Automotive Marketing Course Descriptions

AM 102: An Introduction to the Dealership Computer Systems, 1 credit

Provides a basic understanding of an integrated dealership computer system. Exposure to data base terms and operations will be the main focus. The practical use of computers within the various dealership departments will be demonstrated. Hands-on experience with the ERA system includes the generation of reports and letter writing functions.

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the functions of an integrated computer system as it is utilized in a modern automobile dealership.
2. Be able to access and demonstrate basic uses of the computer in the accounting, vehicle sales, parts, and service departments.
3. Understand the use of the database in creating correspondence.
4. Understand the use of the database in creating reports as required by management.
5. Understand the practical uses and possibilities of electronic mail.
6. Be able to visualize computer applications that enhance the management decision making process.

AM 131: Automotive Industry - A Macro View, 4 credits

Growth of the automobile industry from the early entrepreneurs to the multi-national corporations built from the vitality and ingenuity of countless individuals and organizations during times of depression, boom, unrest, and “normal” economic conditions.

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Be able to define vocabulary of the historical facts and myths of the transportation industry.
2. Have a total overview of the beginnings of the auto industry that brought us into the twentieth century.
3. Be able to explain the impact that the thoughts, ideas, and inventions that the early pioneers have had on individual mass transportation in society.
4. Be able to explain the growth and development of the large industrial corporations that created mass and lean production techniques for the total transportation industry.
5. Understand the development of the individual entrepreneur, the automobile dealer.
6. Understand the role that mass transportation fills in our society.
7. Understand the development of the global automotive market that has been created by our import policies.
8. Understand the effects of government regulations on the automotive industry.
9. Understand the total economic impact of the industry on our society.
10. Have some indication of the future of the industry as it moves toward the twenty-first century.

AM 132: Dealership Organization and Management, 4 credits

Considerations for dealership location, facilities layout, and design. Dealer qualifications; capital and organization requirements; and relations with factories, financial institutions, customers, employees, other dealers, and the community

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the elements of the automotive franchise system.
2. Have a strong working knowledge of the definitions and vocabulary of the dealership.
3. Understand the purpose and function of the automobile dealer.
4. Understand the relationship between the automobile dealer and the manufacturer/distributor.
5. Understand the differences in the operation of small and large volume dealerships.
6. Have an appreciation of the importance of solid business ethics in the management of the dealership.
7. Be able to functionally and physically organize a dealership.
8. Understand the importance of properly educated employees.
9. Understand the functions of all of the profit centers in a dealership.
10. Have an appreciation for the importance of studying current and predicted trends in automotive retailing.

AM 261: New and Used Vehicle Merchandising, 4 credits

Basics of advertising, sales promotion, sales facilities, inventory planning and control. Recruiting, selection, training, and directing the sales staffs. Includes utilization of the ERA computer for vehicle merchandising and vehicle inventory control; utilization of the computer as a sales tool for finance and insurance.

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the vocabulary of the new and used vehicle departments.
2. Understand how personnel decisions affect the sales department's performance.
3. Understand how training and personal evaluation effect the sales process.
4. Understand the effect of compensation plans on sales results.
5. Understand how to prospect for sales leads effectively.
6. Understand the importance of qualifying the buyer and how it is done.
7. Be able to make a professional product presentation.
8. Understand closing techniques.
9. Know the selling process in its entirety.
10. Be familiar with the financing and leasing process.
11. Be familiar with the selling tools of advertising and sales promotion.

AM 262: Dealership Advertising, 4 credits

A study of all the areas of dealership advertising for the effective use of funds to maximize dealership market share.
Prerequisite: AM 132

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand how advertising is used to promote all areas of an automotive dealership.
2. Be able to determine, using research and analytical techniques, which markets to target.
3. Have had first-hand accounts of current advertising strategies presented by area dealers.
4. Understand the strengths and weaknesses of each of the major media: newspapers, magazines, radio, and television.
5. Understand the uses of alternative media: yellow pages, outdoor, transit, direct mail.
6. Be familiar with public relations strategies useful to automotive dealerships.
7. Better understand consumer behavior.
8. Know how to write basic headline and body copy for a dealership.
9. Know how to communicate with the media and the automobile manufacturers regarding advertising.
10. Be able to determine comparative effectiveness of in-house vs. agency advertising.

AM 263: Used Car Management, 4 credits

Investigation of the vital role a successful used car operation plays in the profitability of a new car dealership. Discussion of the profit opportunities through inventory planning and control, and an integrated merchandising plan.

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the importance of inventory control, both in dollars and in units.
2. Know the decisions that must be made in the reconditioning process.
3. Understand how to motivate retail activities through promotions and pay plans.
4. Understand how to participate in wholesale activities through auctions and individual wholesalers.
5. Be able to determine the location of the used car lot and understand the display and lighting of the lot.
6. Understand how to integrate the used car function with new car merchandising and the finance and insurance activity.
7. Have a working knowledge of used vehicle advertising.
8. Understand the role of appraising in overall success of both new and used vehicle sales operations.
9. Understand used vehicle pricing strategies.
10. Understand the role of "buy-here-pay-here" lots in the used sales market.

