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Reward and recognition that extends beyond one evening An AM Award brings with it the respect of the industry and publicly acknowledges the importance of your people and helps to strengthen the confidence of an individual or teams – as well as provide an independent mark of quality in your business that can be incorporated into your marketing strategy.
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EDITOR’S LETTER
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wish a huge congratulations to the 2018 AM Best Dealerships To Work For, featured in this issue of AM. And a thank you to all AM and AM-online readers who came to Automotive Management Live on November 8, and saw the best dealerships collect their awards. They are incredible employers, with engaged, satisfied staff who feel able to overcome any of the challenges our industry brings them. We will officially launch the 2019 programme next spring, although you can register your interest now (see Pages 29-41). It’s completely free to enter. If you have a great workforce that strives to make a difference to your dealership, and that enjoys the rewards of a people-centric employer, let’s recognise that. We often talk about public ignorance or misperception of the industry as a workplace. Let’s take steps to change that. What’s the risk? None. If you don’t make the list, no one knows. And you’ll at least have some insight into how your workers feel about their workplace, so you can make improvements before they leave. I want to see dozens more dealerships taking part in 2019, and bigger celebrations for the best dealerships. Don’t pay lip service to your people.
HAPPY cHristmAs from tHe Am teAm
Tim Rose Editor
am-online.com#WZhi
Tom Sharpe News and features editor
Stephen Briers Editor-in-chief
Jeremy Bennett Head of digital/ associate editor
Finbarr O’Reilly Production editor
Luke Neal Head of publishing
Elizabeth Howlett Web producer
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IMI AND NFDA BACK SEARCH FOR BEST UK DEALERSHIPS
In its inaugural year, 15 dealerships won AM Best UK Dealership to Work For status. Sign up for free to join our search for the best employers in UK motor retail in 201.
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ealerships can now register their interest for the AM Best UK Dealerships To Work For 201. programme. Following the success of the inaugural initiative last year, in which 15 dealerships achieved Best Dealership status, AM has again teamed up with Best Companies Group to identify those dealers working hard to look after their staff. Employee engagement is an essential ingredient for a successful and profitable business. No company can succeed without a motivated, well-led workforce that believes in the company mission. The main objective of AM Best UK Dealerships To Work For is to raise the bar among the industry’s employers, creating excellence and employee
engagement in the workplace that will attract talented people for years to come. It enables retailers to benchmark their performance and identify shortcomings in their employee policies so they can make improvements that boost their staff retention and recruitment. The dealerships which achieved the accolade in 201- gained valuable media exposure. Now we’re launching the 2018 programme, and the Institute of the Motor Industry (IMI) and the National Franchised Dealers Association are both giving it their backing. Steve Nash, IMI chief executive, said: “Happy, motivated and engaged staff are essential for longterm business success and the consistent delivery of a company’s values and standards.
ARE YOU ELIGIBLE?
WHAT ARE THE BENEFITS TO YOU? There are a number of benefits to the companies that choose to take part in AM’s Best UK Dealerships To Work For programme. They include: 1. Recognition as a top employer, including use of the AM Best UK Dealerships To Work For logo 2. A promotional aid for recruitment and staff retention 3. Promotion to potential customers; raising your profile in your local area 4. The ability to benchmark performance against peers 5. Understanding of employees’ views and areas to improve
1 JUNE: Registration deadline. Verification within 24 hours. Companies that pre-ordered reports will then receive an invoice within seven days
PROGRAMME TIMETABLE
“Initiatives like AM Best UK Dealerships To Work For empower staff and managers, enabling them to work together to achieve the best results for their company, those that work in it and, of course, their customers. Harnessing the power of people through the highest professional standards is what the IMI is all about and that’s why we support AM Best UK Dealerships to Work For.” It costs nothing to participate in the programme and become a Best UK Dealership To Work For. Employers will be offered the opportunity to buy a comprehensive report detailings their strengths and weaknesses in their staff engagement policies. n Retailers can register their dealerships’ interest now at: www.bestukdealerships.com
To be eligible for consideration, companies must: ■ Have a minimum of 15 employees working in the UK ■ Be a franchised dealership ■ Be a publicly or privately held business ■ Have been in business for a minimum of one year A 40% employee response rate is required (80% for dealerships with 15-24 employees). Temporary or seasonal workers, contractors, consultants, interns and volunteers are not counted as employees or included in the survey.
JUNE 8: A web link for the employer questionnaire will be sent to the contact at each registered company
JUNE 22: Completed employer questionnaires are due
JUNE 29: Employee engagement and satisfaction surveys are emailed to dealerships
REGISTRATION
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Having motivated and passionate people working for you is crucial, especially in a period when the industry is evolving at a fast pace and there is an increasing need for new ideas and solutions. Franchised dealer groups work hard to provide their employees with a supportive environment and to build a positive working culture and AM’s Best UK Dealerships To Work For initiative will highlight the efforts that are being made SUE ROBINSON, DIRECTOR, NATIONAL FRANCHISED DEALERS ASSOCIATION
Winners of the 2017 AM Best UK Dealerships To Work For
HOW IT WORKS AM Best UK Dealerships To Work For is a two-part process designed to gather information about each participating dealership. Part one: the employer completes the employer questionnaire, which details company policies, practices, benefits and demographics. This can be completed at group level for all the participating dealerships where applicable. Part two: employees complete the employee
JULY 13: Deadline for allonline version of the employee survey
engagement and satisfaction survey, an in-depth set of 76 statements based on a 1-5 scale of ‘disagree strongly’ to ‘agree strongly’. The survey also includes two open-ended questions and seven demographic questions. Both surveys are completed online, although a paper option is available if email and internet technology are not available for use by employees. Best Companies Group will combine the results
AUGUST 21: Notification letters sent to participating dealerships
SEPTEMBER 4: Employee feedback reports are sent to dealerships that ordered them
of the two surveys to determine which companies make the list of the Best UK Dealerships To Work For. Participating is free, and dealerships will have the opportunity of purchasing an employee feedback report from Best Companies Group, which will provide comprehensive details of the surveys, including employee comments and benchmarking against peers.
