How To Reduce Parts Obsolescence | SDR #370 @Chriscollinsinc
How To Reduce Parts Obsolescence | SDR #370  @Chriscollinsinc
Uploaded August 2026 | Updated September 2026, 1 week ago
What makes a heavy-truck parts department different from an automotive dealership—and why does obsolete inventory keep returning after you clean it up?

In this episode of Service Drive Revolution, Chris, Hogi and Adam answer a Parts Director’s question about automotive versus commercial-truck operations. Automotive parts departments primarily support their internal service drive. Heavy-truck departments operate more like B2B wholesale businesses, serving fleets, municipalities and outside shops with dedicated salespeople, larger inventories and demanding delivery expectations.

The team explains why eliminating obsolescence starts with stopping the process that created it. They examine special-order parts, prepaid policies, returns, “just in case” technician orders, outside vendors and the monthly controls needed to protect first-time fill rate.

Then, the crew responds to an anonymous Facebook post criticizing Chris Collins’ program. They address its claims about flat-rate technicians, pricing, maintenance, profitability and ethics—and explain why the details do not match any current client implementation.

🔥 KEY TAKEAWAYS

* Automotive vs. Heavy Truck: Automotive parts departments depend heavily on internal service sales. Truck dealerships often generate most parts revenue from outside customers.
* B2B Requires a Different Structure: Commercial operations need outbound sales, call teams, inventory depth, fast delivery and strong account relationships.
* Stop the Bleeding First: Cleaning obsolete inventory accomplishes little if broken ordering, return and special-order processes continue.
* Control Special Orders: Require prepayment or defined exceptions, audit shelves and closed ROs, and prevent unnecessary “just in case” orders.
* Obsolescence Hurts Service: Dead stock consumes cash and weakens the inventory mix, reducing first-time fill rate.
* Pricing Must Support the Business: Labor and parts pricing must reflect wages, facilities, expenses and the department’s true break-even point.
* Ethical Maintenance Creates Value: Never recommend work you would not sell to your own family, but fair profitability is not customer exploitation.
* Systems Before Training: Selling harder without capacity, technicians and operational structure can worsen CSI and performance.

FAQ

Q: How are automotive and heavy-truck parts departments different?
A: Automotive parts usually flow through the internal shop. Truck departments often sell far more to fleets and outside businesses.

Q: What causes parts obsolescence?
A: Uncontrolled special orders, weak returns, technician over-ordering, abandoned parts and shelves that are not regularly audited.

Q: How should a dealership reduce obsolete inventory?
A: Fix the process first, then create exit strategies for existing stock. Otherwise the same obsolete balance returns.

Q: Should customers prepay for special-order parts?
A: Often yes. Any exceptions require clear approval, return and accountability rules.

Q: Why would a dealership change pricing?
A: Pricing may need adjustment when the department is below break-even or has not accounted for higher wages, facilities and expenses.

Q: Is profitability unethical?
A: No. Recommend needed work, communicate value honestly and price it so the dealership can sustainably serve customers.

0:00 Welcome and the Service Drive Academy
3:00 Adam’s Crowded Florida Vacation
8:20 Planet Fitness and the Indiana Trip
10:05 Automotive vs. Heavy-Truck Parts
12:45 B2C vs. B2B Parts Operations
14:20 Why Truck Parts Wholesale Is So Large
18:50 How to Prevent Parts Obsolescence
19:35 Stop the Bleeding Before Cleaning Inventory
22:00 Special Orders, Returns and Monthly Reviews
26:30 The Anonymous Service Advisor Post
29:10 Why the Team Says the Story Is Fabricated
31:05 Flat-Rate Technician Claims
33:40 Parts Matrices, Labor Grids and Pricing
36:50 When Critics Turn the Debate Into Ethics
39:50 Customers and Profitability Must Coexist
43:30 Responding Without Starting an Industry Fight
48:15 Focus on the Mirror and Keep Improving
49:35 Final Thoughts

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How To Reduce Parts Obsolescence | SDR #370

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