When CEO and President Stuart Schuette recently explained to American Tire Distributors Inc. associates why the company was downsizing its Field Support Center, the letter was long on strategic initiatives and short on details.
Here are more of the details. The American Tire Distributors (ATD) Field Support Center in Huntersville, N.C. -- think of it as the company's headquarters -- supports the field associates on the sales and supply chain teams. That includes ATD's Tire Pros associates, just as it includes the Hercules associates and the digital marketing associates.
Of the people affected, some positions supporting the Tire Pros franchise program were also reorganized. ATD did not reveal the number of positions eliminated; according to a story on www.bloomberg.com, the reorganization "includes dismissing 100 employees."
"This decision was not taken lightly but was necessary not only to align our capabilities with our strategy, but also to ensure the company will continue to serve its customers well into the future," said a company spokesperson. "By taking a look at how to further improve our field support functions, which includes Tire Pros, ATD will continue to deliver results for manufacturer partners, customers and Tire Pros franchisees."
In a letter to the approximately 510 Tire Pros franchisees on July 25, Ron Sinclair, president of Tire Pros and senior vice president of retail strategy and partnerships for ATD, explained some of the organizational changes "that we believe will improve our operations and drive growth within the franchise by optimizing how we support you, our franchisees and customers."
Here is what Sinclair wrote.
"As part of our new operating model, we are designating a single point of contact to manage every aspect of our Tire Pros relationship with you.
"The newly introduced retail account manager role will focus on your business in its entirety, be responsible for unlocking all the value of the franchise and make it easier to do business with Tire Pros and ATD. This team will have dedicated support from both Tire Pros and ATD in order to provide integrated marketing support and digital tools developed to grow your business.
"In addition, it’s important to identify and enroll new franchisees to build the program in the months and years to come. In the past, members of the Tire Pros team had responsibility for franchise development in addition to supporting current franchisees. As part of our new organizational design, we will have two senior team members focused 100% on franchise development. We are confident this will accelerate the number of new franchisees joining Tire Pros.
"We are committed to helping you grow your business, building the Tire Pros franchise and ensuring that working with Tire Pros and ATD is hassle-free. These changes are effective immediately. Your new retail account manager will be in touch soon to discuss the new support structure and the many opportunities it will offer."
The Bloomberg article also reported ATD is "creating 40 new positions, with targets for about $20 million in annual savings from the reorganization."
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