In 2026, dealership general managers face growing complexity — from market volatility and OEM expectations to technology decisions and leading change on the front line.
In our last issue, I explored the many different scopes of responsibility a General Manager can take on, depending on the size, structure, and market of their store.
In this issue, I’ll address some of the modern challenges and opportunities dealership GMs are taking on in 2026.
Successful GMs will use every tool within reach to find innovative ways to sell cars, parts, and service. They will also continue making the necessary adjustments to people and process to smooth out the highs and lows of the market.
Market Volatility
As I’m writing this column, headlines about geopolitical uncertainty, continued tariff threats, and other developments are competing for consumer attention. Much of it does little to inspire confidence in major purchases like a vehicle.
General Managers often don’t have much choice when faced with budgets set at the end of the previous year, other than to push through these external factors in pursuit of targets.
Successful GMs will use every tool within reach to find innovative ways to sell cars, parts, and service. They will also continue making the necessary adjustments to people and process to smooth out the highs and lows of the market.
Manufacturer Support and Expectations
As we see illustrated in industry measures like CADA’s Annual Dealer Satisfaction Index, communication and support from the manufacturer play a crucial role in the day-to-day operation of a franchise dealer.
The General Manager plays an important part in this relationship, using diplomacy to keep things productive with the OEM while also advocating for the needs of the dealership.
I learned early in my career that taking a sharper tone with an area representative does not always yield positive results, and can sometimes create longer-term friction.
The GM who does this well maintains consistent communication and uses steady language in both positive and challenging situations. They participate in manufacturer-led committees, providing an early voice to help shape change, and contribute thoughtfully to dealer meetings and events.
When these foundations are in place, the GM is better positioned to seek flexibility and attention when local issues need to be addressed.
Technology Selection and Adoption
In a world where there is no shortage of software promising to revolutionize, automate, and streamline dealership operations, the General Manager can seem spoiled for choice.
The reality is that GMs often wrestle with determining which solutions will truly be effective and justify their monthly price tags, while managing a constant stream of information. Whether it’s a performance group, trade show, newsletter, or cold call, the GM is pulled in multiple technology directions — all while trying to master the systems already in place.
Take CRM utilization, for example. Dealerships have invested in expensive CRM platforms for more than 25 years. The recent CADA Retail Technology Study, however, shows that many dealers use only a fraction of their CRM’s capability.
As the industry continues to explore AI, the General Manager must ensure that core digital tools are functioning well — and that team members are receptive to new processes rooted in technology.
People and Change Management
One of my favourite things to teach in the Automotive Business School at Georgian College is change management. It is a vital component of moving any business forward, especially one as multifaceted as a car dealership.
The General Manager is often the primary agent of change for the dealership team, setting either a positive or negative tone for any initiative. When done well, the GM celebrates progress with their team. When mishandled, the GM may absorb the frustration of the organization, making future change efforts exponentially more difficult.
As the workforce continues to evolve in its expectations of what it means to be an employee, the General Manager who takes a flexible and collaborative approach to change will be better positioned for success.
Looking Beyond the Numbers
The General Manager of a dealership is an exceptionally diverse leadership role, with responsibility spanning many areas of the business. Depending on how dealers and groups measure success, much of the nuanced work a GM performs exists below the numbers — sometimes contributing to higher turnover than necessary in this vital and demanding position.