NOV 8: AM Best UK Dealerships To Work For winners announced at Automotive Management Live, NEC, Birmingham
INTERVIEWS DEALER
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FACE TO FACE: LUSCOMBE MOTORS
‘WE DO THINGS OLD-SCHOOL’ Robin Luscombe wants low-pressure, long-term relationships with his customers and he’s happy to fill the gaps left by bigger dealer groups, he tells Tom Sharpe
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e try to do everything the big groups and PLCs can’t. In many ways, we are like an independent, with a flexibility and adaptability that makes it much easier for us to meet the expectations of our customers.” Robin Luscombe, the founder of Luscombe Motors, is in no doubt of the potential damage that over-ambition could do to his down-to-earth Suzuki franchise. The business has been setting standards and winning awards almost since the day he acquired it from Robert Bowett, in an area known as ‘the workshop of Leeds’, in 2010. Luscombe has presided over a culture where staff are trusted to make deals with their customers and do not chase amber and red aftersales work to boost profits – the “sales push” is frowned upon. Both practices appear to have played their part in delivering standard-setting customer retention and return-on-sales figures. When AM paid a visit to his facilities on Low Road, Hunslet, Luscombe said: “When I walked in the door here in 2010, the dealership was exactly what you would expect. It had all the trappings of a franchised dealership. “I remember taking the team aside and explaining the culture I wanted to see. We were going to be doing things ‘old-school’ – low pressure – and giving customers a good deal. Playing the long game. “The general consensus was that I’d be bankrupt within six months, I think, but now we are a business that is proud of its customer retention levels, proud of its reviews and referrals and everyone’s a part of its success. Now everyone gets it.” Despite what may sound like a philanthropic approach to business, Luscombe’s model has proved itself at returning a profit. Annual financial results for the year to May 31, 2017, show a turnover of
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£26.3 million, up more than 5% on 2016’s £25m million, with profit before tax up by 24.5%, from £808,753 to £1,006,619. Gross profit as a percentage of turnover was 14%, while administrative expenses were 10.4% of turnover (2016: 9.8%), producing an overall return-on-sale before interest and tax of 3.9%, an improvement on 2016’s 3.4%. However, Luscombe said the business did face challenges last summer. Sales “fell off a cliff” in Q2, only to defy the wider market trend by recovering to 2016 levels by October and finishing the year strongly to record 1,827 new car sales and 1,065 used car sales for the year. Despite the stronger year-end, Luscombe announced at a staff meeting in January that a twice-yearly profitsharing scheme – every member of staff receives the same sum – would be cut by more than half on the same period 12 months earlier. In the seven months to January, Luscombe said the business had maintained a return-on-sales figure of 3.5%, but turnover was down 9.9% yearon-year, partially due to the reduction in Mitsubishi fleet success previously generated by the Outlander PHEV.
HELPING MOTOR RETAIL’S NEW BLOOD
Luscombe recently became a founding member of a multi-million-pound private investment fund created to help entrepreneurs establish their own franchised car dealerships. Tempus Automotive Investments was
FACTFILE TURNOVER (2017) £26.3 million PROFIT BEFORE TAX £1,006,619 FRANCHISES Suzuki, Mitsubishi STAFF 50
formed with industry experts David Kendrick, Dave Vickers, Paul Daly and Steve Mills after the group identified the limited number of sponsored dealer opportunities currently available and the funding challenges faced by new entrants to the sector. UHY Hacker Young research has shown that 92% of new entrepreneurs in motor retail over the past 15 years have been through manufacturer-sponsored dealer programmes, suggesting the need for fresh blood. Interested parties go through a thorough assessment programme before being given formal funding approval by the investor team. Businesses generating a turnover of up to £50m, but with shareholders or owners that have no succession plan in place, are among the likely acquisition targets. The fund launched in August 2017 and Luscombe said interest has been strong, but that the volatile market meant the consortium has exercised caution about potential investments. “Things haven’t moved on considerably for the simple reason that nobody seems certain of the direction of travel of the industry,” he said. “We want to deliver value for people that want to set out on their own, and will have committed probably in the region of £150,000 of their own money to do so. “A business being offered to us now could well turn out to be worth a lot less by the time April comes. It’s a difficult period, but it might also present opportunities.” Luscombe started his own business with no manufacturer backing. After beginning his automotive career as a parts apprentice at a coachbuilding workshop in Leeds, a love of motorcycles landed him a position in the parts department of Colin Appleyard’s Keighley Suzuki “bike shop”. It was only when the suggestion of a move over to cars would free up
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Saturdays to spend more time in the saddle that he made the move to four wheels. Over the years Luscombe has proved an adept sidecar trials rider, securing 16 British titles, 18 Manx Sidecar, plus three World successes and one Australian sidecar trials championship. While winning on the motorcycle, Luscombe progressed his career, running two Appleyard sites. Eventually, he felt the time came to go it alone. He said: “I woke up one day in January 2009 and said ‘right, I’m 47 at the end of this month, if I leave it another week I’m going to be too old’.” With the approval of his wife, and against the advice of some friends, Luscombe left his job at Colin Appleyard. “It was very much a case of putting everything on red and hoping for the best,” he said. “I’d done the business for someone else and needed to know if I could do it for myself.”
