“Some people will not change until the pain is so great that they have to.”
One of the more interesting things I see in my line of work is dealers and managers often know they have a problem, but don’t do what’s necessary to fix it. These are smart people with years of experience and plenty of data and information to conclude that something isn’t working as well as it should or could.
They know there’s a better way, but stay on a road named “frustration.” When your staff becomes frustrated, the growth of your organization is stymied, and your bottom line impacted.
The two examples I see most often are:
1. The relationship between the parts and service departments and the used car department. Sometimes it’s the cost of parts and repairs and sometimes it’s workflow.
Never forget that you can’t sell them and make the most money if you can’t get them to the front line in a timely manner. Nothing drives sales management crazier than seeing units sitting out back waiting to go through recon.
A large percentage of the dealers don’t know where the bottleneck is or how long it takes to get units through the system and ready for retail. They know they have a problem, they just don’t know how big it is and how much it’s hurting their bottom line.
Each department is a separate business and there’s pressure on each department/business to make a profit. Therefore, it often feels like our business model, by design, is set up for the departments to work against each other.
2. Overaged used cars. Dealers know it’s not profitable to keep used cars past 60 days. Most know the profit starts to take a serious dip on day 30. Profit and ROI are going south, and the dealer looks the other way. How such intelligent people allow this to go on and on is extremely hard to understand.
Ignoring the problem creates a culture that lacks discipline, which over the course of time will vibrate throughout the store. You cannot win on a consistent basis when there’s a breakdown of discipline.
More often than not we know how to fix the problem. And, more often than not we don’t fix it. We don’t address the problem due to fear. Fear can be real or imaginary. We often fear that if we attack the problem that someone will quit because they can’t live with the new approach.
If you fear asking people to change to something that’s going to make you, them and your organization better, then there may be an even bigger problem that needs fixing. Maybe you need to fix your thinking.
That’s all I’m gonna say, Tommy Gibbs