A practical exercise for dealership leaders to identify wasted time, improve processes, and better support technicians
“Gemba” is a Japanese term used in Lean processes. It means “go to where the action is.”
In a vehicle manufacturing plant, a CEO or plant manager will do a Gemba walk to observe production on the floor and see processes in action. One of the key things they are looking for is muda, the Japanese term for waste.
In dealerships, we don’t always apply this thinking.
As managers, it’s easy to become chained to our desks. Service managers, in particular, are busy reviewing work orders, processing warranty claims, and tracking KPIs. These are all important tasks. But it’s worth remembering that managers, parts consultants, service advisors, and warranty administrators are all support staff.
We are there to support the technicians and apprentices in the shop.
In a dealership, production happens in the service department. That is where revenue is generated. So the question is simple: How well are we supporting the people doing that work?
Here’s a straightforward exercise for your management team, dealer principal, general manager, service manager, and parts manager, to find out.
Go to the Gemba.
Go to the shop floor and observe what is actually happening during three key time periods:
- The first hour of the day (e.g., 8:00–9:00 a.m.)
- The first hour after lunch (e.g., 1:00–2:00 p.m.)
- The final hour of the day(e.g., 4:00–5:00 p.m.)
Yes, everyone is busy. Sitting on a stool in the shop with a notebook may not feel productive. Do it anyway.
You can divide the time among managers if needed, or repeat the exercise regularly to gather more data. But commit to a full hour of observation. It takes discipline.
During that time, write down every instance where a technician is not in their bay turning wrenches. If they are not in their bay, they are not generating revenue.
Track things like:
- Time spent waiting at the parts counter
- Delays waiting for advisor approval
- Time lost searching for tools
- Late starts in the morning or after lunch
- Technicians running out of work before closing
- General shop organization and cleanliness
You will likely be surprised by what you see. Once you’ve completed the observations, total the wasted time for each period. Add it up for the day.
Even a small number adds up quickly. Let’s say you identify three hours of lost productivity in a day. Multiply that by your door rate, then by 21 working days in a month, and then by 12 months in a year.
Now the number gets your attention.
And that’s just labour.
For every dollar in labour, there is typically a corresponding amount in parts sales. If your parts-to-labour ratio is 1:1, you can double that number. That is the impact on your bottom line from tightening up processes and reducing waste.
The next step is to ask why.
Why are technicians waiting at the parts counter? Why aren’t parts pre-picked and delivered? Why are tools disorganized? Why is the shop not clean and efficient? Why aren’t technicians starting on time, or why are they running out of work before the day ends?
Every one of these issues points to a process gap.
And every gap is an opportunity.
Better organization improves productivity. Better processes reduce wasted motion. Stronger coordination between departments keeps technicians focused on what they do best.
Because the reality is simple: When technicians are not in their bays turning wrenches, they are not making you money.
Dealership leaders need to spend time where production happens. Observing the work, understanding the flow, and identifying friction points is one of the most effective ways to improve performance.
If you want to go deeper, my book Stay in the Bay, co-written with my business partner, explores these ideas in more detail.
As we write in the book: nothing else makes more money for a dealership than a group of well-trained technicians performing repairs at the level of their expertise. Nothing.
