Onboarding determines whether a new hire becomes a long-term contributor or leaves within weeks. In automotive retail, this is even more critical. New sales advisors face performance pressure on day one. Service staff enter fast-moving environments with safety, workflow, and customer interactions to manage. BDC and administrative teams handle high volumes of communication with little margin for error. When onboarding is weak or chaotic, turnover becomes inevitable.

Across the industry, dealerships continue to lose people in the first 30 to 90 days. Many of these losses are preventable. In our recent webinar, "People Are the Profit: Why Smart Operators Prioritize HR," three experienced automotive leaders shared practical insights on why onboarding breaks down and how dealerships can fix it. Devin Kaulback, General Manager at Subaru Niagara, Melinda McLaren, former Hyundai General Manager and now leadership coach, and Tom Lim, former GM with nearly 25 years in automotive and now leadership coach, discussed the most common onboarding gaps and how strong operators address them..

Below are the most common onboarding gaps in automotive retail and the practical steps dealerships can take to fix them.

1. Day One Chaos Creates Long-Term Doubt for New Hires

For many employees, the first day is the moment they decide whether the dealership is serious about their development. When new hires walk into confusion, missing logins, unclear expectations, or a manager who is unavailable, they start doubting the store within hours.

Tom Lim explained how damaging this can be: "If you have a messy onboarding, that is no one's fault but your own. You set the tone on day one."

Employees want to feel prepared. They want to know who they report to, what they are supposed to learn, and what success in the first week looks like. When the dealership does not provide this structure, new hires often question whether they made the right choice.

2. New Hires Need Clear Access to Tools and Training

Across sales, service, parts, F&I, and BDC, dealership roles depend on systems and tools. CRM access, DMS credentials, communication platforms, safety training, product knowledge, and manufacturer guidelines all play a role in early performance.

Many employees leave not because they can’t do the job, but because they’re blocked from doing it. Missing access slows productivity. Repeatedly asking for logins or information makes people feel like a burden. In high-pressure dealership environments, that frustration adds up quickly.

Dealerships with strong onboarding ensure systems, tools, and passwords are ready before day one. They also deliver structured training that explains department processes, customer handling standards, safety expectations, and performance benchmarks for the role. This allows new hires to start with confidence instead of hesitation.

3. Shadowing Alone Does Not Teach the Job

Shadowing is a common onboarding tool in dealerships, but it becomes a problem when it is the only tool. New hires often watch experienced staff complete tasks without context. They observe behaviours but do not understand the why behind decisions. In sales, they may only see the final stages of a transaction. In service, they may watch processes but never practice them.

Shadowing should be part of training, not the entire process. Dealerships benefit when they pair shadowing with structured explanations, guided practice, and scheduled check-ins. This helps new hires absorb information instead of passively watching work happen around them.

4. Early Wins Build Confidence and Reduce Early Turnover

Confidence drives performance. In dealerships, the pace is fast, and the learning curve is steep. New hires need early wins to feel capable and connected to the team.

Devin Kaulback emphasized the importance of realistic expectations early on: "People gain confidence when they have small wins. You cannot expect peak performance in the first 90 days."

Small wins might include completing a training module, handling a simple customer interaction, or successfully navigating a department process. These achievements build momentum and reduce the anxiety that comes with starting a new job in a high-pressure environment.

5. Onboarding Fails When No One Owns the Process

Onboarding falls apart when no one owns the process. Many dealerships assume HR will manage it, or that the department manager will take responsibility, or that the new hire will figure it out. This creates gaps that lead to confusion and frustration.

Melinda McLaren emphasized the importance of connection from day one: "Day one for these people is very exciting. If we just treat it laissez-faire, then they almost maybe don't feel welcomed or appreciated that they've taken this opportunity."

Strong dealerships assign clear ownership of onboarding. One person is responsible for ensuring access, training, communication, and follow-up happen as planned. This accountability prevents gaps, mixed messaging, and last-minute improvisation.

6. The First 30–60 Days Need a Clear Onboarding Plan

High-performing dealerships rely on simple, structured onboarding plans that outline what a new hire should learn week by week. These plans remove guesswork and help managers deliver consistent support.

A clear onboarding plan often includes:

• role expectations and performance standards
• systems and process training
• customer handling guidelines
• product or service education
• scheduled manager check-ins
• performance goals for the first 30 and 60 days

When new hires can see progress, they feel grounded. When managers follow a plan, onboarding becomes intentional instead of reactive.

7. Strong Onboarding Improves Retention and Dealership Culture

Onboarding is not just paperwork or orientation. It is the dealership’s first leadership test. When dealerships treat onboarding as a strategic process, confidence rises faster, performance improves sooner, and early turnover declines.

Employees who feel supported in their first weeks are more likely to stay through busy seasons, difficult customers, and month-end pressure. They build trust in leadership and see a long-term future with the dealership.

Watch our webinar to learn more about building stronger dealership teams

Onboarding is one of the most powerful tools for reducing turnover and improving performance, yet many dealerships still struggle to get it right. If you want to see practical examples, real stories from automotive leaders, and actionable methods you can apply immediately, watch our full webinar, People Are the Profit: Why Smart Operators Prioritize HR.