Hi Sara,
We’re ready to bring on a service manager for our dealership, but I keep hearing about common pitfalls. What should we not do when hiring for this role?
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Oh, I love this question! Hiring a service manager is a big deal and can make a world of difference for your dealership — but only if you’re strategic about it. I’ve seen all kinds of moves in this area, and let me tell you, there are a few major things you’ll want to avoid. Let’s dive into three key “don’ts” that will help you steer clear of some classic service manager missteps.
1. Don’t Make Your Best Technician the Service Manager
I get it; your top tech is a rockstar! But handing them the service manager keys? In most cases, that’s like giving a chef a paintbrush and expecting a masterpiece. The skills needed for a service manager are very different from what makes a technician thrive. When you promote your best tech, you’re pulling your highest-earning person off the shop floor — effectively hitting pause on the revenue they bring in.
Instead, keep your star tech doing what they do best (fixing things!) and find someone skilled at managing people, schedules, and all the moving parts of a service department. Your bottom line will thank you!
2. Don’t Hire a Service Manager Until Your Techs Are Recovering at 85%
Here’s a hard truth: hiring a service manager too soon is like buying a house you can’t afford. It might look great at first, but it will cost you. We’ve found that you need at least three techs, recovering at 85% before you can justify hiring a service manager. Why? Because the numbers just don’t work otherwise.
To break it down, we run the department by the numbers, not based on feelings. We know 30% of every labor dollar should go to paying techs, 15% to management costs, 35% to department costs (lights, insurance, the works), and 20% straight to the owner’s pocket to do whatever the heck they want with it. Until you hit those targets, you simply can’t afford to add management without cutting into the profits.
3. Don’t Skip Training for Your Service Manager
Throwing a service manager into the deep end without training? Recipe. For. Disaster. The job is about so much more than just scheduling repairs and moving things around on the calendar. A service manager needs to know the ins and outs of your service department’s processes, how to handle people (and yes, all those personalities in the shop!), and, most importantly, how to sell time in the service department.
That’s why we have a Service Manager Certification Program that’s like an associate’s degree for service managers. It’s packed with everything they need to thrive in the role. And if you’re thinking about it, heads up: this week, it’s $300 off! So, now’s the time to jump on this opportunity. (Use the code 300OFF at checkout here.)
Keep these “don’ts” in mind, and you’ll be miles ahead of the game when it comes to finding and keeping a great service manager. By avoiding these pitfalls, you’ll set your department (and that new manager) up for success from the start.
Happy hiring!
Sara Hey
