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Tag Archive: General Management

NCM Institute

Behind-the-scenes: GMEP Graduates Celebrate their Achievement

NCM recently celebrated with our newest group of General Management Executive Program (GMEP) graduates. Catch a glimpse of all the fun!

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Permanent link to this article: http://blog.ncm20.com/2016/02/behind-the-scenes-gmep-graduates-celebrate-their-achievement/

Steve Kain

What’s the Score?

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Just imagine. It’s a glorious fall night and you’re the quarterback, racing for the end zone. Lungs aching from the run, you finally make it: touchdown! You look at the scoreboard to see the score: -/-. What?

That’s right. Nothing. No score. All that work, and no idea how much it may have affected your team! Did you win? Are you losing? Without results, you have no idea.

Don’t know the score? Then, you’re losing the game.

Far too often, I’ve found that dealerships leave their staff in the dark when it comes to performance. Not only is it confusing for your personnel, this tactic makes it hard to determine a clear strategy for success.

Monitoring the current state—and sharing it daily—gives you concrete data to guide your decisions and clear metrics by which to hold your staff accountable. It’s only when they see the reality of their performance that they can improve it.

Prepare for victory.

First, let’s consider how you can use a scoreboard to help with advisors. Things I like to track include, customer repairs and customer pay dollar sales in both labor and parts. It’s also good to monitor the closing percentage on both menu opportunities and additional service requests, follow-up sales, number of warranty repair orders and customer satisfaction numbers.

Next, let’s score the technicians. There’s a lot you can track here. You definitely want to know the daily number of repair orders, how many hours were billed and productivity per tech. Other things to consider are how many additional service requests were generated from multi-point inspections and the number of comebacks. Lastly, and maybe most importantly, monitor customer satisfaction numbers.

Moving on, I also like to look at parts and service holistically. The key to this is tracking fill rates. After all, isn’t there a much greater chance a customer will say yes to the advisor when the part is in stock? I’ve even found dealerships that pay incentives to parts personnel based on technician productivity, because service can be negatively impacted by time wasted at the parts counter.

But don’t base parts’ score just on others’ performance. You want to note both total parts sales and also the gross profit margin of parts sales both individually and as a group. And, like I mentioned before, keep an eye on the fill rate for parts requests. It may also be beneficial to track the dollar amount of special order parts in the special order bin because those parts mean both parts and labor sales.

Make your own playbook.

Don’t be limited by my suggestions! If you want to improve numbers in your dealerships, start tracking them and developing an improvement plan. If there’s a number in the dealership that you want to improve, just track it and it will change.

Alright, Coach—are you ready to get those score boards up? Tell us your objectives and share how you plan to rally your team to a victory this month.

Permanent link to this article: http://blog.ncm20.com/2015/11/whats-the-score/

Dave Anderson

Building a High Performance Culture (Part 22)

This article is part of a multi-part series titled “Building a High Performance Culture” by Up To Speed Guest Expert, Dave Anderson, of LearnToLead®.

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Words That Work: Hunger

In this post on building a high performance culture I’m adding the word “hunger” to the “words that work” category. Hungry cultures are those that regularly change, risk, and stretch—even while things are going well and all the seas appear calm.

I’ll dig deeper into hunger below; but first, quickly review the strong and weak cultural words below so you can conceptualize the ideal culture to move your organization towards, as well as what you must weed out of your culture in order to maximize your organization’s potential.

Words that work and must be woven into culture

Earn: to acquire through merit.

Deserve: to be worthy of; to qualify for.

Consistent: constantly adhering to the same principles.

Hope: grounds for believing something in the future will happen.

Catalyst: a person or thing that makes something happen.

Responsible: to be the primary cause of something.

Tough-minded: strong willed, vigorous, not easily swayed.

Loyal: faithfulness to one’s duties or obligations.

Passion: a strong feeling or enthusiasm about something, or about doing something.

Discipline: an activity, regimen, or exercise that develops or improves a habit or skill.

Commit: to pledge oneself to something.

Prune: to remove what is undesirable.

Wise: having or showing good judgement.

Diligent: giving constant effort to accomplish something.

Words that hurt and must be weeded out of culture

Fault: responsibility for failure.

