November 2016 Northeastern Edition

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Shops Nationwide Need To Understand Federal Overtime Change Slated For December 1

those at the federal level.

But speaking at CIC in Anaheim, Calif., this past summer, King said Important changes being made to federal overtime regulations are likely to even California shops must be aware of what a federal overtime require significant changes for change could mean for some some body shop employee of their employee pay plans. pay plans, according to busiThe change made by the ness attorney Cory King.

U.S. Department of Labor afKing, a California attorfects the salary thresholds ney who regularly addresses that must be met in order for such issues at the Collision some “white-collar” workers Industry Conference (CIC), Attorney Cory King to be exempt from overtime. often prefaces his presentations with the caveat that the changes King said the so-called “executive exwon’t impact California shops be- emption” is most commonly used by cause many state wage-hour laws shops for salaried managers.

See Federal Overtime, Page 50 there are already more stringent than

by John Yoswick

OSHA Launches New Whistleblower Pilot Program

for a whistleblower’s case to move to the administrative law judge on an expedited basis, the following criteria must be met:

● The claim is filed under a statute that allows for the administrative law judge to newly review, or review de See OSHA Whistleblower, Page 29

P.O. BOX 1516, CARLSBAD, CA 92018

Meeting Criteria to Expedite In announcing the program, OSHA acknowledged that the investigation

process can be lengthy and therefore wants to facilitate complaints receiving a quicker determination, if possible, by electing to expedite. In order

Change Service Requested

OSHA has launched a new pilot program, titled “Expedited Case Processing Pilot,” in its Western region, which covers California, Nevada, Arizona, Hawaii, American Samoa, the Northern Mariana Islands, and Guam. The new program allows a whistleblower who has filed a complaint to ask OSHA to stop its investigation and issue findings in an expedited fashion that can be reviewed by a Department of Labor (DOL) administrative law judge. Here is OSHA’s press release describing the program.

VOL. 7 ISSUE 8 NOVEMBER 2016

The Alliance of Automotive Service Providers of Pennsylvania (AASP-PA) Organizational Changes The Alliance of Automotive Service Providers of Pennsylvania (AASPPA) recently announced organizational changes that will take effect on October 1, 2016: ● Jeff Walter, current Executive Director, will be stepping down and returning to his family business in the private sector. ● Amanda Henry, current Assistant Executive Director and Advertising & Marketing Director will be promoted to Executive Director. ● Ken Seal, current Field Director for the Central and Eastern portion of the state, and will assume the role of Assistant Executive Director.

Jeff Walter has held a leadership role within the association for many years, beginning with a volunteer position. In 2013, he joined the staff as Executive Director upon the retirement of Jerry Schantz. While Walter

will no longer be in the AASP-PA office on a daily basis, he has committed to continuing to work with the association as a consultant with issues related to the Safety Inspection Program. He will continue to represent and be an advocate for our members. “While I am saddened to see Jeff leave the association, I am grateful he has agreed to stay on with us as a consultant,” said Amanda Henry.

Prior to the promotion of Executive Director, Henry served as the Assistant Executive Director, as well as, the Advertising and Marketing Director. Included in her new duties, Henry will continue publishing the bi-monthly magazine and handling any other media/communications necessary for the association. Henry shared that, “I am honored and enthusiastic to lead AASP-PA through

Alcoa has announced a breakthrough in resistance spot riveting called the RSR™ joining system, a high-performance joining solution for multi-material vehicles. RSR technology can join dissimilar materials using the same equipment as conventional spot welds but offers automakers the flexibility to switch between it and conventional welds, depending on the material.

This RSR resistance spot riveting technology solves long-time automotive challenge of joining dissimilar materials, according to the company. ● The RSR joining system allows for the flexible joining of various combinations of automotive material and results in joints that are 10-20% stronger than joints utilizing competing technologies ● Automakers can utilize Alcoa’s RSR technology with existing spot welding equipment and robotic automation,

saving capital expense, minimizing production interruption and providing greater flexibility in deploying a variety of materials in their vehicles ● Alcoa engineers are working with Honda R & D Americas, Inc, in DOE project to demonstrate the use of RSR joining on a prototype scale “Our RSR technology is going to be a powerful tool in the array of joining options for the automotive industry,” said Ray Kilmer, Alcoa’s Chief Technology Officer and Executive Vice President. “As automakers continue to design vehicles using multi- material combinations, RSR technology is the ideal joining solution. It can easily accommodate stack up changes on the assembly line and it leverages existing welding robots outfitted with our automatic feeding systems.”

Alcoa recently received a grant

See AASP-PA, Page 51

Alcoa Unveils Breakthrough RSR™ Joining System For Next Generation Lightweight Vehicles

See RSR Technology, Page 24

Presorted Standard US Postage PAID San Bernardino, CA Permit #2244

2 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

REGIONAL

Buckingham, PA, Zoning Board Hears Wawa’s

Pitch to Move into Former Body Shop. . . . . 6

LIABRA’s 15th Annual Golf Tournament

Attracted Over 100 Attendees . . . . . . . . . . 14

Third-Party Requirement, OK’s No Human

Driver. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Class Action Complaint against Ford Motor Co. over Spontaneously Exploding, Panoramic

Sunroofs . . . . . . . . . . . . . . . . . . . . . . . . . 37

Mike Parker Gets Paid for Actual Repair

Collision Repair Education Foundation Receives

NY Body Shop Hosts Scooter Giveaway

Consultant Tells East Bay CAA “The Rest of

Phillips - Mohawk Collision’s New Collision

Cover Story Update: House Votes to

“Fixed What Was Broken” and Built a

Feds Want Pre-Approval of Safety of

Contest . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Facility in the NY Capital Region Has

Solid Business . . . . . . . . . . . . . . . . . . . . . 26

She’s Driven: Shawsheen Tech Senior Has

Dream Co-Op and a Clear Vision. . . . . . . . 18

Snapshot: Troy Vehicle Donation. . . . . . . . . . . 6 The Alliance of Automotive Service Providers of Pennsylvania (AASP-PA) Organizational

Changes. . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Town Welcomes O’Reilly Auto Parts at

new Hartford Avenue Location . . . . . . . . . 11

Highest Rating From Charity Navigator . . . 21

the Story” Behind Paint Material Shortfalls . 22

Delay OT Rule . . . . . . . . . . . . . . . . . . . . . . 3 Self-Driving Cars . . . . . . . . . . . . . . . . . . . 54

Florida’s No-Fault Insurance Reforms Finally Appear to be Lowering Premiums as

2012 Reforms Kick-in . . . . . . . . . . . . . . . 60

Killer Tools Gives SEMA Preview, Discusses

Future of Collision Repair Products . . . . . . 78

Latest ‘Who Pays for What’ Survey on Aluminum Repair, Shop Supplies

Underway . . . . . . . . . . . . . . . . . . . . . . . . 44

Two Firefighters Injured at Suffolk Cty

Many Steps Add to Huge Productivity Gains . 74

COLUMNISTS

Mike Causey’s Campaign for NC Insurance

Shop Fire . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Attanasio - A Second-Generation Female

Shop Owner Fights the Odds and Wins . . . 12

Attanasio - Northern California Body Shop

Paints Huge Coffee Cup for Major Artist . . 68

Attanasio - Signs, Signs–Everywhere are

Signs. So How Do You Stand Out? . . . . . . 76

Luehr - The Art of Business . . . . . . . . . . . . . 62 Luehr - The Simple Rule on Pre-ordering

Parts . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30

Phillips - Bodyshop Revolution Expands

to United States with Unique Technology

& Processes . . . . . . . . . . . . . . . . . . . . . . 46

Phillips - Chicago Body Shop Aims to Redefine the Collision Repair

Mercury Names the Safest and Most

Affordable Cars to Insure for Teens . . . . . . 24 Commissioner Gets Support from

Collision Repair Professionals. . . . . . . . . . 64

Mitchell Partners with Tractable to Bring Artificial Intelligence to Insurance

Claims for the First Time. . . . . . . . . . . . . . . 8

NHTSA Probes Airbag Deployments on

Nissan Versa . . . . . . . . . . . . . . . . . . . . . . 11

Older Adults No Slower Than Young Adults at Taking Control of Semi-Autonomous

Vehicles . . . . . . . . . . . . . . . . . . . . . . . . . . 80

OSHA Launches New Whistleblower

Pilot Program . . . . . . . . . . . . . . . . . . . . . . . 1

PCI Says CFA Insurance Rating Study

is Flawed . . . . . . . . . . . . . . . . . . . . . . . . . 52

Experience for Customers. . . . . . . . . . . . . 48

Portland, OR, Body Shop Owner Becomes

Customer Retention, Suggestions for

Pro Spot Distributor Sponsors Inaugural

Yoswick - Retro News: Infant Deaths in 96,

DRPs, OEM Procedures . . . . . . . . . . . . . . 58 NATIONAL

A Second-Generation Female Shop Owner

Fights the Odds and Wins . . . . . . . . . . . . . 70

After Matthew, Insurance Claims Pour In and

Homeless Advocate . . . . . . . . . . . . . . . . . 40 Golf Tournament. . . . . . . . . . . . . . . . . . . . . 6

Robert “Paul” Hulsebusch Passes Away

in Texas, Age 50. . . . . . . . . . . . . . . . . . . . 16

SCRS Announces Panelists for OEM Collision Repair Technology Summit Session

on Scanning . . . . . . . . . . . . . . . . . . . . . . 72

Some Policyholders Realize Hard Truth . . . 12

Service King Breaks Recycled Rides

System For Next Generation Lightweight

Shops Nationwide Need To Understand Federal

Alcoa Unveils Breakthrough RSR™ Joining

Vehicles . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Donation Record . . . . . . . . . . . . . . . . . . . 80

Overtime Change Slated For December 1st. . 1

ARA President and CEO Attended Three

Study: Consumers Want Option to Control

Automotive Recyclers Admonishes General

Symach’s Innovative FixLine System Increases

CAA Meeting Hosts Gary Ledoux from

UTI Houston Graduate Shares Her Challenges

CAA Supports Changes to Anti-Steering and

Valspar Automotive Hosts Gas Monkey

Affiliate Chapter Events in September . . . . 52

Motors for Position on Recycled Parts . . . 34

American Honda . . . . . . . . . . . . . . . . . . . 38

Labor Rate Survey Regulations . . . . . . . . . 36

California Revises Self-Driving Rules, Drops

Autonomous Cars . . . . . . . . . . . . . . . . . . . 4

Productivity and Efficiency in Body Shops . . 20

and Triumphs in Male-Dominated Industry . 32

Garage’s Richard Rawlings and

Counts Kustoms Crew at SEMA . . . . . . . . 56

itself may not even reach the Senate floor for a vote. But even if it does, passage of the bill is not highly likely given the current make-up of the Senate (54 Republicans, 44 Democrats and 2 Independents who caucus with Democrats). Indeed, we already know that the DOL’s rule in its current form faces some opposition from Democrats given that 15 other Democrats introduced a bill in July that would “phase in” the higher salary threshold over a three-year period. Even if the bill survives the Senate, a Presidential veto is almost certain to follow. President Obama released a statement strongly opposing any delay in the rule’s effective date, and threatening to veto any such law. Congress likely would not have enough votes to override any such veto.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Online Editor and Copywriter: Deana Cacus Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, 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

Indexof Advertisers

Costs via Assignment of Proceeds . . . . . . 10

The House of Representatives passed H.R. 6094 on Sept. 28 (The Regulatory Relief for Small Businesses, Schools and Nonprofits Act), that would delay the effective date of the Department of Labor’s new overtime rule by 6 months, from December 1, 2016 to June 1, 2017. The Vote passed the House 246-177, with 5 Democrats voting in favor of it. This is the latest challenge to the DOL’s doubling of the minimum salary threshold for the white collar exemptions (executive, administrative, and professional) under the Fair Labor Standards Act. Some business groups have all criticized the drastic economic impact such a measure would have on businesses. However there are hurdles for the bill. It must pass the Senate, which will be no easy task. The bill

Acura of Westchester . . . . . . . . . . . 56 Amato Agency . . . . . . . . . . . . . . . . 54 Atlantic Hyundai . . . . . . . . . . . . . . . . 8 Audi Wholesale Parts Dealers . . . . 76 Axalta Coating Systems . . . . . . . . . . 5 Bald Hill Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 36 BASF Corporation. . . . . . . . . . . . . . 23 Bergey’s Wholesale Parts . . . . . . . . 31 BMW Wholesale Parts Dealers . 66-67 Cadillac of Mahwah . . . . . . . . . . . . 16 Car-Part.com . . . . . . . . . . . . . . . . . . 12 CarcoonAmerica Airflow Systems. . 24 Central Avenue Chrysler-JeepDodge-Ram. . . . . . . . . . . . . . . . . 20 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 41 ChemSpec USA, LLC . . . . . . . . . . . 26 Cherry Hill Audi . . . . . . . . . . . . . . . . 29 Cherry Hill Porsche . . . . . . . . . . . . . 29 Cherry Hill Volkswagen. . . . . . . . . . 29 Chief Automotive. . . . . . . . . . . . . . . 27 Classifieds. . . . . . . . . . . . . . . . . . . . 82 Clay Auto Group . . . . . . . . . . . . . . . 71 Colonial Automotive Group . . . . . . 55 Diamond Standard Parts . . . . . . . . 57 DJS Fabrications. . . . . . . . . . . . . . . 18 Eco Repair Systems of North America, LLC . . . . . . . . . . 14 ECS Automotive Concepts . . . . . . . 34 EMM . . . . . . . . . . . . . . . . . . . . . . . . 49 Empire Auto Parts . . . . . . . . . . . . . . 40 Equalizer Industries, Inc . . . . . . . . . 37 FBS Distribution Co. . . . . . . . . . . . . 11 Fitzgerald’s Lakeforest HyundaiSubaru. . . . . . . . . . . . . . . . . . . . . 51 Ford Wholesale Parts Dealers . . . . 74 Fred Beans Parts . . . . . . . . . . . . . . 84 Fuccillo Kia of Schenectady . . . . . . 65 Gary Rome Hyundai-Kia . . . . . . . . . 48 GM Wholesale Parts Dealers . . . . . 75 Herkules Equipment Corporation. . 38 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . . . . 42-43 Hyundai Wholesale Parts Dealers . . 68 Infiniti of Norwood. . . . . . . . . . . . . . 69 Innovation Toyota-Scion . . . . . . . . . 52 Jeff D’Ambrosio Chrysler-JeepDodge . . . . . . . . . . . . . . . . . . . . . 15 Jerry’s Ford . . . . . . . . . . . . . . . . . . . 35 Kia Motors Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 79

Serving New York, New Jersey, Pennsylvania, Delaware, Maryland, Northern Virginia, Connecticut, Rhode Island, Massachusetts, Maine, New Hampshire, Vermont 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. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Northeast

Contents

Cover Story Update: House Votes to Delay OT Rule

Killer Tools & Equipment. . . . . . . . . 83 Koeppel Mazda . . . . . . . . . . . . . . . . 56 Long Automotive Group . . . . . . . . . 58 Lusid Technologies . . . . . . . . . . . . . 19 Lynnes Auto Group. . . . . . . . . . . . . 61 Mazda Wholesale Parts Dealers . . . 70 McGovern Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 10 Mercedes-Benz . . . . . . . . . . . . . . . . 33 Mercedes-Benz of Atlantic City. . . . 63 Mercedes-Benz of Fort Washington . . . . . . . . . . . . . . . . . 63 Mercedes-Benz of West Chester . . 63 Mercedes-Benz of Wilmington . . . . 59 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 78 MINI Wholesale Parts Dealers . . . . 64 Mitsubishi Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 80 MOPAR Wholesale Parts Dealers . . 45 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 74 O’Reilly Auto Parts . . . . . . . . . . . . . 53 Polyvance . . . . . . . . . . . . . . . . . . . . 28 Porsche Wholesale Parts Dealers . . 62 PPG . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Preval . . . . . . . . . . . . . . . . . . . . . . . 47 ProLine Tool & Supply . . . . . . . . . . 44 Providence Lacquer & Supply Centre . . . . . . . . . . . . . . . . . . . . . . 6 Safety Regulation Strategies . . . . . 46 SATA Dan-Am Company . . . . . . . . 17 Security Dodge-Chrysler-JeepRam . . . . . . . . . . . . . . . . . . . . . . . . 7 Sorbothane . . . . . . . . . . . . . . . . . . . 22 Subaru of Morristown . . . . . . . . . . . 25 Subaru Wholesale Parts Dealers . . 77 Tasca Automotive Group . . . . . . . . 73 Toyota of Morristown . . . . . . . . . . . 25 Toyota Wholesale Parts Dealers . . . 60 U-POL US . . . . . . . . . . . . . . . . . . . . 50 Valspar Automotive . . . . . . . . . . . . . . 9 Vibac Group . . . . . . . . . . . . . . . . . . 13 VIP Honda . . . . . . . . . . . . . . . . . . . . 32 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 81 Volvo Wholesale Parts Dealers . . . . 72 Westbury Jeep-Chrysler-DodgeRam-SRT. . . . . . . . . . . . . . . . . . . 39 WyoTech . . . . . . . . . . . . . . . . . . 21, 30

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 3

Study: Consumers Want Option to Control Autonomous Cars

by Michael Wayland, The Detroit News

Public acceptance of self-driving cars could hang on one thing: Not completely taking away the keys from human drivers.

A Future Autonomous Vehicle Driver Study commissioned by Kelley Blue Book found four out of five people believe a human driver should always have the option to drive themselves instead of having a full selfdriving vehicle.

“They’re not really ready for a fully autonomous vehicle,” said Rebecca Lindland, senior analyst for the vehicle valuation and information company.

About one in four people (26 percent) would be interested in a self-driving vehicle for their next vehicle lease or purchase by 2020 as long as there’s an option for a human driver to take over. That compares to one in five (20 percent) for partial autonomy and about one in eight (13 percent) for a purely self-driving vehicle.

Ford research engineer Ghassan Atmeh, left, and supervisor Andrew Richardson “drive” an autonomous car in demonstration on Dearborn roads. Credit: David Guralnick, Detroit News

The study assumes all levels of autonomy will be available in the next four years. Several automakers have announced ambitions to offer self-driving vehicles in the coming years— mainly for controlled fleets such as ride-hailing or car-sharing services.

The responses are based on a scale of autonomy from level 0 for human only, to level 5 for full autonomy with no option for a human driver to take control. The vast majority of vehicles on the road today are considered level 0 and level 1 “modern vehicles,” according to the study.

“People definitely feel like level 4 (full autonomy with human control available) is the sweet spot,” Lindland said. “They want a vehicle that can drive itself, but then there’s also times they want to drive.”

The survey results call into ques-

tion strategies by some automakers to offer level-3 partially automated vehicles as well as fully self-driving in the coming years.

Some automakers—most notably Tesla Motor Inc.—have launched or plan to launch what is considered partial autonomy (level three) vehicles that have the ability to keep a vehicle in its lane, drive with the speed of traffic and even change lanes with the touch of a turn signal. But a driver is still necessary to monitor in case of a system not being able to drive.

“There is definitely an opportunity to skip over level 3,” Lindland said, adding that airplanes with autopilot are still considered level 4. “Not being able to fully relax is the biggest deterrent for level 3.”

General Motors Co. plans to release its level-3 competitor to Tesla’s Autopilot system called Super Cruise in 2017. The company has said it will keep steering wheels and other humancontrolled components in cars for the foreseeable future.

“We believe through an evolution we’re able to put the technology into the vehicles,” GM Chairman and CEO Mary Barra told reporters ahead of the automaker’s annual shareholders meeting in June. “And it is very important that we demonstrate safety. We think that having that capability when the steering wheel and the pedals are still in the vehicle is a very good way to demonstrate and prove the safety.”

That contrasts with Ford Motor Co. The Dearborn-based automaker in August announced plans to have a fully driverless car without a steering wheel or pedals for braking and acceleration in 2021.

Going straight to a car that doesn’t need a driver, steering wheel or pedals offers bigger benefits to passengers and is more profitable, the automaker said.

The cars, Ford said, would be available only for commercial applications like ride-sharing in major cities at first.

However, even current ride-share users aren’t sold on fully autonomous vehicles, according to the KBB study.

About 40 percent of current ridesharing users said the most appealing level of self-driving vehicles would be for full autonomy with the driver able to take over. That compares to 28 percent of ride share users for full autonomy.

“Even among those ride-share

4 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

“No Steering” says Celphy.

users, we’re still seeing level 4 as the peak, or sweet spot,” Lindland said. “It’s just a running theme that we found.”

More familiarity with advanced automated technologies would likely increase acceptance rates: The study found 48 percent of people who own a level 2 vehicle with limited autonomy would purchase a level 5 vehicle for their next car or truck. That compares

to 11 percent of those who do not own a level 2 vehicle.

The Future Autonomous Vehicle Driver Study was conducted by Culver City, California-based Vital Findings. It is based on an online survey of more than 2,200 people age 12-64 during the week of May 20.

We thank The Detroit News for reprint permission.

California Revises Self-Driving Rules, Drops Third-Party Requirement, OK’s No Human Driver

Last month California unveiled revised rules that carmakers will have to comply with the 15-point NHTSA assessment instead of self-driving cars being required to be tested by a third-party, as in the original proposal. California would allow for the absence of a human driver and a steering wheel in advanced self-driving cars, provided there is twoway communication with the vehicle and NHTSA approval. California will hold a public hearing on the proposal Oct. 19. President Barack Obama wrote a Pittsburgh Post-Gazette op-ed last month saying the administration is asking automakers “to sign a 15-point safety checklist showing not just the government, but every interested

American, how they’re doing it.” Cain also raised concerns about whether the NHTSA guidelines are too vague.

“The problem is there is going to be accountability and there is going to be enforcement,” Cain said, saying in some areas NHTSA needs to offer more specific guidance. “We need to go through this with a fine tooth comb.” Former NHTSA Administrator David Strickland, who now represents Google, Ford Motor Co. and Uber, raised concerns at the forum about whether NHTSA has the expertise to review all of the data they are seeking on self-driving vehicles. Congress may need to “better resource the agency for this new mission,” he said.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 5

Buckingham, PA, Zoning Board Hears Wawa’s Pitch to Move into Former Body Shop

by Christopher Ullery, The Intelligencer

A Wawa convenience store and 12pump gas station might be coming to the site of the former Ben’s Auto Body near Route 313 and North Easton Rd.

The Buckingham Zoning Hearing Board heard the first half of testimony from witnesses from Provco Pineville Doylestown LP, which is requesting 24 zoning variances for the store to go into a 3.5 acre site.

The proposed project includes the construction of an interconnecting road between North and Old Easton roads, including a traffic signal at the new intersection at North Easton Road, which was the source of some controversy of three local business owners who raised safety concerns.