GOING IT ALONE
The opportunity to buy Bowetts Suzuki came about after Luscombe put in a speculative call to then owner Robert Bowett. The business was everything he had hoped for, having been at the top of his list of potential targets. “It was a Suzuki franchise, within a short commute of my home and it was in a good territory. “It was 16 months from our initial chat to finalising the deal,” said Luscombe. In the summer of 2016, Luscombe secured the freehold of the Suzuki site, along with Bowkett’s neighbouring Mitsubishi franchise and used car pitch for an undisclosed sum. Luscombe said he has no plans to expand
TURNOVER (£)
CUSTOMERS DON’T WANT TO BE MOVED FROM ONE PERSON TO THE NEXT DURING THEIR VISIT, SO OUR STAFF WILL DEAL WITH A SALE FROM END TO END ROBIN LUSCOMBE, LUSCOMBE MOTORS further: “I’ve created a business which makes good money and has a very distinct culture. “Our customers are like our family. If I was to grow the business, I’m in no doubt that I’d lose that.” While Luscombe is very much the man at the helm of his business – he presents promotional videos posted on the business’ website, voices radio adverts and writes a weekly ‘Robin’s Diary’ section for The Yorkshire Post – he is keen to imbue his staff with independence. Last July, he took a month away from the business to allow his team the chance to make their own decisions, to influence the performance of their departments and lessen their reliance on him. “I asked for a daily operating control document and how many cars had been sold and that was it,” he said. “They benefited from the knowledge that I trusted them and was happy for them to make their own decisions.” Part of the Luscombe culture is an effort
PROFIT BEFORE TAX (£)
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Despite showing consistent growth during the years that Luscombe Motors has posted full financial results with Companies House, the Hunslet-based retailer has no plans to grow, preferring to preserve its relationship with customers and, in turn, impressive return-on-sales performance.
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to adopt a team ethos. While he was unable to measure the effects of his month off on the business, he said the recovery of the business after a tough April, May and June could be attributed to allowing his team “to grow”. The bonus scheme – which sees all 50 Luscombe Motors staff receive the same cash lump sum twice a year – helps the team spirit. All eight of his managers were involved in the decision to introduce the scheme and it includes everyone from sales managers to showroom cleaners. Staff retention levels are high, reaching 95% in 2016 and 92.5% in 2017. As a sign of its staff satisfaction levels, Luscombe Motors achieved AM Best Dealerships to Work For status, which was
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Robin Luscombe and his team, proudly displaying their AM Award patches
presented at Automotive Management Live 2017 in November. The sales team brings together the concept of trust in staff with Luscombe’s focus on delivering a personal customer service. He likes to see his sales manager on the shop floor, communicating with customers, and his nine sales executives are part of an end-to-end customer service model. “Customers don’t want to be moved from one person to the next during the course of their visit, so our sales staff will deal with a sale from end to end,” he said. “They can value the part-exchange up to their comfort level. “The sales exec’s main job is that of a rapport-builder, but it’s hard to fill that brief if they’re just one part of a long process.
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We want staff to get to know their customers and welcome them back each time they come in.” Luscombe Motors won the AM Award for Excellence in Customer Service at the start of February, gaining praise for its sales mantra: “We won’t sell you a car, we’ll help you buy one.” Luscombe insists that customers are allowed to go away and think about a deal if they wish as part of the business’ lowpressure sales ethos.
ENDING THE SERVICING ‘HARD SELL’
The same approach extends to aftersales, where Luscombe dropped prices when he acquired the operation in 2010. Service reception no longer attempts to push amber and red work after a customer has
made clear they do not want the work carried out. “When I came here, the workshop was suffering – they had charged the customers more money in an effort to compensate,” said Luscombe. “I said ‘we’re lowering prices and we’ll get more business and sell more cars’. They thought I was mad.” When AM visited Hunslet, the workshops were bustling and Luscombe reported that his latest financial results showed overhead absorption of 110%, up from 103% a year earlier. He said aftersales profitability was up by 5%, with trade parts sales up by 17%, a figure which should see it exceed £200,000 for the financial year. Service retention in the Suzuki
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franchise stood well above the manufacturer’s upper quartile of retailers, at 97.13% in year one, 94.6% in year two and 72.6% in year three. The ongoing battle to keep aftersales costs low continues to be a headache, however, with customers increasingly expecting a full valet worth about £50 when spending just £100 on a first service, Luscombe said. But he insists that a busy workshop serves to feed the car sales business, with customers encouraged to pop into the showroom for a coffee. Attracting new customers through referrals and as a result of positive online feedback is also a key target at Luscombe Motors. In 2010, Luscombe had little cash to invest in marketing and “just sat down at a computer and messed around”. The result was a strong social media presence at a time when other retailers may have been focusing on more traditional marketing channels. Luscombe remains active on Twitter and LinkedIn, extending the use of CitNow video for aftersales customers into YouTube clips, which he presents from the showroom, and customer testimonials, which take centre-stage on a website developed by Yorkshire-based Autoweb Design. Luscombe won the AM Award for Best Use of Video in 2017. Reviews on Google and Auto Trader also help drive custom to the business. “It’s remarkable the number of referrals we attract. It’s a huge part of our business,” said Luscombe. “For us, it’s fairly simple. We treat people in the best way we can and if something goes wrong we deal with it.”
