Ace Hardware Corporation is a hardware cooperative based in Oak Brook, Illinois, United States. Ace Hardware was founded in 1924 by Richard Hesse, E. Gunnard Lindquist, Frank Burke, and Oscar Fisher in Chicago, Illinois.
PT Ace Hardware Indonesia Tbk is a home improvement retailer. The Company is engaged in general trading including local and inter-island export and import for home improvement needs such as home and kitchen appliances, paint and sundries, tools, furnitures, household goods, hotel supplies, pet supplies and an assortment of electrical, lighting, gardening, outdoor living, plumbing, sanitary, hobby, sporting, automotive and building interior products. The Company also acts as a distributor and agent for household appliances and lifestyle products. The Company has 39 retail outlets located in Jakarta, Tangerang, Bekasi, Cirebon, Bandung, Semarang, Surabaya, Bali, Medan, Pekan Baru, Batam, Balikpapan and Makasar.
The promulgation of the goals of Ace 2000 and The New Age of Ace exemplified two fundamental changes in the organization and the retail hardware industry. First, by the 1990s, Ace had clearly expanded its expectations of and responsibilities to its affiliates. Second, it demonstrated the organization's determination to survive and grow in the face of increasingly intense competition from what one industry journal called 'the big boxes'--mass home improvement merchants, such as Home Depot, Builders Square, and Lowe's.
As CEO Roger Peterson, who retired in May 1995, told Do-It-Yourself Retailing in December 1994, 'Such growth is necessary if Ace is to remain a major player in the hardware industry, capitalize on the Ace name and reputation, and establish footholds in markets before competition gains a strangle hold.' Between 1994 and 1999, wholesale sales at Ace increased more than 37 percent. By the late 1990s, however, the co-op felt itself increasingly challenged by the rollout of Home Depot's small-store format, Villager's Hardware, designed to capitalize on the 'convenience' hardware market in which Ace specialized.
The company responded with new initiatives and new ventures. In 1995, it established a subsidiary--National Hardlines Supply&mdashø sell to non-traditional retail customers, increase Ace's buying power, and continue to provide support to its dealers. In 1998, it debuted a new strategic plan called 'Encore Growth,' and, a year later, 'Vision 21.' Encore Growth developed programs to improve dealers' gross margins, while Vision 21 aimed to make Ace number one in the 'non-big box' sector by getting dealers to embrace the merchandising, marketing, and operational tactics employed by the co-op's best dealers. Vision 21 posited Ace's effectiveness as a co-op upon how well its employees supported dealers' efforts to sell what they bought from Ace profitably, not upon how much inventory moved out of its distribution centers yearly.
Also in 1998, Ace Hardware and the American Rental Association (ARA) formed a comprehensive buying group program called the Member Buying Alliance. The alliance relied upon Ace's National Hardlines Supply (NHS) to provide ARA members a source for commercial rental products and equipment. NHS also became the supplier in 1998 to the largest non-cooperative buying group for lumber and building materials in the United States. This buying group was formed through a merger of Ace's lumber, building materials, and millwork division, and Builders Marts of America.
In November 1999, Ace launched its first venture in cyberspace with its web site, OurHouse.com, which offered products for sale online and project-related information. In April 2000, Ace placed in-store kiosks in more than 1,000 stores, allowing customers immediate access to the web site. This stronger focus on project-oriented merchandising was a response to the growing market of female shoppers undertaking their own home improvement. Also that fall, Ace opened its first Store 21 in Washington state, a technology-intensive merchandising format designed to accommodate the customer and featured salespeople wearing radio headsets.
Still an ongoing problem at Ace was the sizable minority of dealers whose stores were not sufficiently computerized, whose inventory mix generated inconsistent profits, and whose retail presentation did not fit the homogeneous image Ace desired. Many smaller dealers felt that aligning themselves more closely with the co-op diluted their independence as entrepreneurs. By the company's 75th anniversary in 1999, according to an article in National Home Center News, only one fifth of the co-op's members shared information with Ace via computer. Furthermore, only about half its 5,100 stores were linked electronically to its buying group through its AceNet 2000 e-commerce system, which had been instituted in 1997.
