As a Kiwi living in England and studying management currently, I have really enjoyed reading this interview. Its revenue is up 5.9% over the last year. While many of its NZX-50 peers have entered a period of stagnation, Mainfreight - it seems - thrives on hard times. Us taking away that clock was about responsibility and about taking away that control from head office. Email. For more information, please visit our cookie statement. 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. I'm pleased I didn't do anything else.". Don Braid. Please note that with cookies disabled you will have a degraded experience with some features. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance. 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. Bruce Plested, the firm's executive chairman who founded the company in 1978 with $7200 and a 1969 Bedford truck, recalls the day in 1994 when Braid - then a Freightways Group employee - had the job of pitching its Daily Freightways business to Mainfreight, which it acquired that year. He has also lent his considerable support to not-for-profit organisations such as the Starship Foundation. "He implements things very well and you don't have to remind him about anything you're trying to achieve. So we are developing our people to be the best they possibly can be. Don Braid (Mainfreight) Credit: Mainfreight . Zac: Mainfreight is obviously a massive employer with almost 9000 staff across the world. [10] In August 2013, Mainfreight and the family of Wim Bosman reached an out of court agreement for compensation to the tune of 8.2 million or $14 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. He has issued a New research confirms the importance that NZ business leaders place on reputation, but reveals that many companies need to increase their investment in building and protecting it. He attributed the. 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.. The firm's Australian domestic freight and logistics division, Mainfreight Distribution, began operations in 1989, with an operation in Sydney. Agreement with print tech giant Canon saves college thousands. "It's not about what I've done - it's about what we've done and what the business has done," he says. Braid said Mainfreight was on track to push close to the $2 billion sales mark by March next year. Mainfreight is publicly listed on the NZ Stock Exchange with a market capitalisation of $8+ billion. Thanks for your comments about Don Braid and Mainfreight. Don: It should be where your skills are. Two other directors joined KiwiRail's board earlier this year, Rob Jager and Ed Sims. Target operate domestic and international time-sensitive freight-forwarding and logistics services through its wholly owned subsidiary, Target Logistic Services. [14], In September 2007, it was reported by Business Wire that Mainfreight had signed a merger agreement with NYSE American-listed Target Logistics for $2.50 a share; for a total of US$54 million. Mainfreight people, he says, don't "live in question marks". As we noted earlier, Mainfreight pays its CEO in line with similar-sized companies belonging to the same industry. You can be profitable and not collect the cash and go broke. Don from Mainfreight talks to Fisher Funds. He previously worked for the Otago Daily Times, after a return to business journalism in 2018. Zac: Mainfreight was started back in the late seventies by Bruce Plested, who is the chairman now. 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. Chosen from New Zealand's top companies, this year's Deloitte . Typically modest about his achievements, the 57-year-old is always quick to acknowledge the team effort behind Mainfreights success. [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. This information will be used to measure the effectiveness of our advertising from various channels and to offer you personalised ads. 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. 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. 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. Although Plested remains the largest shareholder with a 16% stake worth $395m, Braids more modest 2.79% stake is still worth about $70m supplemented by annual remuneration of $2.2m in 2017. They couldnt believe we trusted them to turn up when we needed them to turn up and leave when we needed them to leave. So Don, my first question is whats been your main focus the past two months during Covid times and leading Mainfreight and global business? Rob Fyfe is the polished and personable face of the new lean and globally competitive Air New Zealand. Richard Prebble is by profession a lawyer. The long-term effects must be carefully studied. 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? See ourstandard terms and conditionsfor more information. What do those customers look for from us? Founded by NBR Rich Lister Bruce Plested, Mainfreight has become a global juggernaut on Braids watch. don@mainfreight.com; Profile. So all the bureaucracy that goes on is increasing the amount of time that well see some of those things arrive. 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. 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. Sam Knowles | New Zealand-based logistics giant Mainfreight is celebrating the roll-out of two new custom-built enterprise software platforms, dubbed Mainmove and . 