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Be a part of the next M5 Performance Group, July 14-15, 2016. We'll be holding it at The Embassy Suites, Philadelphia Airport, 9000 Bartram Ave., Philadelphia, PA.
Here's a flyer with all the details you need! Click the image to open a larger version!
This is Part 1 in a two-part article. Be sure to check back next week for Part 2.
It All Begins Here
“Don’t give me that attitude!” Ever heard that? Or, “You need an attitude adjustment.” I can’t count the number of times someone has spoken these words to me, and they quite obviously refer to a bad, or negative, attitude. The perception of someone having a negative attitude in the workplace can be detrimental.
In psychology, a first impression is the event when one person first encounters another person and forms a mental image of that person.
When dealing with people you only have one chance to make a first impression. This is more important in our dealership environment today than ever before. Your customer typically has several “touch points” with your operation before the first time you meet them face-to-face.
Equal lifting is a term that I've come to use quite often lately. And if I stop to think about it, it really is pertinent to so many facets of dealership service departments. One of those areas is technician production. The dilemma to so many service managers is "How do I define equal lifting when so many of my technicians are at different skill levels and different levels of production?" And that's not the easiest question to answer, but it certainly DOES have an answer.
The future holds many changes for car dealerships and they are either going to have to evolve or be left behind. Vehicle ownership will most likely decline due in part to programs like Uber, Lyft, and Rideshare, for example. Growth in electric vehicles equates to a decrease in maintenance and with the future of connectivity in vehicles, software updates will be done remotely instead of having to come into a dealership, which could lead to reduced RO counts and sales of labor and parts. All of this means that customer retention will become extremely important.
During the course of my travels to dealerships around the country with many different manufacturers, we constantly hear how important customer retention is. This is a very true statement and a real concern, as well. I then hear from Managers about how hard it is to attract new talent to our industry, be it in service, parts, body shop, or even sales and F&I. There again a very real issue. I guess the real question may be what we are doing to retain our current employees? If high turnover is an issue, what is the root cause that is creating the turnover?
There is no arguing that maintenance sales are a great way to grow your service business and retain your customers. But does it come at a cost? Let's see how ROSE (Repair Order Survey & Evaluation) can help increase your maintenance sales and gross profit. In my last article, we reviewed how increasing maintenance sales can lower your ELR (Effective Labor Rate) and lower your gross profit percentages and we focused on the REPAIR side of CP ELR. Now let's look and see how managing the Maintenance ELR can increase your profitability.
This is Part 2 in a two-part article. If you missed Part 1 you can read it here: Part 1.
Another essential element for becoming a good Coach is learning to provide feedback - effectively. A coach is not a coach without providing feedback. In sports, how many coaches have you seen just sit on the sidelines and NOT give feedback? Here are some specific ways to provide feedback to your employees--ones that will encourage increased performance and generate positive behavior: