The impact of global trends in demographic change and urbanization are changing customer perceptions and expectations of the car. Automotive service is one of the most competitive business sectors, and in order to succeed in this area, owners of car service centres must apply effective management strategies. Practice shows that the strategies described are considered throughout the industry, but in different ways.
Customer focus
Business intelligence is becoming an indispensable technology partner for any organization that wants to survive among competitors in the marketplace. It is a category of tools, applications, and methodologies through which an organization can capture, store, analyze, and deliver massive amounts of data to decision-makers. At its core is the power of enhancing customer experience. Customer experience is what customers perceive when they interact with an organization at all stages from prospective to repeat customers. It is an all-encompassing term that encompasses all customer touch points with a company - from website navigation to customer service to personalized marketing communications. Customer-centricity is one of the basic strategies for managing an auto service business. It means that all processes and decisions made in an auto service centre should be aimed at satisfying customer needs and ensuring high-quality of services [1].
Required:
Know your target audience and understand their needs;
Offer flexible and convenient services that accommodate customers' schedules and preferences;
Ensure transparency in pricing and repair processes;
Provide high-quality services and guarantee results;
Collect feedback from customers on a regular basis and use it to improve the auto repair shop.
An effective strategy helps businesses understand their customers and then act on that understanding in ways that create loyalty. Different strategies can be used to increase customer engagement, such as:
Personalization at scale;
Customer segmentation for targeted marketing;
Optimizing the customer experience;
Engagement using business intelligence in real-time data analysis.
The use of these tools leads to higher customer engagement, more business growth and a stronger competitive advantage in the market [2].
Personnel development
Human resource management is a progressive approach to improving competitiveness. The quality of auto service center services largely depends on the qualification and motivation of its employees. Therefore, personnel development is one of the most important strategies for managing an auto service enterprise.
Organizations can adopt various practices to improve employee skills. First, efforts can be focused on improving the quality of individual recruitment or improving the skills and abilities of current employees. Employees may be recruited through sophisticated selection procedures designed to screen out all but the very best potential employees. Indeed, research shows that selectivity in recruitment is positively related to firm performance. Second, organizations can improve the quality of current employees by providing comprehensive post-selection training and development activities. Considerable evidence suggests that investment in training yields useful organizational outcomes.
However, the effectiveness of skilled employees will be limited if they are not motivated to do their jobs. The form and structure of an organization's human resource management system can influence the level of employee motivation in several ways. First, organizations can implement merit pay or incentive compensation systems that reward employees for achieving certain goals. In addition, protecting employees from arbitrary treatment, perhaps through a formal grievance procedure, can also motivate employees to work harder because they can expect their efforts to be fairly rewarded. Finally, the way in which the workplace is structured should influence organizational effectiveness to the extent that skilled and motivated employees are directly involved in determining what work is done and how that work is done. Employee participation systems, internal labor markets that provide employees with opportunities for advancement within the firm, and team-based production systems are all forms of work organization that have been argued to positively affect firm performance [3].
Optimization of business processes
An important element of effective management of an auto service station is optimization. It involves eliminating inefficient processes and solving problems that arise in production. Improving the efficiency of the car service center and reducing costs are possible due to systematic analysis of current business processes, identification and elimination of problematic points and implementation of modern technologies.
As part of business process optimization, an auto repair shop should analyze current processes to identify their weaknesses and find ways to improve them to increase efficiency. In addition, an auto repair shop can implement new software and modern technology to automate processes and improve productivity.
Optimizing logistics and inventory management is also essential. This may include optimizing resource inventory, warehouse control, and speed of delivery of needed materials.
Improved communication and collaboration between departments and employees is an important feature, guaranteeing more efficient work execution and improved service quality. Overall, business process optimization should be combined with other strategies to ensure that the auto repair shop is operating at maximum efficiency and achieving business goals.
Developing partnerships
Developing partnerships with suppliers, dealers and other car service centers can help the car service center to expand its customer base and increase its competitiveness, for this purpose it is necessary to develop partnerships with other market players [4]:
1. Select reliable and qualified suppliers and dealers;
2. Participate in industry events and conferences to network with other automotive service centers and experts;
3. Develop cooperation and partnership programs with other automotive service centers and organizations;
4. Participate in industry associations and communities.
Strengthening the brand
Strengthening an auto service center's brand is an important strategy for increasing customer recognition and trust in the business. This may include developing a logo, maintaining a website and social media pages, participating in charity and community events, and more. To achieve success, it is necessary to approach this issue comprehensively and take into account many factors. The car service should create a high-quality and memorable visual image of the brand; develop a content strategy for the website and social networks aimed at informing and engaging customers; participate in public and charitable events to strengthen the brand reputation; develop loyalty programs for customers to encourage repeat visits and recommendations [5].
Effective management of an auto service business requires an integrated approach that includes several strategies. Customer focus, staff development, business process optimization, partnership development and brand strengthening are all key strategies that can help an auto repair shop succeed in a competitive business environment.
List of references
1. Kotler, P., Keller, K. L. Marketing Management. Pearson Prentice Hall, 15th ed., 2014. 832 p.
2. Gadiparthi S. Enhancing customer experience with business intelligence: strategies, tools, and case studies. International Journal of Managemant 15(2):108-116 15(2):108-116. 2024.
3. Huselid, M. A. The Impact of Human Resource Management Practices on Perceptions of Organizational Performance. Academy of Management Journal, 38(3), 1995. pp. - 635-672.
4. Doney, P. M., Cannon, J. P., Mullen, M. R. Understanding the Influence of National Culture on the Development of Trust. Academy of Management Review, 23(3), 1998. pp. - 601-620.
5. Aaker, D. A. Managing Brand Equity: Capitalizing on the Value of a Brand Name. Free Press, 1991. 272 p.