Lynn T. Bush, Chief Clerk of the Bucks County Planning Com-

Pro Spot Distributor Sponsors Inaugural Golf Tournament

Pro Spot International’s Innovative Solutions and Technology recently helped sponsor the inaugural golf tournament benefiting the Collision Repair Education Foundation (CREF), presented by I-CAR Greater Philadelphia Committee on September 15 at the Paxon Hollow Country Club in Media, PA. “It is an honor to be able to participate in events which promote education in our industry,” said Ashley Olsson, communications, Pro Spot International, Inc. “We are thankful for what the Collision Repair Education Foundation does to help recruit youth into the collision repair industry and are extremely proud to be a part of this legacy.”

Innovative Solutions and Technology is a distributor of Pro Spot around New Jersey, New York and Pennsylvania.

Pro Spot’s next event will be the SEMA show in Las Vegas from Nov. 1-4. Pro Spot will be conducting product demonstrations and more in SEMA booth No. 10839.

For more information, visit www.prospot.com.

mission, testified that the proposed connecting road could relieve traffic congestion at Route 313 and North Easton Road, according to a county issued study of 11 intersections in that area done by Gilmore and Associates.

Bush added that the new connector might also render the traffic signal Route 313 and Old Easton Road obsolete, resulting in removal of the signal.

Timothy Bertman, Chad Block and Barry Siwert, all owners of businesses along Old Easton Road, and board members raised concerns about the possible traffic safety concerns of removing the light.

Bush said she was not a traffic engineer by trade and there were still studies required by PennDOT to address the possible changes at the old intersection.

The board still has about 14 more variances to hear testimony on before they make a decision on the applicant’s request and scheduled the next hearing for the proposed Wawa for Nov. 21 at 7:30.

We thank The Intelligencer, Calkins Media for reprint permission.

Two Firefighters Injured at Suffolk Cty Shop Fire

by Ryan Bonner, The Patch

The Suffolk County Police Department’s Arson Squad is investigating a fire at a Suffolk County auto body shop on the night of October 1st that left two firefighters with minor injuries.

Snapshot: Troy Vehicle Donation

experiences diagnosing and repairing problems.

It had its glory days cruising the “I am glad that students are streets of the Capital Region, and going to be able to learn something now, a 1997 Lincoln Town Car Gold from it for awhile,” said Maloney Edition will find a new purpose: ed- as she presented the title to CTE’s Deputy Director Dr. Valerie Kelsey.

Vehicles donated to BOCES are used by students in the auto body collision repair, auto body refinishing, automotive services, automotive tech prep, automotive maintenance/light repair, automotive trade technician and AYES programs.

“Because of donations like this, students will learn Capital Region BOCES CTE’s Dr. Valerie Kelsey and everything from how to Executive Principal Denise Capece stand in front change brakes and calipers to of the vehicle with Winifred Maloney (center), how to repair engine probhanding over the title to the 1997 Lincoln Town lems and wiring using a real Car Gold Edition vehicle,” said Kelsey. “Donaucating the region’s youth. Winifred tions like this take learning out of the K. Maloney donated the vehicle to text book and off the computer and Capital Region BOCES Career and into the garage.”

Technical Education (CTE) school Anyone interested in donating the week of September 19. The car, a vehicle to Capital Region BOCES which is still in working order and should call Nancy Liddle at (518) has only 124,863 miles on it, will be 862-4823. used by the automotive program for We thank The Troy Record for students to get valuable “hands-on” reprint permission.

by The Troy Record

The Smart Choice for Auto Body Coatings and Supplies!

ROVIDENCE PACQUER & L Multiple fire departments responded to the emergency call at Nick’s Auto Body at 802 Middle Country Road around 8:30 p.m.

Police said that the fire had been extinguished that evening. Two firefighters were treated for minor injuries.

We thank The Patch for reprint permission.

www.autobodynews.com

6 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 7

NY Body Shop Hosts Scooter Giveaway Contest

Barry’s Auto Body in Staten Island is hosting a scooter giveaway contest to celebrate more than three decades in the automotive industry.

There is no cost to enter, and the sweepstakes is open to all Staten Island residents. The winner will be selected in a random drawing on New Year’s Day 2017.

“Our family has owned our shop for more than three decades,” said Barry Crupi, owner of Barry’s Auto Body. “My sister Michelle and I took it over from my father and expanded the shop to include more spray booths and mechanic services so we can provide fast, one stop service to our customers. We want to share our success in the auto collision repair industry by giving away this Kymco scooter.”

Barry’s Auto Body offers collision repair, mechanical repair and maintenance services for all types of vehicles, using environmentally friendly products in all automotive services.

Mr. Crupi continued, “This scooter contest is a way to give back to customers and to introduce our services to people who may not know about us.

Even when no one is hurt, people feel vulnerable following an auto ac-

cident. Barry’s Auto Body stands ready to help customers involved in auto accidents. We work with customers to ensure that their insurance company covers the full cost of vehicle repair.”

“Today, it is commonplace for insurance companies to try to reduce the cost of the repair by denying portions of the claim. Some shops allow the insurance company to dictate what repairs they make. Barry’s Auto Body doesn’t let the insurance company decide what repairs are necessary or how repairs should be completed. Instead, our skilled mechanics go over every inch of the vehicle then contact the insurance company to ensure that it pays for repairs. People pay premiums to be sure that their vehicle is repaired correctly following an accident. Giving away this scooter is just one way to let people know that we work for the customer, not the insurance company.”

To enter the contest, visit https: //www.barrysautobody.com/kymcobike-give-away-2016.

www.autobodynews.com CHECK IT OUT!

8 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

Mitchell Partners with Tractable to Bring Artificial Intelligence to Insurance Claims for the First Time Mitchell International, a provider of technology, connectivity and information solutions to the Property & Casualty (P&C) insurance industry,

has announced an exclusive partnership in North America with Tractable, a UK-based technology firm specializing in the development of artificial intelligence solutions capable of automating manual tasks.

According to the company, Mitchell will integrate Tractable’s solutions within its WorkCenter™ Automobile Physical Damage platform, enabling customers to make better decisions and accelerating the vehicle repair and claims management processes.

“Our industry is ready to adopt intelligent solutions leveraging machine learning technologies,” said Debbie Day, executive vice president of Mitchell International. “There are many activities we believe can be improved using these capabilities and we are thrilled to partner with Tractable to bring innovative solutions forward.”

“Our technology is going to change the way that auto claims are managed in the future,” said Alex Dalyac, CEO of Tractable. “We have trained computers to see exactly what humans see so that vehicle damage can be assessed within seconds and consistent decisions made. Artificial intelligence will make the process quicker, more cost effective and more efficient. We are excited to partner with Mitchell, as we believe their long history and market-leading expertise combined with their modern cloud-based solutions will enable us to create unique opportunities that deliver the benefits of artificial intelligence to the Insurance Claims sector.”

For more information, visit www.mitchell.com.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 9

Mike Parker Gets Paid for Actual Repair Costs via Assignment of Proceeds

by Chasidy Sisk

Many independent collision repair facilities struggle with receiving proper compensation from insurance companies for repairs completed on vehicles, but Mike Parker, president of Parker’s Classic Auto Works Inc. in Rutland, VT, has been very successful in recovering these losses through assignment of proceeds lawsuits. According to Parker, “Consumers have no problem with this assignment, and we have collected on every suit we filed.”

Parker’s independent collision repair facility has been in business since 1990 as a pro-consumer shop, contracting directly with the vehicle owner to make repairs rather than operating with DRPs. As such, the vehicle owner is responsible to pay for the entire cost of the repair, and Parker has his customers sign an assignment of proceeds form which allows him to collect any shortfall from the insurer on the consumer’s behalf.

The process begins with an insurance estimate using a visual overview of the damage and an estimating manual with estimates varying based on the manual used and how the damage appraiser follows the instructions in the

back of the manual. At Parker’s, the shop follows up with their own estimate and communicates variances with the appraiser initially and also after a complete disassembly. Consumers sign an agreement to pay the full cost of the repair, and they also sign an assignment of proceeds which assigns to Parker the right to stand in their shoes and take the same lawful steps they could take, including suing the insurance company or at-fault driver, to collect the money owed to them under an insurance claim.

Throughout the repair process, Parker will notify the insurance company of any changes that increase the estimate. Parker’s bill is created based on the actual cost of the repair with itemized charges, and this final invoice can vary from the original and adjusted estimates. When the insurance company refuses to pay the variance, Parker must resort to legal recourse with the assistance of his attorney, Robert McClallen.

In the spring of 2016, Parker and McClallen successfully sued Commerce Insurance Company for shortpays on three vehicles. He was awarded double the cost of damages plus attorney fees per the Commerce policy, but due to the litigation taking

10 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

place in small claims court, it was capped at $5,000. In 2015, after a three-year battle, Parker was victorious in a $53,000 assignment of proceeds lawsuit against Allstate on behalf of 70 consumers.

Parker believes that insurers are “responsible for paying the full, reasonable and necessary amount of the repairs because they chose to settle the claim in cash instead of completely replacing the damaged vehicle or repairing it themselves. They say that I won’t negotiate or give agreed prices. They try to make that sound negative—that they get to call the shots and I’m at fault because I won’t negotiate with them. The shops that do negotiate come up with an agreed price, which becomes the cost of repair; however, there is nothing in the policy that states that a negotiation or agreed price has anything to do with determining the cost of repair. It is not what they say it is; it’s a range.”

During the cases, McClallen pointed out that insurance companies do not repair vehicles—collision repair facilities are responsible for the safety of the repair.

The courts found no evidence to substantiate insurers’ claims that Parker’s invoices were unreasonable,

awarding him the shortfall payment and prejudgment interest. In the Commerce lawsuit, the court also decided that Parker was entitled to double the damages and costs, plus reasonable attorney fees, but it was capped at $5,000 since the lawsuit was conducted in small claims court.

Despite his legal successes, Parker cautions that assignment of proceeds lawsuits require a lot of research and are not for the faint of heart. Shops interested in pursuing this route should engage an attorney who is familiar with the collision repair industry. Parker warned, “This isn’t something you can just jump into. A shop would have a lot of work to do prior to filing their first suit, but we’ve collected on every suit we’ve filed.”

Your leading source for NORTHEASTERN Collision Repair News! northeastern.autobodynews.com

Town Welcomes O’Reilly Auto Parts at New Hartford Avenue Location “What a fantastic facility.”

The welcoming committee inJohnston’s West End has again landed cluded state Rep. Deborah Fellela, on the national corporate map.

District 1 Town Councilman Richard For the second time in as many DelFino III, and District 5 Town years, a nationwide company has opened Council candidate Bob Civetti. Those its doors at 2750 Hartford Ave. (Route present toured the facility prior to 6).

Polisena, making it official by cutting the ribbon outside the main entrance.

“What a great addition to our business community,” DelFino said. “Not only do we have a national auto parts store here, we’ve got another national chain – Tractor Supply Company – right next door. This is without question a great day for Johnston.”

“Anytime a new business Flanked by store managers and an official welcoming opens in town, it’s exciting,” Felcommittee, Johnston Mayor Joseph Polisena lela said. prepares to cut the ribbon during the grand opening Polisena presented Verraof O’Reilly Auto Parts. Credit: Sun Rise Photo by neault and other company offiPete Fontaine cials – including Ed Greene, a On September 17, Mayor Joseph Warwick resident who’ll manage the Polisena and group of local leaders under-construction O’Reilly Auto welcomed O’Reilly Auto Parts to John- Parts on West Shore Shore Road at ston with a ribbon-cutting ceremony at Wildes Corner in that community – the 7,700-square-foot facility. with an official commendation for “This store is beautiful,” Polisena choosing to open a store in Johnston. told Chris Verraneault, who’ll man“We welcome this great company age the Johnston O’Reilly’s location. and its employees to Johnston,” the

by Pete Fontaine, The Johnston Sun Rise

mayor said. “Please accept our heartfelt well wishes for success and prosperity now and in the years to come at this location.”

The ribbon cutting ceremony wasn’t the only excitement at O’Reilly Auto Parts. Store managers like Tom Harrington and Chris Canning – who came from other O’Reilly locations – cooked and served hamburgers and hot dogs along with chips and cold drinks to people who stopped by.

This is one of several classic cars that were on display during last Saturday’s official grand opening at O’Reilly Auto Parts. Credit: Sun Rise Photo by Pete Fontaine

A total of 10 other area managers were on hand to assist Verraneault and Greene with the day’s grand opening, which also included music and several classic cars.

NHTSA Probes Airbag Deployments on Nissan Versa

The National Highway Traffic Safety Administration has opened a preliminary investigation into 252,756 Nissan Versa vehicles after complaints of inadvertent airbag deployments. Complaints indicate that the driver or passenger curtain and seat-mounted airbags deployed when the front door was shut in a “possibly aggressive manner,” a summary on NHTSA’s website said.

“I closed the passenger side door and the airbag from the door exploded. Just that easy,” read one complaint. No injuries have been reported. It was not clear which company supplied the airbag components to Nissan.

“Nissan is committed to the safety and security of our customers and their passengers,” a Nissan spokesman said in an email.

“The company has received an inquiry from NHTSA concerning the MY2012 Nissan Versa Sedan. Nissan is actively investigating this issue and, as always, working cooperatively with the regulators to answer their questions.” The 2011 model year Versa was also included in the investigation.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 11

After Matthew, Insurance Claims Pour In and Some Policyholders Realize Hard Truth

by Robert McCabe, The Virginian Pilot

Homeowner and auto insurers are dealing with thousands of claims in the aftermath of Hurricane Matthew.

And some policyholders are discovering—or rediscovering—a hard truth: standard homeowners’ policies typi-

surance Information Institute, a New York-based industry association. State Farm, Berkshire Hathaway Inc. and USAA were the top three auto insurers in the state, the association reported.

“We’ve had roughly 15,000 total claims” from Florida through Virginia, said Rich Johnson, a spokesman with

cally do not cover flood damage; that is, damage from rising water.

While comprehensive auto insurance can cover flood damage, that’s not the case for homeowner’s coverage.

Protection from flood damage to homes must be obtained separately through the National Flood Insurance Program, which is typically purchased through one’s existing homeowner’s insurer.

State Farm, the largest insurer of homes and cars in Virginia in 2015, reported 850 homeowner claims and 560 auto claims statewide as of Monday, October 10.

“We’re just really in the initial stages,” said Michal Brower, a State Farm spokeswoman, who added that the number of claims is expected to increase.

Virginia so far has generated more State Farm auto claims than any other Southeastern state affected by Matthew, Brower said.

Florida and South Carolina each have reported about 500 auto claims for the Illinois-based insurer.

“Honestly, we don’t necessarily know why,” Brower said.

State Farm reported 8,350 total homeowner claims and 2,150 auto claims from Florida through Virginia as of Monday, October 10.

USAA and Allstate were the No. 2 and No. 3 homeowner insurers in Virginia last year, according to the In-

Texas-based USAA. “We’re seeing a lot of wind damage.”

There appeared to be a higher incidence of flood-damage reports in Virginia extending into North Carolina, he added.

USAA has sent a catastrophe unit to Fayetteville, N.C., because of the flooding impacts in that area.

As more people return to their homes, more claims are expected to roll in.

“I think we’re going to see it change and alter in the days to come,” Johnson said, adding that the additional claims volume could continue for weeks.

Allstate said it could not provide a claims-volume estimate late Monday afternoon.

“It is too soon to know the number of claims we expect to receive, but our adjusters are working closely with customers in affected areas to help guide them through the claims process,” said April Eaton, an Allstate spokeswoman, in an email.

“We’re getting a number of floodlike claims that are not actually covered,” said Susan Tinsley, general manager of the Richmond-based Virginia Property Insurance Association, which was formed in 1968 to provide dwelling and commercial coverage for those who can’t find it in the standard market for any number of reasons.

The association reported receiving 60 claims in Virginia as of Mon-

12 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

day morning, primarily related to trees fallen on homes, roof damage and flooding, in that order, Tinsley said.

About 10 of those are for flood damage.

The association insures roughly 29,000 policyholders, about 8,000 of them in its “sea-coast territory,” extending from Hampton Roads up through the Eastern Shore.

It expects, based on current volume, to get about 150 claims from that region within the next two to three days, Tinsley said.

Virginia is one of 19 states that have in place some form of so-called hurricane or “named storm” deductibles, which were introduced as a way to shift more of the risk from hurricanes to policyholders “without raising overall premiums to unaffordable levels,” according to the Missouribased National Association of Insurance Commissioners.

Hurricane deductibles can take the form of a fixed-dollar figure or, more often, a percentage of a home’s insured value, varying from roughly 1 percent to as high as 10 percent, according to the NAIC.

Brower, the State Farm spokeswoman, said that the hurricane-deductible provision for Virginia policyholders was not triggered because no hurricane warning or watch was issued for the state.

Asked whether that was good news or bad news for State Farm customers in Virginia, Brower recommended that policyholders check with their agents to find out what deductibles were set in their policies.

“Customers, in many cases, will be paying a lower deductible,” said Erin Zabel, a State Farm agent in Chesapeake.

As of late afternoon Oct. 10, it was unclear whether Matthew had triggered the hurricane-deductible provision for other insurers.

We thank The Virginian Pilot for reprint permission.

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LIABRA’s 15th Annual Golf Tournament Attracted Over 100 Attendees

by Chasidy Sisk

On September 28, the Long Island Auto Body Repairmen’s Association (LIABRA) held its 15th Annual Golf Tournament at the Baiting Hollow Country Club. The cool weather made

The Long Island Auto Body Repairmen’s Association (LIABRA) held its 15th Annual Golf Tournament at the Baiting Hollow Country Club in Baiting Hollow, NY

for a relaxing round of golf for over 100 players. LIABRA executive director Ed Kizenberger noted, “This facility was chosen by golf committee chairman Paul O’Connell because of its excellent golf course and outstanding catering facility. The course is long but relatively wide open, it is beautifully landscaped and maintained, and it provided a very enjoyable round of golf for both beginning and experienced golfers.”

As sign-in began at 10AM, volunteers greeted golfers who indulged in a brunch buffet before warming up on the putting green and driving range.

The full-scramble game began at noon with a shotgun start, and contestants enjoyed a variety of challenges on the course, including hole-in-one, longest drive, closest to the line and closest to the pin, with winners receiving gift certificates. On hole #8, Courtesy of Competition Infinity offered a 2016 Q50S Infinity as a hole-in-one prize for the par 3 hole.

Throughout the course, volunteers sold raffle tickets and kept the game’s progress going. At the 17th hole, Baiting Hollow Golf Course treated attendees to fresh Long Island clams on the half shell, and each player

LIABRA executive director Ed Kizenberger

14 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

received a ticket for a complimentary Bloody Mary.

Dan Kern (left) won the grand prize, an allexpenses paid four-day golf trip to Myrtle Beach, SC

When gameplay ended around 6PM, players gathered in the clubhouse for an open cocktail hour and appetizers before a buffet dinner. Following dinner, the raffle drawing for hundreds of prizes began during coffee and dessert, with Kizenberger and Kizenberger Jr. spending the rest of the evening distributing prizes to nearly everyone present. Jack Folger of Center Island Collision Center won a 40-inch LED television courtesy of LIABRA, and LKQ Keystone’s Dan Kern won the grand prize, donated by

Donaldson’s Subaru: an all-expenses paid, four-day golf trip to Myrtle Beach, SC. “This was a terrific tournament; everyone enjoyed today, and we received nothing but positive comments about the tournament. Golf Committee Chairman Paul O’Connell is already planning next year’s tournament; don’t miss it!” Kizenberger said. “LIABRA would like to thank all the golfers who participated in the outing, the volunteers for their help and all the sponsors who were so generous with their raffle prize donation and financial support, especially Donaldson’s Subaru for the grand prize of the golf trip to Myrtle Beach and Competition Infinity for the hole-in-one prize. Many thanks to Paul O’Connell for his untiring efforts on behalf of LIABRA.” On October 18, LIABRA will hold a free I-CAR technology event showcasing the future of collision repair at the Hampton Inn in Commack, NY. Attendees will have the option of two identical sessions to explore new technologies and repair techniques: from 6-7:30PM and from 8-9:30PM. Owners and technicians are welcome, but space is limited, so those interested in attending must RSVP to Flo at (516) 665-9483.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 15

Robert “Paul” Hulsebusch Passes Away in Texas, Age 50 Beloved husband, father, son, brother and friend, Robert “Paul” Hulsebusch, went to be with the Lord on October 8, 2016 at the age of 50 after losing his fight with cancer. He was born on August 18, 1966 in Portland, Oregon.

Paul gained his work ethic and values as a young man in the family business. He started working in the collision industry in his grandfather’s business Chuck Chaney’s Automotive in Portland, Oregon. He started washing cars, cleaning the shop as a young boy. In high school, he did everything

in the shop when needed. He painted cars, did front end alignments, estimates. Always saying ‘yes’ to get the job done.

He is survived by his wife, Alyssa Hulsebusch; his daughter, Taylor Hulsebusch, 20, of Phoenix, AZ; his sons, Daniel Hulsebusch, 23, Maxwell Hulsebusch, 18, and Charles Hulsebusch, 13, of Boerne, Texas; his mother, Janet Chaney of Cave Creek, AZ; his sister, Kristen Syburg and her husband Charlie of Cave Creek, AZ; his stepfather Hans Hulsebusch of Mesa, AZ; and numerous business partners, roping buddies, friends and associates.

Paul grew up in Scappoose, OR, and was very active in sports, rodeo, 4H, choir, and Key Club for most of his childhood. As the 1984 Oregon State High School Rodeo Champion he chose to attend Blue Mountain Community College in Pendleton, OR, as part of their rodeo team.

Following college, he began a career as a catastrophe claims adjuster and found great success in that field.

His profession and charismatic personality carried him across several state

lines, touching many people along the way, eventually settling to make his home in Boerne, Texas as the Principal of Sonora Insurance Group.

Paul’s professional accomplishments gave him great pride, as well as time spent volunteering with Habitat

For Humanity, teaching Sunday School and coaching youth sports. His longest and strongest hobby was team roping where he could combine his love for the animal, the sport and the camaraderie.

But nothing surpassed his love and dedication to his four children; Dan, Taylor, Max and Charlie who each held a

special and unique place in Paul’s heart.

Paul was fortunate enough to finally meet his One, Alyssa, in the summer of 2014 and they were married on March 11, 2016. Paul and Alyssa simply loved each other and loved spending time together. Their marriage was peaceful, unconditional and unwavering.

Paul’s warm, kind heart, sarcastic humor, infectious smile and unrivaled dedication to his beloved Oregon Ducks will be missed.

A memorial celebration was held Friday, October 14, 2016 at 3:00 p.m. at First Baptist Church of Boerne with a reception following.

