Operations: Page 222

Case for No Negotiation

One of the more interesting aspects of domestic auto makers' employee discounts for everyone was the warm reception consumers gave to haggle-free sales environments. My company provides a number of dealers with training that helps them establish a negotiation-free sales (NFS) process. There is a lot to be said for this form of selling. But clearly it is not for every dealer. There is a lot more to

By Mark Rikess • Nov. 1, 2005

Guide to eBay Motors

A few years ago, predicting that consumers would buy dealerships' new or used vehicles from photos and descriptions on Internet pages, would have: (a) brought forth the men in white jackets, (b) caused uproarious laughter or (c) generated $14 billion in sales. Choosing (c) would place you among the thousands of automobile dealers who have already logged on to eBay Motors, a growing auction marketplace

By Marty Bernstein • Nov. 1, 2005

Explore the Trendline➔

Automotive Manufacturing

Production strategies are changing rapidly as tariffs and shifts in consumer buying patterns affect the industry.

By WardsAuto staff

Titan to Miss 100k Sales Goal

Nissan North America Inc.'s fullsize Titan pickup truck will do about the same volume this year as it did last year. Jed Connelly, NNA senior vice president-sales and marketing, says Titan again likely will miss its annual sales goal of 100,000 units set with its debut two years ago. Nissan delivered 83,848 Titans in the U.S. in calendar 2004, and 91,296 in the most recent fiscal year.

Nov. 1, 2005

The Fighting Irishman

Pick a name Feisty Fin, Fightin' Fin. Both describe Finbarr O'Neill, CEO and president of the Reynolds and Reynolds Co. Spend some time with him and pugnacious or feisty are not the first things one would think of O'Neill, a reserved, soft-spoken gentleman whose voice retains a slight hint of a native Irish lilt. But he is not adverse to a good fight. O'Neill is 11 months into a 3-year contract as

By Cliff Banks • Nov. 1, 2005

ASEAN Prospers From Free-Trade Agreements

Negotiations over lowering automotive trade barriers in Asia/Pacific intensified in 2005, with the hope of providing foreign companies a level playing field while strengthening the region's status and giving domestic auto makers a jump on competitors. The economic meltdown of 1997-1998 is history, and recovery in the region is well under way. After slumping to 479,000 in 1998, vehicle sales reached

By Barbara McClellan • Nov. 1, 2005

How to Stay Union-Free

Faced with membership and revenue declines, union leadership must find ways to increase the rank and file. Organizers are not waiting for disgruntled employees to approach them. They will approach employees first to persuade them that authorizing a union to represent them is in their best interest. Even if you think you have the most loyal, dedicated and satisfied employees on the planet, don't be

By STEVE SMITHMEYER • Nov. 1, 2005

Auto Industry Tries to Assess Katrina’s Destructive Consequences

Auto makers say it is too early to gauge the effect Hurricane Katrina will have on the U.S. economy and vehicle sales. The unparalleled nature of Hurricane Katrina's path of destruction a decapitating blow to the U.S. transportation and oil refining networks means its consequences are more difficult to forecast than other major storms. Given the uncertainty that still exists around the extensive structural

By Brian Corbett • Oct. 1, 2005

Tips on Manager Hiring

Too often dealerships delegate the Internet management role to mediocre sales people that are just good guys who have not had much sales success on the floor. But the person you pick as your Internet sales manager will either bring customers to your dealership or drive them away. The number of customers using the Internet for car shopping is at record levels and your dealership needs to be prepared

By David Kain • Oct. 1, 2005

Watch Out for F Word

It doesn't take a rocket scientist or a CPA to realize that we are now operating in an ever-changing, highly regulated business environment. Since the Enron scandal, the concept of internal controls and regulations has required management to step back and look at how it has been overseeing operations. These internal procedures take on a new meaning as new litigations come to light. Dealerships have

By John Davis • Oct. 1, 2005

A Guide to SEMA Show

It may seem like a jungle at the Nov. 1-4 Specialty Equipment Market Assn. (SEMA) Show, featuring aftermarket trends, technology and products. There are 2,000 exhibitors across 1 million sq. ft. covering all three halls of the giant Las Vegas Convention Center. More than 1,000 new products will be showcased this year, the 39th show. It is best you have a plan of attack for this motor mecca. More than

By DAVE SKROBOT • Oct. 1, 2005

Coming Up Short

It sounds almost nonsensical, but even though the U.S. auto industry leads all industries in layoffs, it soon may face an acute labor shortage. The problem: There is a huge gap forming between the kind of workers and skills currently available and those that will be needed in the future. Some companies already are struggling to find the appropriate skilled workers for their facilities, and the problem

By Steve Miller • Oct. 1, 2005

China’s Design on Europe Has Auto Industry Worried

FRANKFURT – Chinese auto makers are hungry for new overseas markets, and Europe seems to be at the top of their target list. Recent figures released by the European Commission show China’s trade surplus with the European Union in "vehicles and other machinery" for the year’s first half was $23 billion and still climbing. Earlier this year, a worried Commission set up CARS 21, a high-level "stakeholder

