Dealers Vote Ideal as 2010 Power Equipment Trade Dealers Choice

Ideal Computer Systems, the leader in Business Management Software for Outdoor Power Equipment dealers, received the Power Equipment Trade Dealers Choice Award – Business Services Product for its newest version, Ideal 7.1, at the 2010 GIE+Expo in Louisville, KY. Votes were cast by hundreds of outdoor power equipment dealers both online and at the expo.

“We are extremely pleased and excited to have received this award,” said Ideal President Dennis Haefner.  “It is quite an honor. Our employees should be proud of what they are doing to help Ideal’s customers.  It’s because of the quality effort and service our employees put forth in helping dealers that makes Ideal the dealers’ choice. I want to thank everyone who took the time to vote for us. We look forward in continuing to provide this top level of service to our dealers.”

Ideal 7.1, the newest and most powerful version of business management software offers the latest in cutting-edge technology and helps Outdoor Power Equipment dealers gain full control of their inventory, service department, customer service, pricing, purchasing, bookkeeping, and overall business management.

With 25 years of experience in offering the best in training, support, and consulting, Ideal has helped thousands of OPE dealers achieve maximum results. Ideal’s software development is influenced by dealers in the industry and is an invaluable tool that improves efficiency and boosts profits in all areas of an OPE business.

For more information on Ideal 7.1, call 800-737-1620.

The Importance of Setting Time Limits in Your Dealership

Do you have routines in your dealership?

Perhaps your routine is that first thing in the morning, you fire up your dealership office software and manage your accounts. Or you start the day off with a team meeting.

These routines are good, but they’re not the kind of routines we’re talking about. We’re talking about the kind of routines that effectively manage your staff’s time.  These routines can dramatically change how your dealership operates for the better.

For instance, do you routinely give your shop technicians time limits on projects? You’d be surprised at how many dealers don’t. But if your techs know they have one hour to complete a job, they’re likely to get that job done in an hour, and they’re probably going to do it on a consistent basis once that becomes the new routine. This means that you’re improving the efficiencies in your shop and earning more with very little effort.

Another important change you should make is the way you assign tasks to your team. For instance, instead of telling your parts department you want something done by the end of the day, tell them in needs to be completed in the next hour, or by a set time. This forces them to be more efficient and get the task completed quicker.

The same goes with your sales staff. Most owners know that during slow times, staff can drag their feet and take two hours to sweep the floor or straighten some shelves. But giving them a half hour time limit to get it done will ensure you’re being efficient with your staff and getting more done during the day.

Keep in mind, however, that time limits might not be a good idea during the busy season, when customers are coming in and out. But during slow months this is an effective method for getting your team moving.

You should also use this technique yourself. For instance, you know you should be using your power sport office software on a daily basis to pull up reports like fastest moving parts, inventory turns, and gross profits. But this is a task that dealers often put off. So set a specific time, like just after lunch, and give yourself exactly half an hour, until 1:30, to get it done.

Sometimes it’s easy to lose track of time when you’re doing something. You can easily get lost checking and responding to email, or going over your reports. Try using a kitchen timer to keep yourself on schedule. Set it for an hour at a time to ensure you stay on track with what you’re doing.

Staying on top of your business is a vital routine. Putting yourself, and your staff, under deadline to get tasks done can be an effective way to get more done during the day.

Meet Members of Ideal Computer Systems at the GIE+Expo

Outdoor Power Equipment dealers and manufacturer reps, who are attending next week’s GIE+Expo in Louisville, KY, make it a point to visit members of the Ideal Computer Systems team. Ideal personnel will be located in booth #290 and also in the High Performance Parts and Accessories Department. We’d be glad to meet with you face-to-face and discuss ways Ideal’s business management system benefits the industry.

Those in attendance include:

Greg Carradus – National Sales Manager
Julia Abu-Nameh – Account Representative
Rick Merritt – Account Representative
Andrew Neverman – Account Representative
Terry Walztoni – Systems Analyst
Dave Baumgarten – Lead Trainer
Troy Simon – Trainer
Erin Zein – Marketing Coordinator
Pam Kraus – Software Documentation Specialist
Neil Santos – Strategic Partner Representative
Josh Hall – Strategic Partner Representative

We look forward to seeing you!

