Bodyshop February 2009

February 2009 www.bodyshopbiz.com CANADA POST CANADIAN PUBLICATIONS MAIL AGREEMENT #40069240

Bodyshop CANADA’S MAGAZINE FOR COLLISION REPAIR PROFESSIONALS SINCE 1970

Clean Up quick and easy

Expert tips for fast , efficient gun cleaning

OUTLOOK 2009: CAUTIOUS OPTIMISM THE TROUBLE WITH HIGH-STRENGTH STEEL SOFTWARE OPTIONS FOR SMALL SHOPS

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Bodyshop Canada’s magazine for collision repair professionals since 1970

contents

February 2009 l Volume 39, Issue 1

Features 10

CCIF report: Separating fact from fiction

15

Reality check – cautious optimism for 2009

18

The trouble with high-strength steel

20

Five reasons to use a management system

21

Do you know what your numbers are telling you?

Economists and industry experts debated the effects of the unstable economy on the collision repair industry, and suggested ways that repairers can make the best of the current challenging conditions.

Labour rates are good, but not great. Skilled workers are in short supply. Dealer health is the only unknown factor.

… is that it looks like traditional mild steel. As advanced steels become more widespread, estimators and body repair technicians must have information at their fingertips to identify the various steels and the proper repair procedure.

No shop is too small to invest in good shop management software. Here, managers at four small bodyshops explain the real benefits of a management system.

A management system generates the numbers you need to run your business profitably, but also provides the insight you need to understand those numbers.

22

Spray booths slow down to save money New spray booths have a number of features that lower operating costs by reducing energy demand and precisely controlling temperature and time for bake cycles.

Cover Story

12

Quick and easy clean-up Proper care and cleaning of spray guns keeps the paint department working at optimum efficiency. Brush up on your housekeeping skills with these tips from four industry experts.

18

24

Cover photo by Lisa Zambri.

In Every Issue 4 Viewpoint 6 Low-VOC update 6 News 24 I-CAR tech update 25 Products

26 Subscription information 27 Advertiser index 27 Internet directory 28 Photo file 30 From the publisher

visit us at bodyshopbiz.com In the next issue: Industry benchmark survey, marketing the green shop, paintless dent repair. www.bodyshopbiz.com l February 2009 l Bodyshop

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Bodyshop Canada’s magazine for collision repair professionals since 1970

viewpoint

Are you a candidate for lean?

It’s not something you can buy off the shelf and install like software.

Apparently, this is the year you will be bombarded with get-lean-quick schemes. The industry buzz surrounding the concept of lean production is rising to a crescendo, but before you get caught up, keep in mind that becoming lean is not a quick fix. You may gain good, practical ideas from doing a short course or one-day seminar, but lean is a philosophy, an ongoing journey, so to fully implement it into your facility and gain maximum benefits will require a complete culture change. And that isn’t going to happen overnight.

That said, it is a more efficient way to run a business, so in a time of shrinking profits, lean is an appealing route.

The other benefit to learning and applying lean is that it’s not a capital-intensive process. In many cases it leads to using the resources you already have in better ways.

The momentum surrounding the application of lean principles in collision repair is growing. Some paint companies have been offering training programs in various forms of lean thinking for years, but now the offerings are becoming more widespread. Witness the recent entries from Audatex and CARSTAR Automotive Canada.

Announcing CARSTAR’s own lean solution, COO Dave Lush says, “CARSTAR franchise holders are currently being inundated with different versions of lean solutions from different business partners within the collision industry.”

The company opted for a made-inCanada, made-for-CARSTAR solution called CARSTAR Lean.

Lean is a somewhat nebulous concept, like leadership, which makes it difficult to teach, package, or sell.

In the Audatex white paper Making the Journey to a Lean Shop, David Trissel and Krishna Masur say of lean: “It’s not something you can buy off the shelf and install like software. It’s not something you learn about and then check off the to-do list.”

What you do learn when studying lean is a series of techniques and tools that help you to implement lean thinking in your shop. One of those techniques is 5S, a method of creating a basic level of orderliness and standardization. Another key element of lean programs is value-stream mapping. This means examining your repair process and identifying those activities that have value to the customer. It also involves discarding “waste” activities, which, in lean terms, do not add value for the customer.

Another term often used in conjunction with lean is Six Sigma. Six Sigma is a methodology developed by Motorola that seeks to identify and remove the causes of defects and errors in manufacturing and business processes.

In all these elements of lean, the concept of collision repair as a process that can be controlled is central. If you can’t wrap your head around that fundamental stepping stone, you’re not ready to explore lean thinking.

Although lean principles originated in the manufacturing sector, they actually translate well to the collision repair business. In Creating Lean Dealers, the authors David Brunt and John Kiff note that the bodyshop is, in process terms, the area of a dealership that most resembles a manufacturing operation.

“In some ways, this makes it the easiest place to begin a lean transformation,” they conclude.

So, as you are bombarded with offers of lean courses and seminars, consider whether you, your shop, and your people are good candidates for lean.

Perhaps try a short online or live class as an introduction to lean theories. Embraced fully, lean production can lead to radical change, and a number outstanding Canadian shops have shown that it works.

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Cindy Macdonald cmacdonald@bodyshopbiz.com

Editor Cindy Macdonald 416-510-6839 cmacdonald@bodyshopbiz.com Publisher Andrew Ross 416-510-6763 aross@bodyshopbiz.com Sales Manager Jay Armstrong 416-510-6745 jarmstrong@bodyshopbiz.com Account Manager Jim Petsis 416-510-6842 jpetsis@bodyshopbiz.com Production Manager Steven Hofmann 416-510-6757 shofmann@bizinfogroup.ca Art Director Lisa Zambri Print Manager Phyllis Wright Circulation Manager Selina Rahaman 416-442-5600 ext.3528 Circulation Assistant Roshni Thava Subscription Enquiries 416-442-5600 ext. 3555 Vice-President Alex Papanou President Bruce Creighton

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Bodyshop l February 2009 l www.bodyshopbiz.com

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Paint cars faster than ever before.

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Just a few of the ways that DuPont Refinish can help you reach your operational goals today— while getting ahead of tomorrow’s environmental regulations.

To learn more about increasing your productivity visit www.cromaxpro.dupont.com or speak with a DuPont Refinish waterborne conversion specialist at 1.800.668.6945, prompt 5.

Copyright © 2008 DuPont. The DuPont Oval Logo, DuPont ™, ColorNet ®, and Cromax ® are trademarks or registered trademarks of E.I. du Pont de Nemours and Company or its affiliates. All rights reserved.

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low-voc update

Final text of low-VOC regulations delayed

W

ith the final regulations regarding Environment Canada’s VOC limits for automotive refinish coatings not yet published, coatings manufacturers, the distribution sector, and collision repair shops are uncertain of the timeline for conversion to low-VOC refinish products.

When it became clear that the industry’s expectation of seeing the final regulations before the end of 2008 wouldn’t be met, Jim Quick, president and CEO of the Canadian Paint and Coatings Association, criticized the delay.

“If there’s an extended delay, it reinforces the idea that the proposed regulations may not actually be implemented. That mindset creates a problem for the industry,” he says.

During the fall of 2008, paint suppliers were reporting that many auto painting businesses were waiting to see the final text of the regula-

tions and the implementation date before proceeding with their conversion to low-VOC-compliant products. The draft regulations, published in April 2008, have an implementation date of Jan. 1, 2010.

There is a concern that not enough shops are currently switching to low-VOC products, and that there will not be enough time or resources available to accommodate those who want to convert closer to the deadline.

Environment Canada announced in October that it was reviewing the feedback provided by stakeholders on the proposed regulations. The final regulations, taking into consideration comments that were received during the comment period earlier in the year, would then be published in Canada Gazette, Part II. The text of the proposed regulations can be found at www.ec.gc.ca/ nopp/voc.

news

New Supreme repair centre designed for lean production Supreme Collision Centre has opened a fourth location in Bolton, Ont., designed from the ground up to be a lean production facility, with features that both enhance efficiency and minimize the business’s impact

on the environment.

The Bolton shop celebrated its official opening in November. The large, Marty Reddick (left) and Ron Doering welbright new facility com- comed guests at the opening of Supreme’s prises 7500 sq. ft. of pro- fourth facility in the Toronto area. duction space that flows in a logical manner from the drive-in estimating bay to the repair planning area, and then to either the fast lane or body repair bays. The shop is equipped with a Saima spray booth that uses PPG’s Aquabase Plus waterborne system.

