Commercial Vehicle Dealers Deal with the Three Principles of Bad Years


Guests:

Xu Daqian: Chairman of Jiaozuo City Zhongyun Automobile Trading Co., Ltd., which is a 4S shop of Shaanxi Automobile Heavy Truck Co., Ltd.

Liu Niansong: General Manager of Lingma Automobile Sales Co., Ltd., Foshan City, Guangdong Province, China This store is Hualing Heavy Truck 4S shop

Sun Zhonggang: General Manager of Shandong Xianglong Automobile Sales Co., Ltd. This is Shaanxi Auto's 4S shop in Su North area of ​​Lunan.

Lin Kai (a pseudonym): A brand heavy truck secondary distributor in Shandong

Yan Yan (a pseudonym): Business Manager of a Brand 4V Store in Beijing

Wang Bo: General Manager of Shandong Xiaokang Weiye Automobile Marketing Service Co., Ltd.

Moderator: In the second half of the year, the commercial vehicle sales market was bleak, and many dealers faced difficulties in survival. They even heard rumors such as "30% of car dealers will close down or be merged in 2008", "dealers or current closures". In this context, the retention of sales personnel has become the focus of industry attention. So does the current phenomenon of layoffs or brain drain appear? How does a commercial vehicle dealer deal with the current situation?

Xu Daqian: Our staff is very stable. For distributors, the flow of sales personnel is a normal thing. When the market conditions are good, the phenomenon of sales personnel flow is even more obvious. Now our affiliated seven or eight secondary sales outlets are closed. I also heard that some small dealers have closed down, and some people have been laid off.

Liu Niansong: At present, there is no obvious phenomenon of brain drain. Our company adopts a mentoring system to manage the new employees. There are many factors in maintaining the stability of the workforce. Although there has been a large decline in employee income since July, no one left. Employees also value development opportunities, as well as long-established friendships.

Lin Kai: At present there is no flow of people. Our sales team is already very capable and there are only 4 full-time sales staff.

Yan Yan: The passenger car market is also very light. Our second-tier outlets are shut down. According to my understanding, there are still many small dealers that are bankrupt. This will certainly bring about the flow of people, but few people leave the company automatically. The labor force in China is already abundant and it is difficult to find a job now. Besides, the situations faced by dealers are almost the same, and now it is not an ideal time to change jobs.

Wang Bo: Micro-vehicle prices are low, and the financial turmoil has no impact on us for the time being. Our two-level cooperative sales outlets and direct sales branches are operating normally and there is no flow of people. Although we have some concerns about the market next year, we have a lot of rewards and rewards for our employees. At the same time, we also organized a series of cultural activities to enhance employee cohesion.

Moderator: The industry environment is not good. Under the circumstances that the sales volume is reduced, enterprises must consider saving expenses. Do you have plans to lay off employees?

Liu Niansong: We have done accounting, and this year's best performance may also be capital preservation, but we never thought of laying off employees. The recruitment of our company personnel is more stringent. Every employee recruited must pass five levels and six priorities. It must not only have outstanding ability but also have honest and reliable character. In the first two or three years after the newcomers entered the service, we have been insisting on the examination of them. Those who failed were eliminated. The staff left behind are all the backbones that we have cultivated with great painstaking efforts and cannot easily be cut off. If you really need to lay off your employees and you can only cut off apprenticeships, their wages would not have been high. Even if 10 people were cut off, they would not be able to save much cost, so we did not plan to lay off staff.

Xu Daqian: Our company's predecessor was a transportation company. It has a history of 56 years and has a strong and strong anti-risk capability. We have always made joint development of enterprises and employees a goal, and we have not considered layoffs for the time being.

