Ignition Magazine Australia | December 2023

DECEMBER 2023

Classic / Member Ride:

FORD FALCON FUTURA XL

BURNOUT: THE HIDDEN COST OF THE SKILLS SHORTAGE Advice on how to spot and manage this serious issue.

THE CUSTOMER TRENDS OF 2023

What you need to know to prepare for 2024.

CALENDAR of events South Australia

Queensland

Western Australia

Southern Trade Show 7 February 2024

Western Road Show

WA Golf Day 15 March 2024

Roma Explorers Inn, Roma 5 March 2024

Whyalla Trade Show 15 February 2024 SA Golf Day 22 March 2024

Northern Territory Darwin Trade Show 22 February 2024

Capricorn Convention 2024

Clifford Park Racecourse, Toowoomba 6 March 2024

Hawaii 5-11 May 2024

Cairns Trade Show 13 March 2024

STAY TUNED! Log in to myCAP to check out all the upcoming events or for further information please contact our Events team.

cap.coop/events

1800 327 437

events@capricorn.coop

Capricorn Rewards Points

Single Trade Account Purple Pages Instant trade credit

Access to wide range of Suppliers

Protection and insurance

If you know someone in the auto business who isn’t a Member then now’s the perfect time to Spread the Word.

Simply pass on the lead to your Area Manager between 1 November 2023 to 31 January 2024, and when they join you’ll get 20,000 Bonus Rewards Points as a thank you.

join@capricorn.coop | capricorn.coop | 1800 327 437 The promotion is open to an Australian Capricorn Member who during the period of 1 November 2023 and 31 January 2024 refer a prospective Australian Capricorn Member to their Area Manager. Allocation of the 20,000 Capricorn Bonus Rewards Points (“Member Reward”) is subject to the referred prospect becoming a Member by 31 March 2024. Participation in the Capricorn Rewards scheme is subject to the Capricorn Rewards Terms and Conditions which can be found at: cap. coop/tc. The Member Reward is not redeemable for cash or transferable. For full promotion Terms and Conditions please visit cap.coop/tc. Prospective Members initially join Capricorn on a trial basis. After successful completion of a trial period and having met the minimum required spend of AUD$12,000 p/a, they may become full shareholder member of Capricorn through the purchase of shares. Shares are issued by Capricorn Society Limited (ACN 008 347 313). No offer of shares is made in this promotion. An offer of shares will only be made in, or accompanied by, Capricorn’s Prospectus and any supplementary prospectus which is available on request or may be viewed at www.capricorn.coop/corporate-documents. Before making any decision to apply for shares, prospective members should consider the Prospectus and any supplementary prospectus. Any application for shares must be made on the application form in or accompanying the Prospectus.

CONTENTS CONTENTS FEBRUARY 2023 DECEMBER 2023

David Fraser Group CEO

CEO’s message

The end of any year is a natural time for reflection. It’s an opportunity to stop and think about what went right, what went wrong, and what you might do differently next year.

As 2023 comes to an end, I’ve been reflecting on a year of achievements for Capricorn. Next year marks 50 years since 17 Golden Fleece service station operators, unhappy with the status quo, got together to create our cooperative.

So, for me, Capricorn’s strong performance in 2023 comes weighted with a sense of history—a sense of just how far we’ve come and of how much of a difference this cooperative makes to Members and their businesses.

For Capricorn, it was a good year. I’m proud of the record number of Rising Stars nominations we received—after all, our apprentices are our future. It was great to see so many Members keen to honour the achievements of the industry’s newest talent.

This year our State of the Nation Special Report: The Skills Shortage focused on the most important issue facing our industry and helped us understand how it was impacting Members.

We created a lot of Member wealth, including $50.1 million in Capricorn Rewards Points, $17 million in Trade Rebates, and a net dividend of 7% per share. We created $82.8 million in value to Members.

In this twentieth anniversary year of Capricorn Mutual, Capricorn Risk Services wrote $121.9 million in gross protection for Capricorn Mutual, and Capricorn Finance provided $49.8 million in loans. Business vehicle finance loans have been included in our CAP ezi-finance offering for the first time.

We launched a new-look myCAP experience and introduced online payments, making life easier for Members, and a new joint venture with Repairify to bring cutting-edge technology to the collision industry.

It was a year when we welcomed more than 3000 new Members to the Capricorn community and held 33 Trade Shows and Golf Days. We celebrated with you, holding Gala Dinners in Auckland, Christchurch, New South Wales, Queensland, South Australia, Victoria and Western Australia.

New Zealand Members also elected a new director this year, James Candish.

I know I speak for all the team when I say we look forward to working closely with James to ensure NZ Members’ voices continue to be heard strongly throughout the cooperative.

So, a big year for Capricorn. I’d like to take this opportunity to thank the team at Capricorn for all their hard work in helping achieve these fantastic results for Members. Finally, I’d like to thank you for being a valued part of our cooperative family. I wish you all the best for the year ahead and look forward to achieving more great things together in 2024.

4 CAPRICORN SOCIETY ANNUAL GENERAL MEETING

We are pleased to share the main outcomes.

6

PROTECTING YOUR BUSINESS DURING FESTIVE SEASON How to prevent holiday heists.

9 AAAA FUTURE

READINESS REPORT

New study finds aftermarket gearing up for EVs.

12 AAAEXPO - THE FUTURE IS HERE

The Expo will take place 11-13 April 2024 in Melbourne.

14 THE CUSTOMER

TRENDS OF 2023

What you need to know to prepare for 2024.

16 BURNOUT: THE

HIDDEN COST OF THE SKILLS SHORTAGE

Advice on how to spot and manage this serious issue.

20 COLLISION’S TRAINING CRISIS

Are you neglecting to train your staff?

22 CLASSIC/MEMBER RIDE: FORD FALCON FUTURA XL

An unloved classic gets a new lease on life.

