SPECIAL REPORT: MANITOBA’S INDUSTRY IN FOCUS
THE BEST ESTIMATE
It can make or break you.
DUE DILIGENCE
An uninsured contractor may be your responsibility.
Distinctive
TECH DRIVEN
TOUCH
Inside the BMW Certified Conference.
Rick Hatswell and Craftsman Collision have created a luxury brand within a brand. NEWCT
PLUS
PRODU
New products at NACE,
Dave Miller is a champ in the shop and on the water and repairers hit the links for charity.
Volume 12, Number 5
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October 2013
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$4.95
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Canada Post Canadian Publications Mail Sales Product Agreement No. 40841632 l 86 John Street, Thornhill, ON L3T 1Y2
Automotive Finishes
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CONTENTS
On The cover 40 top tier target Rick Hatswell and Craftsman Collision go high-end with a luxury brand.
Volume 12 Issue 5, October 2013
features
64
28 reader viewpoint Our readers weigh in on training, parts and social media. 45 NACE PReview The best of the expo, Canada Night and more! 58 High goals CARSTAR “Elevates” at annual national conference in Lake Louise, Alta. 61 Manitoba focus Repair professionals on the latest Health of the Industry report. 67 Estimating for profit Tips on writing the best estimates.
Numerous safety issues surround hybrid and full electric vehicles. Do your technicians have the training to stay safe?
70 Riding the wave Dave Miller of Fix Auto Abbotsford brings athletic lessons to business. 73 SEMA Show floor SEMA brings the heat with cool gear.
50
Inside the world of the Certified Collision Repair Centre at the BMW Conference.
Chris Castagna has answers for repairers at BMW Group.
NEWS 06 COLLISION REPAIR 77 Towing & Recovery 81 RECYCLING
53
departments 04 Publisher’s page by Darryl Simmons Training is a daily habit. 32 Who’s driving? by Jay Perry Smooth operations.
SPECIAL REPORT: MANITOBA’S INDUSTRY IN FOCUS
THE BEST ESTIMATE
On the Cover: Rick Hatswell of Craftsman Collision.
34 Point Blank by Sam Piercey Take a stand.
Photography by: Gregg Eligh, elighphoto.com
36 Prairie view by Tom Bissonnette Hands-on autobody.
It can make or break you.
DUE DILIGENCE
An uninsured contractor may be your responsibility.
Distinctive
TECH DRIVEN
TOUCH
Inside the BMW Certified Conference.
Rick Hatswell and Craftsman Collision have created a luxury brand within a brand.
PLUS
NEWCT
PRODU
New products at NACE,
Dave Miller is a champ in the shop and on the water and repairers hit the links for charity.
Volume 12, Number 5
l
October 2013
l
$4.95
l
Canada Post Canadian Publications Mail Sales Product Agreement No. 40841632
l
YOUR ONLINE SOURCE
Canada’s collision repair information resource. New articles and top news stories daily. Visit www.collisionrepairmag.com.
38 health & Safety by Matt Gibson Are your contractors insured? 39 view from the top by Dick Cross Moments of truth.
86 John Street, Thornhill, ON L3T 1Y2
COLLISIONREPAIRMAG.COM
HAVE YOUR SAY. We welcome your comments on anything you see in Collision Repair magazine. Send your feedback to editor@collisionrepairmag.com.
88 Recycling by David Gold Parts utilization. 90 Last word by Mike Davey Reducing premiums.
october 2013 collision Repair 03
publisher’s page
traintoday The right time is always now. By Darryl Simmons
T
raining may be the single most important thing you can do, and it’s time we made it a daily habit. We all know that the days when a technician’s skills would last an entire career are long over. Accelerating technological development requires that we stay with the times. This is a matter of public safety as much as it is a matter of remaining competitive. The shops who can and do invest in training are the ones most likely to survive for the long term. This isn’t just a case of being able to repair the vehicles that come through your door. That’s a basic condition of being in business. Another major
Sourcing training has never been easier than today. Trainingmatters.ca is a comprehensive guide to the world of collision repair training, with course listings for every aspect of shop production, efficiency and management. Make a commitment to yourself to swing by every day and see what is being offered. Look at a different aspect of operations every day, and see what courses are available to help you go farther and do it better, faster and cheaper. There is at least one other step you can take to help protect your business, and that’s the step outside your front door. Attending NACE, SEMA, professional conferences and the new CCIF will help
PUBLISHER DARRYL SIMMONS (905) 370-0101 publisher@collisionrepairmag.com general manager Ryan Potts ryan@mediamatters.ca EDITOR MIKE DAVEY editor@collisionrepairmag.com ART DIRECTOR DANIELA LUBERTO daniela@collisionrepairmag.com Assistant eDITOR ANDREW ARDIZZI andrew@mediamatters.ca COLUMNISTS DAVID GOLD, dick cross, JAY PERRY, Matt Gibson, SAM PIERCEY, TOM BISSONNETTE VP INDUSTRY RELATIONS GLORIA MANN (647) 998-5677 advertising@collisionrepairmag.com VP special projects bill begin (613) 360-9165 bill@mediamatters.ca Marketing Assistant WILL JACQUES will@mediamatters.ca
sourcing training has never been easier than today. benefit of training is safeguarding your business against liability. None of us likes to imagine the carnage that can result when an improperly repaired vehicle winds up in another collision, but it’s something we need to keep top of mind. This isn’t just a matter of public safety, important though that may be. It’s about the safety of your business. One serious lawsuit that finds your business at fault might mean that you don’t have a business anymore. Even fighting a legal battle where it turns out you’re not at fault can significantly drain your resources. The other side of the coin is training for yourself and other management staff. Neglecting your own training can also be dangerous for your business. True, nobody is going to die if you don’t know the latest methods to maximize shop efficiency. The danger is to the business itself, not the customer. If you’re not taking advantage of management track training, you can rest assured that your competitors are.
you to do what you do better. You’re also helping the whole industry to move ahead. A strong tide raises all boats. The closer we stand together, the more we can accomplish. Smart repairers, managers and owners such as yourself know the value of taking the time to attend. Just as with training, you know this helps keep you ahead of your competition. You and like-minded others will be the ones who lead the industry, the ones who work together and lobby the government for positive change. Those things will happen with or without us, but it’s much better to be part of the solution than to add to the problems. Being part of the conversation is essential. CRM
04 collision Repair collisionrepairmag.com
Interns Avi Patel, Sanam Yar SUBSCRIPTION One-year $29.95 / Two-year $55.95 Collision Repair™ magazine is published bi-monthly, and is dedicated to serving the business interests of the collision repair industry. It is published by Media Matters Inc. Material in Collision Repair™ magazine may not be reproduced in any form with out written consent from the publisher. The publisher reserves the right to refuse any advertising and disclaims all responsibilities for claims or statements made by its advertisers or independent columnists. All facts, opinions, statements appearing in this publication are those of the writers and editors themselves, and are in no way to be construed as statements, positions or endorsements by the publisher. PRINTED IN CANADA ISSN 1707-6072 CANADA POST CANADIAN PUBLICATIONS MAIL SALES PRODUCT AGREEMENT No. 40841632 RETURN POSTAGE GUARANTEED Send change of address notices and undeliverable copies to: 86 John Street Thornhill, ON L3T 1Y2
We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage.
