Darius Reid

For years, the influence of new union operations has been decreasing. However, a recent union win in the south begs the question: what does this mean for union organizers and employees? Are companies conducting supervisory training to improve both their leadership skills and their ability to detect and address union organizing attempts? Having personal experience in successfully preventing unionization in multiple companies and even decertifying a union while simultaneously introducing new benefits during a hurricane and plant shutdown, communication is critical. Employee trust in management must be transparent. This begs the question: what went wrong in Tennessee for the site that experienced a union win? We look forward to hearing your opinions and insights on this important topic.

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CDK Global says the fallout from the two cyber incidents are ‘likely to last a couple of days’ meanwhile roughly, 50% of U.S. dealerships are currently shut down or getting really creative. The automotive industry is valued at around $1.2T a 7 day loss of productivity equates to roughly $10B of damages. This is after multiple hospitals, state governments, and schools have been impacted by other incidents this year. Will this be enough for business and government leaders to finally take cybersecurity seriously?

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Say it with me: incentives drive behavior. Biggest concern I hear from Stellantis dealers (Chrysler, Dodge, Jeep, Ram, etc): Incentives are out of whack -- in a big way. The automaker has abruptly stopped paying some of its dealers for positive customer surveys and is instead paying them on the "number of cars ordered." (???) It's unclear to me at the moment how far and wide this has spread (nationally vs. regionally) and how many dealers have been impacted... But either way, feels like an uncalculated, short-term move by a brand struggling to hit sales targets. Weird move.

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This CDK service outage is going to have major prolonged effect on the industry. And depending on the extent of the damage to Dealer's data in CDK vault, might have a lot of aftershocks.  CDK serves approximately 15,000 dealership locations and is considered a market leader. Let's see what the real scope of outage, and data damages are.  But hey, all our data is in Qlik, and all Accounting, store managers, BA and Corporate Stakeholders still have data at their fingertips in VizAuto! What a great Business Analytics tool!

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Got questions about automotive history? Want to know what happened on your birthday? Need two gents take on what you should or shouldn't buy? Maybe we have answers! We are about to record! Drop your questions below! E63 spot for attention! #automotive #podcast

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Indeed....Damon Lester is speaking at ASOTU CON! 🙌 You probably know him from his tenure as president of the National Association of Minority Automobile Dealers (NAMAD) where he made a significant mark on the automotive industry over 20 years, and we can't wait to hear his insights since becoming a dealership owner himself! Under his guidance, NAMAD played a crucial role in advocating for minority dealership ownership, which contributed to a significant recovery in the number of minority-owned dealerships. His focus on ensuring automakers fulfill their diversity commitments and his work in developing future leaders through the NAMAD NextGen group have been key components of his advocacy. In 2021, he further expanded his influence in the industry by purchasing Nissan of Bowie, gaining firsthand dealership experience. Lester's efforts to adapt to the evolving automotive landscape, including the shift towards electric vehicles, offer valuable lessons on resilience and innovation. Dealers can learn much from his experience in navigating industry challenges, advocating for diversity, and embracing new business models. So join us in Baltimore, MD and learn from him live on day 2's panel "How To Address Today’s Most Pressing Affordability Issues Enhance customer satisfaction, loyalty, and ultimately, your dealership’s success in the current economic landscape." Key Panel Takeaways? -Strategies for offering flexible and innovative financing options to customers. -Sales approaches that highlight value and build trust with consumers concerned about affordability. -Best practices for educating customers on the true cost of ownership and the value proposition of their purchase. See you there! https://www.asotucon.com ____ #automotiveindustry #cardealers #dealerships #automotive #afforability

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The U.S. auto industry is entering a "new normal" where automakers and dealers will labor harder to maintain profits," according to a Forbes article citing the Market Outlook Report created by Dave Cantin Group and Kaiser Associates.  The piece also highlights the report's prediction that 2024 "won't look quite as attractive as it did in 2023, but better than it did (for manufacturers and dealerships) in 2019." This makes 2024 the most important financial performance year for determining dealership values in a very long time. Read the full article here: https://bit.ly/3wE91Ys

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Automotive sales require more than a great inventory. Rather, it demands a strategic business approach to all operations, one that allows dealers to elevate their annual goals. An automotive consultant can help ensure you’re set up for success—and that begins by laying out your consulting wants and needs.    In our most recent blog, Robert Peterson, an instructor and consultant at NCM Associates, advises dealers as they search for dealer consulting services. Read the full blog here. https://bit.ly/3UcZksm