5 Time Management Categories to Manage Your Time Effectively

As a powersport equipment dealer, you probably have more to do than you have hours in a day to get it all done, especially during the busy season. When you don’t strategically manage your time, however, your stress levels go up and your productivity goes down. Many people think that simply using a planner or calendar is all they need. But it’s important to realize that tracking your time isn’t the same as managing your time.

Time management is about having a system and making changes to the way you’re spending your time so you can work more productively.

One of the most effective things you can do is to block your time out into categories so you can see where your day actually goes. There are five categories that, as a dealer, you can use.

1. Putting Out Fires
How much time do you spend every day putting out fires? Probably a lot. Putting out fires is probably one of the most draining things you do every day, so take a few minutes to figure out what percentage of your day goes to this activity.

2. Dealing with Interruptions
Vendors calling and dropping by, your service manager popping in for an impromptu meeting…chances are your days are filled with interruptions. How much time do you spend daily dealing with these interruptions?

3. Doing Planned Tasks
So, now we’re finally getting to some productive work! Planned tasks are things you’ve scheduled yourself to do during the day. This could be using your power sport customer tracking software to create next season’s marketing plan, meeting with your whole goods manager, etc. How often, and how much time, do you actually get to work on planned tasks?

4. Working Uninterrupted
How often do you get to spend working completely uninterrupted from distractions? Probably not that much, right? Chances are you finally get uninterrupted work done when everyone leaves for the day. Like everything else, figure up what portion of your day goes to this task.

5. Uninterrupted Downtime
Do you ever get time during the day to just wind down and re-energize yourself? Most dealers don’t make time for this, but uninterrupted downtime, like during lunch or a mid-morning or mid-afternoon break, is really important for maximizing your productivity.

Now that you have a better sense of where your time is going, you need to come up with strategies that will shift those percentages to where you want them to be.

For instance, you might be spending 60% of your day putting out fires. Well, analyze what kinds of fires you’re putting out. What organizational or process changes do you need to make to fix these problems so your time can be better spent elsewhere?

Another good example is your downtime. Chances are, you’re not getting enough, if any, downtime during your day. Well, you need to make yourself take this time. One of the best things you can do is to physically leave the building every day for lunch or break. If you’re not there, your managers are forced to handle issues on their own.

These are just a few examples of how you can improve your time management simply by having an accurate picture of where your time is going now. The more you take control of your time, and how you’re spending it, the more productive and happier you’re going to be in your dealership!

Ideal to Celebrate 25 Years of Service in Providing Business Management Software Solutions to Outdoor Power Equipment Dealers

Ideal Computer Systems, the leading provider of Business Management Software for Outdoor Power Equipment dealers, will celebrate 25 years of service on October 30, 2010. During this 25-year span, Ideal has provided thousands of OPE dealers with a complete solution that uses the latest in cutting-edge technology and helps them gain full control of their inventory, service department, customer service, pricing, purchasing, bookkeeping, and overall business management.

“We are excited to be celebrating our 25th anniversary as a Business Management Software provider,” said company President, Dennis Haefner. “It has been an enjoyable experience helping so many dealers over the years. We plan on being there for our customers for another 25 years. I’d like to thank all of our customers for their support.”

Ideal began in 1985 when Haefner, an established computer programmer, and Jon Herman, a successful OPE dealer, determined there wasn’t a solid, industry-specific management solution for OPE dealerships. They teamed up and Ideal Computer Systems was established.

Over time, Ideal has seen numerous changes. It began as a DOS program and has evolved into a robust Windows program that is used in some of the most successful OPE dealerships. While continuing to meet the needs of the ever-changing technological environment, its core foundation remains the same – to improve the quality of business owners’ lives in the industries it serves by giving them more time and profits so they can do the things they enjoy.

Through continuous research in industry trends and listening to feedback from OPE dealers and consultants, Ideal continues to provide its customers with the best in service and support, and a completely-integrated system that is efficient and easy to use.

