Modern Tire Dealer

NOV 2018

Magazine for the professional tire industry

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M T D N o v e m b e r 2 0 1 8 76 B u s i n e s s I n s i g h t O en, as is the case, a tire and automotive shop will employ a store manager. That is what we call the job, a store manager. But is your store manager really a store manager? Or is he or she a sales manager? Let's look at the di•erences. A store manager's primary duty is to protect the assets (people, property and inventory) of the company. Store managers should have operational control over the day-to-day activities of the store. This includes but is not limited to hiring and firing of employees who report to the store manager. €ey are either directly managing work‚ow (ticket assignments to technicians, estimating tickets, procuring parts/tires) or overseeing another employee who manages this job function. Store managers are responsible for setting and adjusting inventory levels of tires and possibly automotive parts, sched- uling employees' work weeks, managing or overseeing customer appointments, customer satisfaction and CRM systems. A store manager is also expected to develop, deploy and adjust sales, gross proˆt and payroll goals and benchmarks on a daily, monthly, quarterly and yearly basis. €ey are expected to engage the local community as the face of an inde- pendent small business and develop meaning- ful relationships with other local businesses. In our industry, a store manager is also expected to not only be the best in sales, but be able to express sales leadership which means coaching and mentoring other sales and service advisors in educating the customer. €ey are also expected to manage ongoing education for technicians. Wow, that's a mouthful. A sales manager is someone in charge of managing the sales sta•. €ey are respon- sible for overseeing that sales and gross margin targets and goals are met, educating and training the sales sta•, and managing the amount of payroll distributed to the sales sta•. €ey oen are the primary key holders responsible for either opening and/or closing the store, as well. €ey will occasionally be responsible for work‚ow, usually as a ˆll-in role. €at's a big di•erence in responsibilities. Which position should a tire and automotive store owner choose? Well, it depends on the owner's company size and ability to trust and delegate. All too oen, small business owners hire a store manager, but do not fully hand over the proper power, authority and responsibilities to that person in order for them to successfully do their job. You can't make a store manager responsible for the ˆnancial success of the store if they aren't seeing the P&L or equivalent reports on a regular basis. If the store manager isn't seeing a full or modiˆed P&L, they need to see at least sales, gross proˆt and payroll ˆgures. If their bonus is based on net proˆt, then the owner is obligated to show and entire P&L. Additionally, they can't be held accountable to manage all of the sta• if they don't have the authority to hire and ˆre (which is actually a federal wage and hour requirement). Of course, ˆring an employee, which carries many legal hurdles and pitfalls, should always be "run by" the owner — but the owner should more oen than not approve the decision, not override it constantly. €e reasons owners of small businesses oen do not fully empower a store manager are oen over the desire to have more hands-on control, fear of the store manager making mistakes, and a concern over how much of the ˆnancial Sales manager or store manager? DIFFERENT JOBS, DIFFERENT RESPONSIBILITIES Dennis McCarron By GIANT INVENTORY! Text Pics to 951-RimText (951-746-8398) PHOTO: FATIHHOCA

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