The firm has earned a reputation within the market for being slickly-run. 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. Well in Europe they had these time clocks. 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. How does that actually work, practically? He owns a 3 per cent stake in the firm, worth about $29 million. The company posted record earnings and revenue for its last full year and has continued to break records this financial year. 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. Thats the key. The lawsuit claimed that Wim Bosman, the former owner, had prior knowledge of a large client, Giant Bicycles, intentions to end corporate ties with the group. 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. Save my name, email, and website in this browser for the next time I comment. Chief executive, Mainfreight I think the only measure of whether weve got the culture right will be seen in the numbers and in the customer service. Don Braid Early on, New Zealand had great lessons to take to the rest of our network. Photo / Supplied . In 2008, the United States locations were re-branded as Mainfreight USA. Your email address will not be published. Deloitte Top 200 Award Winners Announced for 2019 So we are developing our people to be the best they possibly can be. [9], Within its announcement, the Mainfreight sad, "Wim Bosman is a well respected, profitable organisation which will provide Mainfreight with a significant European presence and opportunity to further grow its supply chain logistic services throughout the world. We've identified 1 warning sign for Mainfreight that investors should be aware of in a dynamic business environment. Rising inflation and labour shortages have added to the Covid-19 melting pot, crippling global supply chains and trade growth. Get in touch with us directly. Founded in 1969 as Dunedin Customs Brokers Ltd, DCB International provides international air and sea freight services from Dunedin. Braid said Mainfreight was on track to push close to the $2 billion sales mark by March next year. You can be profitable and not collect the cash and go broke. Out of that, I think weve got the culture really starting to develop. Mainfreight was founded on 6 March 1978 by Bruce Plested who started the company with just $ 7,200 and a 1969 Bedford truck. Early in the piece at Mainfreight, leaders are given responsibility, so the ability to take responsibility and to make decisions is pretty important. Don: We do weekly reporting on a Monday so you always understand how well youve gone across the business and across the network. "He implements things very well and you don't have to remind him about anything you're trying to achieve. They know that now and can alter those decisions as they head into the week in front of them. So we have these 282 locations across 20 countries how do we get them each operating at their peak, every day? In that respect, NZ was the worst effected with weekly revenues during April 2020 down by about 40% on average levels. 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. Sam Knowles Don joined in 1994 and hes been on the board since 2000 and the CEO for a heck of a long time. The Biosecurity Business Pledge group has launched two new biosecurity guides. It has largely grown earnings and revenue since 2008 and tripled its share price between early 2009 and today. 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. 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. 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. 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. 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. Lessons from the Managing Director of one of NZ's most successful Appointment to Board 2000 - With Mainfreight since 1994. Don: What we do is measure profit before tax at the branch level and that includes interest and depreciation. Component 2020 "You need some energy and you need to be on the front foot," he says. Their understanding of disciplines and what the expectations are embedded early on so our culture is strong and then you give them responsibility. Don Braid - newzealandinc.com 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. Watson said she did not believe bonuses were a way. Braid consistently delivers for shareholders and stakeholders alike. Whilst describing the foundation of Mainfreight in 2000, Plested said to the New Zealand Herald, "We moved all our freight by sea between Auckland, and Christchurch and Dunedin, and we worked weekend shifts to make sure we loaded and unloaded the ship using the whole of the seven days - we found that was faster and more reliable than our big competitors."[4]. What havent we got right? The price of the rights fell as low as 7.5 cents on the last day of trading. His leadership is underpinned by a strong belief in Mainfreight's global competency and capabilities to provide high-quality supply chain solutions for our customers. 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. Things are changing a little bit and everyones suggesting that its all going to go to eCommerce. He brings strong financial skills and business acumen to the role. Filed Under: Blog, Business coaching, Motivation coming at ya, What a great interview and there are many excellent points which the Mainfreight CEO covered like Empathy which is essential when supporting all those involved in Mainfreights success and another dealt with the importance of making sure all invoices are paid on time. I give them the ability and the responsibility to deliver, and I give them great support and lots of guidance. After receiving the 2016 Infinz Leadership Award he told staff if this is a tick in the box for the way we have done things or are trying to do, and for what were trying to create, then well take that tick. Proud of its family ties, Mainfreight also employs Braids sons, Jason and Corey. Though his father was a truck driver, Timaru-born Braid cant recall being influenced by this. 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. 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. Terms of use Grant Samuel & Associates Ltd. Kate brings to the Board her broad financial and analytical experience acquired in a range of industries, both in New Zealand and overseas. Don: I get out of the way. 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). Use of the word "staff" is banned within the company - one of a range of idiosyncrasies particular to the logistics firm. I feed off that and suppose the people in our business like seeing that and see it as an example and follow. 