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Gauging What Lies Ahead for the Collision Industry in 2017 Based on the Events of 2016 by John Yoswick
As another new year begins, the collision industry can expect more big changes in terms of vehicle technology, repair requirements, judicial and regulatory actions, state and federal legislation, and insurer involvement in the claims process. Here’s a look at some of what’s in store for the coming 12 months. Changes in insurance industry regulation. Look for insurers to see a Trump presidency and Republicancontrolled Congress as an opportunity to scale back federal regulation of the insurance industry.
The National Association of Professional Insurance Agents (PIA), for example, has already urged that the Federal Insurance Office (FIO), established following the Great Reces-
Happy a NEW Year
velopment and talent retention, according to news releases and reports in the Detroit News. The new law clears the way for the public to use self-driving cars when they are available, and allows self-driving vehicles without steering wheels or pedals to be tested on public roads. Previously, only testing of the vehicles by manufacturers was permitted. The bill also allows automated vehicle platoons and on-demand autonomous vehicle networks to operate on roads throughout the state. Previously, only testing of vehicles was permitted. The result should See MI Autonomous Bills, Page 22
Change Service Requested
P.O. BOX 1516, CARLSBAD, CA 92018
MI Gov. Rick Snyder signs package of legislation. Credit: Governor’s office
they repeal the FIO,” Jon Gentile, PIA’s vice president of government relations, said. “Doing so would reaffirm that regulation of insurance should continue to be the responsibility of the states.” But Matthew Josefowicz, president of a Boston-based insurance technology consulting firm, cautioned that such reductions in federal oversight of insurers could embolden some state attorneys general and insurance commissioners, resulting in insurers “dealing with aggressive state regulators.” That could be good news for colSee Ahead to 2017, Page 24
MI OKs Operation of Autonomous Vehicles on Public Roads, Previously Only Testing Allowed Gov. Rick Snyder has signed legislation that aims to put Michigan at the forefront for autonomous technology, testing and deployment for self-driving cars. Proponents say the laws are important for the state’s economic de-
sion, be scrapped. “With Congress poised to significantly roll back key provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act, we ask that
VOL. 6 ISSUE 4 JANUARY 2017
Ohio Appeals Court Denies Plaintiffs’ Class Action Certification Motion, Progressive by Jeremy Gilman, Benesch Friedlander Coplan & Aronoff LLP
Four independent auto body shops sued Progressive Casualty Insurance Company in state court in Cleveland. Their gripe? They claimed that they repaired Progressive-covered vehicles but that Progressive tortiously interfered with their relationships with their customers “by dictating what services and parts” Progressive was “willing to pay for” when the body shops were “tasked with repairing” a covered vehicle. They also complained that Progressive improperly “dictate[d] the labor rates” it was willing to pay the body shops “without regard to a particular shop’s rates.” “[T]hese limitations,” plaintiffs contended, did “not necessarily allow for them to restore an insured’s car to its original, pre-loss condition,” which they alleged violated both Ohio law and Progressive’s own insurance policies. The body shops sought damages “for parts and labor expended in excess of” Progressive’s restrictions and declaratory relief requiring Progressive “to indemnify” the body shops “from any liability arising from their
compliance with these restrictions.” Progressive, in turn, asserted that its “practices are part of the competitive market for auto repair services in Ohio” and that its “Direct Repair Program” is “able to repair an insured’s vehicle to its pre-loss condition under the same terms offered to plaintiffs.” A seemingly simple fact pattern. The body shops claimed that Progressive wasn’t paying them enough to repair covered vehicles and Progressive claimed that it was. [But this is a class action blog, so] we’d be remiss if we ignored the fact that the body shops also moved for class certification. Their requested class? All Ohio registered auto body repair shops, or registered individuals, with the exception of those members of Progressive’s Direct Repair Program that have performed physical auto body repairs paid for directly or indirectly, partially or in full, by Progressive as a result of Automobile insurance policies issued by Progressive, from August 7, 2005 through present. See Court Denies Motion, Page 14
Presorted Standard US Postage PAID San Bernardino, CA Permit #2244
2 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
REGIONAL
Abandoned Junkyard Reaches Final Days
of Scavenge . . . . . . . . . . . . . . . . . . . . . . . . 9
ASA Midwest Busy with Meetings and
New Chapter Kickoff. . . . . . . . . . . . . . . . . 10
Yoswick - Retro News: CIC Ends Parts
Test-Fit Demonstrations, Feds Launch
New Insurance Oversight Agency . . . . . . . 38 NATIONAL
ASA Midwest Presents 2016 VISION South
15th Annual Race for Automotive Education
ASA Ohio Sells Out for Estimating Seminar
A 2015 Profile of the Evolving North American
Auto Repair Shops see Spike in Business
ASA Launches New Career Center . . . . . . . . 54
with Larry Montanez. . . . . . . . . . . . . . . . . . 8
Announced. . . . . . . . . . . . . . . . . . . . . . . . 16
Collision Repair Marketplace. . . . . . . . . . . 40
as Fall Deer Rut Begins. . . . . . . . . . . . . . . 20
Attanasio - New California Laws That Can
Refusing to Testify re Hobos Gang
Auto Parts Maker Transtar Files for
Body Shop Employee Held in Contempt for
in Chicago . . . . . . . . . . . . . . . . . . . . . . . . 15
Impact Your Business. . . . . . . . . . . . . . . . 34
Chapter 11 Bankruptcy. . . . . . . . . . . . . . . 63
Body Shop Owner Sentenced on Drug Charge . 6
Autologic Enters into Licensing Agreement
Customer Shoots Body Shop Owner in
Axalta Coating Systems Introduces Voltatex®
Body Shops See Increase in Deer Collisions . . 6
the Foot . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Disabled auto body mechanic is ‘Able to Work’ . 6
FinishMaster Acquires Autobody Supply Co.,
Adding Nine Locations in Ohio . . . . . . . . . 59
with Volvo for Diagnostic Data . . . . . . . . . 61 7145A and Alesta® BK08 20 Gloss. . . . . . 54
BASF Completes Acquisition of Chemetall. . . 55
Cam Miller Wins SEMA Battle of the Builders . 51
CAPA Introduces CAPA 701 Mirror Standard . 60
Fire Causes $750,000 in Damage at
CARSTAR Launches Redesigned Website
Jake’s Body Shop Opens in Blue Earth, MN . . 19
Collision Repair Education Foundation and
Dean’s Auto Parts . . . . . . . . . . . . . . . . . . 10
Jerry’s ABRA Auto Body & Glass of Mankato Donates $4,900 to the Alzheimer’s
at CARSTAR.com . . . . . . . . . . . . . . . . . . . 61
AkzoNobel Announce Winners of
Sustainability Challenge Grant. . . . . . . . . . 55
Association . . . . . . . . . . . . . . . . . . . . . . . 12
Collision Repair Education Foundation Requests
Ride to Local Woman . . . . . . . . . . . . . . . . 12
Sponsorship. . . . . . . . . . . . . . . . . . . . . . . 60
Kishwaukee College in IL Donates Recycled MI OKs Operation of Autonomous Vehicles on Public Roads, Previously Only
Testing Allowed . . . . . . . . . . . . . . . . . . . . . 1
OH Board Issues New Glass Rules . . . . . . . . 12
Year-End Product Donations, Safety Kit
CRASH Network Launches “Insurer
Report Card” . . . . . . . . . . . . . . . . . . . . . . 58
Crashmax Takes Home 2nd Consecutive
Sales Leader Award . . . . . . . . . . . . . . . . . 60
OH Car Dealership Robbed for Third Time. . . 16
NFL Network Shifts Gears With New
Certification Motion . . . . . . . . . . . . . . . . . . 1
GM Looks to Build Ranks of Cadillac
for Fifth Straight Year . . . . . . . . . . . . . . . . 22
Hyundai Selects OEC for Collision Parts
Six Locations with Hard Work and Passion . 26
National Auto Body Council Awards
in School Grants. . . . . . . . . . . . . . . . . . . . . 8
Professionalism and Integrity of
Ohio Appeals Court Denies Plaintiffs’ Class Ohio Manufacturing Employment is Up
Phillips - Indiana Family-Owned MSO Grows to St. Louis I-CAR Committee Awards $25,000
COLUMNISTS
Antonelli - How to Integrate Millennials Into the Workplace- From Hiring to Training
and Beyond . . . . . . . . . . . . . . . . . . . . . . . 28
Reality Series “Tackle My Ride” . . . . . . . . 59
Aluminum Repair Network . . . . . . . . . . . . 52
Ordering and Fulfillment . . . . . . . . . . . . . . 56
Recognize Individuals Who Exemplify
Collision Industry . . . . . . . . . . . . . . . . . . . 59
PartsTrader® and Fix Auto USA Agree on
Parts Sourcing and Ordering. . . . . . . . . . . 56
Sherwin-Williams Automotive Finishes 2017
First Quarter Training Schedule Announced . 63
Attanasio - Former Metal Technician Lands
U.S. House Subcommittees Hold Hearing
Attanasio - My Marketing Rap for 2017. . . . . 48
WIN Announces 2017 Educational
Dream Job with his Animal Art . . . . . . . . . 36
Attanasio - Valspar’s SEMA Highlights Include
Celebrities and Amazing Vehicles . . . . . . . 30
Attanasio - Vintage Color Studio Features
Award-Winning Roadster at 2016 SEMA
at PPG’s Booth. . . . . . . . . . . . . . . . . . . . . 42
Phillips - How to Compete with Consolidation
and Outmaneuver Your Competitors in 2017 . 44
on Connected Devices . . . . . . . . . . . . . . . 56
Conference Location . . . . . . . . . . . . . . . . 63
Yoswick - Gauging What Lies Ahead for the Collision Industry In 2017 Based on the
Events Of 2016 . . . . . . . . . . . . . . . . . . . . . 1
Young Auto Care Network Group (YANG)
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Online Editor and Copywriter: Deana Cacus Contributing Writers: Tom Franklin, John Yoswick, Janet Chaney, Toby Chess, David Brown, Rich Evans, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales Assistant: Jessica Day Content/Social Media Specialist: Cass Heckel Art Director: Rodolfo Garcia Graphic Designer: Michelle Lucas
Index of Advertisers
of the Border . . . . . . . . . . . . . . . . . . . . . . . 6
Membership Surpasses 1,000 . . . . . . . . . 58
Aerosol Refinish Solutions, LLC . . . . 5 AMH Canada, Ltd. . . . . . . . . . . . . . . 9 Audi Wholesale Parts Dealers . . . . 54 Axalta Coating Systems . . . . . . . . . . 2 Blue Springs Ford . . . . . . . . . . . . . . 47 BMW Wholesale Parts Dealers . . . . 59 Bob Hook Chevrolet . . . . . . . . . . . . 46 CarcoonAmerica Airflow Systems . . 8 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 29 Charles Gabus Ford . . . . . . . . . . . . 31 ChemSpec USA, LLC . . . . . . . . . . . 10 Classic Chevrolet . . . . . . . . . . . . . . 49 Classifieds. . . . . . . . . . . . . . . . . . . . 62 Courtesy Subaru. . . . . . . . . . . . . . . 38 Diamond Standard Parts . . . . . . . . 25 DJS Fabrications. . . . . . . . . . . . . . . 16 Eco Repair Systems of North America, LLC . . . . . . . . . . 17 ECS Automotive Concepts . . . . . . . 10 Equalizer Industries, Inc. . . . . . . . . 27 Erhard BMW of Bloomfield Hills . . . 35 Erhard BMW of Farmington Hills . . 35 Ganley Westside Hyundai . . . . . . . 40 Ganley Westside Subaru . . . . . . . . 41 GM Wholesale Parts Dealers . . . . . 57 Herkules Equipment Corporation. . 12 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . . . . 32-33 Hyundai Wholesale Parts Dealers. . 44 Infiniti of Naperville . . . . . . . . . . . . . 36 Jack Phelan Chrysler-Dodge-JeepRam of Countryside . . . . . . . . . . 23 Jake Sweeney Chevrolet . . . . . . . . 24
Serving Illinois, Iowa, Indiana, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, Wisconsin and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2016 Adamantine Media LLC.
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Kelly BMW . . . . . . . . . . . . . . . . . . . . 28 Kia of Des Moines . . . . . . . . . . . . . . 31 Kia Wholesale Parts Dealers. . . . . . 53 Killer Tools & Equipment. . . . . . . . . . 7 Laurel Auto Group of Westmont . . . 45 Livonia Chrysler-Jeep . . . . . . . . . . . . 6 Lusid Technologies . . . . . . . . . . . . . 11 Luther Bloomington Acura-Subaru. 51 Luther Hopkins Honda . . . . . . . . . . 19 Maplewood Toyota-Scion . . . . . . . . 34 Mazda Wholesale Parts Dealers . . . 63 MINI Wholesale Parts Dealers . . . . 58 Mitsubishi Wholesale Parts Dealers . 52 MOPAR Wholesale Parts Dealers . . 37 Morrison’s Auto Parts . . . . . . . . . . . 22 Nissan Wholesale Parts Dealers. . . 48 Polyvance . . . . . . . . . . . . . . . . . . . . 18 ProLine Tool & Supply . . . . . . . . . . 14 Richfield-Bloomington Honda . . . . 30 Russ Darrow Automotive Group. . . 39 SATA Dan-Am Company . . . . . . . . 13 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 20, 21 Subaru Wholesale Parts Dealers . . 61 The Sharpe Collection of Automobiles . . . . . . . . . . . . . . . . 43 Toyota of Des Moines . . . . . . . . . . . 31 Toyota of Grand Rapids . . . . . . . . . 26 Toyota Wholesale Parts Dealers . . . 50 U-POL US . . . . . . . . . . . . . . . . . . . . 15 VanDevere Kia-GM . . . . . . . . . . . . . 42 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 55 Zimmer Chrysler-Dodge-Jeep-Ram . 64
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 3
Ford Patents Self-Driving Car with a Drone
by Greg Gardner and Chris Woodyard, Detroit Free Press and USA TODAY
Ford has registered 1,442 patents this year, most among the largest automakers, including one for a self-driving car that has its own drone. Based on data compiled by the U.S. Patent and Trademark Office, Toyota was granted 1,368 so far this year, followed by General Motors at 1,131 and Honda at 1,011. Ford had 25% more patents than in the previous year. Raj Nair, executive vice president for product development and chief technology officer, attributed the increase to the push to develop more semi- and fully autonomous technologies as Ford and its competitors position themselves for shared-vehicle mobility. “We are living the innovation mindset in all parts of our business across the globe,” Nair said in a news release. “Our employees are delivering exciting new technologies for our customers at record levels. The Dearborn automaker was granted 1,700 more patents in other countries, bringing the total to more than 3,100 patents granted worldwide this year. Among some of the brighter ideas: ● Self-driving cars with drones. Tony Lockwood and Joe Stanek for an invention that equips autonomous vehicles with drones.
The system deploys a drone from an autonomous vehicle to map the surrounding area beyond what vehicle sensors can see. Passengers can control the drone using the car’s infotainment or navigation system. Mercedes-Benz showed off a similar idea in September, using the drone for parcel delivery from a van. ● Electric wheelchair for a car. Ford’s eChair could make life easier for wheelchair users. Developed by engineers at Ford’s Lommel proving grounds in Belgium, Gunther Cuypers, Robin Celis, and David Longin, the lightweight electric-powered eChair can load itself into a car. ● Water fountain in car. There’s also the idea called On-the-Go H2O, which puts a water fountain next to the cupholders in the car. It was developed by Ford engineers Doug Martin and John Rollinger, using water from condensation that is then filtered and pumped into a faucet located inside the car to provide drinking water. Earlier this year, Ford also introduced the Carr-E, a multipurpose, electric personal transportation device developed by Germany-based engineer Killian Vas. The Carr-E can carry humans, packages and heavy objects. Through this week about 5,500 Ford employees submitted invention disclosures, of which more than 2,200 were from first-time inventors.
New Michigan Law Raises Stakes for Others
Michigan’s new autonomous vehicle law (see story this issue) has received endorsement from automakers who are gives Michigan the broadest set of regulations in the country. GM, which voiced strong support for the legislation, would not confirm if it now plans to test autonomous vehicles in Michigan. But Pam Fletcher, GM’s executive chief engineer of global electric and autonomous vehicles, said the law “positions Michigan very, very well.” Ford has said it plans to deploy a fully autonomous vehicle without a steering wheel or pedals in 2021 for ride-sharing or ride-hailing purposes. Ford intends to sell 100,000 or more a year of the vehicles. “Without this, we wouldn’t be able to enable it here in Michigan,” said Wayne Bahr, global director of Ford Motor Co.’s automotive safety office. “Our headquarters is here, research is here, autonomous vehicle team is here and having the ability to do our testing in a four season environment and to do it right next to where our engineers are is absolutely phenomenal.” GM also is working with partner Lyft Inc. to develop a fleet of self-driving Chevrolet Bolt EVs that it would use for ride-hailing. While it is testing
autonomous Bolts in California and Arizona now, it hopes to test with Lyft’s service within a couple of years on public roadways. Uber is already operating driverless vehicles (see cover story this issue.) “We believe an orderly and safe introduction of autonomous vehicles is a key to success for public acceptance and really maximizing the benefit of these vehicles,” Fletcher said, adding part of the legislation for deploying selfdriving ride-hailing services without a driver is “the way we think this kind of technology needs to roll out.” Michigan is one of eight states along with Washington, D.C., that have laws allowing testing of autonomous cars, according to the National Conference of State Legislatures. California, Florida and Nevada have laws that allow for the “operation” beyond testing. Arizona and Massachusetts’ governors have signed executive orders related to selfdriving vehicles. The bills were amended to allow tech companies such as Google Inc. to test and ultimately operate self-driving vehicles without drivers on state roadways.
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4 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
Celphy Flies His Drone to Michigan
Consumer Watchdog Calls on San Francisco Police to Impound Uber’s Robot Cars
Consumer Watchdog has called on San Francisco police to impound Uber’s robot cars operating without a permit on city streets and asked City Attorney Dennis Herrera to file criminal charges against Uber CEO Travis Kalanick. California Motor Vehicle Code requires a permit for testing autonomous vehicles in the state. Violating the Motor Vehicle Code can be a misdemeanor criminal offense, punishable by up to six months in jail. “Uber is essentially driving without a license and its CEO Kalanick should be treated like anyone else who does that,” said John M. Simpson, Consumer Watchdog’s Privacy Project Director. “Kalanick’s willful violation of the law requires prompt response to protect the public’s safety There have already been reports of Uber’s robot cars running red lights in San Francisco. Prosecutors must hold Uber’s executives responsible for their company’s outrageous actions.” Testing autonomous vehicles in California requires a permit from the Department of Motor Vehicles. Currently 20 companies have permits to test autonomous vehicles in the state, demonstrating that following the rules is no
barrier to innovation, Consumer Watchdog said. Among the DMV requirements are that the test driver behind a steering wheel be licensed and trained to operate the vehicle and a company must show insurance coverage of $5 million. Reports of any crashes must be filed, as well as an annual “disengagement” report spelling out circumstances when the selfdriving technology failed and the human driver took control. For instance, Google’s driverless car unit, now renamed Waymo, said its self-driving technology failed 341 times in 425,000 miles—272 times because the software couldn’t cope, turning over control to the test driver and 69 times when the driver decided to intervene for safety reasons. The next disengagement reports are due to be filed with the DMV Jan. 1, 2017. “Uber is threating public safety and trying to avoid providing important information about its activities,” said Simpson. “Using public roads as your laboratory carries responsibilities. Uber is ignoring them and shamefully flouting important safety requirements. It must be stopped immediately.
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216.600.9005 www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 5
Disabled Auto Body Mechanic is ‘Able to Work’
Body Shops See Increase in Deer Collisions
Some people with disabilities overcome big obstacles in order to work in their field. In the KOTA news extra, ‘Able to Work’, meet one man who is an indispensable employee.
Local auto body shops are busy this time of year thanks to mother nature. What a lot of the cars have in common is the cause of the damage. “We have seen a lot of cars impacted by deer. It’s always around this time of year, especially when it gets colder,” said Jeremy Eaton with Collision Repair Specialist.
by Helene Duhamel, KOTA TV
Butch Murner and Aaron Ready at Rick’s Auto Body
31 year old Aaron Ready works with his hands and sense of feel to do auto body work. He suffers from Usher Syndrome and deteriorating hearing and eyesight. “I was born deaf, well, hard of hearing,” explains Aaron. “When I was about 15 or 16, my eyesight started going. I started losing side vision in my eyes. That’s how they found out what I had.” Aaron worked at Rick’s Auto
Body [Rick’s Body Shop, Rapid City, SD] while taking classes at Western Dakota Tech. He left for three years to give it a try in California but was not allowed to do much more than cleaning cars. “They hired me and then they see that I have hearing aids and I tell them I can’t see very well and they like, ‘Well, what’s the point of us hiring you.’ What they tried to do was put me in a spot to get me to just want to leave,” says Aaron. He returned to Rick’s and the owners are thrilled to have him back. Owner Butch Murner says Aaron can do everything. “They’re hard to find. People that don’t have disabilities, you can’t find anyone that really wants to work anymore,” says Murner. “I think everybody should get a chance and let them prove themselves. If you leave them on the outdoors, they’re not going to be able to show you what they can really do,” says Murner. In September Aaron Ready received the governor’s award for outstanding employee with a disability, for his great work ethic and can-do attitude. We thank KOTA TV for reprint permission.