Collision Repair magazine is published by Media Matters Inc., publishers of:
Trainingmatters.ca T H E T RA I N I N G P O RTA L F O R C O L L I S I O N R E PA I R
magazine
ORDER WITH CONFIDENCE, WITH BMW GROUP’S ONLINE PARTS SALES SUPPORT. Ordering made simple. Parts Sales Support, or PaSS, offers you the opportunity to order Original BMW and MINI Parts quickly, simply and in line with your needs, online. Benefits: • Instant price quotes.* • Instant access to product availability.* • Order parts when you need them, 24 hours a day, 7 days a week.* • Access BMW and MINI’s Electronic Parts Catalogue for magnified views of each part. • Service Repair Packages (SRP) search function conveniently bundles all parts required for specific repairs. • Free sign-up. Participation open to select service and repair centres only. Conditions apply. For more information, please consult your BMW or MINI Retailer and visit www.pass.bmw.com.
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the front end
People on the move Mitchell has announced that Sinh Quan has joined the Canadian division of Mitchell International as the company’s Senior Technical Manager. Prior to joining the company in July 2013, Quan spent 12 years working with MPX Data Systems. Quan has been given the task of helping collision repair shops get the most out of their Mitchell software. The Automotive Industries Association (AIA) of Canada has Sinh announced the apQuan. pointment of Leanne Jefferies to the position of Director, Collision Programs. She will play a key role in the organization and administration of the Canadian Collision Industry Forum (CCIF), which will be officially run by AIA starting in January 2014. Bill Begin has joined Media Matters, publisher of industry-leading magazines, websites and e-zines Collision Repair, Collision Quebec and Canadian Auto Recyclers. Begin is the former Publisher of APT (Automotive Parts and Technology) and co-founder and past Publisher of Canadian Bill Begin. Technician. One of his first projects is our Training Directory, located at Training Matters. ca, the industry’s only comprehensive index of training available in the country. Begin can be reached by email at bill@ mediamatters.ca. Transtar Autobody Te c h n o l o g i e s h a s announced the promotion of Mike Westrick to the position of VicePresident and General Mike Manager and the apWestrick. pointment of Jeremy VanAlstyne to the position of Vice President of Sales. Westrick now has overall responsibility for manufacturing, marketing, technical/customer service, finance, information technology, research and development, national accounts and purchasing. VanAlstyne, in his role as VP of Sales, is responsible for U.S. Domestic, Canada and International sales.
D a n a ’s C o l l i s i o n C e n t e r ~ CSN h a s announced the promotion and appointment of Corey Etheridge to the facility’s management team in the role of Store Manager. Corey He will join Opera Etheridge. tions Manager Shellie Andrews as part of Dana’s Collision Center/CSN Management team, to help the company achieve its goals moving forward. Rick Tong has been appointed to the position of Territory Manager for the GTA west region in Ontario for Uniparts O.E.M. Tong brings to his new position a solid understanding of the industry Rick Tong. with over 35 years of extensive experience. Managing the GTA west market, his focus will be to build strong relations and grow the OEM wholesale parts business. Fix Auto Canada has announced the appointment of Daryll O’Keefe as General Manager for Fix Auto Ontario. Fix Auto Canada has also announced that Athena Hilts now holds the position of Director of Strategic Initiatives with the network. O’Keefe has been engaged in the collision repair industry for more than 20 years, working with a major coatings manufacturer. O’Keefe Daryll O’Keefe. brings a proven record of growth and will focus on the development and growth of Fix Auto Ontario. He can be reached at dokeefe@fixauto.com or 416-617-8044. Athena Hilts has been a member of the Fix Auto team since 2002. Most recently Hilts held the position of Managing Director for Fix Auto Ontario, Alberta and Atlantic Canada. Hilts will work closely with Steve Leal, President of Fix Auto Canada, on strategic initiatives for the national network Athena Hilts. and the implementation and execution of various national projects. Hilts can be reached at ahilts@fixauto.com or 647-282-0086.
06 collision Repair collisionrepairmag.com
Boss, the robot you built is trying to KILL US!
I’m more concerned about what this is doing to our cycle time.
Look at it logically. Either we survive or the robot kills us. In the second case, we won’t have any worries about anything. We’re going to have a lot of work to catch up on if we live.
THAT’S YOUR MAIN CONCERN?!
I’d consider building a robot boss, but honestly, how would I tell the difference?
GET CONNECTED!
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global view
Will state farm bring partstrader to canada? Insurer-mandated parts procurement programs are part of the collision repair landscape. The programs differ from one insurer to the next, but the common feature is that the insurer pays the parts supplier for the parts directly. Here in Canada, most of the discussion has focused on the Intact program. However, in the U.S., it’s State Farm’s PartsTrader that has generated the most controversy. After testing it in a number of markets in the U.S., State Farm is now ready to take it nationwide. No plans have been announced for introducing the program to Canada at the present time, but there’s also no reason to expect that the program won’t make its way here eventually. George Avery has been State Farm’s spokesperson to the collision industry since 2005. He started his career in the auto claims economy as a technician and painter in California. When he joined State Farm, it was as an auto estimator, estimator trainer, auto claim representative and an auto claims instructor. We recently had a chance to ask Avery a few questions regarding the PartsTrader program. Collision Repair magazine: The program is now being rolled out on a national scale in the U.S. after tests in various markets.
What changes, if any, were made to the program based on the results from test markets? George Avery: There were 11 software updates made as a direct result of input from the repairers in the test area. We appreciated Select Service repairer’s willingness to help make the process better. CRM: When will we see this program come to Canada? GA: We will continue to evaluate our rollout in 2014. We can’t give any firm dates at this time, or confirm that the program will run in Canada. CRM: Will State Farm “grade” shops based on the parts they choose to use in repairs? For example, if a shop prefers to avoid aftermarket parts and elects to use OE at higher cost, will this affect their relationship with State Farm? GA: State Farm has an existing policy of not using aftermarket outer plastic and sheet metal parts in repairs. The State Farm Repairer Performance Management tool evaluates overall repairer performance relative to quality, efficiency and competitive price. Repairers are free to make decisions on part type, part supplier, and price they charge on individual repair jobs that they feel results in their best overall performance.
