Motor Finance Resurgence

The UK Motor Finance market is enjoying a huge resurgence, with new entrants a plenty, and volumes of business on the increase for all, but how do you ensure that your business takes full advantage? How can you attract and retain the leading TALENT in order to keep you at the top of the market?

 

 

Why should you listen to me?
My Story…

In one guise or another I’ve been involved in the UK Motor Finance market place for the last 20 years. Starting at NWS in 1995 and progressing through the ranks whilst the business went through a number of re-brandings from NWS BANK, Capital Bank, Bank of Scotland Dealer Finance – part of HBOS, although I left before they were fully integrated with Lloyds. With a number of “new jobs” and all these “rebrands” I was the proud owner of about 10 different business cards!

I had a brief spell working on secondment at FINAX, the sub-prime arm of Forthright Finance, and I also enjoyed many stints as “supply” Business Manager for some of my clients, most notably Southampton Renault, an Inchcape dealer, where I spent 6 weeks living out of a suitcase selling HP, PCP, PPP, GAP, MBI and even some paintwork and interior fabric protector!

After leaving “The Bank” (that’s what everyone called it), I joined the happy folk over at The Funding Corporation. It was a brief spell for me there but I made some friends for life at TFC, and loved the buzz of working in a new start, entrepreneurial business. It was a Head Hunter that pulled me out of there, and I went on to enjoy even greater excitement at On Line Finance, part of GMAC, again making some incredible friends, and together we knocked down doors, innovated with our pricing models, and never took NO for an answer. A colleague and I once waited outside a dealers front door from 5.30am in order to hand deliver some improved terms that would have otherwise been ignored, ending in the securing of a £5m contract. Happy days (& a great bonus!)

I spent my last year (working directly for a lender) at Park Motor Finance before the Entrepreneurs Bug finally got me and I decided that I would establish a business dedicated to connecting my clients to the industries leading talent.

Together with my team (mainly built from similar backgrounds) we have an incredibly wide breadth of knowledge and truly understand your own business requirements, and the challenges you face in attracting and retaining the best people. After all, we’ve been there and done it ourselves. How many other recruiters have walked in your shoes?

SO what about this Motor Finance “Resurgence”

In the last 12 months the industry has seen finance volumes increase, and some new entrants either joining or coming back in to the market which means business is as competitive as ever, and much as you all have your own USP’s there really is only one major difference that you can really demonstrate to your clients….. your people!

There is little point having the best product or service in the world if nobody knows about it! The main channel for distribution in the Motor Finance market place is the sales people that travel the UK building relationships and selling your benefits to the dealers on their patch.

A great sales person / relationship builder can distribute more of an average product than a poor sales person can do with a great product. I know this is true because I’ve been on the frontline and done it myself, as well as building teams of my own, for a number of different motor finance providers.

So how does your business ensure you have the best of the best when it comes to the TALENT you employ?

Well from what I have seen first hand, and through dealing with almost every provider on the marketplace, it boils down to a few small points, or what Dave Brailsford, Performance Director of the super successful 2012 GB Cycling team would call “The Aggregation of Marginal Gains”. Or put another way, making continuous small improvements on a regular basis to see dramatic results.

How are you doing in these 3 areas?

1. Leadership
2. Compensation
3. Culture

Leadership

How is your Leadership? When did you last invest in your own personal development? What is the calibre of your Leadership team?

Bringing in a new LEADER to your business can dramatically increase the energy and culture of your team. If you want to know how we could help you head hunt an industry leader then please get in touch adamb@adambutlerltd.co.uk or 01244 752 459

The Motor Finance industry, and the entire Motor Industry in the UK has historically been heavily focussed on numbers and targets. I understand this and agree with the focus, but it can come at the expense of your foot soldiers. If they are always being pressed simply by numbers, at the expense of proper “coaching” and development, then this can have disastrous effects on the morale of your team, and an even bigger ripple effect on how you are perceived in the wider market as an employer, or even a provider.

It’s your responsibility as a Leader to put in place structured development plans for all your people and take full responsibility for their successes and failures (which of course includes the performance to target!)

What are your coaching skills like? Coaching is all about asking the right questions and helping the individual come up with the best solution for them. Accountability plays a big part in this, so you’d better get organised.

When you become a great leader your people will run through walls for you regardless of compensation. Having said that, you do need to pay them at a competitive rate….

 

Compensation

Your great Leadership skills are critical, but you do need to make sure you are paying your staff at a competitive rate for couple of valid reasons:

i) Top Performers know that they are top performers, and they will know their worth in the market. People talk, and your staff will be networking with others from your industry. They will have a very clear idea of what the market pays as an average, and be very aware of where they fit on the scale.

Not many people turn up every day JUST for the love of the job, and even if they do it won’t last forever. So you must know what the market rate is, and how competitive you are with that.

Having dealt with almost every provider in the Motor Finance industry over the last 10 years we are able to consult and advise with you on what the market rates are, so drop one of us a line if you would like to find out more. 01244 752 459, or adamb@adambutlerltd.co.uk

Compensation however is not just about money. Motor Finance “reps” are driving around in better cars than ever, and also enjoying above average holiday entitlements, pensions, insurances, and flexible benefits. You need to know how your package measures up. Again, ask for info if you think we can help.

ii) Head Hunters – If you are under rewarding your team then it is only a matter if time before a Search Specialist or Head Hunter gets in touch to remind them what they would be worth in the market at a competitor.

You can protect yourself from this in a number of ways, not least by having regular reviews with your team, putting in place a development framework for them always with a “next step” goal. If they are approached by a search specialist then they will be less likely to engage if they are working towards their “next step” goal in your organisation. It’s a win:win. They develop and you keep them.

Culture

Your COMPANY CULTURE is your trump card in the “War for Talent”!

What are the VALUES underpinning your organisation? Why do you do what you do as a business? Who do you serve? What is the mission and how are you communicating this to your people (and clients!)

Building a strong culture and communicating this consistently means you have one clear message running through everything you do. It give you a “Why” and means everyone understands the rules. It will help your team perform at a new higher level, and it will help you attract the best TALENT and even more customers.

We’ve designed and are now regularly running a specialist one day CULTURE development workshop as part of our new venture “Adam Butler Training”. If you’d like more information on exactly what we cover in that session that let me know.

So the question remains… what are you doing every day in your business to realise this “aggregation of marginal gains” that will have such a dramatic effect on your bottom line whilst engaging a team of A-Players? What can you do today to start?

I hope you’ve found this content useful in determining how you can best capitalise on the great opportunity being presented in the market at the moment.

If we can help you with any more information on any of the content then please just pick up the phone or pop over for a coffee.

And of course if you have any live vacancies then let us know if you would like some expert Motor Finance help to seek out and engage with the best talent.

Best regards

 

 

 

Adam Butler Consultancy has a specialist team of senior resourcing consultants, headed up by founder and CEO Adam Butler, and supported by Divisional Director of Executive Search Neil Massie

Our Executive Search offices are based on the outskirts of Chester and we have supported clients throughout the North West as well as the rest of the UK.
We have particularly strong existing contact networks within:
• Financial Services – Motor Finance & Consumer Finance
• Automotive & The UK Retail Motor Industry