MN Body Shop Owner Gets Drug Charge Sentence
ASA Midwest Presents 2016 VISION South of the Border
A Mankato auto body shop owner who allegedly gave methamphetamine to employees was sentenced Wednesday to 104 days in jail for possession of the drug only. In April, law enforcement executed a search warrant at Jesse Seifert Clear Choice Auto Body after receiving information that Jesse Seifert, 41, was distributing methamphetamine to employees. Syringes that contained methamphetamine were found during the search, according to the criminal complaint. Seifert, who has a prior drug conviction, pleaded guilty in July to felony drug possession. A judge sentenced him to 160 days in jail with credit for 56 days already served. If accepted into the drug court program he could be released after less time. Seifert also must spend five years on probation, with conditions including no drug or alcohol use. If he violates those terms he could be sent to prison.
On November 10-14, automotive service industry professionals traveled to Riviera Maya, Mexico for the 2016 VISION South of the Border educational and networking event. Attendees received vital industry training while enjoying networking opportunities and plenty of time for exploration and relaxation. Guests began their adventure on Thursday evening with a welcome party. Friday and Saturday mornings were filled with management and technical training sessions, while afternoons were left free for excursions. Management training was presented by Jeremy O’Neal, and Scot Manna headed up the technical training sessions. VISION South of the Border 2016 concluded with a farewell party on Sunday evening, November 13. More information can be found at www.visionsouthoftheborder.com.
by The Mankato Free Press
by Chasidy Rae Sisk
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6 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
by Amber Smith, StJoeChannel.com
Damage caused by a deer hit.
It’s mating season for deer, which means drivers will see more and more running across the roads. To avoid accidents, law enforcement want people to drive with extra caution. “If you’re able to, use your high beams to see the eyes of the deer because they’ll light up,” said Officer Matt Kneib with the St. Joseph Police Department.
Damage to cars ranges significantly, but many have expensive repairs. “You can go all the way from your front bumper let’s say to completely totaling the car. They can do some serious damage. It depends on where they impact you at and how fast you are going, so if you are going 70 mph, you’re going to do some serious damage if you hit something that is lean muscle like a deer,” said Eaton. “A deer can cause a substantial amount of damage because if you figure a 150 to 250 lb animal striking your vehicle at 70 mph, it’s going to cause quite a bit of damage,” said Officer Kneib. Officer Kneib says it is important to driver slower and use your brights when driving through wooded areas at night and pay attention to your speedometer. “Watch your speeds because if you’re traveling at a lower speed, obviously you can react faster to that if a deer comes out or something,” said Officer Kneib. The most common time to hit a deer is between 5:00 and 6:00 p.m. We thank StJoeChannel.com for reprint permission.
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 7
ASA Ohio Estimating Seminar with Larry Montanez
When Larry Montanez of P & L Consultants speaks, it’s difficult not to stop and pay attention, and his estimating seminar on November 18th was no exception. ASA Ohio hosted Montanez at the Ohio Auto Kolor in Columbus, OH. According to ASA OH Executive Director Matt Dougher, “The event exceeded expectations and was sold out with over 40 industry professionals in attendance. Larry taught a class about properly estimating a damaged vehicle and techniques to ensure the vehicle is repaired property for a profit.” ASA OH hosted the seminar as part of their mission to help educate the industry on properly repairing a damaged vehicle to its safe and original factory condition. Dougher stated, “Continuing education in the automotive repair business is the key to success now and in the future. Shop owners and their staffs must continue to educate themselves to keep up with the changing business climate and the ever-increasing technology built into today’s complex automobile.” “Larry is one of the best instructors in this area of the country and stresses the proper repair procedures,” Dougher continued. “Attendees found the class very informative, and the in-
formation gathered will help them become more efficient and effective.” ASA Ohio is grateful to Ohio Auto Kolor for allowing the use of their training facility for the event. Next up, ASA OH will host seminars on “Positioning Yourself in the Collision Repair Industry” and “Negotiating Best Practices,” presented by Mike Anderson of CollisionAdvice. Anderson’s seminars will take place in two sessions, morning and afternoon, on January 13, 2017 at the Ohio Auto Kolor Training Center in Columbus, OH, and on January 14, Anderson will deliver encore presentations at the Educational Service Center of Cuyahoga County in Independence, OH. In the mornings, attendees will learn about sales and marketing, production, and accounting, finance and human resources. The afternoon sessions will focus on successful negotiation techniques. Association members can elect to attend one seminar for $99 or pay $189 for both. The cost for non-members is $149 for one session or $295 for both. Those interested in attending can register on the association’s website: www.asaohio.org.
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St. Louis I-CAR Committee Awards $25,000 in School Grants The St. Louis I-CAR Committees awarded six schools with $25,000 in school grants at the Collision Repair Education Foundation’s annual reception at SEMA. The schools applied for the Education Foundation’s 2016 Ultimate Collision Education Makeover school grant, and these funds will help fulfill the schools collision program’s wish list of needed tools, equipment, and supplies.
The school grant recipients include: $4,000: Lewis and Clark Career Center (Saint Charles, MO)
$4,000: North Tech High School (Florissant, MO) $4,500: Rolla Technical Institute (Rolla, MO)
$4,500: Lake Career & Technical Center (Camdenton, MO) $4,000: South Tech High School (Sunset Hills, MO) $4,000: Ranken Technical College (St. Louis, MO)
The funds were raised by the St. Louis I-CAR Committee from their
spring and fall school career fairs. Gene Slattery, a member of the Committee, stated, “Our St. Louis ICAR Sub-Committee surrounded itself with some go-getters in the St. Louis Automotive and Collision Repair industry. We partnered up with several great companies who supported the two career fairs from the get go. We set the goals to achieve and then made it become a reality for the schools, students and instructors. These events could not have been achieved without partnerships with Enterprise Rent-A-Car, Gateway Mortorsports Park, NHRA, CREF, the I-CAR Sub-Committee, and all of our sponsors. Everyone was satisfied, and many students were hired and many have future interviews. What an honor it was working together for a very worthwhile goal for our industry.” Industry members interested in joining the Collision Repair Education Foundation’s supporters to assist high school and college collision school programs should contact director of development Brandon Eckenrode at (847) 463-5244 or Brandon .Eckenrode@ed-foundation.org. For more information, visit www.CollisionEducationFoundation .org.
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Abandoned Junkyard Reaches Final Days of Scavenge by Tanner Cole, The Hawk Eye
At the former site of Putnam’s Auto Body Shop in Burlington, IA, it looks as though someone dug up a graveyard’s worth of cars and left their mangled, rusting bodies to rot in piles. For decades, the cars were pulled in by Lee Putnam and his workers until they began to stack up. Wrecked and abandoned vehicles spanning from the 1930s through the 1970s found a home at the shop, but then were forgotten and swallowed up by the woods at the north end of Burlington after it closed down. Phil Grandinetti, who owns a junkyard in Mount Pleasant, bought the property and its contents in July. After spending about $30,000 and most of October cutting through the overgrown land, he and his team found more cars than they expected. So, Grandinetti decided to open up the property for scavengers to come through and pick the cars of their parts before having them all crushed. They’ve been picking since Nov. 5. Today, the cars lay in ruin. Their doors, hoods and trunks have been left hanging open by pillagers, letting their insides fill with fallen leaves and twigs. Any identifying bits of chrome long since have been pried off, leaving behind
Ashton Lamb, Springfield, MO, removes the defrost vents from a 1959 Rambler, during Putnam’s Last Stand, a sale in which items are sold by the pound old site of Putnam’s Auto Body Shop which features over a 1000 vehicles on a nine acre lot, Wednesday Nov. 16, 2016 at 2640 Florence Ave. in Burlington. Phil Grandinetti bought the property and its contents in July. He and his team found more cars than they previously imagined. So Grandinetti decided to open up the property for scavengers to come through and pick the cars of their parts before having them all crushed. The sale which continued through Nov. 20th sold parts for 50 cents a pound. All parts were removed by the buyer and were weighed out. Credit: John Lovretta/The Hawk Eye
nameless shells of cars only recognizable to those enthusiasts who are familiar with them, like loved ones identifying bodies at a crime scene. There are hundreds of these cars
stacked and strewn across 9 acres. Clem Steinhoff of Danville crouched over an old Chevrolet with a power saw. He carved off a piece of the fender to add to a 1949 Chevrolet truck he’s been repairing for about five years. “There’s a couple of ‘58 Chevys back here,” Steinhoff said. “That’s my favorite of them all. I’d love to have one, even if it was just for yard art.” He previously visited the junkyard with his son when it still was overgrown. They found the easiest way to travel around was by walking atop one car to the next. He said he didn’t even know half of the cars were there because it was so thick with plants. When he walked in to the property at the start of the scavenge, he was shocked. “I was overwhelmed,” Steinhoff said. “I didn’t know where to look first.” He wasn’t alone. Kurt Parriott was on the team that cut through the brush to reveal the cars back in October. “When I first came out, we found five cars on this one trail,” Parriott said. “Then, we started cutting and found there were more like 50.” When they finished, they were left with mountains of cars lying about and wood-clippings littering everything. Old tires were uncovered lying around. Several windows had been shattered.
One old Mercury had a young tree with a 3-inch diameter trunk growing straight up through a hole in its hood. Mike Micka of Cedar Rapids drug a little toolbox on wheels with him through the junkyard. Wednesday was his fifth day coming down to scavenge. He calls himself an “AMC nut,” short for American Motors Corp. He was searching for Ramblers, Ambassadors and other old AMC classic cars. “My grandpa owned a ‘59 Rambler, and there’s one down there somewhere,” Micka said while leaning against three cars stacked atop each other and pointing down a trail. “You think about it, every car has a story. I wonder how many lives these have touched.” The fact the cars soon will be destroyed is sad to many of the pickers. Todd Ilax came down from Evansdale to find Dodge parts for his oldest son and Toyota parts for his youngest. He didn’t like hearing the cars would soon be no more. “I’m an old car enthusiast, and I don’t like hearing that,” he said. “But I do understand.” The junkyard is located at 2640 Florence Ave. in Burlington. We thank The Hawk Eye for reprint permission.
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 9
Fire Causes $750,000 in Damage at Dean’s Auto Parts
by Brainerd Dispatch
A fire that destroyed Dean’s Auto Parts in Baxter on November 18 and sent fireballs into the sky caused $750,000 in damages, Brainerd Fire Chief Tim Holmes said Sunday. At 6:15 p.m., the Brainerd Fire Department was called to respond to a fully engulfed structure fire at the store, located at 12472 Evergreen Drive S. Emergency responders from several area agencies were on scene as winds gusting over 30 mph fanned the flames shooting through the roof of the large building that housed the 50-year-old business. The state fire marshal’s office is investigating to determine the cause of the fire, Holmes said. No injuries were reported. The structure was a complete loss. Holmes said it was unclear what exactly caused the multiple explosions at the scene, but it could have
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been stored fuel. Forty-six firefighters from the Brainerd, Nisswa, Crosby and Pillager fire departments responded, as well as Baxter and Brainerd police, North Memorial Ambulance and Baxter Public Works. Firefighters were onscene 5.5-6 hours, Holmes said. The weather conditions further complicated response to the enormous blaze. Adverse road conditions made it more difficult for neighboring fire departments to send mutual aid to Baxter. Plow trucks cleared the road to allow for numerous emergency vehicles and police officers guarded both the northern and southern entrances to Evergreen Drive. Holmes was grateful for Baxter Public Works’ efforts to clear the streets so firefighters could more easily access the scene. We thank the Brainerd Dispatch for reprint permission.
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ASA Midwest Busy with Meetings, New Chapter
By Chasidy Rae Sisk
ASA Midwest has stayed busy for the past couple of months with chapter meetings, networking events and even a kickoff for their new chapter in Northwest Arkansas. On October 11, the Springfield Chapter and the Wichita Chapter meetings each focused on “Finding Your Roadmap to Profitability,” presented by Dave Justice of Labor Profit Management. During the class, attendees learned about a digital process to effectively measure and manage employee productivity, efficiency and an effective labor rate to improve shop profitability. On October 18, the Des Moines Chapter sponsored a networking and panel discussion event at the Des Moines Area Community College to introduce automotive repair students to local industry professionals. The panel was entitled “Igniting the Future: Exploring Opportunities in the Automotive Industry” and featured panelists Kris Haugebak of Johnston Autostores, Joe Jerkins of Westside Auto Parts, Mike Swift of Swift’s Trails End Auto Recycling, Travis Troy of Honest Wrenches, and Jason Wieland from Ace Body and Motor. The discussion was moderated by Ron Haugen of
Westside Auto Pros and Tim Davison of Chumbley’s Service. The Tulsa Chapter also met on October 18 when a representative from the Public Service of Oklahoma presented “Improve Your Bottom Line with Energy Efficient Light Upgrades.” On October 23, ASA Midwest members enjoyed the association’s 10th Annual Tailgate party and an afternoon of football as they watched the Kansas City Chiefs defeat the New Orleans Saints 27-21. ASA Midwest expanded on October 25 with their Northwest Arkansas SOS Group and Kickoff Meeting for the association’s newest chapter. On November 8, Jeff Bly taught the St. Louis Chapter about “What Tools Do You Use to Beat the Books?,” an exploration of new uses for tools and the importance of investing in certain tools. The Wichita Chapter met on November 10 for “Employment Practices and Trends,” presented by Federated Insurance. During December, ASA Midwest will host numerous annual holiday parties throughout their six states.
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Kishwaukee College in IL Donates Recycled Ride to Local Woman The Kishwaukee College Collision Repair Technology (CRT) program participated in the Recycled Rides program offered by the National Auto Body Council and a local DeKalb woman received a vehicle.
Sponsored by the National Auto Body Council, Recycled Rides is a way that insurers, CRT educational programs, CRT professionals and parts vendors can collaborate on getting much needed vehicles on the road and make a positive impact on the local community, too. “Through the generosity of State Farm®,” Brink stated, “we had our first car for the Recycled Rides Program: a 2008 FlexFuel Chevy Impala.” The vehicle needed some reconditioning work, and the CRT and Automotive Tech programs at Kish collaborated on the project. AuPictured are the Collision Repair students (in blue shirts) toZone in DeKalb donated and representatives of other student organizations on parts and LKQ donated new campus which held fund-raisers to provide car seats and tires for the vehicle. gas cards. On the far right are Constance, recipient of Brink and a small comthe 2008 Chevy Impala; Mary Ellen Schaid, Executive mittee at Kishwaukee ColDirector of Safe Passage; Dr. Laurie Borowicz, President lege selected Safe Passage in of Kishwaukee College; and Greg Brink, Collision Repair DeKalb as the local charity Tech instructor that would choose a recipient Greg Brink, CRT faculty mem- for the car. Mary Ellen Shaid, Execber who reached out to the Recycled utive Director of Safe Passage, and Rides Program, said, “Having a reli- her staff then selected Constance (not able vehicle is so important, especially her real name) to receive the car. in this area. We are glad we could work During the month of October as on a project that really made a differ- the donation event drew closer, camence in someone’s life.” pus student organizations stepped up.
Jerry’s ABRA Auto Body & Glass of Mankato Donates $4,900 to the Alzheimer’s Association
Jerry’s ABRA Auto Body & Glass, a locally owned and operated franchise in Mankato, Minnesota, announced it has donated $4,900 to the Alzheimer’s Association. The donation is the result of a summer-long partnership between Jerry’s ABRA and the Mankato MoonDogs amateur baseball team. Each time the MoonDogs scored a home run at their home ballpark, Franklin Rogers Park (known as “The Frank”), Jerry’s ABRA made a one hundred dollar donation to the Alzheimer’s Association. The MoonDogs hit 49 home runs at The Frank during the 2016 season, resulting in the $4,900 donation. The contribution will be used to fund research efforts to end Alzheimer’s and dementia and enhance care for those living with the disease. “We are truly grateful for the longstanding and significant support Jerry’s ABRA Auto Body & Glass and the Mankato MoonDogs have shown us,” said Debbie Eddy, community engagement senior manager, Alzheimer’s Association. “Their contribution will make a difference
in the lives of many local families impacted by Alzheimer’s and dementia.” Jerry’s ABRA chief financial officer, Geralynn Kottschade, said the company is pleased to once again support such a wonderful cause. “The Alzheimer’s Association is an incredible organization taking care of many members of our community faced with a life changing diagnosis. We are honored to continue to support the mission to provide new treatments, preventions, and ultimately a cure for Alzheimer’s and other dementias.”
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Student Government Association held bake sales and donated two $50 gas cards to help Constance start her car ownership with a full tank. H.O.P.E.S., a community service group for Criminal Justice students at the College, raised funds to purchase a car seats for Constance’s children. The car was presented to Constance on campus with a small ceremony on November 9 that included words of welcome from Dr. Laurie Borowicz, President of Kishwaukee College; Greg Brink; and Mary Ellen Schaid. The car was under a tarp with a large “Kish-green” bow on the hood and was unveiled as the keys were handed to Constance. Constance’s life is now on a oneway street to a better future, in a newto-her 2008 Chevy Impala. For more information on the national Recycled Rides Program, visit http: //www.nationalautobodycouncil.org/programs/recycled-rides/. For more information on the Recycled Ride Program and the Collision Repair Program at Kishwaukee College in Malta, IL, contact Greg Brink at 815825-9416 or at gregory.brink@kishwaukeecollege.edu.
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OH Board Issues New Glass Rules
The Ohio Board of Motor Vehicle Repair recently enacted two rules affecting automotive glass businesses in the state. The OBMVR is charged with registering businesses which conduct collision repair, auto glass repair and replacement, airbag repair and replacement, paintless dent repair and window film installation. The first rule involves the issuance of a window decal for public display. These decals are being issued to each “registered” business. The decal can continue to be displayed as long as the business remains in compliance with Ohio law. The decal resembles the OBMVR seal in color. The second rule requires “registered” businesses to display their OBMVR registration number on each estimate and invoice they process. The rule changes are aimed at increasing public awareness to using legitimate repair operators and obtaining a reliable repair facility or mobile repair unit. For additional information, please visit the OBMVR website at http://www.mvrboard.ohio.gov/.
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 13
Customer Shoots Body Shop Owner in the Foot
Continued from Cover
Court Denies Motion
by Andrew Wig, Minnesota Sun
A customer of a Richfield, MN, autobody business shot the shop’s owner in the foot the morning of Nov. 16. Richfield Police responded to the Maaco shop on the 6200 block of Cedar Avenue at 11:43 a.m. A male customer got into an argument with the business’ owner, who was transported to Hennepin County Medical Center for treatment. The suspect fled in his vehicle as police engaged in a brief pursuit, which was cut short due to traffic conditions and the suspect’s driving conduct, police said. Police believe the shooting was an isolated incident and that there is no ongoing danger to the community. The incident is under investigtion. We thank the Minnesota Sun for reprint permission.
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The trial court denied their motion, and on December 1, 2016, Ohio’s Eighth District Court of Appeals affirmed. As for class certification on plaintiffs’dec claim, the court was unmoved by their argument that their dec claim sought relief that fundamentally differed from that sought in their damages claim. Specifically, the body shops had argued that their dec claim sought “indemnification for potential liability arising from their adherence to” Progressive’s restrictions, while their damages claim sought “unrelated damages for situations in which” the body shops performed “necessary repairs notwithstanding Progressive’s refusal to pay.” That didn’t persuade the court, which found that the dec claim was “merely incidental to” plaintiffs’ damages claim. “[C]laims for declaratory relief that merely lay a foundation for subsequent determinations regarding liability or that facilitate an award of damages,” the court stated, “do not meet the requirement for certification” set forth
in” Ohio Rule of Civil Procedure 23(B)(2). And then there was the predominance factor, which militated against certification of both claims. The court found that “voluminous individual questions” predominated over those common to the class, including: “Was the allegedly defective repair in a particular incident due to Progressive’s mandates or the body shop’s own negligent labor performance within those mandates? Was the shop’s desired service or part appropriate and necessary for each particular repair that is later deemed faulty? How can the trial court deem that Progressive is always liable when it and the shop diverge on the manner or type of repair to be performed without the individualized context of every possible
car repair that may occur?” The court also noted that if the class were to be certified, the trial court “would have to examine each repair and consider whether the additional services or parts that Progressive allegedly denied to the particular class member were necessary to restore the damaged vehicle in question to its preloss condition.” Indeed, a “looming mass of individualized inquires … would dominate this litigation.” And that put the brakes on plaintiffs’ class certification motion. The case is Blue Ash Auto, Inc. v. Progressive Cas. Ins. Co., 8th Dist. Cuyahoga Nos. 104251 and 104252, 2016-Ohio-7965. Click here for the opinion: http://www.supremecourt.ohio .gov/rod/docs/pdf/8/2016/2016-Ohio7965.pdf.