‘ROBIN CONTROL’
Used cars account for a small part of Luscombe’s business, with the sales ratio skewed heavily towards new vehicles, even though exchange rates pushed up the price of imported stock by 10%-15% in 2017. Despite hosting Takanori Suzuki, Suzuki’s head of European automobiles and Nobuo Suyama, Suzuki GB’s managing director, when they visited the UK on an “EV fact-finding mission” in December, Luscombe said it was the manufacturer’s range of straightforward, petrol-engined vehicles that had paid dividends for the group as anti-diesel sentiment took hold of the market through 2017. Luscombe said Suzuki plans to invest in EVs to meet strict regulations that will be brought into force in India – its key market, with 1.25m annual sales – but feared such developments could drive up prices still further.
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IT MIGHT HAVE ONCE TAKEN 10 MINUTES TO POST A CLASSIFIED AD, BUT NOW THEY NEED TO BE SPOT ON AND IT CAN TAKE OVER AN HOUR ROBIN LUSCOMBE, LUSCOMBE MOTORS The business has made efforts to speed up the processing of used stock and improve the quality of online classifieds. A salesman looking for more regular working hours and less commission-based pay made the switch to become a full-time vehicle photographer and classified advert producer, uploading about 50 images of each used car and writing thorough descriptions of their features five days a week. Luscombe said: “It might have once taken 10 minutes to post a classified ad, but now they need to be spot on and it can take over an hour. Doing things right saves time towards the end of the process. Creating a classified advert has become very much a part of the sales process.” The used forecourt at Luscombe’s
Hunslet site will accommodate up to 100 cars, but Luscombe said capacity is rarely reached as the used stock is sold too quickly. The forecourt usually features about 70 vehicles, and about 88 used vehicles are sold each month. Used vehicle stock is generally up to five years of age and 60,000 miles and is bought from about 10 different sources. Luscombe said an over-reliance on manufacturer stocking sources can disadvantage retailers, serving as a “leveller” on price, resulting in franchisees competing for the same business. For a similar reason, he set aside Auto Trader’s iControl system. “I prefer to employ ‘Robin Control’,” said Luscombe.
‘TREAT EVERY CUSTOMER LIKE CLOONEY’ Luscombe Motors hired high-profile keynote speaker Geoff Ramm to help staff come up with a way to deliver a “celebrity service” to its customers at the dealer’s annual staff meeting in January. Ramm – who regularly works with brands such as Emirates and Specsavers – delivered a lively presentation centred on the need for staff to treat every customer no differently to how they would treat George Clooney or Angelina Jolie. Teams from across the business took part in a two-minute exercise to come up with an idea for how to deliver a unique ice cream product for a parlour business. The exercise was intended to show participants that generating game-changing ideas need not be time-consuming. Volunteers dreamt up a “make your own ice cream” concept, flavoured cones and a high-quality, dine-in experience in a matter of seconds. Ramm said: “Is there anything like that available in Leeds now? No, there isn’t. If you can come up with innovations like that for a business you don’t know at all, what can you
Geoff Ramm, left, took Luscombe’s staff through exercises to boost their customer service skills
do for Luscombe customers?” Ramm, formerly a marketing manager with Springfield Motor Group, also highlighted that compliments, personalised service and gestures such as low-cost, personalised gifts not only strike a chord with customers, but can gain marketing traction via social media channels. At the end of the presentation, Luscombe said Ramm’s fee would be worth it if everyone in the room was inspired to make another £100-amonth on the back of it. Luscombe said afterwards: “I think that was money well spent.”
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elcome to AM Best UK Dealerships to Work For 2018, a chance for us to honour and celebrate the best employers in the UK motor retail sector. Eleven dealerships made the grade in our second year, out of the 45 who registered this year, four fewer than 2017. We would urge more dealers to take part next year, and hope that the scheme both expands and attracts a range of businesses from the regional groups to local owner-drivers. Pre-registration for
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2019 is now open at www.bestukdealerships.com (click on ‘2019 Programme Information’). Employee engagement is an essential ingredient for a successful business. No company, large or small, can win over the long run without a workforce that is motivated and well led, and which understands and believes in the company’s mission. The next eight pages are a celebration of elite employers in the motor retail industry, who have proven that they know what it takes to create an environment where people love to come to work. The goal of the programme is to raise the bar among industry employers, creating excellence and
employee engagement in the workplace that will attract talented people for years to come. Andrew O’Kelly, European partnership development director for Best Companies Group, said: “It is not an easy task to make this list, so those being honoured here should be extremely proud of their organisations and, most importantly, their staff. “Being named one of the best places to work in this industry just gave these companies’ employer brands a huge boost. What they had to do to get there is not easy and their accomplishment is most certainly significant.”
