TOM JOHNSON CAMPING CENTER MR. Tom Johnson

By: Bailey Hansil

Background to Principal and Organization

Tom Johnson Camping Center Tom Johnson

Background

Principal From the mountains of NC

-Loved the outdoors Took a risk to start his business

-Quit his job to start a new life Loves what he does

-Tom’s personality played a great roll in the success of his business.

- A lot of people say the “customer is always right” but Tom built a business on it.

Background

Business Recreational Vehicle Sales

-Small family campers to Multi million dollar busses

Began in 1967

-Two locations in Marion and Concord NC Outstanding Customer Service

-Commitment to quality and satisfaction of the customer sets Tom Johnson Camping center apart from competition

The DiSC

Steadiness People of this kind are patient and

sympathetic listeners, with a real interest in the problems and feelings of others, and are particularly capable of fulfilling support role.

Will continue to work until they complete an assignment

http://www.youtube.com/user/TomJohnsonCamping#p/u/9/k-yA1cxhpcI

Events Leading Up to the Issue

BOOM TO BUST Economic “BOOM”

-2007 was the busiest year with 4000 units sold signaling a economic “BOOM”

Economic “BUST”-2008 there was a 50% decrease in

sales with 1800 units being sold, continuing on for the next two years with similar decreases.

Business Indicators

Financial and Non-Financial Impact

Largest budget expense:

Floor plan- Floor plan expense for a dealership is a payment to a bank equal to the interest charged for the money the dealership borrows from the bank to buy inventory.

Financial Indicators

Non Financial Indicator

Elective Purchases Things a person

doesn’t need and are the first things to be delayed or canceled during a time of economic stress

Repairs that weren't covered under warranty that were sometimes covered under the good will of the dealership stopped being made.

Customers didn’t appreciate this change and took their business elsewhere

Elective purchase Customer disatisfaction

Impact

Quick measures-had to be taken to auction existing inventory to meet payroll, cut employee hours, reduce benefits, reduce advertising, reduce operating hours, and strictly control all areas of overhead expense to survive

50% drop in sales from 2007-10 350 staff had nearly been cut in half

“The On-Time, On-Target Manager”

Priority- 1.)The things we want to do and have to do.2.)The things we have to do but don’t want to do.3.)The things we want to do but don’t have to do.4.)The things we don’t want to do and don’t have to do.

Do the right thing. Do it for the right reason. Do it with the right

people. Do it at the right time. Do it in the right order. Do it with intensity. Do it for the right results.

The Three P’s -Propriety

“The On-Time, On-Target Manager”

-CommitmentIs summed up with the phrase “Ya’ gotta’ wanna’,” or What do you want to do? and Why do you want to do it?

“Who Moved My Cheese”

They Keep Moving The Cheese- don’t get too comfortable with the success of the business

Get Ready For The Cheese To Move: See it before it happens -If you are monitoring your business closely daily, weekly, monthly instead of quarterly or annually, then adjustments to your entire operation can be made in effective, gentle movements which can be unnoticeable to the customer, your employees, and your suppliers

Change Happens Anticipate Change

“Raving Fans”

A lot of people say the customer is always right, but Tom actually built a business on it

Make your customers special

Discover what the customer wants

Your customer service is part of your product.

-Tom made it a point to make sure the customer felt at home and comfortable with his service and product.

“The Present”

Plan for the future to achieve happiness

Live in the now

reduces uncertainty, anxiety and fear about future events as you are actively working on your plan to achieve your goals in the future

Plan for the future but don’t live in it

Planning for future

“A Journey With Mac”

Employee satisfaction is never guaranteed: make them feel special and important

Use your authority to make decisions for the business

Trust your employees Be the Manager

Solutions

Make drastic changes:- The situation was not as simple as

spending less for copy paper.

Adjustment to the agreement with the bank: -To delay or drastically lessen the amount of the monthly interest payment

-For their protection, the bank also sent a representative to the dealership to make

sure all other expenses were being handled as carefully as possibly

Conclusion

Largest lesson learned: -Always act like you are facing at

least the possibility of an economic downturn.

Never take your eye off the prize: -To be truly successful, it has to be

managed every day, in every situation, under all economic conditions, with the thought that the economy may stumble as well as grow.

Questions?