Getting the engine running

Research evidence excerpt

Getting the engine running

Macquarie Equity Research Bapcor

and converted one franchise to a company owned store, d) opened 3 new trade stores

in Australia.

2. One supply chain. BAP has commenced portfolio reviews across key wholesale

categories to optimise inventory. There is broader progress on consolidation of

distribution centres in WA and NZ, while operations have commenced in two offshore

consolidation centres (located in Shanghai and Qingdao) with the first shipment in

December.

3. Customer focus. Commenced price realignment project in the Trade segment to

improve competitiveness, implemented a company-wide NPS capability to enhance

future customer experience, relaunched the Autobarn brand ("All for the drivers"), and

completed customer experience discovery project. BAP has changed Burson store

manager incentives to grow its own brand sales and also launched Direct to Customer

deliveries from its DCs.

4. Digitalise the business. Enhanced EzyParts platform which is the online parts

catalogue for Trade and New Zealand, launched Ezydata to provide customers with

digital manuals for replacing car parts, completed NZ business telephony hardware

roll out, and developed Vehicle On Road (VOR) system in NZ to improve alignment of

ranging supporting overall inventory quality.

5. Store fitness. BAP has built team capability via piloted manager training program

across all segments to build leadership capability, hired >30 new Autobarn

store managers, and implemented Wholesale team sales training and incentive

program. Other progress includes commencing focused performance reviews for

underperforming Trade stores, implemented process improvements and controls

for Precision inventory management, sales planning and financial management, and

refurbished 6 Autobarn stores.

6.