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Where the AM Best UK Dealerships to Work For excelled and where they may need to do more
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ride, rewards, enjoyment and development opportunities are key elements of the 2018 AM Best UK Dealerships To Work For. Of the staff at our 11 best dealerships this year, 94% said they were proud to work at their dealership, compared with 84% at the dealerships that applied but did not make the listing. And 91% said they look forward to going to work most days, 14ppts higher than at the unlisted dealerships. The pay and benefits their employers provide are satisfactory to most staff, although one in four (25%) believes they should be better. In best dealerships’ favour, however, that proportion rises to almost one in two (45%) among the workers at unlisted dealerships. Particular areas of opportunity for employers include eyecare and dental care benefits, which were considered satisfactory by less than 50% of staff at unlisted dealerships and almost 60% at best dealerships. Providing staff with death-in-service cover is another benefit rated as important
AboUt AM bEst UK DEAlErships to WorK For n the survey is open to all UK dealerships with more than 15 full-time employees and a new car sales franchise. Dealers enter as single dealerships, not groups. it is completely free to all participants. Followup reports, offered at a fee by best Companies Group (bCG), are not mandatory. n its two-part assessment process, managed by bCG, includes an employer survey, constituting 25% of the overall score, plus an anonymous employee engagement survey, accounting for the other 75%. n bCG’s analysis of the results determines those dealerships that qualify as an AM best UK Dealership to Work For, and their plaques are presented at Automotive Management live each November.
Annually 10%
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how often does your CEo/president host regularly scheduled employee meetings?
Quarterly 45%
twice-yearly 27% by employees, yet only two thirds of all the dealerships involved in our programme had it as part of their standard employee benefits. Employees at the best dealerships feel supported, respected, recognised for good work, and have strong connections with their supervisors, who are open to hearing their opinions or feedback. ‘Relationship with
supervisor’ was the highest-scoring survey segment among best dealerships, at 95%. Dealerships that did not make the list scored 84%. The importance of cooperation between teams and departments comes through in this year’s results. In best dealerships, at least nine out of 10 employees said they like the people they work with, and believe there is a
Role satisfaction – best dealeRships vs otheRs I am able to maintain a reasonable balance between work and my personal life I am given enough authority to make decisions I need to make I like the type of work that I do
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spirit of cooperation in the organisation and that staff are allowed to have fun at work. At unlisted dealerships, only seven out of 10 felt the same way. Employees feel resourcing, at department and individual levels, could improve slightly, particularly at unlisted dealerships. There, three in 10 believe staffing levels are inadequate to provide the quality service that customers should expect. Even in best dealerships, one in 10 feels the same way, highlighting particularly that their workspace lacks adequate privacy to do their job. Privacy and distractions are a bigger issue for unlisted dealerships, where one in four employees struggles to focus due to inadequate noise control, compared with one in 10 at best dealerships. The results showed an engaged workforce can help a dealership as it expands too, as 92% of employees at the best dealerships to work for would recommend working there to a friend, 12ppts more than at other dealerships. At the best dealerships, 97% of the workforce said they are willing to give extra effort to help the business succeed, 3ppts more than unlisted dealerships. Leadership and planning are strengths of the UK’s best dealerships, too. Some 94% of employees said they understood the long-term strategy of the dealership, and the same proportion have confidence in its leadership, 17ppts higher than at the other dealerships. At best dealerships, 93% of workers believe their senior leaders care about employees’ well being and 93% felt the leaders lived the core values of the business, compared with 77% and 84% respectively of staff at unranked dealerships.
pay and bEnEfits – bEst dEalErships vs othEr I’m satisfied with sick leave policy
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Except for satisfaction with sick leave policy, employees’ ratings of their pay and benefits have improved.
CorporatE CulturE and CommuniCations – bEst dEalErships vs othErs I believe there is a spirit of cooperation within this dealership Staffing levels are adequate to provide quality products/services This organisation gives me enough recognition for work well done
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Employees at best dealerships feel well recognised, cooperative and supportive. But fewer staff across the survey believe they are kept well informed of their workplace’s profitability, perhaps a symptom of the reduced profitability generally within franchised networks in the UK.
EmployEE EngagEmEnt – bEst dEalErship vs unrankEd dEalErships I plan to continue my career with this dealership for at least two more years I would recommend working here to a friend This organisation has an environment where I can do my best work I look forward to going to work
I’m proud to work for this organisation
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The results show employees at the UK’s best dealerships to work for remain very engaged. However, coinciding with the tougher motor industry conditions, their desire to go to work and to recommend their workplace to a friend have both slipped slightly year-on-year.
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2018
CONGRATULATIONS Ian Simpson, sales and marketing director, Premia Solutions
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Andrew Landell, managing director, LTK Consultants
LTK Consultants is pleased to once again be a sponsor of the AM Best UK Dealerships to Work For programme, which was announced at Birmingham’s NEC at this year’s Automotive Management Live expo. As an automotive business consultancy and an Institute of Leadership & Managementapproved training provider, we understand that staff often reflect the ethos of their employer. To have dealer staff extol the virtues of the dealership that they work for is testament to the great work that the winners have done with their staff engagement and employee satisfaction. We would like to congratulate all of this year’s winners: Chorley Nissan Burnley; Chorley Nissan Chorley; Chorley Nissan Preston; Whetstone Audi; Premier Ford; Hepworth Honda; Drayton Motors; Livery Dole Mitsubishi; Roadside (Garages); Luscombe Motors; and Tracks of Exeter Suzuki; on being recognised by their people as one of the “best dealerships to work for”, and we encourage them to continue striving for greater heights.
