“People don’t leave companies, they leave managers”
I love this quote by John Stemph, Ex-CEO of Wells Fargo. It does a great job explaining the importance of a great manager. The success of your organization depends on your ability to recruit, hire, develop, engage, and retain human capital. The workforce is changing and you must be able to adjust your management styles to make sure that it aligns with the needs of today’s human capital.
Why? Think about all the investments a dealership is making: the building, the inventory, computer systems, phone systems, keytrack systems, CRM, DMS, and all of the other vendors in your store today. The amount of marketing dollars alone that are spent every year are staggering. After making all of these investments the customer must still go through your people to get any value out of most of them,
Also, customers are changing and their expectations are changing as well. They expect so much more from their salesperson, the dealership, and their experience when purchasing a new vehicle, getting service work done, or buying a part in your parts department. The need for better quality employees is higher than ever.
How can we do that if we have the highest turnover of most other industries and some of the worst reputations out there when it comes to employment. The other day I heard a General Manager of a dealership say “it’s funny how I can advertise a $10 an hour job cleaning cars and I get so many applicants that I have to take my ad down. On the other hand, I advertise a 70 thousand dollar a year sales position and I get zero replies” We have a lot of work ahead of us. And if we truly want to grow our people and take care of our consumers, we must understand that our role as a manager is not only to execute a sales process or lead handling process, we must implement and execute a human capital management process. We can no longer rely on the traditional “sink or swim” approach when it comes to people. “Sink or Swim” is a practice where you throw your people out in front of customers and see who survives. How much money is that costing us? We must put aside our beliefs that great salespeople are born and start believing that great salespeople are developed through a process that focuses on them and their needs.
We must believe that our greatest assets are our people and we must invest in them. Invest our time and other valuable resources. We must believe that investment in people will magnify returns on other investments that you and your organization are making.
If you succeed in implementing and executing Human Capital Management processes, performance will improve. Your employees will be more engaged. You will be able to accelerate their development, and most importantly, reduce turnover. Your future and the future of your organization depends on it.