DealersEdge Professional Forums

FixedManager wrote:Stop ordering parts for customers that won't commit to a return appointment.

GM makes it next to impossible to tell anyone when the parts will be in so an appointment can be set.

JeepGuy...who do you charge the 35% to, the service department?

Yes service pays it

Agree, charge 35% to service after 60 days. You will be surprised how many customers come back

Agree, charge 35% to service after 60 days. You will be surprised how many customers come back

X476 wrote:

FixedManager wrote:Stop ordering parts for customers that won't commit to a return appointment.

GM makes it next to impossible to tell anyone when the parts will be in so an appointment can be set.

An experienced Parts Associate can approximate it, regardless of where shipping originates from. I understand stuff happens and my policy is all items are overnighted with some size and weight exceptions. The freight bills cost less than the profit loss.

The vehicle is in the shop, it is diagnosed by a qualified Technician, the customer authorizes repairs, an appointment is set, you order the part.....Simple. The only effort on your part is if the customer no-shows which requires a call.

I have a 93% SOR install rate and average ninety-six non-internal repair orders per day.

If you charge service 35% to send it back as a CSO return, you still have to pay the freight for the part to go back to GM. I have been doing 45% it covers the CSO charge back and the freight plus a dollar or 2 for having to do it.
Start of every quarter I go through every special order, give a list to service on anything less than 3 months old, anything older than 3 months hit them 45% and send it back CSO. And any special order not through service is prepaid. This has really helped with getting the non-stocked inventory out of here.

FixedManager wrote:

X476 wrote:

FixedManager wrote:Stop ordering parts for customers that won't commit to a return appointment.

GM makes it next to impossible to tell anyone when the parts will be in so an appointment can be set.

An experienced Parts Associate can approximate it, regardless of where shipping originates from. I understand stuff happens and my policy is all items are overnighted with some size and weight exceptions. The freight bills cost less than the profit loss.

The vehicle is in the shop, it is diagnosed by a qualified Technician, the customer authorizes repairs, an appointment is set, you order the part.....Simple. The only effort on your part is if the customer no-shows which requires a call.

I have a 93% SOR install rate and average ninety-six non-internal repair orders per day.

Didn't mean to piss you off. My 35 years as a parts associate/ manager doesn't matter when you never know if your truck will show up(we have not had a full week of trucks since Sept.)Every part I have over-nighted has taken 2 days so that argument is out. My guess is by June things will be better and then it will be much easier to estimate arrival. I least I hope so.

I have no problem with your statement. The ladies and gentlemen who think the way to correct the problem is to steal from another department is another matter. All parties need to be brought together to discuss the issue and then a process that works for all. Do they bill everyone the 35% fee or just the Service department? I think not as not only would the customers leave in droves, the receivables requiring bad debt write-off would be excessive.

It is truly amazing what you can accomplish when everyone works together.

i started to work for a dealer in 2006, when i took over, they had over $15,000.00 in warranty and special ordered parts 60 days old. i started calling the customers and most of them said they were never notified the parts were in. talked to the service manager and he said they don't have time to notify the customer. i started calling them back and told them to call the service dept and make a appointment or just come on down. service manager was not happy about that, went to the GM complaining. had a meeting and when the GM found out that customers were not being notified he he was not happy, got rid of over $10,000.00 in 60 days. you need to find out if customers are being notified.

I also charge 35% restocking to service for failing to get the customer back in. Each day I run the special order by advisor report, hand it to them, highlighting the ones that have been received and especially highlight how many days they have been in stock since receipt. The service manager also gets a copy of each advisor's sheet. They are verbally warned at 25 days that I need a commitment on when the customer is coming in or on day 31 I submit for CSO return.

I'm not going to do the advisors' job of calling the customers and scheduling a service appointment when every time I am up there, they are both on their phones, playing games or scrolling through Instagram. I've got a sold unit that was packaged in the deal to get a trailer hitch, wiring harness and assist steps, we are on day 16 now of the advisor telling me "I just can't get them to pick up the phone". I think our issue is in the advisors' pay plans, there currently is no pay incentive for them to get those customers back in.

And to answer FixedManager's question, yes, retail counter and wholesale customers also pay that 35% restocking fee here. Both types of customers are advised of the fee prior to purchase and they sign the acknowledgment on the parts invoice.