OPE Business September 2023 | Page 4

itor From the Editor From the Editor From the Editor From the Editor From the Ed

Why ?

I like to know why . Not in a look-backward kinda way , but because “ why ” is a better predictive tool than just knowing the “ what , how , when or where ” of a situation . It ’ s more difficult to get a specific “ why ” resolution to a problem . But it ’ s worth it .
You may have heard this before , but it ’ s worth reviewing : You need to ask why five times to uncover the root cause . Some people say you need to ask why seven times , and you might , but let ’ s try this , and we ’ ll use recent industry data as a test case .
For Midwest-area OPE dealers , service sales for July 2023 were down 61 percent compared to July 22 .
# 1 , Why were service sales down ? Because fewer people brought equipment in for service .
# 2 , Why were there fewer service customers ? Because users had fewer mechanical problems .
# 3 , Why fewer problems ? Because they used their equipment for less time , or in less stressful conditions .
GLENN HANSEN
# 4 , Why was there less product use ? Because grass didn ’ t grow as much in July 2023 as last summer .
# 5 , Why isn ’ t the grass growing ? Because the Midwest is in a much more serious drought than in July 2022 .
We got to the root cause by asking why five times . Sometimes you need to ask a couple more times . And sometimes fewer . You ’ ll know when you get there . Asking why again here would have taken us down a different path – jet streams and climate change maybe , not going there right now .
The 5 Whys exercise works whenever you need to find a root cause – for anything . It ’ s used widely in the safety industry , when manufacturers or other industrial companies are studying losses , including injuries . It works for retailers and salespeople too . The more localized and specific , the better . Doing this on a large regional scale like I did is interesting for a manufacturer or distributor , but when you apply it to your business marketplace , you ’ ll get a more narrow and useful answer than just “ drought .”
And it ’ s not just for negative topics like “ Why did Joe cut his finger ?” or “ Why are sales down ?” If you ’ re selling more of something , ask why and you can find a cause that helps you repeat the good work .
To do this well , you need to look at your data , as much as you can gather . You have to uncover facts when you ask why . Make no assumptions . If you guess your way through this exercise or accept the “ it ’ s just always that way ” answer , you ’ ll be stuck in the rut . The best thing about asking why so many times is that the answers will often surprise you .
You can never stop learning ; even an old guy like me knows that . With that in mind , I want to suggest that you register for our Dealer Forum in Dallas this November . This business conference is focused on learning and information sharing in small-group settings . You ’ ll meet with experts in technology , marketing , sales , succession planning , and more . Check out opebusinessdealerforum . com . The event is at a great location in Dallas in November . Good learning , networking , food and fun . I hope to see you there . OPEB
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