AAP's lack of profitability since the CarQuest acquisition has nothing to do with the cost of a few hundred employees.
AAP's failure is due to the complete lack of vision, direction, strategy, focus, prioritization, and sustained execution on the part of senior management--the same senior management that is engineering the "Wire to Win" Initiative (Layoffs) and will walk away from the impending sale with $100's of millions while the peons collect unemployment.
I say stop all stock options for all those people and hire parts people to run the stores.
Carquest acquisition was genius. They should have just left it alone like API which is doing well.
Really. They were top heavy to begin with. Some positions will have to come back and of course at a lower pay. This was needed years ago instead of cutting it in the stores which they consistently did. This was smart and not so smart because experienced, result driven people were eliminated and other inexperienced and inconsistent producing people were left. When are they going to realize they need to also hit up UBER Rush and combine this for home delivery. Less people go to the stores because of online savings.
You are absolutely correct. As a former 25+ year member of the auto parts industry, I've never seen a company more poorly managed than AAP. The unbelievable turnover rate is what you get for hiring anyone with a pulse. How do backgrounds with history with the likes of Circuit City, Best Buy, Radio Shack, etc. correlate with auto parts? Recruiting from failed company is just picking low hanging fruit.
The new CEO T.G. came from Pepsi/Frito Lay...what person in their right mind leaves a company that makes Dorito's as m-r-j-a-a legalization gains momentum?
Why do you think the commercial customers laugh all the way to the bank when they can get a price match on any number they give the store?
Hopefully the impending sale will bring a team of industry professionals that are respected within the auto parts business by both the customers and employees.
I agree. It's pretty clear the geniuses at the top have no ideas except cost-cutting. Those who have been around long enough remember going from 3x replenishment to 1x to save money. Then when O'Reilly started taking away market share, back to 3x, then to 5x, and now back to 3x.
This is spot on. Like they are the smartest guys in the room and think they are trying something that wasn't tried before. They don't have the strategy or vision because they don't understand the business. They pay consultants to try and figure it out. Cut the 22.8 million CEO salary. Why pay that for poor performance!
CarQuest acquisition Was truly a huge mistake
Oh well