By Joe Marconi
“Why are we discussing these issues when the people who need it the most are not here? We’re not reinventing the wheel. We get it. But the ones who don’t get it need to be here, too!”
Those were the words spoken by one of my service advisors during a recent meeting. We were discussing quality issues and ways to improve overall production, which, we determined, would improve sales and profit. I listened as Tommy (not his real name) continued for a few minutes. I could hear the frustration in his voice, so I let him speak until I felt he expressed all his feelings to the group.
I am a firm believer in holding regular meetings. And, while there are times when the group gives me feedback, rarely does anyone voice their opinion with such passion and intensity the way Tommy did that day. Drawing on experience, I thanked him for his openness and honesty. I also asked him if we could continue this discussion in the morning in private. He agreed.
The next morning, I paged Tommy and asked him to come to my office. I thanked him again for his openness and asked him to elaborate more on what he said the night before. Tommy hesitated at first, but slowly began to tell me his frustrations. It really boiled down to the level of commitment from a few techs. Tommy spoke in length about what he would like to change in the shop, and again repeated that we’re not reinventing the wheel. His words were clear and on point, “Joe, we all know what to do. We all know our goals. And we all know when we perform to the level we are supposed to. So, I just don’t understand why all of us can meet those expectations.”
Tommy’s insight into the work environment and the dynamics of people’s behavior was perhaps deeper than he even realized. When people within an organization feel that some of their coworkers are not pulling their weight, animosity begins to set in. Essentially, your top employees want to make sure that everyone is committed to the company’s success and doing their very best for the greater good of the team.
We also need to remember that people look at things from their own perspective. And their perspective becomes their reality. The key thing is to keep the lines of communication open, learn from each other and try to view different situations from the viewpoint of others.
After nearly 30 minutes of discussion, it was time to give Tommy my input on how I viewed the situation. I let him know that, while not everyone will be in total agreement with how he views these concerns, he has made a giant step forward at letting me know the issues we have in the shop. I then asked Tommy, “Out of our 16 employees, how many people in your opinion, without giving me any names, do not live up to the expectations of the company?” Tommy thought for a moment and replied, “Well, when I think about it, just a few. Two, maybe three.” Here was my opportunity to bring logic into a very emotional discussion. “So, what you are telling me is that the majority of your coworkers do live up to the company’s expectations and do a quality job?” Tommy replied, “Yes, I didn’t see it that way.” I let Tommy know that I would take his ideas and implement them into my strategy to improve the work environment. He appreciated the fact that I listened to his concerns.
Here’s the bottom line. When a person speaks up like Tommy did—listen to them. Don’t shut them down. They are expressing more than their frustrations over a few of their coworkers. They are giving you real-life, from the trenches information. And although it may be from their perspective, their viewpoint can give you valuable information that will help you and your company improve. Even a few people not pulling their weight can be enough to affect morale. And others may be feeling the same way.
What you don’t want are “yes” people who merely agree with you because you’re the boss. No matter how uncomfortable it may be, welcome feedback and criticism from your key people. We also need to listen more and speak less. And most of all, we need to understand that the solutions to our problems don’t always have to come from us. Sometimes, an employee’s outburst is just what we need to put things in the right perspective.
This story was originally published by Joe Marconi in Ratchet+Wrench on January 1st, 2020
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By Mark Johnson
He had been working with his accountant for 6 years. That’s over $134k in over-payments.
The reality is most CPAs only do tax preparation not tax planning, there is a HUGE difference!
I am offering free tax planning assessments to all group members.
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Deductions review & Strategy planning Legal Entity Optimization Retirement Option & Plan to Hit Extra 1M by Retirement Insurance Review & Assets Protection TCJA (Trump Tax) Review Message me direct or book your slot on my website.
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I currently employ a mechanic and friend who has been with me for about 20 years. He was formerly a transmission rebuilder, but we have switched to mostly reman units and have no need for a rebuilder. His pay has remained the same despite his value declining. I am currently paying him roughly $100,000 a year. The problem i'm having is that his skill set is not near that pay level anymore. He does light diagnostic and basic managerial work, but I am not confident enough for him to run the shop for more than an hour. With the current state of the industry our numbers have gone down a bit over the last two years. While still being profitable, I can't help but think about the extra income that would be available by terminating this employee, I just dont know how to do it. Any advice on how to do this? I like him as a person and have known him a very long time, but I feel his is paid about twice as much as he is worth. Any help wouldbe greatly appreciated.
