What Stage Are You In?

I’m going to be discussing and commenting on what’s commonly known as the “Four Stages Of Learning” plus two others that I know you have never heard of because I made them up. I don’t know where the first four originated, I just know I stole them

All 6 stages of learning apply regardless of the application. They can be applied in sports, business, social activities, and life in general.

1. Unconscious incompetence-The individual does not understand or know how to do something and does not necessarily recognize the deficit. The individual must recognize their own incompetence, and the value of the new skill, before moving on to the next stage.

The length of time an individual spends in this stage depends on the strength of the stimulus to learn. The more time they are willing to spend learning the skill or activity the faster they move to the next stage. Example: You decide to take up golf so you go out to the driving range, whack at a few balls. 1 out of 10 you make great contact, but you have no clue what you’re doing. You know you love the feeling and you know you want some more of it so you keep returning to the driving range and/or play a few rounds of awful golf.

2. Conscious incompetence-Though the individual does not understand or know how to do something, he or she does recognize the deficit, as well as the value of a new skill in addressing the deficit. The making of mistakes can be integral to the learning process at this stage. Example: After going to the driving range for a while and playing a few rounds you begin taking lessons with a golf pro and quickly realize how little you know. You observe others either at the golf course or on video, etc. and the realization of how much there is to this game starts to sink in.

3. Conscious competence-The individual understands or knows how to do something. However, demonstrating the skill or knowledge requires concentration. It may be broken down into steps, and there is heavy conscious involvement in executing the new skill. Example: More golf lessons, more golf rounds played and you are starting to understand the integral parts of the swing. You haven’t mastered the swing yet, but you are starting to strike the ball more consistently especially when you think it through.

It’s not automatic, but your skills are improving as your knowledge starts to grow. This can be the most frustrating stage of the first four. You still have to think about it. When you do, your results are much better, and when you don’t you want to throw your clubs in the lake.

4. Unconscious competence-The individual has had so much practice with a skill that it has become “second nature” and can be performed easily. The individual may be able to teach it to others, depending upon how and when it was learned. Example: You’ve now repeated your golf swing enough times, played enough rounds, attempted enough different types of shots that you can break par or better, and have reached a very competitive level. You no longer have to think about the elements of your swing, you just do it. The physical and mental muscle memory is locked in.

5. Competent Incompetence-is the most dangerous of the six. It’s when you have years of experience, know your stuff and have become convinced you have nothing else to learn. Your success has convinced you that you are “the man” (or woman) and you are done learning. Seeking more knowledge is the last thing on your mind. What got you to where you are today is what you think is going to keep you where you are and beyond.

6. Learning to be competent-this stage never stops. It’s a life long journey that keeps life interesting and challenging. You know that learning is a journey, not a destination. (That would be you and I.)

The most successful people at any skill, business, or activity are the ones who continue to do two things:

1. They keep going back to the basics
2. They continue searching for answers even when they think they already have many of them.

What stage are you in? I’m in the “Learning To Be Competent” stage and I hope it never ends. That’s all I’m gonna say, Tommy Gibbs

The Word “I”

I’ve never understood why some people in leadership positions want to make it all about “I.” Really good leaders will avoid the “I” word like the plague.

How hard is it to insert the words like we, us, they, our team, etc.?

Real leaders get it. They only use the word “I” when it’s absolutely necessary or when they are taking responsibility for something that hasn’t gone well.

It’s not unusual to hear a manager say something like, “I” sold 200 units last month or I had a record month or I’m going to sell 300 this month. Really? I don’t think so.

There are so many examples of the poor use of “I.”

You will often hear Presidents say things like “I” got Osama Bin Laden or I’m sending FEMA to help with the most recent hurricane. Or I’m going to send every American a check, blah, blah, blah.

There are some good uses for the word “I.”
I made a mistakeI can do betterI’m going on a dietI take full responsibility for our aged unitsI should have unloaded that used car in the first 10 daysI love you

That’s all me gonna say, Tommy Gibbs.

Should You Hire Athletes?

I think that a large percentage of successful people played a sport or two along the way.

It’s not imperative for someone to have a sports background, but it sure does help.

Here are some reasons why you should give consideration to hiring people with a sports background:

They know how to win.
They know how to lose.
They love big moments.
They want to learn more.
They know how to compete.
They always give their best.
They understand preparation.T
hey stay focused on the basics.
They get up when knocked down.
They coach and like to be coached.
They will get down in the trenches.
They know how to run the score up.
They understand mental conditioning.
They understand physical conditioning.
They know they must maintain discipline.
They like being on the team and understand teamwork.
They have drive, determination and the will to win.
They are eager to get off the bench and into the game.
They think fast.
They react fast.
They can react on the fly.
They have great peripheral vision, thus they always know what’s going on around them.

Hire more people with a sports background, That’s all I’m gonna say, 
Tommy Gibbs.

Pick & Roll

March Madness is here, and sports minded people will be tuned into the NCAA basketball tournament. If you know anything about basketball you know there are some fundamentals of the game that never change.

