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Managers or MINOS ?
BY STEVE JONES CONTRIBUTING WRITER
Manager - mánnij-er ( noun ): Somebody who is responsible for directing and controlling the work and staff of a business , or of a department within it .
MINO - myknow ( acronym ): STEVE JONES Manager-inname-only . Someone who has the title , but does not have the empowerment , responsibility or accountability of a true manager .
Do you have managers or MINOs working in your dealership ?
One of the questions I ask the students attending our parts management and service management workshops is : “ Do you have a budget for your department ?” To my surprise , almost none of the managers attending these workshops indicate that they have a budget for their department . In addition , most of the managers admitted that although they had a certain amount of input , they did not have the authority to hire or fire the staff for their department .
Most of the managers who attend our training sessions come from fairly high-level dealership operations . Many of these dealers are members of 20−groups . I would expect them to be utilizing more advanced business management techniques than the majority of powersports dealers . However , that is apparently not the case .
Most business operations outside of our industry would consider budgeting and personnel management to be key functions of their managers . I found myself wondering how our powersports dealers could hold their managers accountable for the performance and profitability of their departments without these responsibilities .
If the department does not have a budget , the manager cannot make decisions on marketing , purchasing supplies , displays or equipment . The manager has no clue if there is the capacity to hire additional staff or change the compensation plan . Instead , they have to go to the owner for all these decisions . What is the point of having a manager if they don ’ t have the ability to make basic management decisions ?
If the department does not have a budget , the manager cannot make decisions on marketing , purchasing supplies , displays or equipment .
Here is a classic example of the frustration encountered by a non-empowered manager . I have a close friend who is a sales manager . She is responsible for the performance of her staff of eight salespeople . She is constantly being driven by the owner to improve the sales performance of her team .
She knows that several members of the team are chronic underperformers who should have been encouraged to change careers years ago . However , she does not have the authority to fire them . In addition , her boss is one of those people who struggle with firing anyone himself .
Although she has repeatedly documented their performance failures , he will not take the action necessary to change the situation . Of course , the staff is well aware that the boss “ never fires anybody .” Therefore , there is no fear of losing one ’ s job due to failure to perform . The sales manager is being held accountable for something she cannot control .
Something that often contributes to this situation is the entrepreneurial nature of the typical dealership structure . Powersports dealerships are generally started by an individual enthusiast , who is forced to run every department in the small dealership during its early years . Later , they take on the role of general manager as the dealership grows . However , they are reluctant to hire strong managers since they still feel they must control every department . This structure can stifle the growth of the business , not to mention leading to burn-out on the part of the owner / GM .
However , they are reluctant to hire strong managers since they still feel they must control every department . This structure can stifle the growth of the business , not to mention leading to burn-out on the part of the owner .
One of the most difficult transitions for entrepreneurs is moving from a manager mentality to an ownership position . This requires that they back off of day-to-day department management and delegate authority to strong managers . These managers must be empowered to run their department as a business entity and be held strictly accountable for the success and growth of the department . At the same time , the managers must recognize the overall needs of the business and direct their departments appropriately .
Whether or not this is the reason if your managers are not empowered to fully act in a management capacity , I would encourage you to consider implementing some changes . Of course , you must first have personnel who have the skill-set necessary to be true managers . If they are the right people for the job , work with them to develop a department budget . Give them more flexibility in controlling their personnel . Hold them accountable for achieving your specific goals for their department . Learn how to work ON your business , not IN it . In the end , your dealership will operate more efficiently and profitably , and you can take the time to enjoy life more . That ’ s what it ’ s all about , isn ’ t it ?
If you have comments , questions , or want information about our management workshops , dealer on-site services or 20−groups , please feel free to email Steve at stevejonesconsults @ gmail . com .