NGG Automotive presentation at the E.N.G. Automotive Parts Management summit in Berlin presented by Eran Vinder, was about the new approach for availability management promoting an effective Inventory Management and Warehouse Operations in a changing business environment and the importance of the parts manger in the process to achieve parts excellence

1. New Approach for
Availability
Management

3. Take a Moment
Are our customers satisfied
with how fast their vehicle
is being repaired?
Do we make the most of
the existing capabilities of
our DMS, in order to get a
better control of our
business?
Can we state with certainty
what is our inventory level
at any given moment? The
dead stock? The surplus?
Do we understand, how
our purchase order
decisions affect the
dealership profitability?
Is the warehouse run
based on clear working
methods, including
monitoring and
measuring?
Are Parts Managers able to
evolve to the next level in
managing the parts
operation?
? ? ?
? ? ?

4. Why is this
Important?

5. The Wind of Change
Industry (World) in a Constant Change

6. The Wind of Change
Industry (World) in a Constant Change
 We drive less and move differently
 Delaying Service & Minor Repairs
 Customers search for higher value alternatives
 Service expectations are increasing with respect to
dealers
 Customers are looking for new ways to purchase a
car and communicate –
Digital is taking over the physical world.
 The relationship between OEM’s and dealers is being
challenged

7. Parts have become Dealerships main asset
and value in the Market

8. Inventory is held in order to have a “buffer”
between the demand and supply rate
Understocking
Shortage cost,
ordering cost
Overstocking
Storage cost,
handling cost, risk
of obsolescence
and the cost of the
money invested
(interest)

9. It’s a game
of
Availability

10. Availability is a key factor in Inventory
Management and is important for the Dealership
in promoting its goals

11. The Secret Triangle
Systems
People
Processes

12. Peter Drucker
Organizational culture eats strategy for breakfast

13. Culture - It’s all about people
ProfessionalismProactivity and InnovationExcellence

14. Parts Managers in Focus
Jumping to the next level in Availability Management
ProfessionalismProactivity and InnovationExcellence

15. Proactive, planning, monitoring
Commercial / Economical thinking
Developed service orientation –
inside and outside
Leading people
Part of the dealership managerial
team
Commercial and Marketing focus
Broad point of view –
part of a chain
Responsive, no planning/monitoring
Operative thinking
Low service orientation
Managing employees
Warehouse worker
Technical focus
Narrow point of view –
the dealership and I
ProfessionalismProactivity and InnovationExcellence
Parts Managers in Focus
Jumping to the next level in Availability Management

16. Promote Inventory Management and Warehouse
Operations Excellence in the Dealerships Network
Parts Managers in Focus
Skills, Tools and
Best Practices
Common
Language
Confidence and
Know-how

17. “It is our duty to our
people to open doors
to new opportunities.
We are also committed to
equip them with the tools
that will allow them to go
through those doors”
Lyndon b . Johnson
( 36th President of the United States )