Automotive Dealership Fixed Operations News and Information

GM and Toyota Techs needed

2015-11-06T10:31:00.001-05:00

Madera Auto Center is Looking for GM and Toyota techs. All levels needed. Service department expanding!!!

Apply in person at:

Madera Auto Center

Madera, CA

Or send resume to robin@maderaauto.com

Advisors like it Easy

2015-06-17T17:29:00.001-04:00

http://www.dprsvcportal.com/portal/SupportCenter/EducationalArchive/tabid/827/Article/55/Advisors-Like-it-Easy.aspx

Smothered by the Rut Blanke

2014-12-08T11:25:00.001-05:00

Smothered by the Rut Blanket

What would a Professional Service Advisor do?

Professional Service Advisors are prepared for the day ahead of them and don’t get caught in the “why bother because everyday is the same” rut.

Now, why is this so important? I mean, c’mon, isn’t every day just the same?

Open the door, reset the alarm, start the coffee, turn on the computers, check for night drops, check your email, flip through the stack of carry-overs, etc, etc, etc.

Sounds like the “same ol’, same ol’” to me. No change required. No need to do anything different. You can live your life like a sheeple. Lots of companies need sheeples.

If that is the kind of career and the kind of earnings you want, then go for it. It is easy to be easy. You can let your whole life creep along this way, no problem.

What you have to realize is that it is not the daily routine that gets you; it’s the thinking behind the daily routine. If the day before you looks like and feels just like yesterday, then it must be the same.

And that’s when the rut gets you. Ruts do not grab you suddenly from behind like a mugger on a city street. It is not a full front assault. Because if getting into a rut was like that, we would all take precautions and avoid it.

No, getting into a rut or “stinkin’ thinkin’” is more like being smothered by a soft layer of blankets, one blanket at a time. When you get that first blanket, it’s all warm and cozy (just like your daily routine) and it feels good. Who wouldn’t feel secure in a snugly little blanket?

Then the next blanket gets piled on and you feel even more warm and cozy, just like Grandmas house at night in the winter after a cup of hot chocolate. Doesn’t that sound nice?

And every day another soft blanket gets piled on and before you know it, you are being crushed by a pile of blankets a thousand feet tall. You can’t breathe, you can’t move, in fact, you can’t even get out from under that pile of blankets. It’s so freaking heavy it squeezes the life out of you like hot cheeze wiz. Gruesomely gooey.

Blankets don’t seem so warm and cozy now, do they? Ruts are like that. Softly smothering you while wrapping you up with a false sense of security. And nothing rips through that blanket like a bucket of cold water than the Dealership getting sold, or the manager getting fired. Where is your blanket now Linus?

Earl Nightingale said “A rut is nothing more than a grave with the ends kicked out.”

We all want our days to have some routine and normalcy. It is what makes the world go around. What we don’t want to do is assume that everyday will be the same as the last one and start assuming that our Professional life and career growth stops merely because we have figured out a way to stay “warm and cozy.”

Professional Service Advisors get prepared for their day and their careers because they know that every Customer is different and it is better to be prepared to Take Action that to have Action Taken. And they take that into their Professional life as well. They don’t stand around and wait for the manager to say “Hey, have you completed training this year?” They are constantly taking the time to become better at their profession and better prepared than their competition.

Here is another way to think about it. If this does not describe you, then it’s the Advisor standing next to you getting prepared. Your immediate competition.

Here are 10 ways you can get ready for your day, your career and your Professional life. Get out of your rut.
1.Read more. Read anything that contributes to your abilities, your skill sets and education. You own those 3 free and clear. Making them better pays dividends to you 10 times what you put into it.
2.Practice your skill sets frequently. Role play, write a new greeting, new script, anything that will stimulate your mind and get you thinking about how you can do something better or different for your Customer. This will lead to a sense of satisfaction and just as important, more income.
3.Start a focus group in your workplace with other Advisors. You don’t need permission from anyone, JUST DO IT! Believe it or not, there are other Advisors in your store that have issues just like you. Waiting for someone to help is not going to get it done. Pick a subject that needs attention in your Service Drive, get the other Advisors together and get started on taking care of it.
4.Mentor someone at work. Teaching them the right way to do things will keep you on the right track, stimulate new thinking and may, just maybe, lead you to a new way of doing business.
5.Join a Professional Organization or Association. This will let you connect with others in the car biz while allowing you to gain knowledge and skills. Google it.
6.Join Toastmasters. If you are a true Service Professional and have not taken advantage of learning how to speak on your feet (for nearly nothing by the way) how Professional can you be?
7.Take a class. Writing, Speaking, Computer etc… Get new knowledge!
8.Teach a class at work. Teaching and Mentoring is the new “old school.” Skills and knowledge are being lost in the workplace faster than can be replaced. Someone has to lead the way, why not you?
9.Write down what you have to do the next day before you leave that day, go through all of your carry-overs, go through all of your appointments and make notes so you are prepared to talk to your Customer, check with Parts and make sure the VOR Parts got ordered (can you see where this is going?) etc.
10.GET HUNGRY! GET PASSIONATE! People love doing business with people who are HUNGRY and PASSIONATE about what they do. ( I use Caps to show you how PASSIONATE I am about the Service Business) There is absolutely no better experience than dealing with a Professional who wants to do a better job because they are HUNGRY and PASSIONATE about their Profession.

Preparing for the day ahead is not just about the very next day. It’s about being ready for every day, about changing your life and getting out of it what you want.

Professionals get prepared.

Smothered by the Rut Blanket

R this and R that

2012-03-24T16:13:00.000-04:00

R this and R that. Which one is the right R for our Dealership? If we concentrate on ROI, what do we lose in ROR? Is it possible to have too much focus on ROR?

Wait. I didn’t explain what I am talking about very well. Ok. ROI is referring to Return On Investment. This “Investment” can be anything. Time, Money, Parts, Labor…anything. And when we “Invest” we have a perceived “Return” we would like to get back.

ROR is Return On Relationship. And this too requires an “Investment.” Of ourselves. That’s why ROR is a little more important (IMHO) than ROI. Because we put “ourselves” in the building of the Relationship, when we don’t get a “Return”, we feel bad about the decision.