The new facility is one of four Supreme collision centres in the Toronto area owned by the Reddick family. All are members of the CertifiedFirst network.

General manager Ron Doering is also part-owner of the Bolton site.

At the opening celebration, he thanked Bernie and Marty Reddick for “giving me my dream.” Doering says the mantra during construction was “do it once, do it right”—and the result is a cutting-edge repair facility. Bernie Reddick, applying his many years of experience in the industry, was closely involved with the design and construction phases.

Doering expects the shop to process 100 to 120 repair orders per month.

Angrove leads PPG’s CertifiedFirst and MVP programs

Norm Angrove has been appointed to the position of senior manager, value added programs, for the automotive refinish business of PPG in Canada and the U.S. Angrove will be responsible for marketing the CertifiedFirst and MVP programs in North America; leading the strategic direction of CertifiedFirst in North America; and heading the Platinum jobber program and marketing communications in Canada.

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news

ICBC rental deal with Hertz has repercussions for bodyshops, customers

By Peter Caulfield

U

nder a new deal that the Insurance Corporation of British Columbia has signed with Hertz Canada and Ron Ridley Rentals, customers of ICBC will be able to obtain rental cars from these two agencies at reduced prices. The agreement will save the public insurer money, but leaves customers on the hook for the difference in rates if they rent from another agency.

ICBC says the move will save between $5.4 and $5.9 million per year. However, it will also alter the relationship between ICBC, rental car companies, and bodyshops in the province.

ICBC spokesman Adam Grossman says ICBC will save between 15% and 25% on car rental rates, depending on vehicle type.

Grossman says approximately 41 different rental car companies previously supplied rental cars to ICBC customers, although there were no formal contracts in place.

“ICBC posted rental car rates on its website and asked all these companies to follow

March 1 is first deadline in I-CAR transition process

those rates,” Grossman explains. “However, despite being one of the largest single users of rental cars in British Columbia, ICBC was often forced into paying more than retail rates.”

Under the new deal, if a customer with Loss of Use coverage chooses a rental car company other than Hertz Canada or Ron Ridley Rentals, ICBC will reimburse the customer up to the price it has negotiated with these two suppliers.

If there are additional costs, the customer will be responsible for covering them.

Once the transition to the new agreement is complete, ICBC customers who choose to rent a car from a company other than the two approved suppliers will pay that company directly.

They then can send the bill to ICBC, which will reimburse them up to the amount set with Hertz Canada and Ron Ridley Rentals.

The rental deal will indirectly affect bodyshops and their relationship with rental car companies. False Creek Collision in Vancouver, for example, has an agreement with a car rental

I-CAR has set March 1,2009 as the deadline to receive expressions of interest from organizations that are considering licensing I-CAR courses to present collision repair training in Canada.

I-CAR chairman Robby Robbs says, “Early indications of market interest are encouraging. However, I would strongly suggest that now is the time for industry leaders at the national, regional, and local level across all industry segments to step up.”

Operations in Canada are continuing as usual while the training organization seeks a potential licensee. I-CAR is moving aggressively through the process and expects to complete the transition by the end of 2009.

Due to the tight timeline, Robbs notes that interested parties will need to submit an Expression of Interest (EOI) by March 1 to be invited to move further in the process. Organizations that are invited to continue will need to submit a detailed proposal outlining a business plan that will successfully incorporate the I-CAR vision. The I-CAR Canadian Task Force will evaluate proposals in mid-June and hopes to have a recommendation for a licensee in July.

“As a fellow Canadian,” says Robbs, “I am hoping the industry in our country recognizes the opportunity that is available to it and rises to the challenges that lie ahead.”

Canadian firms interested in participating in I-CAR’s Request for Proposal (RFP) process should visit www.i-car.ca/eoi.

company whereby it sends all of its ICBC-related business to this company. Owner Bernhard Rubbert estimates Grossman, that this amounts to at least 300 AdamICBC. rental cars per year. In return, False Creek receives a discount on the courtesy cars it provides its customers and on other nonICBC related car rentals, plus False Creek performs all of the rental company’s repair work.

Rubbert says ICBC’s deal with Hertz might affect him if he cannot maintain the agreedupon volume of business with his current rental partner.

“It might jeopardize our discount,” he says.

“Right now, the situation is confusing and in a state of flux.”

The Automotive Retailers Association of British Columbia, which represents many of the province’s collision repair facilities and rental car companies, has not made any public comment on the ICBC rental agreement.

Fix Auto signs new shop in Ontario

Toronto commuters driving on the Gardiner Expressway may notice that Galaxy Auto Collision, a family-operated bodyshop, has joined the Fix Auto brand. “We are very happy to be part of the Fix Auto network,” says Frank Kalas, general manager, Fix Auto Etobicoke East. “Our shop has been in business for close to 40 years now; we have always done well and kept our standards high. By joining Fix Auto we’ll be able to take it to another level.”

The newly renovated shop covers more than 12,000 sq. ft. with a secured storage compound capacity of 50 vehicles, making the shop larger than average for the Toronto area. The Fix Auto location also offers a Rust Check services centre on site.

Fix Auto is an international network of collision repair body shops, with more than 165 locations across Canada.

Nick Sotiropoulos (left) and Frank Kalas at Fix Auto Etobicoke East. www.bodyshopbiz.com l February 2009 l Bodyshop 7

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news

Sherwin-Williams adds member benefits to A-Plus Network program

CARSTAR launches “while-you-wait” express repair locations

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ARSTAR Automotive Canada is launching a series of repair facilities that will cater to consumers requiring minor repairs. The first of these CARSTAR Express locations is now open in Hamilton, Ont. Nine others are expected to open across Canada next year.

“We want to provide a store that is comfortable and contemporary, while serving a costconscious customer,” explains PJ Wardell, operations manager for CARSTAR. “Our goal is to fill a void in the marketplace and provide more options when it comes to getting these types of repairs done.”

The focus will be on what CARSTAR calls the “Core Four” of repair services.

“The Core Four are those repairs for the most common damages that frequently

CARSTAR Express locations will take care of scuffs, dings, and detailing in a customer-centric setting.

B.C. industry advocate passes away

happen to a vehicle,” says Wardell. “These include things like paintless dent repair (PDR) for door dings, paint/bumper scuff repair, windshield chip/crack repair, and exterior and interior detailing, but these are just a few of the services that we offer for a lot less and in a shorter amount of time.”

For CARSTAR CEO Dave Lush, the essential difference between CARSTAR and CARSTAR Express locations is that one is optimized for insurance claim repairs, and the other is optimized for minor, customerpaid types of services. “We’re developing a customer-focused solution, in a customercentric environment,” he explains.

CARSTAR Express offers free Wi-Fi, a customer-use Internet station set up with free Internet access, plus free coffee and other beverages.

The new Express locations will use a proprietary small-damage repair system.

“We’ve cracked the code on a spot repair system that the customer will be satisfied with, and that we can stand behind,” says Lush.

The Express locations will not be equipped with spray booths, which allows them to be located in retail/commercial areas, with higher visibility.

CARSTAR Automotive Canada Inc. has more than 130 locations across Canada.

Gerry Preddy, an outspoken member of the British Columbia collision repair community, passed away on Dec. 5. Preddy helped many shop owners through bureaucratic and legal tangles, and was known for his big heart, positive outlook, and tenacity.

“He felt very strongly about doing the right thing,” says his son Ian Preddy, manager of Sopron Auto Body Ltd. in Delta, B.C. Preddy often made himself available to shop owners in crisis, and provided advice and support.

Preddy was a founding member of the United Auto Trades Association, a small provincial association of collision repair and auto glass businesses.

Preddy ran his own wholesale parts business, Preddy Integrity Parts Ltd. He is survived by his wife of 23 years, Maria, and sons Chris, Gavin, and Ian.

Three significant member benefits have been added to the A-Plus Network, Sherwin-Williams Automotive Finishes’ valueadded program that provides comprehensive business solutions for collision repair facilities.

The recent supplier agreements include Fleet Response, a new business resource; The Fristoe Group, a turn-key human resources provider; and Alldata Collision.

Exclusive network access to Alldata Collision will facilitate estimating for members, and provide up-to-date OEM factory repair information.

“As the economy tightens and more collision repair owners are faced with a variety of business challenges, it is imperative that they have access to the very best business tools and reference organizations,” says Brandon Devis, SWAFC A-Plus Network program manager. “These new services help our A-Plus Network members keep a competitive advantage to help them prosper in these fast-changing times.”