In lieu of flowers, the family requests a donation be made to the savings account established at Jefferson Bank, Boerne, Texas in order to cover college expenses for Paul’s four children.

To leave condolences for the family and view a video of Paul’s life, please visit www.ebensbergerfisher.com and select the Obituaries tab.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 17

She’s Driven: Shawsheen Tech Senior Has Dream Co-Op and a Clear Vision

by Rick Sobey, Lowell Sun

It seems that a lot of people are jealous of Maren Williams.

Her classmates at Shawsheen Valley Technical High School are envious; her teacher wishes he once had the same opportunity.

Working in the back of a Billerica auto body shop, the 17-year-old standout student has her hands on a 1967 Corvette.

day at the Billerica shop.

With the 1967 Corvette, she has retouched a fiberglass area, straightened out waves in the panels, cleaned the back edge and more.

“You want to make sure all the panels don’t have huge waves in them,” Williams said. “A lot of it is by feel.”

“My friends at other shops don’t do a lot of body work,” she said. “They just paint and replace new panels and put them on. Here, you actually get to

Shawsheen Valley Tech senior Maren Williams, of Tewksbury, works on a 1967 Corvette that she is helping to restore during her co-op at The Bowtie Shop in Billerica. Credit: Sun / John Love

“The cars are pretty cool,” she said, admiring the classic Corvette that’s stripped to the fiberglass.

“Not many 17-year-olds get to do this,” she adds.

For her co-op, Williams is restoring Corvettes at The Bowtie Shop on Dunham Road in Billerica. The Shawsheen Tech senior, from Tewksbury, has been employed there for almost a year.

It has been an exceptional match, said Joseph Scafidi, shop owner.

“Many people who’ve done this for a long time don’t get what she gets,” he said about Williams.

“Today, a lot of kids don’t understand how to work, but she does a great job,” Scafidi added. “She may be an exception.”

Growing up with a father who’s a “big car guy,” Williams knew from a young age that she wanted to work on cars.

Her father has a 1973 Dodge Charger, yellow and black, and she’s been bugging him to let her restore it.

“His excuse is there’s no garage for it, but it’s because he’s too protective of it,” Williams said.

While her father won’t let her do it, she does get to restore cars every

recreate the panel that’s already there.”

Fifty percent of the cars at The Bowtie Shop get completely disassembled, according to Scafidi.

A typical restoration takes 700 to 800 hours, which consumes 9 months to one year because they’re working on numerous Corvettes at the same time.

“We touch every last piece, so when they go back together, everything’s new,” he said. “There’s not a nut or a bolt that’s not touched.”

In addition to Corvettes, the shop restores Chevys, Chryslers and others.

But the shop’s bread and butter is Corvettes – taking up about 95 percent of its business.

Scafidi opened the location in 2005 and has been restoring Corvettes for 30 years. In college, he bought his first Corvette, a 1963 red convertible. Now he owns seven Corvettes – 1953, 1963, 1964, 1967, 1968, 1996 and 2014.

“Once you buy your first, you’re in,” he said. “You never want to own anything else.”

Williams, who drives a Ford Taurus everyday, doesn’t have her eyes on a Corvette. She’s hoping to own a 1987 Chevy K10 pickup truck. Williams loves the old box-style trucks, and is currently scouring Craigslist for a deal.

18 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

She’s also focusing on college applications. Her goal is to attend Stanford University for chemical engineering.

She’s also applying to UMass Amherst, University of New Hampshire, Northeastern University and others. After college, she’d like to return to the Billerica shop.

“I’ve had such a great experience here,” she said. “I never would have touched this in school.”

In addition to her co-op, Williams recently finished sixth in the nation in Auto Collision repair at the SkillsUSA competition.

Dennis Reppucci, Shawsheen Tech’s lead teacher for the auto body program, called Williams “incredibly driven” with a “great head on her shoulders.”

“It’s refreshing,” he said. “It’s almost to the point of amazing.”

“If something doesn’t go the way she wants it to go, she’ll figure out how to correct it. She won’t give up,” Reppucci said. “It’s hard to find a student with such a clear vision.”

Shawsheen Tech SuperintendentDirector Tim Broadrick said that Williams will be able to do anything

she wants after graduation.

“She represents the best of modern career vocational technical education students,” he said. “She excels both in academic studies and in her trade skills.”

Joseph Scafidi, owner of The Bowtie Shop in Billerica, talks about his shop and Shawsheen Tech student Maren Williams. Credit: Sun / John Love

“Like so many of our students, Maren has found meaning in the strong connections between her work in the shop and her work in the classroom,” he added.

We would like to thank the Lowell Sun for reprint permission.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 19

Symach’s Innovative FixLine System Increases Productivity and Efficiency in Body Shops Worldwide Symach is reinventing the way body shops operate with its unique FixLine system. The Italian-based company, known for its high-quality equipment, is building body shops around the world using this innovative repair process. There are currently 46 shops using the FixLine process in Australia, North America, Europe and the Middle East.

Established in 2001, Symach offers a wide range of equipment and technology aimed at increasing productivity and efficiency in body shops. The FixLine system consists of a layout and repair process that combines the company’s patented Drytronic technology, specialized drying robots and the Symach Paint Application Process (SPAP) painting cycle.

“Compared to conventional methods, the FixLine system reduces the average cost of repair by 25 percent and the key-to-key time to approximately two days,” said Osvaldo Bergaglio, CEO of Symach.

FixLine includes all phases of repair and is customized for every shop to ensure a more organized workflow and optimal repair times. There are three different layouts and repair processes, which are segmented based on the amount of damage and the number of panels involved in an accident. “This makes it possible to optimize each phase of the repair, the skills of the technicians

and the equipment,” said Bergaglio. “It also maximizes quality, efficiency and production.”

The FixLine conveyor allows a continuous workflow throughout the day, allowing a shop to use approximately 30

Symach CEO Osvaldo Bergaglio

percent fewer technicians than a conventional shop to repair the same number of cars per day. It is available in two different configurations. The SprayTron has the capability to repair 10 cars per day with one painter; the KombiTron can repair 20 cars per day with two painters.

When the company first opened, Symach developed and patented a new

20 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

technology to dry paint called Drytronic, which drastically reduces drying times. Bergaglio said the technology generates various infrared wavelengths, which penetrate directly into the paint molecule, instantly drying it.

“Symach’s Drytronic technology dries body filler, primer, waterborne and clear in one minute and 30 seconds per panel, which allows a continuous workflow during each phase of the repair,” said Bergaglio. “This means that damaged cars can be repaired without interruption and technicians don’t have to handle three or more different cars at a time during the

working process like they do today.”

Symach is one of the first companies to have produced a robot for drying paint. The FixLine process uses the robots for body filler, the preparation of primer and for waterborne and clear inside the paint booth.

The company also developed a specific paint process called “SPAP,” Symach Paint Application Process. “It can save 60 percent of the application time compared to the conventional paint process and every brand of paint can be utilized,” said Bergaglio.

As part of the FixLine system, Symach assists with the design of the work process and body shop layout, which usually requires at least 30 percent less area compared to a conventional layout. The company also conducts a training program for technicians and management that includes programming roles, daily scheduling of repairs, correctly managing spare parts flow, maintaining a weekly report and addressing KPIs. “Symach is poised to become a worldwide leader in automated body shops,” said Bergaglio. “We are dedicated to assisting shops become more efficient, saving both time and costs in their shops with the use of our patented equipment and technology.”

For more information, contact info @symach.com or visit www.symach.com

Collision Repair Education Foundation Receives Highest Rating From Charity Navigator

For the fourth consecutive year, the Collision Repair Education Foundation has been awarded the highest rating for sound fiscal management and commitment to accountability and transparency

by Charity Navigator, the country’s largest and most-utilized independent evaluator of charities. Charity Navigator has awarded the Collision Repair Education Foundation an “exceptional” ranking of four stars out of a possible four, demonstrating adherence to good governance and fiscal responsibility.

“Since 2009, the collision industry has provided over $50 million in product and monetary donations to high school and college collision school programs, instructors, and students through the Education Foundation,” a statement from CREF read.

“With the organization averaging 90 cents of every dollar donated being returned to this group, its supporters can be assured that their donations are being reinvested properly.” $110,000 Raised During CREF’s Annual Industry Fundraiser The annual CREF industry fundraiser, co-hosted by PPG Automotive Refinish, raised $110,000 through the support of attendees and sponsors.

Sponsors and participants enjoyed a

day of golf at the Black & Gold Golf Course in Yorba Linda, CA, on August 10th, 2016 and the funds raised from this event will go toward supporting scholarships and grants for collision schools and students.

“PPG is proud to support this event at such a high level, not only as it brings together industry profession-

“Through our incredible sponsors, attendees, and volunteers, we had another great golf fundraiser event that will significantly assist in the Education Foundation’s abilities to support high school and college collision school programs,” said CREF director of development Brandon Eckenrode.

“A special thanks to PPG Automotive

als from around the country, but also for the fact that it assists the Foundation’s efforts to ensure that high school and college collision students are jobready when they graduate and enter the industry,” said Domenic Brusco, PPG Automotive Refinish senior manager, Industry Relations. “As the Education Foundation staff will be working towards another great event in 2017, I would encourage industry members to consider participating through a sponsorship, attendees, and/or donating items to the events raffle table and silent auction.”

Refinish for their continued co-sponsorship. We are already starting to plan for the 2017 event, and with it taking place in our hometown of Chicago, we believe it will be the best yet.”

CREF Wraps Up Career Fair Schedule With Atlanta and Columbus Events After a year of 14 successful high school and college collision career fairs around the country, CREF is hosting two remaining events this fall, taking place in Atlanta, GA on October 20th and Columbus, OH on No-

vember 16th. Both are anticipated to be successful, as Atlanta will host a record 25 participating companies and the Columbus event brings 400+ students.

“These career fairs have been an incredible success in connecting soonto-be graduating collision students with industry employers, but they have also served as motivation for students who are just starting their technical education, as they can see and meet all the companies who are interested in their futures,” noted Eckenrode. “We are looking to take these events to another level by working together with local associations and groups in major geographic markets around the country in order to expand the number of these events and reach even more students in 2017. We invite all collision industry members to join us at these events and help address the need for highly trained young professionals to enter the industry.”

To continue these successful events next year, the Collision Repair Education Foundation will be announcing the spring 2017 schedule of career fairs this fall, which will include events taking place in new cities/markets while also hosting events in major markets that took place this past spring.

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 21

Consultant Tells East Bay CAA “The Rest of the Story” Behind Paint Material Shortfalls $30, even though paint and material pricing varies little across the country.

Industry Consultant Ralph Defibaugh It all depends on what is acceptable in presented knowledge gathered over 40 each respective market. It’s the refinyears in the collision repair industry at ish hours multiplied by the accepted a meeting of the East Bay chapter of reimbursement rate that determines the California Autobody Aswhat the insured and shops sociation (CAA) held at the gets paid.

PPG Training Center in Con“There are several refincord, CA. His workshop, ish time deductions,” De“The Rest of the Story” refibaugh explained. “Overlap veals the facts behind paint is a prime example, when material shortfalls. By utilizpainting a hood and a front Ralph Defibaugh ing basic business principles fender at the same time there recently spoke at a and applying his strategy on meeting of the East would be an adjacent overlap how to treat ‘paint like a part,’ Bay CAA to reveal deduction of .4. If you were Defibaugh revealed to the painting a hood and a trunk the facts behind paint material 100 members in attendance lid, there would be a non-adshortfalls that training and negotiation jacent overlap deduction of will enable them to attain fair material .2. The reason for that overlap deduccompensation on repairs. tion is because there are duplications From 1986 to 2010, Defibaugh of refinish time operations when paintwas president of Spa Body Works Ltd., ing multiple panels. Included in those an MSO in Upstate New York. For the operations is time for mixing the color, past two decades, he has represented loading and cleaning the spray gun, and PPG Industries, providing manageseveral other things that you would not ment training classes on behalf of the have to do more than once.” company throughout North America.

These calculations appearing on In 1997, he established Benchmark Motor, Mitchell and AudaExplore dataConsulting Services to assist collision bases are not going to change anytime shops in the areas of process improvesoon, Defibaugh said. “I had a territory ment and profitability. manager call me one day and asked me While covering topics such as dealfor some help. One of his shop cusing with “refinish overlap,” “blending tomers refinished the better part of a within the panel” and “clear coat cap” Ford F-150 Crew Cab pickup. The estideductions, Defibaugh discussed the mating program calculated $850 for adverse effects of these major refinish material reimbursement. The printout time deductions on paint material reimfrom their digital scale after completing bursement. the job was $1,800, quite a difference.

“For years, these deductions have The insurance company said, been grandfathered into the collision sorry—that’s what is being accepted in estimating databases and software,” the market. If a hood was specified for Defibaugh said. “Shops are being that truck at $350 and the actual price short-changed with the shell game of was $400, I would prepare a suppleusing refinish times to formulate paint ment, prove the price change and be material reimbursement. Today, there paid for the balance. Everybody unis no reason to be trapped into underderstands fluctuations in prices for payment of the required materials to hard parts, but not everyone looks perform insurance covered repairs. On closely at the actual pricing of refinish nearly every repair, shops are being materials. Overlap taken on a Ford Fishort-changed.” esta should be different than that taken According to Defibaugh, the big the F-150 for the sheer difference in three database companies “Calculate the size of panels and the additional the time required to refinish a panel, materials needed to cover them, yet the then the insurance companies multi- same overlap deduction is taken. In ply that time by a market-accepted most cases, the time designated to reprice per refinish hour standard,” he finish a section of a vehicle is enough said. “For example, in San Francisco, to complete the task even after overlap it can be as high as $40 per hour for is taken. Yet, if adequate time doesn’t every paint hour sold on an estimate. provide for adequate material reimIn other parts of California, it could be bursement, what is the shop to do?” as low as $32; in Tampa, FL. the midAnother deduction insurance com20s; and in NY, where I live, under panies are now exploiting is a 50% reby Ed Attanasio

22 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

duction when refinishing a “repaired panel.” The term applied is ‘blend with-in-full clear.’ If this is the fourth or fifth panel painted and the 2.5 clear coat cap has been reached, no additional time is recorded on the estimate and no additional money allocated for clear materials. According to all three sets of P-Pages, this deduction should only be made on an ‘undamaged panel’.

Under the guise of ‘user defined’ settings in estimating software, P-Page rules are being misapplied.”

It all comes down to out of sight, out of mind when it comes to P-Pages in many shops, he said. “Shops don’t understand or pay enough attention to the Procedure Pages, that are the rule books about how to fully interpret database operation times. When the new updates come out, estimators don’t analyze them. If you asked an estimator, when was the last time you read the PPages, most would admit it was years ago. The average shop estimators goalong-to-get-along and in the end, they’re leaving a significant amount of money on the table—literally thousands of dollars weekly.”

In the end, shops need to start treat-

ing paint like a part. “Shops can prove exactly what they use down to the hundredth of an ounce and to the penny, plus provide an invoice that lists exactly what was required,” he said. “The operation times may be enough, but multiply it by an ambiguous refinish rate, that is subject to arbitrary ‘user defined’ refinish reductions that is further complicated by variable paint cost and it’s easy to see the problem is out of control. Shops must provide a materials invoice to eliminate this estimating shell game. Insurance companies must reimburse their insureds with reasonable compensation for the damages covered under their policies.”

Using Defibaugh’s techniques, shops can get paid for the material they’re using on each repair. “The insurance companies are taking a 50% deduction on refinish time that Motor calculated to be 26%,” back in 2004, he said. “So if they can’t rely on refinish time for proper reimbursement, they should use their paint management software to prove the real cost of repairs. In the end, it all comes down to building a case and backing it up with refinish standard (P-Page) facts.”

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 23

Mercury Names the Safest and Most Affordable Cars to Insure for Teens

Kia Sportage is the most affordable vehicle with a NHTSA 5-Star Safety Rating to insure for teen drivers, accor- ding to Mercury Insurance’s newest Top 10 list.

The National Highway Traffic Safety Administration’s (NHTSA) 5Star Safety Ratings Program provides consumers with information about the crash protection and rollover safety of new vehicles, with more stars equaling safer cars. Mercury Insurance recently analyzed vehicles that received five stars to determine which would be the most affordable to insure for teen drivers.

The company examined 2016 model year vehicles for which ratings are available to compile the list, which was created based on the Mer-

cury price for full coverage—liability, comprehensive and collision—in California.

Here is the complete Top 10 list for 2016 vehicles with a 5-Star Safety Rating, beginning with the cheapest to insure: Kia Sportage Kia Soul Hyundai Tucson Honda CR-V LX Honda Fit Hyundai Elantra GT VW Golf Sportwagen SW Subaru Outback Dodge Dart Honda HR-V EX

“Teenagers are statistically the most likely to be involved in a collision, so it’s important for them to be in a vehicle that offers them the most protection if that happens,” said Jim Reeves, group manager, R&D for Mercury Insurance. “Mercury’s hope for members of our community is that they remain safe, and we’re proud to be able to provide them with affordable insurance options to help them do that.”

Continued from Cover

RSR Technology

from the Department of Energy to work with Honda R & D Americas, Inc and Ohio State University to continue to demonstrate the use of RSR joining on a prototype scale. Ultimately, the goal is to enable multi-material automotive body structures that achieve an additional 10–20% weight reduction over those made from conventional high strength steel.

“We are working with Alcoa on advanced alloys and the RSR joining technology in conjunction with the Department of Energy because we are optimistic about the new value these advanced technologies will enable us to deliver to our customers in terms of performance and fuel efficiency,” said Eric Boettcher, Technical Leader, Advanced Body Design of Honda. Multimaterials in vehicles can achieve lightweighting objectives and improved performance so Alcoa developed the RSR technology to enable automakers to join a variety of dissimilar materials, including conventional aluminum, high-strength aluminum, steel, highstrength steel, ultra-high strength steel,

magnesium and composites. It can be used in nearly any application, including frames, floors, closeout panels, pillars, roofs, seats and intrusion beams.

Notably, automakers can utilize Alcoa’s RSR technology with minimal modifications to existing production lines. Conventional spot welding equipment and robotic automation can be adapted for use with RSR technology, which can easily shift between material combinations and fastener types. Alcoa expects the first commercial application for the RSR technology by 2018. RSR technology has been in development for several years as a pilot program at the Alcoa Technical Center (ATC) near Pittsburgh, PA and manufacturing facility in Waco, TX. The team has also been working on developing the rivet feed system in its Kingston, NY facility.

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Th The Carcoon A W Features: tttur The T Th he C Carcoon Ca C arcoon America arco Amer Am A America eriiica ca Workstation W Workstation orkk ork ksttati kst ati tiion io i nF Fe F ea e eat atures: a tu es: tures: es

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Shop Strategies

Stacey Phillips is a freelance writer and editor for the automotive industry.

She has 20 years of experience writing for a variety of publications.

She can be reached at sphillips.autobodynews@gmail.com.

Mohawk Collision’s New Collision Facility in the NY Capital Region Has “Fixed What Was Broken” and Built a Solid Business with Stacey Phillips

About five and a half years ago, Gerry Rosenbarker took over as collision center manager at Mohawk Honda in the Capital region. Based in Scotia, New York, Mohawk Honda is an Elite President’s award winner and one of the top Honda dealers in the country for volume. Rosenbarker recently had the opportunity to help design and set up a 23,666 state-of-the-art collision

Mohawk Honda is based in Scotia, New York

repair facility, located near the dealership. Autobody News spoke to Rosenbarker about the new facility and what makes it so successful.

Congratulations on the opening Q: of the new collision repair facility this past December. Can you tell

us what prompted the move?

way of doing things. The shop had been operating like it was in the 1970s rather than the 2000s. A lot of it was putting the right people in the right places and just coming into it with a fresh look at things. We stepped back to figure out where are we broken the most and we started working on fixing those problems.

We would take everything possible on the spot. Anything that came into the door that we could close right then, we would put the customer in a rental car and lock the car down. We didn’t give them the opportunity to go to two or three other shops that might at that point in time might have had better customer service than we did. Our service department was solid but our customer service wasn’t up to par in the collision center.

We always had a good reputation for quality work but without the service to back it up and without the follow through from management, it didn’t make any difference.

Our old facility had 13 stalls, A: one booth, and only one door.

When you were designing the The building was 80 years old. It used Q: new facility, what were the most to house our dealership and

then we had an opportunity to move the dealership about six years ago. The company purchased a new property and built a state-of-the-art facility. Meanwhile, the collision center stayed in the old facility until recently.

Meanwhile, our prior collision manager had left the The heavy and light body shop floor in the Mohawk company and I took over that Honda collision center position. I reassembled the team and we started building up the Important components you wanted to collision repair shop. We changed include? quite a few things, came up with some The single most important thing standard operating procedures (SOPs) we built in was the proper flow. and started operating differently.

In our old facility, it was very difficult How have operations changed to get cars from one end of the shop to and what has the benefit been? the other without moving four or five cars first. When we were planning the We basically changed every- new facility, we started with a clean thing that was the old broken sheet of paper and we built a proper

Q: A:

A:

26 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

flow in the building. Everything moves from one end all the way around in a horseshoe throughout the building.

Cars are constantly moving in a racetrack pattern and we never go back-

and raising the quality of expectations at your business?

are fortunate enough to have A: aWeNinety-five very dealer-loyal product. percent of the time

Honda customers go back to the dealership. That gives us an edge. However, we want to keep those customers from going other places.

It actually worked so well it overwhelmed us early on. I couldn’t hire people quickly enough to handle the amount Reassembly and detail area in Mohawk Honda’s collision of work. We went from a repair shop shop that was in a situation where we had slow weeks, then busy ward. We now have seven doors that weeks—the standard peak and valleys we can use to get in and out of the fathat you see in the industry—to being cility. a shop that was consistently booked What was the result of focus- six weeks out. ing on good customer service See Mohawk Collision, Page 29

Q:

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 27

28 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

Continued from Cover

OSHA Whistleblower

novo, the claims. ● Depending on the statute, 30 or 60 days have passed from the date the employee first filed the claim with OSHA.

● OSHA has interviewed the employee.

● Federal investigators have evaluated the complaint and the employee’s interview to determine if the basic elements of a retaliation claim exist.

● Both the employee and the employer have had the opportunity to submit written responses, meet with an OSHA investigator and present statements from witnesses.

● The employee has received a copy of the employer’s submissions and had an opportunity to respond.

Once the employee submits the request for an expedited process, OSHA will provide one of three responses:

● it will dismiss the claim, which allows the employee to then file an ap-

peal with an administrative law judge; ● issue merit findings as quickly as possible; or ● deny the employee’s request for the expedited process.

