Chuck Hartle is the founder and president of PartsEdge, a powertool for New Car Dealerships Parts Operations, helping to increase DMS utilization, improves efficiency, accuracy, and profitability with solid and consistent plans for eliminating all types of idle inventory in a Parts Operations. With over 40 years in the auto industry Chuck has the know-how and love for the industry that has enabled PartsEdge to identify the biggest needs of dealerships.

Understanding the Complexity of Parts Returns

In the automotive parts industry, managing the return process can often be an intricate task. Dealerships grapple with multiple criteria when dealing with parts manufacturers. The need for efficiency is paramount. However, not all manufacturers offer straightforward processes, which can frustrate dealerships. On the Parts Management Podcast, Chuck Hartle sheds light on the different return processes across manufacturers, with a keen focus on Toyota.

Toyota’s Simplified Return Process

Toyota Motor Corp (TMC) stands out with a notably streamlined process for parts returns. Chuck Hartle emphasizes the simplicity of Toyota's criteria during the podcast discussion. Toyota dealerships benefit from clear guidelines, reducing the hassle often associated with parts returns. Toyota's approach offers a model that many dealerships wish other manufacturers would adopt.

The three clear criteria for returns are embraced by Toyota dealerships. The first criterion is for parts purchased between 10 to 17 months ago, allowing returns without a receipt for items over $8. Secondly, for parts older than 18 months, dealers can return them but incur a 20% restocking fee. Lastly, the TORA program enables returns of special orders within 90 days.

The Challenges Across Other Manufacturers

While Toyota offers a streamlined approach, other manufacturers maintain more complex systems. This complexity often leads to frustration amongst parts managers. Chuck highlights this during the podcast and mentions the difficulties dealerships face when working with manufacturers like GM and Chrysler. These brands often lack sufficient return allowances, further complicating the process.

Ford also exhibits a more conditional approach. Their RIM program involves accruing money over 60 days, adding layers to the process. These varied criteria across manufacturers demand managers to apply rigorous logic and organization.

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This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you’re looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Key Takeaways

1. Toyota offers straightforward parts returns.
2. Know part sources for smooth returns.
3. Different makers have varying return rules.

“What the ASR programs are terrible at doing is tracking credit returns and now guaranteeing the two.” -Chuck Hartle

Chuck Hartle
LinkedIn: www.linkedin.com/in/chuck-hartle-1923ab14

Website: www.partsedge.com

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl

Website: www.partsedge.com

Olivia Stapleton is the Marketing Specialist and Sales Enablement leader at Dealer Teamwork LLC, a pioneering automotive digital marketing company, and founder of Next Gear Automotive. She helps dealerships optimize their digital presence through patented MPOP® technology while fostering industry innovation through her platform focused on people and passion in automotive.

Today, Olivia Stapleton shares her journey into the automotive industry, where she's been immersed since childhood, thanks in part to her father’s influence. She discusses the importance of connecting with the next generation, especially in automotive marketing, while highlighting her passion for merging creativity and strategy.

Olivia also delves into how Dealer Teamwork is redefining digital advertising with transparency and personalization. Plus, they chat about the evolving role of marketing in auto sales, Olivia's exciting content projects, and how the younger generation can drive change in this fast-paced industry.

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This show is powered byPartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you're looking to optimize your parts management, visit 🔗www.partsedge.com.

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Takeaways

1. Be open and personal with digital buyers.

2. Mix creativity with measurable results.

3. Welcome fresh ideas across generations.

Quote

“It's really about the human connection and understanding people and building those relationships.” -Olivia Stapleton​​

Connect:

Olivia Stapleton

LinkedIn:www.linkedin.com/in/stapletonolivia

Website:www.dealerteamwork.com

Kaylee Felio

LinkedIn:www.linkedin.com/in/gotopartsgirl
Website:www.partsedge.com

Jazmine Booker is a certified automotive technician, mediator, and host of ‘Auto Talk with Jaz’ Podcast, who brings over a decade of experience in dispute resolution and video production. She dedicates her expertise to empowering women in male-dominated industries through educational programs at domestic violence shelters, while leveraging her skills as a producer and director to create impactful video content that promotes inclusive workplace environments.

Today, Jazmine Booker shares her journey from starting a podcast to build a community for women in the automotive field to transforming it into a platform that fosters better organizational culture and leadership in the industry.

