Maximizing Social Media Âť Carbon Fiber Repair Âť Vehicle Technology
September 2014//Vol. 33 No.9 Multi-Shop Winner Tom Griffin, president, Mayfield Collision Centers Single-Shop Winner Rachel Minshall, body shop manager, Soerens Ford
Meet Our 2014
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Inside
September September
2014
Vol. 33 No. 9
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ON THE COVER Meet Our 2014 Executives of the Year! Tom Griffin, president, Mayfield Collision Centers and Rachel Minshall, body shop manager, Soerens Ford.
FEATURES
38 Don’t Forget the Small Things! TECHNOLOGY
Technology has changed to the point where we shouldn’t be touching cars before doing our research.
44 Have You Had Your Fiber Today? TECHNICAL
More and more vehicles are being introduced with carbon fiber components. Are you prepared?
54 It Ain’t the ’70s Anymore BUSINESS
Today’s vehicles are more sophisticated and thus require more repair procedures...which we often don’t get paid for.
SHOP TALK Editor’s Notes
8 10 Detours 14 Clark’s Corner 22 Web Presence Management
The industry still has a long way to go with lean. My tour of Italy provided for some interesting car watching. Switching paint brands requires major examination. Social media is the ultimate word of mouth.
BODYSHOP BUSINESS (ISSN 0730-7241) (September 2014, Volume 33, Number 9): Published monthly by Babcox Media, Inc., 3550 Embassy Parkway, Akron, OH 44333 U.S.A. Phone (330) 670-1234, FAX (330) 670-0874. Copyright 2014 Babcox Media, Inc. All Rights Reserved. Periodical postage paid at Akron, OH 44333 and additional mailing offices. POSTMASTER: Send address changes to BODYSHOP BUSINESS, P.O. Box 13260, Akron, OH 44334-3912. Member, BPA Worldwide
DEPARTMENTS Guess the Car ....................................................................................4 Industry Update ..............................................................................12 Tech Tips ........................................................................................26 Product Showcase............................................................................92 By the Numbers ..............................................................................96
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Guess
the Car
SOLVED! See the October issue for winner of Guess the Car #137.
Reader Contest! Win $50! What vehicle MODEL does this picture represent? Fax your guess to (330) 670-0874. Include name, title, shop name, city, state and phone number. Or submit your guess with our online contest form by visiting bodyshopbusiness.com/guessthecar. The winner will be randomly selected from # correct entries and awarded $50. Entries must be received by Sept. 30, 2014.
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*Only one winner will be selected. Chances of winning are dependent upon the number of correct entries received. Employees of Babcox, industry manufacturers and BSB advertisers are not eligible to enter.
Countryman = (Mini Cooper) Countryman
!
WINNER #136 Mike Theisman, manager, Florissant Auto Paint, Florissant, Mo.
“Is that you, Maximillian?�
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Eye-on = (Saturn) Ion
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e-Buzz
The latest online content from BodyShop Business August 1 — Lookin’ good at NACE!
Like • Comment • Share
: BodyShop Business Readers Group
Did Any of You Attend NACE? If So, What Did You Think? Very well done compared to recent years. I agree with George that it may never be what it once was, but smaller with the quality is OK by me. I have attended and actually worked the booth at more NACE shows than I care to remember, and I think the show ending on Friday evening was great. Typically, the Saturdays had vendors roaming around wondering why they were there. The training was tremendous. Also, thank goodness it was not Dave Matthews in Las Vegas! Detroit ended up being a great place to have the event. Looking forward to next year. – Dave Matthews, sales manager at Zimmerman’s Auto Body Supplies I was pleasantly surprised. Good job Dan Risley and everyone who made it a productive week. – John Webb, president and COO at TenPoint Complete
John Webb
@BSBMagazine: @SEMASHOW is debuting a new attraction at this year’s show #SEMAshow #cars #collision #autobody
Find 1,000’s of BodyShop Business articles online at www.bodyshopbusiness.com 6
September 2014 | BodyShop Business
They Said It On
bodyshopbusiness.com Former Sterling Autobody President Named Partner of Paintless Dent Repair Company Comment by Ding Guy: The problem that this new entity will find out fast enough is that quality PDR is a skill not learned easily. There is already a shortage of qualified techs, and those who are will not work for less than they’re worth. So I’m not sure where they plan on finding quality techs. PDR Lynx, Dent Wizard and the other ‘big players’ know this already. You may draw some in on a lean hail season, but when several major metropolitan areas get hit in the same summer, the good techs are working for themselves or companies that pay for top techs. So I see this new company trying to train new techs, and that means low quality for at least the first few seasons. Good luck guys! Comment by An Actual PDR Business Owner: Honestly, I don’t think I’ve read anything more out of touch with an industry then this nonsensical press release. To top it off, you have the two partners and their field manager with zero experience in the actual running, repairing and managing of a PDR company other than from watching it being done in a BS system. Love the claim of a “vastly different model”: 1) “Control costs” – Great! Another company selling on price. Nothing new here. 2) “Improve cycle times”– LOL. I don’t know what dent crew he’s used to, but it’s already one to two days at most for cycle times. So what exactly is he going to improve? 3) “Work exclusively through insurance companies” – Most of the repairs being done come from insurance, so I have no clue what on earth he’s talking about when he claims “insurance is an afterthought.”
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Editor’s
Notes
Publisher
S. Scott Shriber, ext. 229 sshriber@babcox.com Editor
Lean: A Long Way to Go? t had been awhile since I thought about lean and the Toyota Production System. I realized that as I sat in the Sherwin-Williams EcoLean Workshop in Charlotte awhile back. Receiving yet another copy of “The Toyota Way” book also reminded me that I still needed to read it.
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But it was good to get refreshed on this subject. The system makes so much sense. Yet Steve Feltovich, manager of Business Consulting Services, said the collision industry for the most part remains mired in the traditional, wasteful model of doing business. “It’s not necessary to change. Survival isn’t mandatory,” he said. “But unless you can create more customer value tomorrow than you did today, you’re setting yourself up for future obsolescence.” We all know the basics, right? Continuous improvement. Reduction of waste. Empowering employees to find better ways to do things. And that lean is a journey, not a destination.
“Ninety percent of lean is thinking; 10 percent is doing,” said Feltovich. Aha! Therein lies the problem. Who has time to think in this industry, right? We’re too busy pushing as many cars as we can through our facilities, even if we can’t handle the workload, concentrating on the almighty cycle time. But once you get systems in place, in theory you’ll have more time to work on your business, not in it. I’ve heard some collision repairers say, “We’ve gotten as lean as we can get.” The experts say hogwash – that this industry in particular has a long way to go yet. I think this is true based on my various shop visits throughout the country. What’s the old saying? “There’s always room for improvement.” I would suggest brushing up on your lean via a class, whether you haven’t started yet, or you have started but have run into trouble, or even if you’re well down the path of lean and doing it successfully. It pays to get out of the shop noise occasionally and hear the cogs in your brain turning. You might be surprised what you come away with.
Jason Stahl, Editor Email comments to jstahl@babcox.com
Jason Stahl, ext. 226 jstahl@babcox.com Managing Editor
Gina Kuzmick, ext. 244 gkuzmick@babcox.com Contributing Editors
Mitch Becker, Mark Clark, Mark Claypool, Erica Eversman, Tom Ferry, Kristen Hampshire, Curt Harler, Hank Nunn, Carl Wilson Graphic Designer
Lisa DiPaolo, ext. 281 ldipaolo@babcox.com Advertising Services
Kelly McAleese, ext. 284 kmcaleese@babcox.com Director of Circulation
Pat Robinson, ext. 276 probinson@babcox.com Director of eMedia
Randy Loeser, ext. 285 rloeser@babcox.com Subscription Services
Ellen Mays, ext. 275 emays@babcox.com Tel: (330) 670-1234 Fax: (330) 670-0874 Website: bodyshopbusiness.com Corporate
Bill Babcox, President Gregory Cira, Vice President, Chief Financial Officer Beth Scheetz, Controller A limited number of complimentary subscriptions are available to those who qualify. Call (330) 670-1234, ext. 288, or fax us at (330) 6705335. Paid subscriptions are available for nonqualified subscribers at: U.S.: $69 for one year. Canada/Mexico: $89 for one year. Canadian rates include GST. Ohio residents add current county sales tax. Other foreign rates/via air mail: $129 for one year. Payable in advance in U.S. funds. Mail payment to BodyShop Business, P.O. Box 75692, Cleveland, OH 44101-4755. VISA, MasterCard or American Express accepted.
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Detours
By S. Scott Shriber, Publisher
It’s Good to
Be Here
s many of you know, part of my job involves traveling around the country to participate in industry events. One of the by-products of that travel is the columns I write about the unique shops and vehicles I find along the way. This time, for once, I found myself outside of our native soil. I was traveling through Europe and ran across some interesting sights. On the car front, it was quite an eye opener. Frankly, I only recognized about 25 percent of the vehicles on the road. Interestingly, there were many brands I was familiar with, but at one point in time or another they disappeared from our roads – Citroen, Peugeot, Opel, Alfa Romeo and Renault, just to name a few. Of course, there were Fiats everywhere along with Mercedes-Benz, BMW and the like. Then, there were the ones I had never seen here – Skoda, Lancia, Rover and Seat. Most were fairly unremarkable, but some of them caught my eye. Then, of course, there were the offerings from our domestic manufacturers. The surprising thing was that most carried different nameplates than their stateside counterparts. Some were models that aren’t even available here. I’ve included a couple of photos of these from Ford and Toyota. Some were very stylish but also seemed practical. Most day-to-day
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vehicles seemed to be diesels and sticks. The last category is the fun one. Of course, it’s the high performance group. Frankly, I’ve never seen so many top, high-performance vehicles on the road for everyday driving. There were many Ferraris and Lamborghinis sporting around in everyday situations. I stopped counting Audi R8 Cabriolets. Likewise, Aston Martin Vantage and DB-7s in convertible form were pretty common. Matte finish seemed to be the new great thing. I’m a big gloss guy, but I will say that a red Ferrari is still pretty breathtaking even in matte. Check out the black Ferrari in the photo. I found it parked in the dropoff lane at baggage. I don’t know about you, but in the unlikely event that I find myself as a Ferrari owner, I highly doubt you’ll find me parallel parked at baggage claim. Bringing all this home to us, I looked around for repair facilities. Some were certainly better than others. Dealers had fairly up-to-date facilities, but when you got into the older cities, working conditions deteriorated rapidly. I saw many a tech under a car on the ground with a floor jack supporting the vehicle. And there were lots of vehicles being worked on in the streets on the ground, of course. What struck me was the stark contrast of outstanding vehicles with the rather crude or ill-equipped repair facilities. Not to say they were all lacking, but the majority would classify as a C or D shop over here. Again, one more reason to be thankful we’re part of our great country and our economy. While the elaborate train system in Europe is a marvel, I wouldn’t trade it for the flexibility provided by our individualbased transportation. I hope to see you at SEMA!