Blame: to assign responsibility for failure.

Excuse: a plea offered to explain away a fault or failure.

Mediocre: average, ordinary, not outstanding.

Wish: to want something that cannot, or probably will not happen.

Entitle: a claim to something you feel you are owed.

Sloth: reluctance to work or exert effort; laziness.

Complacent: calmly content, smugly self-satisfied.

Maintain: to cause (something) to exist or continue without changing.

Apathy: a lack of enthusiasm, interest or concern.

Interest: to be curious about (as opposed to being committed).

Foolish: lacking good sense or judgment.

Micromanage: to control with excessive attention to minor details.

Hunger is defined as an intense desire, a compelling craving. 

Note that the definition isn’t limited to merely a “desire or a craving;” intense and compelling are the keys. If something is intense and compelling it moves you, which brings up the key point to this post: you can’t have a hungry culture without hungry people at all levels moving it forward. The challenge is that while you can motivate people—stoke embers that already exist—you cannot make someone hungry by putting the embers of desire within them. Thus, your team members must bring hunger to the table; they must give you something to work with. Hungry people normally have the following traits that make them easier to identify during an interview, or to evaluate the people already within your culture:

  1. Hungry people have compelling reasons—their “why”—that drives them to excel. Their why may include a range of motivations from buying a nicer car, moving into a bigger home, sending their kids to a private school, helping a sick parent, making a difference in the lives of others, to supporting orphans. People tend to lose their way when they lose their why, and wind up going through the motions as they miss their potential by a mile.

One purpose of an interview is determine just how specific and compelling a job candidate’s why is. This will give keen insight into how self-motivated you can expect them to be.

  1. Hungry people are rarely stuck in their ways. They change before they have to, enjoy learning and sharing new things, and would rather take a mature risk than defend a safe status quo.
  1. Hungry people want new responsibilities. They want an opportunity to learn and grow and to expand their skills. They also want increased latitude and discretion to make decisions without having to always check with a higher-up.
  1. Hungry people are more prone to seek out feedback. They know they need fast, honest, specific feedback to grow.
  1. Hungry people don’t need as many pep talks. Of course like anyone they appreciate pats on the back, but aren’t dependent on them in order to stay motivated and work hard to reach their goals.

Final note: A culture is in big trouble when the leaders have let complacency nudge out their hunger and begin leading more from the rear, than from the trenches; maintaining, presiding and administering but not having a stretch impact on the team. Frankly, lethargic leaders create lethargic cultures. Hungry leaders build hungry cultures, and more naturally attract those with the like levels of internal motivation necessary to build a great organization.

Permanent link to this article: http://blog.ncm20.com/2015/10/building-a-high-performance-culture-part-22/

Rick Wegley

Wagging the Dog: Don’t let a 5% problem ruin everything

Over the last several years, I’ve visited hundreds of dealerships. And, while performing operational assessments, I discovered that the majority of the headaches plaguing the culture and profitability of my clients were self-inflicted.

The problem with too much regulation

Intending to control unique and infrequent variables—and keep them from disrupting their daily routine—I found managers who kept adding steps and reducing employee empowerment. They chose this approach in lieu of defining the structure of the fundamental process, then documenting and training employees on it.

You can map out only so many scenarios. No matter what, unpredictable and uncontrollable variables will appear in nearly every customer service or sales environment.

Ultimately, managers created hurdles that made their jobs easier. But these limitations severely curtailed their employees’ ability to meet objectives and take care of customers. Most importantly, they completely changed their overall process in an attempt to manage the 5% of unique variables we call exceptions within their business model—and, in doing so, negatively impacted the 95% majority of the customers. Worse, they even created culture problems within the store!

Variables are unavoidable

So many processes changed. And, yet, these managers still were unable to avoid the unpredictable and uncontrollable variables that come with doing business.

By trying to control everything, most created new problems along the way. Now, they spend an inordinate amount of time and resources trying to manage a department with ineffective processes for handling the majority of their day to day operations.

Employee morale is low. Customer satisfaction suffers. And the department isn’t meeting its objectives. There’s pressure from above to “right the ship,” and these managers are unable to identify the root cause of a growing problem.