I’d like to take this opportunity to congratulate all of those recognised at the Best UK Dealerships to Work For ceremony at Automotive Management Live on November 8. As the results were based on rigorous surveying of both the employer and employees, it was a pleasure presenting awards to a range of dealerships who had obviously put in work during the past year to ensure they were providing their teams with the best tools and opportunities to improve not only their professional development, but also their overall well-being. This has a measurable positive effect on the performance of their sites, by ensuring customers receive the best service from employees who are motivated, engaged and believe in what they do. Special recognition must be given to Chorley Nissan, which managed to scoop three awards on the day and came out with the overall top score from all 11 dealers who managed to qualify. Here at Premia Solutions, we also recognise that employees make all the difference to the performance and strength of a business, especially within the automotive industry. Because of this, we believe these awards are a very worthwhile practice, and one we look forward to being involved with in the future. Once again, well done to all those who were eligible, and the winners! Thanks also to everyone who visited our stand on the day, it was a great event and a pleasure speaking to you all.
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TOP RANKED OVERALL: CHORLEY NISSAN IN BURNLEY
The results are in - Chorley Nissan in Burnley is the AM Best UK Dealership To Work For in 2018, with the highest score of all the dealerships that participated in this year’s survey TWO OTHER CHORLEY GROUP DEALERSHIPS ALSO QUALIFIED AS AM BEST UK DEALERSHIPS TO WORK FOR: ■ Chorley Nissan in Chorley ■ Chorley Nissan in Preston irst and foremost, we are a family, treating all those around us with respect and enjoying what we do,” said Andrew Turner, the chairman of Chorley Group. From its humble beginnings, the Lancashire-based business has become recognised as one of the foremost employers in the country for the motor industry, and it is a high achiever in sales and customer service, securing entry to the 200 and 300 Clubs for outstanding sales performance and the Chairman’s Award for overall performance. To promote a healthy work/life balance, Chorley Nissan keeps overtime to a minimum and mandates that meetings or staff-only events take place during work hours only. It offers productivity or time management workshops, and offers an employee assistance programme that can provide counselling for marital, parental or financial problems and support for health conditions. Outside working hours, it holds company football tournaments, where employees’ families are also invited to join in fun activities, and its Christmas parties include an invitation for partners or guests. All employees have performance reviews at least twice annually. To encourage career progression within the group, it encourages mentoring and job shadowing, and it operates a future leaders
Chorley Group HR adviser Gillian Howells (second from right) receives the awards for its Burnley, Chorley and Preston Nissan dealerships from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
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programme, to train people in leadership and ensure the business has talented managers ready to succeed any departing staff. “Chorley Group has always recognised that our people create
OUR PEOPLE CREATE OUR SUCCESS, AND TO CONTINUE TO GROW AND DEVELOP AS A BUSINESS, WE MUST FOCUS ON OUR TEAMS am-online.com
our success, and to continue to grow and develop as a business, we must focus on our teams. We run an inhouse programme to advance talent within each area of the company, nurturing the specific skills required to manage either people or process, to grow our leaders for the future. We utilise manufacturer training academies, and support advanced qualifications for those who choose to do them, as well as continuing to train and support apprentices across the whole group,” said Turner.
Its incentive schemes include sales executive commission, a monthly bonus scheme for technicians, and quarterly bonuses, while there are also incentives for staff to recommend new hires when the company is recruiting. Benefits available for employees at Chorley Nissan include childcare vouchers, bicycle loans, discounts at other retailers and cover for death in service, and they can also opt into a private medical insurance scheme and critical illness insurance.
DECEMBER 2018 33
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Drayton Motors Kia, boston
This dealership has maintained its family feel despite rapidly expanding the business
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taff at this Lincolnshire dealership all appreciate there are differing targets, processes and constraints within each department , but they are all working together for the good of the business and looking to find solutions to any issues that arise. General manager Darren Bradford said it genuinely feels like one big family as opposed to separate employees or individuals. “Although we have grown in size quite rapidly over the past five years, we have somehow managed to retain the feeling that we are still one team with one overall goal,” he said. The workforce is proud to have won the AM Award for Best Used Car Performance in 2018 and a Kia customer experience award in 2017. Bradford believes in giving recognition for workers’ effort. He hands out chocolate eggs and turkeys at Easter and Christmas, employees get a half-day off on their birthday, and throughout the year staff have access to the online benefits platform Perkbox, funded by the dealership, which gives them retail discounts at high street and online brands, a free MOT, £1 car wash and vacuum, a new car for cost price plus £1, and friends and family discounts for used cars. Members of the team also regularly socialise outside of work, and get involved in charity fund-raising. Employee benefits include a childcare voucher scheme, bicycle loans, optional private medical insurance, health screening and retail discounts, plus access to financial and legal advice.
