GMSPO paying for rentals for parts delays

[Michael White]

Soon all of us will be recieving a revised courtesy transportation bulletin. In it will be labor op Z7907, which is to be used for rentals casued by parts delays. This labor op is good now. There is a 95% possibility your rep does not even know about it. Too many times we are experiencing 25-35 day rentals due to parts problems (Especially those shipped from Mexico, the kiss of Death for CSI).
It requires "h" routing, with the appropriate documetation. Also I understand it will no count towards warranty expense. have your reps call their warranty gurus to confirm it. No reps on the west coast knew about it. Since GMSPO will cost our dealerhsip about $15K due to thier recent incentive changes, i am more than glad to let them finally pay for their screwups.

[jargonaut]

Wow I havent seen but one rental even close to 25-35 days and it was for 22 days and due to an axle problem. I think the new op (as well as the 2way shuttle ride) in the buletin is meant to allow GM to clarify what causes some delays but the burden of documentation is on the dealership. I often got SPAC case related part delays without suitable documention to route H the over Z7903 rentals so imagine a 10 day one!!

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Alan The Warranty Guy

[Michael White]

Alan, I am surpised you have not experienced parts delays like I mentioned. Here is our most recent 35 day rental: custtomer tows in a Buick Rendevouz. Something broke between the transmission and the input gear to the transfer case. The trans came from back east. the transfer case gear came from Mexico. They had 3 in stock and the on PDC that had it. Overnighting the part took 3 weeks to get. Once it arrived, they put this 25 pound gear in a shoe box thin cardboard box. It came in with broken gears and not much left of the box. We ordered again and took another 3 weeks to get. Our parts rep tried getting the part overpacked, but they refused to do this. Yes, they refused to do this. This part came in damaged, but I spent about 2-3 hours with a jewlers file repairing all the burrs. Here is 6 weeks of a car down. My parts rep, AVM, partech, brand quality, power train, everyone was aware of this concern and this was the best they could do. Getting any part from Mexico is the CSI kiss of death. Thru great contact and concern with the customer, not to mention giving him 3 months of his payment and a 7/100 GMPP plan, kept the customer happy , and away from BBB..

This kind of scenerio happens to us 3-4 times per year. GMSPO did not care because they had no financial responsibility with the cost. Buick paid for everything. In fact Buick was taken advantage of by GMSPO because Mexico is considered a international and therefore, the shipper and GMSPO is not responsible for any shipping damage. Buick had to spend about $800 additonal for the 1st damaged gear. We had a Aztec and a Grand AM engine blow up within 500 miles of ownership that did not have engines available due to California cyl heads were different and they had to get the heads made. Took about 4 weeks to get these units repaired. Again, everyone in GM was aware. We currently have a Denali with a bad connector to right front shock keeping the ride contgrol light on. Has been on order for 2 months, and still there is still part to be made. We had a steering wheel for a 2002 Montana that was damaged and took almost 4 months to get. I have a door panel for a 2000 Firebird on order for months and GM is still looking for a supplier to make it. We has a water leak in a 2002 Envoy with Rain Sense. In the process of removing the windshield, it broke. Took almost 4 weeks to get a windshield, and yes, the customer was in a rental. The first windshield GM sent us came in and was shattered. No outside supplier had this glass. All these examples have occured in the last 6 months. Maybe you have been very lucky to escape GMSPO's problems. maybe if they experience $20,000,000 in rental expense, they may rethink how they do buisiness. On top of all of this, the excess rental expenses added to my warranty costs.

[This message has been edited by Michael White (edited 04-18-2002).]

[gchicc]

Amen Michael.

Its about time GMSPO is being held accountable. These people live in a world of fantasy without a clue on execution when things get rough. The rules are only written to accommodate near perfect situations. Welcome to the real world GMSPO!

Gary C.

[robc]

It would be interesting to know how many times delays of 3+ days are caused by GMSPO. My suspicion is nearly all of them.

Maybe this will allow them to understand that 90% percent fill rates aren't enough.

It reminds me a friend who was in med school. One day I saw him just torturing himself studying for a pharmacy final. I asked him why it was so tough. His answer, "Rob, you can't get a 95% on pharmacy and pass. If you are prescribing 5% of the wrong medicine, you'll be killing people."

In a much less way, it is the same thing here. If I need ten parts for a job, giving me nine of them doesn't help. It's like stocking 5 valve springs, when I need six.



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** Rob, Editor WD&S **
Help is only a message post away!
robc@dealersedge.com

[slilly]

Yesterday we needed to order some main bearings along with some other engine bearings and compared the part numbers for the standard size main bearings to the parts master, they had changed part numbers, and the new number was no longer available. All the other numbers were for U.S., "under sized", but we needed O.S. for "over sized", so the counter person calls Partech. Partech says that it's a misprint, all the bearing part numbers a are "standard" and the U. S. stands for a US stamp for United States.
Do you think that you could trust an answer like that? We asked the "BOZO" for a printed document or bulletin that proved his stupid statement so that when we start the Cadillac up and it locks up the engine, we can refer to this document for the legal litigation that will be instantly be instituted. Of course, the answer was no.
The very best thing that General Motors could ever do is to apply every cost to their employees' pay. No manager would receive a bonus until all of his lazy employees got one first, and all of these lazy good for nothing employees wouldn't receive a bonus until they serviced every Dealer and every customer with a gracious commitment of complete perfection and humility. Then and then will there ever be any "excitement" for the product.
Can anybody imagine General Motors ever knowing the difference between right and wrong, and them always choosing what's right?!!

[sallen1]

You know...

GMSPO is on a mission to invent new methods of generating revenue (cutting discounts, exerting control over AC-Delco WD's, GSP, Body Shop, On-a-roll) and when someone from HQ comes to talk to dealers they talk about 'selling more accessories'.

Why can't they figure out how to shorten/eliminate back orders and find a method to ship us stuff (like exhaust and sheet metal) without first folding it.

Arghh...

scott

BTW, to Rob: Yes, most parts delays are GMSPO related. They always seem to NOT have the part we need. Like your doctor friend but different: The pharmacist can be 100% ready and competent but only get 95% quality from the drug maker. The bodies would stack like cord wood.