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Accelerate Dealership Operations With the Right HR Tech

In a December 2023 updated report, Ernst & Young (EY) found the average cost per manual data entry made by an HR professional increased to $4.78. Read about EY’s latest findings for more information.


It’s tough out there on the car lot. Between lagging assembly lines, continued chip shortages and low inventory, pulling ahead of the competition might feel like a demolition derby.

With these challenges weighing on dealerships everywhere, the last thing a fast-moving team needs is outdated, clunky and slow HR systems. Given the National Auto Dealers Association’s (NADA) recent report detailing 7.4% growth in inventory levels near the end of last year, you might already be experiencing an influx of candidates. This means you need consumer-grade HR technology to enhance:

  • recruitment
  • operations
  • compliance

Luckily, the right tools help place your entire business — from the sales floor to the service department — on the road to success.

Winning the recruitment race

Dealerships, like many industries, are feeling the burn of this historically tight labor market. With the expectations of top talent evolving, continuing to rely on paper applications and HR-dependent onboarding risks stalling your growth.

According to NADA’s 2021 data, employment at franchised dealerships hovered at roughly 4% to 5% below pre-COVID-19 levels. Offsetting these staffing shortages simply isn’t possible with a talent acquisition strategy that’s stuck in the past.

But with a system to help post new positions, track candidates and easily review standout prospects, dealerships kick recruitment into high gear. And once you’ve identified your new hire, give onboarding a consumer-grade tune-up with an intuitive self-service experience.

Plus, tools to quickly confirm their employment eligibility and conduct thorough background checks help strengthen retention and outpace turnover.

Fine-tuning operations

Recent challenges may have slowed automotive sales for a time, but new data suggests automotive demand — and sales — are climbing. According to NADA, new light-vehicle sales jumped 3.1% from 2020 to 2021.

Dealership man reviewing information next to vehicle tires

With NADA also projecting increased vehicle sales in coming years, it’ll be hard for dealerships to manage inventory if their HR solution is in desperate need of repair. Giving your team a seamless self-service HR experience — powered by one login — available anytime, anywhere on their mobile devices empowers employees to manage their own:

This gives your team much-needed time back so they’re able to focus on closing sales and serving customers. Given Ernst & Young recently revised the average estimated cost of a single manual HR data entry task to $4.70, ensuring your team is using self-service HR tech helps strengthen your bottom line.

Servicing compliance

Giving your team the tools they need to truly own their data can help you reduce liability and avoid costly regulatory potholes.

For example, a single software capable of automating time-consuming conversions — such as your technicians’ pay structure — empowers your administrators to effortlessly integrate this data into your general ledger, taxes and payroll.

Plus, putting the power of payroll in employees’ hands allows them to verify the accuracy of their paycheck and troubleshoot it if necessary. After all, your employees — especially those with more complex timekeeping needs — know the hours they’ve worked best, and involving them in the payroll process is like providing the best model on your lot an extra layer of protective coating.

“From a compliance standpoint, it’s been tremendous. Paycom has 100% increased that,” said an HR director working in the auto industry.

Learn more about how Paycom’s single software helps rev the engines of efficiency and engagement. Learn more about ensuring your prospect HR provider is the right fit for your dealership.


DISCLAIMER: The information provided herein does not constitute the provision of legal advice, tax advice, accounting services or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional legal, tax, accounting or other professional advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation and for your particular state(s) of operation.