During a recent Compliance Audit, a dealership had taken advantage of Program #75480—Remote Delivery $100 Dealer Cash a lot—NO—A LOT. This dealership was above average of both their Zone and Region on their Metrics Report. **The Manufacturer had red flagged their numbers on their Metric Report. Historically, Manufacturer Red Flags often turn into some type of audit.
The program profile for #75480 stipulates that a note stating that the delivery was remote is the only requirement for documentation. This dealership created a Delivery Form with boxes to check as to where the delivery was done: Dealership / Customer’s home or place of business / Another Ford dealership. Great job Dealer.
Problem: The $100 was claimed even on deliveries at the dealership—verified by the customer signing that they took delivery at the dealership.
In the event of a Manufacturer’s audit, if an GAO Auditor saw this, not only would the $100 be charged back, but, with the number of erroneous claims, this could—probably would—result in an expanded, full audit with increased scope.
Be Compliant. Be Diligent. And, it is a GREAT idea to have a third party check to make sure that something as small as a $100 infraction doesn’t expose you to a full audit that could result in a 6 digit penalty.