If we put a part on a car or give a discount, and the Customer goes sideways or doesn’t come back, we feel the loss of revenue. And when it doesn’t work out, we might mutter under our breath, but we can move past it because we don’t have a piece of us on the chopping block. We can “write it off” as a “bad investment.”

When we start building Relationships we put some of ourselves into this Relationship, and the last thing we want is our Customer to go someplace else to have Service work performed on their vehicle. Our “Return On Relationship” suffers and we have a difficult time “writing it off” because it is about us.

Yes, we need ROI. Profit is important. Revenue is important. We work for MONEY! But, the Relationships we build with our Customers is even more important. Without ROR, every Dealership will fail.

So, what do we do different in Service to build a Relationship that is different from every other department in the Dealership? Not much.
In Sales, do we not strive to build a Relationship or a connection with the Customer as they come on to the lot, call us on the phone or send us an email?

In Sales, do we not have a Sales process to guide the Customer from the initial Meet and Greet through the Sales transaction to delivery and then

Layers of a typical sales funnel. (Photo credit: Wikipedia)

follow-up?

In Sales, do we not advertise for additional business using every media available to us?

In Sales, do we not have a process that every Sales Customer is taken on a tour of the Dealership and introduced to every department so they can make the transition from “Here is a New Sales Customer” to “Here is OUR New Customer?”

In Sales, do we not have one meeting a week at a minimum to generate excitement, introduce upcoming Sales events, reinforce best practices, go over aging inventory, describe specials and define Goals for the coming week/weekend?

So, if we do all of these things in the Sales department, and it is part of the Standard Operating Procedure to build a Relationship with the Customer, why would we do something different in Service?

We wouldn’t. In building Relationships with our Customers, we need to be consistent and Send the same message to our Customers from the initial contact to the initial Service appointment.

In Service, we need to start the ROR process from the moment we first meet the Customer. The strongest message we can send begins with a proper Greeting, a friendly outgoing attitude and a complete and thorough walk around every time they come in for Service.

In Service, we must have a Sales process to efficiently guide the Customer and ADVISE them as to the proper way to MAINTAIN their vehicle so they get maximum life and value from their purchase.

In Service, we must have an advertising budget to keep in contact with our Customers in a manner they have come to expect and taking into account how they want to be contacted. We must be as media savvy as any other Dealership department.

In Service, our ROR process must include a “How to” of the Service department. Everything from “How to make an appointment” to “How will the Advisor advise me on needed services and repairs?”

In Service, we must conduct weekly meetings with our personnel to generate excitement, describe specials, discuss service issues, reinforce best practices and define Goals for the week.

If our Standard Operating Procedure was the same for every Department in our Dealership, would we not have an EXCEPTIONAL Return on Relationship which would give us an EXCELLENT Return On Investment?

Chrysler Level 2-4 Technicians Needed

2012-03-24T15:44:00.001-04:00

Suncoast Chrysler Jeep Dodge Ram is expanding

and is in need of

Level 2 - 4 technicians along with Express Lane Technicians.

Suncoast Chrysler Jeep Dodge Ram

8755 Park Blvd.

Seminole, FL

JOB DESCRIPTION

Be a part of one of the most important teams in the dealership - The service department! As a level 2-4 Automotive Technician you will quickly and efficiently perform routine maintenance and identify the cause of breakdowns and repair them using the most optimal solutions. Chrysler service departments are clean, safe and state-of-the-art. The jobs are challenging and extensive training is available to those who are career focused. State-of-the-art equipment and career advancement, it's all here for an Automotive Technician at your Chrysler Dealership!

Job Responsibilities.

• Confer with customers or service advisors to obtain descriptions of vehicle problems, and to discuss work to be performed and future repair requirements. • Test-drive vehicles, and test components and systems, using diagnostic tools and special service equipment. • Perform quality inspections of vehicle repairs prior to returning the vehicle to the customer • Diagnose, maintain, and repair vehicle automotive systems including engine, transmission, electrical, steering, suspension, braking, air conditioning, etc • Communicate directly with the service advisor so that customers can be informed if any additional service is needed. Providing an estimate of time needed for additional repairs. • Execute repairs under warranty to manufacturer specifications.

JOB REQUIREMENTS

As an Automotive Technician , you will be experienced and aware of the latest automotive technologies and be a persistent problem solver. We have determined some factors that may enable your success as an Automotive Technician:

• Must have at least 2 years of experience as an automotive technician • Must have some level of instructor led automotive training (e.g. high school automotive, vocational, college, technical school, OEM, etc.) • Team oriented, flexible and focused on maintaining a high level of customer service • Must have working knowledge of shop equipment such as wheel and tire equipment, alignment system, diagnostic equipment, AC equipment, etc.) • Must have a valid driver's license • Must pass background check• Must pass drug test

> Competitive pay depending on experience and Level ranking
> Aggressive Bonus plans
> Health Insurance
> 401K
> Paid holidays
> Paid vacations
> Bonus days off
> Clean enviornment - bays cleaned professional each night
> Family owned and operated
> Paid training

Apply in person to Bob Day or Robin Heywood or respond to this ad with your resume

Suncoast Chrysler Jeep Dodge is in need of a Main Shop Advisor and an Express Lane Advisor...Business is growing!!!

2012-02-26T11:25:00.001-05:00

Suncoast Chrysler Jeep Dodge

is growing and in need of an additional

Main Shop Advisor and an

additional Express Lane Advisor.

If you are in the Tampa Bay/Seminole area, you have the opportunity to join the

fastest growing service department

in the Tampa Bay area.

Send your resume to

rheywood@suncoastcjd.com

immediately

One word every Service Department needs.

2012-02-26T10:53:00.000-05:00

What would be the one word to describe what a Service Department needs these days to compete?

There are so many to choose from. However, the one word that keeps coming up when I visit Dealerships across the country is adaptability.

The Dealerships that are doing well, adapt to changing market conditions and Customer demands.

Even if this is your first day in a Dealership, you know that the ability to adapt is the key to Exceeding Expectations.

The dictionary tells us that it means to “adjust to new circumstances.” Boy, if that is not the definition or guiding principle of the Service Department these days, I don’t know what is.

