Service Drive Magazine September 2015

Page 24

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The Frequency Of Every Service Labor Operation You Perform, And Today

“Imagine what the return might be at your dealership if every service labor operation on your list was given the same level of attention.”

It will expose when your advisors are failing to suggest work that the customer needs and benefits your dealership. BY ROB GEHRING

24 Service Drive SEPTEMBER 2015

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ervice advisors in today’s dealerships serve as a critical component in fixed operations performance. Customer retention and satisfaction in the service department is directly related to developing the “customer for life” that every dealership desires. If your customers are satisfied with their service experience, then the vast majority of them will price their next vehicle purchase at your dealership first. The difference between a good advisor and a poor performer translates into hundreds of thousands of dollars in annualized parts and labor sales revenue. There are many ways to measure advisor performance; however, in this article I’ll discuss developing a quantifiable process that I believe can make all of them superstars at your dealership. Most DMS programs for dealerships produce a report

that will illustrate the dealership’s labor operation (“labor op”) frequencies. It will illustrate at a glance, for example, that oil changes are the most common labor op that the dealership performed during a selected time interval. The list can bring to light an incredible number of opportunities for lmprovement at your dealership.

ARE SOME LABOR OPS SUGGESTED AT ALL?

For example, looking at your list you will likely find your service staff is performing a fair amount of tire rotations. However, when might find the number of tire balance operations very low in comparison. There’s no question that tires wear down and should be balanced

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