The MHEDA Journal - First Quarter, 2014 - (Page 73)
The 2014 MHEDA DiSC Report
t's time to prepare for this
year's MHEDA DiSC Report
for the Industrial Truck,
Engineered Systems and
Storage & Handling industries.
Let's take a quick look back at some of
the highlights from last year's industry
report. The Currie team places substantial emphasis on the Return on Assets
measure, especially in the Industrial
Truck analysis. Remember, ROA is a
critical measure, as it summarizes all
other financial measures within a company, and a result of at least 15 percent
indicates a positive cash situation. Last
year's "EBITDA or ROA?" article in The
MHEDA Journal detailed the importance of measuring ROA opposed to
EBITDA. That article was included in
your industry report and is available
on the MHEDA website. For the engineered systems and the storage and
handling industries, we will compare
participating companies by net income
analysis to determine high performing companies. The participation of all
engineered systems and storage and
handling companies will significantly
enhance the study. Another highlight of
the DiSC Report was the focus area section; a deeper dive into a department
identified as one in need of attention.
Last year's data revealed that the parts
department, across many participating
dealerships, required overall performance enhancement. The focus area
will change each year based upon DiSC
Survey results and offer best practices
for improvement. The report is now
designed to be beneficial at the investor/executive and management level.
This year, we have additional
changes that industrial truck dealers will find valuable. Members have
requested that we offer an analysis of
expenses by department, in the areas
of personnel, operating and occupancy
expense. We will be asking for additional breakouts of expenses in those
categories by department. The industry
report for industrial trucks will enable
dealers to compare their performance
to other dealers of a similar volume,
and compare their results to high performing dealers. Each company will
continue to see specific benchmarks, or
"model" expectations, for all categories
of expense in each department. The
report will include a segment displaying comprehensive sales mix results.
After discussion with MHEDA members, Currie has added a preview to the
report, which can be found within the
MHEDA DiSC Input Template.
Storage and handling and engineered
systems will be receiving detailed comparisons based upon volume group and
comparison to high performing companies. Additionally, best practices from
participating companies will be shared.
There is no data input required for the
new preview feature. The formulas on
the preview tab will calculate automatically as the template is populated with
your dealership's data. After input is
complete, the preview tab will give the
dealer a summary, which the dealer can
use to verify the company data that was
entered and receive an instant report
on several critical liquidity measures,
an overall company sales mix analysis,
expense tracking by department and
employee productivity results.
MHEDA members should understand
* A large collection of data points
provides the highest validity, so it
is expected that ALL MHEDA distributors participate in the DiSC
Survey. There is great value in the
comparative element of the report
and companies will benefit by getting
in the game.
* Survey data points must be entered
carefully and accurately. The analysis
is significantly enhanced with complete and accurate input. If the data
breakdown, such as expense categories by department, is not available,
enter the totals in the appropriate
expense categories. It is requested
that there is no guessing - we are
asking for valid reporting only.
* The comparison of like-sized dealers
is extremely important, and it is only
as accurate as the quality of reporting. In order to continue to include
these results participation is required
of all MHEDA members.
* Finally, members who are also Currie
Group members are expected to contribute their data to the DiSC Survey.
The MHEDA and Currie teams look
forward to a continued partnership
with all members and distributorships.
is with Currie
and on the
web at www.curriemanagement.com.
For information on free tutorials
available to help you accurately
complete the survey, see page 77.
the MHEDA Journal | First Quar ter 2 014
Table of Contents for the Digital Edition of The MHEDA Journal - First Quarter, 2014
From the Desk of Liz Richards
MHEDA’s 2014 Board of Directors and MBOA
Ask Your Board
MHEDA Member Profile
Material Handling Forecast
Industrial Trucks Forecast
MHEDA: 60 Years of Moving Members Forward
Don Chance Retires From NMHG
The New and Improved 2014 MHEDA Disc Report
Spotlight on Association News
MHEDA University Calendar
Index of Advertisers by Product Category
The MHEDA Journal - First Quarter, 2014