What a Dealer Wants Sales Reps to Know

Ideal recently spoke with Bob Rodriguez, owner of George’s Mower Service & Sales in Riverview, FL, to get a better understanding of how dealers interact with manufacturer sales reps and what they expect when a rep walks into their business.  Read on to learn what Bob’s advice is for anyone walking into his business…

Ideal: What is your position?

Bob: I am the owner of George’s Mower Sales and Service and involve myself in daily operations.  I do a lot of everything, but mostly pay bills and do the financials.

Ideal: How long have you been in business and when did you implement Business Management Software?

Bob: We’ve been in business for 35 years.  My father-in-law started the business and needed help, so I left my job as an auto mechanic to work for him and stayed.  I ended up buying the business in 1979 when he retired.  We started using business management software in 1989.

Ideal: As a dealer, how many different manufacturer sales reps do you work with?

Bob: I work with over 32 suppliers if you include all industries inside and outside. I work with 11 if you are talking about the OPE industry.

Ideal: How often do you meet with reps?

Bob: On average once a month and for good dealers that is plenty.  When I first got started, I mostly did repairs.  I would call reps twice a month at most.

Ideal: Do you need to prepare before a rep comes to see you?  Do you expect a call ahead of time?

Bob: No, if they walk in we give them the time of day.  We give them the courtesy of hearing what they have to say.  I don’t like to tell someone to get out of my store; most people do not do that.  I welcome all reps into our store. 

The only time I need to prepare is if they come in to do a booking or need to run some history.  With our Ideal system it is quick to do.  For example, when our Snapper rep came in last week, we ran history and did a minimum stock level using Ideal.

I appreciate it when reps call at least an hour ahead of time.  I don’t like to set appointments and I prefer to go by the seat of my pants, but I want to know ahead of time so they can make sure I am here.

Ideal: What makes a good rep?

Bob: Understanding the dealer side of the business.  There are reps that have been on our side of the business and they tend to make a much better rep than just another sales person.  That individual can identify with the dealer.  One rep of mine used to work for me.  I introduced him into the industry and he appreciated all the knowledge I shared with him.

I prefer reps that have power to make decisions and not ones that have to go through two or three people or managers to make a decision.  For example, I had a mower come in with hidden damage found after the crate was opened.  The rep should have called someone to come pick it up instantly. Instead they had to call someone and go through a long tedious process that took time away from me and my business.

Ideal: What do you like about reps?

Bob: I like reps that are knowledgeable, good listeners, and well dressed.  I have a first class store, so I do not want a scruffy rep in my store giving a presentation.

Ideal: What are some areas that sales reps could improve on to become better reps?

Bob: Don’t be pushy and try to sell something you don’t need.  There is no point in overbooking when you are paying finance charges.  I also don’t want a rep telling me to do this or to do that.  I will show reps my numbers and then ask them, “Would you do this if you were in my shoes?”   You have to do what is best for you and I have to do what is best for me.

Ideal: If you could give reps one piece of advice, what would it be?

Bob: I would say, be understanding.  Understand what the dealers are up against or our position in the industry and be knowledgeable to help us overcome our challenges.  For example, last year with <a manufacturer>, we were overstocked.  I started to accumulate $2,300 worth or finance charges.

As a rep, don’t give me lip service.  If you say you are going to do something, do it, and do it in a timely fashion.  If you promise to do something you better do it.  I don’t like to waste time calling back or chasing around to figure out what is taking so long.

The High Cost of High Inventory

Your parts department might be full to overflowing with parts. And to some dealers, this is a good thing. After all, you have a great selection for customers, which means you’re their “go to” store when they need a part.

But, how much is all this inventory really costing you? And are you really making your customers happy by stocking everything under the sun?

Let’s take a look at the high cost of high inventory.

Cost #1: Your Reduced Cash Flow

You might have $200,000 in parts sitting in your dealership. But chances are you have at least $20,000-$30,000 in parts that you simply don’t need.

That’s a lot of your money that’s being tied up in parts you might never sell. If you’re having cash flow problems then the first thing you need to do is use your powersport office management software to check your parts department. Returning your slowest-moving parts will allow you to get that cash back and have it start earning you interest (instead of collecting dust in your parts department).

