Three Types Of Employees That Keep Your Dealership From Growing.

What if…

You looked at your dealership as a whole from a performance perspective in terms of your employees? I mean really if you would take a deep look at the employees you have today with a open-minded approach, that would allow you to gather some facts about your staff. The kind of facts that would lead you to making some very tough decisions in terms of cutting ties with some people who have become far too comfortable with their day to day performance or their “seniority cry.”

Today far too many dealerships have to be accountable and say the phrase we use to say in sports when I played…”My Fault, My Bad.”You see, Dealer Principals, Operations Managers, General Managers all must know that I am about to tell you what you already know, but it’s just too hard of a pill to swallow. You have “Three Types Of Employees That Are Holding You Back!”

1.) Incompetent Employees

Yes I said and I am not backing down from my believes, far too many dealerships are putting lives, their brand, and the future of the business on the line with sales people and staff who refused to learn technology as adjust to the times. For example, we all have that three car guy who used to be the “stuff” back in the day but now they cannot sell their way out of a paper bag because the refused to learn the product they are selling. Man, this is a serious breech of protocol. I know saying that your employees are incompetent sounds demeaning but in the words of my wife, you gotta call at thing a thing; in other words you must put a name on it. However, when I looked up the word incompetent in the dictionary it describes the meaning of the word as “Lacking the skills, qualities or ability to do something correctly.”  Really it is not about a person being dummied-down or degraded, it is just an indicator that a person is incapable of functioning effectively in a job role. Besides this, complacency is sort of the same problem when you a have with most sales people who could sell more but do just enough to get by.  This simply means that management has allow this sales person’s sub-par performance to be the norm in the dealership and those same sales people chill out and become incompetent by default. In reality it is your management team’s fault for accepting the 3 car sales person who is really costing the dealership lots of money and could possibly get your as dealership in a heavy lawsuit if they give a customer the incorrect information about the functions and controls of their car. You see, I don’t understand why we are not taking training on product knowledge and performance seriously in our dealerships. Let’s look in other department for example if you have a DMV clerk or accounts payable clerk who continues to screw things up due to incompetency, it would destroy the whole department. Let’s look at it like this, grade your departments and employees on a scale from 1 to 10. Where would everyone rank and why? Why aren’t your sales managers being held accountable for the consistent 3 to 7 car per month guy who only bring less than $10,000 in gross profit to your store? Or service director who has oil change tech who constantly screws up a simple oil change? This is an area of concern all dealerships should look and make that your people are sharp and competent or find a replacement who can do the job effectively.

2.) The Fighters(Old Schoolers)

We have all witness the veterans on different jobs who feel entitled to fight for things to remain the same as they once were just because “it’s always been done this way.” These are same people whether in sales or any part your dealership that has become very comfortable with doing just enough to get by or feel entitled because of their seniority. They come to work each day month in, month out and of year in and year out they are they same person who refuses to change. They are the ones who really don’t embrace changes to well, they hate technology and despise all newcomers. In fact this person is as far I am concerned not a team player. In the sales capacity, they rarely make it to the sales desks with a deal. These people are “Lifers,” who are literally sucking the life out of your dealership. I have been in a General Manager role and I immediately cut my ties with these people because they are super negative and are feeling way over entitled to do whatever it is they choose to say or do. You cannot afford the “fighters” to run your dealership or career in the ground. In order to build a “Winning Cultures” in your dealership you must not tolerate foolishness at all. You must create a revolution within your sales force and in your office if you are ever going to grow into a Championship Caliber Dealership or remain a Championship Caliber Dealership. Basically, you must hold your General Managers, Sales Managers and any of your other lead positions in the store accountable for the store. Part of leader’s job is to recruit, hire, train and fire people; it’s just one of the necessaries that must take place in order to be successful.

