O’Reilly Auto Parts acquires CSK Auto and becomes the Third Largest Auto Parts Chain in the Country

To merge CSK’s supply chain with O’Reilly’s, the O’Reilly executive team developed a master plan that focused on market growth, mode of supply chain support, and a strategy for finding middle ground between retail and wholesale business requirements. A major element in this acquisition was to better utilize inventory, real estate, distribution centers, labor, and transportation while improving service levels to the stores and their customers.

Due to the complexity, scale, and speed required, O’Reilly teamed with long term partner, Fortna, because of their experience and success with managing many projects simultaneously, keeping them on time and on budget, while mitigating risk and helping lower total supply chain costs.

Merging and consolidating the O’Reilly and CSK supply chains quickly required the breadth and depth to handle:

Ø Increased SKU count and improved inventory mix

Ø Strategically placed distribution centers

Ø Highly integrated computer systems

Ø Organizational changes

Ø Modified transportation / product distribution to support O’Reilly’s daily delivery model

Ø Real estate

O’Reilly was able to accomplish these critical elements by leveraging their internal and external team resources, including the Fortna team.

The vision of the acquisition was to improve market share and gain economies of scale plus meet the expectations of Wall Street. Fortna is proud to be a partner with Supply Chain Leader O’Reilly Auto Parts!

O’Reilly and Fortna have forged a long term supply chain partnership

The long term partnership between Fortna and O’Reilly Auto Parts has supported their supply chain by effectively supporting aggressive internal growth and revenue goals while the company grows organically as well as through acquisitions.

“I truly value our partnership with Fortna and the proven track record that our companies share. Fortna continues to deliver a high quality product, while working with us to drive cost out of our DC designs, while improving operating efficiency.” Greg Johnson, Senior Vice President, Distribution Operations, O’Reilly Auto Parts

As O'Reilly's continues their rapid growth, the effects are felt first hand in their distribution network. O’Reilly Auto Parts and Fortna are long term supply chain partners with over 20 projects completed in more than 16 Distribution Centers, including several greenfield DC’s and multiple DC retrofits. As O’Reilly has identified strategic requirements, Fortna has been there to design operational and system enhancements needed to meet the high on-demand inventory requirements in their stores and for their wholesalers, providing a foundation for future growth.

Fortna is committed to, and focused on, exceeding O’Reilly’s strategic, operational and financial goals while minimizing their investment, risk and time to value!