Pub. 15 2016-2017 Issue 2

N E W J E R S E Y C O A L I T I O N O F A U T O M O T I V E R E T A I L E R S I S S U E N O . 3 , 2 0 1 6 12 new jersey auto retailer W i th over 300 companies of fering thousands of technology solutions to dealers today, how can a dealer determine which of these products will best serve his enterprise? We’ll begin with a brief description of the core offerings most dealers find essential. All dealerships utilize a Dealer Management System (DMS) as the foundation of their operating technology. A DMS can be simple or it can be optioned to touch every operation taking place in the store. Many of these supplemental functions can be sourced directly from the DMS vendor or from a third party vendor, often yielding much better results at a marginally higher cost. As a consequence, deal- ers typically employ 10 to 15 other technology vendors to complement the DMS. Core products for each department are integral to every DMS. For example, Ac- counting will always have journals, schedules and general ledgers while Parts will include inventory control, service repair, order invoicing, etc. The space where we see the most opportunity lies with the optional software for each department. The following are the basics. Accounting There are at least five additional products to consider here. There is Accounts Payable software offering the dealer a discount (or cash back incentive) with his participating ven- dors. There are MICR printers which use plain paper to print checks. Outside Payroll companies provide simpler, more intuitive tax reports. Consolidated Accounting is in- dispensable for larger, multi-point enterpris- es. Sophisticated reporting tools provide the detail necessary for closely monitoring budgets and enhancing productivity. Parts Parts Scanning and Bar Coding provides an extraordinary advantage to this complex sub-business. It will boost productivity, con- trol inventory, pricing and facilitate internal and external orders. Service Most busy Service Departments will evalu- ate several software offerings to augment the basic DMS. Internet Appointments is supplemented by software to allow review and payment of invoices online, as well as a way to display a vehicle’s progress through the service pro- cess. Additionally, Vehicle Lane Inspection offers service writers the ability to document the “walk-around” and take pictures while simultaneously entering service requests and recommendations. Follow Up software increases volume and gross profit by setting up new appointments to complete previously declined services. While almost all service facilities will em- ploy the solutions above, there are scores of other high-level offerings that will appeal to dealers with more complex needs. Sales In Sales, the largest component is the Cus- tomer Relationship Management (CRM) system . Dealers will spend the most time and money on this suite to enhance their UNDERSTANDING TECHNOLOGY IN THE DEALERSHIP BY PAUL GILLRIE