Service Managers Pay Plan

[LamboThom]

I have an experienced Service Manager at one store with great business going on and a less experienced Service Manager with tons of gross potential.

I just took over the FOM position and need to give them new pay plans.

Any suggestions?
Salary + gross?
Salary + gross + net + hours booked?

I am open to suggestions

THanks

[dodgeboy]

If you don't mind my asking, why do you "need" to give them new pay plans? Are they on inadequate pay plans now and you are tying to reward them or is there a different reason?

[LamboThom]

Both are new to the dealership and are on salary only.
The owner does that with new manager hires to get their feet wet, no pressure, get acclimated to the brands.
Now that they have been here for the past few months it is time to go to a salary + bonus plan.
They need to be accountable for their departments.

So now it is time for them to win when we rock and lose when we suck

[ederemer]

Lambo,
Our fixed operation managers (Parts, Service, & Body Shop) are paid on a modified net. We all are paid on the total production. It has all but eliminated the department squabbles about who pays for a mistake and so on. WE ALL PAY FOR EACH OTHERS MISTAKES. It has made each of us more willing to work on fixing the problems and not on fixing the blame.
Hope this helps.

Mr Ed
Parts Manager
Indiana

[GMFXDOPSMGR]

I have my Service manager on a base salary,
% gross, % net & csi bonus.

I will add something for a record month. We are always trying to improve.