27 EPIC 60TH

ANNIVERSARY OF BATHURST 1000 Another brilliant chapter for this legendary race.

David Fraser Group CEO

All information, material and content in this edition of Ignition is provided or sourced by Capricorn Society Limited (“Capricorn”) for general information only and is not intended to be advice or comment on any particular matter or subject. Before acting on any information in this edition of Ignition you should consider the relevance of it to your own circumstances and, if necessary, take professional advice. Any opinions expressed in an Ignition article are those of the relevant individual author and do not necessarily reflect the opinions or views of Capricorn. Capricorn makes no representation or warranty as to the accuracy, completeness or reliability of any material (including without limitation, any third party authored article or supplier advertisement in respect of which Capricorn merely acts as conduit) included in this edition of Ignition. To the fullest extent permitted by law, Capricorn, its officers, employees, agents and representatives disclaim any and all liability to you or any other person for any loss or damage whatsoever connected with: i. reliance on any material in Ignition; or ii. any inaccuracy, error or omission in any material in Ignition.

CAPRICORN IGNITION DECEMBER 2023 3

Capricorn Society

Annual GENERAL MEETING The 2023 Capricorn Society Annual General Meeting (AGM) was held on Wednesday 18 October 2023, and we are pleased to share the main outcomes with you.

James Candish

Capricorn Members in New Zealand were recently given the opportunity to vote for a new Member Director who would represent their zone on the Capricorn Board. It was announced that James Candish has been elected to serve a four-year term representing New Zealand, replacing Phil Saxton. On behalf of the Capricorn team, we extend a warm welcome to James as the new NZ Member Director and look forward to working with him in his new role.

We would like to take this opportunity to express our gratitude to Phil Saxton for his eight years of devoted service as the Member-elected Director for New Zealand. Phil was elected to the Capricorn Society Board in 2015 and has been a passionate and dedicated member throughout his tenure. His love for the automotive industry, as well as for Capricorn and its Members, has always been apparent. On behalf of the Capricorn Board, we thank Phil and wish him and his family all the best.

To learn more about our Directors visit:

capricorn.coop/about/our-directors At the AGM, Members approved the selective share buy-back resolution, meaning that subject to certain conditions Members can continue to sell their shares back to Capricorn. Members also ratified the renewed appointment of Donna-Maree Vinci as an Independent Director for a term commencing 1 August 2023 and ending on 31 July 2027.

Shares are issued by Capricorn Society Limited (ACN 008 347 313). No offer of shares is made in this publication. An offer of shares will only be made in, or accompanied by, Capricorn’s Prospectus and any supplementary prospectus which is available on request or may be viewed at capricorn.coop under “Corporate Documents.” Before making any decision to apply for shares you should consider the Prospectus and any supplementary prospectus. Any application for shares must be made on the application form in or accompanying the Prospectus.

4 CAPRICORN IGNITION DECEMBER 2023

Smarten up your home this Christmas!

Summer just got smarter! Elevate your home tech game with a range of must-haves from Capricorn Rewards. From security gadgets to Google Nest’s genius, and even a remote pet feeder to keep your pets happy. Make this summer your smartest one yet!

Eufy Security 5-In-1 Alarm Kit

Eufy Security Wi-Fi Smart Lock

Google Nest Hub Max

Tech 4 Pets 7L Feeder With 1080p Cam

Eufy Security Wall Light Cam

Philips Hue Outdoor Motion Sensor V2

Products subject to availability.

Don’t miss your last chance to order E-Vouchers in time for Christmas!

The perfect stocking filler or an easy last-minute gift, Capricorn Rewards has a range of E-Vouchers to suit every want and need this Christmas. Be sure to order before Monday 18 December to ensure that your E-Vouchers arrive before the big day.

capricorn.coop/rewards

*T&Cs apply. Products subject to availability. #The dates and times set out in this advertisement are a general guide only. No guarantee of delivery before Christmas is made and Capricorn will not be help liable for any failure to deliver items before Christmas, regardless of the date on which they order.

CAPRICORN IGNITION DECEMBER 2023

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BUSINESS BUILDING AND CONTENTS

Protecting your business during the

e v i t s e F ason se 6 CAPRICORN IGNITION DECEMBER 2023

The holiday season is a great time for relaxing and enjoying festivities with loved ones, but it also brings a heightened risk of burglary, especially if your business premises are left unoccupied for an extended period of time. Unfortunately, many criminals don’t take a holiday, and statistics show that property offences often peak around Christmas Eve and New Year’s Eve. In the last 12-month reporting period, Australian Bureau of Statistics (ABS) data showed that Australia recorded a 9% increase in victims of unlawful entry with intent, totalling 151,200 cases, making it more important than ever to secure your business before you embark on your well-deserved holiday break.

While Capricorn Risk Services1 may be able to provide protection against certain theft and damage events*, the best strategy is to prevent incidents altogether.

Here are some important reminders to help you keep your business safe while you enjoy your well-earned time off:

1 FORTIFY ENTRY POINTS Before you leave, double-check that all windows and doors are securely locked. Unlocked entry points can be an open invitation to burglars.

2 CONCEAL VALUABLES Don’t tempt thieves with visible valuables.

Remove or hide electronics and expensive portable equipment and remember to lock any safes that are on the premises.

3 ASSESS YOUR SECURITY SYSTEMS Test your security cameras and alarm system to ensure they are in full working order. Verify that they are armed and active.

4 ILLUMINATE YOUR PREMISES Well-lit premises are less attractive to potential intruders. Leave some lights on or consider motion-sensor lights for added security.

5 ENHANCE BUILDING SECURITY If time and resources permit, consider upgrading your building’s security features.

Install anti-pick locks and consider adding bars or cages over windows, for added protection.

With Capricorn Rewards2, you also have access to a comprehensive selection of products that are specifically designed to strengthen the security of your business property. From surveillance systems to reliable access control solutions, we've got everything you need to ensure that your business is well-protected 24/7.