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Industry
Update Two Northwest Insurers and USAA Get Top Grades from Oregon Body Shops tate Farm may still be the largest auto insurer in Oregon, but it’s no longer the best, according to the latest survey of Oregon collision repair shops. The survey by the Northwest Automotive Trades Association (NATA) asked shops to grade the Top 20 auto insurers in the state in terms of how well each company’s “policies, attitude and payment prac-
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tices ensure quality repairs and customer service for Oregon motorists.” This was the eighth time the association has conducted such a survey since 2004, and State Farm had topped the list each time, finishing last year with a B+ grade. But in a year in which State Farm required its “Select Service” shops in Oregon to use PartsTrader, shops dropped the insurer’s mark by a full grade to C+, putting it in fourth place in the survey,
Paint Distributor Launches
‘The Tape Thing’ By Gina Kuzmick s a paint distributor, Tim Briggs frequently gets an up-close look at the collision repair process when he visits shops. On one particular visit, he noticed an employee struggling with some tape while working on a fender. He’d rip some off, then put the roll in his mouth while laying the piece down on the fender, then remove the roll from his mouth and tear off some more and repeat the process. When he grew tired of this, the guy set the tape roll down on top of the vehicle’s hood…only to have it fall off and roll into a puddle of water. Continued on pg. 62
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virtually tied with Progressive, California Casualty and other insurers. Multiple shops commented on PartsTrader as the reason for giving the insurer a low (or lower than in past years) grade. Two smaller Northwest-based auto insurers continue to be among the best at taking care of their customers after an accident, according to shops. Oregon Mutual’s grade slipped a bit from a B+ last year to a B this year,
but that was still good enough to share the top spot with Mutual of Enumclaw. Both companies have consistently been among the top four insurers in the survey every year. Shops in this year’s survey commented that the two are “excellent to work with” and “take care of their customers.” In terms of market share in Oregon, Mutual of Enumclaw and Oregon Mutual are Continued on pg. 60
Farmers Insurance Drops Most Favored Customer Clause from New DRP Agreements ollowing Farmers Insurance’s decision to remove Most Favored Nation (customer) clauses from insurer direct repair programs, Dan Risley, Automotive Service Association (ASA) president and executive director, sent a letter of thanks to Jeffrey Dailey, Farmers’ chief executive officer. Generally, Most Favored Nation (MFN) clauses stipulate that should a provider give a bottom-line discount, rebate or other estimate discount on the repair costs to any insurer, the same or better bottom-line discount must be given to the insurer proposing the DRP agreement. The elimination of MFN clauses has long been a policy priority for ASA. “We are very pleased that Farmers has removed the MFN clause from the DRP agreements,” said Risley. “I want to personally thank you and the Farmers team for your leadership in eliminating these clauses, which have become a significant burden for ASA members.” ASA’s collision leaders have made several trips to Washington, D.C., to discuss eliminating the clauses with congressional leaders, the U.S. Department of Justice and the Federal Trade Commission.
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»| Industry Update |«
Louisiana Attorney General Files Suit Against State Farm ouisiana Attorney General Buddy Caldwell filed a lawsuit Aug. 19 against State Farm alleging that the insurer has engaged in a pattern of unfair and fraudulent business practices aimed at controlling the auto repair industry and forcing unsafe repairs on vehicles without the knowledge or consent of Louisiana consumers. “State Farm has created a culture of unsafe business practices in which consumer vehicle repairs are performed with costsavings as the primary goal rather than safety and reliability,” said Caldwell. The suit, filed in Louisiana’s 19th Judicial District Court, alleges State Farm violated Louisiana’s Unfair Trade Practices Act and Monopolies Law by using scare tactics to steer Louisiana consumers to State Farm’s preferred repair shops and forcing shops to perform vehicle repairs cheaply and quickly, rather than in accordance with consumer safety and vehicle manufacturer performance standards. The lawsuit alleges that State Farm steers consumers to direct repair providers that have signed agreements with the insurance company. As part of the terms of the agreement, those repair shops must comply with the standards for repair laid out by State Farm.
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The insurance company, not the repair shop, dictates how long the repair should take, what types of repairs are made and the quality of replacement parts. In many cases, the repairs are completed with substandard parts without the consent of the policyholder. “In some cases, we’ve found that these parts are nothing more than used junkyard parts,” Caldwell said. “In others, we’ve found them to be
foreign knock-off parts of questionable quality. Auto repair is not an industry where you can cut corners to save a little money. It could be a matter of life and death.” Caldwell says the suit aims to change the culture of unsafe business practices led by State Farm in the auto insurance and repair industry. State Farm currently holds the largest share of auto insurance policies in Louisiana. In 2012, State Farm wrote
one third of all auto insurance policies in the state totaling over $1 billion in premiums. “Each month, Louisiana consumers give their hard-earned money to State Farm under the assumption that the insurer will take care of them if an accident occurs. This simply isn’t happening. Quite frankly, State Farm has been there for State Farm, not the Louisiana consumer,” Caldwell stated.
2014 Insurer Report Card hat grade do Oregon collision repair shops give auto insurers in terms of how their “policies, attitude and payment practices ensure quality repairs and customer service for Oregon motorists?”
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Insurer Oregon Mutual Mutual ofEnumclaw USAA State Farm Progressive California Casualty Kemper / Unitrin The Hartford Ameriprise American Commerce Insur. Country Companies Liberty Mutual Nationwide Safeco / North Pacific Travelers GEICO American Family Allstate Esurance Farmers Insurance
Overall Grade* (followed by grade in 2013) B B BC+ C+ C+ C+ C+ C C C C C C C C CCCD+
(B+) (B) (C+) (B+) (C+) (C+) (C+) (C+) (C+) (C+ (C+) (C) (C) (C-) (B-) (C-) (C) (C) (C) (D+)
Non-DRP Shops**
DRP Shops**
B BC+ C C+ C C C C C C+ C C C C CCCCD+
AAABn/a A B+ BBBn/a n/a n/a n/a Bn/a C+ BBC
n/a = Insufficient responses from shops in the DRP to assign a grade. * Based on responses from all shops. **Based only on responses from shops participating in (or not participating in) that insurer’s DRP.
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Clark’s
Corner
By Mark Clark
Switching
Paint Brands
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ince there isn’t a tsunami of brandnew body shops opening anywhere across the country, paint vendors are intent on growing their sales by converting the existing shops from one jobber and paint brand to another. Many times, the enticements to switch brands sound like a great deal, and they certainly may be. But major shop changes (like the quality and brand of paint and the local supplier) require major examination to determine the best outcome.
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quality of paint your shop currently uses, the painters know the speedy shortcuts. The shop’s learning curve on a new line obviously varies with the skills of the painters and the convenience of the paint line. Sadly, I often see the shop painters resentful and obstinate that a change in brands has been made by the front office without their knowledge. Just like a good painter can make anything work well, angry painters can make any new brand perform poorly, too.
Great Painters » Let’s start the exam with an obvious truth: a great painter can make anything work. Today’s most productive and professional auto body painters changed their game plan to match the new offering’s paint chemistry. Earlier in my career, the best painters would change the paint’s chemistry (catalyst and solvent speeds) to match their game plan. The productivity wizards who are flagging the most refinish hours these days do both: they change their spray style, gun distance, hand speed and flash times to match the paint company’s directions. Once at that stage, they’ll fiddle with the mix ratios, air pressures and re-coat times until the paint lays out to their complete satisfaction. But not every painter meets my arbitrary definition of a “great painter.” Many more folks in our industry can get the repair covered and blended “close ’nuff” than can spray any brand of anything at production speeds immediately. Whatever brand and
Status Quo » Whichever brand, whichever quality and whichever local jobber, your shop has no doubt worked out many paint-related issues and are currently painting customer cars every day in a productive fashion. Knowing exactly what to expect from the jobber’s sales force, the delivery schedule, the color match, the clearcoat film build, the tricks to a perfect blended edge, the dry time to scuff and buff and numerous other refinish issues all contribute to smoothly scheduling shop production flow. Changing your shop to a new vendor and a new paint line means starting over on all those things – a decision that should be made very carefully.
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Paint Quality » Within most auto paint brands, there are three basic levels of product offering. These are referred to as qualities, not as in good or bad but as in market position. High-end, high-priced offerings bring the best that paint manufacturer can offer: best color match, color holdout, resin content,
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»| Clark’s Corner |« undercoat variety and much more. Middle-priced qualities are the heart of the market. More competitive prices, acceptable pigment loads, quick recoat times and easy-to-use color tools all make for best-selling paint lines. The least expensive paint qualities sacrifice some things in the name of low prices. Often, the most visible difference to the body shop is the color match. Building clearcoats and undercoats is relatively easy. Resin content, solvent loads and raw material quality are easy to manipulate and manufacture. Matching thousands and thousands of new color offerings every year is incredibly expensive. As a result, the less expensive qualities within a given paint brand spend significantly less on color tools and color match. Given that color match is the painter’s biggest problem, buying the most expensive
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quality with the best color tools makes sense for most production shops. Used cars painters may be able to operate productively with a less expensive quality and their resulting limited color pallet.
Apples to Apples » Sadly, I see many shops make their paint line and quality decision solely based on their discount from a printed price list. “I’m getting 25 or 30 or 35 percent off,” they say with great pride. Off “what” is the key question. Twenty five percent off Brand X may be much less money than 35 percent off Brand Z. For simplicity’s sake, let’s pretend that the shop is choosing one of three qualities from the same paint manufacturer. Their premium quality offering has a printed price of $100, their middle quality costs $80 and
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their economy quality costs only $60. In each case, the local jobber will offer them a 25 percent discount to switch from their current vendor. They’ll pay $75 for the best stuff, $60 for the good stuff and only $45 for the cheap stuff. By looking carefully at the various features, advantages and benefits of each quality, they can make a relatively informed decision. When the body shop’s choice isn’t within one paint line, the problem gets much harder. First, the corresponding qualities in another brand are not exactly the same price. In the example above, the premium offering from Brand X is $100, but the competitive high quality from Brand Y is $110 and the premium offering from Brand Z is $90. To make the problem even more complicated, the body shop may be looking at a premium line from Brand Z and a middle quality
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»| Clark’s Corner |« line from Brand Y. Multiply the discount offered times the price for each competitor and confusion quickly reigns supreme. No wonder shops just want to go with the biggest discount; it looks like an easy choice! “I’ll take the 30 percent off deal,” they say. But 30 percent off $100 isn’t as good as 25 percent off $80…or is it?
Do the Math » There are several common paint shop calculations that can help in comparing offerings from competing vendors. One is called Ready-to-Spray (RTS) and is simply the cost of a quart of product mixed, thinned and activated. This helps level the playing field when shopping for new refinish material; the gallon of clear from Brand X was $200 and the gallon from Brand Y was $250, but when they’re both correctly mixed and catalyzed
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(ready to spray), a quart of Brand X was $55 and Brand Y was $45. That helped a little, but there’s always more to know. Imagine the RTS quart of a premium offering clear was $60 and a RTS quart of the economy quality was only $30. Clearly you would want the $30 version, right? The only way for a paint company to cut product cost is to cut out some of the expensive stuff. High solids clear resin is expensive, and enamel reduce isn’t. Manufacture a clearcoat with less resin and more reducer, and the cost goes down rapidly…but so does the coverage. If it takes four coats of the cheap stuff to reach the same film build as two coats of the expensive stuff, was it a good deal? One factor in the equation is the cost of the liquid in the cup but, in addition, the most expensive thing in any paint shop is always labor
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time. Those extra coats cost the painter lots more time over the course of a month. Therefore, another useful calculation in comparing disparate brands and qualities is square foot coverage. How far will the RTS quart go? If a pint of Brand Z covers one panel and a pint of Brand Y covers two panels, both at two mils thick, Brand Y seems like the choice. But wait… there’s still more! Application times, flash times between coats, bake times and delivery times vary substantially from one brand and quality to the next. Even more paint math is required. No wonder many shops just want to quit when they hear the biggest discount percentage: “Sold at 28 percent off!” Unfortunately, that may leave the paint shop buying a poor hiding, poor matching, slow drying paint line that requires many coats.
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»| Clark’s Corner |« Major shop decisions have major impacts on productivity. Before your shop jumps on the next vendor through your door with an upfront check in their hand and a tasty discount off the paint bill, do some serious math. Good jobbers are happy to help with the calculations. If your jobber can’t do the appropriate math formulas (RTS, coverage, flash times) and just wants you to bite on the big discount, they may not be the jobber partner your shop needs.