By Joe Marconi
Not every shop pays flat rate; for many reasons. So, many techs are on hourly pay. There is nothing wrong with hourly pay, as long as you have an incentive program in place that promotes high production levels to avoid complacency. For hourly paid employees I strongly urge you to have a pay plan that rewards production levels on a sliding scale.
As a business coach, I have seen too many times shops with low production levels and high tech payroll due to overtime pay. Overtime pay must not be used to get the jobs done with no regard to labor production. Limit overtime and create a strategy that increases production and rewards techs with production bonuses. By the way, there are many ways to incentivize techs, it's not all about money.
Overtime without high levels of production will eat into profits and if not controlled, with kill your business.
If your shop is an hourly paid shop, what incentives do you have in place to maintain production levels?
By Joe Marconi
What’s wrong with my employees? Why don’t they do what I ask of them? It’s the same thing every day. I say one thing, they do another. It seems as if I am the only person who knows what to do around here.
Does any of this sound familiar? Have you said these words, or a variation of these words, from time to time? If so, you’re not alone. Getting people to follow policy or a new marketing strategy sometimes feels as if you are trying to move the earth off its axis.
People in high levels of authority are well-aware of the need to get things done. Each member of their team plays an integral part in the success or failure of the organization. In your shop, you are the authority: you are the shop owner. You know that the responsibility of attaining success directly rests on your shoulders. This is a weight you carry around with you each day.
Eventually, if your efforts don't attain the results you need to run a successful business, you begin to look around to find out what’s causing the problem. And the tendency is to assign blame. All too often, you find that your employees are not all pulling in the same direction. And you determine that this is the cause of your problems. The following may not sit well with you, but if most of your employees are not engaged and not performing up to your expectations, it’s probably not their fault. You need to take a long hard look in the mirror. The fault may lie with management, and that means you.
Assigning blame is destructive. It keeps our focus directed in the wrong areas. This is not to say we can never have a bad employee. But, if we focus on seeking blame, we are directing our attention from where our focus should be; and that’s accepting the responsibility to correct what’s happening and make the necessary changes.
In order to really get things done and achieve personal success and the personal success of your employees, it takes the cooperation of each team member. Getting people to work as a unified team involves commitment, not compliance. Compliance is demanding people to do something. And they will—but only up to a certain point and only for a certain period of time. What you need from your employees is not compliance; you need commitment.
Surveys have shown that the majority of employees in most businesses are not engaged at work and the primary reason is that most employees don’t know the overall goals and vision of the company. And they also don’t know what’s expected of them. Employees are largely left to react to their situations during the day; never really having a clear understanding of how their role contributes to their success and the success of the company.
A business team is no different than a sports team. Every member needs to know the objective and goals. Imagine the coach of a football team who does not let the quarterback—or the other players— know what the play is? He simply tells the players to get out on the field and perform. After all, the players are well-trained, highly capable and all professionals. Shouldn’t they know what to do to win? And when they fail to win, the coach ends up blaming the players. Is this a ridiculous analogy? It may be, but this is what happens every day in shops across the country.
Your best employees don’t want to fail. They don’t intentionally ignore what you want from them. It’s more likely that they really may not know what you expect from them. Employees need to know exactly what is expected of them and they need to be motivated and inspired to perform their best. However, the only way your employees can perform at their best is for each of them to know what the company goals are. In other words, what is our overall objective and how we, as a team, are going to achieve it.
Each employee also needs to know that when the business wins, they do, too. When employees realize that achieving the company goals is also aligned with achieving their personal goals, you have commitment. And commitment equates to success.
Communicate the goals of the company often. Communicate what success looks like and how we are going to attain it. Create a workplace where the goals of the individual are aligned with the goals of the company. If things get off track, just look in the mirror. If you want to blame someone, you might want to start with yourself.
This story was originally published by Joe Marconi in Ratchet+Wrench on December 3rd, 2019
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