Ace's board of directors spoke of a 'disconnect' between the buying group and members, citing programs that generated sales for Ace but didn't necessarily make dealers' stores more productive. To deal with this, a plan was promulgated to leverage the co-op's wholesale side while reducing costs on its retail side. The co-op hoped to take over management of the routine part of individual store operations centrally, checking in merchandise and handling accounts receivables. It also hoped to cultivate a retail chain image to make individual stores more competitive, and to develop programs for merchandising, operations and training. Once members became more profitable, the hope was that they would consider investing in their stores' expansion and opening more stores.
1928: Ace Hardware incorporates.
1930: Hesse becomes president of the organization.
1969: Ace begins opening regional distribution centers.
1974: Krausman succeeds Hesse as president.
1976: Ownership of Ace passes to its dealers.
1984: Ace begins to manufacture its own line of paints.
1994: Ace launches its strategic plan for the next century.
OVERALL
Beta: 0.64
Market Cap (Mil.): Rp. 4,501,875.00
Shares Outstanding (Mil.): 1,715.00
Annual Dividend: 9.20
Yield (%): 0.35
FINANCIALS
ACES.JK Industry Sector
P/E (TTM): 25.31 14.81 14.13
EPS (TTM): 15.62 -- --
ROI: 17.77 5.82 1.20
ROE: 18.74 8.15 2.08
Name Age Since Current Position
Wibowo, Kuncoro 54 1995 President Commissioner
Widyakrisnadi, Prabowo 48 1996 President Director
Djasman, Hartanto 53 2009 Finance Director
Ong, Paulus 41 2005 Director of Operations
Hartono, Rudy 53 1996 Director of Legal & Compliance
Widyakrisnadi, Ijek 52 1995 Commissioner
Darmadji, Tjiptono 69 2005 Independent Commissioner
Tarub, .. 68 2008 Independent Commissioner
Address:
2200 Kensington Court
Oak Brook, Illinois 60523-2100
U.S.A.
PT Ace Hardware Indonesia Tbk is a home improvement retailer. The Company is engaged in general trading including local and inter-island export and import for home improvement needs such as home and kitchen appliances, paint and sundries, tools, furnitures, household goods, hotel supplies, pet supplies and an assortment of electrical, lighting, gardening, outdoor living, plumbing, sanitary, hobby, sporting, automotive and building interior products. The Company also acts as a distributor and agent for household appliances and lifestyle products. The Company has 39 retail outlets located in Jakarta, Tangerang, Bekasi, Cirebon, Bandung, Semarang, Surabaya, Bali, Medan, Pekan Baru, Batam, Balikpapan and Makasar.
The promulgation of the goals of Ace 2000 and The New Age of Ace exemplified two fundamental changes in the organization and the retail hardware industry. First, by the 1990s, Ace had clearly expanded its expectations of and responsibilities to its affiliates. Second, it demonstrated the organization's determination to survive and grow in the face of increasingly intense competition from what one industry journal called 'the big boxes'--mass home improvement merchants, such as Home Depot, Builders Square, and Lowe's.
As CEO Roger Peterson, who retired in May 1995, told Do-It-Yourself Retailing in December 1994, 'Such growth is necessary if Ace is to remain a major player in the hardware industry, capitalize on the Ace name and reputation, and establish footholds in markets before competition gains a strangle hold.' Between 1994 and 1999, wholesale sales at Ace increased more than 37 percent. By the late 1990s, however, the co-op felt itself increasingly challenged by the rollout of Home Depot's small-store format, Villager's Hardware, designed to capitalize on the 'convenience' hardware market in which Ace specialized.