Contact your local Risk Account Manager for more information, or simply call 1300 007 022 or email info@capricornrisk.com for assistance.

TM

*Cover may differ based on each protection or insurance product. Steps you may be required to take to attract protection under the relevant product may also differ.

1 Products sold through Capricorn Risk Services Pty Ltd (ABN 91 111 632 789) are: (i) discretionary risk protection products issued by Capricorn Mutual Ltd; and (ii) general insurance products issued by a range of insurers and brokered through Capricorn Insurance Services Pty Ltd. Before deciding to acquire any product, you should consider the Product Disclosure Statement available from Capricorn Risk Services Pty Ltd to see if the product is appropriate for you. Capricorn Risk Services Pty Ltd is a Corporate Authorised Representative (No. 460893) of Capricorn Mutual Ltd (AFSL 230038) and Capricorn Insurance Services Pty Ltd (AFSL 435197). For its protection, Capricorn Mutual Ltd has published a Target Market Determination which is available at capricorn.coop/about/capricorn-mutual.

2 Participation in the Capricorn Rewards Program is subject to Terms and Conditions which can be found at cap.coop/tc

Between 1 January and 31 March 2024, make a purchase of $50 or more with your Capricorn Fuel Card at participating Ampol locations to enter the draw.* Visit the Motorpass Driver App to find your nearest Ampol.

TM

DON’T HAVE A CAPRICORN FUEL CARD?

Apply now so you don’t miss out

*The ‘Free Fuel’ prize is an AmpolCash Fuel Voucher valued at $4,000 issued from Ampol and will be valid for 3 years. This prize is advertised as ‘free fuel for a year’ as part of the advertisement of the Capricorn 2024 Fuel Card Promotion. This is based on fuel capacity in an average mid-sized vehicle consuming 1650 litres of fuel per year at a cost of $2.42/litre. The prize is not transferable and cannot be converted or exchanged for any other prize or redeemed for cash. For full competition terms and conditions visit capricorn.coop/tc. Permit number: ACT TP 23/02222.

Capricorn Fuel Card is provided by WEX Australia Pty Ltd (ABN 68 005 970 570) in association with Capricorn Society Limited (ACN 008 347 313). Applications are subject to Capricorn’s credit assessment criteria and Capricorn WEX Motorpass Terms and Conditions apply and are available at cap.coop/tc. Login to myCAP and visit Fuel Cards for more information. A $4.50 (ex GST) monthly card fee applies. Surcharges may be charged by some service stations.

New study finds aftermarket GEARING UP FOR

CAPRICORN IGNITION DECEMBER 2023

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Lesley Yates, Australian Automotive Aftermarket Association (AAAA) Director of Government Relations and Advocacy, said the Future Readiness Index research—the first of its kind—was designed to set a baseline of data that would enable the industry to identify trends on electric vehicles (EVs) readiness in the future.

H

alf of Australian workshops are actively investing in the skills and equipment needed to service EVs and one in ten are already set up for an electric future.

That’s the finding of the Australian Automotive Aftermarket Association (AAAA), which recently surveyed workshop owners across the country to determine their readiness for the fundamental technological evolution facing our industry.

“We wanted to know the degree to which people felt that the time was right to invest (in EV skills and equipment) and, if not, when they thought their investment horizon might be,” she said.

“We’ve pretty much got a 50/50 split, with half saying ‘I’m investing or I’m about to invest’, and half saying either ‘I’m not going to, this is not for me’, or ‘I’m going to wait, show me EVs driving into my workshop, and then I’ll think about investing’”.

“We were rather surprised with the degree to which we are ready or getting ready.”

The report divides workshops into four groups, based on mindset. The “Unchanged” group was not investing in EVs. They were often smaller businesses that were already more likely to be considering closing up shop. The “ICE-Focused” group were pragmatically focused on today’s car parc but investing in some tools and equipment for EVs. The “Progressive” group could already service EVs and hybrids but recognised they had a lot to do before being EV ready. And finally, the “Future Ready” group were excited about servicing the latest vehicles and were already EV ready. These were likely to be large, high-income workshops.

Lesley said there was no judgement about which group a workshop fell into.

“We’ve got 11% of the industry (the Unchanged group) saying ‘my first love is ICE vehicles, there is still going to be a lot of ICE vehicles on the road, and that’s what I’m going to do’,” she said.

“I admire that as a business strategy because it’s a defined strategy. It says, ‘we know who we are and we know what we do, and we know the key to business success is exactly that’. It’s not like they’re not still at the forefront of their craft.”

On the flip side, 10% of the industry fell into the “Future Ready” group.

“I think they’re excited about what the technology can bring,” Lesley said. “They’re more likely to say the future landscape excites me—they’re

1 0 CAPRICORN IGNITION DECEMBER 2023

embracing what a mixed car parc looks like.

They’re more likely to have already been working on hybrids for a long time. So, this next evolution of technology doesn’t feel so burdensome. When we asked them the question, ‘are EVs a threat or an opportunity’, they were more likely to say it’s an opportunity.”

Find more information on the AAAA website at

cap.coop/FutureReadiness

“They’re also more likely to be investing in other kinds of activities that reduce their carbon footprint. So anecdotally, they’ve got solar power; they’re looking at their waste products. They’re probably ahead of the curve in a number of areas, not just ability to service EVs.” The second big reason for AAAA’s research was to provide clarity to government about the industry’s state of EV readiness before regulations and legislation starts getting drawn up.

“Governments are nervous and they’re looking at what it is the industry needs in order to have some support,” Lesley said. “Some of that regulatory conversation is interesting, like support for training, and some of it is somewhat misplaced, which is increased areas of regulatory compliance where we don’t need it.”

“This is a very sophisticated industry that’s been adapting to new technology since day one. Our ability to read the market, to undertake training, to buy the right tools, to participate in industry forums and education, is quite significant— there’s a business imperative to do that.”