If you think about it, the Service Department is the only “gray” area in the Dealership. Everything else is black and white.

We have the part in stock or we don’t. We have the car on the lot or we don't. We can fund you or we can't. We are open extended hours or we are not.

In the Service Department, they don’t have those hard and fast rules because Customers and the situations that Service Advisors deal with are seldom written in stone. It’s more like an “etchasketch.”

This requires a person that is adaptable, flexible and understanding with the backing of an organization that is adaptable, flexible and understanding. Having either without the other won’t work.

And if you have Service Advisors who do not understand this concept or cannot adapt to a Customers Expectations, you will have problems.

When you have staff that are rigid and inflexible, you end up with Customers getting service that they would describe one of several ways. They say things like “Functional, yet cold” or “They helped me but they were somewhat unfriendly” or “I had to yell at them to get them to listen to me” and lastly “What the %$&^ is wrong with you guys?”

On the flip side, if you have personnel that are really trying to work within your Dealership system and are not “Empowered with Authority” you end up with comments like “I have used you guys in the past and I’ll continue, but not as much as I used to” or “I don’t know if I’ll come back, even though your Advisors are great” and “They were ok, but if I find someone else that is closer or cheaper, I’m going to go with them” and lastly “What the *&^% is wrong with you guys? Don't you want my business?”

The Service Department that has “Empowered with Authority” all of their Advisors will consistently outperform and outsell any other Dealer that has not taken that step.

This means Advisors are Trained to be adaptable and flexible and they do what is in the Best Interests of the Customer.

This leads to a Customer experience that can only be described as “Exceptional at Exceeding Expectations” and "spontaneously helpful." And of course results in unsolicited referrals and an increase in business.

Learn to adapt, be flexible, change as needed and Empower with Authority and your Customers will respond with feverish repurchase loyalty and unsolicited testimonials.

Smothered by the Rut Blanket

2012-01-22T11:09:00.002-05:00

“Missed it by that much”

2012-01-22T11:06:00.002-05:00

There is an old saying carpenters use. “Measure twice, cut once.”

I recently went to a Dealer to present DealerPro and our Performance Driven Training Program and guess what…I measured once and missed the cut.

I didn’t miss by much. About a 1/16th of and inch or so. When you really think about it, on a small scale, 1/16th is not that much at all. It really does not seem that big a deal.

But miss by 1/16th of an inch when you are calculating something like the square footage of your home and taxes are involved and suddenly you remember things like high school algebra and can quote complex mathematical theories.

The point I am making is everyday we all say things to ourselves like “Oh, it’s ok if I don’t give that Customer a menu because I know that they don’t buy anything” or “I’m not going to worry about that multipoint inspection. They were in just a few months ago” and we give ourselves a pass.

Why?

It’s just a little bit and it won’t make a difference. Right?

I flew 200o miles to present our program to a Dealer that was not prepared to see me because I failed to follow my own process. I got busy with other things and did not “measure twice, cut once.” Can you guess the end result?

It’s never the big disaster that kills a deal. Big disasters almost always start with small decisions that don’t really seem that important when you are making them.

Deciding not to personally call this Dealer and get him on the phone even after we had talked a couple of times, did not seem that big a deal. I mean, everybody reads their email…right? And everybody can read and follow directions…can’t they?

It was only a little shortcut. And it caused a huge miss.

Are your Service Advisors taking those little “shortcuts” because in their minds “it’s just a little thing” and nobody will notice? Are you allowing your Service Team to circumvent, use “choice implementation” or refuse to follow processes that are in place? Are they “missing the cut?”

Take the time NOW to review everything you are doing that is working and everything that is not working and find out why.

Grandma dropped her car off and did not get a multipoint inspection? Why?

Mr. Jones came in for a recall and was not offered a menu? Why?

Billybob the local twice a month customer came in and was not greeted properly? Why?

Silly Sally the Service Advisor did not complete and walk around on her 10 writeups today? Why?

Ms. Coffeecellphone came in and was completely taken care of and even wrote a letter to the owner about her recent service experience. Why?

It’s not just about what is not being done. It also about what is being done correctly.

Find out what is being done correctly… train, show,coach, review, train, show, coach, review, lather, rinse, repeat daily for maximum results.

Do this enough and missing by just a 1/16th becomes a footnote in your Success Story.

Me, I’m back to measuring twice. I hate missing the cut. Don’t you?

“An Enemy Called Average”

2012-01-22T11:04:00.000-05:00

The title of this article comes from the book “An Enemy Called Average” by John Mason. The purpose of his book is to get you from where you are currently to where you dream to be. Mr. Mason says “Break the chains of mediocrity and then live the life you dream of.” This of course can apply in your personal life as well as your professional one.

Far too often in our industry we have Dealers, General Managers, Service Directors, etc. who focus on and measure themselves in terms of the “average” dealer. Here are some examples:

“The average dealer is grossing $700 PRU in F&I income”

“The average salesperson sells 11 units per month”

“The average Service Advisor sells 1.4 HPRO”

“The average CSI for my region is…..”

“The average …….for my 20 Group is ………”

Does this sound familiar to you?

Additionally your manufacturers also provide composites and reports showing the average this and the average that so you can compare yourself to what’s average.

Here‘s a simple exercise for you complete after reading my article. When you get up tomorrow morning ask your family to sit at the kitchen table for a brief family meeting before you go off to work and before the kids are off to school.

Stand up in front of your family and say the following: “It looks like it’s going to be an average day here in Hometown, U.S.A., and your average Dad and your average husband is going to his average job to put forth an average effort to maintain my average paycheck so I can support my average kids and my lovely average wife.

By the way kids, at school I want you to focus on getting average grades and you don’t really need to put forth the effort to be a great student so a “C” will be just fine.”

Does that work for you? How’s that average wife comment going to work out for you? Are you excited about holding that meeting?

If you are a manager how about you ask to meet with the Dealer and say the following: “Boss I just wanted to let you know that I think you are an average Dealer, so I’m going to give you an average effort today so I can produce for you some average results and manage my average department.” I bet nobody is taking notes on this one!

Let’s not forget what average really is. It is nothing more than a reference point.

Average means you are the “Worst of the Best or the Best of the Worst!”