Benefits of the New Program If successful, this program will be very beneficial to whistleblowers who struggle with the delays of the current system. As employers continue running their businesses while waiting for a response from OSHA, terminated employees are often looking for work, with added difficulty if they were fired. An expedited process can lead to quicker remedies for an aggrieved whistleblower, which include back pay, compensatory damages, punitive damages where authorized, attorney fees and reinstatement. Even if the outcome is that the employee’s claim is dismissed, an administrative law judge may grant all the same remedies as OSHA. Whistleblowers in the Western region, however, should be mindful that they must affirmatively request the expedited process. Without the request, OSHA will continue on its usual timeframe.

Audi Genuine Parts

to 13 employees and about $225,000 a month in total sales when we left that facility.

Before we moved, we had to shuttle things back and forth from the dealership where the customers dropped off their vehicles. We went from doing a standard wash of the car to a full detail.

We tried to give the car a facelift. It is pricey to do that, but I thought it made more sense to do that than to put billboards up all over the place. We already had the customers; we simply had to make sure those customers kept coming back and spread the word to their friends and family about the great experience they had at Mohawk Honda.

Now at the new facility with one DRP, we are operating with 23 employees and averaging $375,000 to $400,000 a month. The shop is always full and we don’t suffer the peaks and valleys that most facilities do. It has been phenomenal.

Continued from Page 26

Mohawk Collision

In the past, our closure rate was about 27 percent. Within six months of our new SOPs, we built that up to about an 80 percent closure rate on customers that we were writing estimates for.

What other types of changes did Q: you implement in your shop and with your technicians?

I am a big proponent of training. Our technicians are all IA: CAR gold trained now and we are a

Honda ProFirst certified body shop.

We work with AXALTA and all of our painters go to AXALTA paint schools.

All of our management staff and estimators go to AXALTA’s repair planning with Mike Anderson.

I’m sure you’ve heard that if you change too many things at once, you are going to fail. We changed everything! We should have failed so miserably. But I had a core set of guys, brought in new employees and we took that facility six years ago and went from five employees and an average of $50,000 a month in total sales

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Lean Operations

The Simple Rule on Pre-ordering Parts with David Luehr

There are numerous philosophies in our industry on the subject of pre-ordering parts. I have noticed that in some markets across the country, most people pre-order everything, and in other markets, not so much. So, just to clarify, a pre-order is when a collision repair shop orders the parts for a repair job after they have written an initial estimate with the expectation that they will have the parts they need onhand before the damaged vehicle is returned for its repair appointment. The thinking here is that we are attempting to reduce the repair cycle time by having the parts we need available to quickly fix the car when it arrives. This thinking makes sense, but only when executed properly.

Some collision repair companies, including some well-known large MSOs, believe that pre-orders are actually a waste of time, and therefore prefer to wait until the vehicle has been thoroughly disassembled and the damage has been properly analyzed prior to ordering anything. I also agree with this philosophy. So who is right? It depends.

In some parts of the country, primarily in rural parts of the country that are many miles away from a parts distribution center, pre-ordering is felt to be a necessity for obvious reasons. But in many markets today, you can have the parts you need within twenty-four hours, and in many cases, the same day you order them. This can make a difference in your particular pre-ordering philosophy. Regardless of your geographical situation, I would still challenge you to take a deeper look at your philosophy to understand why it is that you do what you do and if your philosophy is really helping you move cars through your shop efficiently, profitably, and with reduced chaos.

The sad truth for most shops that pre-order parts is that they are actually wasting a lot of time and resources simply because the estimate they are using to order the parts is inaccurate. When you pre-order parts from an inaccurate repair plan, you are setting yourself up for failure before the car has even arrived! Stop it! Even worse is that a lot of shops will actually order parts based off of an insurance company written estimate without even inspecting the car first. This is total insanity, and yet we do

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry.

David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

it anyway because we either believe it is normal or because the insurance company convinced us that it is the smart thing to do. The local insurance adjuster says “Here’s the estimate for Mr. Jones’ car, go ahead and schedule them for Monday and get those parts here first!”

Sound familiar?

A few of the problems we create by ordering parts from an inaccurate estimate include: ● Interruptions in continuous workflow ● Chaos and stress in the workplace environment ● Return parts and all the extra work it causes ● Strains on vendor relationships ● Poor cycle time ● Unhappy customers ● Unhappy insurance company relations ● Additional expense and lower profits

If you want to measure if your “pre-ordering” program is successful, consider this: with all things being equal when it comes to the use of aftermarket and recycled parts, the best shops in the country operate with a return rate of under 5%; most shops that are pre-ordering based on poorly written repair plans are operating well above 10% percent, and I have seen as high as 40%! You can see what yours is simply by viewing a parts report from your computerized management system. So not only are we guessing what parts we may or may not need during our “curb-written guestimate,” we often order “just-incase parts” with the thinking that we can take these off the estimate later on.

What a horrible way to treat our vendors! So what is the solution? What can you do to improve your cycle time while still reducing our return parts rate and make everybody happy? You may first have to change your philosophy.

In all the years that I have spent in this industry, I spent many of them doing a lot of stuff wrong. One day I was asked to challenge my own beliefs of whether pre-ordering was really the right solution, so I put it to the test. I quit pre-ordering parts, and I even quit writing as many estimates instead of favoring scheduling repair appointments instead of estimate appointments. At several collision repair businesses that

30 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

I was working with in the early 2000s, we actually improved our cycle time dramatically by refusing to order any parts (with a few exceptions) until we had disassembled the damaged vehicle and created an accurate repair plan. We had most complete parts orders within twenty-four hours and then the repair jobs would “fly” through the shop without all the usual interruptions. Repeatedly, we had managed to improve our keys to keys cycle time to a very respectable six to seven days on average without pre-ordering anything except some hard to find parts such as back-orders and some occasional recycled assemblies.

So what about those shops in rural parts of the country where they consider pre-ordering a must? Or how about some of those small jobs where it might make sense to pre-order so you can turn it in one or two days? I have some suggestions, but please give me a moment. After a period of time never

pre-ordering, I began to adjust my own philosophy a little bit, and here’s why: in recent years, I have been keenly watching some of the shops in other countries and particularly in the U.K. They have a set of challenges surpassing anything I had seen in America, yet many of them have amazing cycle times, some as low as 2-3 days on average! In the U.K., they have been forced into disciplines that required they reduce their work in process to only allow for vehicles on the property that were “production ready,” having all the parts on hand needed to get it through the shop quickly. With space in short supply and the need to give out loaner cars to their customers, these British shop owners have had to be very creative and disciplined with their systems. They have a simple philosophy, which I now share. Pre-order parts, but only if you have properly analyzed the damage first! They have a See The Simple Rule, Page 34

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 31

UTI Houston Graduate Shares Her Challenges and Triumphs in Male-Dominated Industry

by Victoria Antonelli

Three years into her undergraduate degree, Jasmine Storey made the decision to pursue her lifelong dream of working on cars. The Atlanta, GA na-

Jasmine Storey and fellow graduate Vernel Titus Simpson

tive transferred to Universal Technical Institute (UTI) Houston in September 2015, despite push back from her parents.

“Attending a trade school was always my first choice, so transferring to UTI Houston wasn’t a spur of the moment decision. It was one I had con-

templated for years prior to actually moving,” explained Storey. “I’ve loved the body lines and sleek finishes of cars since I can remember.”

Being the only woman in her classes, Storey said she had to prove herself.

“Before classmates called me by my name, [I was referred to as] ‘girl,’ ‘chick’, or my personal favorite ‘that female,’” Storey said. “I was constantly questioned and treated like a damsel in distress. I couldn’t just show up and be respected like everyone else.”

She added that she would refuse help just to make a point.

“If I couldn’t figure it out alone, my preference was to fail until I did to prevent having to be saved,” Storey explained.

She said she doesn’t know where she’d be without support from her friends.

“My closest friends knew I wanted to be happy and could be successful at whatever I put 100 percent into,” she added.

A year later in September 2016, Storey graduated amongst the top students in her class with a 3.94 GPA, three perfect attendance awards, several scholarships, and two job offers.

She specializes in refinishing and me-

chanical repairs related to collision.

Storey said the most rewarding aspect of attending UTI Houston was “being in a supportive environment where I didn’t have to validate why I love collision repair and refinishing.

Everyone understood.”

investment that will always yield a return,” she added.

In 5 to 7 years, Storey said she hopes to acquire her Master Technician status and prepare to enter management. In 10 to 20 years, she said she plans to own and operate a collision repair and refinish shop.

When asked what advice she’d give other women looking to pursue the same career path, she said, “Ignore the noise and have tunnel vision-like

Jasmine Storey repairs damage to the body of a vehicle

Storey said that, in her experience, the benefits of attending a trade school outweighed those of attending a four year program. “‘If you give a man a fish, he dines for a day. If you teach a man to fish, he dines for a lifetime,’” she quoted. “Hard skills equip a person with resources to live and work well for a long period of time. You also save money and are then able to make a living much sooner.

“A trade school education is an

Jasmine Storey takes a quick break to pose for a photo

focus. Set a goal of being and staying in this industry and fight to accomplish it everyday. Do not be deterred by naysayers. They aren’t going anywhere; become comfortable with this reality.”

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Automotive Recyclers Admonishes General Motors for Position on Recycled Parts

The Automotive Recyclers Association is admonishing General Motors and its Chairman and Chief Executive Officer Mary Barra for what it says is GM’s new anti-environmental position on the utilization of recycled GM parts.

“GM’s revised position statement on recycled and salvage original equipment manufacturers’ (OEM) parts, found on the corporation’s updated “Genuine GM Parts” website, significantly backtracks on the company’s economic stewardship commitments to conserve resources and protect the global environment, and contradicts its publicly stated Environmental Principles by now attacking the use of environmentally friendly recycled GM parts.

“Despite touting a commitment to the basic tenants of a circular economy—recovering all products, components and materials at their highest utility and value—GM now fails to embrace fundamental reutilization of their very own parts once they have left a dealership. It is reprehensible for GM’s corporate position to be one that does not support the reuse of recycled GM parts in vehicle repair while claiming a leadership role in the circular economy movement.

“The utilization of recycled OEM automotive parts has been widely accepted for decades and has a long track record of successful and safe use in vehicle service and repairs. In fact, GM acknowledged in their company’s 2010 position statement on the issue that

“Recycled original equipment parts may also be used for repair... A recycled original equipment part, may be an acceptable choice to maintain your vehicle’s originally designed appearance and safety performance.”

“GM’s revised position statement is not only a reversal, but is potentially misleading consumers with insinuations that recycled GM parts are “non-GM” parts. In the revised position statement GM includes the following paragraph: “Genuine GM Parts are designed and constructed using metals with specific properties, thicknesses and stamping features built to perform in a consistent and predictable way during a collision event. The use of non-OEM structural components may compromise the overall crashworthiness and occupant safety of General Motors vehicles in a subsequent collision. In summary, General Motors does not support the use of salvage or recycled parts in a vehicle’s repair. GM recommends the use of Genuine GM Parts in repairs to help ensure the vehicle is returned to pre-collision condition.”

“Recycled parts are not the same as non-OEM parts. GM parts do not cease to be OEM parts when moved from one car to another. References to the “use of non-OEM structural components” immediately before GM states that it does not support the use of salvage or recycled parts in the company’s position statement is deceptive and ARA believes

Continued from Page 30

positive impact on their cycle time and customer satisfaction as well as their return parts percentage.

The Simple Rule

system that is popular in the U.K. with shops and insurers alike called Vehicle Damage Appraisal or “V.D.A.” VDA is a standardized method that performs temporary minor disassembly on drivable vehicles through scheduled damage appraisal appointments with their customers.

The simple rule: “Pre-order parts, but only if you have properly analyzed the damage first!”

Lately, I have been working with a handful of shops around the U.S. that have also been applying this way of thinking. One shop I work with uses what they call “Enhanced Estimating” that schedules forty-five-minute estimating appointments for their customers. Their program has proven to be very effective and has had a serious

Conclusion Perhaps you will share my philosophy to only pre-order parts when you know the true extent of the damage. And do yourself another favor: insist on placing one order and receiving all the parts on a single invoice whenever possible (unless ordering from multiple vendors). Don’t let the dealer’s parts guy send out partial orders just so he or she can make their commission. If anything, they will be more motivated when they know they can’t ship until the order is complete! Something else to consider is that top shops commonly require complete parts orders to be delivered the day prior to the scheduled arrival of the vehicle. Whether you consider scheduling “Enhanced Estimates” See The Simple Rule, Page 56

34 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

it is stated in this way to confuse consumers into thinking that recycled GM parts are not GM’s components.

“As their market shares shrink from legitimate competition, auto manufacturers have responded with unfounded attacks and misleading information about recycled OEM parts and other part replacement options. ARA believes that the Federal Trade Commission should take a serious look into the actions of GM and other auto manufacturers that continue to engage in activities that malign the recycling of their own products without a shred of research to substantiate their claims.

“GM and other manufacturers continue to fail to cite any specific data or research to back up their claims that recycled parts are inferior to new parts.

“We believe the campaign by GM continues to be part of a coordinated and concerted effort among auto manufacturers to limit competition in the automotive parts replacement market by engaging in an ongoing campaign to undermine the recycled OEM part market,” says ARA CEO Michael E. Wilson.

“Regrettably, GM’s revised “Genuine GM Parts” campaign seems to be

a rather transparent attempt to hoodwink consumers to boost sales of expensive “new” parts and malign entirely appropriate, environmentally beneficial recycled GM replacement parts,” says Wilson.

“Recycled OEM parts are genuine OEM parts built to the same quality, durability, fit and finish specifications as new replacement parts. These recycled OEM parts went through the same rigid GM testing to ensure they are integrable and functional with all specified vehicle systems. These recycled parts are fully functional and in most cases match or exceed the condition of the components before the repair or service.” explains Wilson.

It is disappointing that GM has now taken a corporate position to disavow basic reuse principles that offer undisputed environmental benefits.

ARA believes that GM should stand by the durability and quality of the parts it produces and calls on GM leadership to cease their current anti-environmental and misinformation activities related to maligning recycled GM parts—the very parts that they manufactured.

No response yet from GM.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 35

CAA Supports Changes to Anti-Steering and Labor Rate Survey Regulations

by Ed Attanasio

Before any regulation goes into effect, it has to be carefully reviewed, re-written in many places, edited and tweaked before it becomes more than just text written on pieces of paper. Until regulations are reviewed by all of the parties involved, they are discussed at public hearings while lawyers and other stakeholders go through the fine print wordby-word. After passing through various stages, a regulation is finalized and is hopefully on its way to becoming a rule, but obstacles can often impede it from reaching its ultimate goal.

Despite its most recent set of changes, the California Auto Body Association (CAA) still supports the new versions of the anti-steering and labor rate survey regulations that they have been working with in conjunction with California Insurance Commissioner David Jones for the past six years or more. With the enactment of both regulations now in sight, CAA Lobbyist Jack Molodanof is hopeful, but wary as well.

“The California Department of Insurance (CDI) received a ton of feed-

back in the form of comments and suggestions, many of which occurred after the DOI’s April hearings about both regulations,” Molodanof said. “Based on these, the department made a series of revisions in reaction to the input. A few weeks ago, they released the new regulations to the public, and now there is a 15-day period in which people can only comment about the proposed changes that were made.”

From his many years as a lobbyist working in Sacramento, Molodanof has seen this process in action countless times. “This is the way things go, but there are usually fewer and fewer comments each time a regulation goes through this process,” he said. “We never know how many comments CDI gets, but the general idea is to let everyone have a say in what the regulations will eventually do so that there is a consensus and a regulation that shops, insurers and consumers can all live with.

“This is the funnel approach, where they aggregate comments and consider them carefully,” Molodanof continued. “There may be another round of changes after the designated 15-day period, or it could also be good

36 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

to go and the CDI will proceed and get them implemented. So this stage is another bite at the apple, so to speak.”

The final version of CDI’s proposed anti-steering regulation lightens the requirement that insurers must support statements made to a customer about the policyholder’s decision to work with a specific body shop. But it also alters the scope of what can be considered as an unacceptable statement, according to the revised regulation.

The labor rate survey regulations, even with these latest changes, will clarify the situation and standardize these surveys in order to make certain that they will provide equitable claim settlement practices for consumers.

“This regulation will finally enable insurers to conduct consistent and reliable auto body labor rate surveys,” Molodanof said. “CDI provided more information and clarification about the geocoding aspect of the regulation in order to determine how many shops from one area will be included in the surveys.”

With these most recent revisions to this regulation, CDI has expanded the number of shops to be included

because they discovered that in urban areas, you’re going to have more density. “They expanded it further to make it fairer for both the shops and insurers and make sure that the survey uses a representative sample,” he said.

“The geocoding is very accurate, so they can rather easily find the six shops closest to the shop surveyed by capturing their longitude and latitude and using this technology.”

Will this be the last round for these regulations before they go into practice? “If I were to guess, I would say yes, unless there are some comments that for some reason will require a further response,” Molodanof said. “I doubt it, but it can happen.

There have been numerous workshops, hearings and several rounds of changes, so these things should be ready to roll. CDI has invested a lot of time and effort into working with all of the various stakeholders and have really reached out to everyone to get their feedback. They have been very thorough and fair, and these regulations have been well thought out, so I can’t imagine that there would be another round of changes at this point.

The next step is to send them to the Office of Administrative Law and get them reviewed there.”

Perhaps most importantly, how are the insurance companies going to respond to the new regulations once they go into effect, we asked Molodanof. “Are they going to litigate; that is an excellent question. In the meantime, they are waiting on that Supreme Court case that questions CDI’s authority to enforce regulations like these at all. Can that impact these regulations? Maybe. Will the insurance industry file a lawsuit to stop these regulations, like an injunction? They could do that as well. Or do they introduce new legislation next year to fight them? There are a lot of intangibles out there right now and only time will tell.”

Molodanof said that the time to pull the trigger, light that candle and get these regulations implemented is now. “Overall, the package is not perfect, but the CAA is still supporting it because it goes a long way to address a lot of the concerns about steering and labor rate surveys in the auto body repair industry. So let’s get these regulations done and implemented.

At some point, there is only so much tweaking you can do.”

Class Action Filed v Ford Motor Co. Over Panoramic Sunroofs During the week of September 12, Simmons Hanly Conroy, one of the nation’s largest law firms focused on consumer protection and mass tort actions, filed a class action complaint in the U.S. District Court for the Eastern District of California against Ford Motor Company, alleging that large glass panoramic sunroofs on some Ford vehicles have spontaneously shattered.

Simmons Hanly Conroy is co-counsel in the case with Greg Coleman Law PC of Knoxville, Tenn., a prominent class action firm.

The lawsuit claims that the shattering sunroofs pose a serious safety issue because many drivers report that the startling effect of the glass explosion causes accidents or near-miss accidents in addition to some drivers and passengers being cut by falling glass.

According to the complaint, “The shattering events are so powerful that startled drivers compare it to the sound of a gunshot, after which glass fragments rain down upon the occupants of the vehicle, sometimes while driving at highway speeds.”

The action seeks national and state class certification, injunctive relief, and damages on behalf of plaintiffs and others who bought or leased a Ford, Lincoln, or Mercury vehicle with

a sunroof that spontaneously shattered.

“We trust that the vehicles we choose to drive will keep us and our families safe from accidents, including those caused by defects that car manufacturers have incorporated into their automobiles,” said Simmons Hanly Conroy Shareholder Paul Hanly, lead counsel for the plaintiffs in this case.

“Car manufacturers must be held accountable for defects that contribute to accidents and injury to drivers of their vehicles.”

At least 70 owners of Ford vehicles have reported to the National Highway Traffic and Safety Administration (NHTSA) that at least 80 panoramic sunroofs have shattered. The complaint alleges Ford has known about this problem since at least 2008 due to complaints to the NHTSA about defective sunroofs shattering in the Ford Edge.

Ford has been the subject of an ongoing investigation by the NHTSA on this issue since May 2014.

Hanly added, “While several other automakers, including Volkswagen and Hyundai, have initiated voluntary recalls on their vehicles experiencing the same sunroof-shattering defect, Ford continues to deny owner and lessor warranty claims, much less to institute a recall of these defective vehicles.”

According to the complaint, sunroofs began evolving in the mid-2000s from what were modestly-sized portions of the roof over the driver and front passenger seats, to those that cover almost the entire roof. The expanded sunroofs have posed new and significant engineering challenges because the required tempered glass plates take up much of the surface area of the vehicle’s roof, requiring precision in strengthening, attachment and stabilization. Ford has sold at least a million vehicles with the panoramic sunroof, often called the Vista roof, in the United States since 2007. Marketed as a luxury upgrade, the high-cost, panoramic sunroof option attracted the plaintiffs in this case, as well as others, to buy or lease Ford vehicles over less expensive models without the “glass roof.”

The case is Douglas Krebsbach, et al. v. Ford Motor Company, Cause No. 2:16-at-01154; In the District Court for the Eastern District of California. The named plaintiffs in the case are Douglas and Kathleen Krebsbach of Folsom, CA, and James and Martha Alexander of Foley, AL.

www.autobodynews.com CHECK IT OUT!

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 37

CAA Hosts Gary Ledoux from American Honda * 2012-14 Honda CR-V has a 780 MPa body steel limit – No UHSS The California Autobody Association * 2015 model looks similar, but add Glendale/Foothill Chapter met on 980 & 1,500 MPa steel September 21 at 6pm at Los Angeles * Welding restrictions are required Trade Technical College (LATTC). when repairing 2015+ models The meeting started with the * This information can be found in the Pledge of Allegiance, led by chapter BRM Ledoux’s next set of slides depresident and manager of Eli’s Colliscribed Honda and Acura sion Repair, Hillel Shamam.

Shortly after, a Mexican1,500 MPa steel usage: style buffet was served to the ● Where is 1,500 MPa typiattendees, courtesy of the cally used in the vehicle?