“The key message to government is we are already gearing up for EVs, and if government would like to play a supportive role, it needs to do it by walking alongside of the industry, not by either some paternalistic decision that they know what’s best for the industry, or by assuming that we’re doing nothing.”

What’s the message for workshop owners?

“Even if you’re not servicing EVs tomorrow and you don’t think you’ll be doing it in the next 12 months, it’s worth thinking about ‘what is that time horizon?" Lesley said. “Is it possible to engage with staff, to encourage them to pick up some units if they’re funded by government, and that might be a good entry-level preparation?”

“Know where you are on the investment timeline, invest deliberately and on purpose, and not by accident. I think it’s useful for every workshop to be talking to employees about where they see their futures, because we know we need to keep our young talent, in particular, and they might be interested in EV training.”

CAPRICORN IGNITION DECEMBER 2023

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SPONSOR

Australian Auto Aftermarket Expo

THE FUTURE

IS HERE

1 2 CAPRICORN IGNITION DECEMBER 2023

The Australian Automotive Aftermarket Association (AAAA) is excited to officially launch the 2024 Australian Auto Aftermarket Expo (AAAExpo).

F

ollowing a popular date change to avoid a clash with the Melbourne Grand Prix, the Expo – proudly sponsored by Repco – will take place 11-13 April 2024 at the Melbourne Convention and Exhibition Centre (MCEC).

With a number of fantastic new features to be announced, the AAAExpo will run with the theme ‘The Future is Here’ and will showcase the latest vehicle repair and servicing equipment, parts, tools and accessories, new technology and trends.

Co-located with the Collison Repair Expo (CRE), the AAAExpo is the nation’s only comprehensive exhibition for Australia’s $25B aftermarket industry, bringing together the industry’s best and brightest while showcasing hundreds of the country’s leading companies, all under one roof.

A comprehensive training and education program is also in development, including some free opportunities for attendees, with more details about the program to be released in the coming weeks.

Further cementing the Expo as a truly world-class event is the fact that the AAAExpo will host the return of the International Pavilion which will allow Expo visitors to connect with suppliers not only from across the country but from across the globe, right in the heart of Melbourne.

“We are very excited to officially launch the 2024 Australian Auto Aftermarket Expo. We have some game-changing features lined up to make AAAExpo24 a must-attend event for business owners, managers and technicians,” said AAAA Chief Executive Officer Stuart Charity.

“Designed by the industry for the industry, AAAExpo will deliver a multitude of opportunities for visitors to connect, learn and build their businesses.”

“The automotive industry in Australia is in the midst of revolutionary change driven by the complexity of the car parc, rapid changes in vehicle technology, and the evolving capabilities and needs of our workforce and customers,” Stuart said.

“Those that prepare today will be the ones who succeed tomorrow, and it is our mission at the AAAA, and with AAAExpo, to provide our members and trade visitors with the tools and knowledge they need to make the right future-focused decisions for their businesses.”

“As part of this, training will be a key focus of the Expo. Off the back of the impressive attendance at Autocare’s seminars earlier this year, AAAA are pulling together a truly incredible education program for the Expo which will deliver an unprecedented calibre of speakers and depth of technical content, as well as increased hands-on training to satisfy industry demand.”

“Additionally, such was the success of the Workshop of the Future at the 2022 AAAExpo, and with the fast-paced development of our industry in the time since, AAAA will be bringing an enhanced Workshop of the Future concept to the 2024 show. It will be so comprehensive that it requires two sections – one focused on EVs, and one on ADAS calibration.”

“Similarly, the 4WD Innovation Zone was a huge hit in 2022 and will evolve and grow to ensure visitors to the 2024 4WD Innovation Zone are even more impressed than they were at its inaugural appearance.”

The Expos will bring together more than 400 leading brands plus International exhibitors and guests, showcasing the latest vehicle repair and servicing equipment, technology, parts and accessories to the estimated 9,000 trade visitors.

Dedicated training programs led by respected industry experts, the Australian Auto Aftermarket Awards banquet and breakfast, a networking event, vehicle display area, celebrity appearances, and competitions will all add to an unmissable three-day industry experience.

Further announcements and exciting additions to the 2024 Australian Auto Aftermarket Expo and Collision Repair Expo will be released over the coming weeks. Stay tuned for more information!

Free registrations for this huge event are now open at aftermarketexpo.com.au To get involved as an exhibitor or sponsor at the Auto Aftermarket Expo, please contact partnerships@aftermarketexpo.com.au

CAPRICORN IGNITION DECEMBER 2023

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The customer trends of 2023

– make sure you're prepared for 2024

by Geoff Mutton

Overall, 2023 was a good year for the auto aftermarket industry.

The challenges – staff shortages and parts supply – were offset by booked-out workshops and good profits. End of year is always a good time to reflect on anything learned during the past year, and perhaps this will provide a glimpse at your 2024 expectations.

Cost-of-living pressures Without a doubt, most commentators have focused on the rising cost-ofliving pressures and the expected slowdown. At this stage, my research shows that the impact on the auto industry has been mild. Many workshops started the year booked out two to four weeks in advance, but close to year’s end that had come back to two to five days. So, although the phone might have been ringing fewer times, most workshops were still fully booked out every day.

With potentially another one or two interest rate rises in 2024, cost-of-living pressures are likely to remain the number one topic of concern. Motorists will most likely react to such pressures by extending the intervals of routine car services past their due dates, or they may choose to ignore a warning light on the dash until the car rego check falls due. (Vehicle inspection requirements vary from state to state).

Consequently, workshops may well see more breakdowns. When customers eventually book in, they will hope that a general service will fix everything and nothing will be found wanting. This is where all workshops must maintain their standards and inform customers of any additional diagnostic or repair work that is needed and that such work will be outside the scope of the standard service and will be additional to the service invoice.