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Doug Schlueter of I-CAR Named to National Auto Body Council Board of Directors
Doug Schlueter, National MSO Manager at I-CAR®, is the newest elected member of the National Auto Body Council (NABC) Board of Directors. Schlueter has been at I-CAR for seven years. He started as the
South Central Regional Manager then moved into the National MSO Manager role six years ago. Schlueter has more than 25 years of experience in the industry and has held sales and management leadership positions with Enterprise, Hertz, Insurance Auto Auctions and Copart. Nick Notte, I-CAR Director of Business Development, is a PastChairman of NABC and serves on the executive committee. Brandon Eckenrode, Director of Development of the Collision Repair Education Foundation, also serves on the NABC Board of Directors.
Body Shop Employee Held in Contempt for Refusing to Testify re Hobos Gang in Chicago Jason Meisner, Chicago Tribune
A former auto body shop employee was found in criminal contempt of court and sentenced to 60 days in custody on November 29 by a federal judge for refusing to testify at the trial of six reputed leaders of the violent Hobos street gang. Mack Mason was subpoenaed to testify November 28 but refused to take the stand out of concern for his family’s welfare. On November 29, U.S. District Judge John Tharp gave him another chance. But Mason, already serving a 12-month sentence for a cocaine conviction, again declined, saying his family still lived in the area that the Hobos operated in and he had “nothing to say in this case.” “I don’t think his concerns for the welfare of himself and his family are fanciful,” Tharp said. But the judge said Mason’s testimony could impact the safety of the public at large and other “families in the community” and that he was required to testify when lawfully summoned to do so. “While I understand the context that Mr. Mason finds himself in and appreciate the difficult decision that he has made, he has nonetheless made a decision that I believe constitutes a contempt of court,” Tharp said.
Prosecutors have alleged the gang was responsible for at least nine murders, including the killing of two informants who had been cooperating with law enforcement. Mason was expected to testify that he worked at Logan Brothers Auto Body Shop at 66th and State streets and that several members of the Hobos often brought in their cars for repair. In 2013, alleged Hobos assassin Paris Poe came into the shop looking for a “snitch” named Keith Daniels, who was believed to be cooperating with the FBI in an investigation into the gang’s reputed leader, Gregory “Bowlegs” Chester, according to testimony that Mason had previously given to a grand jury. Mason alleged that Poe lifted up his shirt, exposing the butt of a handgun, and said he had “something” for Daniels, according to prosecutors. Poe was accused of cutting off an electronic monitoring device and lying in ambush for Daniels outside his family’s Dolton apartment in April 2013. When Daniels pulled into the driveway, Poe shot Daniels in front of his fiancee and two young children, according to trial testimony. Mason was one of several witnesses who have been subpoenaed to testify against their will during the nearly threemonth trial, but he’s the first to be found
in contempt. Other witnesses have taken the stand after the judge explained to them that the government was not seeking to prosecute them for any alleged crimes associated with their testimony, meaning they could not assert their 5th Amendment right against self-incrimination. Even when some witnesses have reluctantly taken the stand, they have been hazy in their recall for jurors. Testifying in October, former NBA player Bobby Simmons failed to recall details of his previous claims he was robbed at gunpoint of a necklace worth more than $100,000 outside the Ice Bar in River North in 2006. It was only after Simmons was confronted with his own grand jury testimony that the Chicago native and former DePaul University star acknowledged Poe had snatched the diamond-studded necklace from his neck, then fired at least 14 shots at his truck after Simmons gave chase across the South Side. Simmons’ grand jury statement was read into the record for the jury — a move prosecutors are expected to make with Mason as well. We thank Chicago Tribune for reprint permission.
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www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 15
OH Car Dealership Robbed for Third Time by Kendall Forward, wtov9
A Steubenville, OH car dealership has been the target of a break-in for the third time since opening. This time, the thieves took even more than before. It started with a break-in in the summer, but this time they took a car, toilet paper, cleaning supplies and more. “There’s a lot of things that are missing,” said owner Tony Parissi. Stereo speakers, a battery charger, and even an electric chainsaw are just some of the things Parissi immediately noticed were gone missing when he came into work at Ohio Motor Group 3. It’s the third time the dealership has been robbed, but the first time a car was stolen from this location. The dealership also has two sites in Belmont County. “They put a dealer plate from us into the car and took the car as well,” Parissi said. The vehicle was a 2002 gold Buick La Sabre. The plate number police are looking for is 003A1GB. “When you count the car, it’s a couple thousand dollars right there. With everything else it’s probably close to maybe $7,000 to $8,000, could be more because the tools, the utilities, stuff we had,” Parissi said.
They even cleared out what used to be an entire stack of toilet paper. The thieves made a hole by kicking in drywall, then ransacked offices to find what they sought.
Police are looking for whomever took a car, a chainsaw, stereo speakers, toilet paper and more from Ohio Motor Group 3 (WTOV)
“They didn’t break the window. They took the molding out from around it, pulled the window down, set it nicely in a hallway and then came in that way, so it’s kind of weird,” Parissi said. Last time, robbers broke a door to get in and stole a digital camera and other goods. The time before that, they took money. This is the third break-in since July. The store opened in March. Parissi says despite these break-ins,
15th Annual Race for Automotive Education Announced
The 15th Annual Race for Automotive Education is planned for January 10 & 11, 2017 at ProKart Indoor Racing in Burnsville, MN. The
event, sponsored by the Alliance of Automotive Service Providers, Minnesota (AASP-MN), serves as the primary fundraiser for the AASPMN Automotive Education Fund, which provides financial resources to support automotive students, enhance automotive programs and raise awareness of career opportunities in the automotive service industry. Since its inception, the fund has
disbursed nearly $190,000 directly to students enrolled in automotive programs through the Association’s scholarship program and Skills USA competition. AASP-MN members and other industry supporters will organize teams to compete in kart racing at speeds of up to 40 miles per hour. When the final checkered flag waves, the Race for Automotive Education is expected to raise over $7,500. The majority of that money is earmarked to fund scholarships for students enrolled in NATEF-certified automotive program (collision or mechanical) in the state of Minnesota. Scholarship awards will distributed in the fall of 2017.
For more information, contact Judell Anderson at the AASP-MN office at (612) 623-1110 or (800) 852-9071 or visit www.aaspmn.org.
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they aren’t considering moving. “Anywhere you go, it could happen anywhere. It could be up on the hill. It could be downtown. It could happen anywhere,” he said.
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Now, they are working with police to find the person or persons involved. There’s no word yet if the suspects are thought to be involved in the previous crimes. If you have any information, please call police or our anonymous Crimebusters Tipline at 1-800-862-BUST. We thank WTOV9 for reprint permission.
PPG MVP Spring Conference to Be Held in Scottsdale, AZ PPG’s annual spring MVP Business Solutions Conference will be held April 9-11, 2017 at the JW Marriott Camelback in Scottsdale, Arizona. According to the company, PPG’s MVP Conferences are open to owners and managers of collision centers using PPG Refinish products and are the ideal venue for PPG shop owners and managers to refocus, gain valuable insight from industry experts, and network with other collision professionals. The MVP Conference commences on April 9 with leisure actives that include the Randy Dewing Memorial Golf Tournament and relaxing at the JW Marriott spa or pool followed by a welcome reception that continues through April 11. Conference highlights include prominent keynote speakers and industry relevant breakout sessions. Conference registration will be available in February. For more information, visit www.ppg.com.
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Jake’s Body Shop Opens in Blue Earth, MN
was then Mankato Vocational College for two years, to learn auto body work,” Jacobs recalls. “Then I worked for Hi-Way Ford in Blue Earth for a short time.” It was in the spring of 1984 that he went to work for the body shop in Elmore. Just a few months later, in October of the same year, he bought the shop, with a little help from his father. “I stayed there, running my own shop, for 24 years,” Jacobs says. “After that I came to Blue Earth and worked for Lee (Jahnke) at his body shop for six years, then for Terry Hanson for three years after Terry bought Lee’s shop.” Now, the idea of owning his own shop has come around once again for Jacobs. Only this time, he is in Blue Earth. “I got a call from (real estate agent and former banker) Lonnie Trasamar, telling me Milt’s was for sale, and would I be interested in looking at it,” Jacobs explains. “I was interested.” But, it took a bit of work to get the deal done. Former owner Milt King had passed away earlier this year and
by Chuck Hunt, Fairbault County Register
What goes around, comes around,” the saying goes. And, for Greg “Jake” Jacobs, of Blue Earth, that is exactly what has happened recently.
Greg “Jake” Jacobs with wife, Becky
On Monday, Nov. 14, Jacobs opened Jake’s Body Shop in the former Milt’s Auto Sales and Service facility located on Highway 169 in Blue Earth. Back in 1984, Jacobs did the same thing, opening up his own body shop in Elmore. “After I graduated from Elmore High School in 1981, I went to what
his wife, Shirley, and son, Bucky, were running the business. “The Kings were great to work with,” Jacobs says. “They even let me get into the building early, to get things going even before we had officially signed all the sales documents.” And, Jacobs credits the Blue Earth Economic Development Authority (EDA) and their agent, Tim Clawson, of the Faribault County Development Corporation, (FCDC) for making the whole deal go through. “I really appreciate all the hard work Tim did on this,” Jacobs says. “Without him and the EDA and FCDC, I am not sure this would have happened.” There was a huge amount of paperwork involved with securing a Small Business Administration (SBA) loan, says Jacobs’ wife and partner, Becky Jacobs. “And Tim (Clawson) made it all go very smooth; he knew what was entailed,” she says. “I think he had to do seven or eight drafts of the application.”
Luther Hopkins Honda Greg ‘Jake’ Jacobs with his employee, Mark Baldwin, in the shop
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Jacobs adds having the EDA and the FCDC is “a huge asset to this community.” Jacobs says real estate agent Trasamar was also very helpful, especially with having a banking background, and did a lot of work on the purchase. And, Becky Jacobs adds First Bank Blue Earth was also instrumental in making the deal happen. “All of these people are all very interested in having business growth here,” Jacobs says. “And they work hard to make it happen.” Now it is time for Jacobs to roll
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up his sleeves and get to work, too. But, he is not doing it all alone. The new business has two employees: Mark Baldwin, who has 35 years experience in auto mechanic work and is now going to help with
Left to right are Baldwin, Becky and Greg Jacobs and office manager/bookkeeper Sue Dixson Image credit: Fairbault County Register
the body work and Sue Dixson, who manages the front office/bookkeeper position. “We are going to focus solely on being an auto body shop,” Jacobs says. “We will do collision repair and glass replacement.” A temporary banner sign in front of the building proclaims it to now be the home of Jake’s Body Shop. A new, larger sign has been ordered and should be here in three to four weeks, Jacobs says. Greg and Becky Jacobs have lived in Blue Earth since 2006, when they moved here from Elmore. Becky Jacobs works at Seneca Foods as an administrative assistant, and formerly worked at the United Hospital District Clinic. The couple has four children: Logan, who is a senior at Minnesota State University, Mankato; Kellen, who joined the U.S. Marines on Dec. 8; and twin daughters Lindsey and Kaylor, who are seniors at Blue Earth Area High School. “Pretty soon we won’t have any kids at home anymore, and we won’t have any more kid’s sports activities to go to,” Becky Jacobs says. “I think Greg plans on spending a lot more time at the shop then.” And, if business is good, he probably will have to, she adds with a smile. We thank Fairbault County Register for reprint permission.
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Auto Repair Shops See Spike in Business as Fall Deer Rut Begins by Wes Johnson, The Springfield NewsLeader
The vehicles start arriving this time of year with smashed grilles, broken headlights, dented body panels and shattered windshields. Many Springfield auto body shops are inundated with repair work due to the annual fall influx of collisions between cars and deer. “It started a month ago, and we’ve already written over 70 repair estimates for deer hits,” said Nate Lillich, owner and vice president at Hammer’s Autoworks, Inc., in Springfield. “It doesn’t matter where you live — in the country or in the city — we still see lots of damage from collisions with deer.” Just within Springfield city limits, the public works department recorded 19 deer collisions in 2015 that damaged vehicles. According to the city, vehicles have hit seven deer so far in Springfield this year. According to one report, the average repair bill is $3,995. Missouri averages thousands of injuries and three deaths per year. And one in every 117 Missouri drivers is likely to hit a deer this year. Missouri’s whitetail deer are in the middle of rutting season, when bucks blindly chase does in an attempt to mate with them. The deer wander through yards and city streets and busy highways, often with disastrous results for both the deer and the cars that hit them. “Typically, unless you just bump them at low speed, if you’re going 30 to 50 mph and hit a deer you’re looking at a $2,000 repair,” Lillich said. “But we’ve got a (GMC) Terrain in the shop right now with $16,000 in damage from a deer hit. And if your air bags go off, the cost goes up a lot to fix it.” Fair Grove resident Thomas Voorhis, the driver of that Terrain, said he had only a split-second warning of “Deer!” from his wife, Sara, before the animal smashed into the front of his car recently in Dallas County. “That car was only four months old; it was brand new with only 10 miles on it when we got it,” Voorhis said. “The deer hit the right front and took out the whole grille. Both side panels got crunched and bent. I had to force my door open to get out.” Thankfully, his wife and their 19month-old son, Sebastian, were safely buckled in. Three weeks after the collision, the Voorhis family is about to get its
repaired car back. Voorhis said he’s out $1,000 for the insurance deductible, but he did at least come away with 40 pounds of deer hamburger, 16 pounds of deer sausage and 4 pounds of deer jerky after getting a deer tag to legally keep the animal. “That’s some expensive deer meat,” Voorhis joked.
Thomas Voorhis and his son Sebastian Voorhis look at his vehicle after it was repaired at Hammer’s Autoworks. Voorhis’ vehicle was damaged after hitting a deer. Credit: Andrew Jansen/News-Leader
At Dodson-Williams Auto Body repair shop in Springfield, shop manager David Heideman said it’s not just deer rutting season that triggers roadway collisions. “After hunting season starts, that also gets them moving,” he said. “On average, we’re seeing one or two cardeer collision repairs come in per day right now. We’re pretty busy.” Firearms deer season began Nov. 12 in Missouri, and hunters had already killed 122,818 deer by midday Wednesday. Lillich said car-deer collisions tend to taper off by the end of December but pick up again in the spring after does have babies and the mothers and their young begin to move about. They’re often hit trying to cross highways, the fawns not recognizing that speeding cars pose a threat. Lillich and Heideman said there’s no single kind of car that survives a deer hit better than the rest. It all depends on how fast the vehicle is moving and where on the vehicle the collision occurs. Sometimes it’s just the corner fender and panel that takes the hit, a fairly straightforward repair. Other times, a deer might hit the front corner of a car and bang its way down the side, damaging numerous metal panels along the way, resulting in a much bigger repair bill. “We’ve got a Tahoe in here now with the antlers still sticking in it,” Heideman said. “As for blood and stuff,
20 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
we’ll typically do a wash down, but most of the yuck is on the exterior of the car.” Worst-case scenarios are when a vehicle hits a deer head-on at high speed and the animal comes up over the hood and crashes through the windshield. “Years ago, a customer came in who was driving a Chevy Tahoe going 60 to 70 mph,” Lillich recalled. “A deer jumped from the side of the road and went through the back glass window on the side of the car. The impact cut the deer in half, with half of it going over the top while the other half flew out the Tahoe’s back window. It’s not fun cleaning up something like that. Typically you’re going to replace a lot of stuff, like carpet and seat covers, instead of trying to wash it clean.” Heideman said the worst thing to do if you encounter a deer on the roadway is to try to swerve around it. “If you do, you’re putting yourself at bigger risk of losing control of your car and possibly hitting other people coming toward you,” he said. “Plus, if you roll your car it’s going to be way more expensive than repairing a frontal
collision, and you could also lose your life.”
4 deaths a year, on average, in Missouri Deer-vehicle collisions can be deadly, as happened seven miles north of Springfield when a Fair Grove man hit a deer that crashed through the windshield of his F-250 pickup truck, killing him. Missouri State Highway Patrol spokesman Sgt. Jason Pace said three Missourians died last year in vehicle collisions with deer, and there were 346 injuries from the 3,720 deer collisions in the state. He said most deer collisions happen in November, between the hours of 5 p.m. and 7 a.m. The International Institute of Highway Safety tracks all kinds of roadway accidents, including those involving collisions with animals. In Missouri, from 2005 through 2014, an average of four people a year died in a vehicle collision with an animal (mostly deer). Missouri’s 10-year death toll total of 40 people in animal-motor vehicle collisions almost matched the national average of 39.3 deaths per year.
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Texas and Wisconsin had the most human fatalities by a large margin — 187 and 121 deaths, respectively. Rhode Island had the fewest human fatalities from collisions with animals, with two deaths in that 10year period. Connecticut and Delaware ranked second-lowest in fatality numbers, with four human deaths total for each state during that time frame. Aside from the tragic toll in human and deer lives, the financial cost of deer-vehicles is staggering, according to the State Farm Insurance company. In its 2015-2016 annual report on animal-vehicle collisions, State Farm found the average cost of a vehicle repair was $3,995.08, down slightly from $4,135 the prior year. A year earlier, State Farm calculated the total
economic cost of deer-vehicle collisions to be more than $4 billion. State Farm also calculated the likelihood of a motorist colliding with a deer from July 2015 through June 2016. In Missouri, one of every 117 motorists was likely to hit a deer, according to State Farm, ranking Missouri as a high-risk state for such a collision. For comparison, State Farm ranked West Virginia as the most likely state for a motorist to hit a deer, with one driver in 41 likely to have such an encounter. Hawaii was the least likely place for deer collisions — one in 18,955 — while in the lower 48 states, Arizona was the least likely state in which to hit a deer, with odds of one in 1,175.
The Missouri Department of Insurance encourages you to review your auto insurance policies, since not all policies cover damage caused by deer strikes. Comprehensive coverage is optional insurance, but it does cover deer strikes. If you only have collision coverage or liability coverage, your insurance carrier will not cover damage to your vehicle resulting from a collision with an animal. You should also consult your insurance agent to find out how much coverage you need. “We want to remind Missourians to be aware of their surroundings, to slow down and always wear their seat belts,” said Director John Huff of the Insurance Department. “Deer strikes can cause serious damage to your ve-
hicle, and not all types of auto insurance policies cover deer strikes. It is important to review your policy and speak with your agent.”
The department offered these tips to avoid deer collisions: • Deer tend to travel in herds, so if you see one, look out for more. • Keep an eye out for deer-crossing signs. Reduce your speed when you see a sign. • Deer are more active during dawn and dusk, so be extra conscious during these times and watch your speed. • Make sure your headlights are working properly. Using high beams can help you spot wildlife, but be considerate of other drivers when using them. • Stay focused while driving. Do not text, talk on your phone or allow passengers to distract you.
What to do after an accident: • Stay calm. • If you can, move your vehicle to a safe place, like a highway shoulder, and turn on your hazard lights. • Stay away from the deer. A frightened or wounded deer can lash out and hurt you. • If you can’t move your car or the deer carcass is blocking traffic, alert the authorities so they can clear the roadway. • Document the incident by taking photos of your vehicle damage, the roadway and any injuries. • Check to see if your vehicle is safe to operate. Check for leaking fluid, damaged lights, loose parts or other safety hazards. When in doubt, call a tow truck. Missouri consumers can call the department’s Insurance Consumer Hotline at 1-800-726-7390 with questions on deer accidents or go to the department’s website at www.insurance.mo.gov for additional resources.
Animal collisions in Springfield Data shows animal-vehicle collisions inside Springfield city limits that caused damage to the vehicle, for the past five years. 2012 – 17 deer, 2 dogs 2013 – 13 deer 2014 -10 deer, 1 opossum, 1 dog 2015 -19 deer, 5 dogs 2016, through June - 7 deer, 1 dog
We thank The Springfield News-Leader for reprint permission.
