Im sure that everyone on this video call will be wanting to shake hands and sit across the table and deal face to face because of the body language thing and being able to ask more questions, whereas the video is quite limiting. Don: With this decentralized approach, those P&Ls were talking about, theyre part of everyday life at Mainfreight those P&Ls go up on the cafeteria wall. Mainfreight managing director Don Braid. See guidance for chairs and directors. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future. The branch managers are the kings and queens, by the way, because thats where the moneys made the national team is just there to support the branch managers. "We need to try and paint the picture around Mainfreight here and what Mainfreight is, that to me is of more interest than whether I like rugby or cricket. Though his father was a truck driver, Timaru-born Braid can't recall being influenced by this. Kiwis know the firm largely through its blue trucks that ply our highways, but the company also utilises sea, train and air freight to transport goods around the world. Managing director Don Braid said Covid-19 fully tested Mainfreight's resilience, but it also necessitated some fundamental commitments. He has led the company in strengthening its global logistics business and ensuring an increased diversification of revenue streams across many countries, trade lanes and activities provides Copyright 2023 Institute of Directors Don: What we do is measure profit before tax at the branch level and that includes interest and depreciation. "We've been in China for 20 years. [16] In 2020, CaroTrans Chile was re-branded as Mainfreight Chile. Richard Prebble is by profession a lawyer. And analysts have been warned that they "won't get a second interview" if they make that mistake of calling Mainfreight a "trucking company". I really want to be in front of those customers! In 2008, the United States locations were re-branded as Mainfreight USA. I guess whats annoying is that we have got to wait for an election year to get this kind of stuff. Don has over 40 years experience in the freight industry, including 26 with Mainfreight. It is totally how I believe a company should be and I love how everyone starts at the bottom. He is unquestionably our Deloitte/Management magazine Top 200 Executive of the Year. While many companies have been battening down the hatches this year, Mainfreight has been on the acquisition trail - purchasing a Netherlands-based freight business which operates in Belgium, France, Romania and Poland and Russia. Mainfreight people, he says, don't "live in question marks". "Don gave this glowing account of [Daily Freightways] and I kept looking at him and thinking 'what a lot of bullshit'," Plested says. Experts say community investment is the future. I think with a driverless truck, well lose that ability of interaction with the customer on pickup or on delivery. [11], Since 2011, Mainfreight, under the Wim Bosman name, have opened new branches in Bergen op Zoom in The Netherlands, Cluj-Napoca in Romania, Frankfurt and Gelsenkirchen in Germany, London in United Kingdom, and Pozna/Lubo in Poland. Youve got to think about that as small groups of people looking after our customers and each group is important in their own right and theyll have their own little traits. Theyll have the Mainfreight culture, but itll have a little twist for example, the culture in Shanghai is different to the culture in Newark or the Netherlands or Sydney. enter your email and well send you details. Boards have a key role to play in the wake of any crisis. So it looks like Mainfreight compensates Don Braid in line with the median for the industry. Its a huge level of success and theres satisfaction you get from that. The firm has earned a reputation within the market for being slickly-run. Some of the leading players in the listed retirement sector have been raising capital. A table of ten booking is available for $1000.00, subject to availability at the time of booking. "I think I've always enjoyed business, from an early age, so to be involved like I am today has been great. Don has led the Mainfreight team through a significant period of change and expansion to become the successful global supply chain logistics provider it is today, operating in 26 countries around the world, with $3+ billion in sales revenue, and he leads a team of 9,240 passionate Mainfreight people all around the world. Prior to joining Air New Zealand, he held range of senior management positions both within New Zealand and overseas, including roles with the National Australia Bank, Bank of New Zealand, Telecom NZ and ITV Group in the UK. He's got plenty of charm if he wants to have it and his leadership skills just stand out - people want to stand next to him.". Braid said Mainfreight was on track to push close to the $2 billion sales mark by March next year. Braid goes to great lengths to stress that the company's success is the result of the efforts of its entire, 5167-member "team" around the world. | So weve got eight and a half thousand people and 282 locations. You may withdraw your consent at any time. Braid says the company strives to be de-centralised through giving responsibility to all individuals in the business and letting them make decisions. And sometimes, particularly so in New Zealand, they see the market ultimately being as quite small, when in fact their product or service is good enough to take to the world. His visits