Management Team Had Significant Interest in Becoming Owners
Background
Global Parts Distributors (GPD) is a leading regional distributor of aftermarket automotive air conditioning components. When Owner Resource Group and its affiliates (ORG) were introduced to the Company in 2008. At the time, none of the management team had any ownership in the Company and they had a significant interest in becoming owners. The Company’s owners had several business interests in need of capital so the owners wanted to sell the Company to a group that would support the existing management team.
Solution
In 2009, ORG was able to accomplish the company’s owner’s goals while developing an ownership program for the existing team and capitalizing the business for growth.
Key Initiatives
Provided significant ownership to key management
Introduced the company to its largest customer
Relocated and upgraded the company’s largest facility (using that opportunity to optimize the facility lay-out and processes)
Invested in technology infrastructure with a new ERP system
Acquired a significant competitor with a complementary product line
ORG Involvement
In partnership with ORG, the Company successfully consolidated three distribution facilities into one world-class facility. The Company also upgraded its ERP system while establishing TPL facilities nationally to ensure they could reach any customer via one-day UPS ground. The Company also expanded it’s salesforce and added a Controller to the management team. In order to expand its product offerings, the Company acquired Santech Automotive Components.