women in automotive 2017 - donna wagner
TRANSCRIPT
Internships to Improve Your Bottom Line?
You Can Do This
Northwood University Can Show You How
"What is concerning is that we continue to have an industry that suffers from very high turnover and an inability to retain workers," NADA Chief Economist Steven Szakalytold Automotive News. "When you look at the best-in-class dealerships -- those that are highest in terms of revenue and profitability -- they also happen to have the highest employee retention rate."
"What is concerning is that we continue to have an industry that suffers from very high turnover and an inability to retain workers," NADA Chief Economist Steven Szakalytold Automotive News. "When you look at the best-in-class dealerships -- those that are highest in terms of revenue and profitability -- they also happen to have the highest employee retention rate."
Dealership turnover squeezing profits
Szakaly: Wide
profitability
gap
Baby Boomers1946 - 1964
75 Million
Millennials1981 - 2000
81 Million
All other industries:
15.9%*
*Source: http://www.compensationforce.com/2015/03/2014-turnover-rates-by-industry.html
Dealership Turnover
Cost to hire and train $10/hour retail employee*
Center for American Progress study http://www.retaildoc.com/blog/8-reasons-why-your-retail-employee-turnover-is-so-high
$3,328
Solution!
Student Employment Motivation Study
Employment Motivation
Agree70%
Agree
81%
Agree54%
Agree
89%
Agree
Employment Motivation
93%
Agree
95%
Agree95%
Agree
97%
Agree
Most important factors in selecting employment
Greatest influence on career choice
Students choose careers based on . . .
Perception that life and work must be in balance
Understanding of how to advance and what their career path looks like
Today’s students
• Serious about their compensation
• Prefer salary-based options even when commission-based positions have higher total pay levels
Step 1: Look from Outside In
What is your differentiator?
- Work environment
- Unusual or special benefits
- Social functions
Step 1: Look from Outside In
What needs improving?
- Departmental infighting
- Work space
- Work / Life balance
Step 2: Evaluate Employment Needs
Where are talent gaps?
Short-term
Long-term
What are the attributes of your next best employee?
Step 2: Evaluate Your Employment Needs
Company culture
Skill sets
Necessary skills
Skills that can be taught
Step 2: Evaluate Your Employment Needs
Get buy-in
- Departmental managers
- Assure employees of their positions
- Have managers assist with identifying employment needs
Step 3: Structure the Internship
Define work for intern:
• Train for a specific job
• Department rotation
• Special projects
Step 3: Structure the Internship
Step 3: Structure the Internship
Write the job / internship description
• What differentiates your dealership?
• What will the intern learn?
• Include social aspects
Step 4: Recruit
From the right places
• Technical schools
• Dealer operations
• Aftermarket –
• Accessory sales
• Online parts sales
• Parts delivery to local shops
Step 4: Recruit
Distance not always a problem
• Relocate for right job
• Assist with housing
• Understand regional demographics
Step 4: Recruit
Career fairs
Get to know Dept Chair AND career services
Speak in the classroom
Interview on campus
Be quick with offers
Have a good internet presence
Step 5: Internship & After
Show career opportunities
Intern feedback
Communicate after internship
Offer employment as student enters senior year
Results
Maguire Chevrolet & PJ
Successful Internships
Plan
Structure
Recruit
Hire
Stay in touch
Internships Lead To . . .
Better
Hires
Long-term
employees
Increased
Profits
Thank you!
Questions?
Donna Wagner
Chair, Professor Aftermarket Management
Northwood University