System Display Doesn't Show Enough Info.

[Inkman]

Our ADP system leaves a quiet little notice on the bottom of the screen whenever someone sells a part for cost or below. We have the display set to show the GPP (gross profit per centage) but that can be easily missed when the parts person is working on the fly. I've called ADP a couple of times on this and I was told there wasn't anything they could about it but they would submit a memo to whomever they submit memos to. We don't get burnt very often, but it's still pretty painful when you quote too low and have to stick to the price quoted. Any suggestions??? The latest calamity was a $3000.00 reman engine that we had to sell at cost because that's where 25% off of list took it. I'd appreciate any input on how to avoid this. Thanks.

[Rex]

25% off list for a certain price code for an engine sounds like a little work needs to be done on source and price setups. What if every time this happened you took the opportunity to look at these setups and update them as necessary? Ideally, you will have to do it less and less as you get things dialed in.

God bless.

[FARFINATOR]

I am not aware of any "switch" you can throw with ADP to avoid this dilemma either. But you may wish to concider one of 2 options:
1:One dealership I was at fixed wholesale at Cost+43% to ensure a consistant and POSITIVE return despite the sometimes widely varying margins on suggested list. This of course requires some explaining to the wholesalers and may compromise your ability to be highly competitive, but it unquestionably ensures an nice GP.
2.If, Cost+ is not an option you find attractive, you can always generate a report in RPG, which you can run after every price tape which will show components which may compromise your designated "minimum" threshold for margin. You can then source them separately and designate a different wholesale pricing formula for these components, that will achieve a reasonable compromise for these few components.
As for the stuff your guys add in off of the master, you simply will have to heighten their awareness of these general groups of components and eventually it will become the natural course to question all tranys, engines etc.