LATTC culinary program. * Front door opening and sill Gary Ledoux, Assistant areas; usually applied at National Manager at Amerimodel changes can Honda Motor Co., Inc., * May be one or multiple CAA Glendale/ then took the stage to discuss pieces Foothill Chapter the OEM’s repair procedures * Highest strengths generally President, Hillel and certification programs. used in front and center pilShamam Ledoux started his preslars, plus side sills entation by framing the question, * Steel usage patterns have some sim“What’s driving body design change?” ilarity, but always refer to BRM He detailed his points in a Powerpoint ● 1,500 MPa steel unique repair representation: quirements: ● Every automaker must meet * No sectioning allowed; replace comthese two targets: plete parts only at factory seams using * Fuel efficiency STRSW and MIG Brazing according * Cars that are more crash worthy to BRM procedures ● He then reviewed Honda and * MAG welding prohibited except as Acura’s use of high strength specified in BRM steel (HSS) and ultra high * Use manual spot welding strength steel (UHSS): conditions in BRM, not * HSS introduced on certain welder’s auto mode redesigned 2001 models Ledoux followed up with * Strengths limited to 340, basic sectioning rules and 440, & 590 MPa through tips for the attendees: 2006 * Only steel parts with tenGary Ledoux, * 780 and 980 MPa steel in- Assistant National sile strength < 780 MPa may troduced between 2007-09 be sectioned Manager at American Honda models * New guidelines are not a Motor Co., Inc. * 1,500 MPa steel introduced “Sectioning Free-For-All” (file photo) on some 2009+ models * Design requirements make ● Where is HSS/UHSS used in areas of many vehicles ineligible for the 2015-17 Honda Fit model series? sectioning * Multiple grades of HSS/UHSS used * All conditions must be observed and in body construction met to avoid unsafe repair * Highest strengths generally used in * Sectioning must be done only in a front & center pillars/side sills single-layer area of part * Steel usage patterns have some sim- * Multi-layer internal steel reinforceilarity, but always refer to body repair ments and stiffeners must not be cut manual (BRM) He then disclosed what informa● Where is HSS/UHSS used in tion the free body repair news publicathe 2015-17 Acura TLX model series? tions from Honda and Acura provide * One-piece 1,500 MPa door outer to shops: stiffener ring, like 2014+ MDX * Body structure—grades of HSS/ * Replaces multiple welded parts of UHSS and where used different steel grades * Aluminum/magnesium body com* Must be replaced as a complete unit ponent location and repair at factory seams – NO SECTION- * How to use heat for straightening ING! and sectioning during collision repairs ● Looks can be deceiving. HSS/ * Approved welding/brazing proceUHSS and Minor Model Changes: dures and wire requirements

by Victoria Antonelli

38 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

* Airbag system and general electrical repair requirements/guidelines * Special tool and repair requirements for driver support systems Ledoux then outlined the different OEM body repair training programs that are now available online for Honda and Acura through I-CAR: * HON10e - Using Honda & Acura Service Info * HON11e - Honda & Acura High Strength Steel Repair * HON12e - Honda & Acura Restraints Collision Repair * HON14e – Honda & Acura Electrical Collision Repair * HON15e – Honda & Acura A/C Collision Repair * HON16e – Honda & Acura TPMS Collision Repair

Ledoux then discussed why shops should be ProFirst Certified: * Honda and Acura products are increasingly sophisticated due to new technology used * Technicians cannot properly repair today’s cars with yesterday’s tech, tools and methods * Shops will gain increased recogni-

tion for their professionalism * Helps promote customer confidence and loyalty * Increased opportunities to reach more people * Receive cost and time-saving tools to help technicians make a better, faster repair Ledoux concluded with a discussion about what’s next for Honda and Acura: * Towing—Collision-damaged Honda and Acura vehicles towed to closest ProFirst shop via roadside assistance program * KPI Dashboard—allows shops to compare themselves to other ProFirst shops throughout the country * A new ProFirst Quarterly Magazine (to be introduced at SEMA 2016) features tech articles, new model information, shop best practices, guest editorials, shop profiles, and more.v Fred Morago, collision instructor at LATTC, took the stage after Ledoux to thank everyone for coming out and supporting the local technical college.

The meeting ended with a raffle, and a word from the president. Shamam See CAA Presentation, Page 44

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 39

Portland, OR, Body Shop Owner Becomes Homeless Advocate handlers and judge them,” he said. “Get a job, I would tell them. But I wasn’t In our October issue we ran an article looking at them clearly or with compasabout Steve Spinnett, a Portland body sion until one incident changed my shop owner who became an advocate mind forever. It was a complete turnfor local homeless people. Autobody around and it happened in about a News reached out to Spinnett to learn week.”

One Sunday evening, Spinnett had more about him and his progression toto run by his shop to pick something up. wards advocacy.

Steve Spinnett has owned and opAs he entered the business, he noticed a erated Steve’s Imports in Portland, OR tall black gentleman across the street for the past 40 years, doing car restoralooking at his shop. “I was a little surtions, collision repairs and offering the prised, so I went over to him and asked full gamut of mechanical repairs. He him what he was doing. He told me that does $2.5 million in business annually he was watching my business for me, so with 20 employees. He works with his that no one would break in. ‘That’s my job,’ he said. ‘If anyone messes with your shop, they have to go through me.’”

Spinnett was fascinated by the remark, so he introduced himself to the homeless man, Otis “Diamond” Britton, a 6’7” African American man who had lived on the Springwater Trail right next to Steve’s Imports for the past five years.

Britton introduced Spinnett to (l to r) Thommy, Steve and John Spinnett run the show at Steve’s Imports in Portland, OR, a business Steve started the world of being homeless, 40 years ago. When he saw homeless people living in a and with understanding came camp near his shop, he decided to take action compassion. “Through Diason Johnny, who is the shop’s manager; mond, I met a lot of other homeless peohis other son, Thommy, who is the shop ple,” he said. “I discovered how these foreman and his daughter Rebecca, folks were living and heard their stories who runs the front office. Steve’s Imand my whole attitude changed. So I ports is truly a second-generation family asked myself—what can I do for these business. folks without giving them hard cash?”

Whenever Spinnett, 62, sees someAfter asking the right questions, thing that moves him way one or anSpinnett was able to find a significant other, he doesn’t just talk about it—he way of helping the homeless living near acts. Once a conservative small-town his shop. “Diamond told me that water mayor in Damascus, OR, Steve isn’t and electricity were important and it afraid to take on issues that enter his life would make their lives easier if they and affect him. could get more access to it,” he said. “So His time as a mayor ended up being they now can use our hose at any time more like a Mr. Smith Goes to Washfor water and they can charge their cell ington scenario, but Spinnett looks back phones right outside the shop with a few at it as a valuable learning experience. electrical outlets that we provide. Except “I saw some elitist behavior going on at for leaving the water on one time, they that point, related to land use, so I dehave not taken advantage of it, which cided to jump into local politics and then shows that they appreciate what we’re I jumped out,” Spinnett said. “But the doing.” experience was an eye-opener about When Portland Mayor Charlie things like power, human nature and Hales said he was going to get rid of the how politics works, so I’m happy that I homeless camps on the Springwater did it.”

Trail a while back, Spinnett wasn’t One of the major problems with going to let it happen without a fight. homelessness is that most people don’t “We got them an additional month, but want to deal with it or consider homethen they did a sweep and shut it down,” less people to be losers, addicts or crahe said. “They’re not working on the zies. One of those closed-minded people problem—they’re just moving it around admittedly was himself, Spinnett exand hoping that it goes away.” plained. “I would walk by these panBy studying the cause of homelessby Ed Attanasio

40 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

ness, Spinnett is able to help homeless people more effectively, he said. “There are three types of people living out on the street and I have encountered all of them. One-third is what I call legitimate homeless people who have experienced some form of trauma and can’t get out of their current situation. Another onethird of them are straight up addicts, either hooked on drugs or alcohol, and

One day, Steve Spinnett got into a conversation with Otis “Diamond” Britton, a homeless man who had lived on the Springwater Trail right next to Steve’s Imports for the past five years. Their brief encounter changed both men’s lives as a result

they obviously need legitimate help to get off them. And the last one-third is the criminal element. They prey on the homeless and they deal them the drugs.

I know what the drug dealers look like

now. They wear the same backpacks with their goods in there and it’s sickening to see.”

One young woman that Spinnett encountered at the homeless camp broke his heart, so he reached out to help her and change her life, he said. “She was selling herself for $10 in order to get her next fix. She was skin and bones and I could see that she was going to die pretty soon. So I got her in our church and connected with a local family. She has been clean now for a while and is going through treatment. She gained 10 pounds and recently reconnected with her father, so hopefully this story will have a happy ending.”

Spinnett’s next mission involves education and compassion, he explained. “I am trying to get business owners and residents to start looking at the homeless differently. Some of their problems are self-inflicted and others are caused by bad luck or other issues, but in the end, they are human beings who have struggled in their lives for whatever reason. They need to be loved and treated like people, but too many folks categorize them and believe that they are subhuman.”

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 41

H ONDA C ONN ECT I CUT

Lia Honda of Enfield E n fie l d

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Please contact these dealers for your Honda or Acura Genuine parts needs.

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Dept. Hours: M-F 8-5; Sat 8-4 kbennett@liacars.com

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Nor tha mpto n

800-893-3030 856-692-4449

Dept. Hours: M-F 7:30-5:30; Sat 9-1 parts@lamacchiahonda.com

Dept. Hours: M-Thur 8-6; Fri 8-5; Sat 8-4 joseph.sciacca@jlfreed.com

Dept. Hours: M-F 6:30-5; Sat 7:30-3 dave@rossihonda.com

Lia Honda of Albany

Shadyside Honda

800-369-7889 413-586-6043 Dept. Hours: M-F 7:30-5:30; Sat 8-4 dstanisewski@liacars.com NE W J E R S E Y

Clinton Honda Ann a ndal e

908-735-0900 Dept. Hours: M,Tue, F 7-6; W, Thu 7-7; Sat 7-4 chrish@clintonhonda.com

Honda of Turnersville Tur ne rs vill e

800-883-0002 856-649-1584 Dept. Hours: M-F 8-6; Sat 8-4 sbaptist@penskeautomotive.com

NE W J E R S E Y

Route 22 Honda Hi lls id e

973-705-9100

A l ba n y

800-272-6741 518-482-2598

Dept. Hours: M-F 7-7:30; Sat 8-5 rt22hondaparts@route22honda.com

Dept. Hours: M, T, W, F 7:30-5:30; Thur 7:30-8; Sat 8-5 apersaud@liacars.com

VIP Honda

Lia Honda of Williamsville

Nor t h P lain f i el d

908-753-1680 Dept. Hours: M-F 7:30-6; Sat 8-3 kevinh@viphonda.com NE W YO RK

Babylon Honda We s t Ba by lo n

W i ll ia m sv il l e/ B u ff a l o

877-659-2672 716-632-3800 Dept. Hours: M-Thu 7:30-8; Fri 7:30-5; Sat 8-5:30 liaparts@liacars.com

Dept. Hours: M-F 7:30-5 shadysidehondaparts@hotmail.com

Sussman Honda Ro sl yn

800-682-2914 215-657-3301 Dept. Hours: M-F 8-5; Sat 8-1 rendrick@sussmanauto.com

Ray Laks Honda We st S e ne ca

631-669-5800

716-824-7852

Dept. Hours: M-F 7-7; Sat 7:30-3:30 babylonparts@aol.com

Dept. Hours: M-F 7:30-8; Sat 7:30-5:30 ekuznicki@raylaks.com

NE W YO RK

Pi ttsb u rg h

800-468-2090 412-390-2908

PEN NS YLVANIA

PEN NSY LVAN IA

Elite Acura

Curry Acura

Apple Acura

Ma p le Sh ad e

S c ar s da l e

Yo r k

E mm aus

856-722-9600

800-725-2877 914-472-7406

877-5APPLE5 717-849-6639

877-860-3954 610-967-6500

Dept. Hours: M-F 8-6; Sat 8-5 parts@curryacura.com

Dept. Hours: M-F 7-5:30; Sat 7-3 parts@appleacura.com

Dept. Hours: M-F 7-5; Sat 8-5 mustafa@vinart.com

Paragon Acura

Baierl Acura

Sussman Acura

Woo d s i d e

Wexfo rd

Jen kint own

718-507-3990

800-246-7457 724-935-0800

800-826-4078 215-884-6285

Dept. Hours: M-F 8-5; Sat 8-1 johnsabella@baierl.com

Dept. Hours: M-F 8-5; Sat 8-1 rendrick@sussmanauto.com

Dept. Hours: M-F 8-5; Sat 8-4 bmartinsen@group1auto.com

Park Ave Acura Ma ywoo d

888-690-7621 201-587-0028 Dept. Hours: M-F 8-6; Sat 8-3 jon.tangen@parkaveacura.com NE W Y O R K

Acura of Westchester We st ch est er

914-834-8887 Dept. Hours: M-F 7:30-8; Sat 8-4; Sun 9-4 acura.parts@yahoo.com

Dept. Hours: M-F 8-6; Sat 8-5; Sun 9-4 johnp@paragonacura.com

Smithtown Acura St. James

888-832-8220 631-366-4114 Dept. Hours: M-F 7:30-5:30; Sat 8-4 parts@smithtownacura.com

Lehigh Valley Acura

Davis Acura L a ngho r ne

866-50-ACURA 215-943-7000 Dept. Hours: M-F 7-7; Sat 8-4 markh@davisacura.com

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 43

Latest ‘Who Pays for What’ Survey on Aluminum Repair, Shop Supplies Underway

The latest “Who Pays for What” survey focuses on shop billing and insurer payment practices for aluminum repair and shop supplies.

The final “Who Pays for What?” survey for 2016 is now under way, this time asking shops about their aluminum repair labor rates, and which of more than 20 shop supplies they bill for and are paid by insurers. The survey is open through the end of October, and can be accessed at: www.surveymonkey .com/r/7P3PPH9 The series of four different surveys each year are conducted by CRASH Network and Collision Advice. Newlyreleased data from the “Who Pays for What?” frame and mechanical labor survey conducted in July shows that although more than 30 percent of shops surveyed said they are paid “always,” or “most of the time” for the labor to protect open fuel or air conditioning lines to prevent contamination, almost two-thirds of shops said they never have included a charge for these “notincluded” operations on an invoice when the procedures needed to be done.

“This is something you have to do, something the automakers call for,” Mike Anderson of Collision Advice said. “These numbers make me wonder if shops aren’t protecting these lines

when they need to, or if they just aren’t thinking about charging for it. They need to ensure technicians are doing it, even if the shop chooses not to get paid for it, so these systems don’t get contaminated.”

More than 750 shops from around the country participated in the July “Who Pays for What?” survey, and many reported being paid more regularly to perform some of the “not-included” repair operations compared to the same survey a year ago. The 32 percent of shops who reported this year being paid to “protect open air conditioning lines” was a 7.6 percentage point increase from last year.

“Participating in the surveys can be a good reminder of ‘not-included’ operations your shop is performing so you can decide whether to include them as line items on your estimates,” Anderson said.

Each of the four unique surveys explores a different area of shop operations. Previous surveys examined “Who Pays for What?” in terms of body labor, frame/mechanical labor, and refinish operations.

The current survey focuses on aluminum repair labor rates, as well as about two dozen shop supply items, asking how frequently shops are paid

for each by the eight largest auto insurers in the country.

Survey participants will receive a 60-page report with complete survey findings, broken down by region, insurer and DRP vs. non-DRP, at no charge. The report also includes analysis and resources to help shops better understand and use the information presented.

Anderson said the survey, which will take about 15-30 minutes, should be completed by the shop owner, manager or estimator who is most familiar with the shop’s billing practices and the payment practices of the largest national insurers. Each shop’s individual responses are held in the strictest confidence and are not released in any way; only cumulative data is released.

The results of previous surveys are also available online (https://www .crashnetwork.com/collisionadvice).

Collision Advice (www.Collision Advice.com) is an independent training and consulting firm featuring some of the most respected and experienced experts in the collision repair industry. CRASH Network (www .CrashNetwork.com) is a subscription newsletter offering news and information not available from other industry sources.

Continued from Page 38

CAA Presentation

thanked the guest speaker, Ledoux, Mitchell for sponsoring, Axalta for the raffle prizes, LATTC for a providing the facility, parking, food, and service, as well as all those who attended.

“We are starting an advisory meeting for LATTC’s collision repair program and we could use as much participation as possible as it only benefits our industry,” Shamam stated in a follow-up email to all CAA Glendale/Foothill members. “We will have our first meeting on Wednesday, November 16th. Please let me know if anyone is interested.”

He also enclosed in the email new regulation amendments in regards to the Anti-Steering law and labor rate surveys and encouraged members to give feedback.

The next CAA Glendale/Foothill meeting will be held in January 2017.

Stay tuned for more details on the date and location.

For more information on CAA Glendale/Foothill, contact chapter president Hillel Shamam at Hillel@ elisauto.com.

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Bodyshop Revolution Expands to United States with Unique Technology & Processes workflow.”

The idea is to change the way the When I sat down to talk to Jon Parker, entire body shop operates including esowner of Bodyshop Revolution, he had timating, parts control as well as the just returned from a two-week trip that way the technicians repair vehicles. “By included stops in London, Paris, Dubai, changing the system by which they Singapore, Auckland and Melbourne. work, we can actually get much more Parker was traveling the world sharing throughput,” said Parker. The goal is to information about his UK-based comstrive for continuous workflow. “When we start repairing a car, we never stop repairing it until it’s finished.” Parker said the result is lower key-to-key cycle time, more efficiency in the shop, and tremendous cost savings.

Bodyshop Revolution was established in 2010. Two years later, collision repair shops in the United Kingdom began With no previous knowledge of the San Diego market, Patrick O’Neill opened Bodyshop Express a year and a implementing the company’s half ago processes. “When we came out pany’s technology and processes. They with this theoretic process to repair cars were created to change the collision reit was a big leap of faith for some of pair industry by providing a high-qualthese shops to actually change their ity and fast turnaround car repair. shops to do it,” said Parker. “We spent “We developed a process and techour own money building out our own nology that enables shops to halve their shop in the UK to actually prove it out.” cycle time from wherever it is today,” The company now operates in nearly said Parker. “If it is 10 days today, it every English-speaking country. will be five; if it’s seven today, it will be After expanding to the United three and a half. This is a game changer States, about a year and a half ago, to the way you repair cars.” with the opening of Bodyshop Express The process, which has been used in San Diego, CA. Owned by Patrick in Europe for more than 10 years, was designed for all types of body shops—whether they are dealer-owned, MSOs, large or small independents.

The equipment has been certified for use in the United States and there are currently 15 shops powered by Bodyshop Revolution across the nation.

The process is primarily O’Neill said he has been able to fill the shop with customers, bring in $300,000 to $400,000 per month based on the Theory of Constraints and systems thinking, which O’Neill, the body shop includes all of Parker said is something many are not the equipment, software and technolfamiliar with in the United States. He ogy from Bodyshop Revolution. explained that the Theory of ConO’Neill previously owned eight straints is based on understanding collision centers in Arizona and Newhich part of your business detervada, which he sold in 2012. He came mines throughput, the speed at which across Bodyshop Revolution’s unique things flow. He used the example of technologies in the UK and decided to turning over an hour glass. The narset up his own shop to better underrowest part in the center is where the stand the technology. With no previous sand slows down the flow. In terms of knowledge of the San Diego market, he a body shop, Parker explained that has been able to fill the shop with cussomewhere in a shop there is a slower tomers, bring in $300,000 to $400,000 part where it bottlenecks. “What we per month and form DRPs with several do is eliminate all of those bottle- insurance companies. necks,” said Parker. “It’s a process that O’Neill said there are four things is designed to provide continuous that stop production in the body shop:

by Stacey Phillips

46 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

departments, cure time, philosophy and beliefs, and mistakes. “Our goal is to eliminate departments and eliminate as many mistakes as humanly possi-

hicles. The shop’s cycle time is currently 3.9 days and touch times are 5.7 to 6.2 hours per day depending on the insurance company.

Parker said he has found there are typically two types of customers who are interested in implementing Bodyshop Revolution’s processes: those who own their own shop and want to retrofit the system into their business; and MSOs that are expanding into new shops.

“Rather than buying an existIn September, Bodyshop Express painted 264 cars with one ing shop where they need to spray booth and rolled prime on 98 percent of the vehicles change the culture and bring ble,” said O’Neill, who has found that them on board to their way of thinking the hardest thing to do is to get people and their own process, we try to perto step outside of their box and try the suade them to find a new building and new process. drop our solution straight in,” said “One of our value propositions is Parker. that we say you can get 55 cars a week A typical body shop has multiple through one paint booth (during a nortechnicians working on multiple cars. mal work-week) and you can run a Instead, each car is treated as an indibody shop without a prep deck,” said vidual project. “We create a very proO’Neill, who is also a distributor for fessional and organized working the technology. “We’ve been able to environment,” said Parker. Imagine a prove that.” In September, the shop perfectly white shop floor, with techpainted 264 cars with one spray booth nicians working on one car at a time. and roll primed on 98 percent of the veSee Bodyshop Revolution, Page 64

www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 47

Shop Strategies

Stacey Phillips is a freelance writer and editor for the automotive industry.

She has 20 years of experience writing for a variety of publications.

She can be reached at sphillips.autobodynews@gmail.com.

Chicago Body Shop Aims to Redefine the Collision Repair Experience for Customers with Stacey Phillips

Located in the Bucktown/Lincoln Park area of Chicago, Saif Yasin owns and operates Chicago Autohaus. In addition to its dealership and service center, the business opened a collision repair shop

most have come to know as the “body shop industry.” We are trying to set the bar for what auto collision services should be and how customers absolutely need to be treated.

A lot of the auto repair shops in the industry were started decades ago. We here at Chicago Autohaus are in tune with the new day and age of doing things. The industry has changed throughout the years and a lot of these older shops are stuck in traditional ways. We developed a unique repair process, utilizing new age technology such as picOwned by Saif Yasin, AutoHaus is located in Chicago, ture updates, texting alerts, Illinois etc. three years ago that has grown to beAt the same time, we are comcome one of the largest in the area. mitted to provide safe, high-quality reYasin said the shop is dedicated to propairs and work to return vehicles as viding excellent service and is redefinquickly as possible. We are proud of ing the collision repair experience for our swift response times, extremely customers. polite staff and outstanding rates.

What prompted the opening of What is the importance of exthe body shop and what is your Q: cellent customer service?

Q: primary area of focus?

Customer service is our numA friend of mine and I started A: ber one priority. We are dediA: out working at Flash Cab in cated to offering a variety of auto

Chicago, fixing friends’ cars.

We decided that we wanted to redefine the collision repair experience for our customers.

We opened the doors to this location in January 2014 and currently have about 12 employees.

From the beginning, we have offered all types of auto collision and repair services for local law enforcement agencies, family cars, dealer- Yasin said the company is committed to providing safe, ships, fleet management com- high-quality repairs for all of its customers panies and more. We also provide auto painting and vehicle cuscollision services and consider our tomization, such as vehicle wraps, customers as family members. Our headlight/taillight inner modifications slogan is, “We meet by accident, but and interior work. you leave as a friend.” Building relationships with our clients is very imWhat sets your business apart portant to us. from the competition?

We pride ourselves on giving clients the highest quality work and Chicago Autohaus is not your want customers to feel just as comstandard body shop. We model fortable fixing their luxury car as they our entire culture opposite of what are buying it. We know that their life

Q: A:

48 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

has been inconvenienced and getting their vehicles repaired is the last thing they want to do. It’s our job to get them back in the game as quickly and safely as possible. We also recently opened an Enterprise Rent-A-Car on our premises, which is convenient for our customers.

