The latest trends in office tech for tire dealers

MIRAMAR, Fla. — Tire dealers need to stay current with business technology in order to be more productive and competitive, according to a technology consultant.

More and more companies are turning to business management software and platforms to increase their profits, cut overhead and stay competitive in a tight labor market, Gene Marks, president of The Marks Group, a technology consulting firm, and a Forbes technology columnist, told the gathering of dealers at the OTR Tire Conference in Miramar, Feb. 25.

"Businesses are investing in technology to replace people," he said. When analyzing the cost of managing and paying an employee over time, many businesses are opting to spend less money to buy software and technology to handle back-office duties.

"Smart leaders and managers are always looking ahead. They're making these investments now. This year these are going to be impacting your businesses in the next few years," he said.

Here are some of the newer technologies available for companies:

Customer relationship management (CRM) is "a huge investment being made by businesses," he said, noting that 91% of companies with more than 11 employees are now using CRM software.

CRM software creates a database of everyone who interacts with a business by integrating the company's email, calendar system, office system and file management system so that any and all customers can be communicated with based on their contact or order history.

When a customer calls the company, an employee can pull up the file on the customer that provides his/her background, past interactions with the company, past orders, particular interests, etc.

Nobody falls through the cracks and everyone is on the same page, he said.

"Every one of your customers right now needs to be talked to about price increases, inflation, the supply chain you're dealing with, and all this stuff. And you know what they really want? They just want to hear from you. They want information if an order is going to be delayed, if a price is going up. They're trying to run their businesses, too. They would like to know in advance," Marks said.

Another benefit of having a CRM data base is that it provides the company with a higher valuation when it comes time to sell the business because the data is so valuable to potential buyers.

"When people have good CRM databases, they get more money for their businesses when they sell them," Marks said.

Companies are buying into human resources cloud-based platforms — such as Paychex, Gusto, Bamboo, Zenefits — to cut expenses and overhead, he said.

With these platforms, employees can access their payroll information on their mobile devices, update information, request PTO or sick days, fill out insurance forms, etc.

These platforms also can facilitate employee performance evaluations, onboarding and offboarding, health insurance management, benefits management, payroll integrations and time management.

Companies can use certain platforms to offer benefits to attract and retain employees, he said.

Some examples include:

• Tuition.io can help employees reduce their student loans with an employer tax-deductible contribution.
• Paychex, ADP and other same-day pay platforms are "exploding" in popularity around the country, Marks said.

The platforms allow a company to pay employees (usually hourly workers) 50% for the day they work and the other 50% at the end of the payroll period.

"Assuming that your cash flow can support that, if you're offering that and the guy down the street is not offering same-day pay and your trying to get an hourly person for your manufacturing or warehouse, it could make the difference," Marks said.

• Bonus.ly and other interactive team-building apps boost productivity and teamwork by awarding points to employees based on a job well done. At the end of the period, who ever has the most points, receives a bonus or gift.
• Cardcash sells discounted gift cards companies can purchase for employee gifts or rewards.
• BetterUp is a mental health counseling subscription service that provides employees access to psychiatrists, psychologists, life coaches and therapists on a confidential basis.

"Mental health has been a big priority this year. All of us need to do something better, because people are asking about it. There is no longer any kind of stigma," Marks said, noting that younger job applicants, affected by anxiety and depression during the COVID-19 pandemic, are going to ask employers what kind of mental health benefits they offer.

One of the hottest trends in the back office is accounts payable automation, Marks said.

"If you guys don't have this set up, you strongly have to consider it for this year."

Bill.com, AvidExchange and other platforms integrate with a company's bank and accounting system so that suppliers and vendors send their invoices to the system, which in turn scans the information into the company's accounting system and schedules payments, without any human interaction.

"It cuts people out of the process, which in turn replaces people with this kind of technology and that's what's being done with clients across the country," he said.

If a company needs a quick loan to buy equipment or for a project, quick-financing apps, such as BlueVine, Intuit or Kabbage, can connect to a company's accounting system to get immediate approval.

Marks warned that interest rates can be "astronomical (30-70% annual interest rate)" but the loans are supposed to be short-term — for a deposit on equipment or quick cash for a project — that can be repaid quickly or refinanced to a more traditional loan.

BlueVine also handles collections for accounts that usually take a long time to pay, such as overseas businesses, government entities or school systems.

Marks said a company can sell the invoice to BlueVine for a fee (usually 3-5%) but then BlueVine handles collecting the payment and the company gets cash upfront.

"It's a way of individually singling out big invoices from problem customers or specific types of customers and just say 'Get it out of here and let these guys deal with it,'" he said.

Marks also suggested companies investigate software, such as Domo, Hive or MicrosoftBI, that provides customized and mobile reports on such things as backlogs, order status, sales, etc.

"There is an army of consultants out there waiting to help you. And you can find them on LinkedIn or directly from those vendors. ... The productivity you get out of it will be huge," he said.

He also encouraged companies to investigate AppSheet, Zoho Creator and Power Automate for building their own custom apps.

"If you need to build a safety app for your business, if you want to build some small app to increase productivity in your business, you don't have to start from scratch," he said, noting that these platforms provide templates and a developer can help create an app for use in a particular company.

Ransomware theft is up 300% from the prior year and it can cripple a business, Marks warned.

He urged companies to hire an IT firm that will train employees to recognize online security threats; set up multi-factor authentication to access the company's computer system; download VPN software for employees who travel; secure home routers for remote employees; and update operating systems and browsers to deter hackers looking to attack older computers.

Marks urged businesses to keep an eye on other technologies due to become more commonplace in the next few years, including:

• Voice technology that allows employees/managers to vocally command computers and systems to create reports or access machinery.
• Artificial Intelligence (AI)-based interviewing, such as HireVue, where job applicants visit the site and answer questions the company provides while the AI is analyzing facial expressions and tone of voice. It's meant to reduce bias in the interviewing process and provide the first level of qualification of prospective employees, he said.
• Metaverse where meetings are held using avatars, such as in Decentraland.org. Marks said in a few years people will send an avatar of themselves to a virtual meeting with other avatars for sales calls with customers in a virtual environment. Virtual real estate can be purchased where the avatars can meet or visit a simulation of the corporate office. Subscribers can also buy furniture and artwork for this metaverse. "This is a whole other multi-trillion dollar economy that right now is churning its way up and all of us are going to be getting into it, just like we all got sucked into YouTube and Facebook. Our businesses are going to need to have a presence on the metaverse," he said.