DEALER ' S EDGE
DEALER ' S EDGE
Free Agency Isn’ t a Talent Strategy:
Breaking the rotating door cycle in equipment dealerships
by TOM HEALY
Every dealership in our industry knows the feeling. A technician leaves. A parts manager resigns. A strong salesperson walks across town to a competitor. Within weeks, you hear that same competitor just hired someone from another store. Then that store hires from somewhere else.
It starts to feel less like workforce development and more like NFL free agency. Players move from one team to the next. Everyone hopes they just signed a star. But without the full game film— without understanding the culture they came from, without knowing how they were really performing behind the scenes— you’ re often betting on potential instead of proof. Sometimes you win. Often, you inherit someone else’ s problem.
The labor shortage in our industry is real. Technician pipelines are thin. Skilled parts professionals are hard to find. Strong executive leadership is even harder. But if we are honest with ourselves, the shortage is only half the story.
The other half is the rotating door.
The Illusion of“ Solving It Fast”
When a position opens, the pressure is immediate. Service bays don’ t wait. Customers don’ t wait. OEM metrics don’ t wait. So, we move fast. We look to another dealership. We recruit someone already trained. We offer a little more money, maybe a better schedule, maybe a new title. And sometimes that is the right move. When the right person appears, move decisively.
But here’ s the hard truth: free agency is not a development strategy.
The labor shortage in our industry is real. But if we are honest with ourselves, the shortage is only half the story. The other half is the rotating door.
Too often, we are not recruiting top performers. We are swapping them. In some cases, we are trading underperformance from one store to another and calling it progress.
A happy, high-performing employee rarely leaves a healthy environment without reason. That does not mean everyone who moves is a problem. Opportunity, family, and growth are legitimate reasons to transition. But if your dealership consistently sees strong people leave, the labor market may not be your biggest issue.
It may be your culture. That is not a comfortable statement. But it is one worth examining.
I Played the Game Too
From roughly 2000 to 2022, I was part of an eight-location dealership group. Turnover was a constant reality in our industry. Technicians were in demand. Experienced parts professionals were scarce. Executive leadership could move quickly across rooftops. Early on,
we played the same game everyone else did. When someone left, we looked for a“ plug and play” replacement. Someone already trained. Someone already experienced. Someone who could produce right now. And sometimes that worked. But over time, we started noticing something important. The hires that lasted— the ones who became tenured mechanics, department heads, and corporate leaders— were not always the ones we acquired from other dealerships. They were the ones we grew. We began recruiting intentionally from our local university and technical programs. It was slower. It required patience. It demanded that we resist the urge for immediate productivity. It required leaders who were willing to teach, to mentor, and to sacrifice some short-term efficiency for long-term stability. It also required accountability. When we invested in someone, we made it clear: we believe in your ability, and we are willing to spend money to develop you. In return, we expect performance, effort, and growth. Over time, we built a deep bench of tenured staff across service, parts, and leadership. Our service department became known for consistency and reliability— not because we traded for stars, but be-
TOM HEALY serves as Vice President of Manufacturer Relations and Dealer Institute for NAEDA. With nearly 25 years of experience in agricultural equipment dealerships, he has held leadership roles in service, operations, and sales management. Tom holds a bachelor’ s degree in Diesel Engineering from Ferris State University and serves on the university’ s advisory board, helping strengthen technician education and expand agricultural equipment training programs.
TOM HEALY, VP Manufacturer Relations and Dealer Institute NAEDA
10 EQUIPMENT DEALER MAGAZINE • U. S. EDITION