CRM:How much does State Farm expect to save on parts in the first year of the national rollout? GA: State Farm spends about George $3 billion in Avery. part costs each year. The intent is to introduce competition, efficiency and transparency to the parts ordering process. Any savings realized in the future could benefit our shared customer in the form of lower premium costs and fewer total losses. CRM: Shops are allowed to use their preferred parts suppliers under the PartsTrader program. How will this work if those suppliers elect not to participate in the program? GA: Only repairers can invite suppliers to join the program so parts can be ordered electronically. If the repairer’s preferred supplier elects not to participate in the program, a participating supplier must be used to comply with the Select Service Agreement. For more information on PartsTrader, please visit partstrader.us.com.
Uni-Select to eliminate more than 600 jobs in U.S. Uni-Select has announced a restructuring of its U.S. operations. More than 600 positions will be eliminated as a number of stores and distribution centres are closed or sold. The move is expected to save the company $30 million a year. The changes are the result of a formal review of strategic alternatives initiated in April 2013 to unlock additional value for Uni-Select shareholders. A statement from Uni-Select says the Board of Directors considered a full range of strategic alternatives and has concluded that an internal strategic and operational plan, centered on the U.S.
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08 collision Repair collisionrepairmag.com
automotive operations and designed to significantly improve profitability, is the best way to maximize shareholder value. The company remains committed to the U.S. and Canadian automotive aftermarkets and expects to grow its presence in both the mechanical and collision repair sectors. Over the past ten years, Uni-Select has expanded significantly, completing over 70 acquisitions. This expansion has allowed the company to increase its activities, improve its product offering, enhance its geographical presence and strengthen its operations. However, a statement from the company notes that this means Uni-Select’s network needs to be optimized to eliminate some redundancy. The Action Plan developed is the result of a comprehensive review of Uni-Select’s distribution operations. The Action Plan encompasses a major optimization of the U.S. distribution network and includes a number of operational improvements which together are expected to improve profitability. Highlights of the Action Plan include closures, divestitures or consolidations involving 48 stores to exit areas with less potential and the closure of 12 distribution centres. Uni-Select will optimize its distribution network with a focus on large distribution centres, and has indicated that two regional distribution centres will be opened. Implementation of the Action Plan is in progress and completion is expected in late 2014.
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CSN 1st Atlantic Date Night
CSN 4th Annual Ontario Date Night
April 18, 2013 Petrie’s Halifax Feast Dinner Theatre, Halifax, N.S. For the first time ever, CSN Collision & Glass invited insurance adjusters, industry partners and their dates to join the CSN shops in Atlantic Canada to enjoy cocktails, dinner and a special performance of Two & A Quarter Men.
May 7, 2013 Cineplex Odeon Theatre, Mississauga, Ont. CSN hosts a night out for guests and their dates to enjoy good food, good company and private screening of The Big Wedding. Over 140 guests attended, including insurance adjusters, CSN shops and other industry representatives!
CSN Organizes Insurance Adjuster Tours Insurance Adjuster Tour at 427 Auto Collision ~ CSN, Toronto, Ont. CSN Collision & Glass believes in education! CSN welcomes insurance partners and adjusters to take part of full day educational tours of CSN facilities all across Canada.
CSN 7th Annual Golf Tournament Raises Funds for Make-A-Wish Canada May 29, 2013, Piper’s Heath Golf Club, Milton, Ont. CSN Collision & Glass held its 7th annual Golf Tournament and donated $10, 000 to the Make-A-Wish Foundation to help make a difference in the lives of children!
CSN Delivers CSN – Ice Cream! Insurance Visit in Ontario Region CSN cools off a hot week at the insurance offices with a Dickie Dee style cart and CSN branded ice cream treats!
CSN Hosts Insurance Training Sessions
CSN Becomes Official Sponsor of BC Lions
Adjuster Training Session at Can West Collision ~ CSN, Edmonton, Alb. The CSN staff team up with CSN shops to organize and host full day interactive insurance adjuster training sessions!
2013 CFL Season COO of CSN Collision & Glass, Flavio Battilana, and General Manager of the BC Lions, Wally Buono seal the deal! CSN becomes the official sponsor of the Lions. Go Lions Go!
For more information, please contact us at: 377 Evans Avenue, Suite 102 Toronto, ON M8Z 1K8 1.866.400.4CSN www.CSNinc.ca
news
‘Technology tsunami’ hot topic at i-car conference By Sanam Yar
With hundreds of vehicle debuts and redesigns scheduled over the next few years, vehicle innovation is moving at a fast pace. Accordingly, this year’s I-CAR Conference theme was “Driving Excellence in Technology... The Changing World of Vehicle Technology and What It Means to You.” The Conference provided a fast-paced agenda, covering the regulatory environment that is driving the “technology tsunami” the industry is facing and the related technology advances such as integrated vehicle safety systems, body and chassis system innovations in support of vehicle lightweighting and the potential for self-driving vehicles. The conference began with a welcome message from Bill Brower, the Chair of I-CAR, and John Van Alstyne, CEO and President of I-CAR. Then introductions were in order for the conference moderator John McElroy. McElroy is best known as an author and host of Autoline, a program dedicated to the inner workings of the auto industry. Several presentations by esteemed speakers followed in the afternoon. The first was a workshop by Nathaniel Beuse, Associate Administrator for Vehicle Safety Research at the National Highway Traffic Safety Administration (NHTSA). Beuse explained research and emerging technologies in the industry. Afterwards, a presentation on advanced technologies and vehicle safety was given by David Zuby, Chief Research Officer at the Insurance Institute for Highway Safety (IIHS). The topic of self-driving vehicles was explored by Richard Wallace, who serves as Director of Transportation Systems Analysis at the Center for Automotive Research (CAR). Following the theme of advancements in technology, Dr. Kay Stepper discussed advancements in integrated vehicle safety systems. Stepper is Director of Driver As-
“A new generation in collision repair performance.”
