Kens Weekly News - 11/19/05 - Happy Thanksgiving!
11-19-2005, 11:21 AM
#1
Le Mans Master
Thread Starter
Member Since: May 1999
Location: Laurel MT
Posts: 6,841
Likes: 0
Received 44 Likes
on
23 Posts
Cruise-in I Veteran
Cruise-in II Veteran
Cruise-In III Veteran
Kens Weekly News - 11/19/05 - Happy Thanksgiving!
Happy Holidays from your friends in Montana!
PLEASE NOTE:
I will be out of the office Monday thru Saturday, November 21 thru November 26. I will answer all of my email and voicemail when I return!
GM Protection Plan News and FAQ:
Save $$$$ TODAY!
Dennis Fichtner has slashed our profit margin on the plan thru the end of the year because he is in a sales contest! GM might increase prices AGAIN on December 31: You can beat the price increase, get the lowest price ever, and not pay sales tax on a GM Protection Plan!!
MAKE SURE TO TELL DENNIS THAT YOU WERE REFERRED BY THIS WEBSITE. HE IS NOT OFFERING THESE SPECIAL PRICES TO ANYONE ELSE!
Save $$$$ TODAY!
For help with a GM Protection Plan call Dennis Fichtner at 800-234-5284 or email him at: gmpp@fichtnerchevrolet.com
Parts, Accessories and Service News:
I have updated our website and NOW you can order parts online from us from within our dealership website!!
Check it out today, log on here:
www.fichtnerchevrolet.com
GM is releasing new items for the 2005 and 2006 Corvettes weekly!
Here are just some of the items that have in stock and on sale at dealer wholesale:
Lexol Liquid Cleaner
Lexol Cleaner Wipes
Lexol Conditioner Cleaner
Lexol Conditioner Wipers
UPF44 Oil Filters
Magnetic Drain Plugs
Air Filters
Corvette Service Manuals
Lloyds Embroidered Cargo Area Mats
Lloyds Embroidered Floor Mats
Stainless Rear Letters
Stainless Side Grilles
Painted Door Handles
Chrome Door Handles
Painted Rear Spoiler
Painted Rear License Frame
Painted Fuel Rail Covers
Front Bra
Remote CD Changer
Rear Cargo Storage Unit
Seat Back Storage Pouches
Painted Interior Trim Package
Color Keyed Shifter and Emergency Brake Boots
Brushed Aluminum Door Sills
Stainless Steel Exhaust Screen
GM Performance Exhaust System (Borla)
Corsa Exhaust System
Note that we aren’t selling parts at a loss and then adding an exhorbidant amount for shipping and handling. Further, note that there isn’t any sales tax in Montana thus saving you more!
For help with parts and accessories call Robert Wendorff at 800-234-5284 or email him at: parts@fichtnerchevrolet.com
Dealership news:
Fichtner Chevrolet was founded in 1953 by my grandfather, Theodore Fichtner.
My father, Leonard Fichtner, became the dealer in 1961.
On June 8, 2005, I, Kenneth Fichtner, became the dealer. I am as you can see, the 3rd generation!
Fichtner Chevrolet personnel directory:
GM Protection Plans and New Car/Truck Sales:
Dennis Fichtner, Business Manager
gmpp@fichtnerchevrolet.com
406-628-4618 Ext 105
Corvette Sales and Advice
Ken Fichtner, Dealer
kenfichtner@fichtnerchevrolet.com
406-628-4618 Ext 103
Parts:
Robert Wendorff, Parts Manager
Parts@FichtnerChevrolet.com
406-628-4121
John Thomas Dorsey, Parts Specialist
Parts@FichtnerChevrolet.com
406-628-4121
Service:
Maudie Merck, Service Manager
Service@FichtnerChevrolet.com
406-628-4618
Office Administration/Accounting:
Kayla Eastlick
KEastlick@FichtnerChevrolet.com
406-628-4618
Thanks for taking the time to read my weekly newsletter and thanks for your business!
Index of topics:
Weekly Newsletter – Contents (everything updated!)
1) Something new for 2006 models produced after October 16! - NEW
2) New Corvette Accessories Released - UPDATED
3) 2006 Corvette Price Increase Details - NEW
4) 2006 Corvette Order Guides
5) 2006 Corvette Z06 Allocation Information
6) Corvette Distribution System Explanation
7) Special Purchase/Sale 2005 Corvette Convertibles - NEW
8) GM Rebates/Special Finance Rates - UPDATED
9) GM Employee & Supplier Plan - UPDATED
10) Weekly Constraint/Production News - UPDATED
1) Something new for 2006 models produced after October 16!
Subject: New Corvette Customer Welcome Letter
Message: CHS20050075
Corvette Customer Welcome Letter and PDI Importance (U.S. Only)
Models: 2006 Chevrolet Corvette
Built After October 16, 2005
Beginning with October 17th production, the Bowling Green assembly plant will be putting a customer welcome letter in the center console of each new Corvette. The letter welcomes the owner into the Corvette family and emphasizes the technology and performance built into the new Corvette. This letter should be presented to the purchaser at the time of delivery. Please also stress the importance of reading the Getting-to-Know-You Guide and the instructional DVD or CD to help get the customer get the most from their vehicle.
The Corvette is a world class premium sports car. Make sure to capitalize on high Customer Satisfaction Scores by delivering a pristine vehicle that has had careful attention to ALL aspects of the PDI process. For specific information, refer to Corporate Bulletin Number♦03-00-89-006C.
2) New Corvette Accessories Released
Genuine Corvette Accessories
Introducing "NEW" to the accessory portfolio:
The following new products are now available.
Rear Cargo Organizer - C6 Coupes
Additional colors for the door handles, interior trim pieces, front and rear license plate holders
Painted Fuel Rail Covers
Remote CD Changer
3) 2006 Corvette Price Increase Details
2006 Chevrolet Interim Price Change Effective 11-18-05
Chevrolet will announce revised 2006 model year Suggested Retail prices effective with vehicles produced on or after November 18, 2005. The revised Suggested Retail prices will affect the Corvette, Colorado and Uplander. Dealer invoice amounts will increase accordingly. Dealer discounts remain unchanged.
Dealer price schedules will be available in GM Dealerworld under Sales &/Or F&I Tabs effective November 18,2005.
All qualified bona fide sold retail orders entered in VOMS on or before November 17,2005 and delivered to the original customer after that date will be price protected. These units will be invoiced at prices in effect at the date of production; however, the dealer open account will automatically be credited for the price increase once the unit has been delivered.
Generally, fleet orders are invoice price protected (i.e., bid center FBC order types, VQ orders). All other fleet orders will be price protected according to the bona fide sold retail price protection policy above. Refer to the price protection effective date on the invoice.
Chevrolet reserves the right to discontinue or change prices at any time, without written notice.
2006 Model Year Vehicle Price Schedule
Effective November 18, 2005
Corvette Coupe $44190 (increased $390)
Corvette Convertible $51980 (increased $445)
Destination Charges $800
Coupe 2LT Package $1495
Coupe 3LT Package $4795
Convertible 3LT $3395
Power Convertible Top $1995
Museum Delivery $490
OnStar System $695
Z51 Performance Handling Pkg $1695
19U LeMans Blue $300
45U Velocity Yellow $750
80U Monterey Red $750
Navigation with Single CD $1600
Dual Roof Panel Pkg $1400
Transparent Roof Panel $750
Magnetic Selective Ride Control $1695
6 Speed Automatic Transmission $1250
Polished Wheels $1295
Competition Gray Wheels $295
Chrome Wheels $1995
2006 Model Year Vehicle Price Schedule
Effective Start of Production
Corvette Coupe $43800
Corvette Convertible $51535
Destination Charges $800
Coupe 2LT Package $1495
Coupe 3LT Package $4795
Convertible 3LT $3395
Power Convertible Top $1995
Museum Delivery $490
OnStar System $695
Z51 Performance Handling Pkg $1695
19U LeMans Blue $300
45U Velocity Yellow $750
80U Monterey Red $750
Navigation with Single CD $1600
Dual Roof Panel Pkg $1400
Transparent Roof Panel $750
Magnetic Selective Ride Control $1695
6 Speed Automatic Transmission $1250
Polished Wheels $1295
Competition Gray Wheels $295
Chrome Wheels $1995
4) 2006 Corvette Order Guides
Order guides are now available.
Click here for the 2006 Coupe:
http://temp.corvetteforum.net/c5/ken.../2006coupe.pdf
Click here for the 2006 Convertible:
http://temp.corvetteforum.net/c5/ken...onvertible.pdf
Click here for the 2006 Z06:
http://temp.corvetteforum.net/c5/ken...rder_guide.pdf
5) 2006 Corvette Z06 Allocation Information
Corvette Z06 Allocation Plan
The 2006 Corvette Z06 allocation plan is a 2 phase process. While the details of each phase are shown below, there are some key points worth noting. First, not every Certified Corvette Dealer will receive a 2006 Corvette Z06 model. The Z06 model will have its own allocation group - Z06. And, Corvette Z06 retail production will be allocated to eligible Corvette Dealers using the most current 52-week total retail Corvette sales.