Cost #2: High Inventory is Harder to Track

You know all too well just how maddening taking inventory is. But, it has to be done.

If your parts department is jammed with parts, it’s going to take you an incredibly long time to count them all. How much are you paying your employees to do this? How much money would you save on labor if you reduced your inventory by just 5%?

It’s also important to think about your local government when it comes to your inventory. Many governments have hefty inventory taxes that they’re levying against businesses to enhance their own cash flow in this economy. The more inventory you have in stock, the more you’re going to pay in taxes.

For instance, one dealer in Georgia had to pay an additional $30,000 in inventory taxes that he’s never had to pay before. That’s an enormous amount of cash that he could have saved simply by managing his inventory more effectively.

Cost #3: Confusion

The larger your inventory, the more confusing things can get for your team because it’s just harder to keep track of it all. Parts get misplaced or lost, and boxes get moved. This is more money you’re losing, especially if you have customers walking out the door in frustration when service takes too long.

Smaller inventories are simply easier to manage and they take up less space. You could, in turn, use this extra space to increase the size of your whole goods department.

Last Word…

It’s all too easy to let inventory get out of control. But maintaining a large parts inventory costs your business in several ways. You’re not only tying up your cash flow, but you also run the risk of paying higher taxes and losing customers due to inefficiency.

Using quality powersports office management software can help you make intelligent decisions about your inventory and trim it down to start saving money and time immediately.

Are You Measuring These Key Drivers in Your Inventory?

Photo © by marabuchi

Despite some great advances in the powersport industry, there are still a large number of dealers who aren’t managing their inventory correctly. Why? Well, there are several reasons.

One could be because they don’t have the technology to do
it easily (which is why investing in powersport inventory management software is such a smart idea). Being able to manage inventory, and see real-time figures of what you have in stock, can add significant savings to your bottom line. Most dealers find that they pay for the powersport office software within the first year.

Another reason might be because these dealers don’t see the need. But effective inventory management is one of the most vital tasks you need to do regularly to keep your dealership healthy and your costs under control.

So what key measurements should you be looking at?

1. Inventory Turns
You should aim for 5-6 turns per year for your inventory. This may sound like a lot to some dealers, but 6 turns per year truly is the most efficient and profitable for powersport dealers. Anything more than 6 and you’re going to start losing that efficiency because you’re ordering more often. Again, however, without a business management system it’s hard to know where you’re at with this.

2. Parts Sales Reports
Do you know what your fastest moving parts are? Do you know what hasn’t moved at all?Many dealers are unaware of this important information. But this information can help you make important, strategic decisions for your dealership. For example, you want to make sure you don’t ever run out of your fastest moving parts.

You could also make sure that your fastest moving parts are closest to the counter to improve efficiency. Time is often your enemy in the parts department; when a customer comes in looking for a part, you should have closed a sale with them within 4 minutes of them walking through the door. The faster your team can find your most popular parts, the more sales you’re likely to make. At the least, your customers will leave happy because they got in and out quickly.

3. Whole Goods Sales Reports
Most powersports dealers see their peak in early summer. This means you need to be prepared with the right amount of inventory to handle your increased business. But you don’t want too much, because over-ordering means you’re tying up valuable space in cash in your inventory.Monitoring your whole goods sales reports from past seasons can help you make informed decisions about how much inventory you’ll really need for this year’s season.

Last Word…

It’s really easy for dealers to let their inventory get out of control. But investing in quality powersport office software and closely monitoring key reports will help ensure that you’re making informed decisions that will keep your dealership healthy and strong in the years to come.

Ideal Invited as Business Management Software Provider for High-Performance Service Department Pavilion at Upcoming GIE+Expo

Ideal Computer Systems, the leading provider of business management software for Outdoor Power Equipment dealers, has once again been invited by Bob Clements International to be the official software provider for their High-Performance Service Department pavilion at this year’s GIE+Expo. The expo takes place October 28-30, in Louisville, KY.