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 21
Continued from Cover
MI Autonomous Bills
include more autonomous vehicles taking to Michigan roadways and quickening development of the technology State leaders say will make roads safer and cut down on accidents. “Michigan put the world on wheels and now we are leading the way in transforming the auto industry,” Snyder said. “We are becoming the mobility industry, shaped around technology that makes us more aware and safer as we’re driving. By recognizing that and aligning our state’s policies as new technology is developed, we will continue as the leader the rest of the world sees as its biggest competition.” Snyder signed the package of bills that will allow the public to buy and use fully self-driving cars when they are available at the Automotive Hall of Fame in Dearborn. The laws would allow ride-sharing services without drivers to be operated by auto manufacturers or by ride-hailing services such as Lyft or Uber. The package of four bills (Senate Bill 995-998) passed through the House and Senate with near unani-
mous support. The main bill allows self-driving vehicles to operate on any Michigan roadway. It allows automated platoons of trucks to travel together at set speeds. And it allows networks of self-driving cars that can pick up passengers on demand. It also creates the Michigan Council on Future Mobility to make recommendations on statewide policy to keep Michigan ahead of the game.Joined by bill sponsor Sen. Mike Kowall and mobility leaders from Ford and GM, Gov. Snyder signed Senate Bill 995 December 9. As a result of the passage of the bill, all safety requirements that pertain to the testing of autonomous vehicles will apply to autonomous vehicle operation, according to the news release. The bill allows for automated vehicle platoons, where vehicles travel together at electronically coordinated speeds, and authorizes on-demand autonomous vehicle networks. Gov. Snyder also signed three other bills sponsored by Sen. Kowall, Sen. Rebekah Warren, and Sen. Ken Horn, respectively, as part of the autonomous vehicles package: SB 996 outlines specific parameters for entities that wish to offer ondemand autonomous vehicle networks
to the public. SB 997 recognizes the American Center for Mobility at Willow Run in statute and removes barriers to operating at the facility.SB 998 exempts mechanics from any damages to vehicles that result from repairs, if the repairs were made in accordance with manufacturer specifications. The Michigan law differs and is separate from autonomous car guidelines federal officials released in September. The Vehicle Performance Guidance for Automated Vehicles are considered best practices for safe design, development and testing of automated vehicles before they go on sale or operate on public roadways. “If you think about what this legislation does, we now have 122,000 miles of a test bed, 122,000 miles of road in the state of Michigan are open for complete operations,” said Kirk Steudle, Michigan Department of Transportation director.
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Independent Study Shows Opportunity for Heavy Duty Parts Data “Superset”
HDDA: Heavy Duty, the community of the Auto Care Association that is dedicated to the advancement of the heavy duty aftermarket, has sponsored a study conducted by Pricedex Software on the feasibility of developing product information standards for heavy duty vehicles. The study, which included participation from HD experts from all facets of the industry, indicates that there is an opportunity to create a “superset” of data that will streamline product information communication for an industry currently using multiple data management methods. The study details key findings in how the industry already manages data and concludes that a data standard is possible through leveraging those methods that currently exist and the incorporation of other data standards best practices. Collaboration will be a central tenant to developing the data “superset” in order to achieve the goal of a robust standard that provides the heavy duty industry with rich data content.
Ohio Manufacturing Employment is Up for Fifth Straight Year
Ohio manufacturing employment increased up for a fifth straight year, though at a slower rate than recorded in previous years, reports the 2017 Ohio Manufacturers Directory®, an industrial database and directory published by Manufacturers’ News, Inc. in Evanston, IL. According to MNI’s database of manufacturers, Ohio gained 2,014 jobs between September 2015 and September 2016, or less than one percent. Ohio’s 16,615 manufacturers employ 885,539 in the state, reports MNI. Manufacturing jobs in Ohio have grown by 3% since September of 2011, but current levels still remain a far cry from the 996,680 jobs reported prior to the start of the recession in September 2007. “Once at the center of rust-belt manufacturing declines, Ohio has not only recouped some of the recession’s losses, but has also positioned itself as a prime location for new manufacturers – particularly those in the transportation equipment sector,” says Tom Dubin, President of the publishing company, which has been surveying in-
dustry since 1912. “However, Ohio’s abundance of incentive programs can’t always make up for its overall high business costs, and a strong dollar is putting a dent in exports.” The transportation equipment industry continues to drive manufacturing employment gains, adding 4,277 jobs or 4.7% over the year, and ranks third in the state for manufacturing jobs, employing 94,414. Job gains in the sector have outpaced the state’s overall growth, increasing 14% or by nearly 12,000 jobs since September 2011. For the full report on Ohio manufacturing, including a regional analysis, visit www.mni.net/news/.
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Continued from Cover
Ahead to 2017
lision repairers. Perhaps in 2017 more state insurance commissioners will follow the lead of their counterpart in Illinois, who this past year conducted a market conduct survey that lead USAA to end the use of caps on paint materials in that state. Montana’s Insurance Commissioner this past year issued a reminder to insurers that a lower estimate from a shop in the same market does not define market price. In California, Insurance Commissioner Dave Jones also just finalized new rules for how insurers conduct collision repair labor rate surveys in that state, which could well impact what shops there get paid in 2017. But he also said shops don’t have to wait for those new regulations to go into effect if they have a concern about what they are being paid by an insurer. “If you believe that you’re being presented with a reimbursement based on a labor rate survey that you suspect is not accurately capturing what the labor rate is in your market, you can complain to us now,” Jones said. “We have pursued those complaints. We ask the insurer [for] their labor rate survey. We take a look to see whether in fact it’s designed in a way to provide a fair result. In some cases, we have concluded that it hasn’t been, and have gotten corrections.” More automaker involvement in collision repair. Certainly the six automakers (General Motors, Nissan, Honda, Toyota, Fiat Chrysler) that issued position statements this past year on pre- and post-repair scanning of collision-damaged vehicles are not the last to do so. The industry likely will see more such statements in 2017, along with continued debate and friction between shops and insurers in terms of what those procedures mean for claims. While scanning is perhaps the most talked-about subject involving automakers and collision repairers, there was also plenty in 2016 to indicate more OEM involvement in the industry in others ways is coming in 2017. Vehicle telematics, for example, could increasingly be used by either automakers or insurers to get immediate notice of an accident and potential early influence on where that wrecked vehicle is taken for repairs.
“Our experience in Europe has shown that our partners have…been able to reduce cycle time and actually drive down the costs of claims, seeing a noticeable difference in their loss ratios, attributable to the use of telematics,” John Kramer, a former Nationwide Insurance executive now with Octo Telematics, said last year
CA Insurance Commisioner Dave Jones
on automakers’ use of data from the vehicle as part of the claims process. “When there is a crash, there is a ‘first notice of loss’ that is provided to the insurance company within minutes of the observance of the [vehicle] behavior.” Other automakers may begin certifying collision repair shops in 2017 as well. “We are now moving into the research stage and development of a certification program for all General Motors vehicles,” GM’s John Eck said last summer. Legal battles over parts, steering will continue. Several lawsuits in the industry reached conclusions this past year, but there are plenty of courtroom battles ahead in the coming year. Four lawsuits pitting Ford Motor Company against the non-OEM parts industry, for example, continue to inch along in federal courts. All of the suits involve Ford’s design patents on crash parts, which limit the production and sale of non-OEM versions of those patented parts. The Automotive Body Parts Association (ABPA), which represents non-OEM parts manufacturers and distributors, is asking a U.S. District Court to invalidate those patents. The ABPA argues that the parts are functional rather than ornamental, and that other courts have invalidated design patents (on items such as toner cartridges) when the design is found to be primarily functional. The other patent-related lawsuits involve Ford and a Texas-based aftermarket parts distributor New World
24 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
International and two affiliated companies; Ford alleges those companies sold non-OEM crash parts that infringe on the automaker’s design patents, while New World has also sued to have Ford’s design patents invalidated. Also still pending in various degrees of appeals are some of the two dozen lawsuits brought by shops around the country suing insurers for allegedly conspiring to manipulate shop labor rates and compensation. There’s been little in the court decisions in this past year that indicate much hope for the suits still surviving a year from now. Virtually all have been dismissed, though some of those dismissals are under appeal; some such appeals, however, were dismissed this past year because of failure by the shops’ attorneys to meet appeals court deadlines. Perhaps most troubling about the lawsuits is if additional court rulings in 2017 will echo those issued last year by U.S. District Court Judge Gregory Presnell in the suit brought by shops in Tennessee. In dismissing the suit, Judge Presnell ruled that he saw nothing wrong in one of the instances of steering cited in the lawsuit, one in
which State Farm “required the vehicle be taken to its DRP shop.” Presnell ruled, in fact, that “Tennessee law allows an insurer to require that an insured take his or her vehicle to a particular shop for repair.” He reached this conclusion by pointing to Tennessee’s Unfair Trade Practices and Unfair Claims Act, which states in part that if an insurer “requires a repairer to be used,” the insurer must establish standards to “assure the repairs are performed in a workmanlike manner.” “The necessary implication of this language is that insurers can legally require that their insured patronize a preferred repair shop,” Judge Presnell wrote. Similar rulings like that in any of the other lawsuits could change the face of “steering” by insurers in 2017 and moving forward.
John Yoswick, a freelance writer based in Portland, Oregon, who has been writing about the automotive industry since 1988, is also the editor of the weekly CRASH Network bulletin (www.CrashNetwork.com). He can be contacted by email at john@Crash Network.com.
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www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 25
Shop Strategies
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
with Stacey Phillips
Indiana Family-Owned MSO Grows to Six Locations with Hard Work and Passion Tom and Ed’s Autobody was established in 1983 in a 2,000-square-foot space in Schererville, Indiana. The business now has six locations, including a towing division and a boat/RV division. Autobody News spoke to Andy Tylka, general manager of Tom and Ed’s Autobody, about the family-owned and operated company and how it has grown over the years.
Can you tell us about the hisQ: tory of Tom & Ed’s Autobody & Towing?
The original body shop was A: opened in Schereville by Tom Tylka (my dad) and Ed, who left the
business after a few years. My father has been sole owner ever since. At the time Ed left the company, by father was afraid to change the name for two reasons: 1. He didn’t want to lose the customer base he grew from nothing. 2. Signage and letterhead was recently printed and it was very expensive for a sole owner starting from scratch. The name stuck and has remained the same ever since. The business started with my father being the only employee with the support of my mother Debbie managing the finances. He would go out during the
Owner, Tom Tylka and his wife Debbie
day and market his business, while working at night on customers’ vehicles. He was focused on providing the community a body shop that was family-friendly with an honest price. We are now growing to include 50+ employees and six locations with the same focus my father had 34 years ago.
These include a 10,000-squarefoot location opened in Crown Point in 1998 and one in Merrillville added the
have a huge passion for this business.
What prompted the Q: decision to open your new locations? Two years ago, we deA: cided to take our dealership location out of the
dealership in Merrillville. We secured the bank loan, designed the facility, and broke ground to start construction. Tom & Ed’s Auto Body was established in 1983 and has While the location was being grown to include six locations in Indiana rebuilt, we were approached with an opportunity to purchase a following year, which was recently building in Cedar Lake. My father almoved to a new 16,000-square-foot faways spoke to me about that building, cility behind the existing location. In telling me it would make a great auto 2016, Tom & Ed’s Autobody acquired body shop, which was an existing Arnell/Bosak Bodyshop in Burns HarChrysler/Dodge dealership. He told me bor and CC Autobody in Valparaiso. about opportunities he had over the The company also opened a new locayears purchasing additional locations tion in Cedar Lake in December. It was and prime properties to grow the busipreviously “Center Garage/Bobb Auto ness, but regretted never doing so. Group,” prior to being remodeled to a collision repair facility. How have you handled some of the challenges as family-owned Q: and operated business?
One of the challenges of being A: a family-owned business is having responsibilities clearly defined
for each family member. When we all know our roles in the company, then finger-pointing is reduced, which then avoids any family feuds. Communication is also key. We communicate by having monthly meetings, as well as carbon copying the family members on important emails so everyone is on the same page. And of course, someone needs to be in charge. In a family business, there needs to be a single person that is the main decision maker. This gives the responsibility of the company to a single person who can lead. As the saying goes, “you have to avoid too many chiefs, and not enough Indians.” We are not a family that can leave work at work. Tom & Ed’s Autobody is part of our lifestyle, where we enjoy talking about it during family functions and get-togethers. I feel like by us enjoying discussing work and strategizing during afterhours is a result in all of us loving what we do. We
26 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
When Cedar Lake became available, it was too perfect to pass up. We were tired of always regretting opportunities. During that time of rebuilding Merrillville, and completely renovating the dealership location in Cedar Lake, the Burns Harbor and boat/RV business in Valparaiso became available to take over. With the new motto of ‘no regrets’ we jumped on that purchase as well.
What is the benefit/challenge Q: diversifying your business with the boat/RV division? The boat/RV business is a comA: pletely different animal in the auto body business. We are lucky to employ someone who had run the existing boat/RV location a very long time and is passionate about this type of repair. There are different challenges we must contend with. Insurance companies handle boat/
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RV claims completely different and each case is unique. RV repair is more manufacturing as you are more of a general contractor than a collision tech. Where in the car repair business you buy most of your parts through the dealer, the RV business is the opposite. It also takes experienced experts to write estimates and know what to do because repair procedures times and parts are not documented and there is not a major software that has data available to write estimates and manage claims. In addition, you need a large footprint to work on boats/RVs that have a span of 50+ feet in some cases. We have constructed a paint booth specific to handing any size we may come across. When dealing with boat/RVs, large bay doors, tall ceilings, boat rotisserie/skates, and the ability to construct scaffolding when needed are all necessary.
What advice would you give to Q: others in the industry in regards to making an acquisition vs. building
a stand-alone facility?
My advice is: do not grow unA: less you are confident that your
existing locations are self-sustaining. You cannot grow unless you have your house in order. You want to make sure you have policies and procedures that are easily duplicable in new facilities. Our dedicated and loyal staff is definitly to thank for our growth. We are lucky to have staff that lets us grow by being just as passionate as we are about the industry. We hire problem preventers, not problem solvers. If you teach/hire people to prevent problems, you spend less time scrambling, trying to solve situations. It makes your day very predictable. You also need to have supporting staff on the corporate side knowing that individual owners cannot do everything themselves. Delegating to your team is crucial, while trusting that they will carry out that task effectively. I also document EVERYTHING during projects. There are a lot of deadlines, tasks, and projects going on at once. Being very well organized is key. My best tool for organization is a Microsoft program called ‘Onenote.’ It is an application that follows you wherever you go as it stays current on your phone as well as your
desktop. I use it for: “Todo” lists, meetings and insert pictures and video into my notes. After projects are completed, I log them into files on my computer so I can reference them at any time. I never want to have to figure out/learn something twice. If I have experienced doing something new like applying for a town variance, permit, bank loan procedures, etc…, I want to have a reference so when I have to do it again, I do not have to relearn it.
make their indoor drive-ins flow for the best experience for the customer? With these changes, the customer never has to be outside in the elements as all customers are directed to our “indoor drive-through bays” for estimates, for drop offs, pickups, and to pick up their Enterprise rental car. If anyone is prone to build a new facility, I recommend they spend a lot of time in luxury dealership serviced Departments observing how customers and their vehicles are addressed.
What are some of the additions How have you created a culQ: you added to the facilities to Q: ture at your shop where your enhance customer service? employees are like family members?
When designing our facilities, Our Industry continues to get A: customer flow and service is a A: saturated by national consolpriority. We over-analyze every situ- idators. We have embraced that by
ation to make sure the customer experience is flawless. Therefore, we focused on the dealership’s service departments and how they are set up. We tried to copy the flow of dealerships customer “drive in bays” with the service writers on the floor to greet the customer. Why should we reinvent the wheel when billion dollar companies such as BMW have already put the research into how to
creating our own niche. As other shop owners complain about not being able to find technicians and staff, we are creating a culture where we have employees applying every day wanting to be a part of our family. We have made a big decision to focus on the quality of life of our employees and what we can do to improve their employment experience. We want all employees to See Hard Work & Passion, Page 56
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 27
Shop Strategies
Victoria Antonelli is a freelance writer and editor for the automotive industry. She has a journalism degree from University of Rhode Island. She can be reached at vantonelli.autobodynews@gmail.com.
How to Integrate Millennials Into the Workplace- From Hiring to Training and Beyond with Victoria Antonelli
Mike Lanza, manager of business consulting services at Sherwin-Williams Automotive Finishes, led several Society of Collision Repair Specialist (SCRS) seminars during SEMA 2016. With over 30 years of industry experience, Lanza was able to give attendees detailed insight on what millennials think, how they work, and why it matters to body shops. He started his presentation off with a staggering statistic: in 2025, millennials—those born between 1980 and 2000—will make up 75 percent of the workforce. Therefore, body shops (or any businesses for that matter) that want to remain productive in less than 10 years time need to learn how to smoothly integrate this new generation into their work environment.
According to Lanza’s PowerPoint presentation: ● Millennials consider innovation a key purpose of business- just as important as profit ● 78 percent of millennials feel innovation is essential for business growth
● Higher paying jobs ● Apprentice programs
The General Social Survey, administered by the University of Chicago 40 years ago and continuing today, found that millennials identify with working class positions more than any other age group. In 2014, some 60 percent of millennials considered themselves to be working class. Half of all millennials with a bachelor’s degree in 2014 identified as working or lower class as compared to just 26 percent of their counterparts in 1974.
While money has been the driving force of motivation in the past, millennials operate best under different incentives: ● 95 percent of millennials work harder when contributing to a company mission ● 89 percent of millennials desire fun & social work environments ● Only 15 percent of millennials think a high paying career is important
Lanza explained to attendees that more and more millennials are foregoing college for blue collar jobs, due to the following influences: ● Skyrocketing tuition costs ● Saturated career fields ● Insourced/outsourced ● More opportunity within blue collar sector
for managing millennials: 1. Provide structure Employers can provide structure to millennials by ensuring that reports have monthly due dates, jobs have fairly regular hours, certain activities are scheduled every day, meetings have agendas
and minutes, goals are clearly stated and progress is assessed, and assignments are defined as success factors. 2. Provide leadership and guidance Millennials want to look up to you, learn See Integrate Millennials, Page 46
Lanza said he believes it is important for body shops to choose a strong mis-
Credit: Mike Lanza, Sherwin-Williams Automotive Finishes, SCRS SEMA
● 71 percent believe business innovation improves society ● 66 percent say innovation is a critical requirement in choosing a potential employer ● 62 percent describe themselves as innovative
Credit: Mike Lanza, Sherwin-Williams Automotive Finishes, SCRS SEMA
sion and culture over salary if they want to engage and retain millennials for the long haul.
