Advance Auto Parts announces organizational design changes

June 19, 2014
Advance Auto Parts announced corporate organizational design changes as part of its ongoing integration of General Parts International.

Advance Auto Parts announced corporate organizational design changes as part of its ongoing integration of General Parts International.

The company will organize its corporate operations around two Store Support Centers in the Southeastern United States, utilizing its Roanoke and Raleigh offices, and reorganize several corporate functions between those locations. The company also announced plans to close its Minnesota office in September 2015, and consolidate its California Bay Area e-business teams to its Newark, Calif., location, which also serves as the headquarters for Worldpac, in the summer of 2014.

“We continue to make progress in our integration of General Parts International. Today’s announcement is the next step in those efforts as we work to enable an efficient and effective corporate team that best utilizes the strengths of both organizations and positions our company for continued profitable growth,” said Darren R. Jackson, Chief Executive Officer. “These changes will provide increased support to our field, commercial and store teams; strengthen collaboration among corporate team members; facilitate more efficient decision making and enhance our ability to serve customers.”

The Roanoke Store Support Center will be the hub for the majority of enterprise-wide corporate functions that support the day-to-day operations of the company. The Raleigh Store Support Center will become the hub for functions that most directly impact customers. Under the new organizational structure, Chief Executive Officer Darren Jackson, President George Sherman, and Executive Vice President and Chief Financial Officer Mike Norona will be based in the Raleigh office.

The transition of corporate functions will happen gradually over the next 12 to 18 months. Following the transition, there will be approximately 1,600 team members employed in the Roanoke Valley of which approximately 1,000 will be employed at the Store Support Center. The Raleigh office will employ approximately 600 team members.

“We’re proud to partner with Advance Auto Parts to bring more high-paying management jobs to our state,” said North Carolina Governor McCrory. “This announcement is further evidence that North Carolina’s economy is growing and that we are serious about investing in our workforce.”

The project was made possible in part by an award to Advance from the state Job Development Investment Grant (JDIG) program, as voted by the state Economic Investment Committee, according to a news release from the office of the governor. Receipt of the award is based on proof of job creation and other performance requirements. JDIGs are awarded only to new and expanding businesses and industrial projects whose benefits exceed the costs to the state, and which would not be undertaken in North Carolina without the grant.  

Under the terms of the company’s JDIG award, Advance is eligible to receive up to 12 annual grants equal to 75 percent of the state personal income tax withholdings from the eligible new jobs created since the date of the initial award. Receipt of each annual grant is based on state-certified proof that the company has fulfilled incremental job creation requirements. Over 12 years, the JDIG award could yield aggregate benefits to Advance of over $17.4 million, the governor’s office release said.

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