Then we just sat back and allowed the de-centralized process to take over and allowed people to take responsibility to get their businesses sorted and in line. Component 2020 New Zealand Shareholders' Association corporate liaison Des Hunt says Braid is one of the most effective listed company bosses in this country. We note that the salary portion, which stands at NZ$2.20m constitutes the majority of total compensation received by the CEO. He is fiercely proud of the Mainfreight culture seeing this as a key reason customers choose Mainfreight over the competition. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. Of course, you might find a fantastic investment by looking at a different set of stocks. Theres no bullshit in the numbers, they are what the business has earned. Don has over 40 years' experience in the freight industry, including 26 with Mainfreight. I feed off that and suppose the people in our business like seeing that and see it as an example and follow. He is highly respected and success-driven executive who has made Kiwibank fly when many thought it would struggle to get off the ground. You cant see yourself as an employer of 8500 people. Some people dont want any more responsibility they find their own ceiling and thats fine. I think weve done 17 to date since Covid and weve got another six or eight for the next two weeks just for New Zealand and theyve adapted. Weve made this article available for free. Agreement with print tech giant Canon saves college thousands. Thanks Mr Braid for sharing your knowledge and insight. But they had different regulations for different countries: it was a metre between the two trucks, it was a metre and half in Belgium, and it was two meters in France. I dont believe that. Who wouldnt want exposure to the retirement sector? Early on, New Zealand had great lessons to take to the rest of our network. Im not sure well see driverless trucks in NZ for some time to come. The key for me is to be in the business as much as possible, to be visible. They couldnt believe we trusted them to turn up when we needed them to turn up and leave when we needed them to leave. This information will be used to measure the effectiveness of our advertising from various channels and to offer you personalised ads. For more information, please visit our cookie statement. If you trust your people, look after them and give them responsibility, theyll deliver. The firm's Australian domestic freight and logistics division, Mainfreight Distribution, began operations in 1989, with an operation in Sydney. He attributed the. I'm pleased I didn't do anything else.". 5 November 2019 - Mainfreight's Don Braid has reinforced his reputation as one of New Zealand's most successful executives, being named Executive of the Decade at the 2019 Deloitte Top 200 Awards in Auckland tonight (5 December 2019).Mainfreight was also named Company of the Year, sponsored by Deloitte Digital and Marsh. Is our service or a product still current? Our thoughts are with our members and their organisations impacted by Cyclone Gabrielle. Out of that, I think weve got the culture really starting to develop. Mainfreight shareholders would be similarly pleased. Appointment to Board 2000 - With Mainfreight since 1994. But the excitement is justified. Simon has a long association with Mainfreight having served as the Companys main adviser for acquisitions, debt structure and other matters since 2003 (through Grant Samuel & Associates), prior to joining the Mainfreight Board. But, he said, the groups response at the outset of the pandemic had been unequivocal. We dont call them staff for us, they are our people or our team. Don Braid. Don: I think empathy is really important. With the takeover of the Owens Group in 2003 they purchased Owens International Australia. 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. You can follow him on Twitter, New tourism plan sidesteps immigration elephant, Mortgage arrears up as rates start to bite, Investors queue up ahead of Du Val liquidity events, Affordable housing levy sparks fear and loathing in Queenstown. Mainfreight's straight-talking group managing director has an infectious zest for business. Involved in the founding of Kiwibank before taking the top job, Knowles embraces challenge and thrives on delivering top results. Don: I get out of the way. Plested says that within a few months of the firm's acquisition of Daily Freightways, which became Daily Freight under Mainfreight ownership, he came to recognise Braid's strengths. What else do we need to do to satisfy that bunch of customers? He has also lent his considerable support to not-for-profit organisations such as the Starship Foundation. Please note that with cookies disabled you will have a degraded experience with some features. 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. See the full transcript below. Getting decisions made as close to the customer as possible is probably our secret and giving that responsibility to those in the branches. The opportunities offshore and the populations that exist in some of those other countries are large; you only have to get something half right in some of those countries and youre growing a big business compared to what you have here in New Zealand. Youve got to have good outlets. "[8], In June 2013, Mainfreight launched a lawsuit seeking 11 million or $18 million against Wim Bosman Group's former owners. We would meet with them once a week and theyd share what theyd discovered and what they hadnt discovered and wed give them some guidance but then get out of their way and let them get on with the job. So we have these 282 locations across 20 countries how do we get them each operating at their peak, every day? That's ambitious, even . He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up that 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 NewZealand and internationally. Pot vote has Oklahoma hungry to rake in green from Texas, How Ron DeSantis misreads Corporate America, Tesla recalls 3,470 Model Y vehicles over loose bolts, 3 big things in investing you might have missed this week, UPDATE 1-North Korea says US causing international arms control collapse. 