Fixed Operations Two-day Course
Learn how to analyze a dealership’s service and parts departments using the financial statement and the dealership’s DMS reports. Areas covered: hours sold, gross retention, technician proficiency, work mix, single-line repair orders, gross and true turns, level of service, phase- in/phase-out, best reorder points/best stocking levels, lost sales, emergency purchases, special orders and obsolescence. A repair order analysis is completed and analyzed, and an emphasis is placed on the synergy needed between the service and parts departments.
Note: For dealer groups, these courses can be divided into stand-alone two-day or three-day service and parts operations.
FOUNDATIONS OF FIXED OPERATIONS
Through a Dealer’s Eyes on What’s Important on the Financial Statement
- Apply and interpret basic parts department measurements.
- Calculate and differentiate markup vs. margin.
- Compare and contrast the difference and relevance of gross turns vs. true turns in parts department inventory.
- Determine service and parts profitability and effectively recommend improvements.
- Identify the key components to analyze for service and parts operations.
- Prepare a repair order survey to determine the effects of work mix and rate structure in the shop.
- Identify successful service-drive processes to reduce one-line repair orders.
ADVANCED FIXED OPERATIONS
- Determine if the parts department is contributing to dealership profitability and, if necessary, formulate recommendations for improvement.
- Explain the value of parts tracking so the dealerships stocks the correct parts.
- Interpret the cause and effect of how parts flow into and out of inventory in order to identify any system/ process breakdown.
- Critique service operations to be able to identify opportunities and learn strategies for implementing process improvements.
- Produce a forecasting model to identify the number of technicians needed to fulfill the shop load.
- Evaluate scenario-based case studies for proficiency, including fill-rate analysis depicting desired outcomes, and identify at least five areas of opportunity.