An inter-industry panel discussion featuring a wide range of professionals explored the repair and business impact associated with coming vehicle technology changes.
sistance Systems and Chassis Systems Control at Robert Bosch. A panel discussion composed of all the day’s speakers ended the day, answering questions and clarifying concepts for the audience. The second day started off with opening remarks by McElroy, segueing into the keynote speaker’s presentations. The first presentation was given by Reginald R. Modlin, Director of Regulatory Affairs at Chrysler Group. Modlin discussed regulations, the consumer, and the OEM Design Challenge, delving into the policy development that guides reaction of legislation and regulations. The second keynote speaker was Lawrence Geise, who spoke on chassis and body structure innovations for fuel economy and safety. Geise serves as Vice President of Automobile Frame Design, Research and Testing at Honda R&D Americas. The event ended with a wrap up by Van Alstyne. For more information on I-CAR, please visit i-car.ca.
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12 collision Repair collisionrepairmag.com
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news
eye on customer service at allstate pro conference By Mike Davey
Superior customer service is one of the undeniable keys to success. Recognizing the shops that provide it on a consistent basis was one highlight from the recent Allstate PRO shops meeting held at the Riviera Park Conference Centre in Woodbridge, Ont. The meetings are open to members of Allstate Insurance Company of Canada, and Pembridge Insurance Company’s PRO program,
the insurer’s direct repair program (DRP). The meetings are held every two years, and customer service is always a central component. “We look at how we’re doing and how our customers are rating their shop experience,” says Vic Pasnyk of Allstate. “The customer perceives the PRO shops as an extension of our services. If the PRO Shop performs poorly, customers will equate that to us.”
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The meetings typically cover customer service issues, trends and initiatives, in addition to recognizing the collision repair facilities that are high performers in this area. “We survey all of the customers who have had an interaction with one of the PRO shops,” says Pasnyk. “We take the opportunity at the meetings to recognize the shops that score 100 percent of either satisfied or very satisfied customers.” Allstate also reinforced the company’s commitment to I-CAR Canada training. Andrew Shepherd of I-CAR Canada was on hand to explain the new Gold Class program. All PRO shops are expected to be working towards Gold Class, if not already there, and must take some training courses on an annual basis. Tony Canade is the President of Assured Automotive, a multi-store operator with collision repair centres across Ontario. He says that it provides excellent opportunities to both learn about any upcoming changes to the program and to communicate with Allstate. “I’ve always appreciated that Allstate has been very involved with their PRO shops and the conference,” says Canade. “They’re very involved with vendors. It’s always nice to see a company that’s willing to do that. As repairers, we appreciate the fact that Allstate brings us together along with some of their people to discuss the best way to serve our mutual customers.” An additional highlight was the discussion on providing better, faster service on total loss vehicles. “The message we give our PRO shops is not to look at total losses as the loss of a repair job. Look at it as a chance to build solid rapport with the customer for the future by creating an exceptional customer experience in a difficult situation,” says Pasnyk. The meeting also provided information on some of the pressures shops are facing and how to combat them. Other meeting topics included upcoming process changes, performance metrics improvement strategies and relationship building efforts with tier one aftermarket parts suppliers. “It’s really an important information sharing session,” says Pasnyk. “We want to know how we can make it easier to do business with us. Extensive communication with the PRO shops helps us to realize our vision to be the best business partner in Canada, providing an exceptional customer experience.” For more information on Allstate, please visit allstate.ca.
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news
color compass opens two new training centres Melody Majauskas, a painter at Universal All Makes Autobody, with her son.
John Morello, Allen Palechek and Emile Fremont of Carlson Body Shop Supply with one of the company’s iconic trucks at the opening of the Calgary training centre.
Bruce Hemstreet of CARSTAR Lethbridge and Glen Reinhardt, sales manager at Chase Auto Body Supplies
Kent Bowdige, Tim Shay, Rob Neale, Rob Kikuchi, Dave Swenson and Gord Milford at the grand opening of the Edmonton training centre.
Ajid Bacchus of Eurotech, Dave Swenson of GM Carlson Body Shop Supply and Hans Lengsfield of Eurotech.
Alberta repairers have more training opportunities than ever before, with the grand opening of two Color Compass training centres in Calgary and Edmonton. Calgary was first, with over 400 local repair professionals heading out to help celebrate the grand opening of the new training centre at 7910 - 10th Street NE. The Calgary training centre is a joint effort by two Color Compass companies, Chase Auto Body Supplies and Carlson Body Shop Supply. In addition to tons of door prizes, including a trip to Phoenix, flat screen TVs, iPods and gift certificates, attendees also
Both the Calgary and Edmonton events included a chance to get up close and personal with a recreation of Steve McQueen’s famous “Bullitt“ Mustang.
enjoyed a catered dinner. However, the real highlights of the event were the products. The evening functioned as a mini trade show, with a number of exhibits from various manufacturers. It also served as a “What’s New” night, with live demos of new products by Norton, SATA, U-Pol, Carborundum and others. The grand opening of the Edmonton training centre took place two days later with great success as well. Over 500 collision repairers attended the event, put on by Rocky Mountain Sales, Carlson Body Shop Supply and Chase Auto Body Supplies. In addition to serving as a training provider, the
16 collision Repair collisionrepairmag.com
new Edmonton location will also serve as a distribution centre for Color Compass. In addition to the mini trade show and exciting product demonstrations, the Calgary and Edmonton crowds were also treated to the unveiling of a recreation 1968 Bullit Mustang, the car made famous in the Steve McQueen movie Bullitt. Core training at both facilities will focus on paint-related education, from both BASF and AkzoNobel. In addition, the centres will also host I-CAR training and training for various allied products. For more information, please visit colorcompass.com.
news
Sales contest highlights interest in new 3M films The competition was intense, but when the dust settled, Tony Scappaticci of Performance Hyundai in St. Catharines, Ont., emerged victorious. The contest was part of an effort by 3M to get the word out to consumers regarding the company’s Scotchgard Paint Protection Film and new line of Colour Stable Automotive Window Film. Finance and Insurance (F&I) specialists from a number of dealerships took part in the competition. The goal was to increase market penetration for the new 3M products, while at the same time helping the bottom line for the dealership, specifically the restyling division, where the application takes place. John Scetta is the manager of Performance Collision & Restyling, the collision centre for both Performance Hyundai and the other members of Performance Group. He says the contest was a great way to garner interest in the new films and show how it can serve as a profit centre for the shop. “The margin on it is good. It does take training to apply properly, as you’re taking something that’s two-dimensional and wrapping it onto something that’s 3D, but the training is provided,” says Scetta. “The F&I contest has been driving sales on both new and used cars, but it works as an upsell for collision customers as well.” Over the three month contest, Scappaticci achieved 90 percent penetration for the new 3M products. In other words, more than 9 out of 10 cars had been upsold to include 3M Paint Protection Film, 3M Colour Stable, or both. Scappaticci’s success led to him receiving an iPad for himself, and a celebratory cookout shared with his colleagues. 3M says Colour Stable offers significant heat rejection and UV protection,
benefits that help to protect the vehicle’s occupants. Michael Groves is an area manager with 3M. He says the company partners with facilities to help ensure that they find success with the new products. “We’re not here to be just another box mover,” he says. “We help the collision centres set up to do this. We teach them
how to sell the product, how to install it and how to represent its various benefits, such as national warrantees. From start to finish, we like to partner in their success, as opposed to just being a supplier.” For more information on Performance Collision, please visit performancecollision.ca. For more information on 3M, please visit 3mcollision.com.