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: I think its quite a long way off. Privacy policy 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. Things are changing a little bit and everyones suggesting that its all going to go to eCommerce. 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. | 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. He is highly respected and success-driven executive who has made Kiwibank fly when many thought it would struggle to get off the ground. The Asian business saw profits more than double to US$7m, driven by increases in market share and rate increases from both air and see freight, the firm said. How do I gain more customers? Required fields are marked *. Don joined in 1994 and hes been on the board since 2000 and the CEO for a heck of a long time. Spearheading the management team at New Zealands largest supply chain logistics and transport company has paid off handsomely for Mainfreight group managing director Don Braid. Braid consistently delivers for shareholders and stakeholders alike. Our subscriptions start at $24 / month for individuals. [2] In 1979, Bruce Plested partnered with Neil Graham, with Graham based in Christchurch and Plested in Auckland. He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up that company. As Group Managing Director of Mainfreight Limited - one of New Zealands largest freight companies - Don Braid joins us to share key insights for directors into the changing patterns of these chains and what the future may hold. Braid says the company strives to be de-centralised through giving responsibility to all individuals in the business and letting them make decisions. So what you produce in terms of profitability is real. I feed off that and suppose the people in our business like seeing that and see it as an example and follow. His intellect and pragmatic approach is highly regarded at the Board table. He is 100 percent dedicated to Mainfreight and its future and has led the company in consolidating its position as an international business, progress which will bring rewards not only for that company but for New Zealand as it continues to expand offshore. 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. Zac: Can you share what some of the great ideas youve actually brought from overseas have been? "We've been in China for 20 years. 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. Mainfreight also renamed Wim Bosman branches in the countries France, Poland, Russia and Ukraine under the Mainfreight name.[12]. [3] [4] When the company was founded it entered a highly regulated transport market. More importantly, the people in those branches know what they did last week, and which were the right decisions or the wrong decisions. The key for me is to be in the business as much as possible, to be visible. Will be fundamentally different from the last one. You know, people arrive when they arrive and they leave when they leave. Even Europe's ongoing economic turmoil fails to dampen Braid's optimism, despite the Kiwi logistics operator having spent more than $200 million buying a Netherlands-based freight firm earlier this year, giving it a European footprint for the first time in its more than three-decade history. 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. He knows where the company is going and, more importantly, how it will get there. 11/5/2022 3:33 PM. Likewise, his strongly-held beliefs relating to the importance of education and of recycling/ sustainability, continue to positively shape the Companys behaviours. 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]. Yes, wed committed an enormous amount of capital expenditure coming into this new financial year, but we were in good shape in that the balance sheet looks pretty good. The Biosecurity Business Pledge group has launched two new biosecurity guides. 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. That's ambitious, even . I suppose were grooming people all the time for those loaded leadership roles. That's just a smallish increase of 6.9% on last year. Aside from travel (usually), customers, and communicating with those in other countries I spend my time in front of our people and our leadership team, no matter where they are located. | | George Adams, the departing MD, of Coca-Cola Amatil, won the Leader of the Year award at this weeks NZ Workplace Health & Safety Awards 2013. He has clear vision of what it will take to navigate the unforgiving roads and heavy traffic of the international freight marketplace and so far he has kept this business right on track. Mainfreight chairman Bruce Plested says Braid is a very complete modern and old-fashioned leader wrapped up in one. 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. Insurers support an immediate managed retreat for recent flood victims. "If you allow the recession to roll over the top of you there's a great chance it will.". Part of our recruitment process is to get them to go through the system and learn the business from the floor up: you start by pushing a broom or running documents to Customs. Mainfreights two new build warehouses, a 50,000 square metre facility in Sydney and 30,000sqm build in Melbourne, are scheduled for completion by end next year. Zac: Lets talk more about those weekly P&Ls. Any enquiries, or to book a table, please emailNatalie Spratt, Auckland Branch Coordinator. Engage via Email. Some people dont want any more responsibility they find their own ceiling and thats fine. Possibly more important for its team of 8,000, the firm more than doubled its Christmas bonus for 2020, from $5.35m to $11m. The firm's shares have been one of the best performing stocks on the NZX, returning more than. Chief executive, Mainfreight You may withdraw your consent at any time. See guidance for chairs and directors. 