1 4 CAPRICORN IGNITION DECEMBER 2023

Another trend could well be that customers will be scrutinising quotes in more detail. Over the past couple of years, customers tended to be less fastidious about quotes, with most just giving the go-ahead for whatever needed doing, with few questions asked.

I suspect customer attitudes will swing back to pre-COVID times when they spent more time going through quotes, looking for options to defer repairs or seeking a cheaper alternative. The onus will be on workshops to invest the time to explain why repairs are needed and to help prioritise repairs so that customers are clear on what should be done now and what can be left till later.

Repairing older vehicles The new car shortages throughout the COVID years were great for the industry, with many customers forced to repair older vehicles rather than buy new ones – if they could find them. The availability of new cars has certainly improved, but for some popular models there are still significant wait times. I expect these wait times combined with continued cost-of-living pressures will have many consumers deferring a new vehicle purchase during 2024. They will continue to hold on to their older vehicle and repair them when

necessary. This will be a good outcome for the aftermarket auto industry, and it’s one of the key reasons why I feel it will be reasonably sheltered from an economic slowdown.

Customer impatience Staff shortages have impacted almost every industry, resulting in the market being conditioned to wait for everything.

Wait times might be shorter than those of early 2023, and this trend can be expected to continue in 2024.

Customers, however, expect the good times of instant satisfaction to be turned on and off like a switch, meaning that their impatience levels in 2024 could revert to the pre-COVID levels, when waiting a month for a car repair booking or a part to turn up was barely tolerated.

To meet this trend, workshops should do their best to fit in with their customers’ lifestyles, which could mean outside-hours drop offs, working within promised times, keeping them informed throughout the job or getting quotes back within a reasonable time.

Underpromising and overdelivering remains the best strategy by far.

Messaging platforms Phone messaging is a trend that will continue to grow as more people of all age groups become used to using their phone to send text messages – they don’t even have to type them anymore.

Businesses need to adapt to this trend and ensure that they offer an appropriate platform and respond in a timely manner. This is the time to consult with your point of sale provider or colleagues to figure out your best managing option – which may include transferring your messaging responses to the office computer rather than through a mobile phone.

As 2023 comes to a close, I wish everyone a happy Christmas and new year. There are plenty of good reasons to celebrate – 2024 will be different, but hopefully prosperous.

Electric vehicle and hybrid enquires The electric vehicle (EV) and hybrid evolution is well under way, but the take-up rate will not be consistent across all demographics, with inner city suburbs leading the charge.

It is inevitable that more of your customers will start asking questions about switching to electric or hybrid, so workshops need to start presenting themselves as EV and Hybrid Certified.

Electrics and hybrids still need maintenance and repairs, so you need to ensure that when customers do make the switch, they continue to use your workshop as their preferred service centre.

CAPRICORN IGNITION DECEMBER 2023

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Burnou The hidden cost of the skills shortage

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ut

If the State of the Nation Special Report: The Skills Shortage makes one thing clear, it’s that the skills shortage isn’t just taking a toll on business operations and finances, it’s also impacting Members’ work-life balance, stress levels, relationships and mental health.

mbers reported a range of effects, e including feeling overworked, not enjoying work anymore, sacrificing family time and not being able to take a holiday. What is the overarching thread that ties all of these responses together?

The skills shortage is contributing to more Members experiencing burnout. Looking after your mental health is every bit as important as looking after your balance sheet. If you’re feeling burnt out, don’t ignore it.

The good news is that burnout is very manageable if you spot the signs early and take positive, meaningful action. In this article, we’ll look at: H ow to spot the signs of burnout.

Strategies for managing burnout.

T aking care of others.

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Burnout could look like:

Strategies for managing burnout

Feeling isolated, trapped or helpless.

Recognising the warning signs of burnout is just the first step. It's important to take action, as the situation is unlikely to resolve itself without making changes.

Irritability and cynicism.

A lack of your usual energy or motivation.

A feeling of failure or self-doubt.

Feeling less satisfied with work.

Feeling exhausted or drained.

Procrastinating.

Disengaging from work you used to value.

Not sleeping or eating as well as you used to.

Feeling alone, withdrawing or isolating socially.

Headaches, body pain, muscle pain, excessive sweating.

Fatigue.

Outbursts.

Panic attacks, shortness of breath.

Getting sick a lot.

Using substances (including alcohol) to cope.

Finding it hard to function at all.

If this sounds familiar, it’s important to do something about it - especially if you’ve been experiencing these symptoms for an extended period of time.

1 Identify the sources of your burnout When you’re feeling burnt out, the stress can feel overwhelming. Break it down, so you can tackle it more easily.

Write a physical list of all the areas where your stress is coming from.

Prioritise the most urgent and important issues you need to deal with.

Get onto any easy wins promptly (e.g., delegating or outsourcing tasks).

2 Get support if you need it Don’t be too proud to seek support. It’s helpful to talk about what you’re going through, rather than bottling it up.

Talk to friends, family or colleagues.

Chat with expert community-based services, like Lifeline counsellors (more services are listed below).

Talk to your GP.

RESOURCES Mensline Australia 1300 789 978 Lifeline 13 11 14.

Salvation Army 1300 36 36 22 Dear Mind: mentalwellbeing.initiatives.qld.gov.au Beyond Blue: beyondblue.org.au Anxiety Treatment Australia: anxietyaustralia.com.au

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3 Re-evaluate your priorities

5 Look at your lifestyle

Think about what really matters to you and write a list. Chances are it will involve things that aren’t work-related, like spending time with your kids or your partner.

If you’re feeling burnt out, chances are you’re not sleeping or eating well, or getting enough exercise.

Yet good nutrition, getting enough sleep, and doing a bit of physical activity every day are all essentials for healthy living-not just for our physical health but our mental health as well.

Do your best to restructure the way you operate so that you can make these things the priority they deserve to be.

Set firm boundaries: Don’t let work creep into the time you’ve dedicated to these priorities (don’t miss your kid’s netball game to do paperwork).

