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XPO | XPO Logistics Announces Second Quarter 2016 Results

GO40 said:
Your o.r was great but don't expect that quarter after quarter. He cut a lot of fat away this time around, you can only cut so much....
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Why can't it continue? Trimming fat and controlling spending seems like a pretty simple formula for success.

highspeeds said:
This ship won't sink. But it will get sold. It's what he does. If that bothers you. Okay, then.
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Maybe, maybe not. The biggest issue with selling it, is finding a buyer.
 
other company has ever thought of that
whip1 said:
success
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Yes it seems pretty simple, can't understand why no other trucking company's ever thought of it. After the trimming of management is complete what is the next biggest expense to a trucking company? From what I've been told over the years it's line haul, that may be his next target. In another post you mentioned greater buying power I heard those exact same words several years ago by a guy named William Zollars....
 
With XPO trimming the management "fat", those remaining should have gotten at least a small pay increase to keep their attitudes more positive, since they can influence a lot of other people's attitudes. But I doubt that has happened. Sinking morale will sink a ship when enough people stop rowing.

With the current success of OD and their successful business model being on full display, I think that XPO laying off more dock workers and forcing drivers to work the dock even more is a huge mistake.
But that's just my opinion.
 
Northern Flash said:
With XPO trimming the management "fat", those remaining should have gotten at least a small pay increase to keep their attitudes more positive, since they can influence a lot of other people's attitudes. But I doubt that has happened. Sinking morale will sink a ship when enough people stop rowing.

With the current success of OD and their successful business model being on full display, I think that XPO laying off more dock workers and forcing drivers to work the dock even more is a huge mistake.
But that's just my opinion.
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Good point....
 
GO40 said:
Yes it seems pretty simple, can't understand why no other trucking company's ever thought of it.
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It is pretty simple, but so few companies do it. Why is that? You also never answered my question about why being profitable can't continue.
 
Northern Flash said:
With XPO trimming the management "fat", those remaining should have gotten at least a small pay increase to keep their attitudes more positive, since they can influence a lot of other people's attitudes. But I doubt that has happened. Sinking morale will sink a ship when enough people stop rowing.

With the current success of OD and their successful business model being on full display, I think that XPO laying off more dock workers and forcing drivers to work the dock even more is a huge mistake.
But that's just my opinion.
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Most of the fat is duplicity. XPO had their own logistics, cross border services and technology in place that's light years ahead of what Conway had. Head office has been reduced to almost one floor. The layoffs were market driven. With elogs in the states, he knows he needs the drivers. I have suggested over and over we need a dedicated dock force. Drivers have always worked the dock, and will continue to do so. Dock workers give us the ability to shave time off our night. He's running it tight, no doubt.
 
GO40 said:
other company has ever thought of that

Yes it seems pretty simple, can't understand why no other trucking company's ever thought of it. After the trimming of management is complete what is the next biggest expense to a trucking company? From what I've been told over the years it's line haul, that may be his next target. In another post you mentioned greater buying power I heard those exact same words several years ago by a guy named William Zollars....
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Line haul is any companies largest expense. Conway went half ass at trying to minimize empty miles. I have an idea of where he's going, but I'll keep my opinion to myself at this point.
 
whip1 said:
It is pretty simple, but so few companies do it. Why is that? You also never answered my question about why being profitable can't continue.
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I did answer it in another post, you cant keep shrinking your way to profitability. Only so many you can get rid of, it's a balancing act to get it to be efficient with out hurting service....
 
Northern Flash said:
With XPO trimming the management "fat", those remaining should have gotten at least a small pay increase to keep their attitudes more positive, since they can influence a lot of other people's attitudes. But I doubt that has happened. Sinking morale will sink a ship when enough people stop rowing.

With the current success of OD and their successful business model being on full display, I think that XPO laying off more dock workers and forcing drivers to work the dock even more is a huge mistake.
But that's just my opinion.
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I would prefer more dock-time for Drivers, City and Line-haul...
 
upnorth said:
Line haul is any companies largest expense. Conway went half ass at trying to minimize empty miles. I have an idea of where he's going, but I'll keep my opinion to myself at this point.
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UPNORTH,. Shoot me an I M message. Concerning your theory on this. Nothing will surprise me\ out of the loop down here
 
radman said:
I look great in Brown socks.
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Why would UPS spend $15 billion to buy this ? XPO does the same thing as UPS ? What would be the motivation ? And why would you want that ? As a driver you would become useless. UPS already has several terminals in every city we operate. As LTL drivers that would be terrible.
 
whip1 said:
Why can't it continue? Trimming fat and controlling spending seems like a pretty simple formula for success.