Paint Is Paint? » I still hear folks
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in the front office say “paint is paint” and it doesn’t make any difference which brand, which quality or which jobber sells it to me. But it does make a difference. Labor time is always the key driver in collision repair. Great color match, extensive color tools, fast dry and ease of use will make the shop more money than a cheap price on any economy brand. Good local jobbers deliver much more than a can of paint, too. Before your shop switches paint lines or qualities, plan to spend some quality time with your calculator first. This is a key shop decision and shouldn’t be made without input from both the office and the painters. Once all the math is done, do a trial run with the two finalist brands in your own shop for a week or so. Better to find out the problems early than suffering along under legal contract for the next five years. Numbers play an important part in any business decision, but goodlooking paint work in the least time wins this contest every time. Choose your new paint line carefully. BSB Mark R. Clark is owner of Professional PBE Systems in Waterloo, Iowa. He’s a popular industry speaker and consultant and is celebrating his 26th year as a contributing editor to BodyShop Business.
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Web Presence
Management
By Mark Claypool
Social Media: Word of Mouth
Amplified
ast month, Liz Lebantino, manager of Butch’s Auto Body & Paint, Inc. in Capitol Heights, Md., (www.butchsautobody.com) shared her approach over the years toward getting her website exactly where she wanted it. As she revealed, for over 35 years, Butch’s relied mostly on word of mouth. As part of her overall Web presence strategy, Liz says, “Our social media participation is the new word of mouth, only amplified. We partnered with the leading provider of social media management services for the collision repair industry, the same company that built our website. We hesitated to engage in social media if our website wasn’t professional enough looking, so we initiated both at the same time. Our partner provided the concepts and tools to pave the way for our business to cost-effectively harness the marketing power of social media. “Our business survives mostly through recommendations of our customers to their friends, family and acquaintances. And that’s what effective participation in social media enables us to do. We participate in Google+, Facebook and Twitter. Our partner set up our accounts properly, gave us promotional strategies to gain more ‘Likes’ and ‘Followers,’ and then started boosting and promoting our posts. Social media engulfed us like a tidal wave, kicking our marketing into high gear. We are very impressed with all the calls that we’ve been receiving, and we’ve gotten a lot of business out of it.”
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Boosting Your Post » Facebook allows you to boost things that you post and target specific areas around your location. It also 22
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allows you to target specific interest areas, age groups and male or females. This past month, Butch’s posted that their website had been highlighted in BodyShop Business, then they boosted that post. They set a budget of $60, and the post was a screenshot of what their new website looked like. It’s important to make your posts graphic because that’s what catches people’s eye. And that’s what this post did.
In 24 hours, this post reached over 20,000 people in and around Butch’s hometown of Capitol Heights. Butch’s is located right near the border with Washington, D.C., so that was one of many target outreach areas with this post. This post generated 70 clicks to their website, eight new “Likes” for their Facebook page, 24 post “Likes” and seven comments. How do we know? Facebook analytics, called “Insights,” provides comprehensive reports for your review. Comments included great testimonials including a searchable hashtag post, #onlyplaceirecommend, which adds to overall visibility. Liz responded to these comments in a timely manner, fully engaging in the conversation with their fans…all for just $60!
»| Web Presence |« Regular Posting » With their Web presence partner leading the way, Butch’s social media accounts get posts at least 18 times per week and are monitored 365 days a year. Per Google’s recommendations, their Google+ account receives three unique posts per week. Facebook receives at least one post per week, and Twitter gets two per day. In addition, Liz periodically posts on both Facebook and Google+ when she’s got the time and wants to share some information or showcase some of their work. “It’s always reassuring to know our partner is going to be posting regularly so that when I’m busy I don’t have to worry about it,” she says. “I know we’re being taken care of.” Topics posted on Butch’s social media sites vary greatly. They must vary in order to reach and engage a broad audience, a key to successful social media participation for business. Posting nothing but automotive-related things, like before and after photos or cool cars, won’t ever appeal to a certain percentage of your target audience, or constantly to the rest of them. You need to vary it. For example, on June 6, it was National Donut Day, and that’s what Butch’s posted that day on Google+. Fun!
Social Media Management » Liz clearly sees the benefits of partnering with a social media management service. “With our partner’s regular posting on our social media, we were able to connect and engage 24/7 with our customers and vice versa. We feel that [customers] already know us even before they call or come in to our shop. There’s an instant relationship of trust being built with our customers with the help of our social media outreach. With our promoted and boosted posts, we’re getting customers all the way from Virginia and D.C. “In addition to the significant increase in business from our website, we’ve seen increases in our social media followers, interactions, reviews, and most importantly, our revenues. It’s extremely important to give a customer a great experience. If you go an extra step with excellent customer service along with the quality of work we do, you’ll win customers for life and they’ll share their experience with their friends online! Our Web presence and social media no doubt have helped us take our services to the next level.” Liz’s shop is in the top 5 percent of the shops my company has come across in regard to their overall Web presence management. They “get it,” and they’re getting cars to fix as a result. Well done, Liz! BSB BSB Contributing Editor Mark Claypool has more than 30 years of experience in the fields of workforce development, apprenticeships, marketing and Web presence management with SkillsUSA, the I-CAR Education Foundation, Mentors at Work, VeriFacts Automotive and the NABC. He is the CEO of Optima Automotive (www. optimaautomotive.com), which provides website design, SEO services and social media management services.
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Tech
Tips
By the ALLDATA Collision Team
of the high-quality work his shop turns out. However, he does not believe the noise coming from the Explorer is related to the repair he just performed. And he’s particularly concerned that the customer will think it is – reducing his profitability or maybe forcing him to lose a great customer. As it turns out, Alan had nothing to worry about. Playing a hunch that this may be a known condition, he flipped open his tablet, accessed ALLDATA and determined that there was a new TSB (technical service bulletin) from Ford that covered this problem. Bingo! In less than two minutes, he found one that describes the exact problem, along with a simple repair. If you have an Explorer in your shop that’s trying to whistle a Taylor Swift tune and give you some competition in the whistling department, here’s an excerpt from the TSB on how to turn off the whistle.
Whistling Explorer is Off Key o you know anyone who whistles while they work? I do! My buddy, Alan, owns a body shop and loves what he does. He’s a good whistler, too. Nowadays, Alan doesn’t spend as much time working on cars as he does working on keeping his shop profitable – his techs get to have all the fun. Still, Alan usually whistles while he works – he’s just a happy guy.
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Unmusical Grumbling » I stopped by Alan’s shop the other day, and instead of a musical whistle, I heard some very unmusical grumbling. Ap26
parently, he had a 2014 Explorer in the bay that had its own unique kind of whistle. After pronouncing the repair complete and proclaiming that the vehicle looked showroom-new, Alan took it out on the freeway to check the front end. Everything was fine, except for a distracting noise that was coming from the windshield area. Ironically, it sounded like an off-key whistle. The problem is that Alan knows this customer. She has several cars, and his shop has worked on most of them. She’s very picky, but that’s not the problem. Alan expects his customers to be picky, and he’s proud
September 2014 | BodyShop Business
Whistle or Buzz-Type Noise Model: 2011-2014 Ford Explorer Issue: Some 2011-2014 Explorer vehicles may exhibit a whistle or buzz-type noise from the front cowl panel grille cover at highway speeds. This may be caused by the seal for the front cowl panel grille cover not making full contact to the windshield glass surface.
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»| Tech Tips |« Action: Follow the Service Procedure steps to correct the condition.
Service Procedure 1. Apply masking tape over the area where the front cowl panel grille cover seal makes contact with the windshield. Drive vehicle at highway speeds.
a. On the return road test, remove the masking tape to confirm the whistle or buzz-type noise. 2. Is the whistle or buzz-type noise present at highway speeds only with the masking tape removed? a. Yes – proceed to Step 3. b. No – this article does not
apply. Refer to the manufacturer’s repair information to diagnose the condition. 3. Remove the front cowl panel grille cover. 4. Using a straightedge, measure the distance from the windshield surface to the cowl sheet metal at each of the seven mounting holes for the front cowl panel grille cover. 5. Adjust the cowl sheet metal to increase the clearance to 7 mm (9/32”), as required. This adjustment will allow the front cowl panel grille cover seal to make consistent contact with the windshield . 6. Install front cowl panel grill cover. 7. Drive the vehicle to confirm the repair. Alan’s techs made the repair, and he called the owner to tell her that the Explorer was ready. The last thing I heard as I walked out of the shop was Alan whistling a happy tune! NOTE: This repair/service information is excerpted from information published by the vehicle manufacturer and is intended for the purpose of promoting OE collision repair information to trained, professional technicians with the knowledge, tools and equipment to do the job properly and safely. Before attempting any repairs described, refer to the complete article in ALLDATA Collision S3500. It’s recommended that these procedures not be performed by “do-it-yourselfers.” BSB Written by members of the ALLDATA Collision team of experts. © 2014 ALLDATA LLC. All rights reserved. All technical information, images and specifications are from ALLDATA Collision S3500. ALLDATA and ALLDATA Collision are registered trademarks of ALLDATA LLC. Ford and Explorer are registered trademarks of Ford Motor Company. All other marks are the property of their respective holders.
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COVER STORY
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COVER STORY » 2014 Executives of the Year
Meet Our 2014 Multi-Shop winner Tom Griffin, president, Mayfield Collision Centers, and Single-Shop winner Rachel Minshall, body shop manager, Soerens Ford. By Jason Stahl om Griffin, president and founder of Mayfield Collision Centers, and Rachel Minshall, body shop manager of Soerens Ford, were honored with BodyShop Business’s prestigious Collision Repair Shop Executive of the Year award on July 31, 2014 at NACE | CARS. Griffin won in the Multi-Shop category, and Minshall won in the Single-Shop category. This was the first time since BodyShop Business began handing out the award in 1984 that it gave out two awards, feeling it important to distinguish between bigger shop organizations and smaller ones. The aim of the award has always been to recognize true collision repair “visionaries” who have expe-
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rienced great success through innovative thinking, overcoming challenges and persevering. Griffin’s collision career spans more than 40 years. He now leads a two-store operation in Cleveland, Ohio, that’s described as a “thriving family business that provides an extraordinary experience for customers and a rewarding work environment for employees.” The main reason for the BodyShop Business staff selecting Griffin over dozens of other qualified candidates is his dedication to helping young people find their way in the industry and championing women in the industry by hiring and nurturing many female employees in his company. Also, his industry involvement speaks for itself: past www.bodyshopbusiness.com 31
COVER STORY » 2014 Executives of the Year president of Coyote Vision Group, president of the Automotive Service Association Greater Cleveland Chapter, and board member of the Solon Chamber of Commerce. Mayfield Collision Centers is also the only body shop to participate in GuitarMania, a Greater Cleveland community public art project
that has raised $2 million for United Way and the Rock and Roll Hall of Fame and Museum’s education programs. Griffin looked at the award as validation of his efforts and the efforts of his employees as well. “It was both humbling and reaffirming that the principles and
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values we’ve long professed and operated our company on are perceived by our customers and employees as the right things to do,” said Griffin. “In this day and age of people talking about SOPs and process, which are important, we’ve always been more of a values- and principles-based company that figures out the SOPs based on those values and principles.” Although he was honored and privileged to be recognized with the award in Detroit in front of hundreds of his peers, Griffin admitted the “revelry” may last only 30 seconds. “Then, we’ll get right back to being very humble and applying the same things that helped us earn that award to new customers today, next week, next month and next year,” he says. Asked if he will leverage the award via marketing efforts to further distinguish himself and his business, Griffin said he will…but more internally than externally. “Over the last six months, we’ve earned three coveted awards: one of the top 10 body shops in the country, Executive of the Year and one of the 99 Best Places to Work in Northeast Ohio – the first body shop ever to receive that award. The most important thing for us to do is stay humble and motivated and inspired to action by our daily actions, thoughts and decisions and how we interact with employess, insurers and customers. We will do some external marketing, but I want to make sure we don’t do too much chest pounding. It’s not in our DNA to stand on a soapbox.” With all the consolidation going on and the big shops getting bigger, Griffin is well aware what the future may hold for his operation. However, he insists their strategy will be to grow through quality, not quantity. “A number of shops have grown through quantity and then fell on
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COVER STORY » 2014 Executives of the Year their faces in the customer’s viewpoint,” he says. “We now have 59 employees, up from 39 three or four years ago. We’re looking for the right situation from a quantity standpoint, growing through additional locations but not doing it too fast. We want to be well-known and respected in the communities we do
business in, so if we have to compete with consolidators, hopefully that will give us a leg up. I don’t feel any fire under me to go out and buy three shops just so I can say I have that market share and be more attractive to a consolidator.” The BodyShop Business MultiShop Executive of the Year award
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is merely the latest in a long list of achievements Griffin and his business have achieved. Still, there is one more goal left on the table he hopes to accomplish. “My goal has always been, but with much more of a sense of urgency now, to have this company be able to operate with less and less dependence on me, which it’s close to today. I could probably be gone four months and this company would not miss a beat. But it’s all about developing my people and making this company sustainable. We’re well on our way, but there is more work to be done. “As I get older, what I enjoy more than ever is coaching and grooming and developing younger talent. We do this every day. Out of our 59 employees, we have at least 14 people who started in the detail bay. We have furthered their career, and we want to do more of that.” Griffin knows that he and the rest of the industry are staring a major problem square in the face: an aging technician population and a weak influx of young people ready to take their spots. “We always said it was an issue, even 20 years ago when we could put our shoulder down and grunt our way through it,” he says. But he has figured out that growing his own people is the way to go. “We get 90 percent of our employees from employee referrals, and that has proven to be a tremendous recipe for success,” Griffin says. “A lot of shops hire when they needed someone two months ago, so they lower their standards and throw someone in the position. When we hire, we’re not really looking for people. If we are looking for people, that means we needed them two months ago and are hoping we can hire Superman and fill that void.” Rachel Minshall echoed Griffin’s comments on what receiving the
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COVER STORY » 2014 Executives of the Year award means to her when she said it validates her efforts and the best practices she has put in place at her shop. “I’ve taken lots of different classes to keep learning and used little bits of everything I’ve learned over the years from the beginning of my career all the way through and
put all those little things in to make this body shop grow and be at the top of its game at all times,” said Minshall. “[This award] gives us all more confidence and validates our efforts to know that we’re doing the right thing and that we will continue to make customers our top priority.”