1. Pick and roll. Watch any game and you’ll see it’s an integral part of every team’s offensive scheme.

2. Baseline defense. The offense player is always forced to the middle where there’s help. If you let the offensive player go down the baseline, you’re either gonna commit a foul or give up a bucket.

Of course, the game has changed over the years, but that’s just two examples of things that stay the same.

Let’s take it a step further. Suppose you wake up one day as the head coach of a basketball team that has two guys that are 7′, two guys that are 6’7″ and a 6’5″ guard. They are all lighting fast and can shoot the eyes out. Because of your speed and height advantage you’re romping all your opponents.

Even when the subs come in, you just keep scoring and winning.

Run and gun has become the norm and basics have left town.

Then one day you wake up and your top players have left school and all you have is a bunch of six-footers that can’t do much of anything right.

Their lack of discipline and basics sends you into a tail-spin and pretty soon you’re out of a job.

I hope you see the analogy here of where we are in the automobile business.

Maybe you need to get back to basics before you have to get back to basics.

1. Do a trade walk and lot walk, daily and weekly.

2. Press your average cost down.

3. Don’t let crap age on you. (Your luck on this subject is getting ready to run out.)

4. Attack your 10 most expensive units.

5. Do a save-a-deal meeting every day. (There’s only definition for the word every.)

6. Improve your speed through recon. Speed wins. The lack of speed kills. MY RECON TOOL.

7. Be a student of the game. Great basketball coaches are always studying the game so they can find the competitive edge. You should do the same.

8. Hire slow. Fire fast.

9. Dealer Operators and GMs should review every wholesale deal once it’s billed. Ask questions such as “How did we make $1500 (or lose $1500) on this unit?”

10. Gross always hides mistakes. You may be making some mistakes these days such as letting cars sit, but at the end of the day, the overall grosses are so good that nobody is paying attention

Number 10 is akin to you playing an inferior team. You give up the baseline and they blow the layup, and you start to think you can give up the baseline, no big deal.

A lot of what I share with you is a baseline. If you keep giving up the baseline, you’re eventually gonna get your ass beat.

That’s all I’m gonna say. Tommy Gibbs.

When Does The Clock Start?

BooksUpYourGross Software Demo &TrainingOnline Used Car Training
By and large, most dealers and managers have come to understand it’s not the big that will eat the small but the fast that will eat the slow.

We all know the faster we can get a car on the lot and online the more we increase our odds of making a respectable profit.

If you are committed to 60 days or less (which you should be) then any days in the cycle in which the unit is not available for sale is a killer.

The question often comes up, “When does the clock start ticking?” Does it start with the acquisition, the day you own it, or does it start when the car goes on the lot/online?Let me make this as clear as I possibly can. It starts the moment you own it. Period. No exceptions, no ifs, ands, or buts.

But Tommy, it’s been in the body shop for 20 days?

Nope, no, no, no. The clock is ticking. Your money is tied up from day one. You’re working with a depreciating asset. If you try to think any other way, you are lying to yourself. Don’t lie to yourself.

10 Things To Help You Win The Clock Ticking Game:

1. If you are in a state where there are title issues there has to be a clear line of communication with the office on a minute-by-minute basis to alert you when the title arrives. Any breakdown in communication is costing you money. Staying after these title issues cannot be left up to chance. Somebody has to take ownership of chasing after the titles.

2. It’s a fact that you are having to go further out of your area to buy cars at auctions, but you have to be selective and know what the timeline is that you are dealing with. Anything you can do to reduce transportation days is better. You might even want to consider paying the trucker a bonus for fast delivery. Our software helps you keep track of days in transit.

3. How hard are you trying to buy cars in your own market? Do you have a procedure set up so that when someone comes in and wants to sell you a car that you give them the full routine with a written appraisal? Does your website have a self-appraisal link so the customer can get real numbers from you quickly. Do you have an individual or a team in place working full-time acquiring vehicles from the public?

4. Mine your customer base. For sure, you know which cars you always do well with. Often they are right under your nose hiding within your CRM. Vin Solutions has some great tools for finding those vehicles and giving you a chance to buy the car, trade the car or ultimately sell the owner a new car.

5. How about a unique and separate website that drives the customer to your website to sell you their car?

6. If you’re in a market with CarMax, consider promoting that if the customer brings their CarMax appraisal to you within 7 days of the appraisal, that you will give them more for their car than CarMax or give them $100 cash if you can’t beat CarMax’s offer. What do you have to lose? Suppose you buy 10 extra cars this month and also pay out $1000 in loser fees. Do ‘da math, what did you make on the 10 extra cars?

7. Fix your service and recon issues. I know it sounds likeI’m picking on service a lot and that’s not my intent. I just know in most dealerships it’s the same old, same old. How many total days are being wasted from the time the car is acquired until the time it gets on the lot and online? In today’s age of speed, you have to find every day that you can if you’re gonna win the “meter game.” My UpYourGross software comes with a free “Recon Tool.”

8. Make sure you include in your “save-a-deal” meeting every morning a list of all vehicles that are either in transit or tied up due to title issues. The more you pick up the intensity on these units, the faster things will happen.