Are you part of a DRP (direct program)?

Q: repair We are mainly a State Farm diA: rect repair facility and have an average turnaround of four days. I be-

lieve this is one of the fastest drop off and pick up times among all State Farm preferred shops. We also do work with many insurance companies. We are a fairly new shop, but we have been pushing to get more DRPs lately.

Q:

What types of initiatives do you employ in your own shop

that you can share with others?

We’ve been around the auto inA: dustry for many years and we feel that the way we do things here surpasses other shops. We take our time, we make sure things are done right the first time, we treat every customer like a friend, and we make sure each car gets done as quickly as possible. No car just sits for long periods of time and we try to make sure everybody leaves happy. We also keep the shop as clean as possible and update our tools on a monthly basis. We constantly look for ways to become better.

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Continued from Cover

Federal Overtime

“One of the biggest problems that I see in this industry is shops that think, ‘If I pay that employee a salary, they’re exempt from overtime and I don’t have to worry about tracking their hours or paying them overtime,’” King said.

“But [payment by salary] is only one part of the test to qualify for that [par-

managerial work, and they must regularly supervise two or more workers, King said. They must have authority to hire and fire those employees, or at least have their recommendations as to those decisions given significant weight by the company. Those duty tests are not changing under the new federal regulation.

But in order to qualify for the overtime exemption, those employees also must be guaranteed a certain salary; that

King cited an example of a manyear to $913 a week ($47,476 annuager currently paid a guaranteed base ally). (See sidebar: “Legislation, lawsuits seek to adjust change to overtime salary of $30,000 (above the current minimum threshold) and who works an regulation”.) average of 50 hours per week “Don’t ask me how they came up with that number,” (but meets the other requireKing said, although he acments to be exempt from knowledged it was the first overtime). That manager also increase in the federal threshmay be getting additional incentive pay based on shop old since 2004. sales, gross profits, etc., but King said the change because that portion of indoes not necessarily mean Randy Stabler

Legislation, lawsuits seek to adjust change to overtime regulation

Unless the courts or federal lawmakers act, the minimum amount certain salaried employees will need to be paid to be exempt from overtime will increase dramatically as of December 1.

Although employers probably should act as if the change will occur as scheduled, several efforts are underway to challenge the Department of Labor’s

ticular] exemption for overtime.”

In order for such managers to be exempt from overtime, they also must meet certain duties tests, such as spending the majority of their time doing

new regulation.

First, officials from 21 states and more than 50 business groups filed two lawsuits in a federal court in Texas in September seeking to overturn the new regulation. Some legal experts think such lawsuits face an uphill battle, although they do say the challenge may put a halt to regulation’s annual in-

minimum income is what is slated to change nationwide as of December 1.

That minimum threshold is currently $455 a week ($23,600 annually) but that will more than double later this

50 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

creases (based on inflation) to the minimum amount exempt employees must receive.

Second, the U.S. House of Representatives this fall passed a bill that would delay the change in the overtime regulation for six months (presumably in the hopes that a new Administration would be less supportive of the in-

shops with a manager paid a salary under the new higher threshold have to necessarily increase that pay. A change in the manager’s pay plan can suffice.

creased minimum salary requirement).

But that effort seems unlikely to succeed, given that similar legislation would have to be passed by the Senate and signed by the President (who has promised to veto any such legislation) in order to become law before the overtime change is slated to go into effect December 1.

come is not guaranteed, it cannot be taken into account when determining if the minimum salary threshold for the overtime exemption is being met.

King said the shop could convert

that $30,000 guaranteed salary to an hourly wage instead. At $10.50 per hour, that employee would still be making $30,000 per year for the same number of hours (40 hours per week at $10.50 per hour, plus 10 hours per week at $15.75).

“You’re not cutting their pay,” King said. “You’re just changing the manner in which you get them the pay for the same hours and the same work they have been doing.”

The managers will also have to punch a time clock to ensure the business tracks their hours worked, King said. If the manager is paid a bonus or commission on top of the hourly wage, the business will also have to pay overtime on the incentive pay (dividing

bonus dollars by clock hours worked to determine a regular rate, then paying 1.5 times that rate for all overtime hours worked).

King said several shops that are his clients have made such an adjustment in pay plans, and not surprisingly found some managers were apprehensive about the change. But once they go through several pay cycles, they see that it’s not impacting their income, King said.

“You help them understand the mindset that this is what you probably have to do to be able to stay in business, because you’re not going to be able to afford to raise those [guaranteed] salaries to the level to keep the [overtime] exemption,” King said.

For shops in California, the new December 1 federal minimum income threshold for the overtime exemption is less of a dramatic change because state law already set a minimum salary threshold of two times the state minimum wage (so currently $41,600 per year). But that’s still below the new federal minimum, so California shops will need to adjust as well, either raising the guaranteed salary (to $47,476) or shifting to the hourly system described above.

King said wage-hour issues are at the heart of growing number of lawsuits, so shops have all the more reason to understand and comply with overtime regulations.

“I just want you to walk away

from here realizing ‘I have to do something,’” King told shops at CIC. “Because the worse thing you can do is do nothing.”

“You have to be proactive and get ahead of this,” agreed Randy Stabler, a California shop owner and chairman of the CIC. “Even though your competitors may not be observing all the laws, it’s incumbent upon you to do so because you want to protect your company for the long-run.”

Continued from Cover

sociation a year ago, has been named Assistant Executive Director. Seal will continue to work primarily in the field, building membership and working closely with Chapter presidents on meeting planning, while also assisting with events like Shop Survival Summit and working more with our benefits partners.

“Ken has been crucial to growing AASP-PA. I am confident that in his

new role, he will continue to add value to the membership,” said Henry. Seal is excited to begin his additional duties, stating that, “My heart has always been with AASP-PA.” The Alliance of Automotive Service Providers of Pennsylvania (AASP-PA) formed in 1955 as the Independent Garage Owners of PA. AASP-PA is a state association supporting members across Pennsylva-

nia. These members are collision towing and mechanical repair shop owners, technicians and students.

The purpose of AASP-PA is to educate, assist with legislative issues, provide money-saving benefits, and to generally promote the automotive industry within the state and nationally. For more information about AASP-PA, please contact 717-5648400.

AASP-PA

this new chapter. With the solid foundation left to me by Jeff Walter, I look forward to continuing to grow the association and I am confident these new changes will afford us that possibility.”

Ken Seal, who returned to the as-

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National Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

ARA President and CEO Attended Three Affiliate Chapter Events in September with Chasidy Rae Sisk

September was a busy month for the affiliate chapters of the Automotive Recyclers Association (ARA), and ARA CEO Michael Wilson and ARA President Mike Swift showed the national association’s support by attending events in AZ, CA and VA. The State of California Auto Dismantlers Association (SCADA) held its Annual Convention and Trade Show at the Grand Sierra Resort and Casino in Reno, NV, on September 15-17 with Wilson in attendance. During SCADA’s Convention, attendees had the opportunity to learn from renowned automotive industry speaker D. J. Harrington, a trainer and motivational speaker commonly known as the Car-Diologist.

Harrington’s presentation covered a wide range of topics, including sales training and customer service. Attendees also received updates on the latest developments from the industry’s inventory management system providers: Hollander, Car-Part and CCC Informa-

tion Services.

Attendees were able to interact with industry vendors from around the country during SCADA’s Trade Show.

Wilson noted, “It provided an opportunity to personally thank Tom Klauer and Kendig Kneen of Vehicle Recycling Services of Fresco, CA, ARA’s newest member.”

On September 19, Swift was present at the Arizona Auto Recyclers Association’s 18th annual summer meeting in Phoenix, AZ. Held in memory of Mark Buessing, former ARA President, the meeting serves as a major fundraiser for the ARA Educational Scholarship Fund which benefits the children of ARA members’ employees.

Funds were raised through the Mark Buessing Memorial Golf Tournament, held at the San Marcos Golf Course.

During the meeting, Swift spoke about HR5967, legislation recently introduced in the U. S. Congress by Representative Adam Kinzinger (R-

PCI Says CFA Insurance Rating Study is Flawed

The following statement by the Property Casualty Insurers Association of America (PCI) is in response to the recent study by the Consumer Federation of America (CFA) regarding auto insurance rating. The following statement is attributed to David Snyder, PCI’s vice president of policy development and research.

“The CFA’s latest study on auto insurance pricing is flawed and misleading. The central flaw in the report is that it fails to take into account that all the rating and underwriting factors insurers use are proven to increase the accuracy of predicting the risk of loss.

“Additionally, the driver profiles used by the CFA provide an apples to oranges comparison which calls into question their findings and conclusions. Without an apples to apples comparison, it is impossible to isolate the impact of individual factors as the CFA attempts to do by singling out a driver with a driving under the influence conviction. A component of one profile indicated that the driver went six months without insurance, which is a significant factor in predicting risk.

“The main factors that determine what a driver pays for insurance

include things such as the number of years of driving experience, previous claims, miles driven, the type of vehicle and type of coverage purchased.

Insurers use a wide variety of factors that have proven to be effective in predicting the likelihood of someone filing an insurance claim or having a loss. By using a variety of rating factors, insurers are able to develop a more complete picture of a driver’s potential for filing a claim and in this way more accurately price the policy.

“Consumers should rest assured that auto insurance pricing is closely scrutinized by state insurance regulators and is subject to rigorous actuarial standards which ensure that all rating factors comply with the law.

“If consumers are not happy with an insurance quote or the cost of insurance, they can always shop around for a better price or another company among the dozens of competitors in each marketplace. The auto insurance market is highly competitive and consumers have a large variety of choices. “Insurers use approved rating factors that accurately predict loss and we reject CFA’s attempt to characterize factors that measure risk as ‘social economic,’ these factors are highly regulated and based on cost.”

52 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

IL) which would require OEMs to provide professional automotive recyclers with all part numbers and specific build data sheets. HR5967 expands upon the legislation enacted in December 2015 which requires OEMs to share recalled part numbers.

While attendance was lower this year than at previous meetings, Swift observed that “the ones who attended learned from the vendors and from other recyclers who are going through the very same issues.”

Vendors in attendance at AARA’s annual meeting included URG, CarPart and Phoenix Cores. SA Recycling was one of the event’s main sponsors and also sponsored the golf tournament.

On September 24, Wilson attended the annual meeting of the Virginia Automotive Recyclers Association (VARA) which was held at the Woodland Hotel and Suites in Colonial Williamsburg, VA. Over 50 automotive recycling professionals attended the

meeting. Speakers included Thomas Penny, Director of the Law Enforcement Division within the VA Department of Motor Vehicles, and HR Consultant Katherine Earle who spoke about employment law and issues with employees.

The Keynote Speaker for the event was Benny Cunningham of Cunningham Brothers Auto Parts, a member of both ARA and VARA, who spoke about the importance of expanding opportunities from cores and commodities in the automotive recycling industry. Earlier this year, Cunningham’s business was honored as a General Motors 2015 Supplier of the Year at the Automakers Awards Ceremony held in Detroit, MI. During the VARA meeting, Wilson provided updates on recent ARA activities, including automakers’ ongoing negative campaigns against quality recycled OEM parts and the introduction of HR5967.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 53

Feds Want Pre-Approval of Safety of Self-Driving Cars

by Keith Laing, Detroit News Washington Bureau

Federal regulators want to require automakers to meet a set of 15 guidelines before they can place self-driving cars on public roads.

The proposed rules, released in September by the U.S. Department of Transportation, call for automakers and technology companies who are working to develop autonomous cars to voluntarily report on their testing and safety to the National Highway Traffic Safety Administration before the cars are used by the public.

The rules are meant to steer the development of the technology as states like Michigan and California create their own rules for allowing self-driving cars to hit the road.

Consumer groups have raised questions about the safety of self-driving autos since a fatal accident this summer involving a Tesla car being operated in “Autopilot” mode. U.S. Transportation Secretary Anthony Foxx said the agency is pushing ahead with the autonomous vehicle framework because the safety benefits outweigh the risks.

“Today we put forward the first federal policy on automated vehicles.

The most comprehensive national automated vehicle policy that the world has ever seen. It is a first of its kind, taking us from the horseless carriage to the driverless car,” Foxx told reporters in Washington on September 20.

The proposed regulations call for states to allow federal regulators to create rules for self-driving autos, while state and local governments continue to regulate the drivers that are behind the wheel.

The rules would be a sharp departure from NHTSA’s typical posture of largely waiting for automakers to selfreport problems before recalls are issued. Before self-driving cars are allowed to roll on U.S. roads, automakers would be required to report how they were tested, how the systems work and what happens if they fail.

Other areas in the 15-point assessment include: data recording and sharing; privacy; how drivers interact with

Free

cars; and consumer education and training.

Automakers have said they are willing to voluntarily comply with the proposed federal guidance for now.

“We think guidance is the right action to take since the technology is developing quickly and collaboration

Federal regulators want to require automakers to meet a set of 15 guidelines before they can place self-driving cars on public roads. Credit: David Guralnick / The Detroit News

between automakers and NHTSA is critical to avoid policies that become outdated and inadvertently limit progress in reducing the number of crashes and saving lives,” said Wade Newton, director of communications at the Washington, D.C.-based Alliance of Automobile Manufacturers.

The group represents 12 automakers including Fiat Chrysler Automobiles, Ford Motor Co. and General Motors Co. Newton said automakers will continue working with federal and state lawmakers to develop favorable rules.

NHTSA said the reporting process “may be refined and made mandatory through a future rule-making,” but for now, compliance would be voluntary.

Congressional approval would be required to make many of the regulatory changes that are being proposed by NHTSA legally binding.

Michigan and other states have moved to develop rules to allow selfdriving auto testing in a bid to attract development by companies like Ford, Google and Uber that already are working on prototypes.

However, the Department of Transportation said Tuesday that it strongly encourages states to allow the federal government alone to regulate the performance of autonomous tech-

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nology and vehicles. It said if states do pursue regulation, they should base those efforts on the guidelines announced September 20.

The Michigan House of Representatives is now considering the legislation that would allow the public to buy and use fully driverless cars whenever they are available. It would allow companies to run fleets of driverless ride-hailing services. A vote could be taken as soon as September 21.

Under current law, autonomous vehicles can only be driven in Michigan for test purposes, and a driver must be at the ready. California has taken the opposite tack with a proposal that would require a licensed driver—and a steering wheel—to be in the car at all times.

NHTSA Administrator Mark Rosekind said Tuesday that the differing proposals show the need for a set of national guideline for self-driving autos.

Safety advocates warned regulators about the potential perils of rushing into self-driving autos.

“The advent of driverless cars holds great promise to advance safety,” said Jacqueline Gillan, president of

Advocates for Highway and Auto Safety. “However, federal oversight, minimum performance requirements, rigorous testing as well as transparent and verified data are essential in the development process. Consumers cannot be ‘human guinea pigs’ in this experiment and the federal government cannot be a passive spectator.”

Michigan lawmakers in Congress cheered the proposed guidelines.

“Today’s announcement from NHTSA marks a major milestone in the effort to bring automated vehicles to America’s roads and ensure our country remains at the cutting edge of automotive technology, and I look forward to carefully reviewing this guidance,” Sen. Gary Peters, D-Bloomfield Township, said in a statement.

Rep. Debbie Dingell, D-Dearborn, said the policy should help establish a baseline for a national framework. “Automated vehicles,” she said, “are creating a paradigm shift in the auto industry due to their potential to save lives and reduce congestion.”

We thank The Detroit News Washington Bureau for reprint permission.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 55

Valspar Automotive Hosts Gas Monkey Garage’s Richard Rawlings and Counts Kustoms Crew at SEMA

Valspar Automotive will host the stars of two reality TV shows—“Counting Cars” on History and The Discovery Channel’s “Gas Monkey Garage”—at SEMA 2016 in Las Vegas. Attendees who visit Booth No. 10851 on Thursday, November 3 can meet the television stars and see cars finished in Valspar Automotive brand paints, including Matrix Automotive Finishes, Prospray Finishes and DeBeer Refinish.

Richard Rawlings of Gas Monkey Garage will meet with fans from 10 to 11:30 a.m., and from 2 to 4 p.m., the paint crew that works for Danny “the Count” Koker in his Counts Kustoms refinishing shop will be available, including Lonny Speer, Ryan Evans and “Horny” Mike Henry.

Rawlings and the Count’s crew will autograph limited-edition posters, sign cards and take pictures with fans.

“When planning our SEMA experience, we have one thing in mind: the customer,” said Laura Yerkey, director of marketing, Valspar Automotive. “We have an amazing lineup of reality TV stars that use our products both on-air and in their everyday businesses, as well as feature vehicles by some well-known painters that showcase our automotive refinishing and

custom brands.”

Feature vehicles in the company’s booth and outside of the center showcase the global leader’s coatings, from an original True Blue Pearl on a 1967 Mustang Fastback from the Matrix Automotive Finishes line to a new toner from its OEM-approved brand, DeBeer Refinish, on a custom build yet to be announced.

Set for SEMA 2016 is a 1950 Studebaker Dragster in Matrix Automotive Finishes by Tony Lanesky of Anton’s Hot Rod Shop of Cleveland, Ohio; a 1978 Pontiac Trans Am in Prospray Finishes by John Wargo of The Custom Shop in Flanagan, Illinois; and a custom trike in Matrix colors from Las Vegas’ notorious Counts Kustoms and History’s “Counting Cars”.

The fourth and final vehicle will be

announced Tuesday, November 1- day one of the show. “We’re keeping this vehicle under wraps until then,” said Yerkey. “The news will truly impact the refinish market on a global level and solve a major industry problem.”

Three additional vehicles will represent Valspar Automotive and its brands in various locations on the grounds outside of the Las Vegas Convention Center: a 1958 Plymouth Belvedere in Prospray Finishes by John Wargo of The Custom Shop in Flanagan, Illinois; a 1967 Ford Mustang in Matrix Automotive Finishes

by Brandon Knowles of Brand-X-Customs in Everett, Washington; and a 1947 Ford Pickup in Valspar Refinish by Bo Vescio of Vescio Customizing & Restoration in Minneapolis, Minnesota.

For more information, visit www .valsparauto.com.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 57

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.

Infant Deaths in 96, Customer Retention, Suggestions for DRPs, OEM Procedures with John Yoswick

20 years ago in the collision repair industry (November 1996) Kim Hazelbaker of the Highway Loss Data Institute reported there have been 22 infant deaths in the United States because children were riding in the front seat o vehicles when passengerside airbags deployed. He said within several years, “smarter” airbag systems will include seat sensors to prevent these types. of deaths. Until such systems are developed. he said, the vehicle manufacturers and his organization are asking federal regulators to allow them to download the energy in the bags” being installed in today’s news vehicles.

– As reported in Autobody News. Automakers have indeed developed “smarter” airbag systems, although many require new procedures for collision repair shops, including the mandatory resets (via vehicle scan) of the passenger seat weight sensors.

15 years ago in the collision repair industry (November 2001) Insurers risk losing market share because their field claims staff focuses too much on reducing costs and not enough on customer retention, according to industry consultant Dale Delmege.

Industry consultant Dale Delmege in 2001 suggested that insurers could reduce field staff by shifting more responsibility for – and benefit from – both cost-containment and customer retention to shops

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In a presentation at the Collision Industry Conference (CIC) in Anchorage, Alaska, Delmege said such claims staff often are “driven powerfully and instinctively by self-preservation, are isolated and entrenched, are insulated from such issues as policyholder defection, are impervious to their own employer’s goals, are institutionally incapable of acknowledging reality, and share none of the common interests” of shops, vehicle-owners and insurer upper management.

Delmege, a past chairman of CIC, emphasized that the views he was sharing were only his own based on some research he conducted for a client interested in what factors would likely result in U.S. insurers gaining or losing market share.

He said you generally have to look six or more management levels above field staff in an insurance company before you find someone with accountability for both expenses (severity and

loss adjusting expense) and marketing or customer retention. Staff below that level care primarily for one or the other but not both.

He suggested that because consumers often base their decision on whether or not to switch insurers on the “claims experience,” an insurer could retain and gain market share by transferring accountability for both costcontainment and customer retention closer to those controlling that experience.

“By that I mean a regional executive who sweats both bullets, who makes decisions about the administration of claims as a function of his other responsibility, which is retention of policyholders,” Delmege said.

Delmege and others at the meeting pointed out that insurers could also reduce field staff by shifting more of the responsibility for – and benefit from – both cost-containment and customer retention to shops.

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“Never before have insurers had so many opportunities to have claims repaired honestly, to have policyholders treated superbly, to have repairers make a massive contribution to loss adjusting expense,” Delmege said.

– As reported in Hammer & Dolly.

performance, that we wouldn’t entertain… the dreaded 7-days-a-week, might even entertain 24-hours-a-day as an industry opportunity.”

Carlew’s presentation at CIC was based on a nationwide gathering of input from shop owners around the country. More than 380 collision repair business owners participated in meetings held in 20 North American markets to gather ideas and opinions on improving DRPs. Carlew discussed a list of more than two dozen problems shop owners currently see with DRPs. That list included concerns that DRP guidelines and the “weight” given to various key performance indicators (KPIs) change frequently with little or inadequate written notice to shops; and that discounts and other concessions are required without any guarantee of how much work the DRP will bring to the shop.

The 130-page report that resulted from the meetings also offers a series of recommendations to improve DRPs. It suggests, for example, that:

10 years ago in the collision repair industry (November 2006) Some level of standardization, guaranteed work and other changes to insurer direct repair programs (DRPs) could give repairers the ability and incentive to offer such things as 24/7 customer service and new performance guarantees, a recent study of the industry concludes.

“Look at the investments and the innovation we in collision repair have brought to the relationship so far— and we don’t have one guarantee that a car is going to show up tomorrow,” industry consultant Beryl Carlew of Carlew & Associates said at the Collision Industry Conference (CIC) in Las Vegas in early November, where he presented the results of his firm’s research. “Do you think for a minute if we had the work to the door, we had metrics that we knew we could exceed, and we were rewarded for that

■ all guidelines and the weighting of various KPIs for a particular DRP be posted to a secure website, along with

established timelines for when notices of changes will be posted;

■ shops be allowed to use a “blueprinting” rather than “estimating” system, dismantling the vehicle sufficiently to determine all parts and repairs needed prior to beginning repairs; and,

■ if a particular part, regardless of type, is not available within 24 hours, the shop be allowed to instead use a part that meets quality standards and is more quickly available.

With such changes, Carlew said, shops indicated a willingness to accept more detailed performance contracts, such as contacting consumers by Noon of the day following receipt of an assignment, seven days a week. But offering additional services or discounts, he said, should be based on rewards for performance and most importantly, an assurance of work.

