The selection of David Bozeman by C.H. Robinson to be CEO has created a flurry of behind-the-scenes discussions among industry leaders and the press. Most of the comments about David are negative because of his perceived inexperience. I continue to remind everyone that David was a VP of Transportation at Amazon for five years, which is a tremendous amount of responsibility.
In some ways, naming David as CEO reminds me of the 1972 movie ‘The Candidate’ starring Robert Redford, that I watched a few weeks ago on TCM. In the movie, an inexperienced lawyer (Redford) is chosen to run for the U.S. Senate. Everyone is skeptical at first but in the end, Redford is elected. At the victory party, Redford takes his campaign manager into a side room and asks, “What do we do now?”
In a few weeks, David Bozeman will have to answer a similar question, “What do I do now?”
I’ve written several posts on this topic where I shared my opinion on who should be named CEO. I recommended that C.H. Robinson should acquire Flexport and have Dave Clark become the CEO of the combined companies. Another option I shared was acquiring DSV – Global Transport and Logistics and naming Jens Bjørn Andersen as CEO.
David is a less-experienced version of Dave Clark, but David is skilled nevertheless. Most of all, David is an outsider; something the company needs.
When asked what he plans to do, this is what I believe David should focus on:
1. Name Arun Rajan Chief Technology Officer to go along with his COO title.
2. Navisphere is nothing more than American Backhaulers platform from 1998. It is not a digital platform and never will be. It can never become a leading platform. It needs to replaced. It’s the Brutal Truth.
3. TMC, a division of C.H. Robinson, manages $9B of freight but they don’t make any money for the company. I see no value in TMC. Zero.
4. Acquire Mastery Logistics Systems to replace Navisphere and TMC, and then right size the organization. Assess Convoy Inc., Uber Freight, and other leading software. Make the best acquisition(s) and have Arun create the best platform. (The bonus for C.H. Robinson and David Bozeman is they get Jeffrey Silver if they acquire Mastery.)
5. Don’t sell C.H. Robinson’s freight forwarding business. When managed correctly, freight forwarding is a great lead generator for truckload.
6. Create a ‘Robinson for Brokers’ service via the Mastery platform.
David also has another option he can pursue – David can meet with Jens Bjørn Andersen to discuss the best way for DSV and C.H. Robinson to merge, and switch to DSV’s technology platform. There are many ways that a deal can be made.
No matter what David decides to do at C.H. Robinson, he’s going to make enemies. The company has an unwillingness to accept trends, and many of the executives at C.H. Robinson want authority but not accountability. David will learn this very quickly.