Yan Yan: The share of direct sales of buses is even greater. Sales are not our main business. Our main business is auto insurance. Therefore, the company has adopted a “retreat advancement” strategy for the sales department. It cuts off some people to survive the “winter season,” and there are more non-professional sales staff in the company’s reserves. If the market improves, it can be put in place immediately to ensure normality. The sales work is not interrupted. At present, full-time sales personnel have been dismissed one after another, and five or six people have already gone, accounting for about half of the full-time sales staff. The remaining full-time sales staff can only take the basic salary, but I heard that they will continue to lay off staff.

Moderator: Some dealers said that it is also a good time to “dig people”. So what measures do you have to keep your own talents?

Liu Niansong: We are mainly engaged in ideological work for the employees in the manner of opening the General Assembly. Now that the industry is sluggish, they can understand it.

Xu Daqian: Compared with the first half of the year, the income of employees has indeed dropped a lot and some people may have some impetuosity. We use this period to provide employees with various kinds of training, such as training in professional quality and corporate culture, so that they can feel at ease. In my opinion, the main reason for the stability of our staff here is that we have always paid more attention to the growth of our employees. When the market is good, we try to create convenience and growth space for them and cultivate their feelings for the company. Now that the market is not good, they can calm down and overcome difficulties. At the same time, taking into account sales staff's income gap and practical difficulties, although companies are also nervous, we still increase the sales staff's basic salary by 20% to 30%.

Sun Zhonggang: The lighter the market is, the more it cannot shrink its panic, it must take the initiative. Now that our sales staff are running outside, it does not matter if the customer does not buy a car. Our main goal is to let our customers know our brand. Correspondingly, we have adjusted the wage system to include the quantity and quality of the collected effective customer information in the salary assessment standards.

Moderator: In the cold period of the market, the cost of "digging people" is relatively low. Have you ever thought of taking this opportunity to "dig" some business leaders?

Liu Niansong: I have not heard of the occurrence of "digging people". In our local area, heavy truck dealers generally do not accept people who come over, unless a dealer fails. Moreover, there are few excellent heavy truck sales personnel, and their income from the former owners is not low, and they generally do not leave easily. Therefore, dealers seldom consider "digging people" and they are all trained by themselves.

Lin Kai: We will not take the initiative to “dig people”, because we have a “preoccupation” of people have a preventive mentality. Sales staff with two or three years of service are generally more slick, and unless they have very generous treatment or shares to them, it is difficult to really work for us. For these medium-sized distributors, the cost of "digging people" is too high, so we are all training ourselves. At present, we only have 4 full-time sales personnel, and recently we have conducted a recruitment exercise. Finally, we leave a salesperson to try it out. The basic salary is 600 yuan, and the burden is not heavy.

Wang Bo: Our focus for the next year will be on improving the quality of the network. We will definitely eliminate some people and recruit new ones. At present, we are already conducting a series of trainings to improve the employees' professional quality and at the same time brewing the wage system reform. Next year we will post the salary system for all sales positions. Everyone's income is transparent, so as to motivate employees.

The host concluded: Many people told me that "this year's 'winter' is the 'coldest'". On the one hand, some dealers themselves have been difficult to maintain and objectively require layoffs. On the other hand, for the long-term consideration, dealers are not willing to lose talents and backbones that are not easily cultivated. Fortunately, the dealer bravely picked up the pressure from the market and was not willing to make layoffs easily and gave the employees a home. This shows that there are far-sighted and willing dealers who have long-term development in the industry.

However, the "winter" has only just begun. The auto market will face even greater challenges next year, and the burden on dealers will be even heavier. While stabilizing employee sentiments, distributors should consider how to achieve diversified operations, divert sales personnel to other positions, and implement rotation and change of positions. In this way, not only can the pressure on business costs be reduced, but also it will be of great benefit to stabilize employee emotions and strengthen the training of employees.

At the same time, sales personnel should not only pay attention to immediate interests and blindly request, but should think more about what they can do for the company and how to tide over difficulties with the company. In this way, oneself will have stronger competitiveness, when the opportunity comes, the boss will only think of you, can become inseparable from the company's "sweetness."

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