What do millennials want? 1. The ever-increasing value of intangible benefitsThey know what they’re worth & they’re going to get it 2. Flexible schedule/balanceDon’t want to be tied to a 9-5 job 3. Autonomy - Don’t want to be micromanaged / want to be involved 4. Transparency - Don’t want to “go with the flow;” want to be “in the know” Lanza provided the following 11 tips
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SEMA Show Goes On
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Valspar’s SEMA Highlights Include Celebrities and Amazing Vehicles with Ed Attanasio
Every November when SEMA rolls around, all of the paint companies step up in a big way to shine for four days and Valspar Automotive surely did exactly that at this year’s Show in Las Vegas. Among all of the fanfare and frenetic activity, Valspar Automotive was in to win it this year as they represented all of their other brands, including Matrix Automotive Finishes, Prospray Finishes and DeBeer Refinish. It was all about amazing vehicles, new product announcements and celebrity appearances at 2016 SEMA for Valspar Automotive. The company hosted the stars of two reality TV
now for about two years and the product is exceptional. We get dead-on color matches and the cars come out looking great. Just look at some of the vehicles right here in the Valspar Automotive booth and you can see what I am talking about.’ Featured vehicles in Valspar Automotive’s booth and in other locations at SEMA showcased the global leader’s coatings, including an original True Blue Pearl on a 1967 Mustang Fastback from the Matrix Automotive Finishes line; A 1966 Ford Fairlane GTA by Tony Lanesky of Anton’s Hot Rod Shop of Cleveland, OH from the DeBeer Refinish line; a 1978 Pontiac Trans Am in Prospray Finishes by John Wargo of The Custom Shop in Flanagan, IL as well as a custom trike in Matrix colors from Las Vegas’ notorious Count’s Kustoms and History’s Counting Cars. Owned by John Wargo and his wife Kim, The Custom Shop has featured many vehiTony Lanesky of Anton’s Hot Rod Shop of Cleveland, OH cles at SEMA in the past. Start(left) and Valspar Automotive Regional Sales Manager ing in the 1990s, the Wargo Ken Papich pose in front of this 1966 Ford Fairlane GTA family began showing their that Lanesky built spectacular custom builds and shows—Counting Cars on History and quickly became a huge name in the inThe Discovery Channel’s Gas Monkey dustry. In 2001, SEMA awarded The Garage—and also displayed a series of Custom Shop the Meguiar’s Shine breathtaking vehicles that attracted Award, and in 2008 they captured the crowds to their booth during the entire Best Truck award. Both of those show. award-winning vehicles were painted Show attendees who visited Valspar in Prospray Finishes, a Valspar AutoAutomotive’s booth on November 3 got motive brand. to meet Richard Rawlings of Gas Wargo has been using Prospray for Monkey Garage and the entire paint many years, he said, and that’s why he crew that works for Danny ‘the Count’ was so happy to have a car at Valspar Koker in his Count’s Kustoms refinishAutomotive’s booth this year. ‘Prospray ing shop, including Lonny Speer, Ryan is a perfect paint for what we try to Evans and ‘Horny’ Mike Henry. achieve with every build for customers Rawlings and the Count’s crew autoall over the country,’ he said. ‘We rely graphed limited-edition posters, signed on it for great finishes and the product cards and took pictures with fans. has never failed us.’ Wargo’s 1977 After meeting Rawlings and get- Trans Am used only Prospray colors, ting an autograph, Mark Watson a including Ruby Red (M7-27700), Myspainter for a collision center in Ohio tical Pearl (FX-708), Wilderness Candy was gushing about the reality star and (UC-03) and Spectra Flair (SF-1-18). how much he loves spraying Valspar’s Three additional vehicles repreproducts. sented Valspar Automotive and its ‘This is quite a thrill to finally brands, including a 1958 Plymouth meet Richard Rawlings, because I Belvedere in Prospray Finishes by have been watching his show forever,’ Wargo; a 1967 Ford Mustang in MaWatson said.’I have been using Valspar trix Automotive Finishes by Brandon
30 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
Knowles of Brand-X-Customs in Everett, WA; and a 1947 Ford Pickup in Valspar Automotive Refinish by Bo Vescio of Vescio Customizing and Restoration in Minneapolis, MN.
vada and Oregon. As a SEMA veteran, Papich discussed the show and all of the brands Valspar Automotive carries. ‘SEMA allows us to wave our flag and showcase all of our brands,’ Papich said. ‘All of our products have their own niches and each scenario is different. One shop may prefer one of our low VOC products, depending on their location, for instance. We offer something for everyone and focus on things like versatility and, of course, quality.’ Valspar Automotive succeeds because they help their customers to be better operaThis stunning 1977 Pontiac Trans Am was painted using tors while saving money via Prospray Finishes by John Wargo of The Custom Shop in less product usage. ‘We proFlanagan, IL vide training and support that is world-class and we pride ourselves Valspar Automotive Regional Sales Manager Ken Papich knows a lot about on that. We have more people out on the collision repair industry in the West, the street visiting shops and helping especially in the three states where he them to save money by using less product.’ manages a sales force–California, Ne-
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Western News
New California Laws That Can Impact Your Business with Ed Attanasio
Every year without fail, hundreds of new laws are enacted that will impact automotive repair shops throughout the state of California. From huge MSOs all the way to little mom and pops in tiny towns, these laws have the potential to influence body shops everywhere if they don’t adapt to them or adhere to them. Below is a list of some of the key measures that will take effect in 2017, unless otherwise noted. Jack Molodanof of Molodanof Government Relations, who has been representing the California Autobody Association (CAA) for 25 years, has offered his take on each new law and how they can affect your business.
Minimum Wage Increase: Effective January 1, 2017, the minimum wage for employers with 26 or more employees will increase to $10.50 per hour. The minimum wage for employers with 25 or fewer employees will increase to $10.50 in January of 2018. (SB 3)
“Since most technicians, estimators and painters customarily make considerably more than minimum wage, this law isn’t going to affect shops in most cases,” Molodanof said. “Maybe for some detailers or porters, this law can impact their incomes to a degree. Additionally, remember that if you don’t provide the proper tools to any employee, you will have to pay them twice the minimum wage.”
Lead Acid Battery Fee: Beginning April 1, 2017, a $1.00 California battery fee is imposed on a person who purchases a replacement lead-acid battery from a retail dealer (includes auto repair dealers). The dealer will be required to separately state (line item) the California Battery Fee on all invoices and collect the $1.00 fee. The Battery fee will be submitted to the Board of Equalization on a quarterly basis, similar to the current California tire fee. The dealer will also be required to ac-
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
cept used lead acid batteries without charging a fee. The retail dealer of batteries is also required to provide written notice regarding the California Battery Fee and refundable deposits; however, the notice requirements do not apply to an auto repair shop that does not sell lead-acid batteries directly to consumers (over the counter) but instead removes nonfunctional/damaged batteries as part of an auto repair dealer service. (AB 2153). “We always had concerns with this bill,” Molodanof said. “This law is a direct response related to the 2013 series of events at the Exide Technologies battery plant that contaminated an estimated 10,000 homes in southern California with hazardous waste derived from batteries. This new law will mandate a $1 fee for each such battery sold for placement into the Lead Acid Battery Cleanup Fund.” Tow Truck Requirements: This new
law makes a series of changes to provide relief to last year’s bandit tow truck law (AB 1222). Current law requires a business taking possession of a vehicle from a tow truck to document the name, address and telephone number of the towing company, the name and driver’s licenses number of the tow truck operator, the make, model and licenses plate or vehicle ID number and the date and time that possession was taken of the vehicle. This new law allows the business to accept the operator driver’s license number or driver’s identification number issued by a motor club or other government authorized unique identifier of the tow operator. If the business is taking possession of the vehicle from tow truck when the business is closed, the business must document reasonable efforts made to obtain the required information. (AB 2167) “This law provides relief by allowing shops to accept a government authorized unique identifier or motor
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club driver’s identification number,” Molodanof said. “This way, they don’t have to present their driver’s licenses as identification, which is an identity theft protection issue for the drivers. This law protects shops, tow companies and consumers alike, because it documents the transaction and provides full accountability.”
Automotive Windshield Replacement: This new law requires that automotive repair dealers (includes sublets) to use windshields that meet or exceed Federal Motor Vehicle Safety Standards and vehicle manufacturer specifications when replacing windshields and to use adhesives that meets or exceeds manufacturer specifications. Auto repair dealers shall provide an estimate notifying the customer that the installation of the windshield will prevent the operation of the vehicle for a period of time (due to cure time) and whether the windshield is an OEM or non-OEM manufacturer part. The invoice shall notify the customer of the cure time, the date and the time upon which the installation was completed and whether the windshield is an OEM or non-OEM manufacturer part. (16CCR 3365.1)
“This law allows shops enough time to let the adhesives cure during the installation process so that customers would not be left in the dark and the windshields will not leave a shop until they are safe and correctly installed,” Molodanof said.
Counterfeit and Nonfunctional Airbags: This new law increases penalties for any person who knowingly manufactures, imports, installs, reinstalls, distributes, sells or offers to sell any device intended to replace a supplemental restraint system with a counterfeit supplemental restraint system component or a nonfunctional airbag as defined. (AB 2387) “The National Highway Traffic Safety Administration (NHTSA) reported in 2015 that more and more counterfeit airbags have been discovered as replacement parts in vehicles that have been involved in crashes, thereby leading to this law,” Molodanof said. “This one is fairly common sense. If you buy an airbag on eBay or Craigslist for $50, you can be fairly certain that it is not the real thing. Counterfeit airbags are obviously a major safety issue and now the penalties for selling them are tougher,
which is good.”
Criminal History in Applications for Employment: This law prohibits employers (in addition to existing laws) from asking applicants to disclose, or from utilizing as a factor in determining any condition of employment, information concerning or related to “an arrest, detention, process, diversion, supervision, adjudication, or court disposition that occurred while the person was subject to the process and jurisdiction of juvenile court law.” (AB 1843) “In the past, employers could go back and look at employees’ or applicants’ juvenile records, but those will now be sealed,” Molodanof said. “This was sponsored by the Juvenile Court Judges of California and the idea behind this law is that people should not have to pay for things for their entire lives that they may have done as juveniles. This does not affect adult criminal records that are still available to employers that want access to them.” Single-User Restrooms: Commencing on March 1, 2017, this new law requires all single-user toilet facilities in any business establishment, place of public accommodations or govern-
ment agency to be identified as allgender toilet facilities. (AB 1732). “If your facility isn’t open to the public, this law does not apply to you,” Molodanof said. “It’s not like with a restaurant where a restroom is required by law. In this case, you will likely only have to change some signage on your restroom to adhere to this new law.”
Smoking in the Workplace: A new set of laws were passed during the middle of the year (June 9, 2016) which increased the smoking age from 18 to 21; included electronic cigarettes and expanded the prohibition of smoking of tobacco products inside an enclosed place of employment. The law now applies to all employers regardless of size, including where the owner-operator is the only employee (i.e. owner-operated business). (ABX2-7) “This law was designed to some degree to deal with e-cigarettes, because they are new and many business owners don’t know how to deal with them,” Molodanof said. “Now, it is prohibited to vape inside a shop and that also includes customers. It’s a health issue, and even if you’re okay with smoking in your business, the state is not.”
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Day Job/Night Job Former Metal Technician Lands Dream Job with his Animal Art with Ed Attanasio
Body technicians often collect items while on the job, but most of them end up in their home garages where they languish forever. But what if one of them took these objects and used them to create amazing art that received accolades by art lovers and critics nationwide?
Known for his fish metal sculptures, Miller has also created other animals, like the ram’s head in this photo
and make a lot of money, well before DRPs existed, because it was 100% flat rate. But over the years, the body shops in the Bay Area started paying salaries while costs kept rising in northern California.” Several years ago, Miller moved to Southwest Missouri, where he could purchase a large house on three acres while still working in the collision industry. During this entire time, he was doing his art, a passion he discovered while attending high school in Sunnyvale, CA. “I was throwing pottery and doing a ton of artwork while in school,” he said. “Then, as a senior, I started working at a local body shop and the art kind of faded into the background. Fixing cars is artistic in many ways, so I always have been looking at different shapes and forms that techs run into every day on the job. Eventually, I decided to make some sculptures from items I found while repairing vehicles.” One of his first pieces was for his mother, where Miller took an old can and cut it until it looked like a rose. He then painted it red, and people who saw it were immediately impressed. “I took some old metal and made it into something that looked like it was alive and the feedback was great,” he said. “That planted the seed, and then several years later, I started doing my fish sculptures, but I was always thinking about it and planning the pieces in my mind.” Why fish for his sculptures, we asked Miller? “I have always been a
A former metal technician, Gary Miller, 54, has done exactly that. By using things he finds during the course of any normal day at a body shop— small car parts, broken or tired tools, gears, housings, armatures, motors, windshield wiper motors, copper, chrome, aluminum , steel, etc.—Miller has been able to create some amazing sculptures. Where most people think trash, Miller thinks art. Creating a menagerie of animals that Dr. Doolittle would be proud of, Miller has created a wide range of fish, insects, rams and other creatures that wow people and make them happy. A body tech for 37 years, The fish that Miller is now creating for Pro Bass Shops Miller started in the industry at are more realistic, but still just as impressive age 17, when he began learning the business from the ground floor. wilderness guy, backpacking in “I started out like other teenagers, Yosemite and spending weeks at a time sweeping floors and absorbing as much out there,” he said. “I have also been an as I possibly could,” Miller explained. avid fisherman for decades, fly fishing “After 5-6 years, I was doing a ton of for river trout all the way to deep sea combo work that was all strictly collifishing too. So, it was just a natural prosion repair. Back then, I could hustle gression for me to use animals as sub-
36 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
jects for my sculptures, because they are beautiful creatures and my goal is to capture that beauty in my work.” For the past 37 years, Miller has been plucking things from the body
metal, weld, paint and shape these creations. At first, I was just doing them for friends, mostly for Christmas gifts. A few years ago, I made a salmon for my brother mostly out of nuts and
A salmon made of parts found in a body shop has received amazing reviews for Gary Miller, a former metal technician who has found a second career with his art
shops he has worked for and accumulating a lot of objects that no one else could even remotely consider them artful. “I knew that I had all of the skills to turn these parts into sculptures,” Miller said. “By doing my combination work for many years, I know how to cut the
bolts. Most of the parts that I used were from things I found, but I also had to fabricate a few to bring it all together.” Miller’s fish sculptures require a lot of time to make, and he eventually wants to take his art to another level. See Animal Art, Page 51
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Historical Snapshot
—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.
CIC Ends Parts Test-Fit Demonstrations, Feds Launch New Insurance Oversight Agency with John Yoswick
20 years ago in the collision repair industry (January 1997) Also during the Collision Industry Conference (CIC) in January, Georgia shop owner Gene Hamilton proposed that the paint manufacturers and other companies that host large parties in conjunction with NACE (the International Autobody Congress and Exposition) be asked to redirect some of the money to address fundamental industry problems. “NACE parties are a lot of good drinking, a lot of good eating, and a few hours later it’s gone, but so are sizable amounts of money,” Hamilton said. “My proposal would be that we find a way to reallocate some of the money spent on us. I’d like to see the industry say, ‘I’m willing to forego a party, I’d rather try to solve a 365-day problem, and I’d like that money to be spent on the industry for training, or for attracting people to this industry.’” A number of NACE participants,
including representatives of some companies that host NACE parties, said the proposal would be something they would strongly consider once some specific ways the money could be spent were developed. – As reported in The Auto Rebuilder.
In 1997, Georgia shop owner Gene Hamilton suggested that the money industry vendors were spending on large parties at the annual NACE convention could be used to address larger industry issues
For a number of years, some companies adopted Hamilton’s suggestion, announcing donations to industry efforts in place of large parties during NACE. In recent years, large vendorsponsored events have returned both during NACE and during SEMA.
15 years ago in the collision repair industry (January 2002) After much debate at the Phoenix meeting, Collision Industry Conference (CIC) participants narrowly voted to suspend the vehicle test fits of OEM and non-OEM parts that have been held at most CIC meetings over the past three years. The test fits, coordinated by CIC’s Parts and Airbag Committee, have allowed CIC participants to rate the fit, finish and overall acceptability of OEM and non-OEM replacement parts – not knowing which were which – that were installed during the meeting on a vehicle.
DiLisio, who led the Parts and Airbags Committee prior to becoming chairman of CIC last year, was among those calling for a halt to the test fits primarily because what he called the “misuse of the information gathered by the parts test fits.” As an example, DiLisio cited a press released issued by the Alliance of American Insurers last fall that stated, “Generic certified parts more often than not have received higher ratings than car company parts in blind parts demonstrations at CIC meetings. The attendees of the meetings are primarily owners of automobile body repair shops.” “There’s a couple of things in that statement that are obviously disturbing,” DiLisio said. “Number one, we’ve never had scientific tests; therefore data shouldn’t be used as if it were scientific results. Number two, more often than not, the aftermarket parts have not performed better than the OEM. And number three, the attendees
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at this meeting are not primarily collision repair shop owners.” Insurers and industry vendors are generally represented in equal or even greater numbers that collision repairers at most CIC meetings, DiLisio pointed out. Even more importantly, only six of the 16 certifiable non-OEM parts used in the CIC’s test fits over the past three years were rated higher than the OEM version (and in one case there was a tie). Over all CIC test fits, DiLisio said. OEM parts had an acceptability rate of 78 percent compared with 55 percent for the non-OEM parts. “For them to make a statement that more often than not the [nonOEM] parts perform better, I have a problem with that,” DiLisio said. “We started these test for one reason only: To emulate what a collision repairer goes through every day: Calling up on the phone to order certified parts to see what comes. Number two was to put these parts on a vehicle to see whether they fit, what the finish was like, etc. We’ve done that. We’ve given feedback to the distributors, to the OEs, to the Taiwanese. Many changes have been made. There’s no question in my mind that these test fits have proven to be positive. The question I raise: What
are we going to gain out of them in the next 12 months?” Massachusetts shop owner Chuck Sulkala was among those who supported the continuation of test fits. “We had to be able to show, ‘This is what is wrong with this part,’ and that is what the test fits have done,” Sulkala said. “As a result, we now have CAPA changing the way they are doing thing and are now doing vehicle test fits. We’ve had the Taiwanese come over to see what we’ve done. And we’ve also found that not every OEM part is perfect as I and many other repairers thought they were. As a result, we got the attention of the OEM as well. It’s unfortunate that people decide to take information and twist it and turn it, and they ought to be called on the carpet...but my vote would be that we continue the effort. I’m not sure that our work is completed yet.” Sulkala, however, was one of only three CIC participants who voiced support for continuing the test fits at nearly every meeting; although two dozen others supported limiting the test fits to two a year, a slightly larger majority voted to suspend the test fits altogether. – As reported in Autobody News.
10 years ago in the collision repair industry (January 2007) At the Collision Industry Conference “planning session” held in Phoenix in mid-January, Stacy Bartnik oversaw her first meeting as chair of the conference, leading about 200 attendees through the process of determining which topics CIC committees would tackle in the coming year. “I would like to see some discussion on the use of photographs to establish judgment times,” suggested Darrell Amberson, president of Lehman’s Garage, a six-shop collision repair business in Bloomington, MN. Amberson, who also serves as national director of the Collision Division of the Automotive Service Association (ASA), said such “desk auditing” practices now include using photos to determine, for example, whether a repair time should be two hours rather than three. “I would question the ability to accurately do that based on a 2-dimensional photograph,” he said. – As reported in Autobody News. Despite Amberson’s concerns, “desk audits” of estimates have become increasingly common in the past decade, as have services offering initial esti-
mates based solely on photos. Amberson is now president of operations for LaMettry’s Collision, another Minnesota-based MSO.
5 years ago in the collision repair industry (January 2012) The new Federal Insurance Office (FIO) has been seeking comments on how insurance should be regulated in the future, and two viewpoints are clearly emerging. The National Association of Insurance Commissioners is among those saying the current state regulatory system is working. “Property and casualty insurance proved to be among the best regulated financial-services sectors throughout the financial crisis,” Jimi Grande of the National Association of Mutual Insurance Companies said. But the Risk and Insurance Management Society told the FIO that more federal oversight is needed because state regulation allows insurers to stray from or misinterpret national standards. And the Financial Services Roundtable says the majority of its members “believe that the FIO must be a lead voice, not only in vetting options, but ensuring that a new era of See Retro News, Page 54
www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 39
A 2015 Profile of the Evolving North American Collision Repair Marketplace by Vincent Romans
Our 10th anniversary annual research report, A 2015 Profile of the Evolving North American Collision Repair Marketplace, is now available. Following is an executive overview highlighting our data and findings from the report.
It has been quite a ride to watch what has transpired during the past decade, not only within the collision repair industry, but throughout the entire auto physical damage ecosystem. The consolidation, convergence, and the structural changes we are witnessing within businesses, industry segments and markets, as we know them today, are now significant market factors to consider as part of our future planning. The high velocity and breadth and depth of change, coupled with the seemingly relentless introduction of innovative and disruptive products, services and business models, has required us to maintain an intense vigilance, to stay constantly informed, and to learn
■
And since 2012, the $10-$19 million MLOs Since 2006, the total revenue within these four segments has grown from $3.8 billion to $10.2 billion in market share, an 11.6 percent compounded annual growth rate. The top ten ranking of all ≥$20M segment repairers including independents, dealers and franchisors can be seen in the following chart. Under the All Repairers column, we see there are four independent consolidators, three independent franchise organizations and three dealer groups. Within this category, the four independent consolidators represent a significant 70 percent of the revenue processed in 2015. The four consolidators by themselves represent 11.3 percent of the total industry size for 2015. We estimate that by 2020, they could almost double their market share and represent just over 20 percent of industry market size. When combined, the four segments we track and analyze could represent almost 45 percent of the collision repair industry by 2020. The following chart reflects the ranking of the Top 10 multiple-location operators and networks for 2015.
Although the U.S. has seen an increase in consolidation within the multiple-location operator segments, Canada remains significantly more consolidated in the revenue generated by the combined franchise and banner and ≥$10 million MLOs. In Canada, this combined segment group represents a 71.8 percent market share versus the combined 29.8 percent share for the same U.S. segments. The combined 2015 revenue for the U.S and Canada ≥$20 million MLO
and franchise networks was $11.8 billion versus $10.8 billion in 2014. This represents 32.2 percent of total industry revenue for the U.S. and Canada. Within the U.S. market, the ≥$20 million independent and dealer MLO segment is the largest while the franchise and banner network MLOs remain the dominate business model in Canada. Both countries saw a continued downtrend for the number of collision repair facilities, although this downturn See A 2015 Profile, Page 47
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and understand as we consider, adopt, avoid, or leverage these transformative or disintermediating forces in order to remain relevant and competitive. U.S. Collision Repair Industry As the basis for our research, we track and analyze four U.S. segments:
■
■ ■
Four top independent consolidators ≥$20 million multiple-location independent and dealer operators, MLOs Franchise and banner groups
Canadian Collision Repair Market The Canadian market continues to consolidate with the franchise and banner segment now representing a significant 52.0 percent share of the CAD $2.9 billion private insurance auto market. When including the ≥$10 million MLOs in Canada, the combined larger segment has a significant 71.8 percent of all the private passenger insurer and consumer-paid market. Under the All Repairers column, we see four banner and franchise groups leading the Top 10 ranking followed by five independents and one dealer MLO.