Is that where you really want to be? I hope you answered NO WAY!

Well if that is true then why is it that when I speak to hundreds of dealers across our country I hear comments like “Well Don the average HPRO for my 20 Group is 1.4 and I’m averaging 1.5 so I’m doing a pretty good job.” No Sir-you are still hanging around with that “Best of the Worst crowd! Why do so many of you use the word average like it is a good place to be? Do you really want to be a straight “C” Dealer? Does the term mediocre Dealer appeal to you? I think not.

So how do you go from being average to becoming a Top Performer?

It all starts with one word-Commitment.

Are you committed to change? Are you committed to leaving your comfort zone? Are you committed to achieving different results? Think of it this way—when it comes to making “Bacon & Eggs” the chicken was a participant but the pig was totally committed.

If you, the Dealer, are not totally committed then nothing is going to happen differently. As Zig Ziglar says “You have the perfect processes in place to get you exactly what you got last year.” Get committed to change.

Next you must establish SMART goals. Specific-Measurable-Achievable-Realistic-Time based.

Here is an example: “I want to increase my retail HPRO by .5 over the next 6 months”

Specific: Yes it is—retail Ro’s only—increase .5 HPRO (Don’t forget to calculate how much specific gross profit you will produce on parts as well as labor with that extra .5 HPRO)

Measurable: Yes it is—your DMS can print a Service Advisor Performance Report DAILY showing the HPRO for each Advisor

Achievable: Not sure—what are my Advisors going to do differently to achieve different results? If they could sell the extra .5 HPRO why haven’t they already done so? Do they have a good menu to sell from? Do they have the proper communication skills and processes to make a feature benefit presentation to your customers? Are they willing to leave their comfort zones? Are they committed to change? (Chickens or Pigs?)

Realistic: Yes it is—since the average dealer is averaging 1.4 that means a lot of dealers are doing much better than 1.4 and since there is a multitude of dealers out there averaging 2.0 to 2.5 HPRO then another .5 is very realistic.

Time Based: Yes it is—you have 6 months to decide what you are going to do differently, what new processes will you implement, how will you train everyone on new skills that will increase their sales performance and provide the customer with a higher level of service?

Once you achieve your SMART goal then move on to the next one. Long term success is a journey not just a destination. That first SMART goal is just the first leg of your journey. Do not allow yourself to become complacent because you will gravitate back toward mediocrity.

John Mason in his book ”An Enemy Called Average” states: “Mediocrity is a region bound on the north by compromise, on the south by indecision, on the east by past thinking and on the west by a lack of vision.”

Every department in your dealership must be a profit center for the dealer who wants to thrive and not just survive in this very competitive industry of ours. The aftermarket service providers currently have over 80% of all the parts and service business in America. Don’t you think it’s time we started taking it back?

Don Reed-CEO

DealerPro Training Solutions

Training Your Service Customers: Pays Big Dividends

2011-09-25T13:51:00.000-04:00

If you are like most dealers, you are reading this article and scratching your head, wondering, “What the heck is this guy talking about training your service customers?” To begin with, I want you to come to grips with the concept that training can solve most any problem. Training can give you a higher return on your capital investment. Training can generate more bang for your working-capital buck. Training can reduce employee turnover. Training can improve closing ratios and increase owner retention. Training will generate more net profit. Think about it.

You just hired a new payroll clerk who has five years of payroll experience using ADP. However, your payroll system is on Reynolds and Reynolds. What do you do? You train the clerk to use your computer system, and, within a few days, your payroll process is back to normal. You just lost your top F&I producer and you have this successful salesperson who has always wanted to move into F&I, so you do the right thing and offer him the position. You know that in order for him to be successful in producing F&I income, he must have some training on how to become a top F&I producer. So, you send him to a professional F&I training class. Now, how about that service advisor you just hired from the competition down the street (big mistake), who is supposed to improve your falling CSI, stop your declining repair order count and increase sales? Obviously, achieving those worthy goals will require a lot of communication and sales skills. Clearly, you will also seek out a professional to train this new advisor, right? (I hope you said yes).

Now you’re starting to get the picture regarding training. This trained advisor can now go to work each day and focus on achieving the goals that you have given him/her, improve your falling CSI, stop your declining repair order count and increase sales. All three of these can be accomplished by this advisor simply training your customers. It all starts with the first oil change.

When I was a service advisor, way back in the 70s the manufacturers actually helped me train my customers. That’s right; every customer was given a maintenance booklet that resembled a checkbook, with coupons about the size of a check. The customer was required to complete all of the required maintenance items listed on each coupon. As an advisor, I would remove the coupon upon completion of the service, attach it to the hard copy of the RO and validate the coupon stub with my dealership stamp and date. Upon delivering the vehicle back to my customer, I would review what was required on the next coupon, explain when the next service would be due and tell the customer that these services were required by the manufacturer in order to maintain their manufacturer’s warranty. It worked like a charm.

My customers would walk up to me with their keys and maintenance booklet in hand and state something like, “Hi Don, I’m here for my 15,000-mile service.” When they came back to pick up their vehicle, I reviewed the 18,000-mile service. In those days, the required service intervals were every 3,000 miles for the life of the vehicle. I had very happy customers (CSI) because their vehicles were properly maintained. My repair order count continued to climb each month and, of course, so did our sales. So, why can’t we use this same process in today’s service departments? The answer is, we can. The question is, why aren’t we using this same process in service departments? Do you realize this kind of training is exactly what the aftermarket quick lube centers are doing with your customers?

Starting today, ask each of your advisors what maintenance is required by your respective manufacturer. I’m betting they don’t know. If that is the case, then require them to read the warranty book and they will find the words “required maintenance” inside. So, wouldn’t it be a novel idea to advise each and every customer, on each and every visit to your service department, of the maintenance requirements for their respective vehicle? If you did so and they agreed, do you think they would be driving a more reliable vehicle? The people who build the vehicles think so. If they have a more reliable vehicle, will your CSI improve? Yes. If your CSI improves, will your customers keep coming back? Most likely. If you advise them on what is required next and when it is due, will even more of them come back? Probably. If more customers return for more required maintenance, would it be a good idea to offer them recommendations for additional maintenance based on your local driving conditions and their individual driving habits? Absolutely.

