Market Potential

Market Potential

One of the ironies in our work in the labor business is that we don’t know our market share. We don’t know if we are successful in what we do. We have to make money, we have to be effective and efficient in our processes in the labor business. We have to make it matter. This Self-Study program – “Market Potential” – is the fourth and final Internet Based Learning Program.

Activity Based Management

We perform many jobs in the labor business. We are involved with many different activities, we have different processes: shop, field, rebuilds and maintenance. We serve customers and suppliers and sister dealers and internal departments. There are a lot of variables. Yet with this wide range of variables we have created one basic “pipeline” into which we put this labor and make them all as one. We will expose how to better manage the variability of the labor business in this most important chapter.

Best Practices

With standards of performance, we dealt with what it looks like when it is right. With Best Practices we aim for performance excellence. What is it that the most successful dealers are doing to achieve excellence? This is discussed in detail in this chapter to allow dealers to see optional approaches to processes and systems. From using inspections and segmented work using standard times we cover different methods to consider. We cover all aspects of the processes required in a labor business: from dealer business systems, to inspection processes, to tooling and scheduling systems. People and system productivity and effectiveness are critical in every business today. We leave no stone unturned in this detailed chapter.

Market Potential

With this chapter, we develop a “market potential” model which can be used to determine the parts and service consumption for each machine. With this tool, an overall potential can be developed for each customer. We deal with the creation of the model and all the variables within in this comprehensive webinar. It all starts with the machine population. That is the list of equipment owned by each customer, and the work application and hours worked each year. With this and the statistics available from the OEM’s and their maintenance intervals, a reasonable degree of precision can be developed. This critical methodology is developed in this chapter.

Maintenance Programs

Most customers view maintenance as the necessary evil of changing fluids and filters. There is much more to it than that. How to develop a maintenance program to reduce those operating costs is the theme in this chapter. There is a fundamental conflict that has to be dealt with in the labor management group. Maintenance is boring, anyone can do it: this is the prevailing feeling. In fact the OEM dealer has less than 6.5% of the maintenance market. Nearly 90% of the maintenance is done by a customer mechanic. Yet survey data indicates that nearly 90% of the customers would give the maintenance business to the dealership if their price was less than what the customer currently pays. This chapter will discuss the methods and processes to follow in order to be able to meet that price and performance need.

Make it Matter

What do you do? Most of us will look at this question and think it is obvious. We supply repair and rebuild and maintenance labor. Pretty simple, isn’t it? The trouble with that is that anyone can do that. We have to make a difference. We have to make what we do “matter.” In this chapter, we will explore who you are and what you bring to the organization and to the customer. We will explore serving people in the labor business, all that our work means to the market, and how we make a difference. These define how we make it matter.

This Learning Without Scars self-study program is a solid foundation for Services Management and Supervision in the 21st Century. It is intended for all service operating personnel: Technicians, Foremen, Clerical Support, Lead hands, Supervisors, Managers and Executives. The material covers the “market potential” for the management and operational disciplines required of Professional Labor Business.