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. CEO compensation can have a massive impact on performance, but it's just one element. What do those customers look for from us? 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. This information will be used to measure the effectiveness of our advertising from various channels and to offer you personalised ads. In 2008, the United States locations were re-branded as Mainfreight USA. Where should we open next? Don: We do weekly reporting on a Monday so you always understand how well youve gone across the business and across the network. Im not sure well see driverless trucks in NZ for some time to come. While the group had deferred capital expenditure during early 2020, it had recommenced land and building projects during the year, with net capex totalling $118.6m, of which land and buildings accounted for $58.9m, plant and equipment $26m, fit out costs of $15.6m and information technology another $18m. Wed prefer to shake hands and know that our integrity and the way that we do business works with our partners long term. Zac: Mainfreight was started back in the late seventies by Bruce Plested, who is the chairman now. "I don't think any of those things are really of interest to this," he says. 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. [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. Us taking away that clock was about responsibility and about taking away that control from head office. Experts say community investment is the future. 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. He joined Daily Freightways in 1978, gaining a thorough grounding in all aspects of the business and eventually heading up that company. 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. [7] This takeover was in response to the purchase of Tranz Rail by Australian transport firm Toll Holdings. It now has 22 company depots in Australia and relies on agents and third parties in the Northern Territory, Tasmania and some of regional Australia. See guidance for chairs and directors. You cant see yourself as an employer of 8500 people. So each person can earn some more money by not just making profit, but keeping customers happy, keeping claims to a lower amount, making sure were collecting cash, making sure that were delivering freight in full and on time but the base bonus, everybody gets the same amount no matter whether youve been there for one year or for 40 years and no matter what your position is. 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. Mainfreight was founded on 6 March 1978 by Bruce Plested who started the company with just $7,200 and a 1969 Bedford truck. Regrettably, registration fees cannot be refunded when cancellations are received within two working days prior to any branch event. Weve made this article available for free. Director Profiles - Mainfreight Other Current Directorships: Member of the CFO Advisory Board, Auckland University Business School, Member of the Board of Trustees of Dress for Success Incorporated, and private family companies. Thanks Mr Braid for sharing your knowledge and insight. In 2006 the New Zealand Mainfreight International and Owens International businesses were also merged to make Mainfreight Owens International Ltd (now Mainfreight International). The firm has earned a reputation within the market for being slickly-run. Don: Theres been lots of things actually, like electric forklifts, the use of solar power Heres a good example: in New Zealand weve never had time clocks. They love this as it makes them feel supported and that I understand their role. Don: For us, its not about the short game, its about the long game. The reality is, this leadership team in New Zealand has been through the earthquakes and the GFC and now the pandemic. Mainfreight will release its financial results for the full 2022 financial year on 26 May 2022. "I think I've always enjoyed business, from an early age, so to be involved like I am today has been great. "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. They know that now and can alter those decisions as they head into the week in front of them. Don: The recruitment of our people sits with the branch managers. 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. 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? Zac: As the leader of Mainfreight, what do you personally focus on to get the team going in the right direction? Will His AI Plans Be Any Different? 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. 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. 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. [4] This operation was expanded with depots in Melbourne and Brisbane. For the latest updates on face to face courses and our safety planning see ourresponse to COVID-19 page. This endeavor launched the first permanent investment into South America. A table of ten booking is available for $1000.00, subject to availability at the time of booking. BRAID, Don - NBR | The Authority since 1970 The Biosecurity Business Pledge group has launched two new biosecurity guides. Moreover, Don Braid also holds NZ$171m worth of Mainfreight stock directly under their own. "If you allow the recession to roll over the top of you there's a great chance it will.". He runs the businesses with consciously egalitarian slant and is no fan of bureaucracy or the trappings of hierarchies. Rob Fyfe is the polished and personable face of the new lean and globally competitive Air New Zealand. don@mainfreight.com; Profile. 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. Theres no cross subsidies. I guess whats annoying is that we have got to wait for an election year to get this kind of stuff. 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. 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. 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. Cash flow is essential for any business survival. 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. For more information, please visit our cookie statement. The worst thing we could do is slow them down with bureaucracy, making them tick a lot of boxes. As Chairman and Founder, Bruce shares his vision for the Company with the Mainfreight team, bringing a particular focus to quality and our culture. And thats that. Whats interesting when you go into a pandemic or an event like this is what the balance sheet looks like. Brent had an extensive career in corporate communications and strategic consulting, including for a range of public listed companies. Don Braid - newzealandinc.com Out of that, I think weve got the culture really starting to develop. 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. 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. I think with a driverless truck, well lose that ability of interaction with the customer on pickup or on delivery. Deloitte Top 200 Award Winners Announced for 2019 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. Don Braid, Mainfreight Ltd: Profile and Biography - Bloomberg Markets Other Current Directorships: 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. 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. By using this website you consent to the use of cookies in accordance with our privacy policy. Also, such solid returns might lead to shareholders warming to the idea of a bump in pay. You can be profitable and not collect the cash and go broke. 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. Hi Tanya. How Does Don Braid's Compensation Compare With Similar Sized Companies? 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. How do you measure this? 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. Will be fundamentally different from the last one. Don Braid is Managing Director/CEO at Mainfreight Ltd. See Don Braid's compensation, career history, education, & memberships. Mainfreight completes huge software roll-out, spanning A/NZ, US and Zac: How do you prioritise where to spend your time in a normal week? After leaving Timaru Boys' High School Braid joined the New Zealand Shipping Corporation as a clerk in 1976. He brings strong financial skills and business acumen to the role. 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. Chosen from New Zealand's top companies, this year's Deloitte . Lessons from the Managing Director of one of NZ's most successful In that respect, NZ was the worst effected with weekly revenues during April 2020 down by about 40% on average levels. Mainfreight founder says bonuses help solve inequality and - Stuff "He never moans about the currency and is always positive.". Appointment to Board 2000 - With Mainfreight since 1994. Business in the Americas also saw an improved performance, with a 29.7% increase in profit to US$25.93m, with Mainfreight's air and ocean division benefiting from resurgent demand from customers and market share gains in the US. So a lot is about the long game. So you need to make sure youve got succession planning to be able to work on the dream that youre creating. Mainfreight managing director Don Braid. Don: Im not sure its stress. 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. Today he chairs a group of telecommunication companies. 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. What else do we need to do to satisfy that bunch of customers? But the excitement is justified. Check out our latest analysis for Mainfreight. Shareholders would be glad to know that the company has improved itself over the last few years. Do also serves as a member of the Board of the Starship foundation. I could not get out of the car and go and meet a stranger to ask for the business and now I actually prefer to do that! BusinessDesk has a paywall for most of its content. What Can We Conclude About Mainfreight's (NZSE:MFT) CEO Pay? - Yahoo! 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. Rising inflation and labour shortages have added to the Covid-19 melting pot, crippling global supply chains and trade growth. 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. As a young salesperson aged 19, I couldnt make a cold call. Read More . "I probably wasn't qualified enough to go to university," Braid says. What Can We Conclude About Mainfreight's (NZSE:MFT) CEO Pay? Musk Made a Mess at Twitter. 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. Braid has been a beneficiary of the meteoric rise in Mainfreight's share price. Another attribute is straight talking. When it comes to capable, motivational and effective leadership Sam Knowles delivers with interest. Target operate domestic and international time-sensitive freight-forwarding and logistics services through its wholly owned subsidiary, Target Logistic Services. Get in touch with us directly. On 11 June 2007, Mainfreight 'signed a call option deed' to purchase the entirety of the shares of Australian-based Halford International. Don: Well, the numbers never lie, right? 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. We applaud that; weve always paid every supplier on the 20th of the month following and we ask the same of our customers. Its a huge level of success and theres satisfaction you get from that. It doesnt matter what the worlds thrown at them, theyve shown they are capable of dealing with it. Mainfreight's Don Braid rose above a solid field of finalists to be named New Zealand Herald Business Leader of Year. Braid has earned a reputation within the market as a straight talker and one of the most effective NZX-50 bosses. Zac: Don, your 100-year vision how does that work? 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. This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company. And I think ultimately, yes, Im responsible for the business, but I enjoy what I do and having great people and a good lifestyle where I can stay fit and have some fun means the stress levels arent that high. Everyone stands on their own two feet. To trust your people too, to give them the responsibility. Mainfreight is publicly listed on the NZ Stock Exchange with a market capitalisation of $8+ billion. 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. You need to have been there 12 months to earn the full bonus that everybody else gets. Don: I think empathy is really important. Theres no bullshit in the numbers, they are what the business has earned. Mainfreight chief executive Don Braid says New Zealand needs to slash the number of its container ports to a 'maximum' of three to avoid being side-lined by major shippers.The 18-year veteran CEO of the NZX-listed multinational logistics company told a supply chain forum in Auckland on Wednesday that container cranes sitting at most of the We got a taste of what was to come early in the piece with our Chinese business and seeing what they were going through. But well and behold, were in the perfect position not a lot of debt, trading really well, coming off a really good financial year the year before. Look after your people and theyll look after the business. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. Director Profiles | New Zealand - Mainfreight Appointment to Board 2000 - With Mainfreight since 1994. Early on, New Zealand had great lessons to take to the rest of our network. "He implements things very well and you don't have to remind him about anything you're trying to achieve. How are we changing the business accordingly? 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. 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.. Although the pay is close to the industry median, overall performance is excellent, so we don't think the CEO is paid too generously. We aim to bring you long-term focused analysis driven by fundamental data. So it looks like Mainfreight compensates Don Braid in line with the median for the industry. 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. 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. 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. Don Braid - Group Managing Director - Mainfreight NZ | ZoomInfo At the end of the day, the decisions they made will be seen in the weekly results. He is unquestionably our Deloitte/Management magazine Top 200 Executive of the Year. 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? 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 said Mainfreight was on track to push close to the $2 billion sales mark by March next year. "We've been in China for 20 years. Zac: Don, what makes you good? So what you produce in terms of profitability is real. Zac: Can you share what some of the great ideas youve actually brought from overseas have been? The NZ team, who had really done a great job through the Kaikoura and Christchurch earthquakes, quickly put together a plan on how to react. I feed off that and suppose the people in our business like seeing that and see it as an example and follow. 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. Don Braid of Mainfreight Limited presents key insights for directors about freight and supply chain patterns in the current climate. "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.". 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. Should it change? Their understanding of disciplines and what the expectations are embedded early on so our culture is strong and then you give them responsibility. What we put in place here in New Zealand became the blueprint for the organization around the world. Zac: Whats a bit of business advice you can share? 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.
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