• Dealers will be able to view current month allocation plus one month outlook
• Each Dealer will be mailed a six month allocation outlook
• In December, a four month outlook will be communicated based on the most current 52-week sales history
• In April 2006, distribution will provide the balance of model year outlook based on the latest 52-week sales history for buildout
• The above steps were established to discourage over commitment/selling
Phase I Details
• Dealers will be placed in Tiers based on their 52 weeks of retail Corvette sale
history (June 2004 - May 2005) for the first 3 consensus cycles.
- Tier 1 will be comprised of the 25 largest volume Corvette Dealers
- Tier 2 will include the largest 125 Corvette Dealers
- Tier 3 will expand to include the largest 300 Corvette Dealers
• Initial consensus:
- June 2005 (for production week 33)
- Exclusively to Tier 1 Dealers using the June 2004 - May 2005 sales history
• Second consensus:
- July 2005 (for production weeks 34 - 36)
- Exclusively to Tier 1 & 2 Dealers based on the launch sales data
• Third and final Phase I consensus:
- August 2005 (for production weeks 37 - 40)
- Distributed to Tier 1, 2 & 3 Dealers
• Consensed allocations will be "protected", so that Dealers cannot accidentally
loose their allocations. Pattern Z06 orders will be created as necessary during
weekly DOSP cycles.
Phase II Details
• Eliminates the assignment of Dealer Tiers. All Certified Corvette
Dealers with a June 2004 - May 2005 sales history will be comprehended
in the balance of allocation calculations.
• The allocation determined by the same formula in phase 1
• Begins with the September 2005 consensus (for production weeks 41 - 45)
• Due to the limited production of the Z06 model there will be no
guarantee that each Certified Corvette Dealer will receive allocation
for a Z06 model
• Consensed allocations will continue to be "protected", from accidental
loss. Pattern Z06 orders will be created as necessary during weekly
DOSP cycles.
• Z06 will not qualify for PEP, but will be eligible for EVP Drive & Buy
and GMS/Supplier when the current incentive program expires
Don’t be misled by your dealer!
Please note that EVERY Chevrolet dealer received a letter from the Corvette Marketing Team dated June 15, 2005.
Before you place an order and give a deposit to your dealer of choice based upon what they tell you, ask to see this letter!!!!
Have a successful day,
Ken Fichtner
Fichtner Chevrolet
Here’s what the letter says:
XXXXXX
XYZ Chevrolet
123 Main Street
Anywhere, MT XXXXX
Attention: Dealer Operator and New Car Sales Manager
Subject: Corvette Z06 Allocation Projection
An integral part of the 2006 Corvette Z06 distribution plan is to provide an extended allocation projection to all eligible Corvette dealers. This is a projection and not a commitment, but is intended to assist dealers in managing customer expectations in line with dealer allocation.
Below is your dealership’s projected allocation of Z06 through December 2005 production. A second extended projection will be provided in December. Please keep in mind that this allocation projection is based on an estimated production schedule and therefore must continue to be considered as a projection and is not to be considered an absolute commitment.
Your Z06 Estimated Allocations:
July August September October November December
# # # # # #
If a dealer chooses not to consent to their Z06 allocation that allocation will be redistributed to another eligible dealer during the variance resolution and will not be rolled forward nor will it be converted to regular Corvette allocation.
Note: Complete details of the Z06 Distribution Plan are available in Chevylaunch.com
CORVETTE MARKETING TEAM
6) Corvette Distribution System Explanation
Estimated Shipments Process
Distribution of the production schedule is based on the following:
• Controlled Allocation
• Available Days’ Supply (ADS)
• Forecast
These calculation methods are explained below.
GMVOM Timing Cycle
The Estimated Shipments process occurs each month, and is completed on Thursday of Week 1 in the GMVOM Timing Cycle.
NOTE: The Estimated Shipments and Consensus processes do NOT apply to Regional Consulting Center (RCC) dealerships. Also, constraints are distributed to RCC dealerships ONLY for constrained allocation groups.
Estimated Shipments Process Tasks
Plan Production Volumes
GM plans production volumes for each allocation group by analyzing several inputs, including marketing strategies, production estimates, production constraints, and dealers’ sales forecasts. During the analysis, GM must answer the following questions related to each of these inputs:
• Marketing strategies – How should GM position the vehicle in order to achieve maximum market penetration? Are there major advertising or incentive programs planned for specific periods during the year?
• Production estimates – How many vehicles can the plants produce for a specific period?
• Constraints – What models and options are available only in limited quantities because their production capacity is too low or their demand is too high?
• Dealers’ sales forecasts – What quantity of vehicles have the dealers determined that they can sell?
Dealers’ sales forecast quantities are an important factor in the production planning process.
Process Temporary Allocation Requests
Based on specific qualifying criteria, GM assigns temporary allocation quantities to dealers in order to supplement the normal sales planning and allocation processes.
NOTE: For information about the qualifying criteria, dealers should consult with their respective Zone Teams.
Calculate Estimated Shipments
GM calculates estimated shipments for each dealer based on the following inputs:
• The estimated production volume for the allocation group.
• A specific production period.
• A selected calculation method.
GM has three methods for calculating estimated shipments—Controlled Allocation, Available Days’ Supply (or ADS), and Forecast. The method that GM selects for calculating estimated shipments is based on:
• Whether or not the allocation group is a new vehicle line that is just being launched.
• Whether the demand for the allocation group is greater than or less than the supply.
CONTROLLED ALLOCATION CALCULATION METHOD
• When does GM use the Controlled Allocation method? GM uses the Controlled Allocation method during the launch of a new vehicle, at the time when demand is greater than supply and the marketing team wants to target a specific market. GM also uses the Controlled Allocation method when the long-term demand for a vehicle (such as the Corvette) exceeds the vehicle supply.
• How does the method work? When using Controlled Allocation, GM will typically allocate vehicles to the dealers based on a defined launch strategy or equitable distribution; for example, based on marketing strategies, GM may allocate a new pickup truck to dealerships that are located in rural areas.
AVAILABLE DAYS’ SUPPLY (ADS) CALCULATION METHOD
• When does GM use the ADS method? GM uses the ADS method the majority of the time.
• How does it work? GM allocates vehicles to the dealers with the lowest Available Days’ Supply (ADS). A dealer’s ADS is based on the dealer’s Total Availability and Daily Sales Rate for the allocation group.
• What is a dealer’s Total Availability? A dealer’s Total Availability is the quantity of vehicles of the specified allocation group that a dealer has available. This quantity is equal to the total number of vehicles in stock (on ground), in transit to your dealership, in system (orders that are being built), placed orders (orders that are ready to go to the production management system), and balance-to-go allocation (the dealer’s final allocation units that have NOT been submitted as preliminary orders or selected as placed orders for the current production period).
• What is a dealer’s Daily Sales Rate? A dealer’s Daily Sales Rate is the average number of units sold per day over a sales period of 1, 2, 3, or 12 months. GM determines which sales period to use for each allocation group. (GM uses 12 months only during the start-up and build-out periods for an allocation group.)
• What is a dealer’s ADS? A dealer’s ADS is equal to the dealer’s Total Availability divided by the dealer’s Daily Sales Rate. (For example, if a dealer’s Total Availability is 30 and its Daily Sales Rate is 2, then its ADS is 15.)
ADS Example Step 1 – Calculate Total Availability
The Allocation application calculates the total availability for each dealer after receiving the availability data. Remember that Total Availability includes balance-to-go.
ADS Example Step 2 – Calculate Daily Sales Rate
The Allocation application calculates the daily sales rate for each dealer by determining the dealer’s total sales for a defined sales period of 30, 60, 91, or 365 days and dividing the dealer’s total sales by the number of days in the sales period. (GM decides which sales period to use for each allocation group.)
ADS Example Step 3 – Calculate ADS
The Allocation application calculates each dealer’s ADS by dividing the total availability by the daily sales rate.
ADS Example Step 4 – Assign First Unit Based on ADS
GM determines which dealer has the lowest ADS, and assigns a unit to that dealer.
In this example, Dealer D gets an additional unit, making its total availability change from 2 to 3. The dealer’s ADS is also recalculated, and changes from 7 to 11. Remember, the ADS is calculated by dividing the total availability by the daily sales rate—in this example, 3 divided by 0.27 is 11.11 units (which is rounded down to 11).
ADS Example Step 5 – Assign Next Unit Based on ADS
GM determines which dealer has the lowest ADS, and assigns a unit to that dealer.
In this example, Dealer C gets an additional unit, making its total availability change from 3 to 4. The dealer’s ADS is also recalculated, and changes from 10 to 13. Remember, the ADS is calculated by dividing the total availability by the daily sales rate—in this example, 4 divided by 0.30 is 13.33 units (which is rounded down to 13).
At this point, only two units have been allocated; however, this step is repeated until all available units of an allocation group are allocated. Each time this step is repeated, the dealer with the lowest ADS earns a unit.
