Jim Skeans Consulting Group LLC 

Automotive Management Consulting

Who Wouldn’t Want This Problem!
The automotive business in Colombia is beyond good, it is booming!  On a recent on-site visit to a dealership in Bogota Colombia I was astonished by the volume of business they were doing.   Over six hundred percent increase in unit volumes from the prior year and the year-to-year increase before that was in the same neighborhood.  Now it is not often (yet) that I have the pleasure of visiting a dealership that is on track to sell 1,600 units, IN ONE MONTH.  Believe me the place was popping! 

So, what’s the problem?

While many things in Bogota are delightfully different such as; a wonderful dinner at ten P.M. with gracious hosts and fans of the football that has no quarterback and no players with padding, delightful high-altitude–near-the-equator weather in a modern sky-scraper-city which includes a Bull Fighting Arena the size of an NBA stadium, retail automotive business process remain pleasantly familiar.  One well-known challenge is pretty much the same as with most US dealers these days, keeping the current expenses and cash flow in sync with current business volumes.  Of course who wouldn’t trade the problems associated with DEcreases in sales with the ones related to such huge INcreases but the current market constraints here at home being what they are, for most there is no choice but to adapt and survive until the business tides turn. 

Use your available power

Please consider that the key here is to make use of one of the great advantages of the retail automotive business; that is that unlike many businesses most dealership expenses are variable and can quickly be scaled to fit sales volumes.  In most cases fifty percent of dealership expenses are directly tied to revenue volumes and of the other fifty percent only ten to fifteen percent are truly fixed expenses.  The thing is whether increasing or decreasing sales volumes, the tools are the same and once mastered, they will hold you in good stead in good times as well as not so good times.  Tools such as a well constructed DOC that instead of static numbers provide dynamic performance indicators that relate directly to the quality of the processes that produce the numbers and that show expenses as a factor of income with built in comparative analysis to high performance standards along with pay plans with elements that point to the importance of variable expense control for managers and pay more for high performers and less to the rest.   And of course full utilization of available automation.

Superior Automation - at a great price

You might be interested to know that this dealership group is fully computerized with an interesting Dealership Management System which, although not currently available in the States is being used in a number of dealership and dealership groups in Central and South America.  A fully functioning system at, here I go using that word again, an “astonishingly” low price point.   This fully functional DMS has been in use for a number of years and is completely integrated, web enabled and as reliable as the sun rise.  One thing that seems pretty clear is that the arrival of application development tools provided by the likes of Oracle, Microsoft and others have dramatically lowered the cost of developing Dealership Management Systems and they provide for completely abandoning the host of problems that plague the legacy systems used by most dealers here in the states.

What you don’t know could hurt you

When it comes to Dealership Management Systems, being behind the information curve will hurt you.   The good news is that for automating your dealership’s processes there has never been a better time than now.  Please consider that the days of having only three or four valid DMS’s to choose from are gone.  Today there are over twenty systems that are proven, tried and true and that are released of legacy issues and high overhead costs, produce great results at, here is that phase again, an “astonishingly" low price point.

What to do

Investigate your options.  No, I am not asking you to drop everything and spend the next year poring over every blessed application, tool and feature of over twenty DMS providers.  We can do that for you and do it quickly.  Our DMS selection process, drawing from our extensive applications, features, tools and prices database for over twenty providers will do the leg work for you and at a price point a mere fraction of what we will save you on your next contract.

 Another interesting thing about Kia in Columbia are the models they sell; although not available here in the US look incredibly similar to the models I see on other makes showrooms here at home.

 Anyway, coming as a surprise to me, the best selling Make in Colombia is………Chevy!

Who wouldn't want this?

Bogota Columbia Dealer Visit