Dealer financial statement 11 month period analyzed shows 41.3 parts customer RO gross % of sales.

With service department efficiency and profitability inextricably tied to parts department performance, we pay special attention to parts inventory Gross Turns, True Turns, Fill Rate, Stock Order Performance, Months’ Supply, Obsolescence, Retail, and Wholesale.

We will help you create standards and procedures for parts managers to ensure on-hand counts were properly logged in DMS and that they keep accurate perpetual inventory year-round, not just annually. Standards to review stocking levels, phase-in/out criteria set up in DMS, recorded lost sales, daily stock order, special order and emergency purchase policies including returns, Fill Rate and, best re-order and re-stocking points, critical back counter efficiency for technician parts’ needs.

Create policies or review and amend existing procedures for accounting and parts departments’ inventory reconciliation in addressing General Ledger and Perpetual Inventory/Pad variances - overage and shortage – including order entry, parts receipt, and entry of invoices, works in progress; closing of open RO/CT, returns and credit receipt, annual third-party physical inventory, monthly reconciliations, vendor payment status, parts price depreciation/appreciation.