Maybe, maybe not. The biggest issue with selling it, is finding a buyer.
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We think is American terms because we are Americans. Most likely the buyer for something like this would be from Europe or Russia or China. Some ::shit:: we ain't never heard of and can't pronounce. Just like XPO. Who knew what a XPO was until we found out they bought us ?

And with so much fat everywhere. My God. He can continue to cut and stream line for years. Con-way spent 30 years developing some of the most backwards, repetitive, useless and time consuming methods for doing anything and everything. I hope he molds the LTL into an OD clone. That would be fantastic.

Want an example ? Make a mover pro. Miss-loaded freight ends up somewhere it's not supposed to be. And you want to send it where it needs to go. Try following through on that and end up dealing with an hour or more worth of headaches. Which just leads to next time shoving it on a trailer heading whatever direction to get rid of it. And that at least gets it towards where it's going. But does it really have to be that hard ?

They have literally come up with methods to make every single thing that we do much much harder than it ever needed to be.

What's the SWI on opening a trailer take ? 20 minutes ? Pre-trip the outside. Check the chalk. Pre-trip the inside. Set the plate. Then you are ready to set it up in the scanner. Get that done and now you can actually start loading. Which after all that, you will have plenty of freight. Your dock is stacked to the ceiling and your freight is ten doors down mixed in with some other lane.


Anyone that refutes the idea that trimming fat and controlling cost can not continue here for years is ignorant on the subject and has never spent a shift on our docks.
 
Northern Flash said:
With XPO trimming the management "fat", those remaining should have gotten at least a small pay increase to keep their attitudes more positive, since they can influence a lot of other people's attitudes. But I doubt that has happened. Sinking morale will sink a ship when enough people stop rowing.

With the current success of OD and their successful business model being on full display, I think that XPO laying off more dock workers and forcing drivers to work the dock even more is a huge mistake.
But that's just my opinion.
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They gave us a raise this year. It did happen. It didn't change attitudes.

They are in a weird spot. They want to hold onto as many drivers as possible and have to keep them working to do that. They believe that changing conditions within the industry will lead to a massive shortage of CDL holders. Once you get to that point, it's much easier to hire as much dock help as needed. Far easier than attracting wheel talent.

In the mean time. Many people will quit and retire or get fired. And head count will naturally go down. Which at the moment freight is down. So it's whatever. A lot of FOS and FOM quitting too. A big gripe is that there is no longer assistance for moving. And the best way to get promoted is to move into and opening elsewhere. Getting bought and going through all the changes associated is not easy.

The attitudes and morale issues are reflective of the situation. Not the compensation. People then leave for similar compensation in a much more favorable situation.
 
upnorth said:
Most of the fat is duplicity. XPO had their own logistics, cross border services and technology in place that's light years ahead of what Conway had. Head office has been reduced to almost one floor. The layoffs were market driven. With elogs in the states, he knows he needs the drivers. I have suggested over and over we need a dedicated dock force. Drivers have always worked the dock, and will continue to do so. Dock workers give us the ability to shave time off our night. He's running it tight, no doubt.
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Also the economy is in a lull right now. As market conditions improve our work force will reflect positive trends.

First wave. The accounting nightmare that is an acquisition like this should be wrapping up shortly. After that. You might expect some more consolidation and/or elimination of duplication at the top. As the old Con-way merges into XPO with the rest of all the several companies XPO has bought that are doing the exact same thing. Instead of several small pyramids of hierarchy there will eventually be one stable and direct corporate structure for the whole of XPO.
 
upnorth said:
Line haul is any companies largest expense. Conway went half ass at trying to minimize empty miles. I have an idea of where he's going, but I'll keep my opinion to myself at this point.
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I am guessing you don't want to get the " sky is falling " label. It's obvious. Eliminate empty miles with purchase. Strengthen your lanes. Increase your tonnage and you won't need the purchase any more. But that's all down the road a bit. One step at a time. This guy is going to make his money. He ain't lied about that, yet. He can make some money.
 
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