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? Although the pay is close to the industry median, overall performance is excellent, so we don't think the CEO is paid too generously. Experts say community investment is the future. 11/5/2022 3:33 PM. PO Box 65092, Mairangi Bay, Auckland, New Zealand, Top 200 : Deloitte/Management magazine Executive of the Year Don Braid Clear Vision. 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. 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. "I think we're a better business because of adverse economic conditions, there's no doubt about that," he says. Mainfreight's $43.9m 'family' bonus | BusinessDesk Mainfreight people, he says, don't "live in question marks". Required fields are marked *. We got a taste of what was to come early in the piece with our Chinese business and seeing what they were going through. He has an enviable track record of integrity and professionalism and wide ranging business experience. It doesnt matter what the worlds thrown at them, theyve shown they are capable of dealing with it. | Mainfreight boss Don Braid sees fresh opportunities in China's Belt and Road initiative, writes Bill Bennett. [7] This takeover was in response to the purchase of Tranz Rail by Australian transport firm Toll Holdings. That's ambitious, even . Mainfreight has international operations in the United States through CaroTrans International and most recently Mainfreight International businesses after the 2007 acquisition of Target Logistics, in Asia (nine branches in China, one each in Taiwan, Singapore and Hong Kong). 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. 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. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Chief executive, Kiwibank Contact. It's interesting to note that Mainfreight allocates a smaller portion of compensation to salary in comparison to the broader industry. Alternatively, email editorial-team@simplywallst.com. Group Managing Director, Mainfreight. 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. Insurers support an immediate managed retreat for recent flood victims. 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". It is totally how I believe a company should be and I love how everyone starts at the bottom. Theyre all networked, but theyre all distanced so we knew we needed to communicate really well with them and have a blueprint that we know would work. "We've been in China for 20 years. 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. But, he said the first seven weeks of trading in the current year has been at similar levels to the past six months. Im not sure well see driverless trucks in NZ for some time to come. As a Government Minister, Richard was responsible for creating SOEs, deregulating telecommunications and broadcasting, reforming ports, airports, railways and aviation. "But I was fascinated that he could present this picture of a skeleton of a company and present it so brightly.". "He never talks about himself and always talks about long-term goals," Hunt says. 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 natural protection for earnings. Id also be really focused on being in touch with customers. 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 NBR Working Style Best Dressed Businessman Awards. Braid has been a beneficiary of the meteoric rise in Mainfreight's share price. Don Braid - Group Managing Director - Mainfreight NZ | ZoomInfo Cash flow is essential for any business survival. What have we got right? So it looks like Mainfreight compensates Don Braid in line with the median for the industry. So Don, my first question is whats been your main focus the past two months during Covid times and leading Mainfreight and global business? Chief executive, Air New Zealand 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. Is Mainfreight Limited (NZSE:MFT) Overpaying Its CEO? - Yahoo! Don: Its been interesting! 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. I really want to be in front of those customers! He has also lent his considerable support to not-for-profit organisations such as the Starship Foundation. Weve made this article available for free. [2] In 1979, Bruce Plested partnered with Neil Graham, with Graham based in Christchurch and Plested in Auckland. Moreover, Don Braid also holds NZ$171m worth of Mainfreight stock directly under their own. Mainfreight also renamed Wim Bosman branches in the countries France, Poland, Russia and Ukraine under the Mainfreight name.[12]. Rob Fyfe 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 is highly respected and success-driven executive who has made Kiwibank fly when many thought it would struggle to get off the ground. The Group MD & Director of Mainfreight Limited (NZSE:MFT), Donald Braid Don Braid is Managing Director/CEO at Mainfreight Ltd. See Don Braid's compensation, career history, education, & memberships. Bryan has a wealth of experience, both in executive and board roles. In March 2011, Mainfreight entered the European market with the acquisition of Netherlands-based company Wim Bosman Group for 120 million; or $227 million. 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. Braid says the company strives to be de-centralised through giving responsibility to all individuals in the business and letting them make decisions. Despite international growth and success, Braid is passionate about keeping the company proudly Kiwi-owned and has been an outspoken voice on local transport and infrastructure matters. Boasting a total shareholder return of 168% over three years, Mainfreight Limited has done well by shareholders. They love this as it makes them feel supported and that I understand their role. [3][4], When the company was founded it entered a highly regulated transport market. Mainfreight's Don Braid rose above a solid field of finalists to be named New Zealand Herald Business Leader of Year. 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. Business Leader of the Year 2011 Winner: Don Braid - NZ Herald And if you dont make a profit, theres no bonus that year. But the excitement is justified. What we put in place here in New Zealand became the blueprint for the organization around the world. don@mainfreight.com; Profile. Mainfreight will release its financial results for the full 2022 financial year on 26 May 2022. And analysts have been warned that they "won't get a second interview" if they make that mistake of calling Mainfreight a "trucking company". 