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Learn more about Elektron at
chiefautomotive.com/elektronpromo/cr or call 800-445-9262 to request a no-obligation live demo. Chief is your one-stop source for state-of-the-art pulling, measuring and welding equipment, plus hands-on training.
Swav Pietras, Tony Scappaticci and John Scetta of Performance Collision man the grill at the celebratory BBQ celebrating Scappaticci’s achievement.
october 2013 collision Repair 17
news
ALI schedules “All-in-One” Certification for SEMA The Automotive Lift Institute (ALI) has scheduled its first “all-in-one” session to provide Lift Inspector Certification Program participants with a rare opportunity to complete multiple key program requirements in a single location over a three-day period. The event will be held Nov. 6 to 8 in Las Vegas, Nev., in conjunction with the SEMA Show. ALI staff members and Factory Designated Trainers will open the session with a Participant’s Orientation on Wednesday, Nov. 6. Attendance at a six-hour Orientation is mandatory for all Certified Lift Inspector candidates. The Orientation will outline administrative aspects of the Lift Inspector Certification Program, introduce expectations and answer questions. Thursday’s activities will include group study for both the precourse exam and the course exam. The group study sessions are open to any enrolled participants who have attended an Orientation. On Nov. 8, participants may take the pre-course exam. Those who have previously passed the pre-course exam will be given the opportunity to take the course exam. The previously scheduled Participant’s Orientation on Nov. 8 will still be held as a standalone event for those who do not wish to take advantage of the “all-in-one” package. Registration for the “all-in-one” event’s Participant’s Orientation and group study activities are included in the Lift Inspector Certification Program fee, which is discounted to $1,000 through Dec. 31. The fee also includes a Candidate Handbook and extensive course materials. Additional fees will be required for those taking an exam.
Participants in the Automotive Lift Institute’s (ALI) Lift Inspector Certification Program will have the rare opportunity to complete several program requirements over a three-day period this fall. An “all-in-one” session will be held Nov. 6 to 8 at the SEMA Show in Las Vegas, featuring a Participant’s Orientation, group study and exams.
To reserve a seat at the “all-in-one” event, email info@autolift.org or call 607-756-7775. ALI has also announced it will now offer computer based exams for Canadians, on-demand at testing centres across Canada. “The digital format makes it much easier for participants to take the exams,” says R.W. “Bob” O’Gorman, ALI president. “Canadian inspectors previously had to wait for a paper and pencil test to be scheduled or they would have to travel to a U.S. border state to visit a testing center. With computer-based testing, Lift Inspector Certification Program participants can take the exams when their schedules allow at locations that are convenient for them.” To learn more about ALI, please visit autolift.org.
Crescent Industries Ltd.
Introducing the new BASF OnyxHD Solventborne Low VOC Productive System
Quality PBE Products You Can Trust
18 collision Repair collisionrepairmag.com
Phone (905) 364-5093 Toll Free (877) 613-3390 Fax (905) 364-5094
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CollisionLink® is the only way to access the Ford Parts Conquest Program and purchase more Ford Genuine Parts at prices competitive with the aftermarket. With CollisionLink, discount alerts automatically appear on part orders. There’s no paperwork, hassles or headaches, just savings opportunities that are easy to implement and fit into your current workflow. Run a more efficient, profitable shop and fix cars faster and better with more Ford Genuine parts… use CollisionLink for every parts order. To learn more, visit www.OEConnection.ca/shop
*Actual January, 2013 Ford Parts Conquest Program pricing comparison. Ford Parts Conquest Program and Ford Genuine Parts are registered trademarks of the Ford Motor Company. OEConnection and CollisionLink are registered trademarks of OEConnection.
news
Summertime offers no shortage of fantastic opportunities to grab your golf clubs and head out to your favourite golf course for a day out on the links. What makes it especially rewarding is when you’re taking up your favourite pastime while supporting a great charity or special cause close to your heart. This summer collision repair professionals from CARSTAR, CSN, PBE Distributors, Discount, Enterprise and ACG all got out to support worthy causes, enjoying the warm weather, each other’s company and the knowledge that they were giving back to their communities. Here are some snapshots from this past summer’s charity golf tournaments.
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Swinging Drivers for Great Causes
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5 1 Enterprise VP Steven Tudela presents a cheque
to Women in Insurance Cancer Crusade. 2 Tony DeSantis of Fix Auto, Blair Earle of Impact Auto and Kevin Kemp of AVP Canada Enterprise Holdings Inc.. 3 Collision Repair professionals had a great time out on the links raising funds for their favourite charities.
20 collision Repair collisionrepairmag.com
6 4 Matt Saunders of Ico and
Rob Rukavina of PPG. 5 Randy Hearn of AkzoNobel. 6 Dean Capern of ART and Dean Degenais of Gus Revenberg Chevrolet.
DISCO
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16 7 Stephane Gervais of Discount, Steve Wade of Intact Insurance, Assured Automotive’s Guy Cousineau, Assured Automotive CEO Des D’silva and Tony Canade of Assured Automotive. 8 Discount’s Paul Nestorowich and Don Larocque of Mitchell. 9 Steve Schira of Del Equipment, Rod Barrowcliffe of Del Equipment. Peter Taylor from Discount and Etienne Demers of Toyota Canada.
17 10 Tuccio Manabvati,
Argante Tolfa and John Sutherland. 11 Bryan Rodriguez. 12 ACG Atlantic Mississauga shop manager Argante Tolfa, Roman Boychuk, ACG Atlantic Mississauga owner Ivan Tolfa, First Canadian Auto Collision owner Armando Tallarico and Jay Sugunan.
