Failure to Return Dirty Cores for Reimbursement
Definition
Dealerships sell parts with core charges passed to customers, but fail to return the used 'dirty cores' to OEMs for credit reimbursement. Cores pile up in parts departments, leading to unclaimed refunds worth $500 to $5,000 per dealership. Without tracking, cores disappear or credits are not properly posted to accounting.
Key Findings
- Financial Impact: $500-$5,000 per dealership ongoing
- Frequency: Weekly
- Root Cause: No documented process for tracking dirty cores in DMS, busy employees neglecting returns, poor accountability
Why This Matters
This pain point represents a significant opportunity for B2B solutions targeting Wholesale Motor Vehicles and Parts.
Affected Stakeholders
Parts Manager, Parts Department Employees, Accounting
Deep Analysis (Premium)
Financial Impact
$1,000-$5,000/month in rejected core returns due to documentation gaps and missed return deadlines β’ $1,000β$5,000 per dealership each year in forfeited OEM core credits and significant labor cost tied up in preparing, resending, and reconciling manual core reports for government accounts. β’ $1,000β$5,000 per dealership per year in lost OEM credits on fleet cores that age out or go missing, plus significant staff time spent on manual investigations and disputed balances with large fleet customers.
Current Workarounds
Cores left on workbench; technician tells manager verbally; manager or service advisor haphazardly routes to returns person; many cores lost in transition β’ Cores piled in back room; shop manager manually calls distributor to inquire about return process; cores sometimes thrown away; return authorization done via phone/email β’ Each location manages cores independently; head office has no visibility; manual email summaries from field locations; cores discarded at remote sites
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Methodology & Sources
Data collected via OSINT from regulatory filings, industry audits, and verified case studies.
Evidence Sources:
Related Business Risks
Idle Capital Tied in Untracked Core Inventory
Theft and Shrinkage of Unmonitored Dirty Cores
Manual VIN Lookup Delays in Processing
High Accounts Receivable Aging Due to Late Payments in Automotive Parts Distribution
Idle Fleet Capacity and Lost Delivery Slots from Suboptimal Routing
Excessive Fuel and Overtime Costs from Inefficient Route Planning
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