by Mike Esposito, President and CEO, Auto/Mate Dealership Systems

 

How do you define success: a financial goal, peer recognition or a title or position? Most people think of success in terms of their personal success, but businesses can also be successful.

 

How do you define whether your dealership is successful? Is it revenue goals, sales volume, the number of positive online reviews you have, or whether your employees are happy?

 

Without a clear definition of what success means for you in your personal life or for your business, success is impossible to achieve.

 

 

In the book 7 Habits of Highly Effective People, Steven Covey recommends starting with the end in mind.

 

One way to define your personal success is to start with your funeral or memorial service in mind. How many people do you want there? What do you want them to say about you? To determine what’s most important in life, you could literally write your own eulogy.

 

To define your dealership’s success, look at your exit or succession planning. Do you plan to sell the business or have a relative take it over? What kind of business do you want it to be at that point?

 

When we define success purely in financial terms, it seems kind of hollow. At your memorial service, do you want people to talk about how rich you were, but then have nothing else nice to say about you?

 

When you sell or turn over the management of your dealership to someone else, the same concept applies. Sure, a healthy balance sheet is a nice accomplishment. But what else are you proud of? What is your legacy as a leader that you want to leave?

 

Successful companies are much more than the sum of their balance sheets. When you look at the most successful companies, they tend to share the following traits:

 

• Successful companies have loyal customers. Loyalty starts with great customer service, but to retain loyalty your dealership must be perceived as trustworthy. To earn loyalty from customers, your dealership must be loyal and honest to your customers.

 

• Successful companies are ranked as top places to work. When a leader’s mission is to make their employees happy, an amazing thing happens. Happy employees take better care of their customers, increasing customer loyalty and retention rates. Also companies that are on the “Best Places to Work” lists attract and retain the best talent.

 

• Successful companies have values. Your dealership should have an inspiring mission statement and a list of core values that defines how decisions are made in that organization. It’s important that once your values are established, that leadership “walks the talk” of those values.

 

• Successful companies have long-term goals. The best leaders make decisions with the long-term consequences in mind. Sometimes, this means suffering a short-term setback.

 

• Successful companies are innovative. Great leaders encourage managers and employees to think outside the box. Instead of saying, “That’s the way things have always been done,” instead ask, “Can you think of a better way to do it?” I guarantee your current employees have all the resources to solve any problem you have. Not only that, but they’ll be thrilled to come up with solutions, if they are only asked.

 

To build a successful business, it’s important to first define what success is to you. Then, break those goals down into actionable steps.

 

What traits do you think the most successful companies share?