Today's Cars 'Computers on Wheels'

Today's cars and trucks are complicated machines — “computers on wheels” is one commonly used description. And today's consumers are savvy, well-educated shoppers who expect a whole lot more than service with a smile.

The on-going task for franchised new-vehicle dealers, then, is providing service department customers with a first-class experience backed up by professional technicians and effective communications.

Says Cyndie Mynatt, president of Ben Mynatt Pontiac Buick GMC Truck in Concord, “The initial contact with a customer is in sales, but it's in service that you keep them. In a very real sense, it's the service department who's most likely to sell the next car.”

Critical to the dealer's ability to provide the all-important service experience is the recruiting and retaining of well-qualified technicians.

Just when demand is at an all-time high, though, there is a shortage of technicians. The shortage has been blamed, in part at least, on a societal decision to downplay vocational education over college education. What's not widely appreciated – yet – is that technicians in dealerships, in addition to having a distinct mechanical inclination, must be as technically proficient as those who work on computer networks. And the salaries are commensurate, as well. Entry-level technicians start at around $30,000, while more senior personnel can top $75,000 a year.

Likewise, it's not surprising to find young professionals with business degrees visiting dealerships seeking jobs in sales, finance and insurance, and management.

To bulk up the service sector ranks, the automotive industry, often in collaboration with high schools and technical schools, has begun offering training and apprentice programs. Such industry/education partnerships are currently the most viable means for dealerships to grow their own technicians.

“It's fair to say that the technology in the vehicles and the technician's ability to diagnose problems within those circuits has been one of the, if not the largest challenge facing dealers,” emphasizes James Barber, who with his wife Linda owns and operates Barber Chevrolet Oldsmobile in Madison.

Of the 54 employees at the Madison dealership, 22 percent work in the service department. The investment made in them is substantial. Last year the Barbers spent $40,000 on training for the technicians, and that didn't include the cost of salaries while they were away at school.

But it's not just pay and benefits that keep people, it's communication and feeling an esprit de corps. That's why Barber Chevrolet Olds is managed by a profit sharing “empowerment team” composed in part by the managers of the six departments (new, used, finance, service, parts and body shop). Though each department sets individual goals, they're expected to work as a unit; for the good of the dealership, one department may have to sacrifice something for another.

“You can't hide anything this way,” says Barber. “Everybody knows how the dealership is doing and is on-board with what's required to make it do better.”

Even with a professional framework in place and service technicians earning more respect from the car-buying public, their work isn't done. To maintain their viability as service centers, dealerships must take other steps.

Capital Ford in Raleigh is the top Ford dealer in the Southeast and is one of Ford's Top Ten dealerships nationally based on total sales and customer service ratings. More than 60 percent of its business comes from referrals and repeat customers. And it's not just coincidence that those impressive numbers grew right along with the a commitment to service and technology.

Expanded service hours –- 7:30 a.m. to midnight Monday-Friday and 8 a.m. to 3 p.m. on Saturdays – began as a way to accommodate fleet owners who wanted to minimize idle time. “From there we decided to get creative,” states Tim Michael, Capital Ford's president and CEO.

The list of innovations includes:

u Providing pagers and shuttle service to local movie theaters for customers who'd rather wait elsewhere during the maintenance or repair process;

u Twice a month new-owner clinics featuring technicians who talk to customers about the care and feeding of their vehicle;

u Audio tapes made by the technicians for the customer's reference explaining what work was done and why.

Capital Ford's state-of-the-art $4.5 million service facility, located across the street from the store, has 80 service bays and 60 technicians working in teams headed by a lead technician who dispatches and oversees work. Their benefits package includes membership in a credit union, a 401 K plan and medical and dental insurance. Raises and incentive payments are tied to test performances and certification levels based on training completed both on- and off-site. Currently, the dealership is experimenting with a four-day work week for technicians: 12 hours on, 12 hours off.

“It's a new day for dealerships. The quality of cars has improved, no question,” states Michael. “It only makes sense that the caliber of our service and technicians has improved as well.”

—Lisa H. Towle