Management

Developing Your Best Special-Order Parts Process – Part 3

This is Part 3 in a three-part article. View Part 1 | View Part 2 A means to emphasize the importance of insuring the quick turnaround of special-order parts would be to incorporate various incentives or penalties within the pay plans of service advisors and fixed operation managers. The considerations can take many different forms. Service advisor compensation additions for positive performance can include but are not limited to the following considerations. Motivational spiffs can… Developing Your Best Special-Order Parts Process – Part 3

Read More Developing Your Best Special-Order Parts Process – Part 3

Developing Your Best Special-Order Parts Process – Part 2

This is Part 2 in a three-part article. View Part 1 | View Part 3 Another of the more traditional methods to handle the special-order parts process is to have the customer contacted by an employee in the parts department. The initial ordering process is very similar to the service advisor contact technique. After the order is placed the service advisor contacts the customer to notify them that a part is being placed on order.… Developing Your Best Special-Order Parts Process – Part 2

Read More Developing Your Best Special-Order Parts Process – Part 2

Developing Your Best Special-Order Parts Process – Part 1

This is Part 1 in a three-part article. View Part 2 | View Part 3 Say the words “Special-Order Parts” and a number of things immediately come to mind for dealership employees, according to their job and the department they work in. A service advisor will have to be the bearer of bad news to the customer. The vehicle will have to be held over. The customer will have to come back. The technician will… Developing Your Best Special-Order Parts Process – Part 1

Read More Developing Your Best Special-Order Parts Process – Part 1

What Should Your Hours Per Repair Order Be?

This is a common question but also a commonly misunderstood measurement. All Service Departments are not created equal. Several factors within each Service Department can play a major role in this number. Some of these factors are: Additional Service Requests ASR (and process) Average mileage of vehicle Multi-Point Inspections (and process) Menus in place (and process) Work mix – repair/maintenance/competitive Express Service Any of these factors mentioned above will not only affect your Hours Per… What Should Your Hours Per Repair Order Be?

Read More What Should Your Hours Per Repair Order Be?

What Do You Think of Your BDC?

Do you have a BDC (Business Development Center) or do you have appointment setters? It seems that a lot of dealerships have a misconception of a BDC. Each dealership we work with seems to have some form of a BDC. But it amazes me how little training this department has. Review the differences. Appointment Setters: Take inbound Phone calls Set appointments for Service Advisors Direct phone calls to the appropriate staff members BDC Set up… What Do You Think of Your BDC?

Read More What Do You Think of Your BDC?

Parts Pricing for Maximum Revenue

The most effective pricing strategy for parts is much like it is (or should be) for vehicle sales. It is structured to provide a balance between Gross Profit % and volume by pieces or units. It does no good to sell only a few parts to attain a high GP% unless you’re out to impress your 20 Group instead of improving your bottom line. Similarly, it is equally useless to achieve high volumes with loss… Parts Pricing for Maximum Revenue

Read More Parts Pricing for Maximum Revenue