The Team's Board Report - Mainfreight

42Logistics Overview New Zealand & Australia– Craig EvansEvery Cloud has a BlueLiningLike any economic cycle it’s not the good timesthat test one’s resolve rather a downturn thatdetermines one’s character, both as individualsand as a company.In good times operations can be run by StevieWonder, the occasional economic hurdle healsquicker and bad decisions are often disguisedand offset by good ones.In Mainfreight’s history we have been through anumber of economic challenges and come outmuch stronger; the lessons learnt still stand today.It’s these lessons we can share. Firstly some keyperspectives from previous cycles:• Our business is much more insulated fromthe New Zealand economy with greater globaldiversification.• Don’t fall into the trap of pulling costs at thedetriment to service to our customers• Be more tolerant and accommodating with ourinternal and external customers• The total success of our supply chain is notmeasured by structure, rather the way weinteract with each other. The customers feeland hear unity.Remember without customers we have nobusiness! So focus on this first.An old sporting attitude, never declare whenyou are hurting as the opposition will focus andplay on it, applies to our business too. Withour smart looking trucks, terminals, smilingfaces, and enthusiastic phone mannerisms, thecompetitors will increasingly become demoralisedand financially pained. This will be felt by theircustomers.• Our competition is facing even tougherchallenges• Significant investment has been sunk intoproperty and infrastructure.• Our global reach has greater influence onfreight flows into and out of New Zealand andAustralia• More long service veterans, accustomed totough conditions.So what is our game plan?It’s simple ...• Increase our intensity to service the customer• Clean and maintain our trucks and facilities likenever before• Challenge and remove all unnecessary cost• Employ wisely and manage productivity• Be hungry to increase our levels of cold callingnew businessRemember it’s our character to pick each otherup and march on, that’s what’s made Mainfreightstrong in hard times previously and it stands truetoday.NZ and Australian LogisticsIt’s been a change of trans-Tasman fortunes,with New Zealand reaping the returns of makingchange decisions 12 months ago and Australiahaving to make long-term ones now.Courage under fire is the rule of the day; wehave to apply ourselves to express ourselves inAustralia through these investments. Our team hasheld on in some challenging growth cycles neverseen before in our history.Now is the time to build consistency and lockdown our gains and go again. We can’t do thiswithout our team members believing in oursystems and mission. Our systems are tried andproven to be world class. Our mission is to be thepremier logistics business in Australasia, part ofour global aspirations.