AM 264: Variable Operations Management

This course investigates the vital role successful new and used vehicle departments play in the profitability of American franchise automobile dealerships. Topics covered include selection and motivation of employees, directing the sales staffs, basics of evaluating prominent advertising media, sales promotion, facilities planning, inventory control, methods for maximizing inventory turn, wholesaling practices, appraising of trade-ins, reconditioning of vehicles for retail sale, and the role of auctions in maintaining proper inventory balance. This course will also utilize the ERA computer system.
Prerequisite: AM 132 and AM 102

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand how personnel decisions affect the sales department’s performance.
2. Understand how training and personal evaluation effect the sales process.
3. Understand the effect of compensation plans on sales results.
4. Understand how to prospect for sales leads effectively.
5. Know the selling process in its entirety.
6. Be familiar with the selling tools of advertising and sales promotion.
7. Understand the importance of inventory control, both in dollars and in units.
8. Know the decisions that must be made in the reconditioning process.
9. Understand how to participate in wholesale activities through auctions and individual wholesalers.
10. Be able to determine the location of the used car lot and understand the display and lighting of the lot.
11. Understand how to integrate the used car function with new car merchandising and the finance and insurance activity.
12. Understand the role of appraising in overall success of both new and used vehicle sales operations.
13. Understand used vehicle pricing strategies.
14. Understand the role of “buy-here-pay-here” lots and sub-prime financing options in the used vehicle sales market

AM 299: Internship, 4 credits

The Internship (400 hours of paid employment) is designed to provide the student with supervised on-the-job training. A contract between the college, student, and employer provides the groundwork. Objectives, evaluations, written log, and a study of the organization are designed to provide a realistic learning experience.
Prerequisite: Faculty approval

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Have had actual dealership experience through on-the-job training in various departments of the dealership.
2. Be able to relate dealership experiences to classroom examples.
3. Know the history of the dealership.
4. Have experience in the hiring process.
5. Have experience in the process of keeping a daily log.

AM 358: Service and Body Shop Management

An in-depth study of the management of both the Service Department and the Body Shop of American franchised automobile dealers. The class will emphasize repair order generation and control, shop utilization, scheduling of work, selection and motivation of employees, technician productivity and efficiency, Body Shop estimating techniques and dealing with insurance companies. This course also will utilize the ERA computer system.
Prerequisite: AM 132 and AM 102

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the importance of effective human resource policies and procedures to the operation of the parts and service departments of the automobile dealership.
2. Understand the importance of effective human resource policies and procedures to the operation of the parts and service departments of the automobile dealership.
3. Understand and be able to create, control, and improve customer satisfaction.
4. Be able to create an effective control of special tools.
5. Be able to determine methods of assessing shop efficiency and productivity.
6. Understand basic scheduling and loading techniques for setting shop appointments.
7. Understand common job assignment methods including dispatching, lateral support systems, and team shops.
8. Understand the importance of job estimating in the Body Shop.
9. Understand the nature of the relationship between the body shop, the insurance companies and parts suppliers.

AM 360: Parts Management

This course covers in-depth the Parts Department of American franchise automobile dealerships. The course will emphasize selection and motivation of employees, parts inventory control, the relationship between the parts and service departments, retail counter sales, wholesale parts sales, inventory ordering and turn, stock and non-stock parts numbers, level of service, stock order performance, and part phase-in/phase-out criteria. This course also will utilize the ERA computer system.
Prerequisite: AM 132 and AM 102

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the importance of effective human resource policies and procedures to the operation of the parts department of the automobile dealership.
2. Be able to utilize the computer to accurately control parts inventory.
3. Understand the principles of merchandising wholesale and retail parts.
4. Be able to create and coordinate a long term merchandising campaign for the parts and service activity.
5. Be able to implement effective parts department security.
6. Be able to provide an effective plan of retail and wholesale counter management.
7. Understand stocking methods as well as phase-in and phase-out criteria for stocking part numbers.
8. Be able to understand and utilize level of performance and stock order performance criteria in order to maintain proper parts inventory stocking levels
9. Understand the importance of good parts inventory turn, the role of emergency purchases and the importance of tracking lost sales.

AM 362: Finance and Insurance Department, 4 credits

An in-depth study of the finance and insurance department of the dealer ship, with special emphasis on the knowledge of the products offered in these departments and their profit potential.
Prerequisite: Prerequisite: AM 132 and AM 102

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the benefits and profitability of the insurance product.
2. Understand the sources of income available to franchised dealers who help customers finance their automotive purchases.
3. Understand both the long and short term dealership profit opportunities to be made by properly meeting customers needs.
4. Understand the contractual obligations among the dealership, the customer, and the lending institution.
5. Be able to discuss "showroom" leasing as an alternative to traditional financing and the benefits of leasing to the customer.
6. Understand proper methods of dealing with lending institutions on loan approvals for customers.
7. Be able to maximize the sales and profits of "aftermarket" products to customers.
8. Understand the elements of selling the complete finance package to the customer including extended service contracts.