We understand that these things are easier said than done, but if your current routine isn’t serving you, then it’s important to take stock and look at ways that you can make a positive change.

4 Step away from the business When we’re under pressure in business, there’s a tendency to work longer hours and take less time off.

Yet, being overworked will ultimately make us less productive and lead to burnout.

To work effectively and to be your best, you need to recharge your batteries.

Chances are you don’t need to radically alter your lifestyle. Making a few positive lifestyle changes can really add up and contribute to a healthier and happier outlook.

Stronger with each other Capricorn’s philosophy is that we’re stronger when we work together. It refers, of course, to the power of the cooperative, but it’s also relevant in the context of burnout. We can all play a role in supporting each other.

Check on your friends in the industry if you know they’re struggling.

Open the burnout conversation with others and help them access support if they need it.

Talk to your staff. If you’re burnt out, they may well be, too. Ensure they have access to support.

Take small breaks during the day (put them in the calendar and don’t skip them).

Book and take your holidays (if that means shutting the workshop doors for a week or two, do it provided that it’s financially possible for you to do so).

Reconfigure your working week. Can you be just as productive or profitable working a four-day week?

You might be surprised!

You can read State of the Nation Special Report: The Skills Shortage at cap.coop/son-skills

CAPRICORN IGCAPRICORN IGNITION DECEMBER 2023 NITION NOVEMBER 2023 19

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COLLISION’S TRAINING CRISIS Are you neglecting to train your staff?

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nationwide survey that found 42 per cent of collision repair shops in Australia have not provided any training for their technicians in the last 12 months has sparked concern in the industry.

About 20 per cent of the collision industry— not including major players like AMA group, MotorOne and Repairhub—took part in the Australasian Paint and Panel Collision Repair Industry Census, making it an authoritative snapshot of what’s happening at smaller and mid-sized workshops across the country.

Jason Trewin, Chief Operating Officer of Capricorn Preferred Supplier I-CAR—a recognised provider of collision training in Australia, New Zealand and Canada—said the underinvestment in training was worrying.

“To be honest, it’s frightening because as we move forward, technology is going ahead in leaps and bounds and it’s hard to understand that the business could potentially be repairing a modern-day motor vehicle without upskilling their technicians so they can provide safe and quality repairs for their customers,” he said.

Jason said with the pace of change in the industry, it was recommended collision repair technicians undertake at least eight to sixteen hours of training per year.

“That can be online service training, web-based training, or hands-on skills assessment type training,” he said.

While the Australasian Paint and Panel survey didn’t ask the industry why they weren’t investing in training, Jason suggested it was likely to be a combination of time and money.

The survey found a whopping 68 per cent of collision shops were understaffed and 51 per cent are looking for panel technicians—so being able to give existing staff time off for paid training was likely to be difficult.

However, he urged collision shop owners and managers to consider the real costs of scrimping on training. Not keeping up with advances and updates to technology like ADAS systems can cost a workshop jobs due to the inability to complete a repair. It can also cost a business time and money, as technicians take longer to work out how to complete a repair for which they are not trained.

“You have to work out at what point you’re damaging your business,” Jason said.

“If you take yourself away from training for 12 to 18 months, or even two years, things are going to leapfrog you pretty fast, I think.

“You’re really starting behind the eight ball, because we have so many different brands, makes and models in our country and it’s a real challenge to understand these things on every car.”

“As human beings and individuals, when someone gives us the time of day or invests in us more than just in monetary terms, it creates a sense of self-worth,” he said. “When you’re properly trained, it makes the job that little bit easier, it takes away the task burden a little bit, and makes you a little bit happier.”

“So having a little bit of training, more frequently, really goes a long way for staff retention.”

Staff retention is a major issue for all sections of the aftermarket, but especially collision repair workshops. The State of the Nation Special Report: The Skills Shortage found it’s taking an average of 9.1 months to find a panel beater, 8.9 months to find a spray painter, 7.3 months for crash repair assemblers, and 9.4 months for estimators. It also found collision shops were the most likely part of the aftermarket to struggle to retain apprentices, with 71 per cent of respondents saying they’d lost an apprentice before the completion of the apprenticeship.

Jason said training was also an opportunity to make team members more useful and productive. He said many workshops were now sending their staff to I-CAR to gain the skills they need to migrate between roles in the business.

The skills shortage has also changed the way I-CAR delivers its training.

“We’ve got a lot more short, topic-focused courses now, of 45 minutes to an hour,” Jason said. “Our classroom courses we now also offer virtually, to try to eliminate the time training is taking someone out of the business. We often do those after-hours. So, we try to offer a little bit of flexibility.”

I-CAR provides post-qualification skills enhancement, education, training and information to the collision industry, including professional development programs, hands-on skills development and trade certifications.

Jason recommended workshop owners keep up to date with “a little bit of training, a lot of the time”.

“I think keeping up to date will shorten that gap between the knowledge and our guesswork,” he said. “I think if workshops do that, we’ll be much better off as an industry.”

COLLISION TRAINING RESOURCES I -CAR is a Capricorn Preferred Supplier.

To view their range of collision repair training and courses, visit i-car.com.au. apricorn Service Data also contains a C number of collision repair-based resources. Log in to myCAP and visit the Capricorn Service Data tab on the homepage to learn more.

Jason also warned about a knock-on effect on a workshop’s culture.

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AN UNLOVED CLASSIC GETS A NEW LEASE ON LIFE.

Ford

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FUTURE/ MEMBER RIDE:

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24 CAPRICORN IGNITION DECEMBER 2023

It is 1962. John F Kennedy is president of the United States. Marilyn Monroe, one of the biggest movie stars in the world, dies unexpectedly at her Los Angeles home. The space race is underway and astronaut John Glenn orbits the Earth.

In South Africa, Nelson Mandela is arrested.

The first James Bond film is released.