3. Disruptive Employees

Tolerances of and foolishness, rudeness or disrespectful behaviors inside dealerships are killing your customers and costing you lots of money. I have witnessed dealerships where have spent some days inside their showrooms and witnessed flat out horror stories; people who really are rude, ignorant and just don’t give a crap about others. Many times the people are your “Drama Queens” or “Divas” within your organization. They constantly the center of controversy all the time. My questions to those of who you have people like this and you know that you do is Why …Why haven’t you done anything to correct this problem. Perhaps they sell a few cars for you and you feel they aren’t replaceable? Whatever it maybe it you must take action and began to get on a positive revolution within your dealership. You see, these are the same people who refuse to learn the latest technology or to take their very own certification to on their product. These are the people who maybe in good with you and they are totally against change. In reality we all are capable of learning and improving in different areas of our vocation. This disruptive employees are usually the best at pushing your rules right to the limit and fly just under the radar. They nod, smile and agree with you, while giving the the reply “Yes Boss.” Think you are too dumb and occupies to notice their subpar performance and fully are plotting to undermine you.

*If I were you, here are several things I would suggest.

I recommend that you immediately identify your underachievers and put together a plan to make them better.

I ‘d push my managers to do one on ones with the most resistant people to the point either they do their jobs or quit!

I’d fire the most destructive employees simply because they won’t change; cut your losses and send a message that the “Positive Revolution” has begun. Get on board or walk the plank, there has been too much money lost, far too many customers lost and there is plenty of money to be made.

Roger Love,

Championship Attitude Sales Expert

More about Roger

Assemble a Great Team

The Automotive Industry like any other industry is constantly evolving. The question is, are you and dealerships ready for the changes that have taken place currently and are you ready for the next Big Step into the future?

Whether you are small dealer, mid size family owned dealership or a larger corporate giant dealership, your dealerships must all be prepared to make the next big step to maintain or improve your position in your area. Today there are far too many owner, CFOs, Director of Operations, etc who see the Automotive Industry as the same stuff, different day and age. When clearly that’s not the case, looking still at several things from my perspective, one is the high turnover percentages which roughly today at nearly 40% for new hires the entire store staff and a whopping 66% in the sales department.

How do you prepare for the next Big Step into the future of the Automotive Industry?

If you want to be prepared for the Next Big Step into the future of the Automotive Industry you must build a solid nucleus of people who understands the purpose and mission of your dealership. That has to start with having a great leadership team that will hire the right people for the jobs. What I mean by the right people, is making sure you have some one who is contributing the hiring process to bring a well diverse group of individuals together who can bring balance to your sales floor based on the demographics of your business. You must have the right people for your customers. I truly believe that you must have sales people who love people more than they love cars or money. I say this because sales are built on relationships, just ask your top veteran sales associates along with your top service advisors and they will agree that selling successfully is all about relationships. So you must get people in leadership positions who will help you to maintain a good nucleus in terms of sales force in both sales and the service drive.

Growth in Your Customer Based

If you know like I now you have to keep your customers happy and bragging about how great their experience was at your dealership each time they visit. Customers have to be treated like an honored guest in your home. Just think for example, if someone you’re working with has a great experience at nice restaurant last night and they come to you the next day bragging how great the experience was…guess where there’s a 80% chance you will end going sooner or later? That restaurant that was highly recommended by their coworker. You see, it’s not hard to nurture or grow your customer base at all. You just have everyone one who touches that customer to know and understand the customer experience is important to the store. People love to brag about an experience that was good, they also love tell twice as much about a horrible experience as well. You always want to market yourself as a great place to go for a good customer experience. Provide people with reasons to buy and service with you.

Get in Tuned Stupid…

If you are not in tuned with the wave of technology that is in a the world today, then you are stupid and out of tune. Yes, I said it you have to be stupid if you are still living in the past because technology changes and changes often which means you must get in tuned. Dealerships like any other business should make the customers experience really simple and easy. If you can order a pizza online, a Starbucks drink online before you arrive, then then the same should apply for a test drive or a service appointment. Your store must have an application that can be used on today’s mobile devices. You can literally boost your customer retention and grow your business by allowing scheduling appointments online. Not mention, making a booming impact in your parts department by allowing parts to be purchased online. This can and must be something that you must get your people inspired to do and believe it will make life so much easier on your staff and customers. People love technology, so get in tune stupid!