ADS Example Step 6 – Determine National ADS Bar
When the last available unit in an allocation group is allocated, the ADS of the dealer who received the last unit is called the “National ADS Bar.” The National ADS Bar is the allocation cutoff point.
Dealers that had a beginning ADS that was less than the National ADS Bar received at least one unit for the production period. Dealers that had a beginning ADS that was greater than the National ADS Bar received no units for the production period.
For example, if the ADS of the last dealer to receive a unit is 20, then the dealers who had a beginning ADS that was less than 20 would have received at least one unit for the production period. Dealers who had an ADS that was greater than 20 would NOT have received any units for the production period.
FORECAST CALCULATION METHOD
• When does GM use the Forecast method? GM uses the Forecast method when calculating estimated shipments for the sales outlook period (or month). The sales outlook period is shown in the last column of the table at the top of the Estimated Shipments report. The column heading is “Estimated Shipments [Month/Year].”
• How does the method work? GM calculates estimated shipments by using each dealer’s Sales History for the allocation group.
• What is a dealer’s Sales History? A dealer’s Sales History is the number of vehicles that the dealer sold during the same production period one year ago, or the average number of vehicles that the dealer sold during the same production period one and two years ago or one, two, and three years ago. (GM typically uses one year for vehicles that have a high production volume. GM may use two or three years for vehicles that have a lower production volume.)
Forecast Example Step 1 – Calculate Sales History
The Allocation application calculates each dealer’s 3-year sales history for the allocation group and production period. The application adds all dealers’ 3-year sales history values in order to get the total (or national) 3-year sales history for the allocation group and production period.
Forecast Example Step 2 – Calculate Average Actual Sales
The Allocation application calculates each dealer’s average actual sales by dividing the 3-year sales history by 3. The application adds all dealers’ average actual sales values in order to get the total (or national) average actual sales for the allocation group and production period.
Forecast Example Step 3 – Calculate the % to National Value
The Allocation application divides each dealer’s average actual sales value by the total (or national) average actual sales value in order to get a % to National value. (In this example, the total average actual sales value is 45.) The total of all dealers’ % to National values must equal 100 percent.
Forecast Example Step 4 – Calculate Estimated Shipments
The Allocation application multiplies each dealer’s % to National value by the planned production volume for the allocation group and production period. (In this example, the planned production volume is 51.) The resulting value is the dealer’s estimated shipments quantity for the allocation group and period. The total of all dealers’ estimated shipments values must equal the planned production volume.
Send Quantities to Dealers
After GM calculates the estimated shipments quantities, they are sent to Order Workbench where dealers may review them as input for their sales planning and forecasting activities.
How can a dealership get more product if its sales are better than expected?
When a dealership's sales are better than expected, the dealership and its Area Sales Manager can get more product by doing the following:
Increase the dealership's production consensus quantity for the next production period.
Increase the dealership's desired allocation quantity in the weekly Order Vehicles process.
Look for trade or purchase opportunities by using the Locate Vehicles screens in Order Workbench.
What is the Available Days' Supply (ADS) formula?
In the Estimated Shipments process, the Available Days' Supply (ADS) formula is used in order to distribute available production volumes fairly and responsively to dealers.
In the Constraints Distribution process, the ADS formula is used in order to distribute available constraints fairly and responsively to dealers.
How do I determine which vehicle constraints were distributed to my dealership?
You can determine which vehicle constraints were distributed to your dealership by accessing the View My Allocation Summary screen in the Order Vehicles section of Order Workbench.
What is the difference between a preliminary order and a placed order?
A preliminary order is a vehicle order that a dealer configures and submits to GM for selection during the Vehicle Order Selection process.
A placed order is a preliminary order that was submitted to GM by a dealer and was selected to be built. A placed order is any order that is at Event Code 2000 (Accepted by GM), but has not reached Event Code 2500 (Preferenced).
How does the Vehicle Order Selection batch process place my dealership's preliminary orders?
The Vehicle Order Selection batch process places your dealership's preliminary orders based on the following factors:
The priority code that your dealership assigned to each preliminary order.
Your dealership's final allocation quantity for the target production period (TPP).
Your dealership's desired allocation quantity for the TPP (if additional allocation is available).
Your dealership's distributed constraints quantities for the TPP.
How can I tell whether a preliminary order has been placed?
When a preliminary order is placed, the vehicle order event code changes to 2000 (Accepted by GM). You can view the current event code for an order by accessing one of the following screens:
Order Detail screen in the Manage Inventory section
Preliminary Order/Stored Configuration Detail screen in the Order Vehicles section
How much time do I have in order to change or replace placed orders?
For a specific target production period (TPP), you can change or replace placed orders until 9:00 PM Eastern Time on Tuesday.
Can I change (or replace) a placed order that is based on a national pattern order?
You can change both the model and content of a placed order that is based on a national pattern order; however, the model must be within the same allocation group as the national pattern order and the model and content must be within any applicable constraints.
What happens if I try to add a constrained or restricted option onto a placed order?
The system will reject your change, and the placed order will revert to its original content.
How can I track a sold order for a customer?
You can track a sold order for a customer by using the Vehicle Order Inquiry screen. You can access this screen by clicking the Go to Vehicle Order Inquiry link on the Manage Inventory drop-down menu.
7) Special Purchase and Sale on 2005 Corvette Convertibles
New 2005 Convertibles – I need to sell them!!!!
We were able to purchase a couple of extra Convertibles from another dealer.
Here’s what we have:
2005 Corvette Convertible
Preferred Equipment Pkg 1SB
OnStar Communications
AM/FM CD with Navigation
XM Satellite Radio
Special Paint Charge
Automatic OD Transmission
LeMans Blue Metallic
Beige Convertible Top
Cashmere Leather Trim
Odometer – 2 miles
MSRP $58120.00
Our cost with freight to the dealership $52740.00
Make an offer!
We will honor GM Employee and Supplier Certificates on this car!
NO SALES TAX!!!
2005 Corvette Convertible
Preferred Equipment Pkg 1SB
OnStar Communications
AM/FM CD with Navigation
Power Convertible Top
Magnetic Selective Ride Control
Polished Aluminum Wheels
XM Satellite Radio
Automatic OD Transmission
Daytona Sunset Orange Metallic
Black Convertible Top
Ebony Leather Trim
Odometer – 341 miles
MSRP $62805.00
Our cost with freight to the dealership $57216
Make an offer!
We will honor GM Employee and Supplier Certificates on this car!
NO SALES TAX IF TITLED AND LICENSED IN MONTANA!!!
We can easily modify these Corvettes by adding any number of accessories for you including, but not limited to: Exhaust system, suspension package, color keyed interior and exterior items, Lloyds mats, front bra, etc.
Email me before they are gone!
kenfichtner@fichtnerchevrolet.com
8) GM Rebates/Special Finance Rates - Updated 8/2/05
Click here for all of the details!
http://temp.corvetteforum.net/c5/ken...centives.shtml
9) GM Employee and Supplier Plans
Update on Employee/Supplier/GM in the Driveway Plans
CORPORATE PROGRAM NUMBER: 06-06
CORPORATE PROGRAM NAME: 2006 MODEL YEAR GM EMPLOYEE PURCHASE PROGRAM
PROGRAM DESCRIPTION:
GM NEW VEHICLE PURCHASE PROGRAM:
GM NEW VEHICLE PURCHASE PROGRAM PROVIDES A SPECIAL VEHICLE PRICE
TO PROGRAM PARTICIPANTS (I.E. GM EMPLOYEES, RETIREES, SURVIVING
SPOUSES AND ELIGIBLE FAMILY MEMBERS) WHEN AN ELIGIBLE VEHICLE IS
PURCHASED FROM A PARTICIPATING DEALER AT THE PRICES DESCRIBED
BELOW PLUS APPLICABLE TAX, TITLE AND REGISTRATION FEES.
GM EMPLOYEE ORDER/OUT OF STOCK PURCHASE PROGRAM (GMS):
-NEW UNITS INCLUDING UNITS USED AS DEMO AND DRIVER EDUCATION LOANERS
WITH A MAXIMUM OF 2,499 MILES, BUT EXCLUDING APPROVED CONVERTED
UNITS, ARE DELIVERED TO AN ELIGIBLE PROGRAM PARTICIPANT FROM
PARTICIPATING DEALER STOCK AT AN AMOUNT (I.E., RETAIL DEALER INVOICE
TOTAL LESS HOLDBACK AND ANY GM CO-OP ADVERTISING* AMOUNT PLUS $75)
DISPLAYED IN THE GMS FIELD ON THE GM VEHICLE INVOICE.
-DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500
MILES AND A MAXIMUM OF 7,500 MILES:
VEHICLES ARE DELIVERED FROM PARTICIPATING DEALER STOCK AT AN
AMOUNT (I.E., RETAIL DEALER INVOICE TOTAL LESS HOLDBACK AND
ANY GM CO-OP ADVERTISING* AMOUNT PLUS $75) DISPLAYED IN THE
GMS FIELD ON THE VEHICLE INVOICE LESS A DISCOUNT NEGOTIATED
BY THE DEALER AND THE CUSTOMER.
