The Business Cycle: Embracing Change and Managing Talent
In today’s fast-paced car business, it’s essential to mitigate the downside of the next business cycle and address the pressing challenges of recruiting and retaining talented employees. George Karolis from The Presidio Group offers valuable insights into the discussion, emphasizing that the good times are not always here to stay. He understands the inevitable dips and valleys businesses face, especially in talent acquisition and retention, which has emerged as a significant challenge in today’s competitive market. In Karolis’s words, “It’s one of the struggles today,” and businesses need to take proactive steps to address this issue to remain competitive and successful in the long run.
Rethinking Pay Plans: Striking a Balance for Long-Term Success
One significant issue raised by Karolis is the need for dealers to adapt their pay plans to the changing landscape. He points out that some dealers have allowed bad practices to creep in during the last couple of years, resulting in employees making more money than ever before. Karolis emphasizes the importance of education and cultural awareness within the dealership, ensuring employees are prepared for potential changes and encouraged to save for the future. He states, “Let’s make sure we’re prepared for the future as things change. So may your pay.”
Going Beyond Monetary Considerations: Fostering a Supportive and Stable Environment
Karolis highlights the significance of fostering an environment that goes beyond monetary considerations. He emphasizes the need to create a stable path for employees, where their future is assured and their families are provided for. Karolis believes fostering stability and support within the business is vital for long-term success. He states, “It’s fostering that environment that’s not just about money, but also that there’s a future path that is a stable path for employees.”
Preparing for the Future: Education, Cultural Awareness, and Stability
As the business landscape continues to evolve, it is imperative for dealers to proactively address the challenges of talent acquisition and retention. By embracing a forward-thinking approach and reevaluating pay plans, dealers can ensure long-term stability. Moreover, by prioritizing education and cultural awareness, dealers can empower their employees to navigate the ups and downs of the business cycle with confidence. Ultimately, the combination of financial prudence, supportive environments, and opportunities for personal growth will propel the business to thrive in the face of uncertainty.
Looking Ahead: A Resilient Workforce for a Thriving Future
As the industry prepares for the next business cycle, the insights shared by George Karolis shed light on the strategies needed to mitigate challenges and cultivate a resilient workforce. By fostering a culture of adaptability, equipping employees with the necessary tools, and prioritizing stability and support, dealers can create an environment that attracts top talent and retains them for the long haul. With a proactive approach and a commitment to continuous improvement, dealers can navigate the complexities of the future and emerge stronger than ever.
This conversation is a part of the discussion focused on Succession Planning and Strategic Considerations in Automotive Retail with Jason Stein from Flat Six Media, George Karolis of The Presidio Group, and Champ Rawls, a Succession Planner with The Rawls Group.
For more insight:
Visit the “Strategic Considerations in Automotive Retail” discussion page or select one of the additional episodes of the series below:
- 10 Aspects of Succession Planning in Automotive Retail
- Overcoming the Obstacles in Succession Planning for Auto Dealerships
- Auto Dealership Growth Strategies: Strategic Planning & Goal Setting
- Addressing Tension in the Family-Owned Auto Dealership
- Unlocking Dealership Valuation: The “Thinking Green, Not Blue” Approach
- Challenges and Evolution of the Dealer Model
- Metrics and Considerations for Future Planning in the Auto Industry
- Revolutionizing the Auto Dealership Industry: The Power of Branding and Culture
- The Winning Formula in the Car Business
- Nurturing Sustainability in the Evolving Car Business
- The Power of Diversification: Navigating the Evolving Landscape of the Car Business
Resources
- The Presidio Group: an independent merchant banking firm focused on mergers and acquisitions, capital raising, and investments in the automotive retail and consumer mobility sectors.
- Succession Readiness Survey: A 7-minute investment in time will put you in an informed position of opportunities many business owners overlook, impacting business value, growth, and lifestyle, and ultimately achieving your vision.
- Contact a Succession Planner: The Rawls Group can help you with insights and other resources and see if it makes sense to work together. At the very least, in 30 minutes, you may get some ideas you can apply to your business immediately.
Strategic Planning
The only constant one can plan for is change. Strategic planning positions the business to address the probable, possible, and potential contingencies impacting business success. 
Click the following link for more drill-down resources on Strategic Planning
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We can help you with insights, other resources, and see if it makes sense to work together. At the very least, in 30 minutes, you may get some ideas you can apply to your business right away.