The company responded with new initiatives and new ventures. In 1995, it established a subsidiary--National Hardlines Supply&mdashø sell to non-traditional retail customers, increase Ace's buying power, and continue to provide support to its dealers. In 1998, it debuted a new strategic plan called 'Encore Growth,' and, a year later, 'Vision 21.' Encore Growth developed programs to improve dealers' gross margins, while Vision 21 aimed to make Ace number one in the 'non-big box' sector by getting dealers to embrace the merchandising, marketing, and operational tactics employed by the co-op's best dealers. Vision 21 posited Ace's effectiveness as a co-op upon how well its employees supported dealers' efforts to sell what they bought from Ace profitably, not upon how much inventory moved out of its distribution centers yearly.
Also in 1998, Ace Hardware and the American Rental Association (ARA) formed a comprehensive buying group program called the Member Buying Alliance. The alliance relied upon Ace's National Hardlines Supply (NHS) to provide ARA members a source for commercial rental products and equipment. NHS also became the supplier in 1998 to the largest non-cooperative buying group for lumber and building materials in the United States. This buying group was formed through a merger of Ace's lumber, building materials, and millwork division, and Builders Marts of America.
In November 1999, Ace launched its first venture in cyberspace with its web site, OurHouse.com, which offered products for sale online and project-related information. In April 2000, Ace placed in-store kiosks in more than 1,000 stores, allowing customers immediate access to the web site. This stronger focus on project-oriented merchandising was a response to the growing market of female shoppers undertaking their own home improvement. Also that fall, Ace opened its first Store 21 in Washington state, a technology-intensive merchandising format designed to accommodate the customer and featured salespeople wearing radio headsets.
Still an ongoing problem at Ace was the sizable minority of dealers whose stores were not sufficiently computerized, whose inventory mix generated inconsistent profits, and whose retail presentation did not fit the homogeneous image Ace desired. Many smaller dealers felt that aligning themselves more closely with the co-op diluted their independence as entrepreneurs. By the company's 75th anniversary in 1999, according to an article in National Home Center News, only one fifth of the co-op's members shared information with Ace via computer. Furthermore, only about half its 5,100 stores were linked electronically to its buying group through its AceNet 2000 e-commerce system, which had been instituted in 1997.
Ace's board of directors spoke of a 'disconnect' between the buying group and members, citing programs that generated sales for Ace but didn't necessarily make dealers' stores more productive. To deal with this, a plan was promulgated to leverage the co-op's wholesale side while reducing costs on its retail side. The co-op hoped to take over management of the routine part of individual store operations centrally, checking in merchandise and handling accounts receivables. It also hoped to cultivate a retail chain image to make individual stores more competitive, and to develop programs for merchandising, operations and training. Once members became more profitable, the hope was that they would consider investing in their stores' expansion and opening more stores.
1928: Ace Hardware incorporates.
1930: Hesse becomes president of the organization.
1969: Ace begins opening regional distribution centers.
1974: Krausman succeeds Hesse as president.
1976: Ownership of Ace passes to its dealers.
1984: Ace begins to manufacture its own line of paints.
1994: Ace launches its strategic plan for the next century.
OVERALL
Beta: 0.64
Market Cap (Mil.): Rp. 4,501,875.00
Shares Outstanding (Mil.): 1,715.00
Annual Dividend: 9.20
Yield (%): 0.35
FINANCIALS
ACES.JK Industry Sector
P/E (TTM): 25.31 14.81 14.13
EPS (TTM): 15.62 -- --
ROI: 17.77 5.82 1.20
ROE: 18.74 8.15 2.08
Name Age Since Current Position
Wibowo, Kuncoro 54 1995 President Commissioner
Widyakrisnadi, Prabowo 48 1996 President Director
Djasman, Hartanto 53 2009 Finance Director
Ong, Paulus 41 2005 Director of Operations
Hartono, Rudy 53 1996 Director of Legal & Compliance
Widyakrisnadi, Ijek 52 1995 Commissioner
Darmadji, Tjiptono 69 2005 Independent Commissioner
Tarub, .. 68 2008 Independent Commissioner
Address:
2200 Kensington Court
Oak Brook, Illinois 60523-2100
U.S.A.