Manage by the RIGHT numbers

You should definitely manage by the numbers, but make sure you’re using the right ones.

Take a good look at your current structure and re-evaluate your current processes— simplify wherever possible. Involve your employees. And solicit feedback from both them and your customers on what is working well and what they feel needs improvement.

Once you have simplified and streamlined your processes, put them in writing. Hold meetings with all of your employees and make sure they all understand the revised processes. Provide the necessary training and resources for employee success. Definitely let them know what the empowerment guidelines are and the accountability aspect for each individual role. And clearly explain the minimum acceptable standards for performance.

Don’t forget the “why” part of this equation when discussing any changes with your employees. Discuss some contingency plans you have considered for the exceptions, and then review the empowerment tools that you have provided for them to use. Give examples of how and when they should be used.

The 5% goal

Manage 95% of your business by process, and then manage the 5% of exceptions. Once a clearly structured business model is in place, a manager should need no more than 5% of their time managing unpredictable and infrequent variables. This ideal state requires simple, defined processes (in writing) to manage the majority of predictable and measurable daily activities that contribute to profitability and customer satisfaction.

Is the tail wagging the dog at your store? If so, take a good look at your current structure and re-evaluate your processes. Chances are 95% of your problems are self-inflicted.

Tell us how you manage exceptions in your business? Is it a 95/5 mix or something different? Comment below with details. 

Permanent link to this article: http://blog.ncm20.com/2015/09/wagging-the-dog-dont-let-a-5-problem-ruin-everything/

Tom Hopkins

Characteristics of a Pro

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There are many traits or attributes common to those who can be called professionals in the field of automotive sales. A particular quality that separates the average from the great can be expressed by one simple word: discipline.

Years ago, I used to teach that one of the top qualities separating the average from the great was desire. However, I have since met and observed many students who had the overwhelming desire to succeed, but lacked the discipline required to lay out the specifics of their paths to success, stay on track, and ultimately fulfill their potentials. So, now I teach that your desire to achieve must be tempered with your ability to discipline yourself to do what’s necessary at all times.

Most of the great ones in business and in life have an overwhelming desire to prove something to someone. They know they can be the best in their fields and are out to prove it to the world, or maybe just to themselves and their families. This desire burns so strongly within them that it keeps them moving in the right direction. It keeps them positive on days when things don’t go just right. It keeps them cheerful to their clients and fellow salespeople. It makes them more efficient and professional in their day-to-day activities. It’s the fuel that keeps their personal engines running in top condition.

The desire they have to succeed is not wholly selfish. In their quest for success, they sincerely want to find those people looking for dependable new vehicles and fulfill their needs in owning them. Their success is brought about by delivering happiness to those people they come in contact with and serve.

I can’t tell how much desire you have to make it in this field. Only you know that. The answer comes in knowing how much stress, anxiety, and pain you can tolerate before you call it quits. Are two rejections and three No’s enough to send you looking for another profession? If so, you have a low threshold of desire and a high one for rejection. Think about what you’re willing to give or do to achieve what you really want.

Desire without discipline leads to disappointment, disillusionment and despair. Don’t let yourself be disappointed. Develop the discipline you need to succeed.

Professionals pay close attention to details.

They ask questions that help them get a better understanding of exactly what their clients are looking for in a vehicle. They have their paperwork in order — properly filled out, recorded, and filed. They return phone calls promptly — even if it’s just to leave a quick message that they’ll be in touch later. They keep their promises and have answers ready when questions are asked. They never say, “I don’t know.” When they don’t know the answer to a question, they say, “I’ll find out for you.”

They are highly goal-oriented.

They are striving for a certain number of vehicles sold each month, a certain income, a trophy or an award. They know exactly what they’re working for and have a plan detailing when and how they’ll achieve it.

Do you have your goals in writing? If not, you are a wisher, an undisciplined dreamer. You haven’t really committed yourself to achieving anything. You’re like those average people in your office who say, “Sure, I want to make more money, but after the day I had yesterday, I’m not calling anyone today!”

You see, the successful ones, the true professionals begin where the failures stop. They do what the failures are afraid or too lazy to do.