9. Pick up the intensity level. Not just you, but the entire team has to understand that any day that a vehicle is not on the lot/online it’s costing the dealership big money.10. Consider hiring a “Chaser.” A chaser is just that. It’s someone who chases your units through the system to ensure nothing sits any longer than absolutely necessary.

Pop Quiz:
When does the clock start? When you own it.

What can you do to improve the clocking ticking? Re-read 1 thru 10.

Control what you can control. That’s all I’m gonna say, Tommy Gibbs.

Justification

“You can justify anything you want to justify.”

Pick any subject and go for it.

Here’s just one:

You can come up with lots of reasons why you have and allow aged inventory.

And certainly, with far better logic & data, you can justify why you need to retail that stuff and never allow an aged unit again.

You get to pick. Choose wisely.

That’s all I’m gonna say, Tommy Gibbs.

You Can Justify Anything

“You can justify anything you want to justify.”

Pick any subject and go for it.

Here’s just one:

You can come up with lots of reasons why you have and allow aged inventory.

And certainly, with far better logic & data, you can justify why you need to retail that stuff and never allow an aged unit again.

You get to pick. Choose wisely.

That’s all I’m gonna say, Tommy Gibbs.

Do You Want To Own Your Own Business?

Most of my messages are geared toward management, but today I want to talk to your sales staff. You should forward this to every salesperson on your team and suggest they sign up for my newsletters.

If you’re a salesperson, I want to help you re-frame what you do every day and what a great opportunity you might be missing. If you’re in management, this is a message you need to share with all.
Have you ever wanted to be in business for yourself?

Have you ever thought about going into business, to get someone else to invest the money and you reap the rewards?

Welcome to the amazing world of the automobile business:

You have free office space.
You get rewarded based on how hard you work.
You have opportunities for advancement.
You have healthcare, vacation and retirement opportunities and Christmas bonus programs.
You have a management team working to help you be productive.
You have a free computer system.
You have a CRM/DMS and other software provided free of charge.
You have staff and technicians available to handle customer problems.
You have free marketing, advertising, and a website developer.
You have an administrative staff to help process your deals, DMV work, etc.
You have millions of dollars of inventory to sell with zero personal investment.
You get special spiffs/incentives from the factory.
You get all the free training/coaching that you can stand.
You have a detail/clean up department that gets your vehicles ready for delivery.
You don’t have to pay a penny for phone, electricity and other utilities.
You can demand an assistant when you become productive enough.
You have an Internet/BDC department begging you to take leads.
You have free janitorial service.
You have free coffee.
You have your own personal financial officer (F&I) working to put your deals together.
You work out of a multi-million dollar facility located on prime real estate.
You have an opportunity of a lifetime with no personal financial investment.
You need to “own” your own business.

That’s all I’m gonna say,Tommy Gibbs.

Why Do You Tolerate This?

As a new car dealer for over 20 years the training of salespeople was big on my list of priorities.

We always had someone in charge of the training of which I was always a part of. At one time we even had an offsite training center that was state of the art with video cameras for role play, etc.

As I’m writing this, I’m sitting here shaking my head because I just don’t get it.

Over the last few weeks I’ve driven by the same dealership at various times of the day and there are always 4 or 5 salespeople standing out on the “porch,” looking like they are getting ready to mug the next customer that shows up.

If I were a customer there is no way I’d be pulling into customer parking and take a chance with that mob standing there.

How can this been going on in today’s world?

Where’s the leadership? Have we not learned anything over the past 20 years?

All that money you’ve tied up in your CRM and technology going right down the drain.

If you’ve ever wondered why you can’t get and keep good people here’s part of it right here:

People want to feel productive.

People want to feel like they are contributing.

People want to work for an organization that’s disciplined and gives direction.

Why would anyone with half a brain want to work in an organization that has no more direction than this?

Here’s the reality; that store isn’t alone.

Some of you have the same issue.

Open your eyes, there’s a hot mess out on your porch and it’s costing you money.

Oh yes, there’s training going on at your dealership. It’s happening right out on the porch.

That’s all I’m gonna say, Tommy Gibbs

Don’t Do Easy

It’s easy to do easy.

It’s easy to ignore.

It’s easy to look the other way.

Easy to let slide.

We all like easy.

Anybody can do easy.

Being easy causes you to say yes, when you should say no.

Being easy causes you to take your eye off the big picture.

When you take your eye off the big picture, everything around you becomes a little fuzzier.

The fuzzier things get, the more confused you and your staff get.

The more confused you and the staff get, the more little things begin to slide.

Easy now becomes habit.

Habit becomes the norm.

The norm becomes easy.

That’s when rinse and repeat occurs. The problem is that the water you’re rinsing with is murky and dirty.

Expectations begin to drop. Lower expectations become the norm.

The little things can be hard to measure, so they are ignored.

When you focus on the little things, the performance of the team improves.

Why would you want to do easy?

Don’t do easy. That’s all I’m gonna say, Tommy Gibbs