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, with businesses operating in over 214 branches throughout New Zealand, Australia, Europe, Asia and the United States. [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. He delivers on Mainfreights bold and expansive strategy while still bringing home the bacon for his shareholders. Insight and analysis of top stories from our award winning magazine "Bloomberg Businessweek". 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. Its about the other employees seeing the numbers; dont forget, we share those profits with our people too so theres internal pressure to perform too. Managing director Don Braid said Covid-19 fully tested Mainfreight's resilience, but it also necessitated some fundamental commitments. Another attribute is straight talking. Everyone stands on their own two feet. What more could I be doing in the business to actually grow my revenues in these difficult times? 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. [3] [4] When the company was founded it entered a highly regulated transport market. "It's not about what I've done - it's about what we've done and what the business has done," he says. 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. 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. Mainfreight boss bypasses 'profiteering' global shipping lines - Newsroom 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. Is our service or a product still current? Q&A with Mainfreight's Don Braid - Business Changing 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. Don Braid (Mainfreight) Credit: Mainfreight . Early in my career I understood that I enjoyed the interaction with customers and in fact I enjoy the challenge of helping win new customers. We use functional and analytical cookies on our website to offer an optimal user experience. "If you allow the recession to roll over the top of you there's a great chance it will.". 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With Don Braid at the wheel, Mainfreight is in safe and skilful hands. Braid has earned a reputation within the market as a straight talker and one of the most effective NZX-50 bosses. He is unquestionably our Deloitte/Management magazine Top 200 Executive of the Year. The company is growing EPS and total shareholder returns have been pleasing. Agreement with print tech giant Canon saves college thousands. Read More . Wishing you the best in England and when you return to NZ. With the takeover of the Owens Group in 2003 they purchased Owens International Australia. For further information, please contact Don Braid, Group Managing Director, telephone +64 9 259 5503, +64 274 961 637 or email don@mainfreight.com. 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. 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. And thats why we travel a lot when you visit, you can smell the morale in an instant. Zac: Im keen to understand what do you think are common reasons why many businesses fail to reach their maximum potential? He runs the businesses with consciously egalitarian slant and is no fan of bureaucracy or the trappings of hierarchies. To trust your people too, to give them the responsibility. 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: Can you share what some of the great ideas youve actually brought from overseas have been? Don Braid of Mainfreight Limited presents key insights for directors about freight and supply chain patterns in the current climate. Don: For us, its not about the short game, its about the long game. Where do we need to be? Whats changed? Brent is a senior reporter based in Queenstown. You cant see yourself as an employer of 8500 people. 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. Look after our people, look after our customers, guard our cash, and embrace the opportunities that may arise.. The firm's shares have been one of the best performing stocks on the NZX, returning more than. 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. We tackle critical leadership, management and economic issues as well as profiling successful local and global leaders. We applaud that; weve always paid every supplier on the 20th of the month following and we ask the same of our customers. The trick is to decentralize it and to give them control of the profit and loss, allow them to have sufficient KPIs, and measurement systems to monitor those as quickly as possible so that nothing gets out of control. And what do you believe leaders need to excel at? So I think cashflow is king and Id be focused on that. Don: It should be where your skills are. In light of current trends, we will provide a nine-month trading update mid-February 2022. 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. After the full acquisition that took place August 2007, Mainfreight Asia quickly gained momentum in the Air and Ocean sector, driving business in China and Southeast Asia. Not living as a question mark but instead getting on with it and making those decisions. 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. Don: The culture is really important and our culture starts with those closest to the customer. Mainfreight Limited is a New Zealand logistics and transport company headquartered in Auckland. 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. A table of ten booking is available for $1000.00, subject to availability at the time of booking. 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. An unabashed promoter of New Zealand success, he has an extensive background in the banking industry in New Zealand and Australia, with senior management experience in marketing, strategic planning, retail services and business development. Thanks for your comments about Don Braid and Mainfreight. "That gives us an enormous amount of opportunity.". Theres no bullshit in the numbers, they are what the business has earned. Zac: Mainfreight was started back in the late seventies by Bruce Plested, who is the chairman now. [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. As you get bigger, staff engagement and culture becomes more difficult. What do those customers look for from us? 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. Although Plested remains the largest shareholder with a 16% stake worth $395m, Braid's more modest 2.79% stake is still worth about $70m - supplemented by annual remuneration of $2.2m in 2017. The relationships we develop, both with suppliers and with customers, are there for the long term. 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. Wed rather own assets than lease them. 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. As a Kiwi living in England and studying management currently, I have really enjoyed reading this interview.