18 13 Peter Facinek of Kelowna Perfor-
mance and Media Matters’ Gloria Mann. 14 A staffer from Piper’s Heath Golf Club in Milton, Ont., Heartland B&B’s Linda Procunier, Michael Walker Advertising’s Tanner Walker and CSN Collision & Glass’Jenny Trokic. 15 Flavio Battilana of CSN Collision & Glass presents a cheque for $10,000 to Stephanie on behalf of Make-A-Wish Canada.
16 CF sufferers Madison and
Michaela with their parents, Lisa Mercanti-Ladd of CARSTAR and David Gilmer of CF Canada. 17 CARSTAR COO Michael Macaluso. 18 The Dominion’s Lucio Biasucci, Grant DeMarsh, GM of Audi Centre Oakville and CARSTAR Oakville’s Lorenzo Pellicciotta.
october 2013 collision Repair 21
news
CARSTAR “Soaps it up” for cf canada CARSTAR Collision & Glass Centres across Canada participated in the annual Soaps It Up National Car Wash Fundraiser on Sat., June 7, 2013. This year, CARSTAR celebrated the fundraiser’s tenth anniversary by raising $120,000 for Cystic Fibrosis Canada and local charities. “We are proud of the commitment that our franchise partners across the country have for their communities,” says Lisa MercantiLadd, Executive Vice-President of CARSTAR Automotive Canada. “For CARSTAR, celebrating 10 years of Soaps It Up is a huge milestone. It shows just how dedicated we are to supporting this cause until a cure has been found.” The 10 year celebration of Soaps It Up comes one year after CARSTAR marked another milestone of surpassing $2 million raised for Cystic Fibrosis Canada. This year, 60 locations participated throughout Canada, with employees and volunteers washing over 3,000 cars. “The funds raised through Soaps It Up are invested in life-saving cystic fibrosis research and help bring hope to 4,000 Canadians living with this devastating disease,” says David Gilmer, Vice President, Fund Development at Cystic Fibrosis Canada. CARSTAR has been a proud supporter of Cystic Fibrosis Canada since learning
CARSTAR’s annual “Soaps It Up“ event brings in support not just from CARSTAR store owners and staff, but family, friends and industry partners.
that a granddaughter of a Franchise Partner had been diagnosed with cystic fibrosis 16 years ago. “We want to thank the hundreds of CARSTAR employees and local volunteer groups that made this year another success,” adds Mercanti-Ladd. “We truly appreciate their dedication in supporting Cystic Fibrosis Canada and Canadian communities.” CARSTAR would also like to note the exceptional financial and product support of our vendor partners including AkzoNobel, NAPA, BASF, The Walker Group, DAC Group, Nolitours and King Rose Travel who helped make this event so powerful.
carstar express london holds grand opening The new CARSTAR Express London, located in London, Ont., was founded to meet the challenge of providing a superior customer experience. The store held its official grand opening last week, attended by more than 150 insurance partners and industry stakeholders. In addition to seeing the new store, those in attendance were treated to catered refreshments and a chance to get up close and personal with a number of fine automobiles, including a Ferrari F430 and a reproduction of the original TV Batmobile. CARSTAR Express London is owned and operated by Don Morton, President of Don-Mor CARSTAR London Centre. Morton notes that customer convenience and service were top-of-mind when making his decision to open the new CARSTAR Express London location. “This is more of a retail space,” says Morton. “It’s located within what I call the Dealership Golden Mile. There are 22 car dealerships within a 4 kilometre radius of the new location.” CARSTAR Express London has been designed to provide fast, convenient services dedicated to small damage repair, appraisals and glass repair and replacement. Essentially, customers can choose to bring their vehicles to either Don-Mor CARSTAR London Centre or to CARSTAR Express London. A vehicle that comes to CARSTAR Express London is washed, de-
Batman and the classic TV Batmobile were a big draw for kids and more than a few adults.
22 collision Repair collisionrepairmag.com
greased and the types of repair that may be necessary are qualified. Estimates are given on the spot for any repair that doesn’t need a tear down. Vehicles that need a closer inspection are loaded onto a flatbed truck and taken to Don-Mor CA RSTAR London Centre. “When it’s a more serious hit, Don Morton, owner of CARSTAR we put the customer in a rental Express London and Sam immediately and do the prelimiMercanti, President and CEO of CARSTAR at the Grand Opening. nary estimate while the flatbed is on its way. As soon as it’s at DonMor CARSTAR London Centre, it enters the repair planning phase,” says Morton. “When the car arrives at Don-Mor, we do a full disassembly. Nothing else is done until that’s complete. Everything needed is ordered at the same time, cutting down on wait times.” CARSTAR Express London and Don-Mor CARSTAR London Centre offer complete one-stop automotive services that includes towing, mechanical repairs and servicing, glass repair and replacement, small damage repairs in addition to complementary valet service, whether or not it’s offered by the motorist’s insurer. “CARSTAR’s franchise partners in London are driven, entrepreneurial and focused on growth in the London community,” says Lisa Mercanti-Ladd, Executive VP of CARSTAR. “Don Morton has been in business since 1980 and today continues to find innovative ways to create value for his customers and insurance partners. The new CARSTAR Express London location is a conveniently located store closer to customers and diversifies his service offerings. We are fortunate to have franchise partners like Don who continually adapt with incredible ease to meet the demands of customers and partners.”
news
CSN, Uni-Select broaden partnership Uni-Select announced recently that it expanded its paint offering in Canada, which the company says will improve the service it offers to customers and could lead to the sale of replacement parts and paint products to CSN’s 280-plus collision repair shops across the country. Carrossier ProColor, a division of UniSelect, and CSN announced their ambition in December 2012 to create the largest network of shops across Canada. Uni-Select has successfully provided valued services and products to the collision network Carrossier ProColor, which consists of 144 locations in Québec. The partnership allows the companies to provide full national coverage. “This is great news for Uni-Select which seeks to continue its growth in the distribution of automotive replacement parts and paint products in Canada. The partnership with CSN network promises to be beneficial to both entities,” said Michel Charbonneau, Vice President, PBE, Major Accounts and Marketing, Uni-Select. “We are very pleased to further unite our two networks that share many values including the importance of confidence, trust and integrity. We are continually focused on providing value to all our stakeholders and being the customer service network. Having Carrossier ProColor as a strong, respected and professional member partner in Québec, and now the addition of Uni-Select as CSN’s National preferred distribution partner, only strengthens CSN’s commitment and ability to deliver on our promise,” said Flavio Battliana, Chief Operating Officer, CSN. For more information, please visit uniselect.com.
