TADA's Twenty Groups or Dealer Performance Groups (DPG)

Policy Statement

Dealer Performance Groups

PURPOSE

A group of dealers, common in size and franchise, mutually associated to provide a confidential exchange of experiences, problems and ideas at regular meetings; and to receive the benefit of reliable, comparative operating data on a regular monthly basis.

MEETINGS

Meetings will be held approximately three times a year on a regular cycle at locations selected by the Group.
  

OFFICERS

A Chairman shall be elected at the conclusion of the last meeting of each calendar year to serve through the following calendar year, or on a meeting-by-meeting basis. He shall be responsible for the agenda and program of the meetings.

INFORMATION SECURITY

All information furnished by or about a member is considered extremely confidential. TADA prohibits the furnishing of information to anyone, including other dealers, factory personnel, trade associations or publications. Dealership management exposed to composite data must adhere to this same confidentiality.

INFORMATION REPORTING PROCEDURE

Each member submits to TADA, or its subcontractor, a copy of the monthly dealership financial statement, which is:

1 – Complete
2 – Legible
3 – Full Size
4 – In conformity with the Groups’ agreed upon standard. In order to achieve maximum benefits, each member makes any adjustments necessary in the statement to achieve such conformity.

The data must be received by TADA at a reasonable time following the close of each month, so as not to delay the printing and shipping of the composite to the Group.

SERVICES PERFORMED BY THE TEXAS AUTOMOBILE DEALERS ASSOCIATION

Dealer Statement Composites – From the financial statements submitted by the members, the Texas Automobile Dealers Association prepares a comparative financial composite for each Group. The information is presented by dealer; a Group average and benchmark are also shown. On presentation, the members are ranked across the page according to the significant factor on each particular page.

Meeting Arrangements – At the conclusion of each meeting, the members, as a Group, select the sites for the following two meetings. TADA will follow with arrangements and contract hotels in accordance with the wishes of the Group. The members are advised by bulletin; TADA will make room reservations. Members pay their own room bills. Any costs related to the Group’s decision to cancel will be shared by the Group.

Cash Advances and Pro-Rata Billing – TADA will advance monies for meeting room expense, Group meals, speaker fees and expenses, related Group activities, and expenses pertinent to meetings and the welfare of the entire Group. Pro-rata billing of all general, non-variable meeting expenses will be made to all members whether or not they are in attendance at a particular meeting.

Inter-Group Communications – From time to time presentations, programs and particularly useful ideas generated in other Groups will have application to all Groups. TADA shall prepare and distribute such items (without identity) to all other Groups in order that each dealer may have the benefit of the efforts of all dealers in all Groups.

LIMITATION OF MEMBERSHIP

The membership of this Group may be limited to a maximum of twenty qualified dealers from selected market areas geographically distributed in such a manner as to obtain representation from all regions.

MEMBERSHIP COMMITTEE

A membership committee may be formed by the Group to work in conjunction with TADA. It will be their responsibility to solicit dealers to fill vacancies in the Group as they may occur and to make recommendations to the Group as a whole. This committee will authorize TADA to invite prospective members to meetings as guests, provided, however, no two dealers located within the same relevant market area shall be members of the same mini-group without mutual consent.

QUALIFICATIONS FOR MEMBERSHIP

To qualify for selection by the membership committee or Group, a dealer must:

A. Be an active, operating officer of a financially sound and reputable dealership that is an active TADA member in good standing.
B. Be in a market area of sufficient volume to make a comparison valid.
C. Have a history of profitable operations commensurate with his area’s composites.
D. Be capable of and willing to contribute to the benefit of the Group in their meetings.
E. Be willing and able to maintain regular attendance at the scheduled meetings.
F. Be socially acceptable to the general Group membership.

When the membership committee has satisfied themselves that a prospective member meets the above qualifications, the Group shall vote on his acceptance. Approval for membership will require the majority vote of all members present at the meeting.

MEMBERSHIP RESPONSIBILTY

The success of the Group and the benefits of Group membership depend upon regular and consistent attendance at all scheduled meetings. Each member is obligated to make contributions of ideas and experiences, and having spent considerable time in advance preparation, deserves and is entitled to receive such information from every other member. It is therefore the primary responsibility for each member to regularly attend all scheduled meetings. Should a member fail to attend three consecutive meetings his attendance record will be reviewed together with the circumstances causing his absences, and a decision reached as to his continuance as a member. The member will be advised in writing of the Group’s review and decision. Waiver of this provision can be made only by the unanimous vote of the members and then only in the case of reasons beyond control of the absent membership. Membership in the Group is non-contractual and a member may terminate his membership at any time by notifying TADA of his desire to do so. Such termination will become effective 30 days from the date of receipt of the notification by TADA. Likewise, TADA may terminate a member with 30 days delinquency of payment for meeting and/or membership fees. Membership fees shall be billed and paid on a quarterly basis, with meeting expenses invoiced following each meeting.

ELIGIBILITY FOR MEETING ATTENDANCE

Attendance at regularly scheduled meetings of the Dealer Performance Group is restricted to the dealers who are elected members and/or their partners or General Managers with substantial interest and, with the approval of the Group, without being accompanied by a member. The Group's meetings are not normally open to department heads. A member may bring his son/daughter, daughter/son-in-law or son/daughter-in-law to the meetings in furtherance of their education in the business. The Group's meetings are not open to outside guests, including factory representatives, unless previously approved by the Group.

EXCEPTIONS AND AMENDMENTS

Exceptions and amendments to these policies may be made at regularly scheduled meetings by unanimous vote of the members present at the meeting.

POLICY STATEMENT ACCEPTANCE

It is hereby understood that any dealer accepted in a Dealer Performance Group agrees to abide by the above Dealer Performance Group guidelines.