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, Plested was quoted as saying after Braid was selected as the 2011 Business Leader of the Year. 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 Zac: Don, what makes you good? Mainfreight's Don Braid rose above a solid field of finalists to be named New Zealand Herald Business Leader of Year. Watson said she did not believe bonuses were a way. "It's just a little rule that we've had because if they [analysts] keep calling us a trucking company they clearly haven't done their research.". Zac: Don, having a decentralized business, whats been your approach to leadership? The company is growing EPS and total shareholder returns have been pleasing. Don: Um, I think its recognising good people. Its about making sure they dont lose the disciplines that make us who we are but embracing them as people delivering for our customers. "I don't think any of those things are really of interest to this," he says. Mainfreight Limited has seen its earnings per share (EPS) increase by 19% a year over the past three years. How are we changing the business accordingly? Experts say community investment is the future. Wishing you the best in England and when you return to NZ. And thats why we travel a lot when you visit, you can smell the morale in an instant. Learn more. Its a huge level of success and theres satisfaction you get from that. 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. So everything that we do is about being here for a long time. 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. 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. So it looks like Mainfreight compensates Don Braid in line with the median for the industry. This article by Simply Wall St is general in nature. Check out our latest analysis for Mainfreight. Don: Sometimes I think people dont recognise or believe or have enough passion in what theyve developed. Bruce would be the first person to say he needed to have great leadership following him if he wanted to bring his hundred year vision to life. Both are real legends and seem to really walk the talk. I believe that I shouldnt ask my colleagues/work mates/ team to do any task I would not do myself or know how to do. "I think I've always enjoyed business, from an early age, so to be involved like I am today has been great. In November 2014, Mainfreight acquired a regional air and sea freight company located in Dunedin. 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. So we have these 282 locations across 20 countries how do we get them each operating at their peak, every day? I think its about ready-fire-aim: making sure were steady, allowing decisions to be made, and shaking them up as we get on. "I probably wasn't qualified enough to go to university," Braid says. Of course, you might find a fantastic investment by looking at a different set of stocks. And thats that. He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up that company. He owns a 3 per cent stake in the firm, worth about $29 million. Ideal traits we want to see in leaders are integrity, being trustworthy and capable of bottom up decision-making, not top down. When it comes to capable, motivational and effective leadership Sam Knowles delivers with interest. Once it became a global pandemic we needed to react and adapt as quickly as we could. Its important to be as flexible as we can to bring an offering that the customer requires during a really tough time. His father was a truck driver, but he says that didn't influence his career decisions. As a young salesperson aged 19, I couldnt make a cold call. Mainfreight commenced operations in Auckland in 1978 and is the largest freight company in New Zealand. Media enquiries After leaving Timaru Boys' High School Braid joined the New Zealand Shipping Corporation as a clerk in 1976. And if you dont make a profit, theres no bonus that year. His leadership is underpinned by a strong belief in Mainfreights global competency and capabilities to provide high-quality supply chain solutions for our customers. 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. Though his father was a truck driver, Timaru-born Braid cant recall being influenced by this. They have over 8500 staff in 280+ locations across 28 countries, so it was pretty cool (and humbling) for us to be able to chat to Don with some of our Business Changing clients recently. We tackle critical leadership, management and economic issues as well as profiling successful local and global leaders. So take a peek at this free list of interesting companies. Boasting a total shareholder return of 168% over three years, Mainfreight Limited has done well by shareholders. Rising inflation and labour shortages have added to the Covid-19 melting pot, crippling global supply chains and trade growth. Don Braid is a Group Managing Director at Mainfreight NZ based in Mangere, . Component 2020 Other Current Directorships: Information and Communication Services Limited (Chairman), Seronic (NZ) Limited, and his family companies. 