I-CAR to hold national training event in Edmonton The I-CAR Canada National Training Event will take place on September 28, 2013 at the Northern Alberta Institute of Technology (NAIT), Main Campus in Edmonton. The event will include two feature courses and the opportunity to network with other collision repair professionals. The courses presented are of high importance for progressive repairers: Best Practices for High Strength Steel Repairs and Vehicle Technology and Trends 2013. The event will feature two guest speakers. Stefano Liessi is a full time autobody instructor at a local Edmonton high school and is in the process of updating the curriculum and facilities. His goal is to introduce the students to 3-dimensional measuring and the multiple substrates in today’s automobiles. Liessi has broad experience in the collision repair industry, including custom painting and restorations, heavy collision, and proprietorship. He also has extensive experience in insurance as a field appraiser and supervisor. Tom Parnell began instructing I-CAR courses in 2011 and has presented a number of courses in southern Alberta over the last two years. Parnell’s career began on the the insurance side of the business before moving into an operational role with a large collision franchise. He later moved on to managing a single location within that franchise. In May 2013, Parnell joined Axalta Coating Systems as the Business Development Representative for Alberta. To re g i s t e r, p l e a s e v i s i t a i a c a n a d a . c o m / u p l o a d s / 2 0 1 3 / events/2013_ICAR.pdf
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news
Fix Auto Décarie hosts Matrix Wand Canadian launch By Andrew Ardizzi
titanium22.ca Matt Bannister 416.587.1548 matt@titanium22.ca MIRACLE SYSTEM AIROPOWER HOT STAPLER PROSPOT CELETTE DENT FIX INDUCTION INNOVATIONS WIELANDER SCHILL
SEMA booth 11079
Fix Auto Décarie has become the first Canadian collision repair shop to purchase Matrix Electronic Measuring’s Matrix Wand. “It’s an exceptional tool, it’s not like any other tool,” says Fix Auto Décarie co-owner Nick Allegretta, who runs the shop alongside his father Gaetano. “Every aspect of it was well thought out. When you write up the estimate, everything is there. All you need is the car’s metric.” The Matrix Wand is a 3D imaging tool that helps collision repair technicians quickly identify the specific damage points on a vehicle when it’s brought into the shop, while additionally helping technicians compile better documentation and vehicle repair histories for each job. The tool is equipped with digital cameras at each end, combined with two display screens in the middle. The 12-pound device effectively allows technicians to quickly take photos and use the accompanying software to analyze structural deficiencies in any vehicle that’s brought into the shop. Allegretta says the Matrix Wand is a very easy tool to learn to use, noting that many of his technicians were able to pick up and use the tool efficiently within three days of being trained to use it. He says his polisher and dismantler have been able to pick it up very quickly, adding that the tool’s software is intutitive and able to mirror measurements on the opposing side of a vehicle from the side closest to the Wand to see if anything is structurally off. “Since you can take a picture, those damages can be seen right away,” he says.” Wherever you are, as long as you have proper lighting, you can take a picture.” Allegretta says the Matrix Wand has already helped him improve his shop’s flow. “My cycle time has really improved and the insurance companies only have to worry about paying for actual damages. This way, you have proof,” he says, encouraging other
Canadian rental bank for all popular models. 26 collision Repair collisionrepairmag.com
A Fix Auto Décarie technician uses The Matrix Wand to survey a vehicle before working on the repair order.
shop owners to consider the Matrix Wand for their own shops. “It’s a great, extra layer of security to protect the shop in the future.” Allegretta says the Matrix Wand is a great way to help shops maintain their records, ensuring that all vehicle repair orders are accurately documented to protect collision repair shops and insurance companies in the future. This allows for thorough estimations of damages right at the beginning of the order so that technicians don’t stumble upon a formerly undetected damage-point in the middle or at the end of the order. It also eliminates any risk of a dissatisfied customer returning with a fraudulent claim due to the Matrix Wand’s thorough measuring and imaging system. “You can easily identify what is measured,” says Allegretta. “As long as you keep your pictures, if a client comes back and complains to the insurance company, you have the proper proof that the vehicle was repaired properly.” While he has certainly developed into a fan of the Matrix Wand, he says it’s something you truly need to experience yourself. “The best thing to do is to actually use it,” says Allegretta. The Matrix Wand’s Canadian launch was held at Fix Auto Décarie in Ville Mont-Royal, Que. For more information, please visit thematrixwand.com.
Honda launches new tech publication American Honda has announced the release of the first two editions of Body Repair News, a new collision industry magazine that will cover repair information for Honda vehicles. The first issues of the magazine focus on the 2014 Acura MDX and the 2013 Honda Accord. Collision Repair magazine has confirmed that the information in the first two issues is applicable to Canadian models as well as U.S. ones. The issue of Body Repair News pertaining to the 2014 Acura MDX can be found at i-car.com/pdf/advantage/14_MDX_BR_News.pdf while the issue focusing on the 2013 Honda Accord can be found at i-car.com/pdf/advantage/13_Accord_BR_News.pdf.
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n the dog-eat-dog business of autobody repair, you need the fastest and most efficient paint system you can lay your paws on. And nothing’s faster than NitroHeat. With its 98% pure, heated nitrogen, paint flashes off faster than by using conventional compressed air, dramatically shrinking your booth (and cycle) times and boosting your bottom line. NitroHeat also resets the bar in transfer efficiency, reducing overspray and cutting paint consumption by up to 30% – yet achieving the same mil thickness. And when it’s time to convert to waterborne, NitroHeat saves you yet again – because its efficient paint transfer and fast drying eliminate the need for an expensive upgrade to your air circulation system. To find out more about adding NitroHeat to your waterborne or solvent system, call us at 1.800.615.9949 – or visit www.wedgeclamp.com. No other man-made system can beat it.
See us at SEMA: Booth # 10669 Territories available for Distributor opportunities – contact 1.800.615.9949 (toll-free) or 604.207.9595 or Email: nitroheat@wedgeclamp.com ©2013 Wedge Clamp Systems Inc. All rights reserved. Patents pending.
PROFIT BOOSTERS
Knowledge is Power Our readers on parts use, training and social media.