“How can a carrier walk into a shop and say we’re looking for DRP partners who can handle 100 cars a month, and at the same time say, ‘We cannot guarantee you volume,’” Carlew said.

– As reported in Parts & People.

5 years ago in the collision repair industry (November 2011) In response to ongoing efforts fostered over the past five years by the Collision Industry Conference (CIC) to develop a set of formalized repair standards, four national repairer groups have jointly issued a statement recognizing published automaker repair procedures as the “official industry-recognized repair standards for collision repair.”

The Alliance of Automotive Service Providers (AASP), the Assured Performance Network, the Automotive Service Association (ASA), and the Society of Collision Repair Specialists (SCRS), last week at CIC read a statement that said where OEM procedures exist, they should “be the basis for the establishment of training, testing, repair practices and documentations.”

The groups said they recognize OEM repair procedures are “incomplete in comparison to the full scope of vehicles and repair operations which exist in the marketplace,” but they serve as a baseline from which further development of procedures are necessary. Although a CIC Repair Standards Advisory Committee has explored the idea of a new industry organization See Retro News, Page 77

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 59

Florida’s No-Fault Insurance Reforms Finally Appear to be Lowering Premiums as 2012 Reforms Kick-in

by Autobody News Staff

Only a dozen or so states have no fault auto insurance, down from twice that many in the 1970’s. Advocates say it simplifies and minimizes the invasiveness of insurance law, but it’s increasingly costly and problematic for most residents who are starting to see it as a form of double taxation.

Most states use a tort system in which at-fault drivers in a crash are responsible for paying the other driver’s medical expenses. The at-fault driver must also pay for additional damages, such as loss of wages and “pain and suffering.”

Michigan has the most comprehensive no-fault law and continues to tinker with the process, but states such as Colorado have dropped their no fault system and have seen a reduction in premiums of up to 35% or $322 per vehicle annually. In Georgia, where nofault was repealed in 1991, premiums dropped 20% almost immediately.

Florida drivers currently pay the nation’s fourth highest car insurance premiums. Florida’s no fault law provides that after a vehicle accident an injured person’s own insurance company will provide coverage for medical expenses and lost income, no matter who was at fault for the accident. This works reasonably well for minor incidents and minimizes frivolous claims, and court claims in general. However, auto accidents involving major injuries or wrongful death are much more complex, and even simple accidents are prone to fraud and abuse, all the more so when staged to secure PIP benefits.

Florida began no-fault in 1972 with a seemingly simple rationale. People injured in crashes, whether at fault or not, would get compensated quickly. In return, the injured would have less incentive to file lawsuits. Courts would not get bogged down and premiums would decrease, but from day one, frauds and scams took hold, with ‘clinics’ certifying injured drivers and insurance companies being billed accordingly.

By design, ‘no fault insurance’ means that no matter who is at fault, you need to use your own insurance to settle claims. No matter who is at fault—unless ‘serious injury’ thresholds are met—no one can sue the person who hit them, nor can anyone be sued for hitting someone else.

The ‘serious injury’ threshold set out in Florida law basically addresses

losses of major bodily function, permanent injury within a reasonable degree of medical probability, death, significant scarring or disfigurement.

The law creates a right for insureds not to be sued if they’re carrying this insurance unless the person they injured meets those thresholds.

In Florida, all drivers must buy at least $10,000 of Personal Injury Protection coverage, even if their policy includes other coverage that might apply. But fraud is so rampant in some areas that $10,000 worth of personal injury protection can cost thousands of dollars a year in premiums. PIP costs have risen by $1.4 billion since 2008, largely because of the runaway fraud that threatens the system, most notably in the metropolitan Miami and Tampa areas. Florida ranks first nationally in staged accidents.

PIP is designed to be a form of nofault insurance that takes claims out of the court system. It makes up 20–25 percent of the cost of the average premium. For most Floridians, its cost has been rising, even if they haven’t filed a claim. PIP generates most of the fraudulent claims, especially due to acupuncture and chiropractic care, and it has been a target for reform. The reforms started to take hold in 2011.

First, the Hillsborough County Commission passed a county ordinance in September 2011, intended to license PIP clinics and decrease the number of suspicious vehicle collisions—staged accidents—in Hillsborough County, however that ordinance remains blocked by court injunction.

The Florida legislature passed House of Representatives Bill 119 in March of 2012. HB 119 enacted a number of substantive changes to Florida’s PIP system. It made these changes in three stages.

The first set of amendments included changes in the reporting of automobile accidents, therapy clinic licensing, use of fee schedules when reimbursing claims, the creation of Florida’s Automobile Insurance Fraud Strike Force, and timetables for reporting on the premium rate reductions to be realized from HB 119’s amendments.

Second, effective December 1, 2012, documents pertaining to PIP could be transmitted by secure electronic data transfer, without first obtaining an agreement of the parties.

Finally, effective January 1, 2013, a number of changes were made to

60 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

Florida Statutes Section 627.736 (the “PIP Statute”), such as requiring a patient to visit an “initial care provider” within 14 days of an accident, limiting the available benefits to $2,500 unless the patient has an “emergency medical condition,” granting the insurer an additional 60 days to investigate fraud, permitting the insurer to require the patient attend an examination under oath as a condition of receiving benefits, and requiring trial judges to make written findings supporting an award of attorney’s fees in PIP litigation.

Legislation targeting auto insurance fraud has produced savings on personal-injury claims of 17.5 percent, and reduced premiums by a little more than 15 percent. Claim frequency and severity were reduced, too — by 10.2 percent and nearly 11 percent, respectively, producing a reduction in total loss costs of 20 percent.

That compared to an increase in average loss costs of more than 4 percent elsewhere in the United States, according to an analysis conducted for the Florida Office of Insurance Regulation

by Pinnacle Actuarial Resources Inc., a consulting firm in Bloomington, IL.

The findings represent “further proof that the 2012 PIP reforms from House Bill 119 continue to reduce fraud and abuse, while providing cost savings to Floridians,” the Property Casualty Insurers Association of America said in a written statement.

The Legislature was told in 2012 to expect between 14 percent and 24.6 percent in PIP rates.

Repealing the state’s no-fault insurance mandate would save the average driver 9.6 percent per year, or $81 per car, in liability coverage, Pinnacle said. Drivers who replaced PIP with $2,500 first-party medical coverage would save nearly 5 percent, or $49 annually. Boosting health coverage to $5,000 would decrease premiums by 1 percent, or around $9.

The analysts found “a small erosion” in the savings since 2014. Data for the year ending March 31 saw a 5 percent increase in claim severity compared to Dec. 31, 2014, and an increase in new claims of 2.3 percent, for a combined loss cost of 7.5 percent.

The only category that didn’t see a decline was death benefits. They increased by about 0.2 percent.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 61

Lean Operations

The Art of Business

with David Luehr

I grew up in a family of artists. Not always the kind of people that come to mind when thinking of the dog-eatdog business world. As a young man, my own artistic expression found its way into the automotive repair business as an automotive painter. I loved painting cars, especially the custom stuff. It wasn’t long before my artistic nature sought the freedom of self-employment; after all, an artist like me does not want the constraints of having to work for someone else! Soon I found my artistic interests beginning to shift, like a portrait painter discovering impressionism for the first time. I had discovered entrepreneurship!

I love being an entrepreneur.

To me, it is one of the most amazing forms of self-expression. Creating a business from a mere idea or thought it a beautiful thing. It is also a huge responsibility, and not one that every artist can or should pursue. Some artists are better off working for someone else, and here is why...

Car painters and body technicians may be artistically great at fixing cars, but not everyone is willing to put in the work to learn the skills that are required to run a collision repair business, especially in today’s world! Most of the collision repair businesses that exist in our country today were started by a technician, and far too many of them have never invested the time it takes to learn the art of building a business and are struggling because of it.

Sadly, many business owners don’t know what they don’t know and therefore live each day in an ignorant fog of despair and chaos.

Those that were lucky enough to survive and grow a collision business did so through pure determination, and many, many, hours of hard work. A solid business always requires hard work, but the solution to a truly sustainable business is working hard on the right things. We must be willing to work on the business as well as in it.

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry.

David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

Successful entrepreneurship means focusing your artistic abilities towards creating a better business, not just the product it produces. This is the “trap of the technician” and only a handful of collision repair businesses grow beyond mediocrity because of it.

I know of dozens of instances where collision business owners manage to grow their single location and decide it is time to pursue the American dream even more, so they open up a second or third location before they realize their mistake. The skillset that allowed them to operate one location is very different than the skillset needed to run an MSO. To be successful at operating multiple locations, or even one really successful location, shop owners can no longer attend to the day to day crises management many have come to accept as their “normal” way of life.

Shop owners need to learn the skills of preventing crises before they occur, and a great way to do this is through spending more time working on building a sustainable business model like a franchise.

I am suggesting that you start to build your business like you were going to build a franchise. You don’t have to actually franchise your business, but think of it as a turn-key business model that can eventually exist without you as the business owner working IN it all the time. What does this sustainable model look like in your mind? Use your artistic mind and create! Does it have consistent and repeatable standard operating procedures? Does everyone know what their job is and how to perform every task?

Do your systems consistently create an amazing customer experience, even if you are not there personally every moment? This is your ball of clay my artistic friends, and you can do anything with it that you want if you are willing to work ON your business a little every day.

Fortunately, many of the skills re-

62 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

quired to be successful in today’s collision repair world are available to all of us. Organizations such as the Automotive Management Institute (AMi) have many resources for shop leadership and their teams to acquire the skills needed to take their businesses to the next level of performance excellence. (See www.amionline.org).

Elite Body Shop Solutions, LLC assists shops in creating a sustainable business model through education, coaching, and mentoring solutions.

Elite uses a 5-Pillar approach to help clients work ON their businesses using a holistic approach designed to create a balanced foundation that will allow a business to grow to any size. (See www.elitebodyshopsolutions.com).

The problem with artists focusing on only one aspect or “pillar” is that the business will become unstable and unsustainable. For example, if you are placing all your focus on making money (Financial Health) and you

don’t place enough emphasis on the Cultural Health of your organization, eventually, the whole operation will become unstable and you will jeopardize your ability to make money for the long haul. Another example is that if you don’t pay enough attention to environmental or human resource laws, (Risk) you can jeopardize everything you have worked for!

Each day, smart operators will place small amounts of time on each of the 5 Pillars in order to enjoy sustainable growth and prosperity. The trick is to be disciplined enough and to have learned some basic time management skills in order to make better use of your time each day. Many shop owners and leaders tell me they don’t have the time to work on all aspects of their businesses. To this, I call BS. These same people say they don’t have time because they have created a life of jumping from one crisis to the See The Art of Business, Page 69

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 63

Mike Causey’s Campaign for NC Insurance Commissioner Gets Support from Collision Repair Professionals

Since announcing his campaign to run ever, I lost the election in early voting for North Carolina Insurance Commis- numbers, being clobbered by the sioner, collision repair industry veteran Obama success in the big cities. So Mike Causey has spoken at a variety close, but no cigar. Out of 4.3 million of venues across his state, including votes, we came up short 30 votes per several industry events. He precinct (2709 precincts in attended the August and SepNC)! In many ways, this tember meetings of the North year is similar to 2012 – inCarolina Association of Colsurance companies backing lision and Autobody Repair an incumbent ‘friend’ and (NCACAR) to speak about showering him with camsome of the issues he’d like paign donations, but in 2016, to tackle if elected, but he insurance companies have faces a huge challenge in pulled out all the stops to get Mike Causey combatting the influence of money to the commissioner. big insurance companies.

Also, financial giants like Causey stated, “It’s a classic David vs. Genworth are hosting fundraisers for Goliath battle, but I am getting support him.” from the body shops that want to see Causey’s claims are supported change. If people pay attention to this by the NC State Board of Elections, race and go vote, I will win!” since all campaign contributions are Causey, a Republican, is running public record and available online at for NC Insurance Commissioners ncsbe.gov. Additionally, an article against Wayne Goodwin, the Democ- was published in The Daily Hayrat incumbent Insurance Commissioner maker in September which stated that of NC. According to Causey, “I ran Goodwin had received nearly oneagainst the same wealthy lawyer/career third of the $222,580 raised for his politician four years ago. In 2012, I campaign from people tied to Floridawon the Republican primary and had based insurance and health care interlittle money against his $1.3 million ests on just four separate days, campaign war chest, but still got more totaling $65,550. This support from votes than he did on election day and FL raises the question of why these won 55 of the 100 NC counties; how- folks from another state are so inContinued from Page 46

Bodyshop Revolution

“Although it’s peaceful and calm, at the same time we’re invoicing out 40 to 50 percent more work.”

Rather than doing just a subsection of someone else’s repair, technicians see it through the entire process.

“We actually combine more skills into one tech which makes him able to do more of the repair and gives him more responsibility and pride in what he is doing,” said Parker.

The company’s robotic technology enables paint, along with fillers and primers to dry very quickly and it is fully cured. “You can still achieve continuous workflow because you can carry on sanding or buffing or rebuilding the car immediately once you’ve painted it,” said Parker.

Part of the process also includes a vehicle damage assessment (VDA).

If the car is drivable with superficial damage, a full estimate is conducted on the vehicle within a half hour to 45 minutes and the customer is able to use the vehicle until the parts arrive. This ensures that every car goes into the production process with all of the

parts. “The customer is driving his own car and happier than in a rental and the car is in the shop for a very short period of time,” said Parker. “We bring predictability into the system.”

Bodyshop Revolution has a United States-based global training team in place to help shops get up to speed on the new technology and processes. Parker said it takes about a month to settle in and the goal is to create self-sustaining shops.

He said that the average payback time is about six to eight months. “It’s not cheap to implement but a really quick return on investment,” he said.

The company offers financing packages that can be paid off over a threeto five-year period.

The company is continuing to reach out to shops across the United States and educate them about Bodyshop Revolution’s processes. “People are skeptical about what we do because it really is radically different than traditional thinking,” said Parker. “It’s a really exciting and unique solution.”

“We are showing that we are building a shop of the future that processes cars correctly the first time and delivers them in half the time,” said O’Neill.

64 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

vested in the political prospects of the NC Insurance Commissioner.

Meanwhile, Causey’s campaign is struggling financially, but he noted, “We have a lot of volunteers, grass roots activists, little guys helping, and we are competing well in the polls. A statewide poll by Civitas Institute released in mid-September showed these results: Goodwin 37, Causey 32, Undecided 29, with a margin of error +/- four points. This is ahead of where I was in 2012. Momentum is going our way, and all kinds of people, including Democrats, Republicans, Independents, Libertarians and other concerned citizens are coming forward to help in these final days before the election.”

Another interesting inconsistency in Goodwin’s campaign arose on September 6, when five officials held a reception and a fundraiser in Goodwin’s honor at the Sheraton Hotel in Charlotte. Of these five individuals, three are career Republicans: Jim Donelon, LA’s Insurance Commissioner; John Doak, OK’s Insurance Commissioner; and Barry Goldwater, Jr., a former Republican U.S. Congressman. Additionally, Goldwater has major investments in the insurance industry.

The two Democrats showing sup-

port for Goodwin were Ben Nelson and Eric Serna. Nelson is a former U. S. Senator, Governor and Insurance Commissioner, but although he runs as a Democrat, he is very conservative and frequently voted against his party. The former Insurance Superintendent in New Mexico, Serna agreed to retire in 2006 during an investigation of accusations that he had intervened in his daughter’s auto insurance claim.

Causey has been a longtime advocate for the collision repair industry, and his campaign has faced challenges as he goes up against the incumbent Insurance Commissioner, who has support from the insurance industry. Causey stated, “It’s me against the powerful insurance cartel – insurance companies and corporations are financing the incumbent commissioner’s campaign to the tune of millions. As a former legislative lobbyist representing body shops and the Independent Autobody Association, the insurance companies do not want Mike Causey in that office! As a writer for body shop publications, I have stood up for the little guy, the small shop owners and all body shop owners against the unfair trade practices of the insurance industry.”

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Shop Showcase

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

Northern California Body Shop Paints Huge Coffee Cup for Major Artist with Ed Attanasio

Body shops are adept at painting cars, but they often get asked to paint a wide range of other things such as golf carts, kid’s toys, old appliances, statues and in this case, an enormous coffee cup

looking for a body shop that was willing to take on a rather large project for an upcoming art show at the CCA Wattis Institute for Contemporary Arts in San Francisco last August. When one shop opted out, Regal Collision in Vallejo, CA, stepped up and completed the project on time and with an artistic flair.

After visiting one shop that his curators had found for him, Fried decided to start looking around for another shop via Yelp. “The first shop we went to didn’t seem to be very excited when we deArtist Howard Fried (far left in the blue shirt) was a scribed the project to them,” hands-on customer and oversaw the delivery of his he said. “I wasn’t getting a sculpture from start to finish real positive vibe from these that was displayed at an art gallery in folks, so we bailed. So I started San Francisco, CA by a major nationsearching for a shop near to my studio ally-renowned artist. in Vallejo. I used Yelp and found It all began when Howard Fried, Regal Collision. Their reviews were an artist based in Vallejo, CA, was great, and I got the sense that they

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us out of the blue and we were definitely interested in talking to him about it,” Kapfenstein said. “We love out of the ordinary, challenging jobs, so we looked at it and said ‘Heck yes.’

The gallery was pretty much up against their deadline so if we didn’t agree on the spot, they probably would have been in real trouble.”

Howard Fried, 70, is a highly-regarded conceptual artist who became known in the 1970s for his pioneering work in video art, performance art and installation art.

He founded the video and performance department (currently the New Genres Department) at the San Francisco Art Institute and is associated with the first generation of In excess of eight feet tall, painting Howard Fried’s conceptual artists in the San enormous coffee cup (Derelict #5) was easier to paint Francisco Bay Area, includthan move, according to the crew at Regal Collision in Vallejo, CA ing other trendsetters such as

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ing, but the cost was prohibitive. So we were basically in the hands of Jim, Shellie and Kirk at Regal. We knew that we would be juggling 100 things right up until the show and getting this cup painted and delivered to the gallery was at the top of the list.”

In addition to priming and painting the sculpture, it also had a few cracks to repair from past shows, due to the fact that the cup (called Derelict #5) was the reincarnation of five previous art pieces. “We worked out the changes and Regal had to repair all of the cracks that had developed over the years. Before this show, it was on display at the University of Berkeley back in 1983. Regal also had to repaint it with a waterborne paint, because the paint we used in ‘83 was oilbased and now it’s illegal.”

Jim Boyle, the owner at Regal Collision, isn’t going On its big opening night at the CCA Wattis Institute for to disclose how much he Contemporary Arts in San Francisco, Derelict #5 wows charged for the job, but he the critics and art lovers alike will at least admit he made a people at Regal Collision assured me nice profit. “Working on this project not to worry,” Fried said. “At one has given us a better understanding of point, we considered the idea of re- how an artist develops his work and fabricating the piece using 3-D print- how much they care about their creTerry Fox, Lynn Hershman, David Ireland, Paul Kos and Tom Marioni.

His early works dealing with issues like decision-making, conflict situations, control, predictability, learning, and cognitive processes gave him international fame.

With a tight deadline of two weeks and a show that was well-publicized and anticipating a large turnout for opening night, Fried was concerned but not ready to panic—yet. “I admit, I was a little nervous, but the

ations. Howard was intense and was here in the shop almost every day, sometimes before I showed up in the morning. Working with him was a lot different from painting a customer’s vehicle because he had a vision and passionately wanted it achieved.”

In the end, the shop made money and they also received the most unique 5-star review on Yelp that they’ll ever get from the CCA Wattis Institute for Contemporary Arts in San Francisco.

“Regal Collision went above and beyond for us. We had an artist who needed a sculpture repaired with the same methods that are used in auto body repair. The sculpture is very large and extremely heavy. When we asked Regal Collision if they were interested in a very different than normal challenge, they jumped at the chance, despite being a consistently busy shop. They spent weeks working with our artist and treated the sculpture with unbelievable care. The end result is absolutely perfect. We feel so lucky to have found them. They are one in a million!”

INFINITI OF NORWOOD

Continued from Page 62

The Art of Business

next because they DON’T work ON the business. They are sadly caught in a spiral of doom of their own making.

Right now is an excellent time to be in the collision repair business, but only for those with the right mindset, and only for those artists that are willing to learn new skills. I am a champion of small business and the hardworking people in our industry which makes me hate to say this, but, this time in our industry’s history will be very, very, tough for many business owners that are reluctant to change. The good news is that those of you reading this article all the way to the end have demonstrated that you may have what it takes to plow through the challenges and take full advantage of this time of great opportunity to create the business of your dreams. Go for it!

For assistance creating a sustainable business model, contact Dave at david.luehr@elitebodyshopsolutions.com

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A Second-Generation Female Shop Owner Fights the Odds and Wins in this male-dominated industry. “It was definitely on-the-job training,” she Some people are born into the body said. “Since I had the accounting backshop business and embrace it while ground, I was able to track the numbers others fight it for a while and then well, and that really helped me over the eventually relent. The sons and daugh- years. This is surely not an easy busiters of shop owners usually either love ness to be in, but by stressing quality the collision industry and take to it and customer service, we’ve been able like ducks to water, while others will to perform at a high level for almost 40 do just about everything they can to years.” opt out of the business and pursue In 1988, Bertolli became the something else—anything else. shop’s general manager as her father In this case, Laura Bertolli, the began stepping away from the business owner of Bertolli’s Autobody in San to pursue a highly lucrative second caRafael, CA, is a prime examreer in commercial real estate. ple of a second-generation After a series of shop manshop owner who initially reagers came and left, Laura asjected the collision industry sumed full control of the and then later embraced it. By business. But when she fiworking hard to learn everynally announced to the shop’s thing she could while changcrew that she was now in ing her approach to managing Laura Bertolli, the charge, their reaction wasn’t people, Bertolli has been able owner of Bertolli’s positive, to say the least.

Autobody in San to keep the shop that her father “I called a meeting that Rafael, CA, is a started in 1977 flourishing in very first morning and after I Marin County, where there are second-generation told them that I was now runshop owner who more hot tubs than cars. ning the show, they all walked never imagined Bertolli began working out,” Bertolli said. “They all that she would eventually take at her father’s shop on the quit on the spot, which was over her father’s weekends and after school as terrible, but in a way it was business a teenager, but she never enalso exciting. So, I immedivisioned it as a career. “At first, I was ately called all of my vendors and told doing a lot of filing and organizing pa- them I need people. Thankfully, there perwork,” she said. “And then, when I were some friends out there who was 16, I began working after school helped me until I was back with a new doing the bookkeeping. This is where crew. It took a while, but I eventually I got the drive to be a business major was able to put together a good team. and become a CPA.” One of those original hires is still here After graduating from high school, after all those years.”