Now, what are the benefits of following this simple process from the 70s? Your CSI improves, your repair order numbers increase and your sales go up, along with a nice steady supply of repeat customers for your sales department. With someone always saying, “Sell more cars,” isn’t it about time you get serious about service and start training your service customers?

---Don Reed

Not Taking Action Has Consequences

2011-09-01T10:55:00.001-04:00

Previously, we had the privilege of addressing a room of Service Managers and Factory Personnel. And I have to believe that everyone in that room was there to find or gather some new information that would help them take action on something that might be causing them some problems at their Dealerships. Why would you attend if you had no hope of getting something, right? I hope that everyone one of them got something that they can use right away at their Dealership this week. And because I had a long drive home afterwards I started thinking about the consequences of not taking action.

In the Service Department the consequences really multiply quickly.

Lets take a look at John Q. Advisor.

John Q. is a underachiever at ABC Motors. His HPRO is at .9 and his Gross Profit Margin is below 70%. Now, John Q. is not necessarily a bad guy. In fact, he is a likeable and hard-working employee. He comes to work on time and believes he contributing to the overall success of the Service Department.

Johns current performance level is not acceptable. And the consequence of not taking action has verifiable results. Lets break down the numbers.

With his .9 HPRO at the national labor rate of $85.00 an hour, John is earning $76.50 in Gross Labor Sales per RO. Add in his Parts Gross Sales of $61.20 per RO (which is a 80% parts to labor ratio)and that adds up to a total of $137.70 per CP Repair Order written. John has been performing at this level for 3 months.

The national average is 1.5 HPRO. By accepting Johns performance it is costing the Dealership money.

How much money?

Using 1.5 HPRO as a benchmark, adding .6 at $85.00 equals $51.00 in Gross Labor Sales. Factor in the Parts Gross of $40.80 and each RO that John Q. writes is costing the Dealership $91.80 in LOST SALES! John writes an average of 220 CP ROs a month.

That is a $20,196.00 per month loss of income and over a 3 month period that adds up to $60,588.00!

I have to ask you, would you pay any Advisor $20,196.00 extra a month? $252,352 a year?

By not taking action, YOU ARE!

Everyday that John is not held Accountable for his performance there is a concrete and verifiable loss. Not only a monetary loss but a performance loss that affects the whole department as well.

Why?

Accepting Johns performance sends a message to everyone in the Dealership that there is a lack of accountability and that continued performance at this level is A-OK! In fact, John and every employee in the Service Department need not worry about their future…it is secure at ABC Motors.

You know what is worse?

John thinks that it’s ok. Should John go to another Dealership for whatever reason, he would soon find himself out of a job, again.

Why? Because Underachievers are not tolerated everywhere!

So not only has John Q. become a drain on the daily cash flow at ABC Motors, the Service Manager at ABC Motors is costing the Dealership money as well.

How is that possible and Why is it the Service Managers fault?

By not Taking Action, not providing Training and Coaching and not holding Jonh Q. accountable for his daily performance, the Service Manager is perpetuating Poor Performance and Condoning it!

Do you have a John Q. in your store?

Are you suffering the consequences of not taking action? What are you going to do about it!

>>> Chrysler Diesel Technician needed for Kimberly Car City, Davenport, IA - Classified Ad

2011-09-01T10:16:00.000-04:00

>>> Chrysler Diesel Technician needed for Kimberly Car City, Davenport, IA - Classified Ad

Smart Porter position available in the Dealership Service Department - Classified Ad

2011-08-31T10:48:00.000-04:00

Smart Porter position available in the Dealership Service Department - Classified Ad

Service Advisor needed for Licoln/Kia dealership - Classified Ad

2011-08-31T10:38:00.000-04:00

Service Advisor needed for Licoln/Kia dealership - Classified Ad

Exceeding the Expectations

2011-08-25T09:37:00.000-04:00

What would a Service Professional do?

A Professional understands their Customers Expectations.

Now this has got to be the easiest “no brainer” post you have read in years! You would think that every person who works in the Dealership has heard of Customer Service (here’s a little hint: WE ALL DO) and would take the time to understand their Customer expectations.

You would think.

And every day in the field at a Dealership there is a couple of moments where there is the “I have no idea” look on people’s faces when asked about what their Customer came in for, what was the reason for their visit, why are they here, how are we helping them, what’s the story etc....It's like a mystery novel.

The reason is they have become order takers. This new breed of Service Advisor has been trained by corporate America all of their lives with “instantology”, which is using the smallest amount of brain activity required to actually have meaningful interactions with their Customers.

This in turn has led us to a new term in Training called “you don’t need to know” in which Customers are regularly greeted and serviced by non-communicators who cannot distinguish between a request for service or a statement of concern unless it’s printed on the touch screen menu in front of them.

This collection of "Service (aacckkkk, cough cough) Professionals” are then left to founder and fumble with your Dealership Customers (you know, the "lifeblood of the Dealership, our main focus, why we are open"...etc...you've heard all of that before, right?) with more skills in “instantology” than in COMMUNICATION and CRITICAL THINKING!

This has reduced our once world renown model of Service Excellence we called the “American Way of Doing Business” to a misdirected application called "Someone told me to stand here and talk to you."

And because we choose to do business this way we find ourselves in constant need of reminding our Service "Professionals" what they are supposed to do and why they are supposed to do it.

In turn, this has increased our Customers chances of having to do business with someone who has little desire and are completely clueless how to deliver Exceptional Customer Service because it does not come with instructions on the box.

The true Professional Service Advisor not only knows what his or her Customers expectations are, they EXCEED them. They are anticipatory because they have taken the time to study their product and their Customer. And they truly understand Service. More importantly, they understand how the Customer could EXPECT to use their vehicle in their daily lives. Lastly, they understand their Customers EXPECTATIONS when they come in for Service.

How do they know these "magical things?"

The true Professional Service Advisor has taken the time to become an excellent COMMUNICATOR and only relies on “instantology” for storage and processing of the Customers information as a means of assistance and not as a means of conveyance.

Basically folks, you can’t get the computer to pull out its wallet no matter how hard you try.