The great ones understand that they must strive daily to improve their skills.

They have jumped in with both feet and are willing to pay the price of learning what they have to know to be successful in this business. They’ve committed to the automotive industry as their career path. They are constantly striving to improve themselves by attending training, listening and reading auto industry material and staying abreast of new technology that will assist them in serving their clients more efficiently.

They live by this motto: “I must do the most productive thing possible at every given moment.”

Those twelve simple words literally changed my life and my sales career over 40 years ago. Whenever I felt doubt about what I was doing, I would glance at these words hung by my desk, get re-focused, and do the next most important thing.

I hope you’re not one of those people who is “just giving sales a try.” People with that attitude have a plan of action for when they fail. You’ve heard it, I’m sure. “If I don’t make it in this, I can always …” They have a plan for failure. They’re anticipating it, and will probably get it. Planning to succeed is so much more exciting than planning to fail.

Another characteristic of the top people in sales is that they deliver excellent service.

They know they are paid in direct proportion to the amount of service they give to their clients. They understand that they are in the people business. They don’t sell cars and trucks. They get people happily involved in owning vehicles that satisfy their needs.

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Permanent link to this article: http://blog.ncm20.com/2015/08/7869/

Dustin Kerr

Are you insane, hard-headed or just lazy?

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Insane. Hard-headed. Lazy. When it comes to the car business, I’ve probably fit into each of these categories at one time or another. And—just between you and me—I’ve definitely ticked all three boxes on a few occasions!  If you’re honest with yourself, you probably have, too.

And before you get mad: I can explain!

Old habits are hard to break …

How often do you find yourself trying to fix things by doing the same stuff you’ve done since starting in the business?

I know I have. And I do it even though I agree with Albert Einstein’s famous definition of insanity: “Doing the same thing over and over again and expecting different results.”

It’s the same problem with being hard-headed. Did you or do you still fight against change in your own dealership? Were you one of the people that kept saying this “internet thing” won’t ever catch on in the car business? Or that the internet will make it impossible for us to make a profit?

What about laziness? Do you want to train your staff, but find yourself procrastinating on seeing the process through?

… but you CAN beat them!

Here’s the thing. It’s not the end of the world if you fall into one—or more—of these categories. But you can’t let them rule you. Take a hard, honest look at yourself and your habits, then make the necessary adjustments.

Why do I bring these things up?

Well, I’ve realized there’s a common theme between poor performers: They want quick fixes.

First, let me just say that there’s no issue with wanting to solve a problem fast! Dealerships need to be swift and flexible when course correcting. But, there’s a big difference between immediate action and slapping a Band-Aid on a problem.

Quick fixes aren’t always best fixes

Unfortunately, many of the struggling dealerships I’ve seen want quick “Band-Aid” fixes.  When things are bad, they focus on seeing results improve. And demand that they improve fast! Excellent performers, though, focus on activities. They know that investment in training and examining and changing processes—while slower—will yield improved results that can be sustained.

Unless you’re strategic, quick fixes are just those bad habits acting to undermine your business. I mean, it’s easy to just fire your staff. (Ahem: laziness.) Or demand that they produce a certain number of car sales per month. (Hard-headedness and a smidge of insanity.)

Without changing what your dealership does—and how your staff handle their work—you shouldn’t expect anything different. Unless you’re crazy. And, we both know you aren’t crazy.

So, what should a successful dealer do? In my opinion, one of the quickest ways for us to increase profitability is by teaching our employees how to properly manage the activities that lead to results.

Make changes to things you and your staff can control. And be sure to clearly communicate goals associated with the change. For instance, it’s fairly easy to manage the number of confirmed appointments each salesperson has each day or the number of customer pay service vehicles that get a full walk around inspection.

There’s nothing crazy about that plan.

Do you agree with Dustin? Have business bad habits affected your ability to get the best results? Tell us what you think below. 

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Permanent link to this article: http://blog.ncm20.com/2015/08/are-you-insane-hard-headed-or-just-lazy/

Tom Hopkins

How to Handle an Angry Client

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Too many people, when faced with clients who range from dissatisfied to downright angry, choose the loser’s path by postponing handling the situation. Worse yet, they handle it inappropriately.