* IDENTIFIED AS ACCOUNT 65A ON THE GM VEHICLE INVOICE.
GM COMPANY OWNED VEHICLE PURCHASE PROGRAM (PEP):
GM COMPANY OWNED VEHICLE PURCHASE PROGRAM PROVIDES
SPECIAL PRICING TO PROGRAM PARTICIPANTS (E.G., GM EMPLOYEES,
RETIREES, SURVIVING SPOUSES AND DEPENDENT CHILDREN UNDER THE AGE
OF 25) ON UNITS PREVIOUSLY USED IN THE GM COMPANY PRODUCTION
EVALUATION PROGRAM AS FOLLOWS:
PEP (GMU) UNITS ARE INVOICED AT MODEL, OPTION AND DESTINATION
FREIGHT (DFC) PRICES IN EFFECT ON THE DATE OF THE VEHICLE ORDER
LESS A MILEAGE DISCOUNT AND EXCLUDING HOLDBACK AND WHOLESALE
FLOORPLAN. THE ELIGIBLE PROGRAM PARTICIPANT PAYS GM INVOICE
TOTAL FOR THE VEHICLE PLUS APPLICABLE TAX (INCLUDING LUXURY TAX),
TITLE AND REGISTRATION FEES.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK, CADILLAC,
CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CARS AND LIGHT DUTY
TRUCK MODELS **EXCLUDING HUMMER H1**.
NOTE: CERTAIN MODELS MAY BE PERIODICALLY EXCLUDED. IN THOSE
INSTANCES, DEALERS ARE NOTIFIED THROUGH AN ADDENDUM TO THIS
ADMINISTRATIVE MESSAGE.
PROGRAM NUMBER: 06-06ADD
PROGRAM NAME: ADDENDUM TO THE 2006 MODEL YEAR GM EMPLOYEE
PURCHASE PROGRAM
THIS IS AN ADDENDUM TO PROGRAM NUMBER 06-06-*
EFFECTIVE OCTOBER 1, 2005, THE 2005 CORVETTE IS NO LONGER RESTRICTED
FROM THE GM EMPLOYEE PURCHASE PROGRAM.
THE FOLLOWING VEHICLE IS RESTRICTED FROM THE "GMS" PORTION OF THE
GM EMPLOYEE PURCHASE PROGRAM:
CHEVROLET: RESTRICTION EFFECTIVE DATE:
2006 CORVETTE Z06 SEPTEMBER 7, 2005
SEE PROGRAM 06-06-* FOR COMPLETE DETAILS.
THIS IS THE END OF PROGRAM NUMBER 06-06ADD.
CORPORATE PROGRAM NUMBER: 06-10
CORPORATE PROGRAM NAME: 2006 MODEL YEAR GM SUPPLIER DISCOUNT PROGRAM
PROGRAM DESCRIPTION:
IF THE GM DEALER ELECTS TO PARTICIPATE IN THE PROGRAM, GENERAL MOTORS
SUPPLIER DISCOUNT PROGRAM ALLOWS ELIGIBLE EMPLOYEES OF GM SUPPLIERS
TO PURCHASE ELIGIBLE GM VEHICLES AT A GM ESTABLISHED PRICE (I.E., 4.5%
ABOVE THE "GMS PRICE"). BOTH THE GMS PRICE AND SUPPLIER PRICE ARE
STATED ON THE INVOICE. ANY DEALER INSTALLED OPTION, CONVERSION/UPFIT
PACKAGE, GENERAL MOTORS PROTECTION PLAN OR OTHER EXTRA CHARGE ITEM WILL
BE DELIVERED AT A PRICE AGREED UPON BETWEEN THE SUPPLIER AND THE DEALER.
DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500 MILES AND A
MAXIMUM OF 7,500 MILES:
VEHICLES ARE DELIVERED AT 4.5% ABOVE THE "GMS PRICE" ON THE VEHICLE
INVOICE LESS A DISCOUNT NEGOTIATED BY THE DEALER AND THE PURCHASER.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK, CADILLAC,
CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CARS AND LIGHT DUTY
TRUCKS **EXCLUDING HUMMER H1**.
NOTE: CERTAIN MODELS MAY BE PERIODICALLY EXCLUDED. IN THOSE
INSTANCES, DEALERS ARE NOTIFIED THROUGH AN ADDENDUM TO THIS
ADMINISTRATIVE MESSAGE.
PROGRAM NUMBER: 06-10ADD
PROGRAM NAME: ADDENDUM TO THE 2006 MODEL YEAR GM SUPPLIER
DISCOUNT PROGRAM
THIS IS AN ADDENDUM TO PROGRAM NUMBER 06-10-*
EFFECTIVE OCTOBER 1, 2005, THE 2005 CORVETTE IS NO LONGER RESTRICTED
FROM THE GM SUPPLIER DISCOUNT PROGRAM.
THE FOLLOWING VEHICLE IS RESTRICTED FROM THE GM SUPPLIER DISCOUNT
PROGRAM:
CHEVROLET: RESTRICTION EFFECTIVE DATE:
2006 CORVETTE Z06 SEPTEMBER 7, 2005
SEE PROGRAM NUMBER 06-10-* FOR COMPLETE DETAILS.
THIS IS THE END OF PROGRAM NUMBER 06-10ADD.
CORPORATE PROGRAM NUMBER: 06-13
CORPORATE PROGRAM NAME: 2006 MY "GM IN THE DRIVEWAY" PROGRAM
PROGRAM DESCRIPTION:
THIS IS THE GENERAL MOTORS REFERRAL PROGRAM WHERE SELECT
EMPLOYEES AND RETIREES CAN PASS ALONG TO FRIENDS, NEIGHBORS AND
SELECT FAMILY MEMBERS AN AUTHORIZATION NUMBER WHICH ALLOWS THEM
TO PURCHASE OR LEASE AN ELIGIBLE NEW AND UNUSED GM MODEL DETAILED
IN GUIDELINE NUMBER 4 BELOW AT A FORMULA PRICE.
IF THE GM DEALER ELECTS TO PARTICIPATE IN THE PROGRAM, THE
AUTHORIZATION NUMBER WILL ALLOW THE CUSTOMER TO PURCHASE THE ELIGIBLE
VEHICLE AT THE SUPPLIER DISCOUNT PROGRAM PRICE (I.E., 4.5% ABOVE THE
"GMS PRICE"). THE SUPPLIER PRICE IS STATED ON THE INVOICE AND SHOULD
BE SHARED WITH THE CUSTOMER. ANY DEALER INSTALLED OPTIONS,
CONVERSION/UPFIT PACKAGE, GENERAL MOTORS PROTECTION PLAN OR OTHER EXTRA
CHARGE ITEMS WILL BE DELIVERED AT A PRICE AGREED UPON BETWEEN THE
CUSTOMER AND THE DEALER.
DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500 MILES AND A
MAXIMUM OF 7,500 MILES:
- VEHICLES ARE DELIVERED AT THE SUPPLIER PRICE ON THE VEHICLE
INVOICE LESS A DISCOUNT NEGOTIATED BY THE DEALER AND THE PURCHASER.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK,
CADILLAC, CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CAR AND
LIGHT DUTY TRUCK MODELS *EXCLUDING HUMMER H1*.
10) Weekly Constraint/Production News – UPDATED 11/19/05
Weekly Constraint/Production News - UPDATED
Constraints are distributed based on Available Days’ Supply (ADS), Controlled Method or Percent of Allocation (POA). Dealers can use the weekly constraint wire to see the basic availability of an option. The percentages on the weekly constraint wire are estimated based on the national retail number of the constrained option divided by the amount of retail orders being allocated for the week.
Chevrolet Constraint Wire for 11/17/05
2006 CORVETTE
00889, Z51 Package, 360
This option has NOT been dropped but it will be constrained for the entire model year due to CAFÉ restrictions. The quantity available will vary throughout the year.
Orders approved this week will be produced the week of 12/12/05 – 12/25/05
2006 CORVETTE Z06
00602 Corvette Z06 QL9 Polished Wheels, 100
This option is being constrained based upon supplier capacity.
Orders approved this week will be produced the week of 12/12/05 – 12/25/05
Thanks for taking the time to read my weekly newsletter and thanks for your business!
PLEASE NOTE:
I will be out of the office Monday thru Saturday, November 21 thru November 26. I will answer all of my email and voicemail when I return!
GM Protection Plan News and FAQ:
Save $$$$ TODAY!
Dennis Fichtner has slashed our profit margin on the plan thru the end of the year because he is in a sales contest! GM might increase prices AGAIN on December 31: You can beat the price increase, get the lowest price ever, and not pay sales tax on a GM Protection Plan!!
MAKE SURE TO TELL DENNIS THAT YOU WERE REFERRED BY THIS WEBSITE. HE IS NOT OFFERING THESE SPECIAL PRICES TO ANYONE ELSE!
Save $$$$ TODAY!