40 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
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SEMA Show Goes On
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Vintage Color Studio Features Award-Winning Roadster at 2016 SEMA at PPG’s Booth with Ed Attanasio
When a major brand like PPG invites you to be part of its booth at SEMA, it’s definitely a big deal and an honor for any automotive painter. And even though Darryl Hollenbeck, the owner of Vintage Color Studio in Concord,
Darryl Hollenbeck and his wife Terri with their 1932 Ford High Boy Roadster, which wowed SEMA attendees who visited PPG’s booth during all four days of the show
CA, has won three America’s Most Beautiful Roadster (AMBR) awards and a handful of Pebble Beach Concours d’Elegance awards with his cars that are regularly featured on the covers of magazines such as Street Rodder and Rodder’s Journal, Hollenbeck has never become jaded or complacent due to his success. Along with other top car painters and fabricators, Hollenbeck’s 1932 Ford Highboy Roadster wowed SEMA attendees during all four days of the show. The 2016 AMBR winner differs slightly from your traditional Highboy approach while still retaining much of its original look. “Cory Taulbert at Webb Automotive Art handled the chassis fabrication and then we got it back to install its Edelbrock crate small block, and a T5 Borg Warner trans,” Hollenbeck said. “Once we were done with the paint, Bill Ganahl coordinated the final assembly, and friend Sid Chavers stitched the
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Hollenbeck's ‘32 Highboy won Vintage Color’s third America’s Most Beautiful Roaster award earlier this year
Darryl Hollenbeck, 49, grew up in Concord, CA with a family that was destined to paint or rebuild vehicles as a profession. Darryl’s grandfather,
uncle and father were all highly-regarded car painters, with his father Dale gaining national acclaim for his work before passing in 2003. Hollenbeck has been painting vehicles since he was a teenager. “I was using lacquer back when I started painting cars as a kid,” he explained. “The first car I ever painted was a 1968 Mustang done in black lacquer. When waterborne paint was mandated almost 10 years ago now, I struggled with it for a short time and was a little skeptical about it. I was wondering if the waterborne would last and questioned its longevity, but now I use the PPG Envirobase exclusively and it is outstanding. They are a great company and extremely supportive. Their products are user-friendly and they know what painters go through, which means that their customer support is exceptional across the board.” A veteran painter, Hollenbeck entered the industry on the collision side
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initially. “I worked with my uncle and my father at H&K Auto Body in Oakland, CA, and that is where I started working right out of high school,” he said. “I was there for about four years and then I bounced around working at body shops in the East Bay. I always had an urge to do complete customs, and pretty soon, I was able to do them. I always wanted to be strictly a painter, but at the beginning to break in, I had to do it all.” Hollenbeck’s career really gained momentum when he landed a job at Acme Custom Cars in Antioch, CA, a top customization shop with a great reputation for doing award-winning work. “I was able to really expand my horizons there and refine my painting skills,” he said. “They gave me the responsibility and I thrived on it.” Currently, Vintage Color Studio is booked for at least a full year, and Hollenbeck’s work is always in demand, it seems. If you want a classic car with an award-winning paint job, Hollenbeck’s name is a household word in northern California and many of the country’s top rod builders have his name right at the top of their list. When Hollenbeck gets a classic hot rod in his shop, it’s already down
to the bare metal, and that’s when Vintage Color Studio does its magic. “We fill in the gaps and prepare it for paint and then we paint it,” Hollenbeck said. “The car is then sent back to the restoration shop, which is usually Roy Brizio at Roy Brizio’s Street Rods in South San Francisco, CA. It is a great
and a few years ago he stumbled upon a niche that consists of rock stars including two guitar legends. He has now done four cars for James Hetfield, the lead singer of Metallica; two for Eric Clapton and one for Jeff Beck, who used to be in the Yardbirds with Clapton many years ago.
Hollenbeck painted this award-winning 1937 Lincoln Zephyr for James Hetfield of Metallica a few years back
relationship that works well, because they have an amazing track record of success between the two and are also related through marriage. Also, I am married to Terri Brizio, Roy’s sister, which surely does not hurt.” Hollenbeck has painted vehicles for car collectors all over the world,
Hollenbeck is a serious artist and businessman, but he also enjoys the camaraderie that comes along with the job. “One of the great things about this business is that I eventually become friends with many of our customers,” Hollenback said. “It just happens naturally, because they give me a ton of
responsibility with these vehicles and I value that. These are their children in a way, so I want to do an incredible job for them. That is also why I get a lot of repeat clients, because they know I am totally dedicated to every project I do.” After working on any car, Hollenbeck still gets a rush when he sees the finished vehicle right before the rest of the world gets to. “When we return it to the rebuilder, it’s all in parts, so we can’t really get a good idea what it is going to look like. But when we finally get to see it with all of the upholstery and driving it is always a thrill!” Hollenbeck still loves the business, even though the work schedule is often insane. “It’s tedious work with 10-14 hour days, but it sure beats collision repair, that’s for sure,” he said. “When you fix a car, you just return it back to what it was before. But when you rebuild a car, it’s like creating a whole new vehicle, and that’s why I love it. Getting in shows, winning awards and being featured in magazines is nice, but in the end, I am taking something old and making it look spectacular and that’s why I have not had a vacation in 17 years and don’t have any planned anytime soon.”
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Tips for Busy Body Shops
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
How to Compete with Consolidation and Outmaneuver Your Competitors in 2017 with Stacey Phillips
During a recent SCRS seminar at enue and margin benefits from conSEMA 2016, Brad Mewes began his solidation, said Mewes. presentation by asking a room full of These trends seem to be here to body shop owners to think back a stay. “They aren’t going to change; they decade ago when there were just a are only going to continue,” he said. handful of consolidators in the indusSo how is it possible to compete in try, such as Caliber. such an environment? Mewes shared “This was a time of much uncerfive ways shops can make more money tainty in the collision repair industry and outdo their competition in 2017: and a time when the power of the independent was very strong,” said Mewes, 1) Organic Growth: With this founder of Supplement, a company that model, Mewes said generally speakspecializes in strategic advisory serving, there is a potential to grow your ices to the automotive aftermarket. business five to 10 percent annually. “But there were changes that were hapSome of the advantages include diverpening in the industry.” sifying your customer base He recalled attending a and increasing your contribumeeting at that time when tion margin. However, he businesses came together to said there tends to be a maxdiscuss how to compete in an imum amount you can grow. environment that was con“One of the bigger challenges solidating around them. He growing organically is you remembered one of the succan only grow so much before Brad Mewes, cessful business owners sayyou run out of space. Addifounder of ing that if you ever suspect tionally, as you grow organiSupplement, during SEMA auto body to be run like Wall cally, you have to continue to 2016 Street, you are going to be invest in staff and working waiting a long time. capital,” said Mewes. “An ongoing inFast forward 10 years and the vestment is required.” largest four collision repair operators in the United States are all run like 2) Efficiency and Cost ReducWall Street companies and backed by tions: In terms of opportunities, Mewes some of the largest, most prolific pri- said that shops can improve both gross vate equity groups in the world, said margins as well as operating margins. Mewes. The Big Four include ABRA, “Buying right, minimizing waste, and Boyd (Gerber), Caliber and Service increasing throughput are all ways to King and own more than 1,400 loca- increase efficiency and boost profit,” tions combined. said Mewes. “But there is a natural Mewes said that from the end of limit to this growth and margins can’t 2011 to year-end 2015, the Big Four increase indefinitely. In other words, have collectively tripled in size. Serv- you can only sharpen the knife so many ice King, the fastest growing of the times.” four, increased in size six-fold. In the first three months of 2016 alone, the 3) New Development: New detop four consolidators added nearly as velopment is generally a low-cost opmany locations as they added in all of tion for businesses that want to expand. 2012. “They have clearly become exMewes said the new shop can be used perts at identifying, acquiring and inas a training facility to educate emtegrating repair facilities. This is ployees until operations ramp up; ususignificant because how they are doing ally over 18 to 24 months. If shop business is different than the way we owners invest a substantial amount of might be doing business,” Mewes told money into the business, they must fiattendees. nance the development over this time, Meanwhile, private equity firms as well as pay their employees during are investing in the body shop indus- the ramp up phase. This can be a costly try due to its scalable platforms and proposition as the shop gets up to full backable management teams where steam, and it is important to plan acthey believe there is substantial rev- cordingly.
44 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
4) Acquisitions: Many in the industry consider this a risky option; however, Mewes said there are advantages to making an acquisition. Not only can it diversify your risk, the business is already in place with employees, a customer base, insurance cash flow, revenue, etc. “Generating cash flow from day one makes it more attractive and manageable to grow,” said Mewes. However, acquisitions can be very complex and often require a substantial financial commitment.
5) Culture: Mewes said that the biggest advantage independent collision repairers have is the ability to drive culture. Although large companies in this industry spend a lot of time and money on developing a culture and education, he said it’s one of the biggest challenges they have because they simply cannot touch every employee in the organization. “The abil-
ity to drive culture is really one of the differentiating factors that a small organization can leverage and has to leverage in order to grow aggressively,” said Mewes. “Because you are a smaller operator, you can be flexible in a way that a larger operator can’t.”
As the industry continues to change and evolve, Mewes said there is still opportunity for independent shops to grow. “There are investors who want to invest in companies that are growing and expanding. It’s a huge opportunity,” he said. “In a consolidated industry, you effectively have one choice: grow fast or be acquired!” This article is based on an SCRS seminar during SEMA 2016. For more information, contact Brad Mewes, founder of Supplement, at 714-658-5518, brad.mewes@supp-co .com or read his weekly insights at http://supp-co.com.
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Continued from Page 28
Integrate Millennials
from you, and receive daily feedback from you. They want “in” on the whole picture and to know the scoop. Plan to spend a lot of time teaching and coaching and be aware of this commitment to millennials when you hire them.
change Boring is bad—they seek ever-changing tasks within their work. What’s happening next is their mantra. Don’t bore them, ignore them, or trivialize their contribution.
7. Multi-taskers on a scale you’ve never seen
The electronic capabilities of these employees are amazing. Use their abilities in social media.
9. Affinity for networking Millennials like to network around the world electronically. They are able to post resumes electronically as well as on web job boards. They are loyal, but
3. Encourage their self-assuredness Millennials are ready to take on the world. Their parents told them they can do it—they can. Don’t squash them or contain them.
11. Provide a fun, employee-centered workplace Millennials want to enjoy their work, enjoy their workplace, and make friends in their workplace. Help your long-term employees make room for the millennials. Next, Lanza discussed the best ways for employers to find and retain employees who perform with excellence, have a good skill set, and who are also reliable and trainable. He said employers need to mentor and motivate their new hires, as well as seasoned employees, by setting standards and managing them in the most profitable way.
4. Comfortable working with teams They are used to working in groups and teams in contrast to the “Lone Ranger” attitude of earlier generations. Millennials actually believe a team can accomplish more and better.
5. Listen to the millennial Millennial employees are use to loving parents who have scheduled their lives around their children’s activities and events. These young adults have ideas and opinions, and don’t take kindly to having their thoughts ignored. 6. They are up for the challenge and
lives with multiple activities. They may play on sports teams, walk for multiple causes, and spend lots of time with family and friends.
Millennial stereotypes explained. Credit: Mike Lanza, Sherwin-Williams Automotive Finishes, SCRS SEMA
Multiple tasks don’t phase them. Many will talk on the phone while answering emails and multiple instant messages; this is a way of life. 8. Electronic literacy
they keep they always keep their options open.
10. Life-work balanced workplace Millennials are use to cramming their
Interviewing and Hiring for Success Step 1: Forecast Needs Accurately forecast short and long term needs Step 2: Source Potential Candidates Identify potential sources for employee See Integrate Millennials, Page 50
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Continued from Page 40
A 2015 Profile
has slowed in recent years. In 2006 there were approximately 45,000 U.S. collision repairers averaging $666,000 in
revenue annually versus about 32,900 locations in 2015 averaging $1,036,474 in annual revenue. Canada’s repair location population has seen a reduction of more than 50 percent since 2012, with 4,900 locations averaging about
$427,959 in 2015. When comparing the market size and share for the property and casualty insurance and auto repair segments for the U.S. and Canada, we continue to see two very different and divergent markets. The U.S. collision repair mar-
Both countries saw a continued downtrend in the number of collision repair facilities, although the decline has slowed somewhat since 2010. Although the U.S. has seen an increase in its consolidation within the MLO segments, Canada remains sig-
$36.4 billion is an increase of 3.9 percent versus 2014. Our annual research report, A 2015 Profile of the Evolving North American Collision Repair Marketplace, is now available. The report is the result of our ongoing propriety research, analysis
ket size is 15 times the size of the Canadian market. Canada’s Top 10 private insurers have a 78.7 percent premium market share, up from their 77.1 percent share in 2014, as compared to the U.S. insurers’ share of 71.1 percent.
nificantly more consolidated in the revenue generated by MLOs at 71.8 percent share versus 29.8 percent for the U.S. market. This represents increases versus 2014 of 1.9 and 3.3 percent for the U.S. and Canada respectively. The combined ≥$10M MLO, franchise and banner revenue of $11.8 billion is now just under onethird of the combined total market revenue. The combined market size of
and collaboration with specific market experts and leadership throughout various auto physical damage segments. It presents the complete results of our work for 2015 in over 40 charts and graphs in 47 pages and includes historical trends and a future view. The report can be purchased by contacting The Romans Group LLC at 847-382-6208 or Mary Jane Kurowski at maryjane@romans-group.com
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Media and Publicity for Shops My Marketing Rap for 2017
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
with Ed Attanasio
In marketing, it’s always a good idea to mix it up and change your approach every once in a while. Maybe take your efforts out of social media and use direct mail or billboard advertising, for example. Some shops will do print ads only during their slow times and then drop out when they get busy. Other shops, however, have been sticking with the same old marketing techniques for decades because they still work, but how will they continue to perform in today’s ever-changing world of marketing? If you’re still advertising in the yellow pages or putting flyers on cars in parking lots, it’s time to make some changes and now is the ideal time to do it. So, in the spirit of change, I have decided to alter my writing style a little for 2017 to keep everyone on their toes—so I am writing this column at least partially with rap lyrics. I am surely not 50 Cent, but if my information about marketing is worth at least 15 cents, I’ll be good with it, although I don’t know how my editor is going to respond to my new approach.
1.) S-E-O, Baby! Leverage your online presence or start paying your own severance before your shop starts to stumble and eventually crumble, because people are jammed for time and need to find you quickly online every time. That may sound dire and I don’t want to start a fire, but with consolidation gaining momentum, smaller independent shops should heed this proclamation. Search Engine Optimization (SEO) is a necessary evil in today’s world and many shop owners hate it, because they can’t understand it, to be honest. If you’re not one of Google’s top five shops when people search for your business in your town, that means you’re likely buried deep in the bushes and most consumers will not spend the time to chase you down. You don’t necessarily have to know what SEO is, but if you are on Google’s page three or four, you definitely need to do something pronto. Hire a reputable SEO expert and let them do their magic and most importantly, give them at least eight months to one year for it to go into effect. To move up the ranks via any search engine organically, you need to
give any SEO expert enough time for it to happen. Too many shops pull the rug out after only three months, thereby setting it up for failure.
2.) Short Clips and Less Text With too many data downloads hitting our brains like driving rain, people are getting away from the written word and watching more videos to a point where it’s absurd. So, jump in the video game and don’t feel shame— you won’t need a Speilberg or Scorsese to make production easy. YouTube used to consist of mostly cute cat videos and recipes about how to make the world’s best Lobster Mac ‘N Cheese, but now there is a plethora of ones that were created by body shops all over the country. Some show shops fixing cars and educating consumers about the repair process, vehicle certifications, customer testimonials and other valuable and even entertaining information that can be easily and quickly disseminated to the public. If you think they don’t work, check out how many people have viewed some of the them on YouTube and then start producing a few of them yourself. With today’s technology, you can actually do videos with your smartphones and editing software is easier to use than ever.
3.) Direct Mail is Back It used to end up in the trash pail, but now direct mail is back like kale, so it won’t fail for shops that can prevail by using this re-energized form that was once considered stale. If your design is spiffy and the message is profound, your customers will be happy and the piece renowned. In the old days before the Internet, smartphones and email, everyone did direct mail and caused major congestion in many of our mailboxes. But now, with so many shops competing for a strong identity online, direct mail is more less common. More and more large companies are gravitating away from direct mail and that’s why you’re getting less and less of it. This form of advertising has suffered from being called “junk mail” for decades, but now it’s back, because if done right, it works. First off, you can buy a list that tells you how many people in your region drive a
48 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
specific car for which you might just have a certification for. Sending a nice succinct mailer to these people on a semi-regular basis without stalking them will keep your name in their brains for when their next accident occurs.
4.) Pay it Forward People have trouble saying philanthropy so in simple terms- it’s just charity. You don’t have to look too hard, because deserving people are in your own backyard. Do it for the right reasons and not just during the holiday season, and you will see results that are both satisfyin’ and pleasin’! If you are looking at the most successful shops in any area, I would bet they do more than a few charity-related events and programs every year. Giving away cars or raising funds for non-profits by sponsoring car washes, truck pulls, crab feeds, pancake breakfasts—you name it and they do it and more. Helping other people gets your
name out there and shows that you care about the community.
5.) Show Some Love An occasional illustration of customer appreciation will ease their pain and retain them for the next time they get into a collision for whatever reason. Acquiring new clients is never an easy way to go, so why not stay in touch with the ones you already know? Many shops are great at customer acquisition but don’t do anything to retain them, which is a huge mistake. We know that people get into accidents every 7 to 10 years depending on who you’re asking, but they can also refer folks to your shop, etc. A satisfied customer can be a great advertising vehicle for your business, so why not put your name in front of them as often as you possibly can? Follow-up letters, email newsletters and even an annual customer appreciation day is how top shops show love to their existing customer base year-round.
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Continued from Page 46
Integrate Millennials
talent Work closely with sources to maximize productivity
Opening the interview: 1. Put applicants at ease 2. Arrange for privacy 3. Prevent interruptions 4. Greet candidate 5. Make some small talk
Closing the interview: 1. Re-describe the position of the company 2. Relate the positions responsibilities to the candidates strengths and background
Step 3: Plan for the Interview Formulate questions, review background information, and create the interview plan
Step 4: Conduct Interview Ask questions to collect appropriate behavioral information on candidates in order to make a more informed decision
Step 5: Market the Company/Opportunity Paint a positive and accurate picture of job responsibilities, career path, and employee benefits
Step 6: Assess Candidate Information Objectively analyze data collected on a candidate to detect trends, strengths, and/or weaknesses
Step 7: Hire the Right Candidate Use clear decision criteria and evaluate candidates against criteria Don’t compromise on candidate quality or fit
Lanza then shared with attendees the following methods for recruiting employees more efficiently: ● Personal contacts ● Employee referral ● Signs ● Industry contacts ● Tech school recruiting ● Insurance companies ● State/local agencies ● Industry periodicals ● Internet / Social media ● Local advertisements ● Review resumes and applications ● Review work history ● Compare candidates qualifications to job description ● Prescreen Lanza also provided tips for...
Credit: Mike Lanza, Sherwin-Williams Automotive Finishes, SCRS SEMA
6. Sit with no barriers between you and the candidate 7. Briefly describe the position 8. State basic tasks and responsibilities 9. Explain how the job is structured 10. Sell the company and explain how the position fits in 11. Explain the interview procedure 12. Explain that you will be taking notes and the applicant may do the same 13. Clarify confusing or incomplete items on the application resume 14. Begin with your interview questions
Processing info during the interview: 1. Criteria for determining usefulness of information gathered: Ask yourself- is the information clear? If not clear, seek clarification 2. Begin with open-ended questions Switch to close ended questions to get more information 3. If information becomes not relevant- redirect convo back to original focus – use open-ended questions to dig deeper 4. If information given is not adequate- ask questions in another criteria of the same example 5. Ask for other examples of evidence
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3. Answer questions candidly 4. Be positive and energetic 5. Do not make or imply any promises 6. Invite applicants questions 7. Explain next steps 8. Avoid building false expectations 9. Review next steps in selection process
and time frames 10. Tell how and when applicant will be notified of hiring decision 11. Thank applicant
Once a shop has hired a new employee, Lanza suggests the following methods for integrating him or her into the collision repair facility: ● Complete training plan ● Training dates ● Develop 30, 60, 90 day itinerary ● Use a tool such as a new-hire checklist to ensure all necessary information is provided/arranged 1. For customer service rep: design and implement customer communication plan by end of year 2016 2. For technician: identify system restraints in your department- develop correction plan and submit report to management by year end 2016 3. For production manager: identify sources of rework in production and implement a redo production program by year end 2016
To learn more, contact Mike Lanza at Michael.lanza@sherwin.com or visit www.sherwin-automotive.com/swa home.