We'll explore the evolution of her podcast, her thoughts on leveraging LinkedIn for networking, the challenges and triumphs of podcasting, and her insights on consulting and helping others start their podcasting journeys.

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This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you're looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Takeaways

Welcome change as growth opportunity.

Use modern tools to work smarter.

Begin now, perfect it later.

Quote

“You're never going to not know what you can do and what you shouldn't do until you do it.” -Jazmine Booker​​

Connect:

Jazmine Booker

LinkedIn: www.linkedin.com/in/jazmine-booker-90338a75

Website: www.linktr.ee/autotalkwithjaz

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl
Website: www.partsedge.com

Effective pricing strategies, including the use of pricing matrices, play a crucial role for parts managers. Managing parts pricing is complex and often fraught with pitfalls. This blog post explores common challenges, offers valuable insights, and provides actionable strategies to enhance your pricing matrix.

The Evolution of Pricing Matrices

The Origins and Decline of Traditional Pricing Matrices

Pricing matrices were pivotal 25 to 30 years ago. These matrices often accounted for 25-30% of retail sales. Today, the scenario is dramatically different. Customers can easily access online price comparisons, making aggressive matrices less effective. Parts managers must update and adapt their matrices to remain competitive. Many use outdated strategies that fail to meet modern needs.

Common Pitfalls in Pricing Matrices

Lack of Updates and Realism

One major pitfall is the failure to update the matrix regularly. Often, parts managers rely on matrices that are several years old. Companies that neglect timely updates miss out on potential revenue. Regularly reviewing and adjusting the matrix can optimize profits.

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This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you’re looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Key Takeaways

1. Update pricing regularly to protect margins.
2. Keep matrix systems clear and simple.
3. Adjust costs to match market changes.

4. 
   

Quote

“If you're matrixing 10 percent of your retail sales, you're doing a really good job..” -Chuck Hartle

Chuck Hartle
LinkedIn: www.linkedin.com/in/chuck-hartle-1923ab14

Website: www.partsedge.com

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl

Website: www.partsedge

Sponsors: Takeaways QuoteConnect

Unravel the Complexities of Dirty Core Management to Streamline your Dealership's Inventory Processes and Improve Efficiency.

In the automotive parts industry, managing inventory is a crucial yet challenging task. One commonly misunderstood element involves dirty cores. These components are pivotal in maintaining accuracy in inventory records. Let's explore the intricacies around dirty core management, addressing common issues and offering practical solutions for dealership success.

Understanding Dirty Cores

In the automotive world, cores are parts that can be remanufactured or recycled. These cores are typically exchanged when a new part is purchased. However, a crucial aspect often overlooked is the dirty core. A dirty core remains in the system until it is physically returned for credit. Understanding this is foundational to managing a healthy inventory.

Challenges with Dirty Core Management

Managing dirty cores poses several challenges, primarily due to system discrepancies. As highlighted by Chuck Hartle, certain dealership management systems (DMS), such as PBS and DealerTrack, have their distinct ways of handling cores. They often include a status called 'core', indicating dirty cores but may underreport them. This can create initial confusion in inventory assessments.

Moreover, discrepancies arise when dealers fail to minus out cores once credits are received, as Kaylee points out. Without proper handling, dirty cores inflate inventory values, leading to inaccurate reports. Therefore, understanding the nuances of your chosen DMS becomes essential.

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This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you’re looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Key Takeaways

1. Understanding and managing dirty cores is vital for accurate inventory records.
2. Educational programs on dirty core systems can provide a strategic advantage.
3. Proper reconciliation of core inventory is crucial for financial health.

Quote

“If you can't beat them, join them. That's what I say.” -Chuck Hartle

Chuck Hartle
LinkedIn: www.linkedin.com/in/chuck-hartle-1923ab14

Website: www.partsedge.com

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl

Website: www.partsedge.com

Understanding "Forced Stock" Inventory

Defining "Forced Stock"

"Forced stock" refers to parts that did not qualify for any phase-in criteria. These parts accumulate for various reasons.

Causes of "Forced Stock" Inventory

Firstly, Chuck identified overordering by technicians. Often, technicians order multiple parts to fix a problem. When only one part is used, the rest become instant idle inventory. This scenario not only clutters the parts department but also creates inefficiencies.

Secondly, returns from body shops significantly contribute to "forced stock" inventory. Body shops often demand massive discounts and unlimited returns. Consequently, this leads to a significant volume of parts returning to the dealer.

