Strategies for Effective Goals and Dealership Team Building
Dealership team building is essential for dealerships and each department in that store. When all the employees work together, the dealership will be able to achieve its goals efficiently.
Unfortunately, effective team building can be difficult to achieve, especially if the dealership has a track record of rewarding people on an individual basis. For example, in a dealership where everyone works on commission, salespeople might not see the benefit of working together with others or using the assistance of other departments. Nobody wants to split their commission or have the credit for their sale go to anyone else.
However, if you can change your culture and start rewarding employees who work together, you can reach business goals faster, in addition to creating a culture where employees will love to work together to be successful. 
Here are some of the steps you can take for effective team building in your dealership:
Step 1: Establish Dealership Team Goals
Imagine your dealership five years from now – what does that look like? Do you aim to be the leader in sales within your region? Or perhaps to be recognized as one of the best places to work in your community? Creating goals that reflect those desires and sharing them with your team is important.
Most dealerships organize teams by department and establish tailored goals for each that support the overall goals of the dealership. Focus on goals that encourage collective effort. For example, in sales, set targets based on interaction and hand offs from other departments, and in service, explore ways to integrate F&I offerings to customers who return to your service drive.
Step 2: Rewards for Teamwork
Traditional pay plans in dealerships reward individual sales performance or service bonuses based on gross profit, but this doesn’t promote teamwork or cross departmental collaboration.
To promote teamwork, consider implementing pay plans or bonuses that focus on group goals instead of individual achievements. Many large auto groups are exploring compensation strategies based on shared goals like CSI scores. Recognize and reward employees for their contributions to team success rather than personal performance.
Step 3: Cross-Functional Teams
Cross-functional teams bring together employees from different departments to tackle specific organizational goals that are bigger than department-specific objectives.
These teams can focus on improving customer or employee experiences, evaluating new software, solving issues, or enhancing community involvement. The diverse perspectives and skill set of these team members lead to innovative solutions and a more well-rounded approach to problem-solving.
For example, involving employees from various departments in the hiring process ensures that potential candidates are well-aligned with your dealership’s culture. Cross-functional teams also allow employees to learn about other areas of the business and develop new skills and capabilities.
Step 4: Train from the Top
Team building begins with management – it’s essential that leaders at every level, including department managers, actively support the team-building process. Managers play a crucial role in providing structure, guidance, and motivation to their teams.
In dealerships, especially, it can be challenging for top sales team members who were promoted into management to shift from an individual focus to a team-oriented mindset. If any department struggles with morale, productivity, or adherence to processes, it might indicate that the manager needs additional training on how to build and lead a cohesive team.
Step 5: Watch the Team Grow
Team building is ultimately meant to help your dealership reach its goals, and this involves tracking and measuring the progress made. For example, if your goal is to become the top local dealership for trade-ins, determine how many units you need to sell, break it down into monthly targets, and review your database to see how you can accomplish this by marketing past customers. Continuously monitor KPIs and adjust your strategies accordingly.
By measuring the progress made by your team, you can celebrate successes, identify areas for improvement, and stay focused on long-term growth.
Building cohesive teams within your dealership is a proven way to drive both productivity and profit. By following these steps, you’ll create a more dynamic, successful workplace that thrives on collaboration. The best source of insight on what works for your team might just come from the team itself!
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