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FADA Moots Organization of Auto Retailers at the Global Level

Federation of Automobile Dealers Associations (FADA) is gearing up to take the lead in formation of an international auto retail organisation comprising auto dealers and their national associations in countries like, US, UK, Brazil, Russia, and China.

It is very essential to build channels of communications across fast growing and mature automobile markets to imbibe best practices and learn from successful dealers in these countries. Such an organization would serve the purpose of exchange of ideas and views as well as sharing best practices among dealers in high growth markets.

The need to have an international body, which could coordinate activities of national associations as well as facilitate dealer-to-dealer interaction, is being deeply felt in view of the increasing inter-dependence and globalisation of economies. A Memorandum of Understanding (MoU) among major auto retail organizations may be signed as early as February next year to lay the foundation for such a body, with FADA as one of the founding members.

Orientation Programme for Young Dealers

To help the next generation dealers understand the nuances of business and maintain service standards in the backdrop of rising volumes, FADA is going to organize a series of orientation programmes for dealer principals and their sons & daughters for swift changeover in this highly demanding market. It is essential to bring continuity in the dealership business to ensure that owner principals or professional management stand up to the high standards of service delivery in this fiercely competitive market. Moreover, OEMs are counting on their existing set of dealers to deliver on growing revenue target.

Another major reason behind this initiative is to groom younger dealers to take on organizational responsibilities at FADA as well as create a forum for passing on the learning and the success stories of dealers to their fellow dealers.

The first such programme is being held on 10th & 11th December 2010 at Aamby Valley near Lonavala.

In view of the fact that an overwhelming automobile dealerships are family-owned, the issue assumes an edit importance. Family-owned dealerships and their succession planning was one of the topics of deliberations at the recently concluded Regional Convention of automobile dealers at Jaipur.

Voluntary Vehicle Safety Inspection Programme

FADA's initiative on Voluntary Vehicle Safety Inspection Programme jointly with SIAM and SAFE is making steady progress. A lot of groundwork has already been done. A pilot run of the programme at 19 automobile dealerships across the country will be rolled out soon. FADA has received encouraging response to this initiative from automobile dealers, manufacturers and insurance companies.

Drivers' Training

Yet another matter high on FADA's agenda is the drivers' training. With the tremendous growth of automotive industry, there is an acute shortage of trained drivers, especially in the case of commercial vehicles. While sales are constantly on upswing, drivers' training is not getting the attention it deserves. Driver training is, at present, unorganized and a crisis in terms of large number of drivers without requisite driving training and road sense is looming large. If the issue is not addressed on a war footing, it may snowball into a major concern and put brakes on sustained growth of auto market.

FADA would like impetus to be given to the drivers' training. It is heartening to note that drivers' training is a priority area for the proposed Automotive Skills Development Council (ASDC).

FADA and its dealer members can play a very crucial role in the area of drivers' training. Local associations of automobile dealers can take initiative, like, organising training programme in or around the trucking centres outside city limits, involving regional transport authorities. Though vehicle manufacturers are already active in driver training and sensitivity programmes, but it appears that such initiatives are restricted to a geographical region or major logistics zones. Dealers can play a very important role in taking training initiatives to small towns and villages.

FADA Council is going all out to garner support of members in order to launch these and other initiatives in a gradual manner and ensure participation of all member dealers. To ensure maximum awareness on these initiatives, FADA Council is contemplating the formation of several subcommittees comprising newer and older FADA members in different regions.
 
        
        
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