Fixed Ops Magazine - 2022 Vol19 03 - 63

In this scenario, you have the capacity to perform 18
alignments each day per alignment bay. ABC is an important
metric because, unfortunately, most dealers
take an overly simplistic view when looking at the potential
of their alignment rack and, as a result, drastically
undersell its potential. Typically, Service Managers
take their open hours (9 in my example) and assume
they can do one per hour for a goal of 9 per day. Or
worse, they don't have any goal at all and take a " do
whatever gets asked for " approach. Either way, the big
revelation is the alignment rack is the most underutilized
resource in your shop. So, the first step is knowing
what your potential ABC is.
ALIGNMENT BAY UTILIZATION
The second new measurement is ALIGNMENT BAY UTILIZATION
(ABU). This shows how effective you were
at achieving your daily goal, with the goal of reaching
100%. If we go back to my example and assume this
dealer sold 9 alignments each day and their ABC was
18, their ABU would be as follows:
* 9 alignments sold / 18 potential = an ABU score of 50%
Industry data shows most dealers don't even sell the
one per hour with an ABU of between 17% and 20%,
which is why this represents a massive opportunity
to find additional gross. There is one last data point
that makes all this come together. What is your " real "
opportunity? For this, you need to have the ability to
measure what the opportunity is and manage your
ability to sell it. After scanning more than 35 million
vehicles, my company can accurately tell dealers what
their real opportunity is. When we look at this massive
number of vehicles, 37% need an alignment. To calculate
your dealership potential, just multiply your daily
RO count by 37%.
* 50 ROs per day x 37% = 18 alignments
DON'T LEAVE GROSS ON THE TABLE
In this scenario, if you're not striving to do 18 alignments
each day (100% ABU), you are leaving opportunity and
gross on the table. Using the typical ABU of 17% (3 alignments
per day in our example), this comes out to over
$28,000 a month in lost gross (based on $75 in gross
per alignment). So, how can you capitalize on this opportunity?
First, track ABC and ABU daily and monthly.
MAY JUNE 2022 || FIXED OPS MAGAZINE
63
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Fixed Ops Magazine - 2022 Vol19 03

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