Thirdly, unclaimed special orders contribute to this issue. Parts initially ordered for repairs that customers never return to collect sit idle. This common scenario can be mitigated by improving communication and follow-up processes.

Lastly, some parts are approved by manufacturers Auto Stock Replenishment programs but end up not being used. According to Chuck, around 40% of ASR-approved parts become idle, taking up valuable shelf space.

What is Technical Obsolescence?

Technical obsolescence occurs when a part hasn't sold within a set timeframe. Mike Nichols introduced the concept of "technical obsolescence" parts aging between seven to twelve months.

Understanding the Timeline

A part reaching its seventh month unsold has an 85% chance of becoming obsolete by the thirteenth month. This likelihood increases as time progresses. Thus, managing parts within the seven-to-twelve-month window is crucial.

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SPONSOR

This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you’re looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Key Takeaways

1. Track idle parts to prevent waste.
2. Sort inventory by key aging categories for better control.
3. Know guaranteed parts from non-returnable stock.

4. 
   

Quote

“If you only got one way to look at your inventory, look at it by receipts because that's what matters to the dealer.” -Chuck Hartle

Chuck Hartle
LinkedIn: www.linkedin.com/in/chuck-hartle-1923ab14

Website: www.partsedge.com

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl

Website: www.partsedge.com

Tim Hayden is the CEO of Brain+Trust and Chief of Business Strategy at The Next Practice, with over 20 years of experience building strategic solutions for brands through media, data, and mobility. Through these ventures, he helps organizations create competitive advantages and build lasting trust with their audiences.

Today, Tim Hayden reveals how automotive dealerships are sitting on a goldmine of untapped dark data that could revolutionize their operations and customer experience. Through practical examples and industry insights, he demonstrates how this hidden information can be transformed into actionable strategies for growth and efficiency.

Building on this foundation, Tim explores the game-changing potential of AI in strengthening customer relationships and discusses how dealerships can modernize their operations for the future. He offers a compelling vision for how automotive retail can evolve by embracing these technological advances while maintaining the human touch that drives sales and customer loyalty.

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This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you're looking to optimize your parts management, visit 🔗 www.partsedge.com.

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Takeaways

Unlock hidden dealership data for actionable insights.

Use AI to deepen meaningful customer connections.

Modernize operations while preserving human relationships.

Quote

“The real power isn't just in collecting data.” -Tim Hayden​​

Connect:

Tim Hayden

LinkedIn: www.linkedin.com/in/saddleup

Website: www.braintrust.partners

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl
Website: www.partsedge.com

Mastering Parts Management: Avoiding Common Pitfalls

Enhancing Efficiency and Effectiveness in Inventory Control

In this episode of the Parts Management Podcast, Kaylee Felio and guest Chuck Hartle delve into common pitfalls for parts managers. They uncover the frequent mistakes and discuss how to avoid them. From lack of training to mismanaged special orders, they provide valuable insights. Let's break down their conversation and provide actionable tips for parts managers.

Most parts managers ascend to their roles through experience, not formal education. Often, they excelled as parts advisors but received little training as managers. This lack of structured education can lead to inefficiencies and mistakes. Therefore, dealerships must invest in proper training and development opportunities for their parts managers.

Chuck Hartle highlights that podcasts, webinars, and educational links can be valuable resources. These tools offer practical knowledge in areas like inventory control and price matrixing. Engaging in continuous learning is vital for parts managers to stay updated and effective in their roles.

The Training Gap: A Root CauseThe Challenge of On-the-Job LearningLeveraging Learning Resources

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SPONSOR

This show is powered by PartsEdge: Your go-to solution for transforming dealership parts inventory into a powerhouse of profitability. Their strategies are proven to amp up parts sales by a whopping 20%, all while cutting down on idle inventory. If you’re looking to optimize your parts management, visit 🔗 www.partsedge.com.

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KEY TAKEAWAYS

1. Keep managers learning through ongoing education.
2. Build focused team for customer orders.
3. Record lost sales accurately and carefully.

4. 
   

QUOTE

“Good special order process goes a long way in starting to help inventory control and mismanaged inventories.” -Chuck Hartle

Chuck Hartle
LinkedIn: www.linkedin.com/in/chuck-hartle-1923ab14

Website: www.partsedge.com

Kaylee Felio

LinkedIn: www.linkedin.com/in/gotopartsgirl

Website: www.partsedge.com