When you have taken the time to really understand and anticipate your Customers Expectations by asking if they have been met one on one and by becoming a true Communicator through study and application will you become a True Service Professional.

Be Professional.

Was Last Month Defined By Two Simple Words?

2011-08-03T21:27:00.001-04:00

Was your last month defined by these two words…”If only”?

“If only…”

The Dealer Principal

“If only” I had asked my Managers “What is your plan for increasing Profit this month?” and held them accountable for their replies.

“If only” I had taken a walk every day and made it my mission to talk to Sales and Service Customers, introduce myself and say “Is there anything I can do to help you today while you are here at our Dealership?”

“If only” I had walked through the Dealership and asked my personnel “What is there about your job you like to do?”

“If only” I had walked through the Dealership and asked my personnel “What is there about your job you don’t like?”

“If only” I had asked the Service Manager “What is your daily routine when you come into work in the morning…in other words…walk me through the first 10 things you do every day.”

“If only” I asked the Service Manager “What is your plan for getting Labor Margins to 75%?” and the Parts Manager “What is your plan for getting the Parts Margins to 45%?” and held them accountable for their actions.

“If only” I had asked the Service Advisors “How do you do a Walk-a-round?” and let them demonstrate it to me.

“If only” I had asked the Service Advisors “What does it mean to ask for a Pre-authorized amount when writing a repair order?” and then observed them doing it.

“If only” I asked my shuttle drivers to take me with some Customers on a shuttle ride so I could see how they were treating the most valuable asset I have…My Customers.

“If only” I had been more involved in the daily business of my Dealership. What would have happened? Would I have been able to influence the outcome?

“If only…”

General Manager

“If only” I had held a meeting in which I asked the Service Manager and the Parts Manager “What is your plan for increasing Gross Profit…increasing Repair Order Count…increasing CSI?” and held him/her accountable for their actions.

“If only” I had held a meeting in which I asked the Parts Manager “What is your plan for increasing Item Transactions…Gross Profit Margins…Wholesale Item Transactions?” and held them accountable for his/her reply.

“If only” I had walked through the Service Department once a day and introduced myself and asked my customers “Is there anything else I can do for you today?”

“If only” I had walked through the Service and Parts Departments and asked Dealership personnel “Is there something preventing you from doing your absolute best?”

“If only” I had weekly meetings with my Fixed Operations Managers and asked them “How are we doing in meeting our monthly objectives and what can I do to help you get there?”

“If only” I had taken the time to have a monthly meeting with the Fixed Operations personnel and congratulated them on something that they did well.

“If only” I had been less tied to my desk where I only hear what people want me to hear. Would I have been able to prevent a bad month from happening.

“If only”

Service Manager

“If only” I had been in the Service Drive every day especially during the busiest times to work with my Advisors and help them become more Professional.

“If only” I had taken the time to be available to the Technicians and Advisors especially during the busiest times and help them overcome problems with production.

“If only” I had coached my Advisors every day on the previous days results using the reports from the DMS.

“If only” I had coached my Technicians every day on the previous days results using the reports from the DMS.

“If only” I had taken the time to introduce myself to my customers and asked them “Is there anything else I can do for you today?”

“If only” I had asked my Service Advisors to demonstrate an ASR presentation and then coached them on the results…again and again.

“If only” I had reviewed the Customer Pay Repair Orders with the Advisors and Technicians and coached not only on what was wrong, I also coached them on what was done right.

“If only” I had taken control of my month.

Everybody

“If only” I had accepted responsibility for my actions, held myself accountable for what I needed to do, made changes when necessary and reviewed my progress, what kind of month would I have had?

Courtesy Car City has positions open for experienced Technicians - Moline, IL - Classified Ad

2011-08-02T19:43:00.000-04:00

Courtesy Car City has positions open for experienced Technicians - Moline, IL - Classified Ad

>>>Chrysler Technicians needed immediately - Moline, IL - Classified Ad

2011-08-02T19:33:00.000-04:00

>>>Chrysler Technicians needed immediately - Moline, IL - Classified Ad

Comfort Zone vs Accountability

2011-07-31T10:08:00.001-04:00

As a Dealer, did last year bring you the return on investment that you expected?

As a General Manager did you meet or exceed your net profit projections for the year?

If you are a Fixed Operations Director did you increase your customer pay retail sales for parts and labor over last year?

For all three of you, is your Service Absorption rising year over year? If any of your answers were “NO”, then you must ask yourself...why?

To begin with, your financial statements will show you where the opportunities for improvement (conditions) are but what they won’t show you is how to fix them. To fix them you have to know what’s causing the out of line condition.

Once the cause is determined you can then make the corrections

necessary to properly bring the condition in line with industry guides. For those of you who have ever written a repair order you probably recognized this as the “Three C’s”, Condition-Cause-Correction.

The Technician needs the Condition to properly diagnose the Cause which then enables him to make the necessary Correction. It’s no different for the Dealer, the General Manager or the Fixed Operations director when it comes to making money.

So, now that you have studied your financials carefully to determine the conditions that prevented you from attaining your respective financial goals, let’s determine what the cause might have been. I believe the culprits here are Comfort Zones and Accountability.

Everyone in your dealership has a comfort zone just as you do. The issue is not to get rid of them but to simply move them again and again until you achieve the results you’re looking for and then move them again!

This is important because it enables you to focus on the performance

of your employees. Next, you must hold them accountable for their individual performance.

Currently, most of you are doing that in the New Car, Used Car and F&I departments, which of course is where you devote much of your time and energy anyway, but you fail to do so in the Service and Parts departments.

Allow me to give you some examples to clarify what I’m talking about:

1. If I am a Salesperson and I sold an average of 5 units per month last year, what are you going to do with me? Answer: Train me how to sell 10 units or more per month or replace me with someone who can.

2. If I am a Service Advisor and I sold an average of 1.5 hours per customer pay repair order last year, what are you going to do with me? Answer: I have a job for life!

3. If I am a Sales Manager and my Sales Team averages 5 units per month and my gross per retail unit is at $700, what are you going to do with me? Answer: Train me how to average 10 units per Salesperson and gross $1500 PRU or replace me with someone who can.