SWAFC’s partnership with Alldata provides its A-Plus Network members access to Alldata Collision factory repair information at discounted pricing. Alldata Collision offers a single-source access to the manufacturer’s published OEM factory repair information.

Get more news at www. bodyshopbiz.com

Nova Scotia business joins CSN Hubert’s Collision Center in Yarmouth, N.S., is the most recent member to join Collision Solutions Network (CSN).

The business was established in 1964 in Tusket, N.S., just east of the city of Yarmouth. It has a number of insurance and dealer affiliations, and more than 7500 sq. ft. of production space.

Manager Mark Pottier says, “In our marketplace, our name is synonymous with honesty, integrity, and great workmanship. Our customers are bringing their vehicles to us for an appointment, not just an estimate.

“We are proud to display the CSN sign on our facility,” he continues. “It sets us apart from our competitors and is a symbol of a well-managed network.”

8 Bodyshop l February 2009 l www.bodyshopbiz.com

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ccif report

Separating

fact from fiction The unstable state of the North American economy was on everyone’s agenda at CCIF Toronto.

By Cindy Macdonald, editor

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he turbulent state of Canada’s economy was top of mind at the Canadian Collision Industry Forum held Jan. 24 in Toronto, where economists and industry experts debated its effects on the collision repair industry, and suggested ways that repairers can capitalize on, or at least make the best of, the current challenging conditions.

At the end of a day of presentations on the economy, training initiatives, and environmental programs, CCIF chairman Tony Canade concluded: “I’m confident from the collision repair standpoint that we are not as far down the road as our counterparts in the U.S. We will not feel the impact as much as some industries around us.”

Nonetheless, Canadian collision industry professionals should be prepared for a challenging year.

Economy headed for recovery

Alan Flewelling, vice-president, RBC Dominion Securities, explained that the economic crisis we’re now experiencing spread from the money markets, through the banks, into the global economy.

He noted that the United States last experienced 0% interest rates in the 1930s. The U.S. is at that point again. “This tells us we’re in pretty tough times.”

However, according to Flewelling, the aggressive monetary and stimulus packages being put forth by several countries, including Canada, give reason for hope. The credit crunch is beginning to ease, and the global economy is expected to begin a recovery later this year. Inflation will retreat further.

He commented that stocks are generally undervalued right now, though not as much in the Canadian market, because much of our economy is resource-based, and the banking system in is better shape than it is south of the border.

Canada faring better than U.S.

The auto sector is also in better shape in Canada than in the U.S. Rick Tuuri, vice-president of industry relations for Audatex, related that about 1.9 million jobs were lost in the U.S. last year. About 590 dealerships closed in 2008, and the expectation is that 1000 more will close in 2009. Tuuri estimated that 30% of the dealerships that closed had a bodyshop.

Repairers continue to face pressure to contain repair costs and face a shrinking pool of work. Tuuri said some sources estimate the U.S. bodyshop population is falling by 100 shops per month.

Used vehicle prices are falling, as are sales, and the net result is that totals are on the rise.

According to Audatex data, the proportion of total-loss vehicles at the end of last year rose to 15-16%. “We don’t see an end to that in the foreseeable future,” said Turri.

He suggested that Canadian repairers capitalize on this time of turmoil, and perhaps a time of reduced workload, to improve their shop environment, train their technicians or themselves, pursue lean manufacturing, or simply take some time to think about their future, rather than simply reacting to fires.

Providing further insight on the automotive sector, Tony Canade reviewed some data regarding vehicle manufacturers. New vehicle sales in Canada did not suffer as extensively in 2008 as U.S. sales. Canadian sales were down 1.1% in 2008, compared with 2007, whereas U.S. sales were down 18% from the previous year. Projections are for Canadian sales to drop another 9 to 10% in 2009, and U.S. sales to drop a further 20%.

There’s also been a shift in the sales mix, reported Canade, with passenger-car sales falling less than light trucks.

In major markets, Canade told the audience, expect a 25% decline in D-3 (GM, Chrysler, and Ford) dealers within two years.

Dealer consolidation will continue, and brand

consolidation will emerge. “Dealers will be concentrating on cost control and improving the fixed operations department, which includes collision repair, wholesale parts, and service,” he noted. He encouraged repairers to figure out how they can help their dealer partners to reduce costs.

Parts availability may become a challenge, Canade warned. Some OE parts warehouses have moved out of Canada, and when OE production declines, so does production of service parts.

Insurers face challenges

Ken Boulton of The Dominion explained the situation of Canada’s property and casualty insurers. This year presents an unusual set of challenges for the insurance industry because, in a rare convergence, the downturn of the insurance cycle coincides with a downturn in the business cycle.

The insurance cycle generally lasts about seven years, from peak to peak, explained Boulton. As the market softens and heads toward a trough, insurers pursue volume growth by lowering their premiums. After the trough, premiums rise and companies tighten up on underwriting.

Auto insurance rates decreased in 2005, 2006, and 2007, but reversed direction in 2008, rising by 5.2% on average.

Claims severity and frequency generally rise in a down economy, which puts pressure on underwriting returns. As well, investment income is being challenged in this economy.

So the convergence of events now has insurers facing rising expenses, rising claims costs (severity), rising frequency, poor investment returns, and the alignment with a downturn in the business cycle.

Knowing the business conditions faced by both insurance companies and new car dealers will assist collision repair managers in planning their strategy for the rest of 2009.

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10 Bodyshop l February 2009 l www.bodyshopbiz.com

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Why be anonymous when you can be visible? fixauto.com

TO JOIN THE NETWORK CALL TODD NOBLE 416-857-7580 BS news-ccif 6-10.indd 11

THE BODY SHOP NETWORK

2/10/09 10:53:52 AM

Yunis Lockheart of Don Valley North Collision Centre washing up.

Photo by Lisa Zambri 12 Bodyshop l February 2009 l www.bodysh opbiz.com

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cover

Clean Up quick and easy

Proper care and cleaning of spray guns keeps the paint department working at optimum efficiency.

Brush up on your housekeeping skills with these tips from four industry experts

By Cindy Macdonald, editor

Do

• Clean the water guns promptly after spraying. It cleans faster with far less effort than if you wait even 10 minutes. Unlike dry solvent-borne paint, dry waterborne paint cannot be dissolved with water. If possible, place a small gun cleaner next to your spraying area. It will save you time and money.

• Use firm-bristled brushes to clean the gun’s internal wet components and air cap. Don’t use sharp instruments or hard needle probes to clean the fluid nozzle or air cap.

• Make sure the gun is properly cleaned. Use cleaning equipment with high solvent pressure and high solvent flow to ensure the gun is thoroughly cleaned.

Inadequate or low solvent flow can reduce overall spray gun performance and cause increased wear.

• Use a gun cleaner with an air purge, preventing contaminated solvent from entering the paint channel, which can damage some spray guns, in particular models with digital pressure meters.

• After cleaning of the gun, blow out the remaining solvent into a collecting funnel or something similar. Otherwise the painter could be exposed to the atomized solvent.

• When using pressurized cleaning machines, make sure that the incoming pressure does not exceed the maximum recommended pressure of the paint gun.

Continued on page 14

Proper cleaning procedures for spray guns have always had a direct effect on productivity and refinish quality, but now, with the presence of waterborne and solvent-based coatings in the same facility, proper cleaning also enhances safety.

Jerome Lehyaric of Fillon Techologies cautions painters that waterborne and solvent-borne paint waste must be kept separate from each other, because mixing of these wastes can create hydrogen gas. Hydrogen gas is highly flammable, and a hydrogen/oxygen mix is explosive at certain concentrations.

There are no shortcuts To keep your spray gun working efficiently with consistent results, take a look at the following care and cleaning tips, collected from four suppliers of spray guns and gun cleaning equipment: Sean Basilio of 3M Canada’s automotive aftermarket division; Larry Bergmann of Specialty Product Sales, Inc.; Colin Hammacott of Hedson Technologies North America Inc.; and Jerome Lehyaric of Fillon Technologies.

Also, when employees are learning new procedures as they convert to waterborne and low-VOC coatings, it’s a good time to review fundamentals as well.

“Read the manual and all labels and stickers on the gun cleaner,” counsels Larry Bergman. “This should take no more than 15 minutes and will make a huge difference in understanding the process.

Make certain that you understand what you are doing and why. Each step has an impact on the process.

There are no shortcuts.” www.bodyshopbiz.com l February 2009 l Bodyshop 13

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cover

Do

• Be thorough when flocculating the water. Stirring of the flocculation powder will help the overall process and produce bigger flocs, meaning better filtration and longer filter life.