Bertolli earned a B.S. in Business AdOnce she had a new crew, Bertolli ministration from UC Berkeley’s highly- decided to change her managerial style respected Haas School of Business. After for a fresh start. “I realized that I could graduating from Cal, she went to work not manage these guys successfully by barking our orders, because they did not want that from a woman. So, instead of telling them what to do, I started asking them questions about what should we do and it worked right away. How long is the job going to take? What parts do we need, etc.? If you ask a tech a question, he buys in— because he wants to do the job right and he feels like a team member when you ask instead of tell.”

With a small crew, Bertolli’s Autobody repairs approximately 60 vehicles out of a 7,500 With a modest, highly-productive square foot facility without a DRP crew currently repairing roughly 60 for an accounting firm in Novato, CA, vehicles every month out of a 7,500 but her father was having issues with his square foot facility, Bertolli has cut the bookkeeper, so in 1985, Laura returned fat without sacrificing quality. “We to do of all of the shop’s bookkeeping have four people on the shop floor— and accounting. two body techs, one painter and one Bertolli learned on the fly and detailer and they all do an amazing eventually figured out how to succeed job,” Bertolli said. “We keep them

by Ed Attanasio

70 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

working and busy and it makes for a because by now we’re well-known in positive environment because they Marin for doing excellent work, and in share my passion for doing a great job a town like this, a solid reputation goes on each vehicle that comes in here.” a long way.”

Every car that Bertolli’s repairs To build a strong customer base, comes from referrals, repeat business, Bertolli has done TV commercials and local networking through a local Busiembraced the internet and social media ness Networking Institute (BNI) chap- before many others were even considter and other sources, but not through ering it. “We did TV ads during the any DRPs with insurance companies, San Francisco Giants games until they Bertolli explained. started winning the World “When the DRP sysSeries every other year and tem started, we got a few of it became too expensive,” them, and the relationships she said. “And we got a were totally different back website back in 1995, when then,” she said. “The insurthey were still pretty much ance companies let us pretty in their infancy.” much fix the cars the way Looking back and seeFrom her shop’s logo we wanted to, but eventuing where she is now, does all the way to her TV commercials and social ally that changed. Pretty Bertolli feel that taking media, Bertolli likes to soon, they were telling us over her father’s shop was take a fun approach what to fix and how to do it, a good move? “Yes, defito marketing and that’s when I began nitely,” she said. “I came telling them no. I’m not going to cominto a very tough, male-dominated inpromise my standards to meet their fidustry and the odds were probably not nancial needs, because my family’s in my favor. But, by working hard, name is attached to that vehicle. So we learning along the way and focusing haven’t had a DRP here for many on the things I know how to do—like years and have had less drama as a reselling and marketing—I built a good sult. It has not affected our business business, and that is truly satisfying.”

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 71

SCRS Announces Panelists for OEM Collision Repair Technology Summit Session on Scanning The Society of Collision Repair Specialists (SCRS) has announced additional details on the morning session (9:30–11:30am) of the OEM Collision Repair Technology Summit (Summit).

The Summit, to be held Thursday, November 3rd during the 2016 SEMA Show in Las Vegas, NV, will continue to focus on emerging trends in vehicle construction and technology and how those aspects influence vehicle repairability. According to the SCRS, the program is designed to put SEMA Show attendees in a room with innovators in automotive structural design and technology, providing one of the most unique networking and learning opportunities available to the collision repair industry.

Attendees can register now to attend any of the three different segments offered throughout the day, which can be selected individually or collectively as part of the RDE Full Series Pass. Registration options can be found at www.scrs.com/rde.

The first session (OEM1 | Restoring Vehicle Functionality through Electronic Technology and Diagnostics) will discuss how vehicle technology and function advancements meet consumer expectations for safety, convenience and luxury options, and the role of di-

Continued from Page 30

The Simple Rule

system that is popular in the U.K. with shops and insurers alike called Vehicle Damage Appraisal or “V.D.A.” VDA is a standardized method that performs temporary minor disassembly on drivable vehicles through scheduled damage appraisal appointments with their customers.

The simple rule: “Pre-order parts, but only if you have properly analyzed the damage first!”

Lately, I have been working with a handful of shops around the U.S. that have also been applying this way of thinking. One shop I work with uses what they call “Enhanced Estimating” that schedules forty-five-minute estimating appointments for their customers. Their program has proven to be very effective and has had a serious positive impact on their cycle time and customer satisfaction as well as their return parts percentage.

Conclusion Perhaps you will share my philosophy to only pre-order parts when you know the true extent of the damage. And do

agnosing accident and repair related failures in the systems. Restoring the functions, calibrating sensors and documenting the restoration of the technological elements in the vehicle become a pivotal part of the repair process.

Moderator John Ellis of Ellis & Associates will lead a two part panel to explore the responsibilities expected of the collision repair providers and solutions available for the industry to fulfill those tasks. This session will feature two distinguished panels.

The first will be comprised of automakers with documented positions outlining the necessity to perform preand post-repair scans as part of the repair process. The conversation will

yourself another favor: insist on placing one order and receiving all the parts on a single invoice whenever possible (unless ordering from multiple vendors). Don’t let the dealer’s parts guy send out partial orders just so he or she can make their commission. If anything, they will be more motivated when they know they can’t ship until the order is complete! Something else to consider is that top shops commonly require complete parts orders to be delivered the day prior to the scheduled arrival of the vehicle. Whether you consider scheduling “Enhanced Estimates” or choose to blueprint all the vehicles prior to ordering any parts, you can be guaranteed more success than you are likely experiencing using traditional thinking. Or perhaps you can choose an alternative hybrid system that triages small repairs into an Enhanced Estimating appointment and directs all medium to large jobs into a blueprinting program after they are dropped off for repairs. This approach would be my recommendation for most of you.

For assistance creating a customized program at your shop, please contact us today at david.luehr@elite bodyshopsolutions.com or visit www .elitebodyshopsolutions.com

72 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

cover the technological developments that are precipitating the need for a more systematic approach to identifying, documenting and correcting Diagnostic Trouble Codes. The panel will include: ▪ FCA | John Hughes, Collision Repair Responsible ▪ Nissan North America | Justin Miller, Planner, Certified Collision ▪ American Honda Motor Co. | Chris Tobie, Collision Business Specialist ▪ Toyota Motor Sales, USA | Eric Mendoza, Collision Repair & Refinish Training Assistant Manager The second panel will feature diagnostic equipment and service providers that have developed technological solutions for the industry. The conversation will identify different mechanisms available to the collision repair community and address the unique challenges and advantages associated with each. Repairers in attendance will leave with a better understanding of options available to their business. The panel will include: ▪ AirPro Diagnostics, LLC | Chuck Olsen, Executive Director of Operations ▪ Robert Bosch LLC | Bob Pattengale, Training Manager ▪ Collision Diagnostic Services |

Doug Kelly, CEO ▪ Snap-On Diagnostics | Jason Gabrenas, National Diagnostics Trainer ▪ I-CAR | Jason Bartanen, Director - Industry Technical Relations According to SCRS, this is a “can’t miss” session. “The future of the collision repair industry is highly skilled professionals working on highly sophisticated automobiles that require the industry to embrace the necessary investments in training and equipment; but it also relies on informed business owners who understand how to define for themselves what a sustainable and successful business model to support that investment looks like,” a statement from the SCRS read.

Attendees are encouraged to register early, as space will be limited for each of these sessions.

The 2016 OEM Collision Repair Technology Summit is made possible with support from Capital One® Spark Business®; PPG Automotive Refinish; Audatex; AkzoNobel; BASF; CCC Information Services Inc; Reliable Automotive Equipment; and Toyota Motor Sales, USA. For more information, visit www .scrs.com.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 73

Many Steps Add to Huge Productivity Gains

up front is one step but expediting parts, mirror matching parts and ensuring all parts are received before dispatching the repair, is another huge Recently I had the opportunity to sit in undertaking for the parts department. on a meeting with shop ownThis allows the vehicle to be ers discussing cycle time and “ready” to process for the touch time. The conversation technicians. The vehicle and centered on their KPI’s and parts cart need to be “kitted” how they thought implewith everything required for menting Damage Analysis the repair. and Blueprinting would imThink of your doctor or prove their output. Many dentist office – all paperwork, were stunned that their times supplies, tools and patient are Judy Lynch were not moving quickly just inspected and checked in beby adding a Damage Analysis bay. fore the physician actually sees the paWhat they failed to realize is that there tient. This should hold true for the is not one magic bullet for improving vehicle before it hits your production cycle time or touch time, but a require- floor! ment of several steps that together, will Although the above is imperative contribute to major production im- to reducing cycle time, there are also provements. many other factors in play. When the The concept of Damage Analysis vehicle is brought into the repair has many steps that need to be identi- process, it should be “pulled” through fied: Actually disassembling the vehi- your facility until completion. If it is cle, identifying all hidden damage, not, you need to ask your technician: ordering the correct parts, verifying “why the vehicle is idle?” parts received and then actually “kit- • Do you continue to have suppleting” the car for the technician to re- ments? Return to the Damage Analysis pair. This in itself is a major cultural and improve the process shift for many shops but the real • Are incorrect parts realized at time process is much deeper than this. Dis- of replacement? Improve mirror matchassembling and identifying all damage ing and parts receiving SOP’s

by Judy Lynch, Marketing Manager, Collision Repair Design Service, Sherwin-Williams Automotive Finishes

• Are all the tools & equipment in working condition? Ensure each technician has the correct tools/equipment for task • Are supplies in the area necessary for specific task? Assemble mobile carts with specific supplies

• Is there large equipment (frame racks) in the shop not being utilized?

If so, then free up productive floor space • Are there quality issues when passing vehicles to the next technician?

Address training and/or SOP’s • Is one area of the shop outproducing another? Level your production and staff As you can see, many issues contribute to the cycle time of vehicles and reduce the touch time shown in your monthly reports.

Be aware that although improving one task can make an impact in your shop, multiple small improvements add up to large productivity gains. Want to know how to improve your cycle time?

Observe your shop floor with a Implementing Damage Analysis and Blueprinting are a good fresh set of eyes and talk to your start; but there are several more steps to consider when technicians! reducing cycle time Judy Lynch, Marketing Man• Are “dead” cars sitting in produc- ager, Collision Repair Design Service, tive work bays? Ask why – up to five for Sherwin-Williams Automotive Fintimes – if you need to get to root cause ishes, brings 29 years’ experience within of why this vehicle is even inside the the automotive industry and has become shop a key resource for assisting collision re• Is there sufficient lighting and/or pair facilities improve their performance space for each task? Mask off floor and enable them to become profitable areas to create process flow as neces- and productive in this changing econsary omy.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 75

Media and Publicity for Shops

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

Signs, Signs—Everywhere are Signs. So How Do You Stand Out? with Ed Attanasio

I walked into a beautiful reception area at a body shop one day and was immediately impressed. With highend furniture, a big walnut counter and one of those glass wall fountains, I thought, “Wow.” But as I was leaving the shop a short time later, I was surprised to see their sign out front.

If you have an old classic neon sign that has been there forever, hang on to it if you can, but neon today is costly and not a green alternative to signage. (Erie-LaSalle Body Shop, Chicago, IL)

Marketing studies show that consumers are easily persuaded by a first impression, and this shop was not im-

pressing anyone with its battered old sign. It was crooked, rusting in a few spots and the paint was fading. Not a good image for a company that specializes in returning vehicles back to their pre-accident condition, because this sign looked as though it had been in an accident itself.

It got me thinking: how important is signage when it comes to the collision repair industry? Every business that sells anything should have a sign, but since most shops’ work comes through insurance companies, can’t they save a little money on this aspect of their business?

Signs have many functions, but Point of Purchase (POP) signage is designed to advertise a product at the location in which it is displayed. Experts say effective signage is a vital component of any company’s marketing plan, too many of which concentrate on other things more intently, such as broadcast advertising, direct mail, social media

and other forms that cost a lot more than engaging signage.

If you’re looking for signs today, there are a plethora of options to choose from, including illuminated and non-il-

If you decide to go with a pole sign that has a bulletin board on it, you will need to come up with compelling (or funny) messages. (Hoffman Auto Body in Boise, ID)

luminated signs, vinyl graphics, monument signs, channel letter signs, pylon signs, illuminated cabinet signs and even the old “A” frame sandwich signs

that are mobile and ideal to place out on the sidewalk in front of your shop.

Marketing experts often use terms like “drive-up appeal” and “engagement rate” and many of them say that signage is the most valuable investment any business can make. Studies claim that building (aka wall) signage is the most important in attracting customers, with digital LED signs gaining the most awareness and visibility. Pole (pylon) signs are becoming more and more popular with body shops while monument (ground) signs are also good. But in the end, it all comes down to your available real estate and the local restrictions in your city or town.

According to the Small Business Association, the most effective signage will consistently create a lasting memory for a company’s products or services in the minds of consumers. A good sign reinforces a recollection and extends the overall recall of other advertising efforts and bringing in new clients and affect-

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ing their buying decisions.

A major problem that body shops encounter is that they don’t update or change their signs. If it works, why change it, right? From Walmart to REI, almost every major retailer updates their signage every 10-20 years, so they obviously see value in it. And yet, some shops have a 25-year-old sign hanging out there looking like something that was pulled out of the Titanic.

Once your shop’s old sign has seen better days, don’t be afraid to replace it. (McGrath Collision Center, Cedar Rapids, ID)

Some shops might be perplexed by all of the different signs to choose from. Back in the old days (pre-1980’s), there were only a few options when it came to signs. If you had the money and wanted to make a big impression, neon was the only way to go, and it was the rage for 40 years.

In the fifties and sixties, body

shops invested in expensive neon signs to attract customers away from the other shop down the street. Having a neon sign sent a message that said “We are successful.” But neon is costly, so after a while, only big retailers like car dealers had neon signs. In the eighties, consumers viewed neon signs as garish and tacky, so body shops began finding cheaper alternatives. Now, of course, they are back in vogue, like everything else.

But unless you have an old neon sign and you simply need to update it or rehab it, neon may be too pricey for you. Since it also burns electricity and you’re striving to be a greener business, maybe neon is not your best solution.

Roger Henson, the owner of ABC Marketing in Silicon Valley, CA, has placed numerous signs of all types for a wide range of companies by working with sign contractors and companies such as Clear Channel Outdoor. Henson’s strategy when it comes to signage is “get your name out there without being too aggressive.”

“I had a client who was an auto glass company, and he had signs on all of his trucks, painted on every one of their parking spaces, six on his building and 2-3 banners hanging from every-

where,” Henson said. “It became offensive, and he even got a few bad Yelp reviews as a result. When it comes to signs, you can indeed have too many, and if they’re too big or too bright, people don’t like that.”

For body shops, Henson would suggest using all of the newest signs that are available on the market today to tell your message and leverage your

A new, updated sign utilizing today’s newest technology can create a positive and professional image. (McGrath Collision Center, Cedar Rapids, ID)

brand. “Why not use some digital signage in addition to the old painted letters on the side of your building?” he said. “It all comes down to your budget and your goals with your signs. You want good signs so that people can find you easily, but you also want signs that people will remember.”

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Continued from Page 59

Retro News

being formed to finalize and implement industry standards, the four groups issuing the statement last week instead called on I CAR to create an industry council “to identify gaps in existing OEM procedures and develop processes to close gaps, vet industry proposed alternatives, modifications and additions to OEM procedures.”

– As reported in CRASH Network (www.CrashNetwork.com), November 7, 2011. I-CAR did indeed take on the task of working with the automakers to close the gap in the availability and industry accessibility to OEM collision repair procedures. ICAR developed the “Repairability Technical Support Portal” (https://rts.icar.com/),which includes the “Ask ICAR” feature that allows users to email or call I-CAR with a technical question.

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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 77

Killer Tools Gives SEMA Preview, Discusses Future of Collision Repair Products

by Victoria Antonelli

Autobody News reached out to Killer Tools president Gerry Trueit to learn more about what new products the company will be releasing during the SEMA Show in Las Vegas, NV, from November 1–4.

of a spray booth. When used, it cuts the bake cycle in half.

How do your tools (current and Q: upcoming) aid body shops as well as the collision repair industry as

We have two exciting new tools A: that we have built here in California and will be showing at SEMA.

We have designed and built an electronic dent removal system for collision professionals.This tool revolutionizes the way a technician pulls the dents out of steel panels. We will be demonstrating it at our booth (#11377).

We are also very excited to be unveiling our new Self Piercing Riveter (SPR), which we built here in Sacramento, CA. Riveting body panels are becoming more and more common with the advent of aluminum in vehicle construction. When the time comes for a collision shop to decide which SPR to purchase—and that time will come—we want to be considered, as a US-based quality supplier.

Q:

Have you released any other tools over the course of 2016? If so, which ones, and what are their functions?

A:

Yes, we have. We have come out with a telescoping, calibrated mini tram gauge plus a variety of magnetic tools that help organize and hold everyday items. One example is the magnetic “painter’s helper” that allows painters to paint items and then attach them to the paint booth wall. It encompasses a “monster grip.”

We also came out with a three rail parts glider that mounts to the inside

the last four years. Our goal is to continue to grow and develop new tools and equipment while maintaining a

a whole?

The collision industry is on the A: front line in innovation of new tools, as any technician will tell you.

New cars get into accidents just like older vehicles. Many times, technicians have to invent new tools to accomplish new tasks, which is how a lot of our tools came to be. We have paid hundreds of thousands in royalties to the people who have shared their ideas with us that we have gone on to design and build.

Can you give any type of hint Q: or preview of the new tools you will be announcing at SEMA?

are attaching them differently through riveting and other methods. We have responded by coming out with our

The Killer Tools team, pictured (l to r): Ryan, Stewart, Mario, Gabe, Maggie, Gerry, and Edward

own aluminum stud welder and now a hydraulic riveting system.

What is your most popular Is there anything else about the Q: tool?

Q: company that you would like to share with readers?

We have sold over 30,000 of A: our pneumatic door skin tools A: ing Our company has been designand building tools for the in the US, used for putting on door skins. Our surge protector is sold all collision industry for over 15 years. We over the world. It protects the computers when people weld on vehicles.

We have lost count of how many of those we have sold.

take pride in the work that we do and the fact that our sales have doubled in

high level of quality that our customers have come to expect.

To learn more about Killer Tools, visit their website at www.killertools.com. The company does not sell products directly, but Trueit said their tools can be purchased through any consumer’s favorite jobber.

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Behind the scenes at the Killer Tools facilities in Sacramento, CA

Did you attend NACE? How Q: was your experience?

We did attend NACE, primarily A: because it was in California, where we are based. We are growing and need the International pull that SEMA brings, so we have a larger presence there.

What do you think is the future Q: of the industry in terms of products? How is your company preparing for that?

OEMs are now using metals A: like aluminum and boron and

78 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

è USE GENUINE MERCEDES-BENZ PARTS.

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Older Adults No Slower Than Young Adults at Taking Control of Semi-Autonomous Vehicles

New research from North Carolina State University finds that older adults have comparable response times to young adults when tasked with taking control of a semi-autonomous vehicle.

“Before we see fully autonomous cars enter the marketplace, we are likely to see semi-autonomous vehicles on the road; to a certain extent, we’re seeing hints of this already,” said Jing Feng, an assistant professor of psychology at NC State and senior author of a paper on the work. “These cars will handle the driving most of the time, but will require drivers to take control of the vehicle under certain circumstances – such as when the weather affects visibility.

“We wanted to know whether and how a driver’s age affects his or her ability to take control of the vehi-

cle, and what sort of notification from the computer is most effective at getting drivers to take control in a safe and timely way,” Feng said. “For example, are there changes in driver response time as a result of age?”

To explore this issue, researchers performed an experiment with 35 drivers: 17 drivers between the ages of 18 and 35, and 18 drivers between the ages of 62 and 81.

Study participants were placed in a driving simulator and the concept of semi-autonomous vehicles was explained. Participants knew they would need to take control of the vehicle at some point, but were otherwise allowed to choose how to occupy themselves.

Driver behavior was observed by four video cameras, as well as via the simulator itself. The researchers also

Service King Breaks Recycled Rides Donation Record

The gift of a new vehicle helped change the lives of needy families in 15 cities across the country in September as part of a massive giveaway effort conducted by Service King Collision Repair Centers and its teammates. The event marked the company’s 40th Anniversary while breaking the record for the largest

donation by an auto repair company in the National Auto Body Council’s Recycled Rides program’s history.

Service King and its teammates have handed over the keys to more than 40 refurbished vehicles this year as part of its Great American Recycled Rides Giveaway, each repaired voluntarily by the company’s technicians and delivered to a family selected by local non-profit organizations.

“Positively impacting our communities remains a cornerstone to Service King’s greater purpose as a family of teammates,” said Service

King president and 28-year teammate Jeff McFadden. “We uniquely recognize the impact a vehicle, and dependable transportation, has on the lives of families who need it most. It’s our sincere hope the volunteer efforts of our teammates and these vehicles touched lives in a positive way.”

The recent Great American Recycled Rides Giveaway provided vehicles to single mothers, transitioning homeless families, military veterans and more in cities across the country including Dallas, Houston, Tampa, Atlanta, San Antonio, Murfreesboro, Dublin, Bellflower and more.

On September 18, the effort took center stage at Chicagoland Speedway in front of more than 50,000 fans as Service King presented keys to a pair of recipients from the Women With Drive Foundation, which helps at-risk women achieve self-sufficiency.

Service King is a longtime partner of the Recycled Rides initiative, which has successfully donated more than 1,000 refurbished vehicles to families in need across the U.S. since its inception in 2007.

For more information, visit www .ServiceKing.com.

80 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com

used two types of warning indicators to tell drivers when they needed to take control of the vehicle: one type of indicator gave drivers a warning 4.5 seconds before the autonomous system shut off; the second type of indicator gave drivers a warning 7.5 seconds before the system shut off.

After analyzing the results of the experiment, researchers found that younger drivers primarily made use of electronic devices, while older drivers predominantly engaged in conversation. The researchers also found that older drivers responded to the warnings as quickly as younger drivers, though older drivers fared slightly better with the earlier, 7.5 second warning. There was also some discrepancy in post-takeover behavior.

Older drivers, for example, tended

to brake harder than young drivers.

“While this sort of braking behavior could cause traffic problems, ultimately both age groups were capable of taking over the vehicle in a safe and timely way,” Feng said.

“That is despite the fact that we found older drivers engage in secondary, non-driving activities more than we expected – though it was still less than the younger group,” Feng said.

The paper, “Age Differences in the Takeover of Vehicle Control and Engagement in Non-driving-related Activities in Simulated Driving with Conditional Automation,” is published in the journal Accident Analysis & Prevention. Lead author of the paper is Hallie Clark, a Ph.D. student at NC State. The work was supported, in part, by the Highway Safety Research Center.

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