Share Vision of Your Store

You have to get everyone in the know about what you are planning to do to in the future. People love to here about the new plans to expand and grow the dealerships that they work in. For example, if you are building and new facility, plan a huge event that is a day that involves a meal, music and celebration where everyone on staff can get excited and motivated about the big announcement. People love hype and suspense that will lift their spirits. It would make it extra special if the owner(s) are present and involved with the employees. People want to feel included and love rubbing elbows with the owners.

Professional Development

You want to be ready for the next Big Step, then you must have an ongoing training and professional development system in place. From your HR Department teaming up with your trainers for training on racial sensitivity to sexual sensitivity. Yes, you must do this and cover it often. This will keep your legal fees down and even your legacy in place. People are the key to your success and if you going to elevate your business, training and development has to be the foundation. You must train from leadership and coaching, right down to selling skills as well as team work. Your employee handbook must constantly evolve as the times are too often changing. Give people what they need to be successful and have a plan that reflects why professional development is must to elevate your business to that next level.

Competitive Focused

Everyone knows that business is about having a competitive edge that makes customers choose your business over another. Look at Google for example, Steve Yege, a engineer at Google says they are 100% “competitor focused ” which means they know their competitors and how to operate at higher level than their competitors. Basically you and your dealership need to get competitive and competitive in winning the customers over with more than price. Customers of today want service, convincing evidence as to why they should buy from you over another dealership, convenience with technology like apps and a experience that keeps your dealerships on their mind. If your dealerships are not coming up in car conversations amongst your customers or amongst the people in your community, then your competitors are out selling you. Here are a few things to consider, keep the numbers of the units that your competitors are selling in front of your Sales Managers, Sales Associates, Parts and Service Managers to remind them about competition. It’s important that they all understand the goal is the win and win often when comes to sales volume, gross profit and store net profit too! If your people aren’t looking at being first in a competitive environment, then either your goals aren’t clear enough or they don’t belong on your team. Get your people competitively focused by reminding them daily of the store’s ultimate goals and keeping the numbers of your store along with all the other competitors visible where everyone one can view them daily.

Team Work

The saying goes as follows “teamwork makes the dream work.” Well , I got to agree with that as a team there is strength in numbers and when people work together for a common goal, chances are much greater for it to happen. It is the job of the leadership in your dealerships to make sure that individuals are selling, performing at high level with a great attitude and know the impact of the helping one another can have on everyone. This will reduce turnover and increase productivity in your dealerships. Not mention it will automatically develop mentoring with in your work environment.

*Being ready for the next Big Step in your business has to start with Ownership, Management Team, Sales, Service and Parts Team along with your marketing. No matter how many new employees you add, they should know about the next Big Step just like all Sales people should know about the next new models that coming out into your line up.

Roger Love is a Championship Attitude expert who specializes in building “Winning Cultures” in organizations. More about Roger

5 Things You Must Do To Have A Successful Dealership Today.

The Automotive Industry has the highest turnover in today’s workforce at 66% in a three-month period at the sales position according to NADA.

* So how do you defy the odds to become a successful dealership in today’s market?

If you want a successful dealership here are 5 things you must do.

1. Establish Your Presence: You must have a great marketing plan starting with your Mission Statement. Everyone within your organization should know what your dealership is all about and what the store goals are. From upper management to your porters everyone should know what the store’s purpose and mission is. Your marketing plans should reflect who and what you are about. For example, if you are out to best the number one volume dealership in your zone, region or city, then your marketing presence should say it and show it. You must have a constant presence through all forms of media and advertising. If people don’t know who you are and what you do… then your presence is not there yet. You want people to come in and say…I saw your banner ad online, I heard you all on the radio or I saw your commercial on television.