Drayton Motors general manager Darren Bradford (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
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Giving employees ‘time to thrive’ pays off in staff loyalty and customer service
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his Huddersfield-based, family-owned business operates under the long-held ethos of being “the small firm that tries harder”. Hepworth has retained its Honda franchise and its loyal staff for decades – one technician has worked for Hepworth since 1969, and there are employees with 20 or more years’ service across all its departments. “I believe that our company treats its employees as individuals and is sensitive to their personal issues where possible. We’re not a hire-and-fire company, we give employees the time to thrive,” said managing director Stephen Brighton. “If you treat your staff well, they in turn treat your customers well and they’ll look after the company.” The business finishes early on Fridays, and Brighton rewards his workers with occasional nights out, tickets to football or rugby matches. Employee performance is reviewed more than twice annually. Staff can opt in to a selection of benefits, including income protection cover, critical illness cover, loans for cycles, season tickets and a car scheme, however as standard they receive medical insurance, dental and eye cover, and are insured for death in service. Brighton has monthly meetings with all employees and conducts employee performance reviews at least every six months. The business encourages staff to develop their skills, through training workshops and seminars.
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Hepworth Honda sales director Mark Brook (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
December 2018 35
L E A D E R S H I P ï T R A N S PA R E N C Y ï K N O W L E D G E
LTK Congratulates all of the winners of this yearís AM ìBest Dealership to work forî Awards
LTK Consultants Ltd is once again proud to be sponsoring this yearís ìBest Dealership to work forî awards at the AMLive Event which took place at the NEC on 8th November. LTK Consultants, as an outsourced solutions provider for Management Development & Leadership programmes; plus Customer Retention specialists, ς∕Â⊃∈±ς∕∈ −± ∈±ʺ Ρφ⊃±Ι −±∈ ± ∕³⊃Âœ ³Ρ♠±œ φς ∈±ʺ ♠Â⊃¸φ⊃Ρ±ςœÂ↓
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Livery DoLe Mitsubishi
Recognition schemes and ‘positive strokes’ keep employees happy, says Exeter dealership
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egular awards to employees who receive positive feedback or who are seen providing excellent service are a feature of this dealership in Exeter. It also recognises an ‘employee of the month’, with a small reward and their photo added to its ‘excellence wall’, and its ‘employee of the year’ scheme recognises a worker who makes a substantial contribution to the company, and rewards them with a trip away, with all travel and accommodation costs covered by the business. Staff satisfaction is surveyed annually, and employees are briefed on overall business performance by the business leaders in quarterly meetings. Chairman Nigel Clegg and managing director Hayden Williams believe in giving “positive strokes, support and recognition” to all managers daily, and chat to all employees in the business. They actively encourage staff to take regular breaks, to take a short walk away from the business during the working day, and bonus plans are designed to avoid any penalisation from taking holidays. Livery Dole said it has “a flexible approach to staff pay, helping when our staff find themselves short”. The business funds regular staff social events, such as a summer barbecue, bowling nights and the Christmas party. “A key part of happy employees is getting the work/life balance correct, an area we work very hard to support,” said Clegg.
Livery Dole Mitsubishi managing director Hayden Williams (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
LuscoMbe Motors
Empowered employees enjoy mentoring schemes, reward nights and community work
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ounder and managing director Robin Luscombe usually leads this Leeds-based Mitsubishi and Suzuki retailer from the front, with a strong team behind him. A back injury has forced him to step back this year, but his dealership has forged on, thanks to employees who are always empowered to make decisions and who remain well informed about the business’s progress and any problems as they arise. Performance reviews are done ‘as needed’ rather than relying on a set annual review, and the business invests in employees’ career development, with mentoring, IMI training for sales executives, participation in manufacturers’ apprentice schemes and the progression to master technician level within its Suzuki and Mitsubishi franchises. Management and staff are able to celebrate its successes, attending events held by their manufacturer partners for great performance. Last year, the company brought all staff and their partners to an evening event to celebrate a record-breaking year of trading. All staff receive financial rewards linked to the business’s performance. Standard benefits for staff include childcare vouchers, private medical insurance, loans for bicycles, retail discounts, and matched pension contributions. Optional benefits include a car allowance. Employees’ birthdays are celebrated with cake for everyone, and social events are arranged on an ad hoc basis. Staff are encouraged to help their local communities – the dealership was heralded as ‘dementia-friendly’ following its support of one local charity, and during March’s heavy snow, it loaned a 4x4 vehicle to a local doctors’ surgery to use for home visits.
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Luscombe Motors finance director David Taylor (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
DECEMBER 2018 37
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Bonuses, awards for those going ‘above and beyond’ and anniversary gifts all boost loyalty
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remier Ford believes in sharing the spoils of success, and 95% of staff can earn monthly bonuses based on customer satisfaction scores and/or department profitability. Supervisors and above are subject to a 360-degree performance review, and all staff have annual appraisals, reviewing and arranging their training needs, and taking action on them. Feedback from the workforce is encouraged – an annual survey of all staff informs management about morale and satisfaction, and workers are encouraged to share their ideas for improving the business, which trades at Newport on the Isle of Wight. Managing director David Rye meets all staff twice a year to update them on progress in the business. Premier Ford wants employees to feel content, and recognised for their efforts. The company pays for a Christmas dinner and dance for employees and their partners. During the event, Rye highlights individuals who “have gone above and beyond the call of duty” to benefit customers, other staff, or the company as a whole. He also presents vouchers for high street stores to staff marking decades with the business, rising to reflect their 10th, 20th, 30th, 40th or 50th anniversary with the business. Employees can take up to seven days of their holiday allowance as ‘duvet days’, with no prior notice. Staff perks include, as standard, health screening, retail discounts, special offers on new and used cars and service, plus death in service benefit. Optional benefits include private medical and dental insurance, car allowance and discounted gym membership.