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Happy Thursday! Today we cover Ford’s stock price recovers due to hybrid sales, Honda invests $12 BILLION in EV supply chain, and automatic refunds when your next flight gets canceled or delayed. https://lnkd.in/eC7A_FYz Ford’s Q1 earnings were released yesterday and sparked an overall optimistic tone as well as a stock price bump as they bumped up their full year free cash flow figure. Ford reports a solid quarterly profit driven by strong sales of work trucks, vans, and a 36% increase in hybrid vehicle sales. Despite a downturn in the EV market, Ford's Chief Executive Jim Farley emphasizes affordable EVs as a future growth area, with potential models priced between $25,000 and $30,000. Ford Pro, the division focusing on fleet services and work vehicles, reported exceptional profitability, contributing significantly to the company’s earnings. Ford Blue: $21.8 billion in revenue, EBIT of $905 million Model e: $100 million in revenue, EBIT loss of $1.32 billion Ford Pro: $18 billion in revenue, EBIT of $3.01 billion Regarding the future profitability of EVs Farley said, "We are going to build a sustainably profitable EV business," highlighting lessons learned from pricing strategies that boosted sales of their Mach-E SUV. https://lnkd.in/ezrdP2xT According to reports mentioned in Automotive News, Honda is set to unveil a significant $11 billion investment plan to establish an integrated EV battery supply chain in Ontario, Canada. This investment includes the construction of an EV battery plant in Alliston and two supplier plants in partnership with South Korea's Posco Future M and Japan's Asahi Kasei. This sets a new high for automotive investment in Canada, trumping the $5B investment by VW, and $7B investment by Sweeden based Northvolt Canadian Prime Minister Justin Trudeau and other top officials will join Honda’s announcement, marking a major expansion of Honda's Canadian operations. "This move supercharges our North American electrification efforts," said Jean-Marc Leclerc, Honda Canada President, highlighting the strategic importance of this comprehensive investment. https://lnkd.in/eCmmB9jd Pretty soon, canceled or significantly delayed flights will mean fast refunds for air travelers as new DOT Regulations Mandate Automatic Refunds Airlines will now automatically refund passengers who don’t accept changes or credits for flight cancellations, significant changes, or delays exceeding three hours for domestic and six hours for international flights. "These measures ensure fairness and transparency in air travel, benefiting consumers significantly," the DOT highlighted in their announcement.

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🚨 **Attention Automotive Industry Professionals!** 🚨 A recent cyber attack on CDK Global has disrupted operations at car dealerships across the U.S. On Wednesday, CDK made the critical decision to shut down most of its systems to safeguard customer data. By the afternoon, key systems like their core document management and digital retailing solutions were back online, but extensive tests are ongoing for other applications. CDK Global supports over 15,000 retail locations across North America, highlighting the vast impact such cyber incidents can have on our industry. This incident is a stark reminder of the critical importance of robust cybersecurity measures. Companies like **KEYLOOP** must take note and reassess their cybersecurity strategies to ensure they are well-prepared to handle potential threats. As we increasingly rely on digital solutions, the security of our systems and data is paramount. Stay vigilant and prioritise your cybersecurity infrastructure to protect your business and customers! #CyberSecurity #AutomotiveIndustry #CDKGlobal #KEYLOOP #DigitalSecurity #DealershipOperations

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Outsourced fleet management warning with evolving automotive landscape

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We stand with autoworkers in Alabama who are organizing to better their lives and finally end the so-called “Alabama discount.” The "Alabama discount" is seen as the primary draw for investors in the state: a large population of workers with low wages and weak labor laws. While Mercedes autoworkers today will do their part to end the “discount” in the South by joining International Union, UAW, it's time we end the “Global South discount” worldwide. Workers in the U.S. South and the Global South have fewer labor rights, lower wages, less job safety, and are intentionally kept in a permanent state of precarity. Global corporations have long employed a business model that depends on chasing cheaper and cheaper labor around the globe with no accountability for what that looks like on the ground for actual humans—in Alabama AND in Asia, Africa, and wherever else they go to find workers with no rights and entrenched poverty. Unless workers organize and corporations are held accountable, workers in the U.S. South and the Global South will not be paid fairly for the value they produce. The good news is that workers the world over are rising up and stopping the race to the bottom–from Argentina to Alabama.

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More than ever before: dealers are incentivized to perform warranty work on your car. Check this out — The labor rate that automakers pay to dealers for warranty work has doubled in the last 10 years. From 2015 to 2024, the average paid rate increased from $98 to $187. Takeaways? - Automakers are paying meaningful labor rates to dealers on warranty work they perform. - Dealers are more incentivized to prioritize consumer warranty work in the shop. A win-win for the car dealers and the customers. More insights from Withum here: https://lnkd.in/gvEVw3bX (Data via CDG Partner: @WithumCPA #withumpartner)

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