Postponement doesn’t make the problem go away. It results in one of two things happening:

  1. The angry client decides the problem isn’t worth the aggravation and cools down.
  2. The client gets so angry that the next time you hear from him or her is through some sort of official (and possibly legal) manner. Worse still, you’ll see your company named on the local news channel in one of those consumer protection segments.

If you’re the business owner, you may think it’s ok to lose one client who’s unhappy, but it’s not. You see, when we have a good experience with a company we tend to tell three to five other people about it. Positive word-of-mouth is great for business. However, someone who is displeased with a situation tells, on average, 11 people about it. Can you see how your business could be hurt by that?

Naturally, no one wants to walk into a lion’s den and face an angry client. Yet, you must consider the value of this client to you, your reputation and the company. In most cases, I would guess that it will be worth your while to face that angry customer and get the situation resolved as quickly as possible. As the sales professional, it’s your reputation at stake, as well as that of your company.

Here are nine steps I’ve developed for facing and dispelling another person’s anger. They work well in most situations mainly because you’re giving the client the attention their dissatisfaction deserves.

1. Acknowledge the other person’s anger quickly.

Nothing adds more fuel to a fire than someone having his or her anger ignored or belittled. The faster you verbally recognize their anger, the better. Sometimes all you have to say is, “I can see that you’re upset, Mr. Smith.” You’re not admitting to doing anything wrong before the situation is analyzed, just acknowledging their displeasure.

2. Make it clear that you’re concerned.

Tell them you realize just how angry they are. Let them know that you are taking the situation seriously. Make notes of every detail they give you. And, tell them you’re making notes. Get them talking! The more they speak, the more time you have to consider how to resolve the issue. The better your notes, the better documentation you have if you must take the concern to someone else to resolve. Be sure to put the date and time of conversation on your notes.

3. Don’t hurry them.

Be patient. Let them get it all out. Never try to interrupt or shut them up. In many cases, the best move is to simply listen. They’ll wind themselves down eventually. In some cases, they’ll realize they blew the situation out of proportion and feel foolish for it. They are then likely to accept nearly any solution you offer.

4. Keep calm.

Most angry people say things they don’t really mean. Learn to let those things pass and take them up after you’ve solved the present challenge —only if you feel it’s necessary to do so.

5. Ask questions.

Your aim is to discover the specific things you can do to correct the situation. Try to get specific information about the difficulties the issue has caused, rather than a general venting of dissatisfaction.

6. Get them talking about solutions.

This is where you will learn just how reasonable this client is. By the time you get to this step, their anger should have cooled enough to discuss the challenge rationally. If it hasn’t, tell them you want to schedule a later meeting—even if it’s in an hour—to come up with some reasonable solutions. Let them do the rest of their fuming on their time.

7. Agree on a solution.

After you know exactly what the challenge is, you’re in a position to look for some kind of action that will relieve the challenge. Propose something specific. Start with whatever will bring them the best and quickest relief. Don’t get into a controversy over pennies at this time.

8. Agree on a schedule.

Once you’ve agreed on a solution, set up a schedule for its accomplishment. Agree to a realistic timeframe that you know you can handle. The biggest mistake you can make is to agree to something that cannot be done. If you do, you’d better be ready to face another bout of this person’s anger when you don’t come through.

9. Meet your schedule.

Give this schedule top priority. You’ve talked yourself into a second chance with this client, so make sure you don’t blow it.

Once you’ve satisfied the client with regard to this situation, you will have earned another opportunity to serve their needs in the future… and the needs of those friends they’ll tell about how well you handled their concerns.

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Permanent link to this article: http://blog.ncm20.com/2015/08/how-to-handle-an-angry-client/

Steve Emery

Are You Really Managing Your Used Cars?

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For most dealers, the used car department is the biggest opportunity for increasing profitability. Unlike new cars, a dealer can stock any used car they choose. Most volume and gross issues are directly related to those choices and how the inventory is managed through final sale. No doubt, there is an “art” to managing used cars, and dealers who are getting the best results have added some “science” to it. This enables them to be proactive vs. reactive in managing their inventory.

What is the best Inventory for you to stock?