Premier Ford managing director David Rye (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
roaDsiDe (GaraGes)
How better to make staff feel special than a birthday cake from your on-site chef?
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his family-owned Kia dealership already has strong engagement with its workforce, but it is determined to go further. Its latest initiative involved getting its on-site cafe, which has a trained chef, to bake a birthday cake for employees’ celebrations. The same cafe serves subsidised freshly cooked food for staff, including daily specials and desserts on Fridays. Other enticements that employees rate highly include subsidised gym membership, an employee car scheme, loans for bicycles and options for medical insurance and health screening. Nights out, showroom events and fundraising activities for local causes help to foster the team and community spirit. Staff are being given Roadside-branded footballs to hand over to the local primary schools their children attend, to help out when school budgets are being stretched. Director David Boyd holds scheduled meetings with staff at least once a month at the dealership in Coleraine, Northern Ireland. He believes in recognising achievements and long service and outstanding efforts mean gifts or a meal. Roadside’s yard manager received a three-day trip to the Isle of Man TT race this year as a reward for exceptional work. Boyd supports staff development, encouraging mentoring and formal training courses as requested, such as a leadership development programme for sales manager Ian Lamont. He also respects employees’ need for family time, and keeps the dealership closed on Sundays. “We like to make our staff feel loved as individuals and part of the Roadside family,” said Boyd.
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Roadside (Garages) director David Boyd (second from right) receives the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
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Tracks of ExETEr Whether at an on-site barbecue or lunch with the boss, staff are encouraged to have fun
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he experience and service this Suzuki dealership offers customers is reflective of the great atmosphere and happy work environment within the dealership, said founder and managing director Stephen Ody. Staff are driven to be customer-focused and are empowered to take important decisions, but Ody has an open-door policy and leads from the front. Departments cooperate effectively and help each other through challenges, but just as importantly have fun together. In summer months, staff can use the on-site barbecue to cook lunch, at other times there is a well equipped kitchen and television for breaks. Ody often buys staff lunch on Fridays, and he presents prizes each quarter to the top-performing sales executive and to the executive or service adviser with the best CSI score and reviews. Perks for all employees include birthdays as paid holiday, discounts on cars and servicing, use of company vehicles if required, use of the tax efficient Car Benefit Solutions scheme, and interest-free loans from Ody. Staff turnover is low, with five members of staff who have been with the business for more than 10 years each. However, the dealership does recruit enthusiastic but often inexperienced individuals to give them the opportunity to develop their careers through dealership and manufacturer training schemes.
Tracks of Exeter managing director Stephen Ody (second from right) and marketing manager Harry Ody (centre) receive the award from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
WhETsTonE audi
Stress-busting perks and a family ethos help this city site to punch above its weight
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etailing in the capital brings plenty of challenges, but the workforce at this dealership, part of Group 1 Automotive UK, clearly enjoys coming to work. “The team at Whetstone operates as a family, no member of the family is ever left behind,” the north London dealership’s entry stated. “Never has a centre worked under such constraints and achieved more than some places up to twice the size. This is all credit to the ethos of every member of the family and the way that they all pull together to be there for one another.” Managers believe in giving praise for work well done, and for the past two years the dealership has won Audi’s Q Power award, which it celebrated by holding team events for all employees so everyone knew they played a part in its success. Other stress-relieving activities include the centre cheeseburger challenge, decorating all the desks for Christmas and after-work parties that allow team members to get to know each other better outside the job. Individual employees’ success is recognised with vouchers and team treats. Employee benefits include death in service cover, childcare vouchers, loans for bicycles, retail discounts, gym memberships and a car allowance. The dealership encourages staff to keep fit and well, and provides an option to work flexibly or compressed hours.
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Andrew O’Kelly of Best Companies Group (second from right) collects the award on behalf of Whetstone Audi from sponsors Premia Solutions’ sales and marketing director Ian Simpson (second from left), and LTK Consultants’ managing director Andrew Landell and operations director Vanessa Kendrick
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The AM100 publication is the annual industry guide to the 100 largest dealer groups in the country, according to their company turnover. In addition, the AM100 provides a detailed analysis of the state of the industry and looks at the key issues facing dealers and their customers. The AM100 is an invaluable opportunity to meet friends and colleagues in the retail industry and be amongst the first to see the official unveiling of the new AM100 listing of UK automotive retail groups ahead of publication in AM. AM100 Dinner guest speaker confirmed as former Home Secretary, Alan Johnson
Former Home Secretary, the Rt Hon Alan Johnson, will be our guest speaker at this year’s AM100 dinner, which will be held on 20 June 2018 at the London Marriott Hotel, Grosvenor Square.
Orphaned at 12, Alan Johnson started his working life stacking shelves at Tesco. He then became a postman and union official before
rising through the New Labour ranks to hold one of the great offices of state as Home Secretary. But despite his meteoric success he does still have one regret – that his early ambition to become a pop star will (probably) never come to fruition. Mr Johnson is an adept and immensely engaging after dinner speaker and we are certain he will have us hanging on his every word.
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20th June 2018
London Marriott Hotel Grosvenor Square, London
Book your table now at
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