Soerens Ford shared Minshall’s achievement on Facebook and Twitter and received lots of positive responses. “People called and said, ‘We already knew you were the Executive of the Year, you didn’t need an award to tell us,’” Minshall said. “I feel really proud. I’ve been here 18 years, and I feel like we did this all together. I couldn’t have done it without all the support around me.” The next goal for Minshall is twofold: to help her shop grow, and to teach her daughter that anything is possible. “We are going through a significant remodel right now where we will be growing the entire dealership, so I’m excited to be part of that and to show how good our body shop really is. I also am raising my daughter to know that whatever she wants to do she can do, no matter who tells her that she can’t. I started off right from high school going to the Ford Asset Program where there was no other women in the class and no women in the business, yet I did it. I started here changing oil, and then went from that to service writing to winning all the awards in service and then going on to be body shop manager. No matter where you start, you can always go to the top.” BSB
To nominate for the 2015 Executive of the Year, scan this code with your smartphone:
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TECHNOLOGY
Don’t Forget the SMALL
Things! Technology has changed to the point where research before repairs is critical to performing a safe repair. By Karl Kirschenman n a letter penned to Jean-Baptiste Leroy in 1789, Benjamin Franklin wrote, “In this world, nothing can be said to be certain, except death and taxes.” Well, ol’ Ben had it mostly right. The way I see it, nothing can be said to be certain, except death, taxes…and a changing world. If you don’t think so, peek your head out the front door of your shop and take a good look around. Think about what’s changed in your life over the last 30 years. In 1984, you were probably working on Ford Tempos and Pontiac Fieros. When was the last time you saw one of those? As vehicles have evolved, so have the processes for repair. Here’s a look at three situations where vehicle technology has changed, and the only way to avoid potential issues is to research these repairs before you begin repairs.
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strates and construction materials today. If you’re working on a dent, do you even bother to see what materials are used in the outer panels of the vehicle? On a 2011 BMW 550i, fixing a small dent just may land you in a large hole. If the vehicle is equipped
Did you know you cannot repair the fender of a BMW 550i in the areas surrounding the side marker lamp if the vehicle is equipped with park assist?
The Small Dent » Vehicles are being made out of a myriad of sub38
with park assist, BMW specifically calls out that you cannot repair the fender in the areas surrounding the side marker lamp. Nope, I’m not kidding on this one. Here’s why: the side marker lamp housing holds the park assist sensor on both sides of the vehicle. Working on a damaged
September 2014 | BodyShop Business
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TECHNOLOGY » Small Things The Bumper Job » Bumpers aren’t
It’s a simple bumper repair on that GMC Terrain, right? Think again.
fender in the areas surrounding the side marker lamp may cause the sensor to not work properly. When the fender’s surface is reshaped or built up through the application of body adhesive, pulling/repairing,
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etc., the sensor aim is adversely affected. The result may be that the vehicle does not park itself properly and causes additional damage to your customer’s vehicle and surrounding vehicles.
September 2014 | BodyShop Business
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just being used to absorb energy any longer. Newer vehicles have a myriad of electronics imbedded on or even behind both front and rear bumpers. Let’s look at 2011 GMC Terrain for a moment. We’re doing a minor repair on the rear bumper, and it’s going to require us to refinish the part. The rear bumper has backup sensors embedded in it. No big deal. We’ve all seen them before. You hook up the sensors and mount the bumper. Well, you’ve just compromised the rear backup system. GM says in its repair procedure that you need to replace all four of the sensor housings every time the bumper fascia is refinished. Failure to replace the sensor mounts will cause them to fail and the rear backup system to be compromised. When you do reinstall the sensor mounts,
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TECHNOLOGY » Small Things make sure the adhesive and the mounting surface is between 66 and 110 degrees Fahrenheit. Also, you’ll need to apply the adhesion promoter referenced in the repair procedure to complete the repair properly.
The Dead Battery » How many batteries have you purchased for
customers? Please don’t answer that question. We all know that you’ve spent a small fortune at $100 a shot replacing batteries that were on their last electrons. Now, I’m not trying to pick on BMW for this article, but this is just too good not to share with the industry. In this example, you deliver that
same 2011 BMW, and your customer comes back with a dead battery. Even worse, they have a dead battery and there’s no audio coming from their radio, CD/DVD player, phone, Park Distance Control and audio warning indicators. In addition, you have a visual warning on the instrument panel that states “Vehicle battery. Increased battery discharge at standstill” or “PDC failed! No acoustic warning available for Park Distance Control PDC.” Remember the example above with the small dent? Yep, this is the same car. Is this related to that fender repair that was completed by your tech? In this case, the answer is probably no. After doing some research on this issue for a shop, we found that BMW has a technical service bulletin (SI B65 06 12) that references the issues above. The root cause of this could very well be an aftermarket USB cable that your customer began using after they got their car back from your shop. Apparently, Apple devices work properly when using “the correct and approved USB adapter cable.” A $20 cable may just affect your CSI score and jeopardize your customer’s experience with your facility.
Change Is Constant » As you continue to fix more complex vehicles, you need to make sure that you’re completing 100 percent teardowns and documenting your repair processes. Change is a constant, and changes in vehicle technology will continue to impact collision repair processes at an increasingly rapid pace. BSB Karl Kirschenman previously was the collision program manager for ALLDATA and the director of technology for I-CAR. He holds a bachelor of science degree in communications and has over 10 years of experience in the collision industry. Circle 42 for Reader Service
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TECHNICAL
Your Fiber Today? Many more vehicle manufacturers are planning future composite products. With these changes, considerations on training for these repairs might be in order. By Mitch Becker
Photo: Patrick Poendl / Shutterstock.com
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e’ve been hearing about car manufacturers increasing their use of carbon fiber. This talk seems to be coming to fruition as they scramble to meet the new government mandates on CAFÉ (Corporate Average Fuel Economy). Products once only thought to be needed or wanted in projects for NASA or Boeing are streaming into the automotive world. With impressive performance results in the racing world, GM, BMW and Lexus are all seeing the potential for carbon fiber to benefit everyday vehicles. Many more vehicle manufacturers are planning future composite prod-
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ucts, which should come as no surprise to anyone since we’ve used similar composites for years. You’ve known them as fiberglass and SMC. As new steel requirements in auto manufacturing have brought changes, so too have composites. With these changes, considerations on training for these repairs might be in order. Many vehicle recommendations for the repair of new composites will take practice. Some new tools may be required, and a dedication to detail will be necessary to perform quality repairs. The difficulty rating of composite repairs won’t be much harder than current systems today, just different.
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TECHNICAL » Have You Had Your Fiber Today? improvement. Repair procedures could be unique and somewhat time consuming. The other issue is different types of damage will have different repairs. Repair facilities will have to know how to access the damage to properly repair it, and specialty equipment will be required.
What Is It? » Carbon fiber is a
The carbon fiber door sill of the BMW i3. (Photo courtesy BMW)
Pros and Cons » First, let’s take a look at some pros of composite part manufacturing. Lightweight and strong top the list, in that the ability to be light and rigid for manufacturing large and complex shapes is a boom for manufacturers. Composites can be used cosmetically in fenders and hoods and also structurally in occu-
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pant compartments. This and corrosion resistance in any environment is an impressive start to a long list. What are some of the cons? Well, composites are labor intensive, making them expensive to produce currently as mass production is lagging in this area. However, advancements in production have already seen an
September 2014 | BodyShop Business
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manmade fiber or filament with a carbon content that’s between 92 and 99 percent. It can be made into fibers, weave or cloth depending on use. When combined with resins, it can be shaped and molded into very stiff and/or complex designs. Many of us have seen the exposed weave that shows in most pictures when looking at a Corvette. Carbon fiber has a long history in aerospace and racing and has a proven track record. Racecar builders have had issues where riveted aluminum race
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TECHNICAL » Have You Had Your Fiber Today? car structures would change or go soft, but vehicles using carbon fiber don’t seem to have that issue. Although expensive and difficult to mass produce, the benefits are there. Not being susceptible to corrosion is a major benefit.
Repair Info » Shops that work on specialty cars may have already started to research or train for carbon fiber repairs. Those who will be working with the 2014 Corvette and BMW i3 and i8 are seeing these vehicles already. For the rest of us in need of repair information, we need to do the research. First, get some info. The CFR01 course from I-CAR is an excellent start. I recommend this course for all who are involved in the industry. The class is well written and very informative and teaches what you may need to know to make a repair decision. Manufacturer guidelines are critical as identifying these parts could be difficult if parts to be repaired are painted. A shop could be thinking a panel is SMC or fiberglass as there is some similarity in look to the parts. Even just identifying carbon fiber is not enough, though. Acronyms like FRP, CFRP, LFRT and CFR will tell you about specifics, but this will not give you enough information for repair. The type of carbon fiber along with the amount of damage and its use will designate the repair. As mentioned before, carbon fiber can be cosmetic or structural. We find it being used in drivetrains and suspensions, too. The Damage » Once you’ve identified the type of carbon fiber, we now need to look at the damage. Is this a cosmetic repair or structural? What materials will I need to make the panel as strong as before? Is the damage all the way to the edge? Has the area delaminated or disbanded? How is the carbon fiber used, chopped or woven? Is this painted or finished on one side or both? Is it laminated or sandwich core? Hopefully, someone somewhere is working on a flowchart system to identify all these types of uses and laminates. When assessing damage, we need to know that many times, damage to the front will also damage the back. Distortions or even scuff marks may have damage inside such as lamination that has separated. Identifying damage and the extent of damage will take practice. A hammer or coin could give some indication, but is not always definitive. Thermal imaging equipment can also be used to establish the extent of the damage.