• Use cleaning equipment with properly placed spray nozzles.

If the nozzles are placed where they are most needed, you will need fewer nozzles, meaning higher pressure and better cleaning results.

• Follow the outlined procedure for dirty water treatment. Flocculation requires all three components (water, paint, and flocculant powder), to be in the correct proportion.

• Flush the gun’s paint channel with high pressure. Dry waterborne paint cannot be dissolved with water, so it is important that the paint channel is properly flushed.

• After flocculation and filtering of the water, remove the filter basket assembly from the gun cleaner. It dries faster and makes for easier disposal of the dried waste paint.

• Use a cleaning unit with a water recovery unit to reduce costs related to hazardous waste removal.

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• Don’t leave guns wet after cleaning. Aluminum and water do not go well together. Water does not evaporate as completely or rapidly as solvent does, so dry the gun completely to avoid corrosion. Another concern when washing with water is mineral deposits. Dry the spray gun by blowing air through the air passage and the paint passage simultaneously.

• Don’t dump waste paint into the gun cleaner.

It is a gun cleaner, not a waste paint disposal system. Excess paint will cause the flocculation process to fail. Similarly, for solvent gun cleaners, pour excess paint into a separate drum. This keeps the recirculating solvent cleaner and prolongs the life of the gun.

• Don’t expose yourself to solvent vapours.

Use a gun cleaner with proper air extraction to reduce health and safety concerns.

• Don’t use silicone-based oils to lubricate the spray gun. Instead, use petroleum jelly to lubricate the fluid needle shaft, trigger, and fluid and fan threads on adjustment knobs. Lubricate the needle and packing daily to assure the needle pulls smoothly.

• Don’t put your water guns into the solvent gun cleaner if there is any water left on/in the gun.

Doing so ruins the solvent, which makes for a less clean gun. Similarly, don’t use solvent in the waterborne gun cleaning process. Use only water or gun cleaner from the paint manufacturer or the gun cleaner manufacturer.

WWW.GLOBALFINISHING.COM

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outlook 2009

Labour rates are good, but not great.

Skilled workers are in short supply.

Dealer health is the only unknown factor.

By Cindy Macdonald, editor

Reality check

S

mall business confidence may have tumbled in the last few months of 2008, but there is no real sense of doom and gloom in the Canadian collision repair industry. Industry representatives are confident that most provincial economies are diversified enough to maintain their stability in 2009, and in many regions winter storms are bringing business to the door in the early weeks of 2009.

New car dealerships are a big question mark for 2009, with some closures reported last year, and a heightened sense of uncertainty given the financial status of the Detroit Three — GM, Ford, and Chrysler (D-3).

The closing of dealerships could have a positive affect on the aftermarket as a whole as it will diminish the number of bays available for repair, driving that work elsewhere.

Economy: collision repair can ride it out

On the subject of the regional economic situation, the input from collision repair associations across the nation is lukewarm. Most report a relatively good year in 2008, and are confident their industry will weather the economic storm in 2009. Ontario is the exception to this attitude of cautious optimism.

Dale Finch, of the Automotive Retailers Association, notes that business was generally good during 2008 in British Columbia, although it slowed somewhat in the autumn months. For 2009, he expects the softening of the economy will probably reduce vehicle registrations, particularly on the commercial side.

“B.C. is poised to be one of the least hit provinces,” he states.

In Saskatchewan, the economic outlook is rosy. In 2008, the province was fully engaged in an economic surge that was fuelled by strong growth in the mining and resource sectors.

Last year was a tough one for shops in Ontario and 2009 is still a question mark, reports John Norris. Norris is the collision chair of the National Automotive Trades Association (NATA), and works with www.ciia.com, an organization that assists eight collision repair trade associations in Ontario.

Significant amounts of early snow in December and January have helped, but although there were more than 3,000 accidents reported in the GTA during one week alone, vehicles are not pouring into collision repair shops at the rate one would expect, says Norris.

Reporting on the recycling business, Steve Fletcher, executive director of the Automotive Recyclers of Canada, notes that the scrap metal side of the business is showing its volatility. At one point earlier in 2008, scrap metal had a value of about $350 per tonne. Now, the price has plummeted, and in October and November, “you couldn’t give it away,” he recalls.

The crash parts side of the business is influenced by seasonal highs and lows, and the snowy weather and poor driving conditions have been a boon in some areas of the country. The outlook for the rest of

2009 is not so optimistic. “I see indications that this spring will be lean and spotty,” says Fletcher.

Sales of recycled crash parts are intimately linked to OE part sales, and thus, many recyclers are quite concerned about the future of new car dealers.

Fletcher says he has heard some anecdotal reports of rising prices and declining availability of some OE parts. This may be due to dealers trimming their inventory or reduced availability further up the supply chain, as OE part suppliers cut back on production to match the cutbacks in OE vehicle production.

Dealer health a concern to collision industry

The drop in new car sales and possible closures of dealerships or their OE backbone is a concern across the country.

This could affect the collision repair industry in a number of ways.

Fewer dealers mean fewer outlets to purchase OE parts. Also, if the dealer that closes had no onsite bodyshop, it represented a potential source of business. If it did have a bodyshop, then it’s one less competitor in the field.

Dennis Desrosiers, president of Desrosiers Automotive Consultants Inc., has analyzed the dealer situation in recent weeks. He notes that GM, Chrysler, and Ford (D-3) collectively lost 18 new car dealer locations in 2008, and he forecasts they could lose another 50 stores in 2009.

In the U.S., the forecast rises to 1,000 closures.

The decrease in D-3 stores does present opportunities for the automotive aftermarket. Desrosiers notes that each dealer footprint averages 13.8 service bays, so if 50 or so stores close in 2009, that implies the closure of 600 to 800 service bays as well. His analysis does not specify how many dealers have collision repair bays, but one industry estimate is that about 30% of dealerships have an in-house bodyshop.

Labour rates always a point of contention

Repairers’ relations with their insurance partners seem to be amicable, for the most part. B.C. and Manitoba both report successful negotiations with their provincial insurer.

In B.C., the ARA is working with the Insurance Corporation of British Columbia (ICBC) to finalize another Collision Repair Industry Agreement (CRIA), which sets out the details of business relations between ICBC and repairers. ARA’s Dale Finch says the deal so far is very positive.

The negotiated labour rate is one of the highest in the country, says Finch. “It’s close to where we need it to be, but to sustain the industry and attract new employees, we’re not quite there.”

In early 2008, Manitoba’s repair industry completed a labour contract with Manitoba Public Insurance (MPI) that some say was one of the most successful in recent years, says Jean Mackenzie of the www.bodyshopbiz.com l February 2009 l Bodyshop 15

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outlook 2009

Automotive Trades Associations Manitoba Inc. “The work done by the trade committee was excellent and very proactive in addressing the future.”

The challenge for repairers, she notes, is to reduce administration costs and decrease cycle times.

Bill Ziebart of the Saskatchewan Association of Automotive Repairers notes that SAAR is discussing labour rates with the government insurer, SGI, but “they [SGI] do not see themselves as part of the answer [to the industry’s woes] and have offered a pittance of a rate increase.”

Ziebart is concerned that some shops will close their doors this year if there is no substantial increase to the labour rate paid by SGI. “Exacerbating this problem is the continual downloading of administrative costs by the insurer, with no remuneration,” he comments.

In private insurance provinces, shop/insurer relations are a mixed bag. John Norris says that in Ontario, shops are complaining this year about an increasing number of write-offs by insurers, and a get-tough attitude by insurers toward customers who want to use a shop that’s not on the company’s DRP. In Nova Scotia, Lindsay Gates reports that insurance relations are improving. A survey of CRANS members revealed that rates for labour, paint material, and body material had all risen in 2008, compared with 2007 levels. The average labour rate reported by members was $54.85 for rural locations, and $58.00 for urban sites.

Shops in Quebec have historically recouped a lower labour rate

than the national average. The provincial collision repair association, CCPQ, is attempting to remedy that by encouraging all its member shops to set a labour rate of $65/hr. for non-insurance work. CCPQ arrived at the $65 figure after conducting a private, independent study that concluded this is the rate necessary to cover fixed costs and achieve reasonable profitability.

Shortage of skilled workers continues

Finding qualified technicians is still a challenge. In Ontario, for example, even though nearly 2,000 apprentices are in the autobody and painting trades (double the number from seven years ago), less than 20% of apprentices are actually finishing their schooling and being licensed.

The situation is similar in other provinces. Sufficient numbers are starting apprenticeships, but not enough are completing their apprenticeship.