For help with a GM Protection Plan call Dennis Fichtner at 800-234-5284 or email him at: gmpp@fichtnerchevrolet.com
Parts, Accessories and Service News:
I have updated our website and NOW you can order parts online from us from within our dealership website!!
Check it out today, log on here:
www.fichtnerchevrolet.com
GM is releasing new items for the 2005 and 2006 Corvettes weekly!
Here are just some of the items that have in stock and on sale at dealer wholesale:
Lexol Liquid Cleaner
Lexol Cleaner Wipes
Lexol Conditioner Cleaner
Lexol Conditioner Wipers
UPF44 Oil Filters
Magnetic Drain Plugs
Air Filters
Corvette Service Manuals
Lloyds Embroidered Cargo Area Mats
Lloyds Embroidered Floor Mats
Stainless Rear Letters
Stainless Side Grilles
Painted Door Handles
Chrome Door Handles
Painted Rear Spoiler
Painted Rear License Frame
Painted Fuel Rail Covers
Front Bra
Remote CD Changer
Rear Cargo Storage Unit
Seat Back Storage Pouches
Painted Interior Trim Package
Color Keyed Shifter and Emergency Brake Boots
Brushed Aluminum Door Sills
Stainless Steel Exhaust Screen
GM Performance Exhaust System (Borla)
Corsa Exhaust System
Note that we aren’t selling parts at a loss and then adding an exhorbidant amount for shipping and handling. Further, note that there isn’t any sales tax in Montana thus saving you more!
For help with parts and accessories call Robert Wendorff at 800-234-5284 or email him at: parts@fichtnerchevrolet.com
Dealership news:
Fichtner Chevrolet was founded in 1953 by my grandfather, Theodore Fichtner.
My father, Leonard Fichtner, became the dealer in 1961.
On June 8, 2005, I, Kenneth Fichtner, became the dealer. I am as you can see, the 3rd generation!
Fichtner Chevrolet personnel directory:
GM Protection Plans and New Car/Truck Sales:
Dennis Fichtner, Business Manager
gmpp@fichtnerchevrolet.com
406-628-4618 Ext 105
Corvette Sales and Advice
Ken Fichtner, Dealer
kenfichtner@fichtnerchevrolet.com
406-628-4618 Ext 103
Parts:
Robert Wendorff, Parts Manager
Parts@FichtnerChevrolet.com
406-628-4121
John Thomas Dorsey, Parts Specialist
Parts@FichtnerChevrolet.com
406-628-4121
Service:
Maudie Merck, Service Manager
Service@FichtnerChevrolet.com
406-628-4618
Office Administration/Accounting:
Kayla Eastlick
KEastlick@FichtnerChevrolet.com
406-628-4618
Thanks for taking the time to read my weekly newsletter and thanks for your business!
Index of topics:
Weekly Newsletter – Contents (everything updated!)
1) Something new for 2006 models produced after October 16! - NEW
2) New Corvette Accessories Released - UPDATED
3) 2006 Corvette Price Increase Details - NEW
4) 2006 Corvette Order Guides
5) 2006 Corvette Z06 Allocation Information
6) Corvette Distribution System Explanation
7) Special Purchase/Sale 2005 Corvette Convertibles - NEW
8) GM Rebates/Special Finance Rates - UPDATED
9) GM Employee & Supplier Plan - UPDATED
10) Weekly Constraint/Production News - UPDATED
1) Something new for 2006 models produced after October 16!
Subject: New Corvette Customer Welcome Letter
Message: CHS20050075
Corvette Customer Welcome Letter and PDI Importance (U.S. Only)
Models: 2006 Chevrolet Corvette
Built After October 16, 2005
Beginning with October 17th production, the Bowling Green assembly plant will be putting a customer welcome letter in the center console of each new Corvette. The letter welcomes the owner into the Corvette family and emphasizes the technology and performance built into the new Corvette. This letter should be presented to the purchaser at the time of delivery. Please also stress the importance of reading the Getting-to-Know-You Guide and the instructional DVD or CD to help get the customer get the most from their vehicle.
The Corvette is a world class premium sports car. Make sure to capitalize on high Customer Satisfaction Scores by delivering a pristine vehicle that has had careful attention to ALL aspects of the PDI process. For specific information, refer to Corporate Bulletin Number♦03-00-89-006C.
2) New Corvette Accessories Released
Genuine Corvette Accessories
Introducing "NEW" to the accessory portfolio:
The following new products are now available.
Rear Cargo Organizer - C6 Coupes
Additional colors for the door handles, interior trim pieces, front and rear license plate holders
Painted Fuel Rail Covers
Remote CD Changer
3) 2006 Corvette Price Increase Details
2006 Chevrolet Interim Price Change Effective 11-18-05
Chevrolet will announce revised 2006 model year Suggested Retail prices effective with vehicles produced on or after November 18, 2005. The revised Suggested Retail prices will affect the Corvette, Colorado and Uplander. Dealer invoice amounts will increase accordingly. Dealer discounts remain unchanged.
Dealer price schedules will be available in GM Dealerworld under Sales &/Or F&I Tabs effective November 18,2005.
All qualified bona fide sold retail orders entered in VOMS on or before November 17,2005 and delivered to the original customer after that date will be price protected. These units will be invoiced at prices in effect at the date of production; however, the dealer open account will automatically be credited for the price increase once the unit has been delivered.
Generally, fleet orders are invoice price protected (i.e., bid center FBC order types, VQ orders). All other fleet orders will be price protected according to the bona fide sold retail price protection policy above. Refer to the price protection effective date on the invoice.
Chevrolet reserves the right to discontinue or change prices at any time, without written notice.
2006 Model Year Vehicle Price Schedule
Effective November 18, 2005
Corvette Coupe $44190 (increased $390)
Corvette Convertible $51980 (increased $445)
Destination Charges $800
Coupe 2LT Package $1495
Coupe 3LT Package $4795
Convertible 3LT $3395
Power Convertible Top $1995
Museum Delivery $490
OnStar System $695
Z51 Performance Handling Pkg $1695
19U LeMans Blue $300
45U Velocity Yellow $750
80U Monterey Red $750
Navigation with Single CD $1600
Dual Roof Panel Pkg $1400
Transparent Roof Panel $750
Magnetic Selective Ride Control $1695
6 Speed Automatic Transmission $1250
Polished Wheels $1295
Competition Gray Wheels $295
Chrome Wheels $1995
2006 Model Year Vehicle Price Schedule
Effective Start of Production
Corvette Coupe $43800
Corvette Convertible $51535
Destination Charges $800
Coupe 2LT Package $1495
Coupe 3LT Package $4795
Convertible 3LT $3395
Power Convertible Top $1995
Museum Delivery $490
OnStar System $695
Z51 Performance Handling Pkg $1695
19U LeMans Blue $300
45U Velocity Yellow $750
80U Monterey Red $750
Navigation with Single CD $1600
Dual Roof Panel Pkg $1400
Transparent Roof Panel $750
Magnetic Selective Ride Control $1695
6 Speed Automatic Transmission $1250
Polished Wheels $1295
Competition Gray Wheels $295
Chrome Wheels $1995
4) 2006 Corvette Order Guides
Order guides are now available.
Click here for the 2006 Coupe:
http://temp.corvetteforum.net/c5/ken.../2006coupe.pdf
Click here for the 2006 Convertible:
http://temp.corvetteforum.net/c5/ken...onvertible.pdf
Click here for the 2006 Z06:
http://temp.corvetteforum.net/c5/ken...rder_guide.pdf
5) 2006 Corvette Z06 Allocation Information
Corvette Z06 Allocation Plan
The 2006 Corvette Z06 allocation plan is a 2 phase process. While the details of each phase are shown below, there are some key points worth noting. First, not every Certified Corvette Dealer will receive a 2006 Corvette Z06 model. The Z06 model will have its own allocation group - Z06. And, Corvette Z06 retail production will be allocated to eligible Corvette Dealers using the most current 52-week total retail Corvette sales.
• Dealers will be able to view current month allocation plus one month outlook
• Each Dealer will be mailed a six month allocation outlook
• In December, a four month outlook will be communicated based on the most current 52-week sales history
• In April 2006, distribution will provide the balance of model year outlook based on the latest 52-week sales history for buildout
• The above steps were established to discourage over commitment/selling
Phase I Details
• Dealers will be placed in Tiers based on their 52 weeks of retail Corvette sale
history (June 2004 - May 2005) for the first 3 consensus cycles.
- Tier 1 will be comprised of the 25 largest volume Corvette Dealers
- Tier 2 will include the largest 125 Corvette Dealers
- Tier 3 will expand to include the largest 300 Corvette Dealers
• Initial consensus:
- June 2005 (for production week 33)
- Exclusively to Tier 1 Dealers using the June 2004 - May 2005 sales history
• Second consensus:
- July 2005 (for production weeks 34 - 36)
- Exclusively to Tier 1 & 2 Dealers based on the launch sales data
• Third and final Phase I consensus:
- August 2005 (for production weeks 37 - 40)
- Distributed to Tier 1, 2 & 3 Dealers
• Consensed allocations will be "protected", so that Dealers cannot accidentally
loose their allocations. Pattern Z06 orders will be created as necessary during
weekly DOSP cycles.