Repair Options » Once the damage is assessed, we can look at repair options. On painted, non-structural repairs such as chopped carbon fiber, the procedures are very similar to traditional composite repairs currently being used. Some cosmetic repairs of carbon fiber allow technicians to use a pyramid patch adhesive system. But not Circle 48 for Reader Service
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TECHNICAL » Have You Had Your Fiber Today? all can be done this way – this repair could lead to problems on thinner panels as carbon fiber contracts and expands at a certain rate. An adhesive patch repair will create a thick spot showing a ghost image of the repair. Knowing the limitations of repair materials is critical to success. Strength of repair considerations may be an issue that forces a shop into a type of repair. These issues could be, for example, damage all the way to an edge, limiting the strength of a conventional repair. A conventional repair may not meet the requirements to make the panel itself structurally sound. To make a panel structurally sound again will require vacuum bagging. If the part is a weave, then vacuum bagging will be required to meet strength requirements. When choosing a procedure, be aware that what the manufacturer requires for repair is
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the No. 1 choice. Adhesive repair systems may not be able to return a panel to its proper strength. Panel structural repairs using carbon fiber have two procedures that are most recommended. One is the wet layup, which has some similarities to the old fiberglass repair using a form of the pyramid patch system to start with. That’s where the similarity ends, however. A vacuum process is then used to compress and draw out excess resin. The other procedure entails using cloths or weave pre-impregnated with resin or prepreg cloth. The only difference in this procedure versus the other one is that the resin is already in the cloth versus the technician applying the material.
Repair Basics » Let’s look at basics of the repair first before applying the material. Procedures will call for
September 2014 | BodyShop Business
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removing all of the damaged area. If the sandwich core is damaged, it will require replacement. Tapering of the area will need to be done. This is where it gets really specific as the number of layers and orientation of the fiber must be considered. The amount of taper per layer is important. This is where I said it’s not difficult, just different. I should also say it’s a little time-consuming. Vehicle manufacturers will have a specific size of patch according to the damage and weave orientation of patches to be applied. Once the taper is sanded and ready, a shop must decide if they will be using wet layup or prepreg cloth. Wet layup is different as the technician will be applying resins. The problem is if the repair is resin rich, it will become brittle. Prepreg comes with resin already applied. It is also frozen and must be thawed
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TECHNICAL » Have You Had Your Fiber Today? before use. Either way, the “plies or patches: must be applied in orientation with existing weave to not make stress in repair and to maintain repair strength.” Layers also called bleeders and breathers are used to make the system compress and allow excess resin to be removed when vacuum bagging is applied. This procedure I’ve spelled out is a little abbreviated as the layers and what they do are specific, so read the repair procedures for a more thorough guide. With either procedure, the final procedures involve curing under heat and pressure. A heating blanket that can achieve the heat rating for the product used will be applied, and a vacuum system will apply pressure. A thermocoupler will be used to apply heat as needed for ramping up to the temperature required and soaking at that temperature for a period of time. Once
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the soak is complete, a cool-down will start and the temperature will be decreased at a controlled rate. The ratio of expansion, contraction and cure is considered all throughout the process. The time involved can be hours for this step. The plies used will have compressed and cured, and final refinishing is done following vacuum bagging.
Just the Basics » Repairing carbon fiber may require other procedures that need to be performed to make specific shapes and sizes. These are just the highlights of a basic repair. The equipment and training may be expensive for little payback in the beginning, but as more vehicles are introduced and composite use increases, repair procedures may catch up or change to help meet cycle time for shops. Right now, it’s a specialty market. Lamborghini has doctors
September 2014 | BodyShop Business
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who fly to where the vehicle is, assess the damage and repair it if possible. One factor to consider in carbon fiber is that all these procedures I’ve listed are for non-exposed carbon fiber panels. All exposed weave panels that suffer damage are not repairable as the weave cannot be lined up. Because equipment and training is limited in the U.S., most procedures are replace-only on vehicles currently in production. But the amount of vehicles are increasing and, from what was shown at the SEMA Show, aftermarket and ground effects companies are increasing the use of carbon fiber. Today’s industry cannot afford to not train and learn as we’re moving faster than ever. BSB Mitch Becker is a technical instructor for ABRA Auto Body & Glass. Contact him at (763) 585-6411 or mbecker@abraauto.com.
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BUSINESS
It Ain’t the ’70s Anymore
By Joe Palumbo
hen I began this trade in 1976, collision repair professionals were known as bodymen and fendermen. Most of us did what was known as combo work, which meant that you took the job from start to finish. You straightened the frame, replaced or repaired the panels and, lastly, painted the car. Some of us were better at painting, some were better at bodywork or framework. One guy did it all, including those woodgrain decals on those 1970s station wagons. Now, in our modern world, bodywork has become very complex and oftentimes vehicle or model specific. There are many operations that body techs simply don’t get paid to perform. These operations must be done, so the tech basically does them for free. For example, insurers normally know that many clips break or are one-time use, but who pays your tech to change out 28 clips in a GMC Acadia rocker molding? And that’s just one mold-
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It’s no longer the ’70s. Vehicles are more sophisticated today, requiring more necessary procedures that we often don’t get paid for. We need to start demanding to be compensated.
ing. Remember, to set up a car and clamp the pinchwelds, you need to remove two moldings, so that’s 48 clips, plus time to remove the broken ones and replace them with new ones. How about nameplates and bodyside moldings? Insurers will pay to clean and retape the molding, but who pays to remove the residual adhesive left on the body? You do, my friend. For all you shop owners and managers who think clean and retape means the molding and the body, remember that just to clean and retape a molding can take awhile, let alone cleaning residual adhesive from a door, tailgate or fender. These are two separate labor operations and should be paid for as such.
Radiators/Power Steering » Years ago, when you replaced a radiator you bolted the new one in, filled it with coolant and you were done. Now, modern vehicles have sophisticated cooling
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BUSINESS » It Ain’t the ’70s Anymore systems which can develop air pockets. The modern cooling system must be vacuumed much like an air conditioning system, filled under a vacuum and then run to ensure proper operation of the cooling fans. This can take 30 minutes or more, tying up a stall. Remember, you got paid to install a radiator. That in and of itself is a difficult and time-consuming task – made even harder if you don’t have the specialized tool to grip the spring-loaded clamps found on most cars today. Don’t tell me your channellock pliers work just fine. They won’t fit everywhere. Trust me, I’ve tried. This same rule applies to power steering systems. They must be run for This is the specialized plier tool awhile, wheels turned lock for removing the spring clamps to lock multiple times and on modern radiators. fluid checked multiple times. So unless your customer likes their steering gear to howl like a timber wolf in the north woods, this is a necessary and customary procedure that must be performed when the power steering system is opened for any reason.
Wheelhouse Liners » Next, let’s talk about wheelhouse liners. Painters need them out of the car to prevent overspray, and insurers pay us to remove them, right? If you answered yes, you’re partially correct. They pay us to remove and install one time. But our body tech performs this task twice, the first time prior to the paint work being done and the second time during assembly. And the .3 that this pays hardly covers the time we spend jacking up the car, supporting it on a stand and removing the liner. Sometimes you can get paid to remove the wheel if that’s necessary. How about fire prevention? As techs, we must protect interiors, seats, carpets, seatbelts and glass from welding sparks. It takes time to place blankets and protective welding paper over all these areas. Our fine insurance partners seem to have no problem paying a painter to drape a piece of paper over a door jamb, mask jamb or mask engine compartment. They do have a problem paying for fire protection. What are the repercussions of not masking a door jamb or engine compartment? Overspray. How about not covering the interior or windshield? You guessed it. You better have your glass company on speed dial to replace the windshield. A burned seat cover can cost $500 or more at a trim shop. Last time I checked, the dealer wasn’t giving away seatbelts either. Mock-Up Time » Does anybody know what mock-up time would be? Let’s say your tech straightens a fender or a quarter panel. It’s Friday, and our delivery day is today. Circle 56 for Reader Service
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BUSINESS » It Ain’t the ’70s Anymore Not a problem, as the vehicle has already been refinished. All that’s left to do is install a headlamp or tail lamp. Uh-oh. Our repaired quarter panel is in about half an inch. The tail lamp won’t fit. You try slotting the lamp and moving the other side inboard so it looks correct, but to no avail. It still looks like it was straightened by an amateur. You have no choice but to re-repair the quarter panel and refinish it again. This time, you’ll test fit or mock up the tail lamp. There are a lot of programs on cable pertaining to restoration and custom shops. These guys are professionals in every sense of the word and still feel the need to check and double-check their workmanship. Why shouldn’t we do the same and, more importantly, be compensated accordingly?
Aftermarket Parts » Allow me to address aftermarket headlamps.
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They’re a great savings for insurers. Some are even comparable in appearance to original equipment. The main issue with aftermarket headlamps is that most, if not all, come without wiring harnesses and bulbs. Your tech is paid .3 to install a headlamp, but that’s assuming it’s plug and play. Not so in my experience. A tech is responsible to transfer the wiring, check bulbs and hope they fit in the imitation headlamp. Hopefully, the harness isn’t damaged because your headlamp did not come with a harness. Let’s touch on like, kind and quality (LKQ) and used parts. GM Bulletin #B 06-08-51-005 pertains to caulking OE and LKQ parts. Some foreign manufacturers still caulk their replacement parts. General Motors doesn’t. GM requires a minimum bead thickness and width for the caulked seam. This is very difficult and requires the LKQ or OE part to be masked. This is defi-
September 2014 | BodyShop Business
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This is a 2013 Buick Enclave I mocked up in order to make sure the headlamp fit before repairing the fender.
nitely something we, as repair professionals, should be compensated for. Caulk, tape, labor.
Get With the Times » As vehicles become more complex, our compensation should be more in line with the times. It ain’t the ‘70s anymore, guys. BSB Joe Palumbo is a body and frame technician with Haggerty Buick GMC. He can be reached at jbondojoe@aol.com.
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»| Industry Update |« Northwest continued from pg. 12 ranked 12th and 13th, respectively. USAA nudged up from a C+ to a B- this year, jumping from sixth place to third, its best showing ever in the survey. “They really care about their customers,” one shop noted. Farmers Insurance was the only insurer to receive a D+ this year, keeping it at the bottom of the rankings for the third year in a row. “Just as medical providers see how health insurers take care of patients, collision repair shops interact with auto insurers on a daily basis, so we feel it’s worthwhile to ask how those insurers treat Oregon drivers after an accident,” said Barbara Crest, NATA executive director. “We believe their views will be helpful to insurance companies and consumers.” About 500 collision repair shops throughout the state received the survey. Crest pointed to a number of items of interest in the findings of the latest survey: 䡲 In addition to USAA, two other insurers saw their grades improve from the 2013 survey. GEICO (which had a D+ in 2012) and Safeco each nudged up to a C this year, up from a C- last year. 䡲 Though State Farm’s drop was the most severe, seven other insurers saw their grades decline this year. Travelers was ranked fourth last year with a B-, but fell to a C this year. American Family, Allstate and Esurance Circle 60 for Reader Service
(which is owned by Allstate) each dropped from a C to a C-. Shops cited inconsistency in the claims staff and policies at these companies. 䡲 Progressive has continued to work its way up the list, having had a D+ or worse (and the lowest or second-lowest ranking) in every survey between 2004 and 2009. It was 16th on the list in 2012, eighth last year and fifth this year. 䡲 Farmers received an “F” from about one-infour shops, the most failing grades received by any insurer. (By comparison, Allstate and Esurance, the other lowest-graded insurers, each received about half as many Fs as Farmers). 䡲 About one-in-three shops gave Oregon Mutual and Mutual of Enumclaw a grade of “A.” Last year, State Farm received an “A” from well over half of shops, but this year less than one-in-four shops gave it an “A” grade. 䡲 In most cases, the grades given to a particular insurer from shops involved in that insurer’s DRP were higher than those given by shops that are not part of that insurer’s program. This was particularly true with California Casualty and USAA; their DRP shops gave them grades of A- or better while non-DRP shops gave each of these insurers a C and C+, respectively. But even Farmers Insurance direct repair shops gave that insurer only a C.