This year’s High-Performance Service Department will focus on inventory control, teaching dealers how to discover “hidden treasures” in their parts department. Ideal representatives will be on-hand to help educate dealers on ways industry-specific software can help them gain control of their inventory as well as all other areas of their business including service, customer management, sales & invoicing, accounting, purchasing, and reporting.

“I thought the High Performance Service Department was a big success last year and we look forward to tackling inventory control in the High Performance Pavilion this year,” said Dennis Haefner, president of Ideal Computer Systems. “It is an honor to be chosen to participate again as the Business Management Software company in the pavilion.”

Bob Clements International, regarded as one of the top consulting firms for OPE dealers, is once again heading the event. New to this year’s pavilion will be dealer panel discussions led by Clements and featuring pavilion sponsors. Joining Ideal as pavilion sponsors are ARI, Ariens, Briggs & Stratton, Cub Cadet, Heftee, Husqvarna, Hustler Turf Equipment, Kohler, Schriller Grounds Care, Stens, and Stihl.

“We are trying to provide an environment at the GIE+Expo that shows dealers what the possibilities are for their Parts Department,” said Bob Clements, president of Bob Clements International. “Having a good business management system along with the right organization and good processes will catapult their dealership to new heights in profitability.”

In addition to the High-Performance Service pavilion, dealers may also view Ideal’s software and speak with company representatives in booth #5004 at the GIE+Expo.

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About Ideal Computer Systems, Inc.:

Ideal Computer Systems is recognized as the leading provider of business management software for Outdoor Power Equipment dealers. With 25 years of proven experience, Ideal has helped thousands of OPE dealers manage their business more efficiently while boosting profits. To learn more about Ideal, visit www.idealcomputersystems.com

About Bob Clements International, Inc.:

Bob Clements International is a consulting firm that specializes in the development of high-performance dealerships. The organization works hands on with dealerships throughout North America, helping them attain the personal freedom and financial wealth all owners strive to achieve. You can learn more about Bob Clements International by visiting www.bobclements.com

How to Control and Reduce Inventory in Your Most Troublesome Categories

When it comes to inventory, you know only too well how important it is to keep it under control. Inventory is a huge part of any dealership and if it’s not managed well, you can tie up valuable resources and miss key opportunities.

In today’s economy, dealers have to get savvy when it comes to controlling and reducing their inventory. Here are a few ideas to help get you started:

Service Technicians’ Time

Most dealers don’t recognize that their technicians’ time is an inventoried item just like a set of tires or a racing jacket. Your service department should be one of the most, if not the most, profitable areas of your business. This is why it’s so important to use your power sport computer software to manage your techs’ time.

A quality powersport office software package can help you manage every minute of your tech’s day to ensure that they’re constantly working on billable projects and earning your dealership money.

Reducing Inventories in Parts and Whole Goods

One of the best ways you can reduce your inventory is through parts returns.

Your parts department can grow as if it has a life of its own. And if you don’t stay on top of your inventory here, you’ll eventually wind up with boxes full of obsolete parts. These parts are tying up your money, and your space.

Most manufacturers encourage dealers to return at least 10% of their stock every year. They plan on this kind of “take back”. On the average, however, manufacturers only see around a 2% return. This is because most dealers don’t take advantage of parts returns.

Make sure your parts manager stays on top of which parts aren’t selling, so they can be returned to the manufacturer to free up cash. This is another area where quality power sport office management software can really save you time and money.

You can also save significantly be reducing the number of lines you carry. You don’t need three after-market companies. If you’re going to handle after-market parts, you don’t have to buy from all three. Pick one and become a partner. This goes for whole goods as well.

You can help keep your inventory down by creating a stocking policy. For instance, when a customer comes in looking for a part some dealers will order one for that customer, and then another for themselves “for next time”. But this mindset is a quick way to inflate your inventory and waste cash you could be spending elsewhere.

Writing out a good stocking policy will help ensure that everyone on your team knows the rules about stocking, and how much should be ordered at a time. This will help save you cash and space in your parts department.

Last Word…

Dealers who know how to effectively manage their inventory will survive and thrive in any economy. By using quality powersport office management software and implementing these strategies you’ll be well on your way to reducing and controlling this vital area of your business.