Phase II Details
• Eliminates the assignment of Dealer Tiers. All Certified Corvette
Dealers with a June 2004 - May 2005 sales history will be comprehended
in the balance of allocation calculations.
• The allocation determined by the same formula in phase 1
• Begins with the September 2005 consensus (for production weeks 41 - 45)
• Due to the limited production of the Z06 model there will be no
guarantee that each Certified Corvette Dealer will receive allocation
for a Z06 model
• Consensed allocations will continue to be "protected", from accidental
loss. Pattern Z06 orders will be created as necessary during weekly
DOSP cycles.
• Z06 will not qualify for PEP, but will be eligible for EVP Drive & Buy
and GMS/Supplier when the current incentive program expires
Don’t be misled by your dealer!
Please note that EVERY Chevrolet dealer received a letter from the Corvette Marketing Team dated June 15, 2005.
Before you place an order and give a deposit to your dealer of choice based upon what they tell you, ask to see this letter!!!!
Have a successful day,
Ken Fichtner
Fichtner Chevrolet
Here’s what the letter says:
XXXXXX
XYZ Chevrolet
123 Main Street
Anywhere, MT XXXXX
Attention: Dealer Operator and New Car Sales Manager
Subject: Corvette Z06 Allocation Projection
An integral part of the 2006 Corvette Z06 distribution plan is to provide an extended allocation projection to all eligible Corvette dealers. This is a projection and not a commitment, but is intended to assist dealers in managing customer expectations in line with dealer allocation.
Below is your dealership’s projected allocation of Z06 through December 2005 production. A second extended projection will be provided in December. Please keep in mind that this allocation projection is based on an estimated production schedule and therefore must continue to be considered as a projection and is not to be considered an absolute commitment.
Your Z06 Estimated Allocations:
July August September October November December
# # # # # #
If a dealer chooses not to consent to their Z06 allocation that allocation will be redistributed to another eligible dealer during the variance resolution and will not be rolled forward nor will it be converted to regular Corvette allocation.
Note: Complete details of the Z06 Distribution Plan are available in Chevylaunch.com
CORVETTE MARKETING TEAM
6) Corvette Distribution System Explanation
Estimated Shipments Process
Distribution of the production schedule is based on the following:
• Controlled Allocation
• Available Days’ Supply (ADS)
• Forecast
These calculation methods are explained below.
GMVOM Timing Cycle
The Estimated Shipments process occurs each month, and is completed on Thursday of Week 1 in the GMVOM Timing Cycle.
NOTE: The Estimated Shipments and Consensus processes do NOT apply to Regional Consulting Center (RCC) dealerships. Also, constraints are distributed to RCC dealerships ONLY for constrained allocation groups.
Estimated Shipments Process Tasks
Plan Production Volumes
GM plans production volumes for each allocation group by analyzing several inputs, including marketing strategies, production estimates, production constraints, and dealers’ sales forecasts. During the analysis, GM must answer the following questions related to each of these inputs:
• Marketing strategies – How should GM position the vehicle in order to achieve maximum market penetration? Are there major advertising or incentive programs planned for specific periods during the year?
• Production estimates – How many vehicles can the plants produce for a specific period?
• Constraints – What models and options are available only in limited quantities because their production capacity is too low or their demand is too high?
• Dealers’ sales forecasts – What quantity of vehicles have the dealers determined that they can sell?
Dealers’ sales forecast quantities are an important factor in the production planning process.
Process Temporary Allocation Requests
Based on specific qualifying criteria, GM assigns temporary allocation quantities to dealers in order to supplement the normal sales planning and allocation processes.
NOTE: For information about the qualifying criteria, dealers should consult with their respective Zone Teams.
Calculate Estimated Shipments
GM calculates estimated shipments for each dealer based on the following inputs:
• The estimated production volume for the allocation group.
• A specific production period.
• A selected calculation method.
GM has three methods for calculating estimated shipments—Controlled Allocation, Available Days’ Supply (or ADS), and Forecast. The method that GM selects for calculating estimated shipments is based on:
• Whether or not the allocation group is a new vehicle line that is just being launched.
• Whether the demand for the allocation group is greater than or less than the supply.
CONTROLLED ALLOCATION CALCULATION METHOD
• When does GM use the Controlled Allocation method? GM uses the Controlled Allocation method during the launch of a new vehicle, at the time when demand is greater than supply and the marketing team wants to target a specific market. GM also uses the Controlled Allocation method when the long-term demand for a vehicle (such as the Corvette) exceeds the vehicle supply.
• How does the method work? When using Controlled Allocation, GM will typically allocate vehicles to the dealers based on a defined launch strategy or equitable distribution; for example, based on marketing strategies, GM may allocate a new pickup truck to dealerships that are located in rural areas.
AVAILABLE DAYS’ SUPPLY (ADS) CALCULATION METHOD
• When does GM use the ADS method? GM uses the ADS method the majority of the time.
• How does it work? GM allocates vehicles to the dealers with the lowest Available Days’ Supply (ADS). A dealer’s ADS is based on the dealer’s Total Availability and Daily Sales Rate for the allocation group.
• What is a dealer’s Total Availability? A dealer’s Total Availability is the quantity of vehicles of the specified allocation group that a dealer has available. This quantity is equal to the total number of vehicles in stock (on ground), in transit to your dealership, in system (orders that are being built), placed orders (orders that are ready to go to the production management system), and balance-to-go allocation (the dealer’s final allocation units that have NOT been submitted as preliminary orders or selected as placed orders for the current production period).
• What is a dealer’s Daily Sales Rate? A dealer’s Daily Sales Rate is the average number of units sold per day over a sales period of 1, 2, 3, or 12 months. GM determines which sales period to use for each allocation group. (GM uses 12 months only during the start-up and build-out periods for an allocation group.)
• What is a dealer’s ADS? A dealer’s ADS is equal to the dealer’s Total Availability divided by the dealer’s Daily Sales Rate. (For example, if a dealer’s Total Availability is 30 and its Daily Sales Rate is 2, then its ADS is 15.)
ADS Example Step 1 – Calculate Total Availability
The Allocation application calculates the total availability for each dealer after receiving the availability data. Remember that Total Availability includes balance-to-go.
ADS Example Step 2 – Calculate Daily Sales Rate
The Allocation application calculates the daily sales rate for each dealer by determining the dealer’s total sales for a defined sales period of 30, 60, 91, or 365 days and dividing the dealer’s total sales by the number of days in the sales period. (GM decides which sales period to use for each allocation group.)
ADS Example Step 3 – Calculate ADS
The Allocation application calculates each dealer’s ADS by dividing the total availability by the daily sales rate.
ADS Example Step 4 – Assign First Unit Based on ADS
GM determines which dealer has the lowest ADS, and assigns a unit to that dealer.
In this example, Dealer D gets an additional unit, making its total availability change from 2 to 3. The dealer’s ADS is also recalculated, and changes from 7 to 11. Remember, the ADS is calculated by dividing the total availability by the daily sales rate—in this example, 3 divided by 0.27 is 11.11 units (which is rounded down to 11).
ADS Example Step 5 – Assign Next Unit Based on ADS
GM determines which dealer has the lowest ADS, and assigns a unit to that dealer.
In this example, Dealer C gets an additional unit, making its total availability change from 3 to 4. The dealer’s ADS is also recalculated, and changes from 10 to 13. Remember, the ADS is calculated by dividing the total availability by the daily sales rate—in this example, 4 divided by 0.30 is 13.33 units (which is rounded down to 13).
At this point, only two units have been allocated; however, this step is repeated until all available units of an allocation group are allocated. Each time this step is repeated, the dealer with the lowest ADS earns a unit.
ADS Example Step 6 – Determine National ADS Bar
When the last available unit in an allocation group is allocated, the ADS of the dealer who received the last unit is called the “National ADS Bar.” The National ADS Bar is the allocation cutoff point.
Dealers that had a beginning ADS that was less than the National ADS Bar received at least one unit for the production period. Dealers that had a beginning ADS that was greater than the National ADS Bar received no units for the production period.
For example, if the ADS of the last dealer to receive a unit is 20, then the dealers who had a beginning ADS that was less than 20 would have received at least one unit for the production period. Dealers who had an ADS that was greater than 20 would NOT have received any units for the production period.
FORECAST CALCULATION METHOD
• When does GM use the Forecast method? GM uses the Forecast method when calculating estimated shipments for the sales outlook period (or month). The sales outlook period is shown in the last column of the table at the top of the Estimated Shipments report. The column heading is “Estimated Shipments [Month/Year].”
• How does the method work? GM calculates estimated shipments by using each dealer’s Sales History for the allocation group.
• What is a dealer’s Sales History? A dealer’s Sales History is the number of vehicles that the dealer sold during the same production period one year ago, or the average number of vehicles that the dealer sold during the same production period one and two years ago or one, two, and three years ago. (GM typically uses one year for vehicles that have a high production volume. GM may use two or three years for vehicles that have a lower production volume.)