to our local and overseas operations guide our teams to be sales-focused and always aiming for operational excellence. So I think cashflow is king and Id be focused on that. Theres a video of it happening and what was really exciting was once the clock came off the wall, you could hear the laughter and the clapping and the voices of approval from those who were watching. I dont see this as a job, so therefore the stress levels arent as strong. Biography Zac: As the leader of Mainfreight, what do you personally focus on to get the team going in the right direction? Rob Fyfe It's interesting to note that Mainfreight allocates a smaller portion of compensation to salary in comparison to the broader industry. They couldnt believe we trusted them to turn up when we needed them to turn up and leave when we needed them to leave. He brings strong financial skills and business acumen to the role. JUDGES COMMENTS Shareholders would be glad to know that the company has improved itself over the last few years. If our team on the dock is seeing poor decision-making thats eroding profitability, they will suffer because they share that profit so there comes internal pressure just as much from them as there is from us, looking at how the business is progressing. In 2003 Mainfreight bought Owens Group, one of New Zealand's largest trucking firms. "There's no bureaucracy or hierarchy or superiority in the business. Then we got some momentum and we saw some of the other regions doing better than what we thought so we felt better about it. FINALIST We will probably go back to normal but be ready to adapt, be flexible and look after your people theyll bring the answers to the table for you on what your business will look like in the future. Likewise, his strongly-held beliefs relating to the importance of education and of recycling/ sustainability, continue to positively shape the Companys behaviours. Between 1994 and 1997 Mainfreight started acquiring former competitors, such as, Daily Freightways and Chem Couriers in 1994, a 75% shareholding in Lep New Zealand in 1996, and Combined Haulage and Senco Haulage in 1997. Musk Made a Mess at Twitter. [2] In 1979, Bruce Plested partnered with Neil Graham, with Graham based in Christchurch and Plested in Auckland. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. As we noted earlier, Mainfreight pays its CEO in line with similar-sized companies belonging to the same industry. PO Box 65092, Mairangi Bay, Auckland, New Zealand, Top 200 : Deloitte/Management magazine Executive of the Year Don Braid Clear Vision. Don: Im not sure its stress. So the idea was to make sure that our people were right, that our systems were ok, what customers could trade, and how we could help those customers as an essential service. Our data indicates that Mainfreight Limited is worth NZ$4.0b, and total annual CEO compensation was reported as. Its revenue is up 5.9% over the last year. How Does Don Braid's Compensation Compare With Similar Sized Companies? [4] This operation was expanded with depots in Melbourne and Brisbane. I give them the ability and the responsibility to deliver, and I give them great support and lots of guidance. Managing director Don Braid said the result was pleasing, particularly in light of supply chain congestion and ongoing lockdown disruptions in most of Mainfreight's markets. Don: It should be where your skills are. After leaving Timaru Boys' High School Braid joined the New Zealand Shipping Corporation as a clerk in 1976. Group managing director Don Braid said it was a significant result for the Mainfreight family, achieved during a tumultuous time in the worlds history and with success in every one of the five regions the company operated. In the leadup to the 2017 election, Braid said the country needed to be run by visionaries rather than a couple of accountants and he took aim at Nationals pledge to spend an extra $2.6b on Auckland transport. He owns a 3 per cent stake in the firm, worth about $29 million. Whats changed? When it comes to capable, motivational and effective leadership Sam Knowles delivers with interest. Mainfreight's net profit rose by $40.1m to $188.1m. For more information, please visit our cookie statement. That was uppermost in our mind. For us its about pushing the decision-making as close to the customer as possible, getting those people to make decisions rather than pushing them upstairs for someone else to make. Braid, who joined Mainfreight through its purchase of Daily Freightways, says the company hasn't let the last few years of economic upheaval dull its ambitions. Weve got examples of that in our business right now. COVID-19 has had a significant impact on freight and supply chains worldwide. Your Saturday Briefing: Trumps Comeback Plan, Wall Street Whistles Away, Londons Investment Appeal Is Unraveling as Arm Heads to the US, British Parents Turn to Home Equity to Help Young Buy Property, Japanese Unions Seek Biggest Pay Rise in 25 Years for Workers, Sorry, Fed, Most US Mortgage Rates Were Locked In During Pandemic Lows, Panic Over Metals for EVs Goes All the Way to Automakers C-Suites, Ex-Goldman Banker Ordered to Forfeit $43.7 Million Over 1MDB Bribery Fraud, Twitter Revenue, Earnings Fell About 40% in December, WSJ Says, John Malone andCharter Directors Agree to $87.5 Million Settlement, China E-Commerce Giant JD Set for $1.4 Billion Discount Spree, Between Rounds of Golf, Trumps Searching for the Perfect DeSantis Diss, Your Saturday UK Briefing: Sunak Chalks Up a Win as the Budget Looms, Harrods Shrugs Off Recession Fears as Rich Get Richer, FT Says, Wealthy NYC Family Feuds Over $258 Million Madison Avenue Sale, Tom Sizemore, 'Saving Private Ryan' Actor, Dies at 61, The Exhibit Reality TV Show PittingArtist Against ArtistIs No Masterpiece. Braid said Mainfreight was on track to push close to the $2 billion sales mark by March next year. Mainfreight will pay a discretionary bonus of $43.9 million, up 61% from last year's bonus of $27.3m, after a record result to March which saw net profit up by $40.1m to $188.1m. He knows where the company is going and, more importantly, how it will get there. Photo / Supplied . Revenues were up $448.4m to $3.5 billion, a 14.5% increase on the prior year, with 76% of that now generated outside New Zealand. Learn more. I dont believe that. In this episode, Bronson explains how the lessons he learned in the kitchen translated to the booth, the reason money can never be the motivation for creating art, and why he believes that imperfections are the best part of any masterpiece. And I suppose the key thing that we had in our mind was how are we going to run this business to survive and not make anybody redundant. Zac: Whats a bit of business advice you can share? Zac: Can you share what some of the great ideas youve actually brought from overseas have been? And thats that. It has been listed on the New Zealand Exchange since 1996. If you'd invested $20,000 in Mainfreight 20 years ago and reinvested your dividends, your investment would now be worth $1.3 million. The CEO of Mainfreight Limited (NZSE:MFT) is Don Braid, and this article examines the executive's compensation against the backdrop of overall company performance. The company is on track to go close to the $2 billion mark in its current financial year, Braid says, having already posted an almost $900 million revenue for the six months to September. Our subscriptions start at $24 / month for individuals. In the decade Braid has spent at its helm, the company has become a global logistics player with operations on every populated continent apart from Africa. Don has over 40 years' experience in the freight industry, including 26 with Mainfreight. They established agencies in the early days with Australian, Pacific Island and United States freight forwarders and the established agents in most major trading partner countries of New Zealand. [8], Headquartered in 's-Heerenberg, The Netherlands, Wim Bosman is privately held and operates more than 1,000 transport units, manage more than 275,000m2 of cross-docking facilities and warehouse area, and employ roughly 1,414 staff within 14 branches located in The Netherlands, Belgium, France, Romania, Poland, and Russia. Mainfreight was founded on 6 March 1978 by Bruce Plested who started the company with just $ 7,200 and a 1969 Bedford truck. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Copyright 2023 | Business Changing Ltd. | Website by Casual Fridays. Your email address will not be published. Mainfreight shareholders would be similarly pleased. The worst thing we could do is slow them down with bureaucracy, making them tick a lot of boxes. Biography Don Braid, Group Managing Director of Mainfreight Limited, was educated at Timaru Boys' High School and has over 30 years' experience in freight forwarding and logistics both New Zealand and internationally.. So it looks like Mainfreight compensates Don Braid in line with the median for the industry. This endeavor launched the first permanent investment into South America. Chief executive, Kiwibank Media enquiries This is vitally important for all business to remain financially viable and it is where more than often we see business failures and especially in the Building Construction Industries which I was involved in. Don Braid is a Group Managing Director at Mainfreight NZ based in Mangere, . In 2006 the New Zealand Mainfreight International and Owens International businesses were also merged to make Mainfreight Owens International Ltd (now Mainfreight International). Don Braid. What are their requirements? Other Current Directorships: So it doesnt matter whether youre loading freight, taking customer service calls, out making sales calls, or an operations transport manager, you understand those disciplines early on in the piece. By the way, its not just about us seeing those numbers. Formerly Halford Young, Halford is a private logistics company and freight forwarder with operations and networks in Australia and New Zealand, Japan, Germany, throughout Asia and the United States.[6]. We were lucky enough to have a really incredible chat with Mainfreight CEO Don Braid about what he has learnt as the CEO of Mainfreight. While there was someone in the drivers seat, the computer took over the vehicle. Fyfe joined Air New Zealand at the start of 2003 as chief information officer, before becoming group general manager airlines from October 2003 until his appointment as CEO in October 2005. Mainfreight will pay a discretionary bonus of $43.9 million, up 61% from last year's bonus of $27.3m, after a record result to March which saw net profit up by $40.1m to $188.1m. [17], "Shareholding Information - Mainfreight Limited", "Mainfreight co-founder Neil Graham dies", "Road transport regulation a controversial measure to protect railways", "Mainfreight announces agreement to acquire Halford International", "Mainfreight breaks into Europe with $227m acquisition", "Mainfreight sues