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Cam Miller Wins SEMA Battle of the Builders Cam Miller, working out of his shop HS Customs in Logan, Utah, took the big prize at the recent SEMA show in Las Vegas, claiming the prestigious
2016 Battle of the Builders award with a PPG-painted brilliant white 1969 Camaro. The award is a major part of the annual SEMA event and was announced Nov. 4 at the Las Vegas Convention Center. The Camaro, owned by Alex Short of Bluffdale, Utah, and dubbed “Under Pressure,” was painted exclusively with PPG refinish products. HS Customs painter Cort Sessions gave the car its gleaming finish using PPG’s DELTRON® DBC2000 Basecoat, GLOBAL REFINISH SYSTEM™ D8188 Glamor LV Clearcoat and custom mixes along with other Deltron, VIBRANCE COLLECTION® and ENVIROBASE® High Performance products. “Winning the Battle of the Builders is obviously a huge honor,” said
Miller. “I am humbled, relieved and excited that all our hard work has paid off. And I am grateful for all the wonderful technical support and guidance we received from PPG. Their team of experts made a huge difference.” Cristina Fronzaglia-Murray, PPG manager, marketing communications responded, “We’re as excited as Cam about this win. We’re constantly impressed with what our customers can do using our products. Supporting
Continued from Page 36
started with 250 vehicles entered by elite car and truck customizers. Industry notables David Freiburger, executive producer, TEN: The Enthusiast Network; Fred Williams, editor-atlarge, Petersen’s 4-Wheel & Off Road; and RJ de Vera, customer engagement leader, Meguiar’s, Inc., served as the competition’s judges. The Camaro’s lustrous paint and style caught their eyes as they winnowed the field down to 10 finalists. The finalists then judged each other’s work and voted to determine the winner of the 2016 SEMA Battle of the Builders. The Camaro was no stranger to tough competition. Miller unveiled the car at the Detroit Autorama. It then went on to win Utah’s Finest at the Salt Lake City Autorama, finished in the 2016 SEMA Battle of the Builders winner “Under Pressure” top five for Street Machine Cam and seeing his imagination un- of the Year at the PPG-Goodguys leashed is its own reward. Under Pres- event in Columbus, Ohio, and took sure is an awesome car.” the Builders Choice award at the The Battle of the Builders com- Goodguys event in Loveland, Colo. It petition is open only to vehicles on ex- was also a finalist in the Hot August hibit at the SEMA Show and attracts Nights Cup contest in Reno this sumthe best builders in the country who mer. come to SEMA to display their talent For more information, visit www and creativity. This year’s competition .ppgrefinish.com.
Luther Bloomington Acura Our parts. Your peace of mind.
Animal Art
“My goal is to set up a studio and produce more of them,” Miller said. “Each piece is like a huge puzzle and I never want to force it. I lay out the parts, but I always carefully look at them before I start welding. They take
Miller also creates insects, including this praying mantis made primarily out of old tools
an average of 30 to 40 hours each to complete, so to take it from a hobby to a profession would be a big step.” Monetizing his artwork got a huge boost when Miller was recently See Animal Art, Page 58
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www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 51
GM Looks to Build Ranks of Cadillac Aluminum Repair Network by Tomas Andersson, GM Repair Insights
Memberships in OEM repair networks are hot commodities in today’s collision market. Joining one for many high-end vehicles can prove daunting since spaces typically are limited. Many networks set limits to ensure market share for its select group of members. If that’s cutting into your growth plans, it’s time to look into the Cadillac Aluminum Repair Network. Joining doesn’t require a dealer sponsor. Interested shops need only go to www.genuinegmparts.com, click the For Professionals tab and select Cadillac Aluminum Repair Network. The site contains the Body Shop Participation Agreement, along with a number of other resources describing requirements for the program, including the Network Program Manual, a tools and equipment list, and training and marketing materials. It’s easy to compare to other OEM’s requirements “It also provides a tools and equipment matrix to help shops compare requirements to other
OEMs aluminum repair programs. This makes it easier for shops to determine what, if any, additional investments it will take to join the Cadillac repair network,” says Rachel Rodriguez, GM Wholesale Channel Associate. Like most others, Cadillac’s network requires a dedicated repair area and training. Shops must be either ICAR Gold or VeriFacts VQ and complete the following courses:
● Two Cadillac specific classes— 20W1 GM Body Structural Fastening Systems and 20W2 GM Body Structural Fastening Systems 2.
● Three I-CAR classes—WCA 03 Aluminum Welding, ALI 01 Aluminum – Intensive Vehicle Repairs and APR 01 Aluminum Exterior Panel Repair and Replacement.
Rodriguez says, “depending on the existing resources a shop brings to the table, qualifying for the network can require little more than an audit or a more significant investment in time and equipment/tools, with full certifi-
Axalta Employees Give Back During National Hunger and Homelessness Awareness Week To recognize and help raise awareness for National Hunger and Homelessness Awareness Week, observed November 12-20, 2016, employees from Axalta Coating Systems swapped their laptops for ladles and fulfilled the
tious meals a day, in restaurant fashion, at no cost and with no questions asked, 365 days a year. “We at Emmanuel Dining Room are passionate about helping those in need in our community,” said Dorine Menchhofer, Emmanuel Dining Room Associate Program Director. “We are thankful for the support of donors and volunteers that make an impact every single day.” Employees at Axalta’s North American Headquarters also hosted a non-perishable food drive to collect canned goods for Emmanuel Dining Axalta employees volunteered to serve lunch at the Room’s busy holiday seaMinistry of Caring to recognize National Hunger and son. And employees at its Homelessness week Photo Credit: Axalta Mount Clemens, MichiMinistry of Caring’s lunch service gan plant also held a food benefit for needs at its Emmanuel Dining Room the Panther Pantry at Neil Reid High in Wilmington, Delaware. School in Macomb County, MichiThe Ministry of Caring is a gan. The pantry provides food to stunonprofit organization dedicated to dents and families of the high school supporting those living in poverty in who have an emergency food need. the greater Wilmington area. Its EmTo learn more about the Minmanuel Dining Room helps combat istry of Caring or to donate, visit hunger and serves hundreds of nutri- www.ministryofcaring.org. 52 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
cation usually taking 1-3 months.” She notes too that, “the Cadillac Network differs from similar programs since the auditor actually walks the shop’s aluminum repair technician through the network’s repair steps and processes.” Rodriguez continues, “Cadillac eventually hopes to have 100-150 shops in the network, which currently services a single vehicle, the CT6.” Investing in an OEM certification aimed at a single specialty model might seem like a waste of resources, but repairers like Jerry McNee, owner of Ultimate Collision Repair in Edison, New Jersey, are quick to counter that shops need to look at a larger picture.
A Believer in certification McNee’s business already possessed 12 other OEM certifications when he joined the Cadillac program. Following the shop’s business philosophy, adding one more just made sense. “If we’re going to be the best, we have to do the best work, and that means repairing everything,” says McNee. “Certifications are the way to go
in this business,” he adds. McNee’s shop has been GM certified for two years and added the Cadillac Aluminum Repair Network earlier this year. He believes the rest of the industry will benefit from following a similar path. The collision market increasingly demands shops repair across the automotive spectrum and under a full range of OEM certifications. “You used to see mom and pop hardware stores, but they’ve been replaced by big box stores like Home Depot that sell everything,” McNee explains. “We’re seeing something similar in our industry. It’s simple evolution.” “I’ve been in the industry for 40 years, and if I want to be around another 10-15 years, I have to evolve as well,” he says. In an ever-changing, highly competitive environment, shops need every advantage they can get. The Cadillac Aluminum Repair Network is there to help repairers win the race for survival.
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www.autobodynews.com | JANUARY 2017 AUTOBODY NEWS 53
Axalta Coating Systems Introduces Voltatex® 7145A and Alesta® BK08 20 Gloss
Axalta Coating Systems recently introduced Voltatex® 7145A, a new generation of its THEIC-modified polyester wire enamel series. According to the company, the new product offers improved application on both horizontal and vertical application lines as well as on high-speed enameling machines. Voltatex 7145A is suitable for magnet wires used in everything from electrical motors, pump motors and refrigeration equipment, to transformers and ballasts for fluorescent lamps. “The advanced properties of Voltatex 7145A make a difference for our partners in the magnet wire industry,” said Andreas Vendler, Global Product Manager for Axalta’s Energy Solutions business. “Conductors coated with Voltatex 7145A and polyamide-imide (PAI) added as a top coat combine to provide high thermal stability, excellent mechanical properties, good chemical resistance and a high level of flexibility with outstanding application properties.” The new wire enamel can be applied by both convection and recirculation air ovens and is also formulated for application on dies. It is
approved and listed by Underwriters Laboratories (UL). The company also recently introduced Alesta® BK08 20 Gloss, a new semi-matte powder coating designed to offer an extremely smooth appearance while providing exceptional weatherability on a variety of surfaces.
“Our customers have requested a very smooth, low gloss polyester, which exhibits a consistent appearance and affords excellent abrasion and corrosion resistant properties,” said Craig Dietz, Axalta Market Product Manager. “The addition of this product illustrates our commitment to meeting our customers’ needs.” Additionally, Axalta Coating Systems recently celebrated the sale of its 40,000th spectrophotometer at the Specialty Equipment Market As-
ASA Launches New Career Center
Through a partnership with Auto Care Careers Industry Job Board Network and the Auto Care Association, the Automotive Service Association (ASA) is launching the ASA Career Center to help employers and employees find the right opportunities to fill the growing need for quality technicians in the automotive service and collision repair fields. The ASA Career Center is located at http://careers.asashop.org and will be a unique job board for members of ASA and those seeking employment opportunities in automotive service and collision repair. The resource is free to job seekers. For employers posting job positions, ASA has negotiated some affordable options. ASA’s Career Center gives employers the ability to offer their listings to job seekers nationwide at affordable member pricing, easy online job management, access to résumés and notifications and visibility with a variety of companies. As an introductory special, ASA is offering 25 percent discount off a 30-day job posting for ASA members using discount code ASA25. It is good for unlimited uses from today through Jan. 13, 2017. A single, 30-day job posting (regularly $200) is $150 with the 25 percent discount for ASA members. Employers can use the
ASA Career Center to post jobs online, search for qualified candidates based on specific job criteria and create an online résumé agent to email qualified candidates daily. They also benefit from online reporting that provides job activity statistics. Job seekers can use the new tool as a free service that provides access to employers and jobs. In addition to posting their résumés, job seekers can browse and view available jobs based on their criteria and save those jobs for later review. Job seekers can also create a search agent to provide email notifications of jobs that match their respective criteria. To help them in their search process, job seekers can take advantage of additional resources like assistance with writing résumés and career coaching by certified coaches. “Finding the qualified talent we need is one of the greatest challenges facing the automotive service and collision repair industry,” said Tony Molla, ASA vice president. “This new resource will help shops connect with a job board specifically designed for their needs. It’s a great member benefit for anyone seeking the best and the brightest to help move their business forward.” For more information, visit http:// careers.asashop.org.
54 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
sociation tradeshow in Las Vegas, Nevada. Mike Carr, Axalta President – North America and Michael Gogoel, BYK-Gardner USA President, unveiled a commemorative Acquire™ Plus EFX spectrophotometer painted in Axalta’s North American Automotive Color of the Year 2016 – Brilliant Blue. BYK-Gardner, a global leader in the field of measuring color and appearance and testing physical properties of plastic, coatings and cosmetics, manufactures Axalta’s spectrophotometers. “We’re proud to have worked with Axalta for many years to develop industry leading technologies that create value for Axalta and its customers,” said Gogoel. “By using Axalta color matching solutions, body shops have less rework and higher throughput, and the car owner gets a repair that is a perfect color match. We look forward to continuing our partnership with Axalta, and working together to develop new generations of color matching solutions that continuously improve profitability and customer satisfaction.” For more information, visit www .axalta.us/powder.
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Retro News
insurance regulation does not come with duplicative or layered regulatory requirements.” In letters to the FIO, both Liberty Mutual and the Property Casualty Insurers Association say federal involvement is needed to combat increasingly tough requirements by European governments for financial firms doing business internationally. – As reported in CRASH Network (www.CrashNetwork.com), January 2, 2012. Five years later, within weeks of last November’s election, the National Association of Professional Insurance Agents (PIA) called on the Trump administration and Republicancontrolled Congress to scrap the FIO. “With Congress poised to significantly roll back key provisions of the DoddFrank Wall Street Reform and Consumer Protection Act, we ask that they repeal the FIO,” Jon Gentile, PIA’s vice president of government relations, said. “Doing so would reaffirm that regulation of insurance should continue to be the responsibility of the states.”
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Collision Repair Education Foundation and AkzoNobel Announce Winners of Sustainability Challenge Grant The Collision Repair Education Foundation (CREF), in collaboration with AkzoNobel Vehicle Refinishes North America, has announced the five schools being recognized for efforts to advance sustainability within their respective automotive and collision repair programs. As a result of combined student teams and faculty
cation Foundation’s annual industry reception at SEMA. The recipients include:
Freedom High School (Freedom, WI)
Minot High School-Magic City Campus (Minot, ND)
BASF Completes Acquisition of Chemetall
BASF has completed its acquisition of Albermarle’s global surface treatment business, Chemetall. Through this acquisition, BASF’s Coatings division expands its portfolio to become a more complete solutions provider. According to the company, BASF combines its know-how in chemistry and coatings applications with Chemetall’s market-leading expertise in surface treatment. The combined businesses will benefit from each other’s global infrastructure, scale and market access, driving new growth opportunities by offering an unmatched solutions competence to customers. “We are extending a warm welcome to our new colleagues,” said Markus Kamieth, president of BASF’s Coatings division. “The acquisition of Chemetall allows us to significantly expand our market. By combining the expertise and innovation power of two global market leaders, we will accelerate innovation and make our customers even more successful.” Chemetall develops and manufactures customized technology and system solutions for surface treatment. Their products protect metals from corrosion, facilitate forming and machining, allow parts to be optimally prepared for the painting process and ensure coating The proper source foradhesion. timely
applaud AkzoNobel for involving the students and schools in such an important topic.” The program, initiated by AkzoNobel in an effort to support one of the core principles of the global
Norwalk High School (Norwalk, CA)
Steel Center AVTS (Jefferson Hills, PA)
derived submittals, each school will receive funds from the Sustainability Education Challenge Grant to implement their proposals and report on the success of their project. Schools from around the country submitted applications for this grant. Applications were evaluated by the Collision Repair Education Foundation Selection Committee on the ability to expand awareness of sustainability, advance continuous improvement, and create a positive impact within the local community. The recipients were announced at the Collision Repair Edu-
Thomas Edison CTE High School (Jamaica, NY)
Clark Plucinski, executive director of the Collision Repair Education Foundation, stated, “We are very proud to partner for the third year with AkzoNobel on the Sustainability Challenge Grant. Students—who will be the future of the collision industry—need to be informed and engaged on the topic of sustainability. While they are still in school is the best time to start the conversation, as it will be an important one for the industry and for the entire planet. We
corporation, was introduced in 2014. According to the company, the goal was to create awareness and educate students—with intentions of seeking careers within the collision repair industry—on the growing global imperative of sustainability and its ability to make a positive impact in all facets of life today and, more importantly, for the future.
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U.S. House Subcommittees Hold Hearing on Connected Devices On Nov. 16, the U.S. House Committee on Energy and Commerce’s Subcommittee on Communications and Technology, along with the Subcommittee on Commerce, Manufacturing and Trade held a joint hearing titled, “Understanding the Role of Connected Devices in Recent Cyber Attacks.” The hearing addressed the distributed denial-of-service cyberattack that occurred Oct. 21 and continued the Committee’s series on emerging technologies. Witnesses included: -Dale Drew, senior vice president, chief security officer, Level 3 Communications
-Kevin Fu, CEO, Virta Labs, and associate professor, Department of Electrical Engineering and Computer Science, University of Michigan -Bruce Schneier, adjunct lecturer, Kennedy School of Government, Harvard University, and Fellow
During the hearing, members and witnesses alike discussed the opportunities and threats posed by connected devices. Schneier reminded the com-
mittee that the term “computer security” now equates to “everything security.” He also warned against the inclination of issuing one-size-fitsall legislation. Schneier said, “If we want to secure our increasingly computerized and connected world, we need more government involvement in the security of the ‘Internet of Things’ and increased regulation of what are now critical and life-threatening technologies. It’s no longer a question of if, it’s a question of when. The Internet now affects the world in a direct physical manner. The Internet of Things is bringing computerization and connectivity to many tens of millions of devices worldwide. We are connecting cars, drones, medical devices and home thermostats. What was once benign is now dangerous.” Rep. Anna Eshoo, D-Calif.— ranking member of the Communications and Technology Subcommittee—agreed with Schneier and said, “The Internet of Things offers great potential for innovation, but recent attacks raise troubling questions about the security of Internet-enabled devices and their potential to be used as weapons by cyber attackers.” Eshoo also suggested incorporating cybersecurity guidance into
PartsTrader® and Fix Auto USA Agree on Parts Sourcing and Ordering
Fix Auto USA has signed an agreement for PartsTrader to be a recommended partner. PartsTrader’s platform will now be leveraged by Fix Auto’s independently owned and operated body shops for the direct benefit of their insurance carrier and vehicle owner customers. “Collision repair facilities using the PartsTrader platform to search and compare for parts within their mar-
ketplace can access more competitive quotes and significantly reduce their return rates,” said PartsTrader CEO Rob Cooper. “Fix Auto owner-operators will not only gain margin on parts purchases, benefit from accurate parts shipments, and improve their shop’s bottom line, they’ll be able to deliver increased value to their insurance partners by reducing cycle time, improving severity, and ultimately delivering a better experience to vehicle owner customers.” According to the company, with
increasing utilization of the Parts Trader platform, Fix Auto will begin to see greater efficiencies emerge as the workflow is standardized across the network. Fix Auto locations will gain access to PartsTrader’s supplier network as well as data analytics based on actual quotes and orders in a body shop’s specific market. This information is updated each time a parts-related transaction occurs and can be used by members as factual documentation to support purchases. “Entering into a partnership with PartsTrader is exciting since it allows our Franchise Locations continued operational improvements and our customers the opportunity to realize these efficiencies,” said Fix Auto president and COO Paul Gange. “Fix Auto is committed to help members succeed by making available to them the best possible tools and the PartsTrader suite stands as the latest example of that commitment.” For more information, visit partstrader.us.com. or www.fixauto usa.com.
56 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
national infrastructure legislation. Despite differing opinions on the methodology, members from both parties agreed that the security of connected devices must remain a priority. Members and witnesses were largely in agreement about the need for targeted security regulation. However, Republican members of the subcommittees stopped short of endorsing a new, dedicated agency. The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry. For more information, visit www .ASAshop.org or visit ASA’s legislative website at www.TakingTheHill .com.
Continued from Page 27
Hard Work & Passion
enjoy coming to work. When you work hard for your employees and care, they work hard for you and your customers as well. I can’t say enough about how grateful I am to have the employees we have. They make me enjoy coming to work every day, and I hope I do the same for them. If it wasn’t for them being a part of the family and caring personally about our product and our customers, our growth would not be possible.
For more information, visit http://www .tomandedsautobody.com/ or email Andy Tylka, general manager, atylka@ tomandeds.com.
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and fulfillment solution will allow Hyundai’s network of dealers to access competitive pricing on eligible OE parts and expand their market penetration in the U.S. By the end of the first quarter, 2017, Hyundai dealers will have access to the Hyundai Go Genuine Collision Conquest programSeen via CollisionLink. Be by Our Readers! “We are excited to bring HyunCALL Advertising Saleswith at: the dai on board and to assist Hyundai Go Genuine Collision Conquest program,” said Bill Lopez, OEC vice president & general manadvertising@autobodynews.com ager, Collision. “With our CollisionLink solution, Hyundai dealers can www.autobodynews.com compete more effectively and in-
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Young Auto Care Network Group (YANG) Membership Surpasses 1,000 The Young Auto Care Network Group (YANG) of the Auto Care Association announced that its membership has surpassed 1,000, surging since the group’s inception in early 2014.
