Unit 2 Case Study -Fast Lane Automotive GB519: Measurement and Decision Making Larry Sallee

Introduction to Fast Lane Automotive Fast Lane Automotive is a full service automotive repair shop and oil change service establishment located in Cumming, GA. This company has been open for over fourteen years and has generated quite a customer base within the local community. Fast Lane offers everything to its customers from putting air in their tire free of charge to replacing the motors if needed. This automotive shop strives on ensuring that its customers are taken care of and can rely on repeat business and new customers from their word of mouth. Cumming, GA is a town north of Atlanta and has several other automotive shops that compete with the business of Fast Lane Automotive. These competitors are popular throughout the town and can sometimes pose to be an issue when certain specials are ran. Fast Lane Automotive has been able to begin relationships with several fleet companies that depend on their services to have the vehicles running properly in order for their businesses to run smoothly. Overall, Fast Lane Automotive strives to be the number one automotive service provider in Cumming (Williams & Head, 2013) Balanced Scorecard for Fast Lane Automotive Measures Customer Perspective Quality of Work Employees strive to produce the best quality work with minimum mistakes everyday. Price Have competitive prices that customers will pay match competitors prices to draw in new customers Support Readily available owners and employees to

help deal with customer issues, care issues and to ensure satisfaction. Internal Capabilities Sales Penetration Actual sales versus budgeted sales. Actual sales over last years sales. Increasing numbers weekly. Productivity Actively work to complete service on vehicles timely yet accurately for customers New Customers Look for new business daily. Market in newspapers, phonebook, car decals and billboards. Financial Cost of sales Ensure not paying more in parts than charging customers to make profit. Profitability Ensure owners are getting the most out of their employees in order to turn a profit. Sales Get customers to fix what is wrong work with them dont let them walk away thinking they were robbed. Learning and Growth Education Morale Employees and managers are ASE certified Higher morale makes for happier employees which in turn helps capture their attention to

what is happening and where they can go with their careers. Training Train employees on all new machines and aspects prior to implementing them for customers.

Being in the service industry allows the employees and managers of Fast Lane Automotive to provide customer service daily. However. Fast Lane Automotive deals with costs in accordance with the service provided on a daily basis. The company and its employees must ensure that the highest quality work is completed timely and accurately. The quality of the work preformed can cause harm to customers if done poorly. Poor quality is not tolerated at Fast Lane Automotive and can lead to significant costs to the company. The ethical standpoint of the managers and owners is to ensure all work is done to where customers can safely operate their vehicles and feel a sense of ease. Other costs that the company can incur are environmental costs. These are costs associated with the oil change portion of the business. First and foremost the employees take care of the customers and ensure they are getting the best quality service, but they each have to take into consideration the fact that the oil can be harmful to the environment and has to be disposed of correctly. Though the company has not had a mishap to date regarding the costs associated with the environmental standpoint, the owners are well aware of what can happen and how it can effect not only the business but the environment and customers as well. Strategy Map

Increased Profitability and Customer Satisfaction

Financial
Increased labor costs in alignment with competitors Decrease in parts costs.

Customer
Save customers money Faster turn around time Improve Customer Satisfaction

Internal

Improve Quality in work

Increase productivity

Learning and Growth

Motivation! Regular training for all employees More technology uses

Increased Profitability and Customer satisfaction for Fast Lane Automotive consists of the following strategies for the four sections: Financial

Increased labor costs in alignment with competitors help the company make a profit while beating the competition and taking care of its customers.

Decrease in parts costs helps save customers money while buying the best product needed.

Customer Save customers money ensure they are not being overcharged and getting the most for their money. Fast turn around time getting the customer in and out timely with all the work done. Improve customer satisfaction through fast turn around time, lower costs and great quality work. Internal Improve quality of work ensure each employee is putting forth 100% all the time. Increase productivity motivate the employees to go the extra mile to get the job done. Learning and Growth Motivation motivate each employee to their full potential everyday Regular training for all employees ensure all employees are up to date with newer vehicles and understand the changes.

More technology uses implement new technology to help get the job done faster.

With the company growing and changes happening everyday it shows that the sustainability in balancing the short and long term goals can be difficult at times. When ensuring that the environmental indicators are accurate as to where the employees are abiding by all laws and regulations to ensure the products used are not contaminating anything as to not do any harm. Where the employees and managers have to also stay focused on is the social performance of the company. They must ensure the employees are working safely and making the company profitable. These factors could make or break the company and having an environmental or social issue occur could pose to be extremely harmful for all parties involved. Overall, Fast Lane Automotive, strives on being the number on in automotive service and repair throughout Cumming, GA and it seems as though there are many factors that can cause the company to fall into hardships. If the companies performance corresponds with the balanced scorecard aspects as well as the strategy map then in theory things should run smoothly. However, the owners, managers and employees seem to be hesitant to breathe just in case they are faced with obstacles that go against what Fast Lane Automotive stands for.

References Blocher, E., Stout, D., & Cokins, G. (2010). Cost management: a strategic emphasis. New York, NY: McGraw-Hill Irwin Williams, J. & Head, J. (2013, June 23). Owners. (E. Williams, Interviewer)