for $18m after shock client loss", "Mainfreight gets $14m payout - drops Euro claim", "The Wim Bosman Group becomes Mainfreight", "Mainfreight sells Pan Orient Project Logistics and its 75% shareholding in LEP (New Zealand and Australia) for over A$83 million", "Mainfreight Limited (Mainfreight) completes sale of Pan Orient Project Logistics", "Target Logistics, Inc. Agrees to be Acquired by Mainfreight Limited", https://en.wikipedia.org/w/index.php?title=Mainfreight&oldid=1136159997, Daily Freight (NZ), Carotrans (Worldwide), Owens (AU/NZ), ChemCouriers (AU/NZ) Mainfreight Europe (EU), This page was last edited on 29 January 2023, at 01:07. Mainfreights newest regions, Asia, Europe and The Americas (spanning from Canada to South America), are expected to grow exponentially as the world trade shifts towards other developing countries. Don Braid. This Supreme Court Case Could Redefine Crime, YellowstoneBackers Wanted to Cash OutThen the Streaming Bubble Burst, How Countries Leading on Early Years of Child Care Get It Right, Female Execs Are Exhausted, Frustrated and Heading for the Exits, No Major Offer Expected on Childcare in UK Budget, Biden Gives Medal of Honor to Trailblazing Special Forces Member, Climate Change Is Launching a MutantSeed Space Race, UK Braces for Rare Weather Event That Risks Late-Winter Freeze, What Do You Want to See in a Covid Memorial? And then it was a matter of communication and staying in touch, making sure everyone was okay, making sure any questions were answered. His father was a truck driver, but he says that didn't influence his career decisions. "That gives us an enormous amount of opportunity.". We continue to be optimistic and we are bloody proud of our people who have delivered this record result.. Concerned about the content? In addition, we use tracking cookies, which can collect information about you and follow your internet activity within our website, and possibly outside our website as well. Offices are outlawed, even for Braid, whose desk is situated in the corner of a large, open-plan room occupied by the company's national team. Where should we open next? The multinational logistics and transport group announced a year end dividend of 45 cents a share, taking the full dividend for the year to 75c, up 27% on the prior year. What do those customers look for from us? Zac: What is the Mainfreight way when it comes to culture? Im not sure well see driverless trucks in NZ for some time to come. We've identified 1 warning sign for Mainfreight that investors should be aware of in a dynamic business environment. Like most Kiwi business leaders, Braid is self-effacing and doesn't fancy talking to journalists about his life outside the company. Dogged determination, drive and eternal optimism - they're all qualities Don Braid exudes. Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world. Appointment to Board 2000 - With Mainfreight since 1994. Insight and analysis of top stories from our award winning magazine "Bloomberg Businessweek". Her knowledge of high-tech companies is a welcome addition to the Boards capabilities, as is her familiarity with the complexities of acquisitions, and steering companies through growth and change. It only represents a small part of our revenue, but . Use of the word "staff" is banned within the company - one of a range of idiosyncrasies particular to the logistics firm. Indonesia ups trade potential with focus on corporate governance, NZ business needs to invest more in reputation, NZ corporates taking a lead in health & safety. We aim to bring you long-term focused analysis driven by fundamental data. [2] In 1979, Bruce Plested partnered with Neil Graham, with Graham based in Christchurch and Plested in Auckland. Youve got to break it down. In that respect, NZ was the worst effected with weekly revenues during April 2020 down by about 40% on average levels. You know, people arrive when they arrive and they leave when they leave. If you trust your people, look after them and give them responsibility, theyll deliver. Those are the real world indicators of whether youve got morale correct or not or whether youve got some issues going on you need to address. Save my name, email, and website in this browser for the next time I comment. Check out our latest analysis for Mainfreight. Moreover, Don Braid also holds NZ$171m worth of Mainfreight stock directly under their own name, which reveals to us that they have a significant personal stake in the company. Don Braid, Group Managing Director of Mainfreight Limited, was educated at Timaru Boys' High School and has over 43 years' experience in freight forwarding and logistics both New Zealand and internationally. His intellect and pragmatic approach is highly regarded at the Board table. I think our owner drivers are a key component of the relationship with the customer. In 1994 Mainfreight purchased the business, and Don went on to hold various senior management roles at Mainfreight prior to his appointment as Managing Director in 2000. And then its about exploring the long game. But, he said the first seven weeks of trading in the current year has been at similar levels to the past six months. Theres no bullshit in the numbers, they are what the business has earned. Zac: Don, your 100-year vision how does that work? Zac: Im keen to understand what do you think are common reasons why many businesses fail to reach their maximum potential? Don: Um, I think its recognising good people. Its important