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»| Industry Update |« “Collision repairers say the insurers receiving the highest grades – which include both larger and smaller insurance companies – do the best job of taking care of Oregon drivers after an accident,” Crest said. “We hope consumers will take these rat-
ings into account when choosing an auto insurer, and that insurers that received lower grades will work to improve their performance.” More than 50 shops throughout Oregon responded to the survey.
Tape Thing continued from pg. 12 And that’s when Briggs decided that there had to be an easier way. He ventured to Lowe’s the very next morning, bought some PVC tubing and some magnets, and crafted his first edition of The Tape Thing – a magnetic placeholder for tape that can be adhered to and removed from cars so that it’s within reach at all times. It keeps tape securely in place without causing damage to the vehicles, resolving the issue of potentially losing or ruining a $10 roll of tape. Since the birth of that first prototype, Briggs has worked with an industrial designer to draw up and produce about 1,500 Tape Things out of his own home. The newest version features three magnets and some anti-skids on the back. “Right now, we’re building them ourselves because I really want to control the quality aspect of it and understand the process before I get it out there,” he said. The now-patented Tape Thing is the most recent invention to come out of Briggs’ side business, Collision Edge. The company produces products designed to make collision repairers’ lives much easier – and they’ve all stemmed from pure observation. “I’ve always tried to solve problems of customers for years and years so I thought, ‘You know what, I’m gonna start patenting some of this stuff,’” he said. “Collision Edge kind of grew out of that need, trying to find solutions that weren’t there, and it just continues to grow.” Aside from The Tape Thing, Collision Edge also manufactures: The Estimating Stick – A product that’s designed to help photo locate emblems and decals to improve efficiency. The Dent Sizer – A tool designed to give scale to photos to accurately represent damage. The Dent Viewer – A repair planning tool that’s used to help capture dents. A grid is printed on a reflective board that captures camera flash and illuminates the grid onto the damaged panel. The Blend Stick – A tool that measures the final repair area on a vehicle and determine if there is Circle 62 for Reader Service
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»| Industry Update |« room to blend within the damaged panel. While it’s still early in its life, Collision Edge is diligently working to grow its customer base and spread the word about its products. Briggs has promoted The Tape Thing on social media outlets such as Facebook and Twitter, and
through the company’s brand-new website: collisionedge.com. Since Briggs distributes PPG products, he also gets promotion from the paint manufacturer through its Green Belt classes. His next step will be to get in touch with some national warehouses to distribute the product, and he anticipates that
The Tape Thing could even extend beyond the collision repair industry and into other markets. “I think that any time you solve problems for customers, you win,” said Briggs. “I spent a ton of money on it. I’m scared to death, but I really feel like every shop in the country is going to have one.”
Farmers Insurance Drops Most Favored Customer Clause from New DRP Agreements Following Farmers Insurance’s decision to remove Most Favored Nation (customer) clauses from insurer direct repair programs, Dan Risley, Automotive Service Association (ASA) president and executive director, sent a letter of thanks to Jeffrey Dailey, Farmers’ chief executive officer. Generally, Most Favored Nation (MFN) clauses stipulate that should a provider give a bottom-line discount, rebate or other estimate discount on the repair costs to any insurer, the same or better bottom-line discount must be given to the insurer proposing the DRP agreement. The elimination of MFN clauses has long been a policy priority for ASA. “We are very pleased that Farmers has removed the MFN clause from the DRP agreements," said Risley. "I want to personally thank you and the Farmers team for your leadership in eliminating these clauses, which have become a significant burden for ASA members.” ASA’s collision leaders have made several trips to Washington, D.C., to discuss eliminating the clauses with congressional leaders, the U.S. Department of Justice and the Federal Trade Commission. Circle 64 for Reader Service
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Product
Spotlight Miracle System The only thing better than a new panel is the original. iracle System is a system of panel repair tools developed over 30 years ago in Japan by Star co. It provides – on mobile trolleys – all the tools required to make a panel repair regardless of the tools individual technicians may have. The technician can move to a job knowing he has all the tools in place without having to return to his toolbox for hammers or grinders. The various beams and pullers allow you to pull anywhere on the vehicle and keep the panel under tension while you do the hammering. Miracle tools are made out of titanium and aluminum. This proprietary alloy is then cast into the various tools so they are both strong and light weight. These tools are made without compromise for the harsh body shop environment.
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Miracle Aluminum Not just for dings and dents. iracle Aluminum takes today’s expectations of the degree of aluminum damage that can be repaired to a whole new level. Using argon shield and lift arc technology, the Miracle Aluminum welder attaches a slotted key to the aluminum panel in a one-step MIG weld. The alloy of key used depends on the panel being repaired. The key becomes one with the panel but remains flexible so it does not pull holes when under tension. With a good grip on the panel, deeper and more severe damages than dings and dents can easily be repaired using a selection of Miracle System pulling tools. Miracle System is imported to the USA by Equipment Gateway and is sold through a network of distributors. Equipment Gateway is your gateway to innovative products for collision repair from around the world.
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»| Industry Update |«
National Report Reveals Uninsured Motorists Still a Persistent Problem A recent report shows while the number of uninsured motorists on the road has decreased in the past decade, the cost of being uninsured has risen. The report, “Uninsured Motorists, 2014 Edition,” shows that the percentage of uninsured U.S. motorists fell to 12.6 percent in 2012 from 15 percent nine years earlier. However, the report estimates that $2.6 billion was paid to cover
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uninsured motorist claims in 2012 – a 75 percent increase over the 2003-2012 period studied. That number, according to the report, only accounts for bodily injury payments and not property damage. There are roughly 30 million uninsured motorists in the U.S. – a number that represents roughly one in eight drivers. The report doesn’t offer a reason for these numbers;
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however, the economy seems to be at play. Researchers noted that, leading up to the most recent recession, a 1 percent increase in the nation’s unemployment rate correlated with a .5 percent increase in insured motorists. Yet during the recession, the ratio of uninsured motorists to bodily injury claims decreased. In addition, the report shows that some states with higher unemployment rates have higher ratios of uninsured motorists to bodily injury claim frequency: Oklahoma, Mississippi, Florida, New Mexico, Michigan and Tennessee. Also, some of the most populated states have
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higher numbers of uninsured motorists: 䡲 California (4.1 million) 䡲 Florida (3.2 million) 䡲 Texas (1.6 million) 䡲 Ohio (1.3 million) 䡲 Tennessee (1.2 million) “Motorists who forgo purchasing insurance create a problem that is of great concern to auto insurance policyholders, insurers, regulators and the general public,” the report states. “In addition to paying for insurance that covers their own actions, insured drivers pay a portion of the costs incurred by drivers without insurance through uninsured motorist (UM) coverage. For insurers, costs associated with UM claims can be substantial.”
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»| Industry Update |« AMI Honors 20th Class of Accredited Automotive Managers The Automotive Management Institute (AMI) recently honored its 20th class of Accredited Automotive Managers (AAMs). The graduating class of 2014 includes 68 automotive service and repair professionals who earned the institute’s AAM designation by successfully completing AMI courses and accumulating a minimum of 120 credits. The continuing education offered by the institute helps automotive service professionals improve their business management skills. In addition to
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providing business management classes, AMI offers the AAM designation, the industry’s first business education accreditation. AMI courses concentrate on five core areas of business management education: financial management, marketing and sales, operations and service, management and administration, and personnel and human resource development. “It is my pleasure to recognize these individuals for their accomplishment,” said AMI Chairman Tony Passwater. “The profes-
September 2014 | BodyShop Business
The 2014 graduating class of 68 automotive service and repair professionals.
sionalism and commitment of these men and women truly make them an asset to our industry.” Added AMI Executive Director Toni Slaton, AAM, “This elite group of automotive service professionals joins the 1,726 before them who understand and respect the significance continuing education has on their career and business suc-
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cess. It was an honor to recognize these graduates for the value they place on their education.” The graduation took place during the Automotive Service Association’s “Celebration of Excellence” award ceremony Aug. 1 at the Henry Ford Museum in Dearborn, Mich. – a site near ASA’s NACE | CARS 2014 in downtown Detroit.
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»| Industry Update |« SkillsUSA, SCRS, SEMA Award North Carolina High School Instructor with Free Trip to Show The Society of Collision Repair Specialists (SCRS), SkillsUSA and SEMA have awarded an expensespaid trip for two to the SEMA Show to automotive instructor
Sandy Martin of Starmount High School in Boonville, N.C. The “Mega-Prize” was awarded for the third consecutive year at the 100% Advisor Reception this past
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June. The prize package donated by SCRS and SEMA included two Visa gift cards for airline expenses, two hotel rooms, two passes for the 2014 SEMA Show and two full-series passes to the SCRS Repairer Driven Education (RDE) series. Martin had joked only minutes before the winning announcement that his friends could give up because he would be the lucky recipient. “I’ve never won anything before,” said Martin. “I was just kidding around, and then it became real! I’ve read all about the work SCRS is doing at SEMA, and I’ve seen the show on TV and in all sorts of magazines. I’ve always wanted to go, but never thought that I would have the opportunity to attend it. This is such a great opportunity to take in and be able to bring back to my kids this year. I’m speechless with gratitude. SkillsUSA is such a rewarding program to even be able to participate in, and then to walk away with more opportunities like this is just indescribable.” In addition to the Mega-Prize, all student competitors and sponsoring schools will be receiving a complimentary one-year membership to SCRS so that they can remain connected to the ongoing activities within the industry. For collision repair instructors who have an interest in attending SCRS’ RDE series at the SEMA Show, the association has partnered with the SEMA Show to offer them a discounted full-series pass to the education programs. Qualified educators who make arrangements directly through Juliet Marshall, education administrator for SEMA, at julietm@sema.org will receive full access to all SCRS RDE regular sessions for only $50. Admission into SCRS’ OEM Collision Repair Technology Summit will also be discounted to $50 as well.
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Consolidation ABRA Auto Body & Glass to Be Acquired by Private Equity Firm ABRA Auto Body & Glass and its principal owner, Palladium Equity Partners LLC, have announced a definitive agreement for ABRA to be acquired by affiliates of Hellman & Friedman LLC, along with ABRA’s senior management team. ABRA’s nationwide network includes 186 company-owned vehicle damage repair centers and 48 franchised centers in 19 states.
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“It is with the dedicated work of our employees, the trust of our customers, and the tremendous support of our insurance partners that ABRA has become an iconic name in auto body and glass repair in the three decades since its founding,” said Duane Rouse, president and chief executive officer of ABRA. “Hellman & Friedman brings deep insurance and automotive service industry ex-
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pertise and an exemplary record of helping companies such as ABRA continue to evolve and grow. We look forward to working together to build on our track record of success.” “Within the $30 billion collision repair sector, ABRA stands out as a highly-respected, exceptionally well-run business,” said Erik Ragatz, managing director of Hellman & Friedman. “Built on a foundation
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of delivering superior standards for repair quality and customer service, ABRA has become a trusted partner of leading automotive insurers and a reliable source for quality collision repair services across the nation. We see outstanding growth prospects ahead and look forward to partnering with ABRA’s team to continue to execute on their strategic plan.” The transaction is expected to close in the third quarter of 2014 and is subject to customary conditions.
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»| Industry Update |« Caliber Collision Opens New Collision Repair Center In Houston Region aliber Collision Centers has announced that their continued expansion in existing and new markets has resulted in the opening of a new location in the greater Houston area. Caliber’s new Tomball location, with over 15,000 square feet of space, opened for business on Aug. 18. It employs the latest innovations in collision repairs with 19 service bays, two heated paint booths and more than 30 parking spaces for Caliber’s customers and partners. “Today’s Tomball opening allows us to restore even more
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Houston-area customers to the rhythm of their lives, as we deliver on our commitment to expand customer choice while providing industry-leading metrics in every market we serve,” said Caliber CEO Steve Grimshaw. Added Mark Sanders, Caliber’s president and chief operating officer, “Our new Tomball center brings Caliber Collision’s total number of Texas locations to 63 and 182 across the Caliber network as we continue to grow into the collision repair provider of choice in the eight states we now serve.”
