New School Offers Training and Placement in the Car Dealership Industry

Scottsdale Airpark News
By Sarah Laidlaw

When downsizing eliminates your job, you can’t find a position that matches your experience and knowledge, or you simply become disillusioned with your current career, where do you turn? Many are returning to college as it becomes more accepted for all age groups. Another option is to turn to training and tech schools created for quick entry into new careers. The Automotive Dealership Institute is one such high-end institution, offering the education needed to enter the trillion-dollar automotive dealership industry in a variety of positions, including that of a finance and insurance manager or service advisor.

Alan Algan, CEO of the Automotive Dealership Institute, explains that his school supplies everything needed to enter an industry that shows no foreseeable downturns and offers quick and great reward. ADI opened its doors to students of all backgrounds and ages in June 2005. Since then, it has maintained a job placement rate of a whopping 90 percent-plus.

Algan and his wife, Arzu, who serves as the company’s CFO and Dean of Education, founded their first automotive finance management school in California in 1988. It was bought by an outside company in 1992. The Algans remained with the company as its director of operations and director of education, respectively, until December 2004. Keith Tuber, ADI’s president, joined that firm in 1997. The trio wished to start their own institute again and in 2005 decided to relocate to Scottsdale, as the Greater Phoenix area is the No. 5 car market in the country. The Algans have extensive experience working in the automotive industry in senior dealership management positions, while Tuber was a 16-time award-winning journalist with lengthy automotive business school experience.

The school was created with the awareness that automotive dealerships are often lacking applicants with the necessary experience for positions in finance and insurance or service advising. Most applicants coming from the banking industry have experience in finance but not in the car business, while others may have experience in the retail automotive industry but not finance. Rarely do they have both, which are very necessary for finance and insurance managers. Algan explains, “Most people visit dealerships in the evenings or on the weekends, when banks are closed. It’s up to the finance manager to determine the terms of the loan and approve credit on the spot because, if they don’t, the potential customer would walk out and buy elsewhere. If the terms are not to the bank’s ultimate approval, the sale could subsequently be lost. Finance managers must, therefore, be extremely knowledgeable of the system.” Most customers do their homework on the Internet and they are well-informed on the vehicle and loan products even before setting foot on the dealership. Their knowledge requires those servicing them to be even more knowledgeable. Tuber says, “There is no longer a place for the stereotypical used car salesman. This requires better educated personnel, but creates a win-win situation for consumers and dealerships.”

The demand for well-educated people within the automotive industry will never decrease, as the market demand is a constant within our society. Algan says, “Cars are one thing people will always buy. People are always driving, which means they are buying cars - used and new. There are always jobs and they pay well.” The average income for a finance and insurance manager in the state of Arizona, according to the National Auto Dealers Association’s 2003 survey, is $93,325 and for a service advisor, it’s $44,490.

Algan believes the salary more than compensates for the cost of the courses at ADI, which are $10,000 for the finance and insurance classes and $5,000 for the service advisor program. Government student loans are available for eligible students, covering tuition plus up to $6,000 cash back to students to cover their personal living expenses while attending school. The loan payments are deferred for 12 months and usually amount to monthly payments under $200.

The courses teach the basics as well as the specifics, from retail dealership operating systems to F&I computer software to how to analyze a credit report. The finance and insurance course runs full time for four weeks, while the service advisor course is only two weeks long. Both require students to attend classes five days a week, eight hours a day with one to two hours of homework per night.

Maximum class size is 12 people, and all supplies are provided for the courses. Tuber adds, “Nobody is nameless and students become like family here.” The teachers are professionals from the industry - Bob King teaches service advising and Jack Ferry instructs finance and insurance. Algan says, “Both have been in the car business all their lives. In fact, Bob’s family owned a major Ford franchise and he started in the business as a lot boy, working in every position up to general manager.” Beyond that, the facility itself is nothing but state-of-the art with computers at every desk and inviting interior design and architecture. Algan says, “We wanted to make it like a luxury resort for students.” There are two classrooms - the Silver Cloud Room and the Citroen Room, the partners’ and teachers’ offices, a kitchen and break room, and a shaded outside patio. ADI even employs a full-time housekeeper, Ramona, to maintain their “resort” environment.

Successful course completion is rewarded at graduation with a handsomely framed diploma, resume preparation and job placement assistance for life. ADI has contacts in the industry throughout the U.S. and is constantly working to attain more. Their over 90% success rate in placement shows they are highly respected by the industry.

Part of the way ADI retains that industry respect is through screening student applicants. Although they invite a diverse student body, they are careful to accept only those they feel will be a successful hire within the industry. Those applying are required to complete an entrance exam, which assesses math and English skills, and an in-depth personal evaluation. Students must also have a high school diploma or G.E.D. Students at the school range from those in their early 20s just entering the career world to those in their late 50s making a complete career change.

Tuber says the courses are intense and difficult, but the payoff is rewarding with a successful career and job placement. He says, “We are changing people’s lives here.” That statement is the real motivation for the school as it works to help people attain a successful career, whether it is their first, second or third.

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