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. Any enquiries, or to book a table, please emailNatalie Spratt, Auckland Branch Coordinator. They know that now and can alter those decisions as they head into the week in front of them. Those people become good leaders early in the piece they might be only leading a couple of people by the time they make branch manager status but they understand the roles of leadership within Mainfreight. Privacy policy Get in touch with us directly. The Australian business reported a 46.6% jump in profit before tax to A$71.5m for the year, on the back of regional expansion of the groups transport business. Early in the piece at Mainfreight, leaders are given responsibility, so the ability to take responsibility and to make decisions is pretty important. And thats why we travel a lot when you visit, you can smell the morale in an instant. Don Braid Don: The recruitment of our people sits with the branch managers. And analysts have been warned that they "won't get a second interview" if they make that mistake of calling Mainfreight a "trucking company". On examining similar-sized companies in the industry with market capitalizations between NZ$2.9b and NZ$9.4b, we discovered that the median CEO total compensation of that group was NZ$3.7m. In 2008, the United States locations were re-branded as Mainfreight USA. The company is growing EPS and total shareholder returns have been pleasing. 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. FINALIST I suppose were grooming people all the time for those loaded leadership roles. "That gives us an enormous amount of opportunity.". document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Copyright 2023 | Business Changing Ltd. | Website by Casual Fridays. Check out our latest analysis for Mainfreight. 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As we noted earlier, Mainfreight pays its CEO in line with similar-sized companies belonging to the same industry. Mainfreight's net profit rose by $40.1m to $188.1m. With Don Braid at the wheel, Mainfreight is in safe and skilful hands. We use functional and analytical cookies on our website to offer an optimal user experience. 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. Weekly operational reports are posted on the wall of the company cafeteria in Otahuhu, where all team members, including Braid, eat at a single, long table. 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. Not bad for a Kiwi trucking company! Thats the key. Don: Its been interesting! Subscribe to protect quality NZ journalism. As weve matured and grown around the rest of network, were now learning things that we can bring back to New Zealand. "You can imagine what they need to eat, drink and use," says Braid in the boardroom of Mainfreight's building in Otahuhu. Sam Knowles "It's not about what I've done - it's about what we've done and what the business has done," he says. For further information, please contact Don Braid, Group Managing Director, telephone +64 9 259 5503, +64 274 961 637 or email don@mainfreight.com. 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. Like most Kiwi business leaders, Braid is self-effacing and doesn't fancy talking to journalists about his life outside the company. It has been listed on the New Zealand Exchange since 1996. [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. I might get a little bit wound up about stuff, a bit passionate about things, but I think you cant get so involved that you think about nothing else. 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. Zac: Don, what makes you good? I guess whats annoying is that we have got to wait for an election year to get this kind of stuff. Zac: Don, your 100-year vision how does that work? How do you maintain a positive culture and a time of crisis? So take a peek at this free list of interesting companies. Not living as a question mark but instead getting on with it and making those decisions. Insurers support an immediate managed retreat for recent flood victims. Don Braid (Mainfreight) Credit: Mainfreight . 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. The company also noted Brexit issues between the UK and Europe remained a cause of frustration, particularly since January, resulting in considerable delays to freight on the back of more complicated customs formalities. Your email address will not be published. Under his guidance, the freight and logistics company has grown and expanded to now run operations in New Zealand, Australia, Asia and the United States. 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. Don: I think its quite a long way off. Managing director Don Braid said Covid-19 fully tested Mainfreight's resilience, but it also necessitated some fundamental commitments. Zac: Im keen to understand what do you think are common reasons why many businesses fail to reach their maximum potential? Our data indicates that Mainfreight Limited has a market capitalization of NZ$6.0b, and total annual CEO compensation was reported as NZ$3.0m for the year to March 2020. In May 2011, Mainfreight established a CaroTrans branch in Santiago, Chile. [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. Look after our people, look after our customers, guard our cash, and embrace the opportunities that may arise.. Don: The culture is really important and our culture starts with those closest to the customer. What we put in place here in New Zealand became the blueprint for the organization around the world. Investment has to come year on year it cant just come as a bribe at election time., Embracing the company motto that Good enough is never enough, Braid is focused on fulfilling a vision to make Mainfreight a 100-year company. Don Braid. So what you produce in terms of profitability is real. Its great fun. As a Government Minister, Richard was responsible for creating SOEs, deregulating telecommunications and broadcasting, reforming ports, airports, railways and aviation. This endeavor launched the first permanent investment into South America. His father was a truck driver, but he says that didn't influence his career decisions. Having started out with two employees and one truck in 1978, the company now employs more than 7500 people in 22 countries and generated a net profit of $103m in the 2017 financial year on operating revenue of $2.33 billion. [7] This takeover was in response to the purchase of Tranz Rail by Australian transport firm Toll Holdings. Regionally, the NZ business saw an increase of 11.5% in profit before tax to $97.8m, though supply chain capacity into and from NZ remains congested, and the company is frustrated with international shipping lines". Previously, Don was a Political Columnist at Calgary Herald. Don: It should be where your skills are. 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. In November 2014, Mainfreight acquired a regional air and sea freight company located in Dunedin. d***@mainfreight.com. 