Dr. Anindita Rao Chatterjee Mehak Bhatia-034 Amanpreet-002 Jyoti-026 Jigyasa-096 Vishal Kakkar-018 Vishal Bhati-042 Suvendu-010 About the case: • Express auto, an automobile mega-dealership operating with more than 600 employees, received a discouraging set of survey results from their customers. • Customer satisfaction scores have fallen. • Various complaints by the customer: – It was hard to get prompt feedback from mechanics by phone. – Salesperson often did not return phone calls. – The finance people seemed “pushy”. – New cars were often not properly cleaned or had minor items that needed immediate repair or adjustment. – Cars often had to be returned to have repair work redone. Problems and recommendations Sales Force o Problem The obvious problem with sales force team is the minimum wage they are getting. Also the commission rates increases after every 20 cars sold per month which is too big of a target to get a good commission to compensate with their salary. These factors prove to be demotivating for the sales force team to work hence the customer’s complaints. o Recommendation Apart from a slight increment as a motivation they should also make changes to the criteria with which the commission rate increases. The criteria that is set is quite high they should reduce it to 10 cars per month rather than 20 so that the employees feel motivated to do the work more efficiently. Another thing that should be done for customer satisfaction is that the sales force employees should do follow ups with the employees and be available for any customer query. Finance Office o Problem Finance people seemed too pushy to the customers. The reason behind this can be that apart from the salary they are also getting the high bonus for every car financed with the company. o Recommendation The best way to keep them from being too pushy is to reduce this bonus amount or to limit this bonus amount. The company can set the criteria for $10000 bonus on every 3 cars financed with the company. And also to keep them in check a regular feedback must be taken from their managers for their sub-ordinated and customers as well. Detailing o Problem The employees are piecework paid on the number of cars so they the think faster they complete detailing one car the more they will be able to do. But in this this process the compromise with their quality of work which leads to various complaints from customers regarding the detailing and minor adjustments. o Recommendation The employees should be paid on hourly basis rather than the number of cars detailed. Another suggestion is that the employees are trained to detail more number of cars in lesser time without compromising with the quality of work. A little bonus should also be provided if any kind of mile stone is achieved. Mechanics o Problem The main problem that customer faced from mechanics department that they faced difficulty in getting feedback from the mechanics over the phone. This problem might be because of the miscommunication from the receptionists or may be because the mechanics are so focused in earning the bonus they do not respond to customers in detail about their query. o Recommendation Current compensation method for mechanic is good but for getting bonus a third criteria should also be added i.e., the quality of their should be up to a certain standard if it falls below it they should not get the bonus. A person should always be available at mechanics end who is able to give feedback to the customer. Reception/ Phone Personnel o Problem The salary they are getting is not a motivating factor for them at all which results in lack of interest. Their lacking interest has an impact on all other departments as the information from customers to the relating department is not passed efficiently leading to mismanagement of work. This ultimately effects customer satisfaction. o Recommendation Some additional benefits should be provided like health insurance, bonuses, childcare, etc. to keep them motivated for their work.
Permanent receptionists should be trained to enhance their skills (like
interpersonal skills) and be more effective in their job.
The customer feedback is necessary for this job as these employees are the front of the firm that customer initially comes across.