Resources and best practices for machinery dealer development

Our blog has a mix of articles written by our founder, Walter McDonald, and by other industry experts, business owners, and equipment dealer team members. Learn about everything from marketing ideas to tips for successful branch operations to how to retain customers—and everything in between!

Building a Wildly Successful Machinery Rental Business

By Walter J. McDonald

The most successful machinery dealership rental operations are under the close control of a Rental Bus Driver. This Revenue Center Manager is responsible for the overall profitable operations of the department. To be successful, your rental business management process must include qualitative insights together with quantitative performance metrics that are reviewed weekly. Today’s rental market… Continue reading Building a Wildly Successful Machinery Rental Business

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Who’s visiting your website?

By Debbie Frakes

People visit your website, because they are interested in your products and services. But if you don’t know who they are and when they visit, you may never have the opportunity to welcome them as a customer. More than 90% to 95% of purchasers (customers and prospects) will investigate a dealer by visiting their website… Continue reading Who’s visiting your website?

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Eliminating Obsolete Inventory

By Walter J. McDonald

The two big CASH TRAPS in machinery dealerships are: Old un-sold used trade-in units Obsolete parts inventory. Dealers who launch serious Operations Improvement efforts for the first time often find they have as much as 35-40% of parts inventory value in dead/obsolete stock. This article discusses reasonable and practical approaches to eliminate parts inventory line… Continue reading Eliminating Obsolete Inventory

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Parts Inventory Control and Re-Order Optimization

By Walter J. McDonald

There are three types of Inventory. These definitions will help in your efforts to manage inventory and optimize profitability: A-B-C-D Inventory Control Still Works The old approach to classifying inventory by the way items are sold still works. However, we recommend 13 classes instead of 4 because this aids in determining stocking levels. With your… Continue reading Parts Inventory Control and Re-Order Optimization

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Value of Effective Parts Management

By Walter J. McDonald

The wise and skillful Parts Manager learns how to satisfy, simultaneously, the conflicting interests of his two primary constituents: dealer ownership and dealer customers. Customers demand high off-shelf fill rates which tend to increase inventory investment. Dealer Ownership demands high asset productivity. The challenge is to do both extremely well. The figure below illustrates how… Continue reading Value of Effective Parts Management

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Surviving the Supply Chain Crisis

By Walter J. McDonald

By now everyone on the planet is feeling the impact of supply chain disruptions. And, for the machinery dealer, this becomes both a problem as well as an opportunity. But, to survive, the dealer needs to strategically work around these challenges. The problem with manufacturers extending lead times from weeks to months, makes timely end-of-lifecycle… Continue reading Surviving the Supply Chain Crisis

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Parts Management Operations Improvement

It’s hard to think of an important aspect of dealer management that is more neglected than parts operations management training. Your Parts Manager can be responsible for warehouse security and safety, inventory control, picking, and shipping efficiency, prompt response to “back counter” service department requirements, parts warranty claims, parts marketing and sales, and an attractive… Continue reading Parts Management Operations Improvement

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Effective Parts Management– What to Measure and Monitor

The following parts performance metrics are considered essential to managing a profitable parts business. Each analytical routine should be readily available from your software vendor. By monitoring these data points daily or weekly, your Parts Manager can take corrective action immediately, not at the end of the month. Again, why wait until statements are published… Continue reading Effective Parts Management– What to Measure and Monitor

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