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. 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. Forsyth Barr analyst Rob Mercer said the market had confidence in Mainfreight after it managed to grow revenue and market share and outperform its peers during the global financial crisis. Its having empathy and I think Im patient, determined, have belief and energy. 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.. Group Managing Director at Mainfreight NZ . You need to have been there 12 months to earn the full bonus that everybody else gets. And what do you believe leaders need to excel at? Chief executive, Air New Zealand This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company. [16] In 2020, CaroTrans Chile was re-branded as Mainfreight Chile. 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. Biography The reality is, this leadership team in New Zealand has been through the earthquakes and the GFC and now the pandemic. 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. Its even more exciting doing that in offshore markets with a really big customer where youre actually sitting in front of them and we know we will turn our industry upside down by winning quite large business off the incumbents. 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. Mainfreight chairman Bruce Plested says Braid is a very complete modern and old-fashioned leader wrapped up in one. At the end of the day, the decisions they made will be seen in the weekly results. 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. COVID-19 has had a significant impact on freight and supply chains worldwide. In 2006 the New Zealand Mainfreight International and Owens International businesses were also merged to make Mainfreight Owens International Ltd (now Mainfreight International). Where do we need to be? Wishing you the best in England and when you return to NZ. 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 BusinessDesk has a paywall for most of its content. He runs the businesses with consciously egalitarian slant and is no fan of bureaucracy or the trappings of hierarchies. Don: Im not sure its stress. CEO compensation can have a massive impact on performance, but it's just one element. Hes the right man for the job at just the right time. Zac: Don, if you owned your own SME business at the moment, what would you be focusing on going forward to be as successful as you could be under this environment? Its Mainfreights style to offer career progression, giving people here a long-term career in the business, allowing them to find that space to develop the leadership traits. WINNER We aim to bring you long-term focused analysis driven by fundamental data. It is our strong belief that the momentum we have will continue, and will develop at a faster pace than we have experienced in the past, thanks to our people, our network and our culture. Talking in terms of the industry, salary represented approximately 91% of total compensation out of all the companies we analyzed, while other remuneration made up 9.3% of the pie. If were going to build facilities for our people, we build very good facilities to be around for a long time. I dont see this as a job, so therefore the stress levels arent as strong. I think with a driverless truck, well lose that ability of interaction with the customer on pickup or on delivery. Zac: Mainfreight is obviously a massive employer with almost 9000 staff across the world. His leadership is underpinned by a strong belief in Mainfreight's global competency and capabilities to provide high-quality supply chain solutions for . [4] This operation was expanded with depots in Melbourne and Brisbane. So you need to be committed for the long term.The clich about the beach, the BMW and the boat it looks pretty attractive after 10 years of hard work but what could you have created after a hundred years and have you got something thats a bit special?I think you need passion, energy, belief and the ability to develop people to run the business for the future. Don Braid is a Group Managing Director at Mainfreight NZ based in Mangere, . Don: Sometimes I think people dont recognise or believe or have enough passion in what theyve developed. Mainfreight boss Don Braid sees fresh opportunities in China's Belt and Road initiative, writes Bill Bennett. Id also be really focused on being in touch with customers. Zac: What are your thoughts on driverless trucks and how they will affect Mainfreight? PO Box 65092, Mairangi Bay, Auckland, New Zealand, Top 200 : Deloitte/Management magazine Executive of the Year Don Braid Clear Vision. He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up that company. Rapper, chef and author Action Bronson takes us on a journey from his early days at culinary school, to releasing critically acclaimed albums, to writing books, starring in TV shows and building an iconic brand around his favorite interests. Weve needed to adjust, particularly in the international sector, air freight charters rather than just normal air freight our people had never had any experience in chartering a full plane. Brent is a senior reporter based in Queenstown. It is totally how I believe a company should be and I love how everyone starts at the bottom. I just have a belief and determination that weve got a pretty good business here. 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. In that respect, NZ was the worst effected with weekly revenues during April 2020 down by about 40% on average levels. He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up . Our data indicates that Mainfreight Limited is worth NZ$4.0b, and total annual CEO compensation was reported as. Read More . It remains a very exciting journey., Spearheading the management team at New Zealands largest supply chain logistics and transport company has paid off handsomely for, Well known for his mental and physical toughness, Braid is often seen working out at The Atrium Club in downtown Auckland, which offers real world fitness for men. His sartorial style was also recognised in 2006 when he was judged the national winner of the. This article by Simply Wall St is general in nature. Musk Made a Mess at Twitter. 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. We have been monitoring government updates regarding COVID-19 and are keeping up to date with Ministry of Health guidance with regard to events and public gatherings. New Zealand-based logistics giant Mainfreight is celebrating the roll-out of two new custom-built enterprise software platforms, dubbed Mainmove and .