4. If I am a Service Manager and my Service Team averages 1.5 HPRO and my Technicians’ productivity is at 80%, what are you going to do with me? Answer: Leave me alone because the other dealers in your 20 Group are about the same!

5. If I am your General Sales Manager and my Sales Team averages 5 units per salesperson, $700 gross PRU, $200 F&I gross PRU and loose $600 per wholesale unit, what are you going to do with me? Answer: I wouldn’t have lasted 6 months let alone a year!

6. 6. If I am a Fixed Operations Director and my Parts and Service Team averages 34% in retail parts gross, 62% in labor gross, averages 1.5 HPRO, shop productivity of 80% with a declining repair order count, what are you going to do with me? Answer: Thank you for being back there because I sure as heck don’t want to fool with that stuff!

Are you starting to see my point?

Most Dealers and General Managers will hold their Sales Team accountable for their performance on a daily, weekly and monthly basis and make any adjustments (moving their comfort zones) on an as needed basis NOW!

Meanwhile their Parts and Service Team remain in their comfort zones to continue to dwell in the land of “underachievers”.

Why does this happen?

My belief is that most Dealers and GM’s are outside their comfort zone in the “back end” of their dealership since their roots are in the “front end.” What can a dealer do to enable him or her to leave their comfort zone and cross over the demarcation line to the back end of their business?

• Measure the performance of the people you intend to manage.

• Your people must know that you are measuring their performance.

• Their performance will be compared to industry benchmarks.

• They must understand that they will be held accountable for achieving or exceeding those benchmarks.

Simply say what you mean but more importantly mean what you say. Again, most dealers don’t hesitate to do this in their Sales and F&I departments. Start making it happen in Fixed Operations.

Now I want you to rid yourself of the usual whiny excuses that I here from dealers when I’m speaking to 20 Groups, Dealer Associations, Dealer groups or individual Dealers. It doesn’t matter whether it’s north, south, east, west or rural versus metropolitan. I hear this all across the U.S.,

Canada and the United Kingdom:

“Don, you don’t understand, my market is depressed.”

“Don, you don’t understand, my Service Manager has been with me for a long time.”

“Don, you don’t understand, I can’t find an Advisor that’s any better.”

“Don, I don’t want to run off my customers by up selling”

Well folks, here is what I do understand.

A depressed market has nothing to do with accountability for performance.

Time on the job does not dictate a good performance on the job.

If you can’t find better people, look harder because they are out there. If you or any of your people are afraid of “running off customers from up selling” then you need to get out of the retail business of selling parts and service. (By the way, the aftermarket already has 70% of your customers’ maintenance)

Don’t you think it’s time to get out of your comfort zone and make the return on your investment that you deserve? Please, drag your Fixed Operations Team out of their comfort zones and start holding them accountable! Once they stop kicking and screaming they will all make more money, they will be happier and your customers will realize you have the best dealership in town.

“The entrepreneur always searches for change, responds to it, and exploits it as an opportunity.” -Peter F. Drucker

Don Reed

CEO

DealerPro Training Solutions

“Pro Solutions-Pro Results”

Parts & Service Director needed for Chrysler Dealership in Seymour, IN

2011-07-24T20:54:00.000-04:00

Parts & Service Director needed for Chrysler Dealership in Seymour, IN

Great opportunity for the right person!!! Growing dealership!!!

If you have a great track record and can motivate your team, this is the opportunity for you!!!

The one word every Advisor needs to hear...

2011-07-15T11:13:00.000-04:00

There is one word every Service Advisor needs to hear.

This word is the key to their future...whether they become a top-notch superstar a middle of the road average Joe or a washout...they need this word.

It defines greatness as well as highlights deficiencies.

The word is...No.

Since our Company (DealerPro) trains in Dealerships all over the country, we are exposed to every level of Service Advisor imaginable.

From the greenpea who is day one in a new job to the old dog who knows every customer who has come in for the past 5 years!

In the Seattle area there is a Service Advisor named Chad who became a believer in the word No!

Chad did not come from an automotive background, unless you count driving a car, and had no more special skills than anybody else. He does not come to work wearing a cape and he does not have x-ray vision.

When we first started training in Chad's store and introduced Professional Selling Skills to the Advisors, Chad was skeptical just like everybody else.

After being trained on the 12 Step Process and ASR Presentation Skills he went to work in the service drive. At first, did some of the Write-up processes some of the time and followed the ASR Presentation process sometimes... and just like everybody else, he got what you might expect...some results.

But Chad was a little different.

He understood the value in presenting all of the recommended repairs and maintenance to the customers but didn't always follow through. Like many other Advisors, he didn't want to seem "pushy" or "sell them something they didn't need."

And he didn't like the word No.

What changed for Chad is referred to as a paradigm shift. His view of "what it means to be a Service Advisor" became radically different when he realized that the customers were having repairs done someplace else even though he had made the recommendations.

And other customers were coming in with the maintenance on their vehicle up to date because it was completed by other shops...his competition! He realized he was getting all of the "leftovers"...and the "warranty work."

He asked himself "Why are customers leaving my shop without having the work their vehicle needs completed right here at my Dealership?"

And then it hit him...it was because he NEVER ASKED!

He realized he was afraid to ask!

He made up his mind that his customers were going to be serviced at his Dealership! He started believing that the recommendations he was making were helpful to the customer in maintaining their vehicle and actually saved them money!

And he became a fan of the word No.

He started presenting recommended services...and repair recommendations ...and in the beginning he heard a No a lot. In fact, if you ask him, he will tell you that he almost gave up!

But he had decided that in order to be successful as an Advisor he needed to learn how to sell. And so, he heard even more No's.

And in his mind he decided that every No was a good thing because that led the next YES!

And because he stuck with it...more and more No's came his way... and still Chad kept going... and going... until finally one day...he started getting YES.

And soon the amount of YES'es doubled the N0's.

Can you guess what happened to Chad's HPRO?

Yep...it doubled as well... in fact...he became the number one Service Advisor in his store. Can you guess what happened to his income?

Yep...it nearly doubled as well.

Chad is still happily employed at that same Dealership...can you guess how his CSI is? Yep...it's better too!

All of us like to deal with a Trained Professional...someone who can guide us and help us make the right decision based on our needs and wants. Know what else is true?