“There are very few unemployed experienced workers in the industry in Manitoba,” Mackenzie notes dryly. “Most employers will see experienced personnel moving from one shop to another.”

Clearly, given the state of the North American economy, 2009 will bring challenging business conditions for the collision repair sector and its suppliers. Dealer or supplier closures may shake up some local markets, and the skilled labour shortage continues to plague businesses.

However, relations with insurers are strong in most regions, collision frequency is not diminishing significantly as economic conditions falter, and labour rates have generally been increasing, so shops should be well-positioned to move forward.

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16 Bodyshop l February 2009 l www.bodyshopbiz.com

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2/10/09 10:57:14 AM

Concerned about compliance with the new VOC regulations?

The Government of Canada has announced the details of the regulations that will govern what products Canadian collision repair facilities will be able to buy.

With the announcement of those regulations comes the imperative for bodyshops to convert in an orderly fashion to compliant products, using the best information available so that their transition to the low-VOC practices will be seamless and done correctly.

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2/10/09 10:57:30 AM

technology

THE TROUBLE WITH HIGH-STRENGTH STEEL I

f the steel used in the top-selling truck exceeds your shop’s repair capabilities, what does that imply for the future of your business?

The top-selling pickup in Canada now has such a complex structural design that your shop may not be equipped to straighten it after a heavy hit. Because of its mix of highstrength and mild steels, the 2009 Ford F-150 can’t be repaired like a conventional body-onframe design. And that poses some critical issues for modern bodyshops.

High-strength steels are no longer restricted to luxury vehicles. They’re present in some of today’s biggest sellers, like the F-150 and the Honda Civic. That makes it imperative for technicians to have quick and easy access to OEM repair information to research proper repair procedures; to be equipped with the proper welding, measuring, and straightening equipment to perform the repair to OEM specs; and to stay fully up to date in their training to carry out the recommended procedures.

As vehicles become more complex, and more exotic materials are used, there is an increased need for model-specific OEM repair information and specs. OEMs have been systematically replacing mild steel with a variety of stronger materials that look no different to the naked eye, but that require different handling.

Referring to the new F-150, Gerry Bonanni, paint and body technical engineer with Ford, says, “These steels are going to require different handling and procedures. We want the technician to go into the manual, and to use the exploded view and the steel repairability matrix.”

Chief Automotive Technologies worked

… is that it looks like traditional mild steel.

As advanced steels make their way into mass-market vehicles, it becomes more critical for estimators and body repair technicians to have information at their fingertips to identify the various steels and the proper repair procedure.

By Cindy Macdonald, editor

with Ford engineers and repair technicians prior to the vehicle’s launch to develop a repair methodology and equipment to correctly repair collision-damaged 2009 Ford F-150s.

Chief ’s manager of training and industry affairs, Richard Perry, explains that the cab contains seven different high-strength steel alloys sitting on a mild-steel floor. “Because the floor is mild steel, you have to hold and control it during the repair.” Traditional anchoring and pulling techniques will distort the cab floor long before achieving the desired results.

The Design-Based Anchoring system developed by Chief is similar to a jig. If this kind of anchoring is not used when straightening damaged parts, the repair will twist the cab mounts. “It’s going to be a very popular truck, and the bodyshops are going to have to get used to it,” notes Perry.

Not knowing is a risk

The case of the 2009 F-150 underscores the need for technicians to have access to OE repair procedures and specs. Various solutions are emerging to meet this need. Vehicle manufacturers in the U.S. have collaborated on a

website called OEM1stop.com that provides a single jumping-off point for repair info from various manufacturers. Alldata has extended its repair information products to the collision market, and suppliers of estimating systems are tackling the problem as well. Mitchell International has launched Mitchell Information Center, which provides access to comprehensive and up-to-date year/make/model specific information. Mitchell’s vice-president of industry relations, Greg Horn, says Information Center “helps bridge the data gap for repairers by giving them a single, easily accessed source for critical repair information.”

Audatex is also working to integrate repair data with its estimating database. According to general manager John Kotsopoulos, Audatex is planning to “attach” to the diagrams in the estimating system information that will identify the type of steel and outline the repair methodology.

“Today, even the most basic repairs can require manufacturer-specific instructions and parts,” says Horn. “Yet obtaining detailed how-to instructions is complex, time consuming, and costly—as is ordering correct parts for the job at hand. Without an easy, effective way to address the repair information deficit, there is a substantial liability risk for repairers when proper repair procedures are not followed, as well as potential loss in customer satisfaction.”

The days of one-size-fits-all, or one-steelfits-all, are long gone. Ensuring you have this information, and the right tools, at hand when the vehicle comes through the door, will help make the transition easier, and reduce the risk of delays or worse, errors—at least when it comes to the most popular vehicle types. B

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2/10/09 11:00:36 AM

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2/10/09 11:01:19 AM

management

5 reasons to use a management system

No shop is too small to invest in good shop management software.

Here, managers at four small bodyshops explain the real benefits of a management system.

S

hop management software designed specifically for the collision repair industry acts as a bridge between the estimating system and all other shop functions. It consolidates estimating data, organizes it into useful formats, and makes critical information available to guide business decisions.

Below, users of various management systems give five reasons why all shops should invest in one.

1. Know your profitability per job

“Anybody entering the industry today should have a management system of some capacity. There are too many variables and too many demands to properly job-cost without one,” says Cameron Watson, bodyshop manager of Pickering CARSTAR Collision, Pickering, Ont. When he joined this location two years ago, he was surprised that they were doing $2 million of business a year without a management system. Now, the 12-person business uses Mitchell International’s ABS software package.

“I consistently check sales-to-date and RO summary. I need to know, on every job I’m touching, am I hitting my numbers?” says Watson.

Franco Gabbato agrees that the greatest value of a management system is in knowing your profitability per job. Gabbato is vicepresident of Formula One Collision Centre in Windsor, Ont. His most-used report lets him monitor productivity by comparing the actual time for an operation with the time allowed by the estimating system.

Similarly, at Cascade Collision in Hinton, Alta., Jan Batovanja says one of the most common uses for her Summit software is job costing.

Another benefit is that it monitors work-inprogress, to help improve flow and cycle time.

2. Get a handle on parts management

At Formula One Collision, Gabbato uses ABW Tracker from Norgate Technologies.

He says parts ordering and receiving are two of the functions he uses most often.

Jen Stone, another user of Mitchell’s ABS system, also praises the system’s handling of parts. “It makes a parts list, produces work orders, generates final invoices, and reports on outstanding parts. The real benefit is that I don’t need other spreadsheets to track outstanding parts,” says Stone. “It also transfers [data] to our accounting system, so it saves considerable work.”

Stone is general manager of The Auto Shoppe in Camrose, Alta. The Auto Shoppe has been in business for about 30 years, and has 11 employees. It moved from Ohaton, Alberta, to a state-of-the-art 10,000 sq. ft. facility in nearby Camrose in 2007. With the business growing, “We’re trying to solidify one-step processes as much as possible,” she explains.

Batovanja at Cascade notes that the management system allows her to easily check discounts on all parts invoices.

3. Integrate front office functions

“The management system consolidates all areas of your administrative functions. It forms a bridge between estimating and accounting,” explains Batovanja, who is co-owner of Cascade Collision. “It makes your front office more efficient, and better able to control costs and scheduling.”

Cascade Collision has annual revenues of about $2 million, with 15 employees.

“I probably use less than 20 reports of the 150 or so that are available. We’ve recently upgraded our system, so I’m still finding out all its capabilities,” she admits.

The management system from Summit Software Solutions also keeps track of labour hours for technicians. At Cascade, some techs are on flat rate, while others aren’t, so the automation of this function saves Stone time, and cuts down on reporting tasks for the technicians as well.

“The guys appreciate the work orders,

because they itemize how the repair is to be done, in detail. With an estimating system, you can generate a work order and parts list, but it’s not broken down in enough detail to assign certain items to each technician,” says Stone.

She believes the threshold for this type of management system is about $1 million in annual revenue. “It’s an important tool if you have more than five or six employees on the shop floor.”

She suggests that a business would need a dedicated person in the front office to enter information and keep the management system up to date.

4. Have details at your fingertips

“The management system changed my business,” says Cam Akleh, owner of Pickering CARSTAR. “Now, I’m not constantly getting up to go look for information. It’s all right here, at my fingertips.”

A hailstorm in Pickering in July 2008 almost doubled Pickering CARSTAR’s repair volume overnight. Akleh is convinced he wouldn’t have made it through that busy period without a management system.