ABRA Auto Body & Glass Adds Three Locations ABRA Auto Body & Glass announced the purchase of White Auto Body repair centers in Florissant and O’Fallon, Mo., and Fayetteville Collision in Fayetteville, N.C. These acquisitions increase
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ABRA’s repair center portfolio to 237 in 19 states. “Acquiring these three centers today reinforces our growth strategy and underscores our commitment to servicing customers across the
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country,” said Duane Rouse, ABRA’s president and CEO. “We are delighted to continue expanding in markets and showing customers our innovative service model.” Added Scott Krohn,
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ABRA executive VP of operations, “ABRA’s reputation is built on proven processes and our commitment to excellence. We continue to grow because we have the expertise and experience needed to be successful in the collision repair industry.”
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Corporate Registration for PPG MVP Business Solutions Fall Conference Now Open
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PG has announced that registration is now open for the Fall MVP Business Solutions Conference, taking place Sept. 21-23 at the Gaylord Opryland Resort and Convention Center in Nashville, Tenn. “To continue to assist in our customers’ development as they prepare for new challenges and excel in the collision repair business is our principal goal,” said Jim Berkey, PPG, director, MVP Business Solutions. “By staying not just two but several steps ahead of the competition is what will provide a sustainable business model for our customers’ future.” The conference will begin with the MVP Randy Dewing Memorial Golf Tournament at the Gaylord Springs Golf Links followed by a welcome reception. Practical and dynamic breakout sessions include: 䡲 Making Change Happen 䡲 Get More From Your Gen Y(oung) Workforce 䡲 Estimate Evolution 䡲 DRP Compliance Training – A Roadmap to Success with DRP Relations 䡲 Culture and Service the Rocks! 䡲 Becoming a Talkable Brand 䡲 Superpower Success! 䡲 Aluminum – The Future of Automotive Design The comprehensive conference schedule is also highlighted by prominent keynote speakers Peter Sheahan, Ross Shafer and Ross Bernstein. In his keynote address titled “FL!P: Creative Strategies: For Turning Challenge Into Opportunity And Change Into Competitive Advantage,” Sheahan, a National Speakers Association Hall of Fame recipient who is known internationally for inspiring innovative business thinking
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»| Industry Update |« and creating lasting behavior change, will explore best practices from multiple industries that have experienced similar transformative change and unpack the key insights from those who profited from the change compared to those who have become victim to it. Shafer will deliver an address called, “The Future Of Growth Is To Be A Peripheral Visionary,” which delivers the know-how to help your team find new opportunities from outside your immediate scope, even when you’re under extreme pressure. This session explores ideas to eliminate dangerous tunnel vision, to harvest an endless supply of good ideas, how to find competitors in your blind spot, and ways to capitalize on your competitors’ weaknesses. “The Champion’s Code: Life Lessons of Ethics and Accountability from the Sports World to the Business World,” is the closing headline presented by Bernstein, who will get attendees thinking about their own DNA – and about the differentiators they possess that would ultimately lead customers to choose to do business with them. At the core of his message is the simple fact that we like to do business with people who we trust, who we like, and who just “get it.” The conference is open to owners and managers of collision centers using PPG Refinish products. To register, visit www.ppgmvp.com.
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»| Industry Update |« O’Reilly Automotive Joins CCC TRUE Parts Network
Axalta Coating Systems and Jeff Gordon Notch Third Win of Season xalta Coating Systems and driver Jeff Gordon notched another win at Michigan International Speedway (MIS) on August 17, 2014, the third win of the season and 91st career win for the fourtime NASCAR Cup Series champion. Record-breaking speed led Gordon to capture a second pole position of the season, making it his sixth at MIS and his 76th career pole. Brilliant Flames was dominant the entire weekend, clocking top speeds in practice. “So much credit goes to [crew chief] Alan [Gustafson] and the Axalta Racing crew,” Gordon said. “Those building the chassis, the bodies, the engines –
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everyone at Hendrick Motorsports – are on top of their game right now. We’ve been bringing great race cars to the track every weekend which makes it a lot of fun.” “This has been a magical year for Axalta,” said Wade Robinson, Axalta strategic marketing and racing director. “We are pleased to have the opportunity to bring customers to these events to experience the excitement of racing and the thrills of winning. We cannot be more proud of our partnership with Hendrick Motorsports. We look forward to our next sponsored race in Talladega in October. We paint winners!”
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CCC Information Services has announced that O’Reilly Automotive, Inc. has signed on to join the CCC TRUE Parts Network, an electronic automotive parts quoting and eProcurement network that connects auto parts suppliers with CCC’s customer base of collision repairers. O’Reilly Automotive, Inc., one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment and accessories in the U.S., is the first mechanical parts supplier to join the CCC TRUE Parts Network, adding its mechanical and aftermarket inventory to the options collision repairers can view and purchase from within CCC ONE Repair Workflow. “Reducing the time it takes to review and order parts is vital to the continued improvement and
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»| Industry Update |« growth of the collision industry,” said Tony Bartholomew, senior vice president of professional sales, O’Reilly Auto Parts. “Collision repairers now have the opportunity to pull inventory from over 4,200 O’Reilly stores and 25 distribution centers from within
the CCC ONE Workflow application. O’Reilly Auto Parts has a commitment to provide quality aftermarket parts and excellent customer service to the collision repair industry, and this platform provides us with another avenue through which we
can continue meeting this goal.” “O’Reilly Automotive is a national leader in the automotive aftermarket parts industry, and we’re very excited to have them join the CCC TRUE Parts Network,” said David Boden, vice president, CCC’s Parts Services Group. “The addition of O’Reilly marks our foray into mechanical parts and serves as the perfect complement to the dozens of other national, regional and local market suppliers we have in the network today. Our goal with the CCC TRUE Parts Network is to offer the collision repair industry choice and convenience when it comes to parts procurement and today marks another important step in that vision.”
Sherwin-Williams Automotive Finishes Announces 2014 Q4 Training Schedule
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Sherwin-Williams Automotive Finishes has announced its latest courses and training sites for the fourth quarter 2014, with the suite of courses available from Oct. 6 through Dec. 15. Participants will learn through a combination of classroom, digital and hands-on settings at the various metropolitan Sherwin-Williams Automotive Finishes training centers. Training is designed for and available to shop owners, managers, painters and technicians, all of whom can also choose to advance their business-building, production-excellence and/or paint application techniques as needed. The following hands-on, paint and processes application-based courses will be offered during the fourth quarter: 䡲 AWX Performance Plus Waterborne Refinish System 䡲 Color Adjustment and Blending 䡲 Painter Certification
Product
Spotlight Tec/BASE® Premium Refinish System from Martin Senour he Tec/BASE® Premium Refinish System targets shops that want the highest performance, color match and productivity. From spot repairs to overall finishes, the Tec/BASE Premium Refinish System is an easy-to-apply, fast-drying system that uses state-of-the-art resin technology. Supported by premium undercoats and clearcoats, the Tec/BASE Premium Refinish System offers industry-leading speed, performance and quality. Available in basecoat and single stage technologies, Tec/BASE Premium Refinish System is supported by OEM certifications, a limited lifetime guarantee, and has decades of success in the collision repair, custom and restoration, fleet and commercial, and industrial and manufacturing markets.
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TEC/BASE Premium Refinish System Features:
䡲 Excellent color match – OEM alignment 䡲 Highly productive – easy to use / minimal coats 䡲 Fast color retrieval – supported by PROSPECTOR® and FormulaExpress® color tools 䡲 Versatile technology – basecoat or single stage 䡲 Renowned durability – global OEM warranty approvals 䡲 IP Process™ – time, labor, and energy savings
Martin Senour Automotive Finishes provides products for various automotive, fleet and manufacturing refinishing segments. Martin Senour is the exclusive supplier of automotive refinish products to NAPA. Together, they provide the single source for all your automotive and refinish needs. For more information specific to Martin Senour paint products, visit:
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»| Industry Update |« by individuals, were dropped from a helicopter above a green, and whoever’s ball was closest to the pin won 23 percent of the total golf ball sales. The winning ball was sponsored by Marie Peevy, and she graciously donated half of her $1,700 winnings back to the Education Foundation. “This is the sixth consecutive year we’ve cohosted the Collision Repair Education Foundation’s industry fundraiser,” said Domenic Brusco, PPG Automotive Refinish, senior manager, industry relations. “It is great to see the industry collec-
tively support this event and raise a significant amount of funds to assist high school and college collision students, programs and instructors nationwide.” The Collision Repair
volved with next year’s fundraiser should contact Education Foundation Director of Development Brandon Eckenrode at (847) 463-5244 or Brandon.Eckenrode @ed-foundation.org.
Atlas Copco Announces Leadership Change for U.S. Oil-Free Air Division Atlas Copco Compressors has appointed Neil Breedlove vice president, business line manager for its U.S. oil-free air division. “Neil brings over 28 years of experience in oilfree air, and has worked with many of the industries that require oil-free
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Education Foundation is already starting to plan for the 2015 event, and the date and location should be announced in the coming months. Individuals and companies interested in getting in-
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air for critical processes, including oil and gas, power generation, steel fabrication, food and beverage, semiconductor, air separation and automotive,” said John Brookshire, president, Atlas Copco Compressors LLC. “His experience in all aspects of the
business line will serve him as he works to grow the oil-free air business according to our shortand long-term business goals.” In his new position, Breedlove will be responsible for continuing the development and growth of the company’s oil-free
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»| Industry Update |« Additional shop management and businessbuilding courses will also be offered: 䡲 Improving Performance with KPIs 䡲 Achieving Service Excellence 䡲 Estimating Solutions for Profit
waste – all factors that are necessary to the success of a collision center.” The upcoming curriculum has a strong emphasis on the company’s AWX Performance Plus waterborne coatings technology.
“All of our courses this year reflect the SherwinWilliams philosophy of lean operations,” says Rod Habel, Sherwin-Williams Automotive Finishes director of training operations. “We’re always seeking to introduce concepts that support sustainable practices, increase productivity and minimize or even eliminate
Collision Repair Education Foundation’s 13th Annual Fundraiser Co-Hosted by PPG Raises Record $85,000 he thirteenth annual Collision Repair Education Foundation industry fundraiser, co-hosted by PPG Automotive Refinish, raised a record $85,000 through the support of attendees and sponsors. Sponsors and participants enjoyed a day of golf at Northville Hills Golf Club in Northville, Mich., on July 31, 2014, and the funds raised from the event will go toward
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According to SherwinWilliams, the system provides excellent color match, quick flash times between coats and requires minimal time in, or even eliminates, the baking cycle. Other classes fo-
cusing on painting excellence, including hands-on application techniques, include its ULTRA 7000, Dimensions and ATX refinish systems, as well as its Genesis fleet refinishing systems.
supporting scholarships and grants for collision schools and students. There were also several additional big winners during the event. Attendee Rick Johnson won $10,000 at the AirBagSolutions.com-sponsored hole-in-one contest by sinking his shot. The second annual helicopter golf ball drop, sponsored by LORD Fusor, was part of the event. Golf balls, sponsored
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»| Industry Update |« air business in the U.S. He will also be responsible for maintaining a strong sales and marketing team to develop and implement business development goals in accor-
dance with the oil-free air division’s targets and objectives. Breedlove was previously the manager of CTS Service Sales – Southern Region and
served as the regional sales manager for both the industrial and oil-free air division. He began his career at Atlas Copco as a design assembly and test engineer within the oil-
free engineering group and was part of the team responsible for the finished build-out of both the standard and customized oil-free Z series compressor.
Nitroheat Expands in Oregon itroheat, a manufacturer and distributor of heated nitrogen systems, thermal controllers, filters and dryers for spray painting, is expanding into Oregon with bigger and better facilities in line with its strategic growth in the Pacific Northwest region. The relocation to a 10,000-square-foot, state-of-the-art manufacturing warehouse located in Wilsonville, Ore., will accommodate an expanding inventory and order fulfillment. “This strategic relocation is critical to address the growing demand that we have experienced over the past two years,” said Nitroheat CEO Derek Naidoo.
