CarParts.com promotes CFO in C-Suite shakeup – CFO Dive

March 17, 2022 by No Comments

Dive Brief:

  • E-commerce seller CarParts.com named its CFO-COO David Meniane to replace outgoing CEO Lev Peker and promoted Senior Vice President of Finance Ryan Lockwood to CFO. Peker is stepping down April 15 to pursue other business opportunities.
  • As CEO Meniane, CFO since March 2019, will receive an annual base salary of $609,000 and be granted $1.9 million in restricted stock units with vesting schedules, according to an SEC filing. He will also be eligible to receive an annual target incentive bonus of up to 100% of his salary. 

  • Lockwood, SVP since June 2020, will receive an annual base salary of $400,000 in his new role, be eligible for an annual target bonus of up to 50% of his salary and be granted $974,000 in restricted stock units, also with vesting schedules. 

Dive Insight:

The leadership move is one of the latest to underscore the accelerating CFO-to-CEO path. The percentage of sitting CEOs at Fortune 500 and S&P 500 companies coming from internal or external CFO positions ticked up to a 10-year high of 7.9% last year from 6.6% in 2020, according to a Crist|Kolder Associates report.   

Internal picks for the C-suite typically signal that a company is staying its strategic course and the company signaled as much in a statement saying its mission “remains the same” despite the shift in leadership. 

A big e-commerce seller of gaskets, brakes and other products to consumers for do-it-yourself repairs, CarParts.com has undergone an “aggressive turnaround journey” that has resulted in growth across its business, Meniane said in a statement. He was credited by the company with building a vertically integrated supply chain and the company’s data science team. 

Meniane is also one of an increasing number of financial executives bulking up inventory and pushing back on the long-time trend toward just-in-time lean inventory management.

David Meniane

Courtesy of CarParts.com

 

“In this environment [just-in-time] doesn’t work. The longer the lead time, the less reliable the supply chain, the more inventory you have to carry, ” he recently told CFO Dive. Otherwise “we lose the sale to whoever has inventory and is more aggressive.”

Lockwood in an email said the company would continue on its inventory course. 

With over 300,000 square feet of warehouse space coming …….

Source: https://www.cfodive.com/news/carpartscom-promotes-cfo-in-c-suite-shakeup/620535/

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