New Delhi, September 10, 2013: In order to prepare automobile dealerships for the challenge of managing business in a time of slowdown, the apex body of dealerships, Federation of Automobile Dealers Associations (FADA), has roped in business consulting firm Frost & Sullivan to create a benchmarking of best practices for dealerships to follow. These comments were made by FADA chairman, Mohan Himmatsingka, at the 49th annual session of the body, which took place on September 6, after the annual conventions of SIAM and ACMA.

He also outlined several other measures that FADA as an organisation is doing to help its dealers in these tough times and also highlight the initiative that it has taken in order to get the State Bank of India to give a lower rate of finance for inventory funding. This also includes the giving of incentives to dealers of commercial vehicles to sell finance for trucks.

Himmatsinghka also mentioned other initiatives that include business-to-business shows in various cities in India to generate more business potential and the alliance with India First Life Insurance.

In a buyers’ market, the FADA chairman said cost-cutting is the need of the hour even as he said that professionally-managed dealerships are a must. He highlighted the need for investment in human capital and managerial skills, reflecting themes that came up at ACMA, the day earlier.

Finally, he urged the government to make registration procedures for cat buyers easier and cited the example of the states of Delhi and Rajasthan where dealers are allowed to do registration work, thus making things more buyer-friendly and he asked if this could not be done for the commercial vehicle sector as well.

The FADA chairman also announced the eighth auto summit that will take place in Delhi on February 7-8 during the week of the Auto Expo 2014.

BRIAN DE SOUZA