The Beatles release “Love Me Do”. In Australia, Perth hosts the Commonwealth Games.

This is the world into which Ford released its new-look Falcon, the Futura XL. The Falcon had soared into the Australian market two years earlier with the XK. The model would remain a solid feature of the Ford family until 2016.

The 1962 iteration was the first significant upgrade to the Falcon, to XL, a range-topping sedan—semi-luxury, semi-economy—and an answer to Holden’s EJ range. There were station wagon and utility models, too.

In its most basic form (with a three-speed stick shift and a 144-cubic-inch Falcon Six inline-six engine), the Futura cost £1070. (There was also a 170-cubic-inch version). It was both affordable and aspirational.

The new design had a characterful convex grille, bumper-mounted park and turn lights, new-look taillights and squared-off roofline.

Driven by Bob Jane and Harry Firth, the XL was first across the line in the 1962 Armstrong 500 at Philip Island—filling the first four places in Class B. Although it is perhaps less famous and less beloved than the iconic EJ Holden it competed against, the XL is undoubtedly an Australian classic. There were almost 76,000 of them produced in the less than two years it was in production (when it was replaced by the XM).

It was the remains of one of those original XLs that sat for years under the floorboards of a house in Toowoomba, Queensland. It was covered in dust and full of rust when Capricorn Member Nick Barton, of Barton’s Auto Electrical, bought it off a mate.

“We had to drag it out from under the house,” Nick said. “It was a rolling shell but with no tyres because the house was so low, so we rolled it out with steel wheels. It was bare.”

Nick took the XL to his workshop in the centre of town, intending for it to be a fun restoration project whenever he found the time. As so often happens, the vehicle sat there for ages, getting in the way, with very little progress.

“I asked my Dad if he could put the car in his shed,” Nick said.

That’s when Covid-19 would intervene, changing the fortunes of the long-unloved XL forever. Nick’s Dad, Bruce—who started Barton Auto Electrical in 1982 and ran it until Nick took over the business in 2013—was a retired “grey nomad”, travelling Australia.

The pandemic meant he was confined to the house and had a lot of time on his hands.

“He got bored sitting at home doing nothing and asked if I minded if he started fixing a few things on it—fixing a bit of rust and stuff like that,” Nick said. “So he just got stuck into it, and I was paying the bills and finding the parts and he was doing the manual labour.”

Bruce did the lot—from the panel beating to the paintwork. From a rusty rolling shell, the car was gradually rebuilt back to its former glory—only leaving Bruce’s shed once, to get an exhaust.

“It was probably meant to be a father and son project, but Dad’s done all the hard work,” Nick said. “He should get all the accolades, really.”

The interior has been redone to match the original. It still has drum brakes. There are still no seatbelts. But it’s not a pure restoration— although you can’t tell until you look under the bonnet. Gone is the old inline six, replaced by a 250 Log motor from an old XB Falcon.

“It’s a little bit longer so we had to adapt a few things, put the fans in front, but it all fits in there,” Nick said.

It’s car club registered, so Nick and his old man like to take it out for Sunday drives and shows with the local Aces and Eights Car Club in Toowoomba.

Nick said he had about 18 cars in his stable, including three Falcon XPs, which are yet to be restored, and “probably six different models of Commodore”.

Nick laughed at the suggestion that if he wants to get them all restored, he should stick one in his dad’s shed.

“He’s got one in there now!” he said.

1962 gave us many icons. JFK. Monroe. Bond.

Mandela. Glenn. The Beatles. We don’t talk about the Falcon Futura XL in the same breath as those other legends, but perhaps we should? It has earned its place in the pantheon of the greats.

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Photos from our

GALA DINNERS & TRADESHOWS are up now!

We've captured some fantastic moments from these remarkable events, and we can't wait to share them with all of you.

Feel free to tag your friends/colleagues, share them on your socials or put them up around your business. While you're on our Facebook page, remember to like and follow us for more updates!

Visit cap.coop/photos 2 6 CAPRICORN IGNITION DECEMBER 2023

Epic 60TH ANNIVERSARY

of BATHURST

by Paul Marinelli

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One of the world’s most epic and historic Touring Car races, the Repco Bathurst 1000, celebrated its sixtieth anniversary with four days of pedal-to-the-metal motorsport at the majestic Mount Panorama circuit in New South Wales from 5 October – 8 October 2023.

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his classic endurance race had its origins as the Armstrong 500 at Victoria’s Phillip Island circuit, before relocating to the Mount Panorama Tourist Road and doubling in length to become the Bathurst 1000 in 1963.

This was the first Bathurst 1000 victory by an all Kiwi combination since Greg Murphy and Steven Richards won the race back in 1999. Van Gisbergen and Stanaway also raced to the greatest winning margin (19.9 seconds) since 1999, when Murphy and Richards won by 25.3 seconds.

It is also fitting that this year’s 60th Anniversary of the Great Race introduced the new Gen3 specification Supercars to Bathurst, bringing a whole new look, sound and feel to one of the most popular sporting events in Australia. This is the one time other than the Australian Grand Prix where motorsport takes the top spot in Australian sport, with nationwide barbeques and sports-bar parties celebrating the blue versus red rivalry between Ford and General Motors (formerly Holden) fans lasting the entire day.

Second place went to pole position winners and Supercars championship leader Brodie Kostecki and Bathurst’s fastest co-driver, David Russell. The Erebus Camaro duo dominated all but one track session of the entire weekend, scoring the team’s third Great Race podium result. Dick Johnson Racing pair Anton De Pasquale and Tony D’Alberto finished third for the blue oval in the team’s fiftieth year of racing at Bathurst.

It was a speedy Kiwi duo that beat the best Aussies in Supercars this year at Bathurst, as triple Supercars champion Shane van Gisbergen and returning super-sub Richie Stanaway raced to a dominant Repco Bathurst 1000 victory. They also etched their names into history as only the second all New Zealand duo to win the Great Race in its extraordinary history.

