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<strong>survival</strong> <strong>is</strong> <strong>not</strong> manda<strong>to</strong>ry — continued<br />

Most employees are tuned in<strong>to</strong> that old radio<br />

station WII – FM (What’s In It – For Me)<br />

A new process or technology may indeed add thousands of<br />

dollars per month <strong>to</strong> a dealership’s bot<strong>to</strong>m line. That’s great for<br />

the dealer, but what do the employees get out of it?<br />

Take the service manager, for example. Switching <strong>to</strong> a new<br />

DMS would definitely be a pain for him because he probably<br />

gets paid a bonus based on the amount of gross profits he generates<br />

in the service department. If a new system <strong>is</strong> implemented,<br />

it’s going <strong>to</strong> take a lot of time <strong>to</strong> learn it, which takes time away<br />

from other activities that generate profits.<br />

Office managers are <strong>not</strong>orious for objecting <strong>to</strong> a DMS<br />

switch. Their life can be pretty m<strong>is</strong>erable throughout the entire<br />

process, and <strong>is</strong> their pay changing for the better? Probably <strong>not</strong>.<br />

So where’s the incentive <strong>to</strong> <strong>change</strong> and learn a new system?<br />

Extrapolate these examples out <strong>to</strong> everyone else in the dealership;<br />

the parts manager who <strong>is</strong> used <strong>to</strong> the inven<strong>to</strong>ry system,<br />

the salespeople who are used <strong>to</strong> and like their CRM, etc. No<br />

wonder there’s an uproar, and no wonder dealers throw up their<br />

hands and say they can’t <strong>change</strong>.<br />

Yet, wouldn’t a more profitable dealership ultimately benefit<br />

all the employees <strong>to</strong>o?<br />

By Changing Nothing, Nothing Changes<br />

Dealers, your name <strong>is</strong> on the sign and you are the dec<strong>is</strong>ion<br />

maker. Yet you are also part of a team. You want <strong>to</strong> do what’s<br />

best for you and your bot<strong>to</strong>m line, but you don’t want <strong>to</strong> upset<br />

everyone else on the team. Is it possible <strong>to</strong> do both?<br />

Of course, but the trick <strong>is</strong> <strong>to</strong> find and offer something unique<br />

<strong>to</strong> each team member that will help them accept the <strong>change</strong>.<br />

Tell them what <strong>is</strong> in it for them. For service managers, the extra<br />

savings or revenue could be used <strong>to</strong> purchase more lifts and hire<br />

more technicians. For parts, it could be extra cash <strong>to</strong> s<strong>to</strong>ck more<br />

inven<strong>to</strong>ry; for sales, it could be more money spent on advert<strong>is</strong>ing;<br />

for the office manager, it could be a bonus.<br />

One thing’s for sure. By changing <strong>not</strong>hing, <strong>not</strong>hing <strong>change</strong>s.<br />

In <strong>to</strong>day’s increasingly transparent world, dealers must be<br />

proactive in looking for ways <strong>to</strong> increase profit margins. More<br />

efficient processes and new technologies are the way <strong>to</strong> do it;<br />

but buy-in from the team <strong>is</strong> <strong>necessary</strong> <strong>to</strong> make them—and your<br />

dealership—successful. <br />

Mike Esposi<strong>to</strong> <strong>is</strong> President and CEO of Au<strong>to</strong>/Mate Dealership Systems, a<br />

leading provider of dealership management software (DMS). Mike can be<br />

contacted at (518) 371–4331 or via e-mail at mesposi<strong>to</strong>@au<strong>to</strong>mate.com<br />

or follow him on Twitter at @Au<strong>to</strong>MateDMS. Au<strong>to</strong>/Mate <strong>is</strong> a DMS “designed<br />

by car people , for car people,” and features easy-<strong>to</strong>-use, fully integrated<br />

modules <strong>to</strong> suit all dealerships.<br />

“My focus <strong>is</strong> running my dealership—<strong>not</strong><br />

worrying if my business <strong>is</strong> protected or<br />

how <strong>to</strong> generate income in my finance<br />

department. Zurich lets me do that.”<br />

One insurance company for your business insurance and F&I<br />

product needs<br />

In 2011, more than 1,300 dealerships purchased both business insurance and F&I<br />

products from Zurich. Products such as our Unicover ® policy, which packages most<br />

of the coverages needed by dealerships in<strong>to</strong> one policy. Or our Streamlined Selling<br />

System ® , which can help you drive increased F&I profit. One company for all your needs,<br />

backed by 90 years insuring dealerships. Call Jeff Dian, Regional Sales Manager, at<br />

630-215-3892 or v<strong>is</strong>it www.zurichna.com/SDA1 for more information.<br />

V<strong>is</strong>it FandIResourceCenter.com <strong>to</strong> reg<strong>is</strong>ter for our complimentary<br />

on-demand webinar – “Six Principles of Success in the New Economy”<br />

Insurance coverages and non-insurance products and services are underwritten and provided by individual member companies of Zurich in North America, including Universal Underwriters Insurance Company and Universal Underwriters<br />

Service Corporation. Certain coverages, products and services are <strong>not</strong> available in all states. ©2012 Zurich American Insurance Company<br />

10 ILLINOIS AUTOMOBILE DEALER NEWS<br />

www.illino<strong>is</strong>dealers.com

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