2. Knowledge of how to hire people: While 67% of the workforce would consider a new job offer, only 1% of the workforce would consider working for an automotive dealership, according to Hireology and Cox Automotive.

I once worked for an owner of a large volume group where I was the General Manager of one of his 32 stores and his conversations would always revolve around success starting with your leadership. He would always tell me to make sure you have the right people for the jobs and those jobs were referring to your managers, who are the leaders of your store. The same is especially true for hiring sales managers, who will determine the success you have in front half the stores. Your sales managers need to be positive leaders who know how to recruit talent, train, motivate and coach all their sales people. You cannot for to hire bad managers period! It will be a true reflection on everything you do up front in terms of sales performance and gross profits.

3. Build Winning Cultures:

If you really want to be successful as dealership, then you must create a positive environment that is diverse and make everyone feel included on the team. You see, people quit when the feel less than, frustrated and not accomplished they quit. The number one reason people leave most dealerships is poor management, followed by poor training. Your managers have to be great coaches who can educate, motivate and inspire their people. Whether they are in sales, parts, service or even the front office; you must inspire people! Managers all seem to forget how they got where they are and who help them to get there. Most managers are arrogant leaders who mistreat the people under them. You must watch your managers’ interactions with the sales staff and hold the accountable.

4. Accountability:

Holding your people accountable is very important to the success of your dealership. It starts with the owner who should always monitor the progress of the dealership’s day-to-day operations. The General Managers of all stores should be present and actively involved in the stores operations, constantly coaching and inspiring their people. Now as for accountability you must make it very clear to your managers that they are responsible the store’s gross and net profit. I advise you to have their daily numbers turned into you, whether it be units or gross profits . The numbers then should be placed in front of them (managers) daily. Also assign your sales managers and service managers people to coach and be responsible for. Daily one-on-ones were great back in the day and still are great today. Place leaders in your store who aren’t afraid to take responsibility for their positions.

5. No Negativity Can Be Allowed:

Hear me and hear me well… you cannot tolerate negative people in your dealerships!

I have witnessed far too many dealerships tolerating negativity. The first place where the toxic attitudes starts is usually within your management staff. Managers, who are not well-groomed in terms of people skills have tendency to become arrogant, toxic and of talk down abusively to the sales staff. They constantly are blaming others for the store’s short comings. They are very impatient when it come to young sales people. Not mention they manage with a fear me mentality, which in today’s market will not fly with Millennial and Generation Z sales people. If you are allowing this you must stop the cancer from living in your showrooms. Your service drives and shops are no better either, the negative attitudes must go! You want to have warm and inviting people in your service drive. Positive people in dealerships with a Championship Attitude will always win and be successful.

We must be willing to change our dealership philosophies if we all want have a successful dealership.

Bonus:

A Skilled Receptionist:

We can debate about what’s the most important position in a dealership _I would have to say the receptionist. This person other than BDC, is the first contact consumers have with your dealership. I truly believe this person should be highly skilled from the tone inflection of their voice right on down to where to send all incoming calls. This person’s one sole job is to answer the phone consistently with a positive attitude as well as being good listener. Your receptionist should be aware of specific sales promotions that are going, who’s at lunch, who’s on vacation and so forth. Basically you have someone answering your phones who is well skilled and professionally paid to make you money. Just remember 95% of consumers calling in about a car in particular are pretty much sold and your receptionist skill set is crucial to that sales each time. Consumers are always complaining about two thing when call the store, one is being on hold too long and being bounced around to the wrong place. Your receptionist should be in the Top Five Things to Have a Successful Dealership, they are not so I gave this one an honorable mention.

* If you can accomplish these five things with in your dealership(s), then you will see some success. Just remember “A Championship Attitude Always Wins!”

Be Great,

Roger

Roger Love is a Championship Attitude Expert who specializes in “Building Winning Cultures in Automobile Dealerships, Schools and Business Organizations.