In Windsor, Franco Gabbato values the knowledge a management system gives him.

“The difference is that now we know our numbers — where our clients come from, how much business we do with each insurer.

It makes sure we’re organized.”

5. Boost your credibility with insurers

Mitchell’s ABS management system allows Stone to calculate her percentage profit on labour, which in turn gives her a better bargaining position for negotiations with insurers. “As soon as they see that we have a management system, they know we’re paying attention to the details.”

“I don’t think that any shop can afford not to have one,” says Batovanja. “So much of the data that you can track is so important to insurance companies.”

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2/10/09 11:01:39 AM

Do you know what your numbers are telling you?

A management system generates the numbers you need to run your business profitably, but also provides the insight you need to understand those numbers.

By Greg Horn, vice-president of industry relations, Mitchell International

T

he Greek mathematician Pythagoras said, “Numbers rule the universe.”

For those in partnership with insurers through direct repair program (DRP) agreements, that certainly rings true. Most of the shop owners I speak with are defensive when it comes to their performance data—especially when it comes to dealing with insurance company representatives coming into their shop with data in hand to discuss shop performance.

As a shop owner, you should know that data isn’t just a tool for insurers—it can be on your side too. You can also get a better understanding of your shop’s performance by taking a deeper dive into the data; it can help you better manage your DRP partners, and can also help increase profitability.

Ensure that you understand your data

For the past two years in Canada, new OEM parts utilization has risen. From the first quarter of 2006 through the fourth quarter of 2008, the percentage of parts dollars spent on new OEM parts rose from 71.8% to 76%, according to data collected by Mitchell International.

If your insurance partner uses this as a measurement of your performance, you should know how you compare to other shops in your province. How does your shop’s vehicle mix stack up against a direct comparison? More importantly, do you understand that this benchmark measurement should not be used as the sole measurement of parts use performance because of an inherent issue that surfaces when measuring percentages of dollars as part of a total?

Let’s take these issues one at a time. First, when using the percentage of anything, it is important to understand that when both variables change, the percentage will change as

well. When it comes to the measurement of parts data, this formula can yield some unexpected results.

To illustrate, look at the table below.

OEM parts $ Used (recycled) parts $ Total parts $ Recycled parts %

Scenario #1 Scenario #2 $800 $800 $200 $1000 20%

$100 $900 11%

Note that in Scenario #2, the bodyshop staff found a used part that cost half as much as the used part in Scenario #1. However, if this shop was measured on the percentage of parts dollars only, its recycled parts utilization would plummet from a respectable 20% in Scenario #1, to a mere 11% recycled parts utilization in Scenario #2. So if the focus is on measuring the percentage of parts dollars, executing Scenario #2 indicates “worse” performance even though this scenario results in a lower overall cost.

Understand your vehicle mix, and that of your competition

Another key factor you must completely understand is exactly how your vehicle mix compares to the data set your shop is being measured against. Taking a few simple things into account can help you understand this metric.

If you repair more high-end or European vehicles, you likely use fewer aftermarket collision parts or used parts. Higher-value vehicles tend to total out less often, minimizing their occurrence at salvage yards. Your vehicle mix — measured by vehicle type, model year, and nameplate country of manufacture — is an extremely important factor in the make-up

of repair data.

For example, if you repair more pickup trucks and SUVs than the provincial average, your paint and materials hours will be higher than the average. The higher the number of parts per estimate, the higher the overall cost of these parts will be, because the average front-end collision of a pickup or SUV in Canada requires the replacement of an average of 1.3 more per parts per estimate than for the average passenger car.

Tracking data is the key to profitability

So, how can analyzing your data help make your shop more profitable? Understanding where your profit comes from, according to your shop’s efficiency ratio (billed hours to actual clock hours), will show you where you need to make changes in your repair processes. A technician with a high efficiency ratio who replaces a part may actually be able to generate more work per day than if he or she spent the additional time to repair that part.

Times have changed in the collision repair industry, and the days of “We fix a lot of cars and figure out our profit at the end of the month,” are gone. It’s time for you to understand what the projected costs and profits for every job are when the job is in the shop — not after it has left and you can’t change a decision whether to repair or replace. It is vital to understand and maintain profitability and timely product delivery (or work product) by source, make, technician, severity, and estimator. This will help you weed out inefficiency on a number of levels, and will help you make the most profitable repair-versus-replace decisions.

So if “Numbers rule the universe,” using numbers to improve your business is a big step in mastering your universe.

B www.bodyshopbiz.com l February 2009 l Bodyshop 21

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2/10/09 11:02:02 AM

equipment

Spray booths slow down to save money New spray booths have a number of features that lower operating costs by reducing energy demand and precisely controlling temperature and time for the bake cycles.

By Cindy Macdonald, editor

S

pray booths aren’t the energy hogs they used to be. Advanced programming options mean temperature and cure times can be controlled more precisely, while variable frequency drives reduce motor speed whenever possible.

In these colder winter months especially, those energy savings can have a welcome effect on the bottom line.

Slow down when not spraying

One option offered by several manufacturers is an economy mode that kicks in when the spray gun goes off.

In Global Finishing Systems’ Eco Ultra Plus 1 booth, the controller automatically switches to economy mode when the operator in the booth has stopped spraying. Economy mode reduces energy and gas usage while the operator is not spraying, then switches back to regular operation when spraying resumes. The company calculates that this function can save up to 60% in power usage and up to 75% in fuel.

Tecor’s Conserve System has a similar idle mode, whereby the booth is operating at about 20-40% of the normal CFM used for spray-

ing. The system remains in idle mode during set-up, final prep, and between coats, until the painter begins spraying. When the operator is finished spraying, the airflow remains at a higher volume for a predetermined amount of time to purge the booth before returning to idle mode.

Nova Verta offers a Prep Cycle operating mode, which optimizes booth conditions while final masking and tack-off is performed. Using a variable speed drive, this cycle warms the air and recirculates it through the booth. The company estimates this can generate monthly utility savings of 35% when compared with competitive systems.

These reduced airflow modes rely on variable frequency drives (VFDs) — a type of variable speed drive. VFDs are used to improve the efficiency of motor-driven equipment, such as booth exhaust fans, by matching motor speed to changing load requirements.

According to the federal Office of Energy Efficiency, motor-driven centrifugal pumps, fans, and blowers offer the most dramatic energy-saving opportunities for VFDs. Many of these operate for extended periods at reduced load with flow restricted or throttled.

With variable-speed drives, the ability to adjust motor speed enables closer matching of motor output to load and often results in energy savings.

For spray booths, a VFD also eliminates the need for a damper in the exhaust duct. Instead of choking off the airflow with a damper, the VFD simply slows down the motor.

For example, according to the Double spray booths from United Spray Booths Ltd. at Heartland B&B Collision Centre in Mississauga, Ont.

manufacturer, a USI Chronotech booth with 15 hp motors and VFDs generates 20,500 cfm, but consumes less energy than a conventional 10 hp booth that generates 13,000 cfm with no VFDs.

Precise control minimizes waste

Programmable controllers also increase booth efficiency by matching the specific temperature and timing needs of each coating. To make sure the booth achieves these targets precisely with no waste, Global Finishing Systems’ Logic controller can be pre-programmed for each user’s specific paint profile. Called SmartCure, this system can increase productivity by using specific cure cycle profiles for each specific brand and type of paint. The pre-programmed cycles allow for simple, one-touch operation and consistent curing results from job to job.

On Garmat spray booths, the Quik-Cure option is said to shorten bake cycle times.

Quick-Cure uses a multi-stage timer that enables different settings, depending upon the paint manufacturer’s requirements.

The Termomeccanica Sprintek booth, available from Equipments Filco Inc. in Canada, also uses PLC control technology and variable speed drive motors to minimize energy costs and increase productivity.

The variable frequency drive system works in conjunction with an automatic pressure sensor inside the Sprintek booth, which allows the motors to slow down or speed up as programmed and adjusts the direct-flame burner as well. This reduces operating times, gas consumption, and electrical usage.

As the example of the USI Chronotech booth shows, with advanced controls and variable frequency drives, a newer booth may perform better with lower operating costs than an outdated spray booth.

B

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BS Vec/Soft/Spray/ICAR 18-24 .in23 23

2/10/09 11:02:31 AM

i-car tech update

Twists on hybrid-electric vehicle technology W

ith the cost of gasoline rising on a regular basis, the development of alternative-fuelled vehicles is increasingly important. Gasoline-electric hybrids remain the most common type of production alternative-fuelled vehicles available, at least in North America.