Do you know what have been fast-turning cars at your store? There are a variety of software tools that can look at your sales history and identify these for you. Any retailer knows this, down to the color, options, price point, etc. Once you know what these cars are, you can develop a core inventory. These are the cars that you want to make up the bulk of your inventory. They probably aren’t the ones you are currently buying by the truckload from the factory auction, so the majority of your inventory could be in slower-turning units, reducing volume and gross. Is your buyer guessing or knowing with your 7-figure checkbook? Proactive dealers use their core inventory as a shopping list for their buyers and track what percent of those units make up their current stock (goal 80%).

What are the best sources for these units?

Core inventory tends not to be auction program cars. Proactive dealers use these methods to increase their percent of core inventory:

  • Check the back door. Are you currently wholesaling core inventory?
  • These units come to you every day; just look at the Service drive! Many dealers spiff Service Advisors for letting them know core inventory is in for Service today. Managers do an appraisal and contact the customer.
  • Use direct mail to target current customers who drive core inventory. Invite them in for a special sale or service offer.
  • Who has the bigger house, you or your wholesaler? Develop a network of other dealerships you will buy from. Their non-core inventory could be your core inventory.

How can you improve recon time, cost and quality?

It makes no sense to buy great cars just to have them take forever in recon and come out in less-than-saleable condition. To proactively manage recon, many dealers have incorporated these processes:

  • When buying a car, fill out a 2-part recon pre-approval sheet. Check off what you already know the unit needs and set a dollar limit so Service isn’t held up waiting for approval. Place a copy in a dated folder 3-5 days out; review the folder every day looking for cars bottlenecked in the recon process.
  • Have ready cars pulled up to the front. Compare the approved recon with the actual RO for cost. Have someone in Sales test drive the car to ensure it’s in saleable condition. If the cost and quality are right, then close the RO.

How can we do a better job managing aging inventory and wholesale?

We all know that grosses tend to decline with the age of the car. Do you proactively manage units as they age to increase their chances for retail sale and avoid wholesale loss? When is a unit considered “old” to you? If 60 days is your turn policy, when do you take a look at the car? Answer: typically 45 days. Numerous studies have shown the highest gross peaking at 21 days. Proactive dealers are looking at aging units at 21, 42, and 63 days:

  • At 21 days, check the car for defects, re-clean, and park in the “hot spot.” Consider identifying the car as a “manager’s special,” spiffing it, reducing price, wholesaling it.
  • At 42 days, can we wholesale the car now? Put it on eBay? Trade with another dealer? Park in a “clearance zone” on the lot?
  • At 63 days, take it to the best place for wholesale. Depending on the unit, this may be a wholesaler, another dealer, or as a last option, auction.

None of these techniques are expensive to implement, especially when compared to what you may be losing in units, gross, and wholesale. Proactive dealers are managing their core inventory, taking their used car department to the next level of profitability.

For questions, reach out to $teve at 913-645-2915 or semery@ncm20.com.

UV Training

Permanent link to this article: http://blog.ncm20.com/2015/07/are-you-really-managing-your-used-cars/

Mark Shackelford

Have You Tracked Your Employee Turnover Lately?

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Do you find yourself constantly concerned about retaining your employees and trying to hire the right people to take care of your customers?

There has been an awful lot of discussion about this topic and how to become better at your hiring process and pay plans. I believe the issue starts with identifying the right personality for the job and then having the right training process and accountability in place in order to retain good employees.

This starts with the dealer doing the right thing and having managers do things right!

We come in contact with salespeople in our everyday life and when we do, we recognize talent and we also recognize when we are treated poorly. Today’s workplace is becoming more and more challenging to find someone who wants to work the hours needed to operate our business effectively and is motivated by money. That being said, maybe we need to look at our pay plans and how they motivate our employees, while at the same time allowing them to balance their work schedule with time off.

We know that our industry has been challenged by vendors as well as manufactures in finding ways to change or eliminate our sales process, however, one thing will never change: people sell cars. So we need to hire the best at it and keep them.

The first thing we need to change is how we look at the work schedule.

