How did you get into the automotive industry?
Not many people can say this, but I was born into it.
My father was a part-owner of a business in Berkeley, California called Berkeley Auto Radio. I started my career at a young age because I was a adventurous young man and my dad couldn’t leave me at home. I would either clean the showroom or go out with my father on runs.
Later, my father opened another company called California Auto Radio and Air Conditioning, where I worked throughout high school and college. After that, I decided to explore other automotive experiences.
Can you walk me through the timeline of other experiences that led you to where you are now?
In 1974, I left the family business and took a service advisor position at a Toyota store in Concord. I stayed there for two years before returning to help my father, who was having health issues. After a couple of years, I decided to take a break from the automotive industry and joined Leap Reapers Inc., working in refineries and power plants throughout the western United States. I worked my way up to a branch manager, but eventually decided to change my path again due to the dangerous nature of the job and my growing family.
I relied on my automotive expertise and took my first manager's position in the early 80s as a service manager at a Ford agency in Walnut Creek. I stayed there for three years, and during that time, we made significant improvements in the department. Then, I was hired by a bigger Ford agency and stayed there for 15 years. We took that business from generating about $94,000 a month in labor gross to over $400,000 when I left, thanks to the great staff we put together.
What are some big turning points on that growth path?
One major turning point was focusing on interpersonal relationships among our team and with our customers. We realized that taking care of our guests would make our jobs easier. In the beginning, we mainly focused on warranty work, but then we started thinking about retail and building relationships to retain customers. It's important to create trust and a sense of fulfillment for the customers so they feel comfortable coming back to us.
Another aspect that worked for me was the opportunity to partner with a friend in a dealership in San Francisco. We kept the dealership running until the last recession, and during that time, I learned the importance of word of mouth in keeping a business going. We faced struggles and had to change our direction multiple times, but that's part of the learning process. It's crucial to recognize when you're on the wrong path and make the necessary corrections.
I think it requires wisdom to be willing to make a mistake or to admit something is a mistake and not just push on through it. So, what does your average workday look like when it comes to directing a whole group? What does your day entail?
I never moved too far from my roots. I'm mechanically inclined and understand automotive technology, so I can still assist technicians if needed. My role now is more like a coach, responsible for several dealerships. I prefer to call the people I work with partners rather than subordinates, as I believe that building relationships and having equal responsibility helps everyone progress more easily. My job now is to guide them and help them understand how the business is evolving, particularly as technology has advanced significantly since I first started.
What does it take to stay up to date with the technological growth in the industry? Do you have to take classes, or do you just get hands-on with the machines and figure out how they work?
You have to stay on top of technology and learn each day. If you don't, you become less relevant. I've seen people from my early days in the industry leave because they lost the desire to invest in their craft. It's crucial to keep learning and adapting to remain successful.
Moving forward, how do you think the industry itself can be a more connected partner with people into the future? Is it about staying as current as possible across the industry?
It's more than just technology, although that is very important. People who drive vehicles today mostly don't understand their vehicle's technical aspects. However, they have high expectations for what a vehicle provides, such as USB ports, phone connectivity, and safety features. In the past, vehicles were purchased with only the necessary features and customized according to the buyer's needs. Today, vehicles come well-equipped, and we have to stay relevant with current technology. We need to bring in progressive technicians who want to learn and advance, as tomorrow won't look like today.
So, as customers get more out of touch with their vehicles, the service has to be even more in touch with connecting customers to the technology. Is that correct?
Exactly, customers want someone who can take care of their vehicle when it's not working, and they need it to be fixed quickly. The biggest challenge is not just about technology; it's about building an emotional connection with customers. Over the last few years, we've relied a lot on social media and distant connectivity, so we have to get really good at staying connected. We're still working through this and trying to change the way we think in order to adapt and adjust to consumer expectations.