Forecast Example Step 1 – Calculate Sales History
The Allocation application calculates each dealer’s 3-year sales history for the allocation group and production period. The application adds all dealers’ 3-year sales history values in order to get the total (or national) 3-year sales history for the allocation group and production period.
Forecast Example Step 2 – Calculate Average Actual Sales
The Allocation application calculates each dealer’s average actual sales by dividing the 3-year sales history by 3. The application adds all dealers’ average actual sales values in order to get the total (or national) average actual sales for the allocation group and production period.
Forecast Example Step 3 – Calculate the % to National Value
The Allocation application divides each dealer’s average actual sales value by the total (or national) average actual sales value in order to get a % to National value. (In this example, the total average actual sales value is 45.) The total of all dealers’ % to National values must equal 100 percent.
Forecast Example Step 4 – Calculate Estimated Shipments
The Allocation application multiplies each dealer’s % to National value by the planned production volume for the allocation group and production period. (In this example, the planned production volume is 51.) The resulting value is the dealer’s estimated shipments quantity for the allocation group and period. The total of all dealers’ estimated shipments values must equal the planned production volume.
Send Quantities to Dealers
After GM calculates the estimated shipments quantities, they are sent to Order Workbench where dealers may review them as input for their sales planning and forecasting activities.
How can a dealership get more product if its sales are better than expected?
When a dealership's sales are better than expected, the dealership and its Area Sales Manager can get more product by doing the following:
Increase the dealership's production consensus quantity for the next production period.
Increase the dealership's desired allocation quantity in the weekly Order Vehicles process.
Look for trade or purchase opportunities by using the Locate Vehicles screens in Order Workbench.
What is the Available Days' Supply (ADS) formula?
In the Estimated Shipments process, the Available Days' Supply (ADS) formula is used in order to distribute available production volumes fairly and responsively to dealers.
In the Constraints Distribution process, the ADS formula is used in order to distribute available constraints fairly and responsively to dealers.
How do I determine which vehicle constraints were distributed to my dealership?
You can determine which vehicle constraints were distributed to your dealership by accessing the View My Allocation Summary screen in the Order Vehicles section of Order Workbench.
What is the difference between a preliminary order and a placed order?
A preliminary order is a vehicle order that a dealer configures and submits to GM for selection during the Vehicle Order Selection process.
A placed order is a preliminary order that was submitted to GM by a dealer and was selected to be built. A placed order is any order that is at Event Code 2000 (Accepted by GM), but has not reached Event Code 2500 (Preferenced).
How does the Vehicle Order Selection batch process place my dealership's preliminary orders?
The Vehicle Order Selection batch process places your dealership's preliminary orders based on the following factors:
The priority code that your dealership assigned to each preliminary order.
Your dealership's final allocation quantity for the target production period (TPP).
Your dealership's desired allocation quantity for the TPP (if additional allocation is available).
Your dealership's distributed constraints quantities for the TPP.
How can I tell whether a preliminary order has been placed?
When a preliminary order is placed, the vehicle order event code changes to 2000 (Accepted by GM). You can view the current event code for an order by accessing one of the following screens:
Order Detail screen in the Manage Inventory section
Preliminary Order/Stored Configuration Detail screen in the Order Vehicles section
How much time do I have in order to change or replace placed orders?
For a specific target production period (TPP), you can change or replace placed orders until 9:00 PM Eastern Time on Tuesday.
Can I change (or replace) a placed order that is based on a national pattern order?
You can change both the model and content of a placed order that is based on a national pattern order; however, the model must be within the same allocation group as the national pattern order and the model and content must be within any applicable constraints.
What happens if I try to add a constrained or restricted option onto a placed order?
The system will reject your change, and the placed order will revert to its original content.
How can I track a sold order for a customer?
You can track a sold order for a customer by using the Vehicle Order Inquiry screen. You can access this screen by clicking the Go to Vehicle Order Inquiry link on the Manage Inventory drop-down menu.
7) Special Purchase and Sale on 2005 Corvette Convertibles
New 2005 Convertibles – I need to sell them!!!!
We were able to purchase a couple of extra Convertibles from another dealer.
Here’s what we have:
2005 Corvette Convertible
Preferred Equipment Pkg 1SB
OnStar Communications
AM/FM CD with Navigation
XM Satellite Radio
Special Paint Charge
Automatic OD Transmission
LeMans Blue Metallic
Beige Convertible Top
Cashmere Leather Trim
Odometer – 2 miles
MSRP $58120.00
Our cost with freight to the dealership $52740.00
Make an offer!
We will honor GM Employee and Supplier Certificates on this car!
NO SALES TAX!!!
2005 Corvette Convertible
Preferred Equipment Pkg 1SB
OnStar Communications
AM/FM CD with Navigation
Power Convertible Top
Magnetic Selective Ride Control
Polished Aluminum Wheels
XM Satellite Radio
Automatic OD Transmission
Daytona Sunset Orange Metallic
Black Convertible Top
Ebony Leather Trim
Odometer – 341 miles
MSRP $62805.00
Our cost with freight to the dealership $57216
Make an offer!
We will honor GM Employee and Supplier Certificates on this car!
NO SALES TAX IF TITLED AND LICENSED IN MONTANA!!!
We can easily modify these Corvettes by adding any number of accessories for you including, but not limited to: Exhaust system, suspension package, color keyed interior and exterior items, Lloyds mats, front bra, etc.
Email me before they are gone!
kenfichtner@fichtnerchevrolet.com
8) GM Rebates/Special Finance Rates - Updated 8/2/05
Click here for all of the details!
http://temp.corvetteforum.net/c5/ken...centives.shtml
9) GM Employee and Supplier Plans
Update on Employee/Supplier/GM in the Driveway Plans
CORPORATE PROGRAM NUMBER: 06-06
CORPORATE PROGRAM NAME: 2006 MODEL YEAR GM EMPLOYEE PURCHASE PROGRAM
PROGRAM DESCRIPTION:
GM NEW VEHICLE PURCHASE PROGRAM:
GM NEW VEHICLE PURCHASE PROGRAM PROVIDES A SPECIAL VEHICLE PRICE
TO PROGRAM PARTICIPANTS (I.E. GM EMPLOYEES, RETIREES, SURVIVING
SPOUSES AND ELIGIBLE FAMILY MEMBERS) WHEN AN ELIGIBLE VEHICLE IS
PURCHASED FROM A PARTICIPATING DEALER AT THE PRICES DESCRIBED
BELOW PLUS APPLICABLE TAX, TITLE AND REGISTRATION FEES.
GM EMPLOYEE ORDER/OUT OF STOCK PURCHASE PROGRAM (GMS):
-NEW UNITS INCLUDING UNITS USED AS DEMO AND DRIVER EDUCATION LOANERS
WITH A MAXIMUM OF 2,499 MILES, BUT EXCLUDING APPROVED CONVERTED
UNITS, ARE DELIVERED TO AN ELIGIBLE PROGRAM PARTICIPANT FROM
PARTICIPATING DEALER STOCK AT AN AMOUNT (I.E., RETAIL DEALER INVOICE
TOTAL LESS HOLDBACK AND ANY GM CO-OP ADVERTISING* AMOUNT PLUS $75)
DISPLAYED IN THE GMS FIELD ON THE GM VEHICLE INVOICE.
-DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500
MILES AND A MAXIMUM OF 7,500 MILES:
VEHICLES ARE DELIVERED FROM PARTICIPATING DEALER STOCK AT AN
AMOUNT (I.E., RETAIL DEALER INVOICE TOTAL LESS HOLDBACK AND
ANY GM CO-OP ADVERTISING* AMOUNT PLUS $75) DISPLAYED IN THE
GMS FIELD ON THE VEHICLE INVOICE LESS A DISCOUNT NEGOTIATED
BY THE DEALER AND THE CUSTOMER.
* IDENTIFIED AS ACCOUNT 65A ON THE GM VEHICLE INVOICE.
GM COMPANY OWNED VEHICLE PURCHASE PROGRAM (PEP):
GM COMPANY OWNED VEHICLE PURCHASE PROGRAM PROVIDES
SPECIAL PRICING TO PROGRAM PARTICIPANTS (E.G., GM EMPLOYEES,
RETIREES, SURVIVING SPOUSES AND DEPENDENT CHILDREN UNDER THE AGE
OF 25) ON UNITS PREVIOUSLY USED IN THE GM COMPANY PRODUCTION
EVALUATION PROGRAM AS FOLLOWS:
PEP (GMU) UNITS ARE INVOICED AT MODEL, OPTION AND DESTINATION
FREIGHT (DFC) PRICES IN EFFECT ON THE DATE OF THE VEHICLE ORDER
LESS A MILEAGE DISCOUNT AND EXCLUDING HOLDBACK AND WHOLESALE
FLOORPLAN. THE ELIGIBLE PROGRAM PARTICIPANT PAYS GM INVOICE
TOTAL FOR THE VEHICLE PLUS APPLICABLE TAX (INCLUDING LUXURY TAX),
TITLE AND REGISTRATION FEES.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK, CADILLAC,
CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CARS AND LIGHT DUTY
TRUCK MODELS **EXCLUDING HUMMER H1**.
