Margins on the sale of each automobile, agricultural equipment, truck, motorcycle or bus keep shrinking, and that's why dealers are focusing more and more on their parts and service departments to contribution more towards the bottom line. In addition, a well-managed Parts Department is vital for keeping customers satisfied.

The Parts Manager needs tools that help maintain a healthy Parts Department, and that help them concentrate on achieving maximum efficiency and results.

Your dealer management system needs to focus strongly on parts inventory management, and should help you address these issues:

Parts purchase management

• Which parts to keep in stock
• What parts should we be ordering
• How to avoid emergency orders
• How to avoid obsolescence (dead inventory)
• What to do with dead or obsolete parts

 

Increased customer satisfaction

• How to improve fill-rate
• How to satisfy orders from the Service Department
• What is our Absorption Rate and how can to improve it

 

Increased revenue

• Lost sales, i.e. how many sales are lost due to lack of inventory and other factors
• Parts classification by different variables, and strategies for each segment

 

Best practices in the Parts Department

The Autologica dealer management system offers advanced tools for the Parts Manager, such as:

• Phase in & phase out
• ABC (Pareto) Reports to detect trends and react quickly
• Parts Indicators that guide dealers in their process improvement efforts