“Growing the Young Auto Care Network Group to 1,000 members during 2016 was one of my goals as chair of YANG, and I could not be more proud to see it come to fruition,” said Alena Van Cleave, chair, YANG, A & Jay Automotive, Inc. “This milestone could not have been accomplished without the support of our valued sponsors as well as our tremendous staff and volunteer leaders.” YANG continues to offer industry professionals under the age of 40 opportunities to grow through webinars, educational conferences and in-
dustry-wide networking events. The group completed another round of successful events at AAPEX 2016 and continues to evolve its member offerings. “Hitting 1,000 members in less than two years is an amazing achievement that speaks directly to the energy and enthusiasm of our young executives,” said Bill Hanvey, president and CEO, Auto Care Association. “Our next generation of leaders wants to learn, to be heard and to contribute directly to the long-term success of our amazing industry. We could not be prouder of the staff and volunteers who were responsible for achieving this tremendous goal.” “Going into 2017, I am confident our membership will continue to experience the value of YANG through participation in our Regional MeetUps, annual Leadership Conference and Young Professionals Program during AAPEX 2017,” said Van Cleave. “This is only the beginning; YANG has a long and extremely promising road ahead of it.” Throughout 2017, YANG will
continue running its educational webinar series and expand its Regional Meet-Up program. YANG will also offer the YANG Leadership Conference on May 5-6, 2017 in San Antonio, Texas, in conjunction with the Auto Care Association’s Spring Leadership Days. This conference is a collaborative learning event designed for young industry professionals under the age of 40. It provides a forum to enhance leadership skills, sharpen global perspective of the auto care industry and develop new relationships withwww.autobodynews.com peers. Registration will open in January 2017.
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“Because each state has a different mix of insurers, the Report Card allows repairers to grade insurers specific to their state,” Yoswick said. “To my knowledge, that makes this different than anything done before on a national basis. We will be collecting data on more than 120 different insurers across the country, not just the usual ‘Top 10.’ We want consumers to know, for example, if some smaller, regional insurer that may not run ads on TV constantly is really great at taking care of its customers so that drivers may consider that at renewal time.” The “Insurer Report Card,” open only to collision repairers, can be completed in as little as three minutes (though shops also have an opportunity to spend additional time to explain why they gave each insurer the grade they did), and all individual shop identification information will remain confidential. Shops that complete the Report Card and provide optional contact information will be sent results at no charge once they are compiled. Shops can click here (www.Crash Network.com/irc) to grade the insurers. For more information about the weekly CRASH Network bulletin, visit www.CrashNetwork.com.
58 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
Animal Art
hired by Pro Bass Shops at their headquarters in Springfield, MO as a metal technician to build retail displays and other metal items for the company’s 90 North American locations. It’s a dream job, and soon his fish sculptures will likely play a role in his new job, he said. “I fabricate things like retail racks, special railings and I am also doing a series of more realisticlooking fish for Pro Bass Shops. They hired The me insource September, I am still forsotimely learning and growing in this position.” information that every With his new career as an artist body shop needs! and a metal technician for Pro Bass Shops, does that mean collision repair CALL 800-699-8251 is now in Miller’s rear view mirror? “Absolutely,” he said. “I never have to do collision repair ever again, unless I want Mail to. Yes, ISubscription still have deadlines in this job, but they’re not as crazy as the ones I encountered in the body shops I have worked for. I want to use my creativity now in different ways. In collision repair, you return cars back to their previous condition,Register but in this role, I am creating things from scratch, and that is why I love it!”
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CRASH Network Launches “Insurer Report Card”
Collision repair professionals now have a unique opportunity to grade the performance of the insurance companies in their state with the launch of CRASH Network’s “Insurer Report Card.” “Insurer rankings based on surveys of consumers offer one, somewhat limited perspective on those companies’ performances,” John Yoswick of CRASH Network said. “Those consumers on average have an auto claim once a decade. But shop owners, managers and estimators interact with these companies every day. No one else is in a better position to know which insurers demonstrate an understanding of, and commitment to, quality repair for their customers. We think consumers should know that, too.” The “Insurer Report Card” gives collision repairers the ability to share their unique insight by grading each insurer based on how well those carriers’ policies and practices ensure quality repairs and customer service. By giving the insurers a grade from “A+” to an “F,” shops can help CRASH Network bring this information to consumers so they know which insurers will treat them the best—and which may have some room for improvement—when they have a claim.
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National Auto Body Council Awards Recognize Individuals Who Exemplify Professionalism and Integrity of Collision Industry Three industry professionals whose exemplary efforts and actions in 2016 best illustrate the vision and mission of the National Auto Body Council (NABC) were recognized recently at SEMA with the organization’s prestigious Award of Distinction, Body Shop Image Award, and Excellence in Community Service Award. According to the Council, the goal of the NABC awards is to recognize auto body shops and individuals that exemplify the professionalism and integrity of the collision industry. ● The Award of Distinction, presented to Gerald Wicklund of CARSTAR Wicklunds Collision in Liberty, Missouri, celebrates selfless acts by collision industry professionals that benefit others in their communities. Wickland has spent his entire life in collision repair and dedicated much of his time giving back to both the industry and his community. For the past 10 years, he has hosted an annual Military Appreciation Celebration, an extravaganza which includes dinner and a complete USO-style show. More than 130 veterans, active duty service members, law enforcement and first responders attended this year’s event, which also raised donations for Honor
Flight, a non-profit organization that honors America’s veterans by transporting them to Washington DC to visit and reflect at their memorials. ● The Body Shop Image Award, presented to CARSTAR Macon in Georgia, highlights facilities that have had a beneficial impact on their communities through building and design improvements.
In May, CARSTAR Macon moved into a new state-of-the-art facility and rebranded its business. Formerly known as CARSTAR Preferred Collision, shop owner Walter Lee upgraded from an 8,500 sq. ft. facility to a modern 23,000 sq. ft. building that showcases the sophistication of today’s body shops. The shop features a larger, up-to-date production area and convenient, spacious reception area while retaining the shop’s warm, welcoming feel. ● The Excellence in Community Service Award, presented to Kathy Mello of TGIF Body Inc. in Fremont,
California, recognizes outstanding charitable efforts and volunteerism. Mello’s past and current volunteerism includes mentoring at-risk youth and disabled adults at Kainos Home Training Center and Bridges Intervention Services, serving on the boards of the Alameda County Work Investment as a volunteer in one of the business seats and the Regional Occupational Centers in Mission Valley, Eden & Alameda College. Her volunteerism extends in to the collision repair industry, serving on the Boards of WIN, the California Autobody Association, East Bay Chapter of the California Autobody Association and as a founding member of the Assured Performance Co-op Board. “Each of these award winners have made a positive impact in our collision industry and in their communities,” said Marie Peevy, NABC Awards Chair. “It was an honor to recognize this elite group of industry leaders who embody the spirit and ideals of each of NABC’s awards categories. Their efforts are wonderful examples of how our auto body shops and collision industry professionals are making a positive difference in local communities across the country.”
FinishMaster Acquires Autobody Supply Co., Adding Nine Locations in Ohio
FinishMaster, Inc., a subsidiary of Uni-Select Inc., has announced that it has completed the acquisition of substantially all of the assets of Autobody Supply Company, Inc. This acquisition increases FinishMaster’s footprint with the addition of 9 locations in central and southwestern OH, including Columbus, a top 30 US metropolitan area. Since its founding in 1959, ABS has been a family-owned business focused on discovering the needs of body shops through partnership and open dialogue. ABS provides comprehensive solutions for their customers including products, services, and full support of equipment sales, maintenance, installation, and repair. “We are excited to welcome more than 60 new team members who share our value of partnership and unparalleled service,” stated Steve Arndt, president and chief operating officer of FinishMaster. “Together, we will continue to support our customers by generating outstanding value through innovative solutions.” “In addition to bringing further expertise and knowledge to our growing team, this acquisition expands our coverage in order to better serve customers in a key Ohio market,” added Henry Buckley, president and chief executive officer of Uni-Select.
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Crashmax Takes Home 2nd Consecutive Sales Leader Award
Crashmax was named VSG Collision Sales Leader for the second consecutive year at Chief’s annual distributor meeting on Oct. 31 in Las Vegas. Interstate Marketing was recognized for
Chief distributor Crashmax has earned the VSG Collision Sales Leader Award for the second year in a row. Accepting the award at Chief’s annual distributor meeting on Oct. 31 were Gary and Ann Schaberg. From left to right, John Cardell, Chief Eastern Division sales manager, Gary Schaberg, Ann Schaberg, and Mike Cranfill, vice president of global collision and new business development for Vehicle Service Group (VSG)
the highest percentage sales growth from 2014 to 2015. Professional Collision Equipment, serving New Mexico and Texas, was honored with the Exciting Newbie award. “Chief distributors are our front line, providing our customers with
the products, service, training and support they need to properly repair collision-damaged vehicles every day,” said Lee Daugherty, director of North America collision sales for Chief parent company Vehicle Service Group (VSG). “We’re very proud of our unmatched network of collision industry professionals, and honored to recognize some of our top performers.” The awards are based on full-year 2015 sales results.
2015 Sales Leader 1. Crashmax (serving Delaware, Maryland, New Jersey, Pennsylvania and Virginia) 2. Advanced Equipment (serving Alabama, Georgia and Florida) 3. Collision Tools (serving New England)
Highest Percentage Sales Growth 2014 to 2015 1. Interstate Marketing (serving Kentucky, North Carolina, South Carolina and Tennessee) 2. Advanced Equipment 3. Crashmax
Chief also recognized Walter Wiezorek of Walter Equipment for his 35 years of service and leadership in the industry.
Collision Repair Education Foundation Requests Year-End Product Donations, Safety Kit Sponsorship
The Collision Repair Education Foundation is requesting year-end in-kind donations of products, tools, equipment and spare parts that will be distributed to high school and college collision school programs. These taxdeductible donations will provide a great start to the spring school semesters during a time when instructors are facing limited program budgets and expected to graduate well-trained and productive entry-level staff for industry employment. Another year-end opportunity for support includes companies sponsoring student safety kits for local high school and college collision programs. For $50 per student, each safety kit includes a Cintas work shirt, work pants, safety glasses, ear plugs, and a disposable dust mask. Companies that sponsor at least (10) safety kits will have their corporate logo added to the work shirts, that the students would proudly wear around the school and local community. The Collision Repair Education Foundation would arrange a time for the sponsoring companies to present the safety kits to the local collision school students when they begin their spring school semester after the New Year.
Collision Repair Education Foundation director of development Brandon Eckenrode noted, “The holidays would come early to collision school instructors with local industry companies donating products, tools, equipment, and spare parts for their programs. Also, we have heard that the student safety kits transformed both the professional appearance and attitudes of the collision students as they look and feel like working professionals within the industry. Plus, as companies can sponsor these safety kits for collision school programs near them, they can directly see how their support is making a difference and can personally hand these kits out to the students at the beginning of the spring semester. We invite the industry to help the Education Foundation end the year on a strong note and getting in contact with us on either of these two year-end opportunities.” Industry members interested in making year-end product donations and/or sponsoring collision student safety kits for local high school and college collision school programs should contact Eckenrode at Brandon .Eckenrode@ed-foundation.org or 847463-5244.
60 JANUARY 2017 AUTOBODY NEWS | www.autobodynews.com
CAPA Introduces CAPA 701 Mirror Standard
The Certified Automotive Parts Association has announced that its Technical Committee has approved the CAPA 701 Standard for the certification of aftermarket exterior mirrors and mirror components. This Standard specifies the certification requirements for passenger
Technical Consulting, Inc. and Vice Chair Nick Scheid of LNS & Associates. The Committee, responsible for CAPA’s Standard Development and approval, includes collision repairers, insurers, part distributors, manufacturers, and other industry experts.
and driver side mirror assemblies, mirror glass, mirror housings and covers. The CAPA 701 Standard specifications include compliance to applicable sections of Federal Motor Vehicle Safety Standard No. 111, Rear Visibility as well as requirements for performance testing, material composition, dimensions, appearance, function, construction and retaining features, and Vehicle Test Fit (VTF). The CAPA 701 Standard was approved this month by a vote of CAPA’s Technical Committee, led by Chair Rod Enlow of RENlow Auto
“Ensuring that all aspects of the collision repair industry has input into CAPA’s Standards, this comprehensive assembly of industry experts demonstrates CAPA’s industry-inclusive and fully public nature,” said Debbie Klouser, CAPA’s Director of Operations.
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GAAS, University of the Aftermarket Foundation Unite
Representatives from the Global Automotive Aftermarket Symposium, Inc. (GAAS) and the University of the Aftermarket Foundation have worked closely to bring the two organizations together. GAAS will dis-
solve as a non-profit organization and donate its net assets to the Foundation. An official confirmation vote was held during the recent University of the Aftermarket Foundation annual board of trustees meeting. Established with the support of Mort Schwartz, MAAP and the late Jack Creamer, GAAS was formed to raise funds for aftermarket scholarships and educational initiatives and thrived under the leadership of Schwartz, David Caracci, MAAP and Dennis Welvaert, MAAP. Due
to an ever more crowded industry events calendar, leadership of the longstanding organization decided to stop holding its annual symposium in 2015 and focused its attention on Automotive Central, its scholarship program led by industry veteran Pete Kornafel, MAAP. Kornafel will continue to administer the scholarship program as chairman of the University of the Aftermarket Foundation education and scholarship committee. “Because GAAS and the University of the Aftermarket Foundation share a similar mission, and the foundation has been the largest source of funds for aftermarket scholarships, it only made sense to join forces to achieve a common goal,” said Tim Lee, MAAP, chairman of the University of the Aftermarket Foundation. “By donating its net assets to the University of Aftermarket Foundation, the proud legacy of GAAS will continue on. We thank Mort, Dave and Denny for 20 successful years of leadership and applaud Jack and Mort for their vision. Together, we begin the next chapter of their mission.” For more information, visit www.UofAFoundation.com.
Autologic Enters into Licensing Agreement with Volvo for Diagnostic Data Autologic Diagnostics, the provider of the world’s first and only fully integrated cloud-connected vehicle diagnostic support solution, has announced that it has entered into a licensing agreement with Volvo Car Corporation. Under the agreement, Autologic will have direct access to Volvo diagnostic data and technical information, enabling the provision of a comprehensive repair and maintenance on models from 2000 to current year to date through Autologic’s Assist cloudbased, fully integrated diagnostic solution. The licensing agreement, which covers the United Kingdom, North America, Canada, and the European Economic Area (EEA), will provide customers within these territories the benefit of receiving guaranteed genuine Volvo data, thus ensuring improved aftermarket continuity of safe, accurate and effective repairs. According to the company, Autologic Assist’s suite of capabilities uses state-of-art technology to combine a superior diagnostic (AssistPlus) device with real-time access to
its award-winning Fault 2 Fix Team of dealer-trained Master Technicians providing vehicle diagnostic support. Autologic Assist simultaneously integrates expert knowledge and service, innovative software and a multi-faceted touch screen device, helping ensure that vehicle issues are diagnosed correctly the first time. “The arrival of Volvo data coincides with the adoption of our new centralized Autologic knowledge database (ADX), which has been developed specifically to secure VM licensed data and repair and maintenance information (RMI),” explained Mark Stamp, Autologic chief technology officer. “The licensed Volvo package will be available in January 2017 for customers to download directly to their AssistPlus device, ensuring that independent repair shops gain access to the latest validated information as provided to dealers. The Volvo data will feature heavily in the new customer journey, on a seamless route to gain accurate, secure, and safe diagnostic information, with access to our award-winning Fault 2 Fix Team pro-
viding Vehicle Diagnostic Support.” The new agreement displays a significant investment by Autologic as it moves towards developing stronger direct relationships with vehicle manufacturers for the provision of genuine data. Jeremy Fry, Autologic chief executive officer, added, “As the only provider of a cloud-based, vehicle-connected, fault-to fix-solution, we have been vocal in advising the aftermarket sector of the momentous changes and challenges ahead, based on, among other industry influences, the Right to Repair Act, which requires vehicle manufacturers to provide the same information to independent repair shops as they do for dealers. The considerable investment in licensed data, by Autologic, accentuates our strategy for ensuring aftermarket repair shops can, through Autologic, easily access accurate data and expert vehicle diagnostic support, so that ultimately, they can find faults and fix cars faster. The Volvo agreement further cements our pioneering vision for aftermarket diagnostics.” For more information, visit www .autologic.com.
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CARSTAR Launches Redesigned Website at CARSTAR.com
CARSTAR Auto Body Repair Experts has announced the launch of the newlyredesigned CARSTAR.com. According to the company, the new site has a sleek and simplified layout to provide customers with an easier browsing experience from their laptop, tablet or cell phone. “When today’s consumers need collision repair service, they want it at their fingertips,” said Michael Macaluso, president of CARSTAR North America. “We have seen our website traffic evolve to a more and more mobile customer, and we have redesigned CARSTAR.com to provide a simplified, dynamic site that can deliver accident assistance whenever and wherever they need it.” One of the biggest changes consumers will notice is CARSTAR.com is now a responsive website that is user friendly on all on all devices – desktops, tablets and phones. With 50 percent of the site’s users coming from mobile devices, consumers are now able to utilize all of the capabilities on CARSTAR.com from their computer or their phone. The site will now reformat itself for easy viewing and navigation based on screen size without compromising the site’s integrity. For more information, visit www.CARSTAR.com.
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Sherwin-Williams Automotive Finishes 2017 First Quarter Training Schedule Announced
Sherwin-Williams Automotive Finishes has announced its first quarter training schedule starting January 23, 2017 through March 20, 2017 to be held at its training centers across the country.
According to the company, these training sessions provide participants with the skills needed to succeed in the automotive collision repair industry. Shop owners, managers and painters will learn through a combination of classroom, web and hands-on training settings. The following courses will be offered during the first quarter of 2017: ● Painter Certification
● Color Adjustment and Blending
● AWX Performance Plus™ Waterborne Refinish System Painter Certification
● Ultra 7000® Refinish System Painter Certification
“As a shop owner, you want to be the source where customers come for expert and timely repairs, while still maximizing profitability by getting vehicles through the facility in a highly efficient manner,” said Rod
of any shop. That’s why we offer courses for owners and their employees to gain the additional knowledge required to be successful in this everchanging industry.” Further details regarding the 2017 first quarter schedule for training centers, dates, specific course descriptions and locations, are listed below:
Sherwin-Williams Automotive Finishes 2017 First Quarter Training Schedule
Habel, Sherwin-Williams Automotive Finishes Director of Training Operations. “Sherwin-Williams understands that it takes more than just great paint to maximize the potential
For more information about Sherwin-Williams Automotive Finishes courses, visit www.sherwin-automotive .com/refinish/training-support/ or call 1-800-SWULTRA (1-800-798-5872).
Auto Parts Maker Transtar Files for Chapter 11 Bankruptcy Auto parts maker Transtar Holding Co. filed for bankruptcy after reaching a deal with its senior lenders to swap their debt for ownership of the company. The company filed for chapter 11 protection in U.S. Bankruptcy Court in New York with a “prepackaged” chapter 11 plan after garnering support from its creditors to support the restructuring proposal. Such preapproved plans are becoming increasingly popular with companies and investors who want to minimize the time and expense of chapter 11 balance sheet restructuring. The plan calls for the senior lenders, led by Silver Point Capital, to swap about $425 million in debt for 100% of the equity in the reorganized company. Joseph Santangelo, Transtar’s chief financial officer, blamed the company’s chapter 11 filing on the “higher than anticipated difficulty” of integrating its newly-acquired ETX’s business, an aftermarket transmission parts maker, into the company.
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WIN Announces 2017 Educational Conference Location CHECK IT OUT!
The Right Parts. A Perfect Fit.
The Women’s Industry Network has announced that the 2017 Educational Conference is scheduled to take place in Denver, CO Monday, May 8th through Wednesday, May 10th, 2017.
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The Westin Denver Downtown hotel has been selected to host the event. Located in the vibrant LoDo District, the venue will provide plenty of opportunities for attendees to experience many offerings of the Mile-High City. “Last year, we enjoyed our highest number of attendees at the conference,” stated Wendy Rogers, Co-Chair of the Conference Planning Committee. “With this exciting venue in Denver, we hope to exceed that number.” In addition to the professional development programming, the Educational Conference will once again feature the Most Influential Women (MIW) and scholarship awards as part of the celebratory
gala dinner, as well as the Annual Scholarship Walk fundraiser. Program specifics will be published as they become available. “The 2017 WIN Educational Conference marks the 11th year of successful collaborations among To advertise WIN volunteers, members and sponcall Advertising Sales who at: sors,” stated Petra Schroeder, serves as WIN’s Chair. “Our goal is 800-699-8251 always to provide the WIN membership and thee-mail: collision industry a advertising@autobodynews.com highly professional educational experience centered on professional www.autobodynews.com networking, advancing business acumen and growing collision industry connections. It’s exciting to see the plans underway by WIN member volunteers to deliver quality conference content, honor women in the industry, and connect WIN members.” For more information about the CALL Advertising Salesand at: Conference, MIW nominations scholarship applications, visit www .womensindustrynetwork.com.
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