For the most part, gasoline-electric hybrids have remained unchanged since the introduction of the Honda Insight in 1999 and the Toyota Prius in 2000. Now, some gasolineelectric hybrids are featuring a twist on conventional hybrid system technologies. Two examples are the two-mode hybrid system, and the belt alternator/starter (BAS) hybrid system.

To provide complete and accurate repairs, it is important that all collision industry professionals involved with the repair of these vehicles keep current with new vehicle technology. More importantly, understanding how these systems operate can help ensure working conditions that are as safe as possible.

Two-mode system

The two-mode hybrid system is a joint development by GM, Chrysler, Daimler, and BMW. This system is currently available with the 2008 Chevrolet Tahoe Hybrid, GMC Yukon Hybrid, and 2009 Cadillac Escalade hybrid vehicles. The 2009 Chrysler Aspen Hybrid and Dodge Durango Hybrid feature Chrysler’s versions of the system. BMW has introduced a Sport Activity Coupe concept vehicle, the X6, featuring the two-mode hybrid system.

Two-mode is actually a variant of Toyota’s combination hybrid system, where propulsion can be delivered either by the internal combustion gasoline engine, the electric drive motors, or both. The term “two-mode” refers to the two different variations in propulsion when travelling at low speeds, such as city driving with light loads, and at higher speeds or when hauling heavy loads.

Automatic transmission technology is used to shift between the modes much like a constantly variable trans2 mission. Within an automatic transmission housing are two 60 kW electric motors/generators (compared to a large motor and a smaller motor with other combination hybrids), three planetary gearsets, and four sets of clutches (see Figure 1). A 300-volt nickel-metal-hydride (NiMH) battery pack is used to store and provide highvoltage electrical energy.

At low speeds with lighter loads, propulsion comes from 1 Figure 2. (above) Saturn Vue the electric motors. The inGreen Line Hybrid vehicles use a ternal combustion engine can belt alternator/starter type start/ restart instantly if needed. In stop hybrid system. this mode, one of the electric Figure 1. (left) The GM two-mode motors acts as a generator, hybrid system has two electric while the other operates as a motors/generators incorporated motor. At higher speeds such as highway driving, or under into the transmission.

heavier loads, the internal combustion engine provides the vehicle propulsion.

Belt alternator/starter system

GM introduced a hybrid system called belt alternator/starter (or BAS) in the 2007 Saturn Vue Green Line Hybrid (see Figure 2). This system is also available on the 2008 Saturn Aura Hybrid and the 2008 Chevrolet Malibu Hybrid. Like the start/stop system feature on most hybrid-electric vehicles, the BAS system shuts down the engine when the vehicle comes to a stop and instantly restarts it when the brake pedal is released.

With the BAS system, the alternator is replaced with a belt-driven electric motor that is connected to the crankshaft via a special drive belt. The motor serves as both a generator and motor. The electric motor only provides assist to the IC engine during acceleration, and therefore is considered a mild hybrid system.

The BAS system fits in the same space as a conventional engine. No modifications to the conventional model chassis were required.

Conclusion

More information on the new model hybrid vehicles is available in a new I-CAR Live training program, Hybrid Electric And Alternative Fuel Vehicles (ALT02). The program covers protecting yourself and others when disconnecting high voltage on hybrid electric vehicle applications; avoiding costly mistakes; damage analysis on hybrid electric vehicles; being able to identify and work safely around CNG and propane-fuelled vehicles; and an overview of plug-in electric and fuel cell-powered vehicles.

B This article first appeared in the I-CAR Advantage Online, which is published and distributed free of charge. I-CAR, the Inter-Industry Conference on Auto Collision Repair, is a not-for-profit international training organization that researches and develops quality technical education programs related to collision repair. To learn more about I-CAR, and to subscribe to the free publication, visit www.i-car.com.

24 Bodyshop l February 2009 l www.bodyshopbiz.com

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2/10/09 11:02:49 AM

products

GM approves PPG clearcoat and surfacers General Motors has approved PPG’s new D8152 Performance + Glamour clearcoat and the DLV800X series of achromatic primer surfacers for worldwide use in warranty refinish repairs. The two products, part of the PPG Global Refinish System, meet GM’s demanding quality standard known as Specification GMW15406.

“GM dealers and their authorized repair and refinish facilities will be able to use these coatings for warranty work with the confidence they’ll be able to deliver a finish comparable in appearance to the original OEM vehicle finish,” says Kevin Loop, PPG OEM business development manager.

D8152 clearcoat is designed for use over Global BC and Envirobase High Performance waterborne basecoats and is a complement to D8150 Global Performance Clearcoat. This world-class clear has been specifically developed for exceptional gloss, ease of application, easy buffing, and exceptional holdout. It is suitable for luxury cars and any project that demands ultimate high gloss finish.

The DLV800X series consists of three premium-level achromatic surfacers — white, black and grey — that can be mixed to achieve the desired grey tone. These surfacers offer excellent adhesion, film build, surface levelling, and gloss holdout over a wide range of substrates.

PPG Automotive Refinish, 800-982-9518, ppgrefinish.com

Waterborne toners won’t freeze ChemSpec USA now offers the Hydrolux waterborne basecoat system. One of the distinguishing features of this waterborne system is that the toners are not affected by freezing temperatures, making the system easier to handle during winter months.

The high-performance toners are capable of matching 140,000 international car colours and are fully integrated with EasiMix Professional mixing bank software and the 12,000 colour swatches from ChemSpec’s Metalux2 Refinish System.

ChemSpec USA Inc., 800-328-4892

www.bodyshopbiz.com l February 2009 l Bodyshop 25

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2/10/09 10:58:04 AM

products

Tough, non-marring pry tools

Re-engineered compressors reduce energy costs Atlas Copco has re-engineered its range of small GA compressors, 15-40 hp GA+/GA VSD, in order to provide greater energy savings through a combination of world-class Free Air Delivery (FAD), increased efficiency, a smaller compressor footprint, and lower noise levels.

Atlas Copco’s engineering breakthroughs have increased FAD from 7 to 17% over previous GA models and from 9 to 24% for the GA VSD. A user-friendly, new-generation controller operates every model to ensure maximum energy savings and correct servicing intervals. Energy consumption can be reduced even further in the full-feature version by integrating the dryer in the unit.

The GA 20-35 hp VSD provides further energy savings of up to 35% through use of a variable speed drive. The improved VSD is less sensitive to dust, more energy-efficient, and very reliable due to optimized cooling circuits.

Atlas Copco, atlascopco.com

✂

Snap-on’s five-piece non-marring pry tool set (PBN500) can perform many different jobs in the shop while greatly reducing the possibility of damaging work surfaces.

“Our new pry tool set is ideal for service technicians when removing moulding clips, power seat and window buttons, and gaskets, as well as many other popular applications,” says Bryan Hantke, product manager for Snap-on.

“Each tool in the set features a handle with a crown that can be tapped into place to allow techs to insert the working end in tight places.”

The non-marring pry bars are made of glass-filled nylon and moulded for ideal strength and flexibility.

Snap-on Canada, 877-SNAPON, snapon.com

Audatex launches next-generation business intelligence platform Audatex Insight is a robust, Web-based analytical tool that makes it easier than ever for users to monitor, measure, and manage their automobile insurance claims performance within a customizable visual platform.

Aimed at the automobile claims processing industry, Insight’s accessibility to data and analysis breaks down the barriers seen with traditional business intelligence solutions that require undue IT involvement.

Its powerful visual interface features interactive dashboards, graphs, maps, and tables that enable users to instantly access information across multiple dimensions.

Audatex, 800-237-4968 audatex.us

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26 Bodyshop l February 2009 l www.bodyshopbiz.com

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2/10/09 10:43:14 12:28:58AM PM 2/10/09

3:14 AM

photo file

Automotive Internet Directory Visit these companies directly at their web addresses or check out the growing list of Hot Links at www.autoserviceworld.com.

To find out how your organization can be included in this directory and on the web, contact Brayden J C Ford 416-510-5206

AUTOMOTIVE PARTS & ACCESSORIES

HAND CLEANERS

Goodyear Engineered Products www.goodyearep.com/aftermarket www.goodyearbeltsandhose.com The officially licensed belt of NASCAR. Gatorback, the quiet belt.

You can never replace Goodyear quality.

NGK Spark Plugs Canada Limited www.ngksparkplugs.ca The World Leader in Spark Plugs, Oxygen Sensors and Ignition Wire Sets.

