Auto Service World
Feature   October 1, 2005   by Auto Service World

Letter To The Editor

Dear Editor,

Just a little comment on the subject article as I believe we are probably the only jobber without, in one example, a wall of hand tools.

This new (to me) measurement of TEI (Turn Earn Index, MYOB, August 2005) prompted me to check our own progress: 2003 = 132, 2004 = 143, 2005 = 170.

So the 150 quoted is achievable! By invoking the process of Mr. Greenwood over the past five years we have achieved this through his favourite word: focus. So how did this happen?

1. Focusing on our client base preferences, we eliminated or reduced many secondary duplicate lines and products not preferred from us.

2. Utilizing the Carquest system enabled us to identify which subgroups within a line were performing or not, i.e. sales and margin vs. investment turnover.

3. Consulting with our clients on their consumable line needs, where we could afford a lower margin by virtue of higher turnover ratio.

A real tip of the hat to Mr. Greenwood and Jobber News for continuing to provide us with provocative, effective measurement tools to increase our net income!

Adrian Gordon,

Gorwood Automotive

Woodstock, Ont.

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