Then, through our interview process, we need to identify what motivates the new potential hire financially as well as how we can assist them in achieving their goals in order to succeed in their new career. Our pay plan should be tied to performance, as well as effort. Along this line, how often do you monitor their training and evaluate their performance? Do they align with each other?

Don’t forget that most people like to be held accountable and be led by a leader.

How often do you have an accountability meeting with your employees to discuss what obstacles may stand in the way of them hitting their objectives?

Let me give you an example of what I’m talking about: A new salesperson was hired that had performed quite well at their previous store, but after two months of struggling with their sales performance, they began talking about leaving. The sales manager and the HR manager held a meeting with the employee. During this meeting it was discovered that the sales person was struggling with getting leads and opportunities to work with customers.

After reviewing the salesperson’s closing ratio and the number of opportunities, they discovered the statement to be true. In fact, the salesperson with the most sales had a lower closing ratio and burned through more ups than the person being reviewed. What if this salesperson had been given the same number of opportunities? It would be a win for everyone.

Many times we lose good employees and never know the real reason for their departure. Dealers who are doing the right things and managers who do things right will make the right hire, train weekly, and have a performance review with all employees at least twice a month.

 

Permanent link to this article: http://blog.ncm20.com/2015/06/have-you-tracked-your-employee-turnover-lately/

Dave Anderson

Building a High Performance Culture (Part 20)

This article is part of a multi-part series titled “Building a High Performance Culture” by Up To Speed Guest Expert, Dave Anderson, of LearnToLead®.

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Words that Work: Diligent

In this post on building a high performance culture I’m adding the word diligent to the words that work column, although diligence can hurt you if you’re investing it in the wrong habits or activities.

I’ll expand on diligent in a moment, but first do a quick review of the strong and weak cultural words so you can conceptualize the ideal culture to move towards, as well as what you must move away from culturally in order to maximize your organization’s potential.

Words that work and must be woven into culture:

Earn: to acquire through merit.

Deserve: to be worthy of; to qualify for.

Consistent: constantly adhering to the same principles.

Hope: grounds for believing something in the future will happen.

Catalyst: a person or thing that makes something happen.

Responsible: to be the primary cause of something.

Tough-minded: strong willed, vigorous, not easily swayed.

Loyal: faithfulness to one’s duties or obligations.

Passion: a strong feeling or enthusiasm about something, or about doing something.

Discipline: an activity, regimen, or exercise that develops or improves a habit or skill.

Commit: to pledge oneself to something.

Prune: to remove what is undesirable.

Wise: having or showing good judgement.

Words that hurt and must be weeded out of culture:

Fault: responsibility for failure.

Blame: to assign responsibility for failure.

Excuse: a plea offered to explain away a fault or failure.

Mediocre: average, ordinary, not outstanding.

Wish: to want something that cannot, or probably will not happen.

Entitle: a claim to something you feel you are owed.

Sloth: reluctance to work or exert effort; laziness.

Complacent: calmly content, smugly self-satisfied.

Maintain: to cause (something) to exist or continue without changing.

Apathy: a lack of enthusiasm, interest or concern.

Interest: to be curious about. (as opposed to being committed).

Foolish: lacking good sense or judgment.

The word diligent is defined as “giving constant effort to accomplish something.”

High performing cultures are those where the right things are done consistently, and where the team members diligently persist to see those right activities come to completion.

In order to maximize results, discipline must precede diligence. In other words, one must be disciplined enough to choose and execute the highest leverage tasks from the outset, and to say “no” to the distractions that arise in the process, before diligence is beneficial. Frankly, giving constant effort to stick with, or accomplish, the wrong something, or a low-return something, hurts an organization and stifles results.

The word “consistent” is a cousin of “diligent.” To be consistent means to “constantly adhere to the same principles”. Thus discipline chooses the right activity or principle; consistency ensures those same things are done repeatedly, and diligence ensures the actions are not only initiated but followed through to a successful completion.

Discipline, consistent and diligent are critical success traits demonstrated by highly successful people, and are a trait of highly performing cultures overall. Without discipline you’ll consistently put second things first, as you diligently move forward majoring in minor things.

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Permanent link to this article: http://blog.ncm20.com/2015/06/building-a-high-performance-culture-part-20/

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