to be as flexible as we can to bring an offering that the customer requires during a really tough time. With well-established locations that include China, Hong Kong, Taiwan, Malaysia, Thailand, Vietnam, Singapore, Japan and Korea, the Mainfreight global network continues to expand year over year. Don: I think its quite a long way off. Other finalists were: Briscoe Group managing director Rod Duke, NZX chief executive Mark Weldon, ex-Fonterra chief executive Andrew Ferrier, Xero founder Rod Drury, LanzaTech chief executive Jennifer Holmgren, Ngai Tahu Holdings Corp chief executive Greg Campbell, TZ1 founding chief executive and former Microsoft New Zealand chief executive Helen Robinson, Farmers/Whitcoulls owners David and Anne Norman and Ryman Healthcare chief executive Simon Challies. Net capex totaled $155m for the period, of which land and buildings accounted for $111.7m, plant and equipment $26.6m and IT at $16.7m. "I probably wasn't qualified enough to go to university," Braid says. And if you surround yourself with really good people, the stress is actually spread across everybody and you dont wear it all on your own shoulders. 2023: A year of trepidation unless you take control, Talking to 2022 Westpac Supreme Business Winner, Juliette Hogan, How Fix & Fogg are winning the hearts of Americans. Regrettably, registration fees cannot be refunded when cancellations are received within two working days prior to any branch event. The firm's shares have been one of the best performing stocks on the NZX, returning more than. As a Kiwi living in England and studying management currently, I have really enjoyed reading this interview. Chief executive, Air New Zealand Mainfreight will release its financial results for the full 2022 financial year on 26 May 2022. So you need to make sure youve got succession planning to be able to work on the dream that youre creating. In light of current trends, we will provide a nine-month trading update mid-February 2022. By becoming a supporter, you'll be helping us expand our independent journalism for the business community. So youre not only giving them a responsibility for the P&L, but youre also giving them the responsibility of whos going to join our family. Mainfreight is publicly listed on the NZ Stock Exchange with a market capitalisation of $8+ billion. How do I gain more customers? I think the only measure of whether weve got the culture right will be seen in the numbers and in the customer service. He points out that 172 million people live within a 350 km radius of Wim Bosman's headquarters in's-Heerenberg, on the Dutch-German border. In April 2007, Mainfreight announced its intentions to sell its Pan Orient Project Logistics business and its 75% interest in Lep Australia and New Zealand to global logistics company Agility Group for A$83 million. Us taking away that clock was about responsibility and about taking away that control from head office. The firm's shares have been one of the best performing stocks on the NZX, returning more than 20 per cent in the year to date. Whats interesting when you go into a pandemic or an event like this is what the balance sheet looks like. Its the individuals responsibility to arrive on time and stay until the jobs finished. Moreover, Don Braid also holds NZ$171m worth of Mainfreight stock directly under their own. What are the things you do that maybe others dont do that actually make you lead this organization? So everything that we do is about being here for a long time. Please note that with cookies disabled you will have a degraded experience with some features. Zac: Lets talk more about those weekly P&Ls. Nothing drives home the state of our roads like a trip on a bike. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size. +64 27 403 0148+64 9 905 4804Jill.Steffert@iod.org.nz, The Auckland Branch acknowledges the generous support of. We tackle critical leadership, management and economic issues as well as profiling successful local and global leaders. Weve sort of tucked on the back of some trials in Europe and in the States where they were running in threes and fours behind each other, all connected by a computer. Don: The recruitment of our people sits with the branch managers. Email. I just have a belief and determination that weve got a pretty good business here. Don Braid's Phone Number and Email Last Update. "You can imagine what they need to eat, drink and use," says Braid in the boardroom of Mainfreight's building in Otahuhu. So the weekly P&L puts them on the spot. Braid has been a beneficiary of the meteoric rise in Mainfreight's share price. The Mainfreight board is intent on doubling revenue to $2 billion by 2015, mostly from international earnings, and Mr Braid envisages at least 500 branches before too long. National's three waters policy is only cosmetically distinct from Labour's. That includes a new facility for Owens Transport in Penrose, Auckland and additional land in Nelson, Hastings, Cambridge and Wellington. As Chairman and Founder, Bruce shares his vision for the Company with the Mainfreight team, bringing a particular focus to quality and our culture. The company posted record earnings and revenue for its last full year and has continued to break records this financial year. Since the acquisition of the Wim Bosman Group the eurozone has spiralled to the brink of economic disaster, but 52-year-old Braid says doing business on the debt-ravaged continent is nothing other than an "exciting" prospect.