By Alan Osborn • Sept. 23, 2005

Runkle Starts New Career

Don Runkle retired as vice chairman of Delphi Corp. June 30, but he already is moving ahead in a new career. Runkle tells Ward's he is working with private equity groups seeking acquisitions in many industries, including automotive. We've put in some bids, but the numbers have to add up from a production and technical standpoint, he says. Runkle turned 60 in June and says that when he was passed over

Sept. 1, 2005

Lesson No. 1: It’s a Tough Job

Pitfalls of selling cars online include customers' quick access to invoice prices and the ease with which they can shop dealerships against each other. But that doesn't mean Internet sales people should be meek, says Corey Mosley, president and founder of the Mosley Automotive Group, a New Jersey training firm. We know Internet selling is twice as hard as selling in the showroom, he says. It's less

By Cliff Banks • Sept. 1, 2005

Road Rage: Increasingly All About Space

Nearly 50% of surveyed American drivers say they were on the receiving end of rude gestures and verbal abuse in the past year. That topped a list of anti-social driving behaviors, ranging from persistent flashing of headlights to physical assault, although only 2% of motorists surveyed by the research firm Synovate say they were in incidents where confrontations got ugly and someone physically got

Sept. 1, 2005

Grand Theft Auto Design

EARBORN, MI Video games such as Grand Theft Auto draw criticism in some circles for sexual and violent content, but the head of a design school says their visual style will influence future vehicle designs. Young car designers are taking cues from outr designers of video games, College for Creative Studies President Richard Rogers says at a J.D. Power and Associates roundtable here. The aesthetics

By Steve Finlay • Sept. 1, 2005

Fall Shakeout

The auto show season kicks off this month in Frankfurt, and it will be followed in rapid succession by the biannual October confab in Tokyo and the Detroit show in January. Plenty of product and business news is expected at Frankfurt, where Europe's auto makers typically pull out the stops at what is the continent's largest show. Auto makers plan several significant product unveilings, but Frankfurt

By Ward's Staff • Sept. 1, 2005

Pampers, Pepsi and Tata?

TRAVERSE CITY, MI – Could consumers someday buy vehicles where they buy toiletries, clothes and groceries? Cuneyt Oge, director-Atlantic region aerospace, automotive, industrial and transportation for PRTM, predicts Wal-Mart one day may sell a low-priced Indian car “next to tires and batteries.” Oge, speaking at the Management Briefing Seminars here, says it’s possible the huge discount retailer could

By Christie Schweinsberg • Aug. 8, 2005

Delphi’s Runkle Starts New Career

TRAVERSE CITY, MI – Don Runkle retired as vice chairman of Delphi Corp. June 30, but he already is moving ahead in a new career. During a hallway interview at the Management Briefing Seminars here, Runkle says he is working with private equity (leveraged buyout) groups seeking acquisitions in a variety of industries including automotive, medical and energy, where they may need operating people. “We've

By David C. Smith • Aug. 5, 2005

Drive-by-Wire Heading Back Into Spotlight

TRAVERSE CITY, MI After flying under media radar for the past several years, so-called drive-by-wire technology likely will be back in the spotlight this fall, thanks to SKF Automotive Div. North America. In an interview at the Management Briefing Seminars here, George Dettloff, president of SKF Automotive Div. North America, says a concept car called Novanta currently being shown off at various shows

By Drew Winter • Aug. 4, 2005

How Much Is Just Enough?

Building a new facility is usually a good investment; dealers typically see a 15% increase in sales after relocating to a new facility. However, you need to make some careful projections to determine the scope of your project. If you overbuild, the high rent expense will put an unnecessary burden on your dealership. If you build too small, you will have capacity challenges from day one. So what facility

By Steve Corle and Matt Gruss • Aug. 1, 2005

Cleared for Takeoff

Myth: It is a core responsibility of leaders to motivate their people. Dynamic leaders can motivate almost anyone to boost professional discipline and performance. Reality: Motivation is largely an individual phenomenon. Each individual brings his or her own measure of drive. This drive is, for the most part, a function of both genetics and upbringing (nature and nurture). Leaders cannot give people

By Bob Kamm • Aug. 1, 2005

The Right Dealership Design

Build it and they will come. Manufacturers love to say that when they launch new facility designs for their dealers, a common event in today's automotive environment. Yet despite the promise of new sales, for dealers facility replacements and upgrades mean risks, significant investments and disruptions of business during construction work that can seem to last forever. Such projects require a certain

By Cliff Banks • Aug. 1, 2005

It’s a New Game for Cars.com

It took longer than he would have liked, but Cars.com President Mitch Golub has added an online new-car sales lead generator, with the acquisition of NewCars.com. Started in 1996, NewCars.com is a new-vehicle sales and lead generator that primarily wholesales Internet leads to other third-party lead providers and manufacturers. Only in the last six months has the company turned its attention to the

By Cliff Banks • Aug. 1, 2005

Refrigerant Duel

The debate over automotive heating, ventilation and air conditioning (HVAC) system refrigerants is expected to heat up in the next few years as European and U.S. car makers find themselves going in opposite directions. Once again, the Japanese auto industry is caught in the middle. At stake are tens of billions of dollars in revenues in North America and Europe, and many more billions in the emerging

By Roger Schreffler • July 1, 2005