Quality and Performance - A systemic approach to quality improvement

Customer:


Jaguar and Land Rover Deutschland

Aims:

•    to improve the financial performance of the car dealership,
•    to increase revenues in sales and servicing,
•    to improve customer satisfaction and increase the customer loyalty rate,
•    to improve core processes in servicing, sales and warehouse,
•    to raise staff satisfaction and staff commitment.

Scope:
The project ran over a 5-year period, with a total of 72 car dealerships taking part.


Approach:

During the planning stage, the decision was made to apply an individualized systemic approach, i.e. that a tailor-made approach would be developed for each individual dealership in collaboration with its management and staff. The first step was the dealership's "initial commitment". The management had to commit to the common objectives and frame conditions. To facilitate the work on the processes, an electronic process manual was compiled containing the most important performance standards for sales and after-sales processes as well as proposals for methods and tools.

We investigated and identified the areas that needed to be worked on by means of
•    enquiries per e-mail,
•    enquiries per telephone,
•    mystery shopping trips,
•    printed staff questionnaires,
•    interviews with management and staff,
•    observations and audits on the premises.

After presentation and discussion of our findings, the staff of the dealership and the consultants reached an agreement as to which objectives were to be achieved first, and through which measures.


Results:

The top priority – for the manufacturer and for us – during this time-consuming procedure (approx. 15 days per dealership) was to achieve a careful and thorough evaluation. The purpose of this evaluation was not merely to support assessment of satisfaction with the measure but also to allow verification of whether the required effects had actually been achieved.
For this reason, from the very start we ran comparisons between dealers receiving consultancy and dealers not receiving consultancy. The control group was easy to organize because the number of applicants was always larger than our support capacity.


On average, highly significant differences were documented in all target areas, even though it was not the case with every dealer that the expected success was achieved.