We will gladly pay for it...and in some cases pay even more. It's because we all like to be taken care of.

Want to be succesful as a Service Advisor?

Be like Chad.

Get more No's!

Service Advisor Training---Expense or Investment?

2011-07-11T12:02:00.000-04:00

Service Advisor Training---Expense or Investment?

A significant number of dealers these days are becoming more and more aggressive in selling used vehicles. Some have even lost their new car franchises and now rely solely on used vehicle sales along with parts and service sales to pay the overhead and hopefully provide them with a significant Return On Investment (ROI). I’m confident you will agree that it is critically important for all dealers to earn the highest possible ROI on every single investment they make, right?

Now, in order to increase sales in any department you have to start doing things differently and/or do different things. If not, then you simply continue to do what you’ve always done as stated so clearly by Zig Ziglar: “You have the perfect processes in place to get you exactly what you got last year.” I’m talking about training here in order to positively affect change. Some of you will take the approach of “saving your way into profitability” by vowing not to increase your expenses but you remain willing to make investments every day of your business life. Let’s consider some examples.

NADA research shows that the average used car cost (investment) is about $13,300 and sells for around $15,000 resulting in a gross profit of $1700 which is a ROI of 13%. ($1700 divided by $13,300 = $13%). Assume you can turn that inventory investment of $13,300 every 30 days (great job) that would be 12 turns per year at $1700 gross PRU for a total gross profit of $20,400 resulting in a ROI of 153%! My guess is none of you would hesitate to invest $13,300 in a used car knowing that you will realize a 153% ROI over the next 12 months. As a matter of fact, many of you wouldn’t hesitate to make multiple investments: 50, 75 or even 100 of those $13,300 cars to earn that kind of an ROI. Makes perfect sense to me!

Research also shows that a Service Advisor servicing 12 customers per day (4 Warranty and 8 Customer Pay) and averaging 1.5 Hours Per Repair Order at NADA benchmark’s will produce about $1637 in Gross Profit per day, $36,016 in Gross Profit per month and a total of $432,194 in Gross Profit per year. Let’s assume you diverted just one of those $13,300 used car inventory investments into a $13,300 training investment in your Service Advisor and that training produced an extra .5 HPRO (33% Improvement), you would realize a Gross Profit increase of about $12,000 per month or $144,000 over the next 12 months resulting in a ROI of 1082%! (If your stock broker can do that for you please send me his name and number.) Let’s finish the math here by adding the additional gross profit of $144,000 to the $432,194 and you have a total gross profit of $576,194 produced by one employee—The Service Advisor. Now I ask you, how many employees do you have producing over $576,000 a year in Gross Profit? Maybe your F&I Producers. How many salespeople are producing that kind of gross for you? This is the equivalent of selling 28 used cars a month at $1700 PRU. How many sales people are selling an average of 28 cars a month to match the performance of a 2.0 HPRO Service Advisor? How’s that $13,300 training investment working out for you now? Is it an expense or an investment? Maybe you should ask your broker to answer that one for you?

Let’s continue on with this logic and consider the following:

1. Who gets the most incoming Sales Calls per day—Salesperson or Service Advisor?

2. Who meets and greets the most Sales Opportunities per day—Salesperson or Service Advisor?

3. Who has the greatest impact on Owner Retention—Salesperson or Service Advisor?

4. Who has the greatest impact on Brand Loyalty—Salesperson or Service Advisor

5. Who needs Telephone & Sales Training—Salesperson or Service Advisor

The answer to questions 1, 2, 3, and 4 is the Service Advisor. The answer to question number 5 is both the Salesperson and the Service Advisor. The simple fact is anyone in your dealership who comes in contact with your customers as well as your potential customers, must be professionally trained on how to effectively communicate (Sell) to them all.
I’m sure far too many of you Dealers, General Managers and Service Directors will continue to try and “save your way into profitability” versus being proactive and commit to re-allocating some of your inventory investment into your training investment. For those Dealers, General Managers and Service Directors who “get it” you can look forward to record Service and Parts Net Profits in 2010. It’s your choice to make.

Article by:

Don Reed

CEO-DealerPro Training Solutions

NADA University Partner

Use the "3T System" to make more money in Fixed Ops.

2011-07-11T11:57:00.000-04:00

Making more Money in Fixed Operations is everyone's goal.

Think not?

Just go tell your Dealer Principal that this month you've decided that making money is not important... and see what happens to you, Mr. /Ms. Jobless.

Making money is much easier when you use a system to do it and it is much better than just wishing for more Money. Use the "3T System" to drive more dollars to the bank.

The first T stands for "Tell Everybody" what you want to accomplish this month. It is also called "Create a Compelling Vision" and the more Compelling it is, the more people are drawn to it.

Additionally, it must be specific, memorable and most importantly, reinforced at every opportunity!

It cannot be the same old tired "We need to do better or else!" stuff. They have already heard it before.

If it is, people will just ignore it. Start the month off with a kickoff meeting detailing exactly what it is you must accomplish, what role each person has and how you will be holding people accountable.

Remember, the more specific you are, the better your results!

The second T stands for "Teach me Something New." Everybody wants to be part of the newest, latest and greatest.

New is fun...New is exciting...New is way better than "old and stale." Let me give you an example.

When was the last time a you offered to make a sandwich for a guest in your home, and they said to you "Please make mine using old stale bread, month old lunchmeat and could you put some expired mayonnaise on it"?

Not gonna happen. It's the same way in the Service Department.

People want to feel like they are part of a new challenge and accomplishing new things. Don't make them a stale old sandwich and expect them to eat it.

Teach them something new about their job, the Customer, the Dealership...anything!

And the last T stands for "Train to Win!"

Bobby Jones said it best when he said "If you fail to get the proper instruction you'll only get better at making yourself worse." Train to Win means the best Training by the Best Method yields the Best Results!

Train your personnel using the Best Methods available (like DealerPro VT) and you will consistently improve and reach new Goals!

TOP PAY For Experienced Chrysler Drivability Technician - Classified Ad

2011-07-07T11:04:00.000-04:00

TOP PAY For Experienced Chrysler Drivability Technician - Classified Ad