it up to 90 degrees to heat the inside windshield up, just set it on 6065.

Let it eventually come up to temperature.

It really doesn't take that much longer to melt the ice off your windshield, because you definitely want the ice off your windshield Before you head on down the highway a plastic credit card will get the ice off.

Full tilt boogie.

This is not lived in San Antonio.

One of these little co-fronts came through One morning.

I backed out of the garage and that rock chip went all the way across just Because you can just kind of hit the flex in your car as you're backing down the driveway.

Very unique, so yeah, so you know, being careful with how you defrost your windshield is important in these days.

That's so.

That's a very good information.

I like that.

Yeah, that was good, yeah, and it'll also make you have to change that cracked or damaged windshield quicker by doing it that way.

So if that's the case and you've got insurance, and crank it up to 90 degrees.

Well, and those, those People out there that can fix the rock chips, do it, because I, my opinion is it's probably stronger Than it was before, because they pull all the air out of it and fill it in with a glue, allegedly.

Yeah, yeah, thank you.

Thank you very much.

That's con red.

Yeah, that was kind of it All right.

Because nobody else wants to be parts customer who bought oil not recommended by his vehicles.

Manufacturer cannot pursue a negligent misrepresentation claim now against the Canadian dealership that sold him the oil, and Alberta judge has ruled.

Justice George Shannon of the provincial court of justice rejected an attempt by Jamal El Rafi to hold Calgary BMW responsible for catastrophic damage to the engine of his 2006 BMW M5 sedan.

The decision said El Rafi Failed to produce evidence.

The dealership made an untrue, inaccurate or misleading Representation that caused his misfortune.

Nor was there sufficient evidence that the wrong oil caused the damage.

The suit alleged that in 2019, a parts department employee at Calgary BMW advised El Rafi to switch from 10 w60 oil Called for in the owner's manual to the less expensive 5w30 oil.

El Rafi bought the 530 oil at the dealership, which an independent mechanic used for the oil change.

However, the decision said the employee merely told El Rafi accurately that BMW USA had transitioned to 5w30 and that BMW Canada might do the same.

Well, it wasn't good.

I thought they were CEO systems.

Yeah, in dismissing the suit, shannon cited the absence of testimony from the independent mechanic, and it turns out that the guy hadn't changed the oil in a long, long time.

Oh wait, and when he did, he went to 530 and it plugged up the whole thing and it over revved the engine.

Wow, it did all sorts of things and all sorts of ugly damage.

I'm sure I'm stupid and I want to blame somebody else.

He's shaking his head.

Sorry, I drive an.

M6.

A quick break now You're on the end.

Wheel time, car talk.

Show back after this.

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That's it for this podcast episode of the In Wheel Time Car Show.

I'm Don Armstrong inviting you to join us for our live show every Saturday morning 8 to 11 am, central on Facebook, youtube, twitch and our InWheelTimecom website.

Podcasts are available on Apple Podcasts, spotify, stitcher, iheart Podcast Podcast Addict Tune In Pandora and Amazon Music.

Keep listening and we'll see you soon.

About this episode

Ann Reinke, CEO of the Transportation Intermediaries Association, discusses the complexities of the logistics industry and its evolution post-pandemic. With a focus on the role of brokers in connecting shippers and carriers, she highlights challenges like driver shortages and the impact of automation and electric vehicle mandates. The conversation also touches on the importance of education in logistics and the industry's response to recent supply chain disruptions. Reinke's insights provide a fascinating look into the often-overlooked world of transportation and supply chain management.

Acura CSX BMW M5 BMW M6 Jeep Commander Renault Wind

Original notes

Buckle up for a journey through the ins and outs of the transportation world with Ann Reinke, the astute CEO of the Transportation Intermediaries Association. We navigate the twists and turns of the supply chain, especially as it zooms through the auto industry, and peek into the not-so-distant future where automated trucks could revolutionize our roads. We're tackling the big questions: Will safety and efficiency get a turbo boost? What's driving the changes behind California's zero-emission EV mandate? And why is Houston more than just a blip on the transport radar? With Ann's expert insights, we're cruising through these topics and more, including a personal tale from the heart of Houston's bustling vehicle traffic.

Shift gears with us as we explore the behind-the-scenes action of the logistics industry during the tumultuous years of 2021 and 2022. Discover how a mix of ingenuity and education is paving the way to overcome truck driver shortages and adapting to our new consumer behaviors post-pandemic.

Plus, we're throwing in a dash of Konrad's Car Clinic, complete with essential tips for keeping your car in tip-top shape during those bone-chilling winter months. And for a final twist, you won't want to miss the legal yarn that could save you from a slippery slip-up next time you're at the auto shop.

Tune in for a ride that promises equal parts enlightenment and entertainment, all wrapped in our trademark blend of humor and warmth.

Be sure to subscribe for more In Wheel Time Car Talk!

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Lupe Tortilla in Katy, Texas

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Be sure to subscribe on your favorite podcast provider for the next episode of In Wheel Time Podcast and check out our live multiplatform broadcast every Saturday, 10a - 12nCT simulcasting on Audacy, YouTube, Facebook, Twitter, Twitch and InWheelTime.com.

In Wheel Time Podcast can be heard on you mobile device from providers such as:

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In Wheel Time Podcast: Your Go-To Automotive Talk Show

In Wheel Time Podcast | Automotive talk with Don Armstrong, Michael Marrs, and Jeff Dziekan

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