Van Gisbergen, 34, became the first driver in 15 years to win consecutive Bathurst 1000s, winning his third Mount Panorama title in the last four years. Stanaway, 31, scored a memorable inaugural Bathurst victory, an exciting precursor to the Kiwi’s return to full-time Supercars racing next season. The result was also a fitting way for Van Gisbergen to bid farewell to the Mountain as he pursues his NASCAR dream in 2024 and beyond.

The winning duo’s average speed across the 1,000 kilometres was 163.48 kph, the second fastest in the history of the Bathurst 1000.

The victory was achieved in front of 204,069 spectators, the third biggest Bathurst crowd in the history of the event.

Millions more were watching on television or via live streaming portals across Australia and around the world.

Of course, Bathurst delivered the highs and lows as only it could. Broc Feeney and Jamie Whincup missed out on a result when gearbox issues ended their race while Feeney was in third position during the late stages. Another race favourite, Cam Waters, didn’t reach the midway point of the race after co-driver James Moffat heavily crashed their Mustang at The Dipper. Others to suffer dramatic damage included Brad Jones Racing’s Andre Heimgartner and Dale Wood, along with Craig Lowndes (who was competing in his thirtieth Bathurst 1000) and Zane Goddard’s wildcard Camaro.

By the chequered flag there were 16 (out of 28) cars on the lead lap after a total of six hours, seven minutes and 7.5 seconds of racing around the 6.2 kilometre Mount Panorama circuit.

The final 88 laps of the race were completely green, meaning that there were no safety car caution periods for more than half of the race. This was an extremely rare scenario, but it was also a tribute to the extremely high standard of driving during the second half of this world-famous endurance race.

NIVERSARY

PREFERRED SUPPLIER PROFILES ASNU CONVERTERS Australia

10

YEARS PREFERRED SUPPLIER

ASNU has grown from humble beginnings in Milton, Brisbane, in 1974 to become a leading Australian torque converter manufacturer. Specialising in premium torque converters, ASNU has earned recognition as one of the most experienced suppliers in this field.

With branches in Queensland, Melbourne, and Sydney, they offer both state-based expertise and a national distribution network.

ASNU's expert technicians can design custom torque converters for various applications, such as high-performance or heavy-duty needs, ensuring the optimal levels of power and speed for your vehicle. They offer a range of torque converter brands including Red Diamond, the versatile Taipan converters, and the industry-leading Slingshot Performance Torque Converter.

ASNU's commitment to quality is evident in their ISO 9001 standards compliance, ensuring top-notch products. Their high-stall converters are favoured by racing teams for their performance and durability. asnuconverters.com.au

3 0 CAPRICORN IGNITION DECEMBER 2023

AUTO TRANS AUSTRALIA Australia

6

YEARS PREFERRED SUPPLIER

Auto Trans Australia (ATA) was established in 1984. From small beginnings in a workshop in the Eastern suburbs of Sydney, the company has grown to become one of the largest and most trusted transmission specialists in Australia.

ATA supplies transmission to repairers, dealerships, and mechanical workshops from all over Australia with high-quality workmanship, extremely complex transmissions, top-quality reconditioned valve bodies, mechatronics and dual clutches.

ATA uses a range of diagnostic and testing equipment to make sure their clients get the best possible result.

They combine this with their team of highly trained skilled technicians and best-value national supply service to offer clients guaranteed results.

autotransaustralia.com.au

FEDERAL BATTERIES Australia

4

YEARS PREFERRED SUPPLIER

Federal Batteries has been servicing the needs of the Australian battery market for over 30 years and caters to automotive, commercial, and industrial clients. It continually broadens its customer service horizons and product offerings, ensuring your battery needs are always met. As the exclusive representatives of numerous global battery brands, they specialise in a wide array of energy storage solutions, including automotive, marine, caravan, trucks, and electric vehicles. Renowned brands on their portfolio include Remco Lithium, Optima, Deka performance and premium European VARTA products.

Their value lies in providing top-tier, high-performance brands that thrive in challenging Australian conditions.

With a dedicated team that includes everything from technical experts to logistics specialists (and that boasts over a century of combined experience), the staff at Federal Batteries guarantees that you and your customers can expect to promptly receive top-quality, purpose-built products every single time. federalbatteries.com.au

CAPRICORN

FUN ZONE SPOT THE DIFFERENCE 5 Differences To Find

Email your entries to ignition@capricorn.coop before 31 December 2023. Winners will be selected by a random draw of the correct Member entries occurring in West Perth on 3 January 2024. The winners’ names will be published in the March 2024 edition of Ignition. Please ensure you include your Member number and email address when submitting your entry.

LAST MONTH’S ANSWERS

October Winners 1st Prize - P & V GILBERT ENTERPRISES - 4,000 Bonus Rewards Points 2nd Prize - CHAS AUTOMOTIVE ELECTRICAL & AIR-CONDITIONING 2,000 Bonus Rewards Points % &

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CAPRICORN IGNITION DECEMBER 2023

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In-store purchases now available!

Capricorn Members can now shop in-store at Woolworths and BIG W using their Woolworths at Work Account.

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Earn Bonus Rewards Points for every dollar spent in-store from until 31 January 2024.

Why sign up for Woolworths at Work?

Purchase your business groceries and essentials and further consolidate your business expenses through your Capricorn Trade Account. Plus in addition to earning 1 Rewards Point for every $ spent , this November - January you will receive 2 Bonus Rewards Points for every dollar spent in-store.*

Register via myCAP today

*All purchases made in-store with a Woolworths at Work Account between 1 November 2023 - 31 January 2024 will earn 2 Bonus Rewards Points in addition to the standard 1 Rewards Point. Participation in Woolworths at Work is subject to terms and conditions.

Participation in Capricorn Rewards Program is subject to Capricorn Rewards Terms and Conditions available at cap.coop/tc