NOTE: CERTAIN MODELS MAY BE PERIODICALLY EXCLUDED. IN THOSE
INSTANCES, DEALERS ARE NOTIFIED THROUGH AN ADDENDUM TO THIS
ADMINISTRATIVE MESSAGE.
PROGRAM NUMBER: 06-06ADD
PROGRAM NAME: ADDENDUM TO THE 2006 MODEL YEAR GM EMPLOYEE
PURCHASE PROGRAM
THIS IS AN ADDENDUM TO PROGRAM NUMBER 06-06-*
EFFECTIVE OCTOBER 1, 2005, THE 2005 CORVETTE IS NO LONGER RESTRICTED
FROM THE GM EMPLOYEE PURCHASE PROGRAM.
THE FOLLOWING VEHICLE IS RESTRICTED FROM THE "GMS" PORTION OF THE
GM EMPLOYEE PURCHASE PROGRAM:
CHEVROLET: RESTRICTION EFFECTIVE DATE:
2006 CORVETTE Z06 SEPTEMBER 7, 2005
SEE PROGRAM 06-06-* FOR COMPLETE DETAILS.
THIS IS THE END OF PROGRAM NUMBER 06-06ADD.
CORPORATE PROGRAM NUMBER: 06-10
CORPORATE PROGRAM NAME: 2006 MODEL YEAR GM SUPPLIER DISCOUNT PROGRAM
PROGRAM DESCRIPTION:
IF THE GM DEALER ELECTS TO PARTICIPATE IN THE PROGRAM, GENERAL MOTORS
SUPPLIER DISCOUNT PROGRAM ALLOWS ELIGIBLE EMPLOYEES OF GM SUPPLIERS
TO PURCHASE ELIGIBLE GM VEHICLES AT A GM ESTABLISHED PRICE (I.E., 4.5%
ABOVE THE "GMS PRICE"). BOTH THE GMS PRICE AND SUPPLIER PRICE ARE
STATED ON THE INVOICE. ANY DEALER INSTALLED OPTION, CONVERSION/UPFIT
PACKAGE, GENERAL MOTORS PROTECTION PLAN OR OTHER EXTRA CHARGE ITEM WILL
BE DELIVERED AT A PRICE AGREED UPON BETWEEN THE SUPPLIER AND THE DEALER.
DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500 MILES AND A
MAXIMUM OF 7,500 MILES:
VEHICLES ARE DELIVERED AT 4.5% ABOVE THE "GMS PRICE" ON THE VEHICLE
INVOICE LESS A DISCOUNT NEGOTIATED BY THE DEALER AND THE PURCHASER.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK, CADILLAC,
CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CARS AND LIGHT DUTY
TRUCKS **EXCLUDING HUMMER H1**.
NOTE: CERTAIN MODELS MAY BE PERIODICALLY EXCLUDED. IN THOSE
INSTANCES, DEALERS ARE NOTIFIED THROUGH AN ADDENDUM TO THIS
ADMINISTRATIVE MESSAGE.
PROGRAM NUMBER: 06-10ADD
PROGRAM NAME: ADDENDUM TO THE 2006 MODEL YEAR GM SUPPLIER
DISCOUNT PROGRAM
THIS IS AN ADDENDUM TO PROGRAM NUMBER 06-10-*
EFFECTIVE OCTOBER 1, 2005, THE 2005 CORVETTE IS NO LONGER RESTRICTED
FROM THE GM SUPPLIER DISCOUNT PROGRAM.
THE FOLLOWING VEHICLE IS RESTRICTED FROM THE GM SUPPLIER DISCOUNT
PROGRAM:
CHEVROLET: RESTRICTION EFFECTIVE DATE:
2006 CORVETTE Z06 SEPTEMBER 7, 2005
SEE PROGRAM NUMBER 06-10-* FOR COMPLETE DETAILS.
THIS IS THE END OF PROGRAM NUMBER 06-10ADD.
CORPORATE PROGRAM NUMBER: 06-13
CORPORATE PROGRAM NAME: 2006 MY "GM IN THE DRIVEWAY" PROGRAM
PROGRAM DESCRIPTION:
THIS IS THE GENERAL MOTORS REFERRAL PROGRAM WHERE SELECT
EMPLOYEES AND RETIREES CAN PASS ALONG TO FRIENDS, NEIGHBORS AND
SELECT FAMILY MEMBERS AN AUTHORIZATION NUMBER WHICH ALLOWS THEM
TO PURCHASE OR LEASE AN ELIGIBLE NEW AND UNUSED GM MODEL DETAILED
IN GUIDELINE NUMBER 4 BELOW AT A FORMULA PRICE.
IF THE GM DEALER ELECTS TO PARTICIPATE IN THE PROGRAM, THE
AUTHORIZATION NUMBER WILL ALLOW THE CUSTOMER TO PURCHASE THE ELIGIBLE
VEHICLE AT THE SUPPLIER DISCOUNT PROGRAM PRICE (I.E., 4.5% ABOVE THE
"GMS PRICE"). THE SUPPLIER PRICE IS STATED ON THE INVOICE AND SHOULD
BE SHARED WITH THE CUSTOMER. ANY DEALER INSTALLED OPTIONS,
CONVERSION/UPFIT PACKAGE, GENERAL MOTORS PROTECTION PLAN OR OTHER EXTRA
CHARGE ITEMS WILL BE DELIVERED AT A PRICE AGREED UPON BETWEEN THE
CUSTOMER AND THE DEALER.
DEMO AND DRIVER EDUCATION UNITS WITH A MINIMUM OF 2,500 MILES AND A
MAXIMUM OF 7,500 MILES:
- VEHICLES ARE DELIVERED AT THE SUPPLIER PRICE ON THE VEHICLE
INVOICE LESS A DISCOUNT NEGOTIATED BY THE DEALER AND THE PURCHASER.
PROGRAM TIME PERIOD (DELIVERED):
OCTOBER 1, 2005 THROUGH SEPTEMBER 30, 2006
ELIGIBLE MODELS/REQUIRED OPTIONS/ORDER TYPES AND ALLOWANCES:
ELIGIBLE MODELS:
ALL NEW AND UNUSED 2005, 2006 AND 2007 MODEL YEAR BUICK,
CADILLAC, CHEVROLET, HUMMER AND PONTIAC-GMC PASSENGER CAR AND
LIGHT DUTY TRUCK MODELS *EXCLUDING HUMMER H1*.
10) Weekly Constraint/Production News – UPDATED 11/19/05
Weekly Constraint/Production News - UPDATED
Constraints are distributed based on Available Days’ Supply (ADS), Controlled Method or Percent of Allocation (POA). Dealers can use the weekly constraint wire to see the basic availability of an option. The percentages on the weekly constraint wire are estimated based on the national retail number of the constrained option divided by the amount of retail orders being allocated for the week.
Chevrolet Constraint Wire for 11/17/05
2006 CORVETTE
00889, Z51 Package, 360
This option has NOT been dropped but it will be constrained for the entire model year due to CAFÉ restrictions. The quantity available will vary throughout the year.
Orders approved this week will be produced the week of 12/12/05 – 12/25/05
2006 CORVETTE Z06
00602 Corvette Z06 QL9 Polished Wheels, 100
This option is being constrained based upon supplier capacity.
Orders approved this week will be produced the week of 12/12/05 – 12/25/05
Thanks for taking the time to read my weekly newsletter and thanks for your business!
Last edited by Ken Fichtner; 11-28-2005 at 10:13 PM.
11-19-2005, 09:53 PM
#5
Le Mans Master
Thread Starter
Member Since: May 1999
Location: Laurel MT
Posts: 6,841
Likes: 0
Received 44 Likes
on
23 Posts
Cruise-in I Veteran
Cruise-in II Veteran
Cruise-In III Veteran
I am not sure what is going on with the parts order area of our website. I just tried to place an order and it worked fine.
Try ordering here:
http://temp.corvetteforum.net/c5/ken...rtspage1.shtml
If you have problems with specific items please email me at kenfichtner@fichtnerchevrolet.com and I will see what I can do to make the corrections.
You may also call our parts department toll free at 800-234-5284 to place an order.
Sorry for the inconvenience.
Ken Fichtner
Try ordering here:
http://temp.corvetteforum.net/c5/ken...rtspage1.shtml
If you have problems with specific items please email me at kenfichtner@fichtnerchevrolet.com and I will see what I can do to make the corrections.
You may also call our parts department toll free at 800-234-5284 to place an order.
Sorry for the inconvenience.
Ken Fichtner
11-22-2005, 02:14 PM
#12
Drifting
Thanks Ken. Black coupe went in today. 6 Speed Manual, Z51 (actually got it), and Competition Grey Wheels. Merry Christmas to me!!
