Transcript Welcome [www.nickelsenpartners.com]

Welcome
Leaders of Pro Chrysler Jeep
We are about ready to close on
2004 and begin 2005
We learned a lot
We have a lot of rethinking to do
Our objectives today…
Make 2005 a lot better than 2004
Your role today…
Listen – don’t be defensive or judgmental
Brainstorm isn’t just good idea’s - it’s all ideas
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We’ll prune the list later
Thoughts from Nickelsen
Today can be a real important day
I have some things to share with you
Thoughts from Nickelsen
Today can be a real important day
I have some things to share with you
Thoughts from Nickelsen
Today can be a real important day
I have some things to share with you
Let’s hear from you
Your name
Your hot buttons
A recent success
Before we get started…
Pick a number from 2-9. Keep
it to yourself.
Multiply that number times 9.
This should give you a two
digit number. Add the two
digits of that number together.
Subtract 5 from that number.
A=1, B=2, C=3, D=4, E=5, etc.
Think of a Country that starts
with that letter.
An Animal that starts with last
letter of the country.
A Color that starts with the last
letter of the animal.
Does anyone
have an
orange
kangaroo
from
Denmark?
Forget>“Learn”
“The problem is
never how to get
new, innovative
thoughts into your
mind, but how
to get the old
ones out.”
Dee Hock
“No! I can’t be bothered to see any crazy salesman.
We’ve got a battle to fight!”
“Knowledge becomes
obsolete incredibly fast.
The continuing
professional
education of adults is
the No. 1 industry in
the next 30 years …
mostly on line.”
Peter Drucker,
Business 2.0 (22August2000)
A high level strategy…
The Service Profit Chain
New vs. Old Basics
Old Basics
Increase
Revenues
Decrease
Costs
New Basics
•Find a “cowboy” to lead
•Sales & promotions
•Customer retention
•Professional sales force
•Engaged employees
•Expense management
•Best practice learning
•Inventory control
•Process re-engineering
•Competitive pay
Impact of Customer Satisfaction
on ROI
Year 0
Year 1
Change in
Customer
Satisfaction
Customer Satisfaction
+ 3.3%
Customer Satisfaction
- 3.6%
All Companies
Source: Tom Jones, Elm Square Technologies
Average
Change
in ROI
Impact of Customer Satisfaction
on ROI
Year 0
Year 1
Change in
Customer
Satisfaction
Average
Change
in ROI
Customer Satisfaction
+ 3.3% + 21.8%
Customer Satisfaction
- 3.6%
All Companies
Source: Tom Jones, Elm Square Technologies
- 29.6%
“My ancestors were
printers in Amsterdam
from 1510 or so until
1750 and during that
entire time they didn’t
have to learn anything
new.”
Peter Drucker, Business 2.0
(08.22.00)]
Loyalty - Satisfaction ratio’s
vary by industry
1
High
2
3
4
5
Local Telephone
Airline
Hospitals
Loyalty
Level
Personal
Computers
Low
Low
Satisfaction Level
High
©1998 Thomas O. Jones
Elm Square Technologies
Loyalty - Satisfaction ratio’s
vary by industry
1
High
2
3
4
5
Local Telephone
Airline
Hospitals
Loyalty
Level
Personal
Computers
Low
Low
“5’s”
don’t
Automobiles shop
Satisfaction Level
High
©1998 Thomas O. Jones
Elm Square Technologies
“If there is nothing
very special about
your work
(dealership), no
matter how hard you
apply yourself, you
won’t get noticed,
and that increasingly
means you won’t get
paid much either.”
Michael Goldhaber, Wired
Creating Apostles “Intent to
Recommend”
Sales
Service
“5’s” Completely Satisfied
98%
96%
“4’s” Very Satisfied
62%
47%
“3’s” Satisfied
17%
10%
Source: US Automobile Manufacturer (upscale)
Active
Customers
Phone
Non-Active
Customers
Internet
Never been
Customers
Walk-in
No
It’s all about
“efficiencies”!
Showroom
Your
Competitor
Yes
Last Service
before repurchase
Buy
Or Lease
Service
Vehicles
6th Service
1st Service
2nd Service
5th Service
4th Service
3rd Service
Your goal today…
Best state vs. current state
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Where are the gaps?
What are the obstacles?
We need strategies and operational
efficiency
Duane Hagadon
Wes Rydell
Factors, Trends, Opportunities and
Challenges
Significant factors or trends effecting PCJ
Top opportunities viable for PCJ
Biggest challenges for PCJ
Focuses
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Business office
Sales
F&I
Service
Parts
Arnesto Ancira
Happy Employees = Happy Customers
Clarence Kearce
Champion Chevrolet
Arnesto Ancira
Hiring the Right People
James Wood
Welcome to Starship Enterprise
It is now December 3rd, 2005!
We have met back here… and we had a
GREAT year!
What did we do?
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Sales
New and used
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Service
Parts
We’ll spend time developing ideas in each
of these departments
Customer Communication Center
John Medved – Morning Meetings
F&I
Quick Lube
Rydell Evening Service
Service Department
Functional Service Teams
Parts Fill Rate