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The following case descriptions provide details of key questions, issues and challenges that faced our clients. The level of the sponsoring client is indicated. Specific outcomes are provided where possible and when not in conflict with client confidentiality. |
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Kuwaiti Holding Company – CEO and EVP, Operations
Could a Kuwaiti holding company successfully invest in automotive distribution in the United States by acquiring and integrating 11 companies and 22 warehouses over a three year period? Could it also launch a retail product strategy to compete with AutoZone® and Pep Boys? How could store design, location, and systems be developed to permit higher service levels than competition? Would a brand identity program create greater loyalty among independent jobbers? Outcome: The project scope extended over five years from initial concept on a kitchen table through the last company purchase and integration. Independent operations were integrated under the Bumper-to-Bumper® identity program with unified information and point-of-sale systems. Upon the project’s completion, the company was the third largest automotive parts warehouse distributor in North America.
UK Conglomerate – General Manager, U.S. Operations
How could one of the U.K.’s largest resellers of automobiles and parts successfully merge two recently acquired automotive warehouse distributors in California? Could overlaps in customers and competitive product lines be resolved without major losses? Would new marketing and identity programs help increase market share and customer loyalty? How could "share of wallet" be used to establish the best customers and help focus resources? Outcome: Over a four year period, various projects and programs supported the integration of the two operations. Customer analysis indicated that customer profitability was directly linked to percentage of business. Various loyalty/retention programs were developed to increase this percentage, including: computer ordering systems, brand identity, cooperative advertising, private label products, and purchase incentives. Over the four years, market share increased by 50% and net profit margins grew from 4% to 7%.
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