For the fifth year in a row, the editorial staff of aftermarketNews
has selected the top individuals who have made an impact on the
industry this past year.
The Alliance
In October, Aftermarket Auto Parts
Alliance Inc. (the Alliance) announced the creation of a new position
-- executive vice president. A major role of this new senior management
team member will be to lead strategic initiatives that will strengthen
the Alliance’s position as an industry leader. Responsibilities will
also include interaction with Alliance members and vendors as well as
Alliance Parts Warehouse; the Alliance’s co-man Little Rock, Ark.,
location. The Alliance, based in San Antonio, Texas, is headquarters
for one of the largest aftermarket groups in North America. Its
membership consists of privately-held large and medium-sized warehouse
distributors as well as parts stores and service centers. Former
manufacturing exec John Washbish will join the San Antonio team as
second in command to Alliance President and CEO Richard Morgan.
Washbish brings with him more than 30 years experience in the
automotive aftermarket, more than half of them as a senior executive.
His talents are uniquely geared toward this industry as he has worked
in automotive manufacturing and with automotive distributors that
relied on his strengths to help make them more efficient and
profitable.
Affinia
Not afraid to be labeled "outspoken," the
top executives at Affinia Group Inc. this past year offered up their
opinions on a number of important issues by way of open letters and
public written statements. The most recent was a written statement
titled "A Message from Affinia Concerning Lightweight Rotors." And
while this got the attention of many in the industry, the more
unexpected communiqué from the parts manufacturer was the Open Letter
from President and CEO Terry McCormack in June, which announced that
the company would scale back its presence at the 2008 AAPEX show in Las
Vegas, citing that the company's decision speaks to the more
significant shifts taking place in today’s business world changes
that cannot be ignored. In the letter, McCormack wrote, “We believe the
automotive aftermarket is in the throes of a paradigm shift."
Michael Cardone Jr.
Not one to look for the
spotlight, Michael Cardone Jr. nonetheless deserves recognition for the
truly unique and creative approach he took in 2008 to the issue of
rising healthcare costs. In September, CARDONE Industries announced the
establishment of The CARDONE Factory Family Health Clinic, which will
provide high quality health care exclusively for CARDONE Factory Family
Members and their families. The 2500-square-foot facility, located on
property already owned by CARDONE, will offer primary health care,
internal medicine, care management, diagnostic and wellness services to
CARDONE’s 4,000 employees and 8,000 family members. Established in
conjunction with Philadelphia’s Holy Redeemer Family Health Center, the
facility will provide convenient access to health care, it will also
offer flexible hours, cutting down on unnecessary and expensive
emergency room visits, for CARDONE employees and family members.
The Driving Public
While the past year made many of
us feel powerless as we stared $4-per-gallon gas in the face, 2008 may
actually have been the year where consumers made more of an impact than
ever before particularly when it came to driving and vehicle
maintenance habits. With the entire country in the midst of economic
turmoil, American consumers this past year were on many occasions
forced to make some tough choices in light of rising gas, healthcare
and food costs, while also struggling to make mortgage payments and
hang on to their jobs. Driving less (and therefore buying less gas) and
opting to hang on to and maintain their current vehicles were two key
ways U.S. consumers were able to make a dent in their spending habits
in 2008. In June 2008, the U.S. Department of Transportation’s Federal
Highway Administration reported a significant decrease in the amount of
miles driven, and petroleum demand dipped to the lowest level in 26
years.
Steve Hoellein
One of the industry’s most unsung
heroes received some much-deserved recognition this past year. Steve
Hoellein, president of Felt Auto Parts in Odgen, Utah, was recognized
in May for his outstanding efforts raising funds for the GAAS
scholarship fund as well as for his industry recruitment efforts in his
home state of Utah. Frustrated with the lack of programs aimed at
recruiting bright, young professionals to the auto parts industry,
Hoellein, took matters into his own hands, starting right in his own
back yard. Not only does he recruit students to complete internships at
Felt Auto Parts, but he has also worked with local and state government
to take his recruitment crusade to a new level. Several years ago he
helped start the Automotive Aftermarket Advisory Council in his
community, which is comprised of local aftermarket businesses with the
purpose of getting the industry’s name out in the community and to work
in promoting automotive technology in the high schools. His own career
path serves as the perfect tale of success when recruiting. Hoellein
started out as a driver with Felt Auto Parts in 1966. He became manager
of the company’s machine shop operations in 1971, and became a company
owner in 1985, taking over management of the company’s entire
operations. A member of the Automotive Warehouse Distributors
Association (AWDA), he received his Automotive Aftermarket Professional
(AAP) designation in 1994.