Used by 87% of the World’s OE Manufacturers S.B International Inc. www.sbintl.com “We keep engines humming”

GOJO Industries, Inc. www.automotive.gojo.com GOJO is a leading manufacturer of skin care products and services for many marketing including automotive and manufacturing. GOJO continues to pursue a commitment of creating well-being through hand hygiene and healthy skin.

LUBRICANTS & ADDITIVES Empack/emzone Automotive Care & Maintenance www.emzone.ca The high performance emzone product line is specially formulated for your detailing and maintenance needs. For maintenance: Lubricants, Brake Cleaners, Degreasers, and Coatings. For detailing: Glass Cleaners, Carpet Foams, Tire Shines and Auto Fresh.

ZEX AC Compressors Division of Mister Starter

www.misterstarter.com Remanufactured/New A/C compressors and Turbochargers/Superchargers for complete line of cars and trucks, DOMESTIC & IMPORTS. Custom Rebuilds also available for your needs.

COLLISION REPAIR Masters School of Autobody Management www.masters-school.com Masters offers a number of education programs and implementation follow-up programs designed to take bodyshops to the next level of success.

EDUCATION AND TRAINING

REFRIGERANT Duracool Refrigerants Inc. www.duracool.com Nationally Distributed by: Deepfreeze Refrigerants Inc. The Leaders in Hydrocarbon Refrigerant Technology Guaranteed In writing not to harm any Mobile A/C System You can feel the Difference that Quality Makes “Our Formula Never Changes”.

Empack/emcool Refrigerants www.emcool.ca The innovative, environmentally friendly emcool product line of Refrigerants, Stop Leak, Kits and Accessories offers superior performance and value. Our quality products are specifically designed for the maintenance and repair of mobile A/C systems.

CARS COUNCIL www.cars-council.ca Smarter hiring, better personnel assessment, and training accessible 24/7. We are the CARS Council, a not-for-profit organization, delivering tools developed by industry for industry. www.cars-council.ca

TOOLS & EQUIPMENT AIR LIQUIDE CANADA INC. www.airliquide.ca Your one-stop shop for all your industrial gases and welding supplies.

Genius Tools

www.geniustools.net Genius Tools provides a complete line of hand tools, as well as power tools, tool storage, and other solutions for the toughest jobs in automotive and industrial markets.

Premium quality at competitive prices.

Rotary Lift

www.rotarylift.com World Leader in Lift Productivity

WAREHOUSE DISTRIBUTORS & BUYING GROUPS Automont Distributions Inc. www.automont.com Importer & Wholesale Distributor of German, Swedish and Asian Auto Parts.

Bestbuy Distributors Limited

advertiser index Akzo Nobel/Wanda

www.wandarefinish.com

29

Akzo Nobel

www.akzonobelcarrefinishes.net

9

DuPont Performance Coatings

www.cromaxpro.dupont.com

5

Eurotech Spray Products/SATA

www.satacanada.com

32

Fix Auto

www.fixauto.com

11

Flat Line Spraybooth Specialists

www.flatlinessi.com

25

Global Finishing Systems

www.globalfinishing.com

14

H&S Autoshot

www.hsautoshot.com

VOCcompliance.com

www.VOCcompliance.com

PPG Canada

www.PPGrefinish.com

Rondex Ltd.

www.rondex.ca

Standox

www.standoxna.com

19

Collision Solutions Network

www.csninc.ca

31

6

www.bestbuyautoparts.ca Independent buying group and warehouse distributor that allocates its profits to member shareholders and provides unbeatable value for Independent Jobbers.

The E.R.I. Group www.theerigroup.com Canada’s Premier Machine Shop Buying Group

17 2, 23

Kerr Machine Shop Group Inc.

16

www.kerrmachineshopgroup.com Buying group for machine shops and performance shops.

www.bodyshopbiz.com l February 2009 l Bodyshop 27

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2/10/09 10:58:41 AM

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CCIF Toronto Heartland B&B Collision grand opening

Almost 250 people came out for the CCIF meeting in Toronto on Jan. 24. Read more about the meeting on page 10.

The owners of Automacs Collision have opened a second location in Mississauga, Ont.: Heartland B&B Collision. The shop hosted an open house evening in November to officially launch the business. Co-owner Adrian Ignolia says the location will be a high-volume, high-end collision centre. “Because of the size of this facility, we have the ability to move cars through very quickly.” The facility has two paint booths and a large enclosed prep area. It uses BASF’s Glasurit 90 Line waterborne paint system.

Supreme Collision Centre opening celebration

Supreme Collision Centre has opened a fourth location in Bolton, Ont. Friends and neighbours were invited to celebrate the opening in November.

Collision Solutions Network reception

CSN hosted an evening reception for friends and associates on Jan. 23 in Toronto, to coincide with the CCIF meeting the following day.

28 Bodyshop l February 2009 l www.bodyshopbiz.com

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2/10/09 10:59:16 AM

Wanda is looking Smarter and Smarter these days.

There’s no better time than now to make the Smart Choice.

In a challenging economy, you need to make the right choices for your business.

Wanda can help make one of those choices easier. An efficient, complete automotive refinish system, Wanda offers great value without sacrificing quality. With excellent color match, an extensive range of up-to-date color formulations, ColorPro- our advanced color retrieval program, durable, simple to use products and less stocking inventory - it’s hard to find a better value. Getting back to basics never looked so good.

It’s no wonder that, when the going gets tough, the Smart Choice is Wanda.

For additional information, visit us at

www.wandarefinish.com

BS Prods/Inter/Photo 25-29 .indd29 29

For distribution information call 877-745-5959 or email info@carsystem.ca

2/10/09 10:59:32 AM

from the publisher

Green times three Whether you believe that Environment Canada will stick with the 2010 low-VOC date to get your waterborne house in order, or think that it will push the enforcement date a little downstream of that, there is no doubt that you will be greener in a year’s time than you are today.

Green: The First Kind

Every shop owner in Canada knows a lot more about the low-VOC conversion world than he did even a few months ago, and, if he has given a supplier a chance, he also knows that it isn’t nearly as tough or expensive to do as he had thought.

Now, it is beginning to look like paint suppliers are going to stick with the 2010 stop-sell date affecting solvent-borne products, whether or not the government can hold the line on enforcing it. The economic imperatives really make it unrealistic to expect suppliers to support two parallel refinish systems.

Which means your shop environment will surely be a greener place come 2010.

Green: The Second Kind

Because the economy is challenged, the options of young people looking for work may be severely limited.

This will lower their expectations a little bit, and if a few more of them decide that they can make a stable living in an entertaining and fulfilling role within the collision industry (or perhaps another part of the automotive aftermarket), then you’ll have more “green” employees than ever. And, let me state for the record, that is a good thing.

People still get involved in this industry because they like cars. And, since jobs at the assembly plants are looking to be in short supply, there exists the potential to bring more young people into our industry. You’ll have to be prepared to bring them onboard properly, and to avoid some of the pitfalls that befall so many young apprentices in terms of how they are treated and trained on the job. But it is absolutely worth it.

You may need to accept that they have some different attitudes than you are used to, not the least of which may be some of their fashion choices. Leave your own prejudices out of it. Judge in the context of what is acceptable today and by the quality of their work. Your new green-haired employee may be a hit with customers, especially the younger ones.

Green: The Third Kind

You will have to try very hard not to be more successful at the end of 2009 than you were at the beginning.

With the long arm of the economy reaching into people’s pocketbooks, and affecting your insurance partners too, everyone in the repair equation is more inclined than ever to repair rather than replace that damaged vehicle.

And as people make that choice to keep their current vehicle, it also provides an opportunity for you to suggest smaller repairs that will keep it looking better for longer. True, the end-of-lease bumper-scuff business may decline, but the right approach can bring those dollars into your shop instead of ending up with the mobile scratch-and-dent business.

Add to that the possibility that at least a few dealerships will close, and the slice of the pie that you can command in your community may just get a little larger too.

While 2009 promis es to present its challenges, they are the kind of challenges this industry has become very good at handling. It is one of the few sectors that can look forward and smile. It’s enough to make some others green with envy.

B Andrew Ross aross@bodyshopbiz.com

30 Bodyshop l February 2009 l www.bodyshopbiz.com

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SATA® - RPS™ - Rapid Preparation System

Making A Splash A Clean, Clear Solution.

The SATA RPS is making a splash on the Spray Industry

• Three uses: mixing, refilling and storage • Two sizes: 0.6 L and the NEW 0.9 L • One waterborne-ready system for everything you need in a cup

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5/29/08 12:31:07 PM 2/10/09 10:55:17 AM