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“Our solutions have been extremely well-received by users of both water- and solvent-based paint. The continued efforts of our distributors have been instrumental in the growth of the company. We will continue to develop our distribution networks in North America and Europe to ensure that our products are available to all sectors of the collision industry. We believe that all spray painting facilities should be using our product for improved productivity, improved efficiency and improved quality. Lastly is the environmental benefits derived from the reduction of overspray when using our technology.”
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AudaExplore Addresses Data Sharing, Predictive Analytics and Mobile Technology By Jason Stahl odyShop Business recently spoke with AudaExplore about some of their latest product offerings and how those products are targeting trends in the collision repair industry. In the discussion with Gordon Henderson, vice president of collision repair solutions for AudaExplore, many hot topics concerning the world of estimating came up – from data sharing to predictive analytics to mobile technology. BodyShop Business: Regarding the recent launch of your MSO-specific BMS, why are you focusing on the MSO segment of the collision repair market? Gordon Henderson: There are several reasons we’re adding focus to MSOs. First, we’ve looked at the marketplace, and in a large way, we believe the MSOs are underserved because most of the solutions being created by the vendors in the space are typically focused
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on single shops’ operations because there are so many thousands of them. Second, the expansion of MSOs is accelerating. At the halfway point this year, MSOs have already expanded their location count by the same number of stores as they did the last calendar year. Private and public investment is fueling that growth, and there appears to be no end in sight. The third reason we’re adding focus on MSOs is the insurance companies clearly see them as key partners in their business. MSOs process somewhere around 35 to 40 percent of the DRP transactions in the marketplace, yet they only represent 12 to 13 percent of the total shop location count. Insurance claims, like our repair business, are very important to us, so we can also help insurance companies by helping their strategic partners, the MSOs. But we never lose sight of the fact that having a strong network of quality, geographically diverse single-shop operators is always critical to our success and the success of our partners. BSB: It seems like you no longer want to just be an estimating system because you’re coming out with a lot of products geared toward being a full solution provider. Is this true? GH: We’ve never been just an ‘estimating’ company, bur rather a solutions company for the repair industry. As the needs and challenges of our industry change, we want to provide clearly differentiated and valuegenerating solutions and have them all be fully integrated. But honestly, we see very interesting trends happening in estimating. We believe there will be a day where we’ll see a disruptive shift in how we estimate auto physical damage, so we’re building the next generation of estimating. Frankly, we’re working to put ourselves out of part of our traditional business in a way and come up with the next step in estimating. We think data is a big part of the coming disruption, and we’re investing substantially in that area. You’ll see a lot more news coming in the next six months or so around what we’re doing with data. But data is what we see in terms of predictive analytics and similar technologies that will really kind of change how we estimate auto physical damage. It will look a lot different in five to 10 years. BSB: Speaking of data, are you familiar with repairers’ concerns over data sharing when they upload estimates to insurers and their push for BMS vs. EMS? What is AudaExplore’s stance on that issue?
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»| Industry Update |« GH: EMS and BMS are very different. EMS has been around a long time and is based on a DBASE4 file format, which is clunky. When you export data with this format, you get everything that the software exporting data has available in the file, so it’s not very flexible. The BMS format allows for a lot more flexibility, but you still have to have partners who both talk that same language and agree on what pieces of data will be sent and received. The issue of BMS vs. EMS has been a little oversimplified in the market. To say if you just use BMS, everything will be fine is not really true. With BMS, you can send everything too. It’s all up to the software design that does the exporting in terms of what it includes. And the challenges are big there. We conduct BMS transactions all the time. Most of the back-end integrations we do are BMS. We definitely are in support of CIECA and the BMS standard, we just need to see more adoption in the industry. Until we have more partners who are willing to trade it directly out of the estimating system and then give them control over that output, we won’t see a lot of movement. The other thing about data is it’s not necessarily about what we can extract from the shop in terms of anything about the vehicle owner or rates, which I think is a lot of what shops are concerned about, especially that they’re being judged and forced to participate in a DRP to accept certain rates, and it’s all coming from EMS data. That’s not at all what we’re talking about. Our licensing agreements clearly state the terms and limitations we impose on ourselves on this issue. What we’re talking about is taking a look at patterns in repairs. When you replace this fender, let’s take a look at all the other parts around that fender to help guide appraisers to determine whether repair or replace is the right option.
BSB: In regard to your Driver Experience solutions, what is your sense of where the market is heading with mobile technology? GH: Our assessment is that mobile technology is exploding. Generation Y leads the pack in terms of the adoption of mobile and social technologies, but the other generations follow right behind. In fact, the boomers and silent generation are the highest growth area of smart phone usage – certainly at a lower take rate then Generation Y or X, but they’re increasing very rapidly. We’ve had the Driver Experience platform solution in use with the AutoWatch app for several years now, and the majority of shops on that program use the mobile app. The reason is because
most estimators’, shop managers’ and body techs’ phones are sitting right in their pocket or next to the tool box, so they already have them handy and it’s more convenient for them to operate programs like that from a mobile device. We’re still very much in the growth stage. Shops have sometimes been a little slow to adopt some of these technologies, but we’re seeing exploding growth in this area. BSB: Is the collision industry embracing this technology? What is your sense of how these new products are being received by the industry? GH: I think there’s a significant segment of the shop population that’s realizing they have to adapt or they’ll be left on the sidelines.
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»| Industry Update |« As you look at the consolidation happening in the market and the growth in DRP networks and the increasing complexity of vehicles with substantially higher amounts of aluminum and other complex materials, shops are going to have to make significant investments and shifts in how they do business in order to survive. Vehicle complexity continues to evolve and grow. It’s a lot more challenging to bring someone on board and train them to do a good estimate and quality repair, so if shops aren’t willing to leverage technology to help them do their job more efficiently and with higher quality, they’ll be on the side-
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lines. And I think more and more shops are realizing that. We are seeing the adoption of newer technologies growing. It’s human nature to be reluctant to change, and that’s probably true in most industries, but we’re starting to see the disruption happen; it started happening several years ago. But new technology shouldn’t be adopted by shops because it’s cool or neat, it should be adopted because it’s adding leverage in their business to let them do repairs faster, with higher quality, more accurate, and, at the end of the day, have higher customer satisfaction – what we at AudaExplore call winning the 'Era of Disruption.'
Next Sherwin-Williams EcoLean Level 1 Workshop Set for Phoenix After two sold out EcoLean Workshops, Sherwin-Williams Automotive Finishes has announced that the next EcoLean Level 1 workshop will be held Sept. 16-17, 2014 in Phoenix, Ariz., at the Phoenix Airport Marriott and Swift Transportation. The EcoLean Level 1 workshops are offered to collision center owners and dealer managers from across the U.S. and Canada and are designed to educate attendees on how to maximize profitability by improving production and eliminating waste throughout their facilities. “Our goal is for our attendees to leave the two-day event inspired, confident and armed with the necessary tools to immediately increase the quality and production output of their businesses,” says Greg Eisenhardt, Sherwin-Williams A-Plus Network marketing manager. At this particular training session, the Phoenix EcoLean Level 1 workshop curriculum will include a facility tour of Swift Transportation’s "Best in Class" extensive repair center, as well as specific topics which include: 䡲 Improving Workshop Efficiency – The history of lean production, and its practical application in collision repair 䡲 Principles of 5S – Methods of making your facility more efficient and consistent 䡲 Building a Lean Culture – How to build a lean culture from the ground up 䡲 Overcoming Lean Implementation Challenges – Roundtable discussion with consultants
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»| Industry Update |«
Blackstone Acquires Alliance Automotive Group lackstone, which acquired Service King Collision Repair Centers in July, announced the acquisition of Alliance Automotive Group, the leading wholesale distributor of automotive parts in France and the UK, from Weinberg Capital Partners. On its website, Alliance Automotive Group says it addresses all categories of spare parts including technical parts, consumables, oil, tires, refinish, body parts, and equipment and tooling. It operates under the brands GROUPAUTO France, GROUPAUTO UK, Partners, Gef’Auto and Précisium. It is an integrated company with its own buying organization and a wholesale distribution network comprised of its own subsidiaries and independent distributor members. The group has 1,500 outlets and 3,500 employees. “We are delighted to team up with the management team led by Jean-Jacques Lafont and Alistair Brown to acquire Alliance Automotive Group,” said Lionel Assant, head of European Private Equity at Blackstone.
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“The company has marketleading positions and an outstanding management team. We look forward to working with them as the company confirms its position as a leading operator in the European market both through organic and acquisition led growth.” Added Philippe Klocanas at Weinberg Capital Partners, “We are proud to have contributed to Alliance Automotive Group’s growth, partnering with the management team to support its build-up strategy. During Weinberg Capital Partners’ ownership, turnover has doubled as the Group has become the number-one operator in France and a leading player in the UK. We very much look forward to the next phase of development with Blackstone, a leading global investor. Their worldwide presence will back the management team to pursue its growth strategy.” “Thanks to the continuous support of Weinberg Capital Partners and their long-established track record in B2B distribution, we have been able to accelerate significantly the pace of growth of Alliance Automo-
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tive Group that we set up in 1989,” said Jean-Jacques Lafont, chairman and one of the founders of Alliance Automotive Group. “Alliance Automotive Group has now become one of the leading European players thanks to an ambitious external growth strategy. We warmly welcome Blackstone as a shareholder to pursue our international expansion.”
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Self-Calibrating Measuring System Eclipse by Advanced Measurement Systems (AMS) provides continuous self-calibration during measuring. Its Auto-Cal feature combined with the industry’s only dual axis level compensation for both the vehicle and scanner allows for measuring and monitoring of multiple points with accuracy. Buy an Eclipse now through Sept. 30, 2014, and get a $1,000 rebate. AMS www.ams-laser.com Circle 151 for Reader Service
Infrared Heat Cure Panel Perfect for curing coatings, adhesives and laminates, the Beacon BPIHP series of portable infrared heat panels use medium-wave radiant producing heating elements to cure or boost finishes with a reduced chance of blistering. Gold anodized aluminum end caps and reflectors give the unit a 10 percent faster cure time than models with standard aluminum reflectors. Beacon Industries www.beacontechnology.com Circle 152 for Reader Service
Used with source capture sanding tools (two technicians can sand at the same time), this portable wet mix dust extraction system ensures the safe, effective removal of explosive aluminum dust. The system also eliminates the possibility of cross contamination of dusts, which can lead to galvanic corrosion that can affect the vehicle’s structural integrity. Eurovac www.eurovac.com Circle 154 for Reader Service
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Cooling Sanders AirVANTAGE Advanced Series Sanders incorporate a motor fan blade cooling system to lower bearing and spindle temperatures. In addition, a patent dual channel vacuum design on all vacuum models increases vacuum efficiency. AirVANTAGE Tools www.airvantagetools.com Circle 153 for Reader Service
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September 2014 | BodyShop Business
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By the
Numbers Vital collision industry stats
Do You Agree To Accept Paint Material Thresholds Or Caps From Insurance Companies?
What Factors Matter Most When Selecting A Parts Vendor? (1 = Most Important, 5 = Least Important)
65%
65% 60% 55% 50% 45%
40%
Attribute
Rating
In Stock (Supplier Consistently Has Part)
1.4
High Quality
1.4
Delivery Time
1.6
Low Price
2.3
Relationship With Sales Rep
2.6
Offer Both Recycled And A/M (One-Stop Shop)
3.9
Other
4.7
35%
27%
30%
Source: 2013 BodyShop Business Industry Profile
Have You Ever Altered A DRP Contract Before Signing It?
25% 90% 20%
80% 70%
15%
60% 50%
8%
10%
30% 5%
20% 10%
Sometimes
No
Yes
0
Source: 2013 BodyShop Business Industry Profile
96
No 84%
40%
September 2014 | BodyShop Business
0
Yes 16%
Source: 2013 BodyShop Business Industry Profile
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