Late last year I was reading the Sunday paper and came across a story that was a collection of quotes from Nelson Mandela, who had passed away the previous week.  Reading those quotes made me very reflective both personally and professionally. One of his quotes that really struck me…

Most of us grew up in the industry where PUVR (or Per Used Vehicle Retail) was the key metric we were looking for to determine how successful we were on each vehicle we sold. As we all know, things have definitely changed since the Internet has become the primary way our customers begin their search for a used car.

For the last two years, I have had the privilege of teaching and coaching our NCM dealer-clients’ managers at the NCM…

Written By: Dennis Kane

 I have seen a significant number of high value claims as a result of contractors or subcontractors not carrying insurance or inadequate limits of insurance.

Examples of high value claims against dealerships include:

• Claim against a dealership’s workers’ compensation carrier or general liability carriers due to an injury of a subcontractor’s employee and the subcontractor doesn’t carry workers’ compensation…

Written By: Garry House

Last month I published a blog focused on the difference between good and great automobile dealers, and I promised to follow that up by discussing what we, at the NCM Institute Center for Automotive Retail Excellence, have learned about the differences between some of the good and great processes employed by these dealers. This is the first of those follow-up articles.

Most every dealership manager…

Written By: Robin Cunningham

Most Monday mornings I find myself standing in NCM Institute’s beautiful training facility welcoming a new class of retail automobile dealership managers who have come to Kansas City for formalized training specific to their job responsibilities. After introductions, I tell them something like: “We won’t be talking about what you think you have come here to learn until just before or…

A quick look at the current state of auto retailing would suggest that things are good. Tough times (and a couple of notable bankruptcies) have thinned dealer ranks. Although pressures are mounting, the manufacturers are still demonstrating discipline around production volumes. Most importantly, customers are returning to showrooms.

Add all factors together and the result is that volumes and margins on both new and pre-owned vehicles are strong. So strong, in fact, that many…

Written by: Thomas Bear

Realizing the dealer/general manager’s day is full of interruptions, if you could wave a magic wand and create the perfect day, what would you do during this day?

Which activities do you wish you did every day? Which activities are the top ten for you to do every day?  Here’s an exercise we use in our 20 Group meetings from time to time that might be helpful for you to realign your daily priorities.…

Written By: Garry House

In the second quarter of 2012, the NCM Institute (NCMi®) formed a training partnership with Automotive Internet Management (AIM). AIM has conducted five “Bridging the Internet Sales Gap” training workshops under NCMi sponsorship. After personally auditing two of these sessions and receiving client-dealer feedback from all of the sessions,…

This article was written by NCMi Instructor, Steve Hall.

Being an instructor at the NCM Institute has some definite advantages. I am blessed with an abundance of information, from all levels of the dealership. Week by week, we get to interact with owners, general managers and department managers. Not only do we share our information and best practices, but listen and learn about what is going on in your…

A top 10 nationally-ranked auto dealer called me recently and asked me to do an assessment. I said no problem, I’ll send the list of schedules that I need from your controller and we can get started. The dealer responded no, not that assessment, the management assessment that we did two years ago. Based on the urgent tone in his voice, I asked, “Tell me what’s going on?” The dealer explained that in 2011, the store had a record year in volume, market share and net profit. Based on that year,…

If you haven’t already done so, it’s that time to review your 2012 performance in detail. In what areas did you fall short of your goals and why? Where could you have generated greater gains and how? Don’t allow January to slip by without these facts in writing and a discussion of how you can best move forward in 2013.

A common F&I pay plan in the automotive industry is known as the grid. It compensates managers based on their per vehicle retail performance and products sold…

At the NCM Institute Center for Automotive Retail Excellence, the training that we provide in our Service Management courses focuses primarily on strategies and tactics. However, we have discovered that the effective execution of the strategies that we teach is most often hampered by an important missing ingredient:…

Since it is that time of year, here are some ideas for commitments you may wish to make for 2013. As you’ve heard me say many times, “If you measure it and then scoreboard it, performance will improve!” Many of you are probably measuring and scoreboarding some of the following key performance indicators, but I doubt if any of you are measuring all 11 (a “lucky” number) of them:

1. Actual flat rate hour Productivity per Technician against objective on a daily,…

In the second quarter of 2012, the NCM Institute (NCMi®) formed a training partnership with Automotive Internet Management (AIM). After personally auditing two of these sessions and receiving client-dealer feedback from all of the sessions, I’ve become convinced that dealers and their sales management teams need to “raise the bar” on their expectations for Internet closing ratios.

At NCMi, we have always believed and…

The original article I had scheduled for today is titled, Tactics for Improving Employee Productivity. But as I was putting the finishing touches on the content, I said to myself, “Self, you’ve skipped an important step! You shouldn’t be presenting tactics until you’re sure that your readers understand the differences between strategies and tactics.”

It’s my understanding that “strategy” is derived from the ancient Greek word,…

A sound Internet/BDC operation is a key component of every successful automotive dealership. The question is, what makes a sound Internet/BDC operation? When the NCM Institute decided to sponsor a dealership Internet/BDC training program earlier this year, we decided upon one of the recognized e-Commerce experts in the retail automotive industry,…

Early in my retail automotive management career (back in the late 1960’s), I was fortunate to meet a renowned sales and management trainer. His name was Clint McGhee, and his training disciplines and materials provided the foundation of sales success, not only for my dealership, but for many others as well.  Following is one of Clint’s mantras, with which I may have taken a little editorial freedom:

“Avail yourself of every training opportunity.…

I’m sure you’ve heard this theme over and over: the automotive retail world we work in today is in continual flux, requiring continual adaptation and an unprecedented acceptance of change. At the beginning of each of our NCM Instituteclasses, we ask the attending dealership executives and department managers, “What is your biggest single challenge?” Although it may not quite come out of their mouths this way, the answer we…

It’s time for a continuation of the mini case study focused on the objectives established and challenges faced in building processes to develop, measure and manage OTDBs in the operating departments of an NCM client automotive dealership group. In our article titled OTDB Measurement and Management – Part Two, published on March 20, 2012, I discussed the structure of the vehicle sales department and the general expectations that we defined and communicated to the members of the sales…

In an NCMi Leading Your Dealership to Success course that I taught in April, I made three “punch-in-the-nose” statements in my introductory comments that were related specifically to the retail automotive industry:

1. Most (a lot more than 50%) auto dealership employees give…