AM 363: Automotive Dealership Accounting, 4 credits

Application of the basic accounting principles to the retail automobile dealership. Transactions are traced from the source documents through the accounting records to the financial statements. Students will prepare and analyze all standard dealership operating and reporting documents. Included in the course will be exposure to computerized accounting through the use of an ERA computer system.
Prerequisites: ACC 232 or ACC 242; AM 102 and AM 132

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Have learned the accounting procedures necessary to trace transactions through the dealership accounting records.
2. Understand the normal transactions that occur in an automobile dealership and account for them from the source document to the operating statements.
3. Be able to prepare all necessary supporting documents to the financial statement.
4. Have practiced making entries in all Journals including purchase, internal sales, cash receipts, payroll, as examples, as well as standard entries at the end of the month.
5. Be able to prepare a trial balance and operating statement.
6. Have utilized the ERA system to demonstrate computer usage in the accounting function in the dealership.
7. Be completely familiar with the accounting function of the automobile dealership.

AM 397: Practicum I, 1 credit

A period of observation and/or job shadowing in a work environment, typically unpaid, and requiring a written report for the responsible Professor.

AM 398: Practicum II, 1 credit

A period of observation and/or job shadowing in a work environment, typically unpaid, and requiring a written report for the responsible Professor.

AM 399: Directed Study

This course focuses on the uniqueness and diversity of American franchise automobile dealerships in a major metropolitan market. The student will gain an understanding of dealership design, management and operation, customer relations, inventory control, and other dealership activities through visitation and observation of dealerships in operation, and by talking directly to dealers and managers at various dealerships. The class will visit a minimum of six dealerships during the term. Attention will be given to comparing and contrasting different dynamics of dealership operation such as size (large versus small), brand, (import versus domestic), and age (older versus newer). The student will be required to select one dealership for an in-depth case study.

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the entrepreneurial nature of American franchise dealers.
2. See dealerships in operation and observe how they respond to different decision-making situations.
3. Understand both the similarities and differences of how dealers operate.
4. Be able to differentiate management styles of profit center managers at various dealerships.
5. Understand the architectural differences between dealerships and between brands.
6. Understand the manufacturer’s influence within their dealer body in terms of merchandising, facilities, promotion, and management.

AM 461: Dealership Business Management, 4 credits

Dealership accounting practices, EDP applications, preparation, analysis, and interpretation of financial reports. Role and functions of the business office. Forecasting and budgeting, expense control, wholesale and retail financing, and the dealership insurance program.
Prerequisites: AM 264, 358, 360, 362
Corequisite: AM 363 

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the vocabulary of the business management department.
2. Understand the necessity of controlling the assets of the corporation and how to do so.
3. Know basic dealership accounting standards and business management principles.
4. Be able to create proper expense controls and policies of credit extension.
5. Understand wholesale and retail financing as well as other methods of corporate financing.
6. Be aware of insurance terminology as well as the importance of proper insurance coverage for the protection of the corporation.
7. Be able to do basic financial statement analysis and operating trend analysis.
8. Know NADA ratios as well as other sources of financial ratios and guides.
9. Have had experience in forecasting future operating standards and establishing objectives.
10. Understand the importance and function of computers in business management operations.

AM 462: Budgeting and Forecasting

Using modern business management techniques for the preparation of sales forecasts for all departments. Establishing expense budgets to support the functions and activities needed to achieve the forecast objectives.
Prerequisites: AM 461

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Be able to analyze a dealership financial statement for departmental profitability.
2. Be able to undertake a cash flow analysis, both short term and long term.
3. Be able to establish a budget using historical information.
4. Understand the recording of financial data to indicate progress and reflect over/under situations.
5. Have a working knowledge of expense control.
6. Understand profit management and allocation.
7. Be able to use the computer to simplify processes of profit management.
8. Be able to create a budget and business plan by department.
9. Understand the growth cycles of businesses and their impact on forecasting.
10. Understand the importance and significance of strategic forecasting.

AM 467: Dealership General Management, 4 credits

The capstone dealership management course enables students to enter the automotive marketing field with confidence in their abilities to perform at a high level. The course includes a study of current retail marketing and management enterprises, inventory control, personnel management, customer care, and financial controls as well as a review of the function and management of each of the five basic dealership departments. A computer simulation in which class members are challenged to rescue a troubled dealership is also included.
Prerequisites: AM 462 or FIN 455 

Goals and Objectives
By the end of this course, Northwood wants students to:

1. Understand the importance of good personnel policies and procedures.
2. Be able to utilize proper planning and statement analysis skill to optimize departmental performance.
3. Understand the importance of proper inventory control.
4. Understand that a positive attitude toward the customer and toward personal success are necessary to successful general management.
5. Understand the importance of proper policies and sound knowledge in the areas of legal compliance, governmental regulations, and other external factors affecting all operating departments.
6. Be able to respond to computer modeling of real life situations.
7. Be able to simulate the actual decision making process dealers face daily.
8. Understand the financial impact of decisions on dealership operations.
9. Be aware of recent and emerging developments in dealership management.
10. Be prepared to enter the field of automotive marketing with an extremely high level of competency.