Open R/O's

[JP]

Hello,

We have a small Dodge dealership wrighting 25 r/o's a day. I am concerned that we have to many open r/o's, daily-weekly & at month end. I have been on our Serv. Mgr. to correct this issue. I am wondering what is acceptable in this area.

Regards,
JP

[Old Irish]

In a perfect world you'd have none. Every RO would be closed into accounting before the customer and his car hit the end of your driveway. But it ain't a perfect world.

Spend a couple hours reviewing all open tickets and find out WHY they are still open. How many are warranty tickets waiting to be processed? In a third party billing situation do you immediately close the ticket into acounting or wait for payment and then close it as a cash sale? Lots of possibilities, some troubling, some perfectly innocent.

You won't know until you do some checking.

Cheers
DD

[fburrows]

Old Irish is right!! Pull 10 repair orders and ask to see the cars. If they are not on the lot then you really have to examine why it is open. There are a few legitimate reasons but they are few and far between.

------------------
Frank Burrows
fburrows@absdata.com

[HDScottie]

At the end of day, the more RO's closed the better. Yes that's in a perfect world. The service advisors should be on top of it and ensure all RO's are closed, by the end of the day. At each end of day the service manager should have a tally of open RO's and a reason as to why they're still open. This will cut down on the possibility of having too many RO open.

K. Myers [URL=http://www.automate.com[/URL]

[This message has been edited by HDScottie (edited 05-16-2007).]

[bterbo1]

I am the Fixed Ops Director for several stores. I ask my managers to review Open RO's weekly. On each Monday they must run the Open RO's, download it into Excel and email it to me with comments for every RO open more than 7 days explaining: Why is RO still open? Is vehicle still here? Is customer in a loaner? And any appropriate comments. They must also do this at the end of the month and submit to the controller. I also touch any car that is over 14 days open. I periodically will run the Open RO's and walk the lot to see the tags just to make sure the cars are there.

[nowonlydodgedude]

I took over a dodge store as parts manager 2 months ago. I just ran an open RO list in prepartion for inventory. You will never guess how many opens there were. 500 open RO's. I am livid because most of the ones I checked so far have parts on them. Should I give the service mgr. first crack at fixing them and possibly just have him delete them, or should I go higher up the chain first?

[AKTOYPM]

When you reconcile inventory:
Instead of putting "Work in process" on your report, put "Dealer principles money that has been spent repairing customers vehicles, purchasing parts and paying technicians but not paid for by customers" on it.
That ought to raise some eyebrows..

[MGARNOLD]

Run a work in process report if you want to put a figure on the money you've got tied up. You may get a shock!

[scotstrong]

nowonlydodgedude:

Start at the top on that one. The service manager may be part of the problem if he has that many open RO's.

[Art_Mopar]

500 open ro's? I can just imagine what the labor and warranty schedules look like! That store needed more than just a new Parts Manager...GOOD LUCK!

[This message has been edited by Art_Mopar (edited 05-17-2007).]