The Leaders of AWDA
In addition to spending years
rising through the ranks of their professions and excelling at their
work day after day, the following four men go far beyond the
nine-to-five routine, selflessly giving up their time, ideas,
creativity and executive prowess to better the aftermarket industry.
And, at AAPEX in November, they were recognized for it. The Automotive
Warehouse Distributors Association (AWDA) presented the 2008 Art Fisher
Memorial Scholarship Award to former Bosch exec and current GAAS
Chairman David Caracci in recognition of his ongoing commitment to
education through involvement in the University of the Aftermarket and
Global Automotive Aftermarket Symposium (GAAS). The award is presented
annually to an aftermarket company or individual who demonstrates
outstanding commitment to education and training. Given in memory of
former AWDA chairman Art Fisher, the award grants substantial
scholarships in the name of the award winner to two students enrolled
in the automotive aftermarket management program at Northwood
University. Robert Egan, vice president, North America - Global
Aftermarket for Federal-Mogul Corp. was named the 2008 recipient of the
AWDA Leader of the Year Award. Each year, AWDA bestows this prestigious
award on an aftermarket professional who has contributed to the
industry in a unique and significant way. Richard Morgan, president and
CEO of Aftermarket Auto Parts Alliance, was presented with the Martin
Fromm Lifetime Achievement Award by AWDA. This very selective award
recognizes individuals who, over the course of many years, have
distinguished themselves through their commitment to, and high level of
performance within, the motor vehicle aftermarket. Recipients of this
award are considered to be "backbones" of the industry. And, Dennis
Welvaert, president of the North American Aftermarket Division of Dayco
Products LLC., based in Tulsa, Okla., was honored with the AWDA 2008
Pursuit of Excellence Award. Established in 1983, this award is given
annually to a member of AWDA in recognition of excellence in business
performance and support for AWDA and its ideals.
Mort Schwartz
Dubbed “the automotive aftermarket's
greatest ambassador,” Mort Schwartz, founder of the Global Automotive
Aftermarket Symposium (GAAS), was in 2008 given the ultimate industry
recognition. Honored with nearly every aftermarket award ever created,
this past year Schwartz was inducted in the Automotive Hall of Fame in
recognition of his dedication to the industry. Schwartz's 40-year
career includes directorships and chairmanships of several major
industry organizations including the Automotive Parts and Accessories
Association, the Automotive Warehouse Distributors Association and the
California Automotive Wholesalers Association. Schwartz currently
serves on the board of directors of WORLDPAC, a major aftermarket parts
distributor, is a consultant to General Parts Inc., and serves as a
Trustee of the University of the Aftermarket Foundation.
NASTF
First established as a voluntary organization
nine years ago, the National Automotive Service Task Force (NASTF) has
come a long way in less than a decade. Since being officially
incorporated as a 501(c)-6 organization in 2006, NASTF has made great
strides to develop an official set of standards for opening dialogue
and clarifying any issues for technicians acquiring service and repair
information from automakers. The task force’s most recent
accomplishments include getting 13 automotive manufacturers to sign the
National Automotive Service Task Force (NASTF) Service Information
Standards Agreement, established in November 2008. The standards
consist of three parts: definitions; automotive service information
standards; and an information request and resolution process. While
much of the standards embody the practices that have been in place for
more than six years, a binding arbitration backstop included in the
NASTF Dispute Resolution Process has been added. In addition, after
three years of work, NASTF in 2008 announced that the Secure Data
Release Model (SDRM), which allows properly vetted technicians and
security professionals to access key codes, immobilizer PINs and other
security-related information, had been released to the industry.
The U.S. Government
After weeks of warnings that the
Detroit 3 were on the verge of an all out collapse, in the 11th hour,
Washington came through for the auto industry. In early December, the
House approved a measure to provide $14 billion in loans to the Detroit
3 automakers, GM, Chrysler and Ford. The bill was passed by a vote of
237-170. However, the bill failed in the Senate by a vote of 52-35. The
bill failed after talks broke down over the refusal of the United Auto
Workers union to meet Republican demands for aggressive wage
reductions. General Motors Corp. and Chrysler said they could run out
of cash within weeks, after the bill was rejected. Both parties called
for the Bush administration to tap into the $700 billion T.A.R.P. funds
that were being used to fund the rescue of the financial industry. On
Dec. 19, the Bush administration announced it would give General Motors
and Chrysler $17.4 billion in loans from the T.A.R.P. funds. According
to reports, $13.4 billion will be available immediately to the
automakers and $4 billion will be made available in February, assuming
the Obama administration draws down the second half of the bailout
funds. As was the case with the proposed legislation that did not pass,
if the government does not feel the automakers have made enough
progress in their turnaround by March 31, the loans can be recalled.