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. Richard has been elected a fellow of the Chartered Institute of Logistics and Transport. People thrive on being given responsibility. He delivers on Mainfreights bold and expansive strategy while still bringing home the bacon for his shareholders. In 2007, Mainfreight acquired Target Logistics, a United States based forwarder with 34 offices, and an extensive agent network. d***@mainfreight.com. Braid recalls with horror the memory of listening to a chief executive refer to her workers as "FTEs" - full-time equivalents - during a radio interview. He runs the businesses with consciously egalitarian slant and is no fan of bureaucracy or the trappings of hierarchies. Don has over 40 years' experience in the freight industry, including 26 with Mainfreight. Braid says the Mainfreight culture and passion took hold pretty quickly, and Plested recognised his leadership strengths by appointing him to the board six years later. The company now expects to spend an additional $338m for property over the next two years, with $156m of that during the current financial year. 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. I just have a belief and determination that weve got a pretty good business here. Thanks Mr Braid for sharing your knowledge and insight. Mainfreight managing director Don Braid. 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. Subscribe to protect quality NZ journalism. 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. Don Braid has been with freight and logistics company Mainfreight since 1994, after joining the firm as part of the acquisition of Daily Freightways (where he had been for 16 years). Private parking spaces are also banned at Mainfreight - the group managing director has to find himself a spot in the carpark each morning after he drives through the front gate. With the takeover of the Owens Group in 2003 they purchased Owens International Australia. The worst thing we could do is slow them down with bureaucracy, making them tick a lot of boxes. We ask our people to recruit very good people with passion and energy; people good enough to become branch managers. We aim to bring you long-term focused analysis driven by fundamental data. Don: Im not sure its stress. Insight and analysis of top stories from our award winning magazine "Bloomberg Businessweek". Well in Europe they had these time clocks. His visits to our local and overseas operations guide our teams to be sales-focused and always aiming for operational excellence. And then it was a matter of communication and staying in touch, making sure everyone was okay, making sure any questions were answered. New Zealand Shareholders' Association corporate liaison Des Hunt says Braid is one of the most effective listed company bosses in this country. Mainfreight is the fourth largest company in NZ, doing over $3 billion in sales and over $300 million in EBITDA, with physical assets of $1.5 billion and debt of less than $200 million. They love this as it makes them feel supported and that I understand their role. If you'd invested $20,000 in Mainfreight 20 years ago and reinvested your dividends, your investment would now be worth $1.3 million. Investors who take an interest in Mainfreight Limited ( NZSE:MFT) should definitely note that the Group MD & Director, Donald Braid, recently paid NZ$74.61 per share to buy NZ$500k worth of. Boards have a key role to play in the wake of any crisis. Concerned about the content? [13] The transaction was completed on 6 June 2007. Involved in the founding of Kiwibank before taking the top job, Knowles embraces challenge and thrives on delivering top results. What are the things you do that maybe others dont do that actually make you lead this organization? Educated at Timaru Boys High School, Braid has been described as possibly the most self-effacing leader of major listed company in New Zealand and is widely regarded as straight-talking and strong leader. 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. As weve matured and grown around the rest of network, were now learning things that we can bring back to New Zealand. 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. 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. So I think cashflow is king and Id be focused on that. What more could I be doing in the business to actually grow my revenues in these difficult times? "But I was fascinated that he could present this picture of a skeleton of a company and present it so brightly.". 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. I think our owner drivers are a key component of the relationship with the customer. This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company. 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. His leadership is underpinned by a strong belief in Mainfreight's global competency and capabilities to provide high-quality supply chain solutions for . Were not thinking about selling our shares, were not thinking of getting out when the goings good were here for the good and the bad so were preparing the business for that next 100 years. 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. And then its about exploring the long game. 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. 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Don Braid of Mainfreight Limited presents key insights for directors about freight and supply chain patterns in the current climate. 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.
