Why to applying Knowledge Management to the Automotive Industry

By Doron Gower   |   June 27, 2018
Why to applying Knowledge Management to the Automotive Industry
Now that we are in the summer this year, we can step back and take an assessment of 2018 customer experience trends and how they are impacting the marketplace. The industry has faced new challenges and developed a wealth of new approaches to overcome those challenges.

The automotive industry spans a wide array of sectors: manufacturing, spare parts inventory, distribution, work order management, original equipment manufacturing, sourcing, and more. Each activity benefits from knowledge management in automotive design, manufacturing, and delivery.

If you are a dealership, you have options for integrating knowledge management in automotive sales. These systems offer components such as business intelligence and customer relationship management, and are designed to support the specific demands and needs of an auto dealer.

According to McKinsey, the top US auto dealership performers were over three times as profitable as the average dealerships. The study suggested that collaboration within the industry was key to improved performance. A knowledge management system is essential in the automotive industry, especially in sales that gives dealers the power to reap substantial benefits.

Who Needs Knowledge Management in Automotive Sales?

If you’re a dealer, you do! Knowledge management in automotive sales is useful for single dealerships, but more importantly, the systems provide robust capabilities that standardize data across all of your locations. For instance, if you own seven or eight car dealerships, you need a standardized system that allows you to streamline training staff on translating and managing data. This gives them the power to meet the demands of consumers, such as with fast, reliable services and purchases. Your customer’s satisfaction improves as goods and services are coordinated, ensuring that you are prepared and equipped with all the essentials you need.

Benefits of Knowledge Management in Automotive Sales

Knowledge management for auto dealers has been developed through close partnerships between software designers and automotive dealers. The technology integrates the knowledge from front-line staff with the capabilities of database specialists. For instance, many auto manufacturers developed in-house solutions to handle their products. Later, they established collaborations with software designers to begin adapting their in-house systems for more efficient operations. This resulted in streamlined inventory management, product ordering, supplier networking, sales, and customer tracking. For you, this means higher efficiency in providing superior service to your customers and greater loyalty to your particular brand.

In this highly competitive industry that is no longer local due to the adoption of auto sales through the internet, you must continuously improve every area for efficiency. Fully integrated knowledge management in automotive sales is a necessary tool for providing superior service while minimizing costs.

Today’s systems for car dealerships facilitate communication across multiple locations while promoting and selling products and services. The technology lets you collaborate across dealer networks while preventing tedious errors that can lead to increased costs and slower services. It is no longer an option to cultivate only your local consumers. You must reach out and proactively develop a wider consumer base. Knowledge management in automotive dealerships is the cornerstone product to help you achieve this objective.