Growth and sustainability

Our business strategy is based on developing a clear and shared vision, recognising our current reality and formulating clear plans with defined accountabilities.

CURRENT REALITY
We are well aware of the challenges facing us in our journey to achieve this vision. We accept the challenge of becoming more competitive across a number of dimensions. We also understand that every client is unique and their operational demands may be different and it is our job to achieve alignment to our client expectations.

Furthermore, we recognise that Makhubu Logistics has a long and rich history with key competencies in its offerings of Fuel, Cargo and Container services. These operations offer significant strategic advantages that will enable us to offer a unique value proposition to clients.

One of our strengths is based on the fact that we have a good national footprint with presence and capacity in all the major centres of the country. With depots in Bellville, Mossel Bay, Port Elizabeth, East London, Durban and City Deep and a presence in Bloemfontein, Kroonstad and Nelspruit, we are able to provide point-to-point or multi-point transport solutions.

Another established strength is the size and capacity of our fleet. This enables us to offer comprehensive solutions to clients across various sectors and centres.

The importance of safety across all sectors is particularly well understood in our industry. In particular, where we deal with hazardous substances like fuel, our operations are geared to comply with all national and international safety operational standards.

Only drivers who have a proven competence and have successfully completed the requisite competency tests are employed. Thereafter they are closely monitored with a continuous evaluation approach. This enables the business to guarantee service levels and safety standards.

With these strengths in hand, we are also well aware that we have a legacy of para-state owned entity and this has left us with many areas requiring attention. These include the mindset and culture of some of our staff, a fleet that has been sub-optimally managed and other areas such as operational inefficiencies.

THE WAY FORWARD
From hereon out, our action plans will focus on strategic imperatives that we believe will leverage significant change and operational transformation. The starting point is the adoption of values and business principles that will enable change and growth.

We base our business on the simple but weighty values of integrity, professionalism and client focus. We believe in strong, mutually beneficial relationships with our employees and clients, based on a foundation of respect for people, the environment and communities. We believe that we can achieve anything we set our minds to.

We will play a positive and proactive role in the transformation of our country and society by embracing the ideals of broad based BEE.

STRATEGIC IMPERATIVES
Client Focus: If we understand the goals, objectives, values and priorities of our clients we will be able to align our business and its operation around the real needs of our clients.

People Leadership: People flourish in an environment where they are respected and valued, have clarity of purpose and are rewarded for positive behaviour and results. Our people management practices, process and systems will be geared to express this philosophy whilst taking into account the legacy of the business. We will develop core skills and ensure ample capacity and competency.

Total Supply Chain Solutions: Our strategic partnership with Schenker enables us to offer a full logistics supply chain solution. We will leverage our existing strengths in transportation, to expand the value proposition to clients on any given assignment.

Operational efficiency: Through reengineering service delivery from a clients service delivery point of view, we will be able to leverage technology, processes, systems and culture change to dramatically enhance service delivery and significantly reduce our cost structure.

World class health and safety practices: Safety can not be compromised. We are reviewing all our practices and controls to surpass all standards in order to take leadership in this area. Health and Safety is not only the responsibility of every employee but will become central to our culture and be present in everything we do. We will have complete alignment with our client practices and ensure complete focus on positive results in this area.

Optimised Asset Utilisation: We appreciate the fact that our mobile assets are core to our ability to provide top class service delivery. To this extent we will review the quality, availability and operational practice that secure best-inclass vehicle resources for enhanced service delivery. The only model that we will consider is one that provides for complete reliability of delivery while adhering to all safety and efficiency standards.

STRATEGY ENABLERS
Performance management: Performance needs to be defined, targeted and tracked. By managing the performance of every employee against service delivery we will ensure client centred delivery.

Communication x 3: Through consistent, continuous and open communication to all relevant stakeholders we will build positive relationships based on trust and integrity.

Social Accountability: If we respect and protect the environment we operate in, we are assured of a sustained future. Our policies and practices will achieve this goal.

Organisational Transformation: Our history demands that we build an inclusive future society and business that can deliver value to all concerned. Social transformation informs our thinking, planning and actions.

Cash Management: Achieving sustainable business growth demands a conscious management of cash flow. We are determined to grow the business and will manage resources in a manner that supports sustainable growth.

Business Enabling Information Management Systems: Having accurate and relevant information available and accessible to the appropriate decision makers at all times, is critical for enhancing business performance. An overhaul of our ITS infrastructure together with a redefining of business processes will deliver unprecedented value to our clients and the business.

CONCLUSION
We are excited about the future we are creating and look forward to delivering enhanced value to all our stakeholders.