W By Mike Davey
e recently started regularly surveying and polling our readers on a variety of topics of importance to professional collision repairers. Presented here are some of the most recent results. Make sure to visit collisionrepairmag.com on a regular basis for more questions, more results and more topics. Social media is a business buzzword these days and for good reason. It’s hard to deny the importance this aspect of the digital world plays in selecting products and services. However, it’s still a relatively new phenomenon and fully engaging with it can present a steep learning curve. We found that just under half of the repairers surveyed had a defined social media strategy. Even those who reported that they had no social media strategy still often had a Facebook or Twitter account for their business. The first question we asked was “Do you have a social media strategy?” Responses for the first three answers—”No,” “No, but we’re working on it,” and “Yes. We make posts and updates when it seems like a good idea”—were at remarkably similar levels. In fact, they all scored 26 percent. The fourth possible response was “Yes. Executing this strategy is an official part of one or more staff members’ job duties,” at 18 percent. While lower than the other categories, it’s still a respectable number of collision repair facilities. The final answer respondents could select was “Other,” at six percent. Every respondent that selected this indicated that a social media strategy was in place, but that both design and execution were in the hands of “corporate.” No matter how they are sourced, it’s obvious that parts are a vital piece of collision repair. We asked repairers which single factor most inf luenced their choice of part supplier. Votes for each aspect were remarkably similar. Repairers were split fairly evenly, with “Delivery Time” ranked as most important by 24 percent of respondents, narrowly
Types of Personal Training
Which factor most influences parts choice?
Do you have a social media strategy?
3% 9%
6% 20%
18%
26%
22% 24%
26%
26%
22%
No. Price
Delivery time
Availability
Relationship
Other
No answer
edging out “Availability” and “Relationship” (both 22 percent) and “Price” at 20 percent. The most common parts categor y among our survey respondents was still “New OEM,” at 59 percent. We also recently surveyed readers regarding their own personal training (as distinct from staff training). When it comes to which type of training proved most popular, Management Training was
28 collision Repair collisionrepairmag.com
No, but we're working on it.
Yes. We make posts and updates when it seems like a good idea.
Yes. Executing this strategy is an official part of one or more staff members' job duties.
Other.
the clear winner, with 40 percent of respondents indicating that they had taken some form of management training in the last year. Technical training, both general and product specific, were the next most popular categories, scoring 20 percent each. “Marketing and Social Media training trailed the pack, with just five percent indicating they had taken this. CRM
CREATING TOGETHER
Behind A Great Team Stands A Great Paint Brand
George Langhorn, Paintshop Manager McLaren Racing, and his team behind the MP4-23 as used by Lewis Hamilton to win the 2008 FIA Formula 1™ Drivers’ World Championship.
From the moment Sikkens got the call from the Vodafone McLaren Mercedes team, the race was on. The challenge: Create a technologically advanced paint for the McLaren Formula 1™ cars. To get there, we pushed all boundaries for ultra-lightness, aerodynamics, performance, and sustainability. Inspired by one of the world’s great racing teams, we achieved the goal by creating a spectacular new finish... in record time. Along the way we built an alliance of winners... connecting McLaren, Sikkens and our valued global body shop partners. Join the alliance by visiting us on the web at www.sikkenscr.com.
The Companies of Color Compass Corporation The Color Compass Corporation was established in 1984, and consists of our warehouse division, PBE Distributors Inc., servicing jobber customers and buying groups from coast to coast, plus our wholesale division made up of White and Peters Ltd., Carlson Body Shop Supply Ltd., Chase Auto Body Supplies Ltd. and Rocky Mountain Sales (2007) Ltd. The companies within our wholesale division service the auto body industry from Winnipeg, Manitoba to the West coast and are market leaders in all areas in which we compete.
With a combined total of 27 locations across Canada and 256 employees, we have and will continue to successfully meet the challenges of this exciting and ever changing industry. By maintaining a strong focus and professional image, with an emphasis on continuous improvement through education, the Color Compass Corporation group of companies is committed to meeting the needs of our customers now and in the future.
Visit Us on the Web
The Largest Independent Auto Body Supplier in Canada The companies of the Color Compass Corporation proudly make up the largest independently owned auto body supply company in Canada. This means as a customer of Color Compass Corporation you receive the benefits of: The largest product offering and inventory in the industry First to the market with new and innovative products, services and programs Unmatched manufacture support Purchasing power Largest sales and technical staff in the industry Dedicated training centres in most major markets for all your training needs
Partnerships and Training Through Color Compass Corp. and our key industry suppliers, our customers have access to some of the best training facilities in Canada. Partnering with leading paint and supply companies enables us to offer comprehensive seminars and training programs that cover all aspects of the auto body refinishing industry. These relationships allow us to assist our customers with their educational and training goals.
Our group of companies efficiently and effectively service all levels of the auto body repair industry with the most comprehensive mix of product and services available: Automotive refinish and industrial coatings Multiple lines of refinish and industrial abrasives Chemicals Plastic repair materials A full range of body shop equipment Hard to find specialty items
who’s driving?
Smoothoperation Productivity depends on thorough, transparent methods.
By Jay Perry
T
he key to smooth productivity is multifaceted. To help with your shop I have prepared this as the first in a series of articles on the “how” to organize, develop and evolve your business into a smooth running shop. Firstly we’re going to start with the single most important facet, which is the Repair Plan Writing, or writing the estimate. I do not even like to use the word, “estimate” because it allows for variance because it is ultimately an approximation of what the repair process may involve. I believe we should strive not for an approximation when preparing a repair order, but rather, endeavour to complete a finished invoice. Repair Plan reports require three essential components in order to allow you to redefine and successfully organize your business. These include: • • •
SEEING the Damage DOCUMENTING the Damage AGREEING on the Repair Process
SECURING the Correct Parts
SEEING includes a visual inspection which will likely require the dismantling of a portion of the vehicle (if it’s drivable) or a full disassembly (if it’s non-drivable). To reach this level of committment you have to adopt a conscientious attitude and an honourable work ethic leading us to not take shortcuts. This Technicial Knowledge
Software Knowledge
Includes making judgements like Repair vs. Replace and Opinion Times. We rely on Writer Experience and we Refer to Experts on staff or outsourced.
Allows us to manipulate the computer programs to optimization. Train on the various programs such as Mitchell & Audetex.
32 collision Repair collisionrepairmag.com
Reconciliation Compliance with the Rules and Procedures of the Insurance company. Refer to sources such as CQS or Insurer bulletins or Updated Binders of knowledge.
process also requires a fair amount of humility, for the writer is never an expert in all things. They must consult with others, such as the shop’s technicians, in order to gain a complete perspective of what’s needed to take the process to the next step. DOCUMENTING includes photos, printed readouts on specs, software produced “estimates,” appropriate authorizations, referencing procedures and rules that requires technicial knowledge, software knowledge and reconciliation to ensure compliance with the rules and procedures with insurance companies. AGREEING upon the process is the final step of the repair order and involves all parties, such as the vehicle owner, vehicle insurer, repair technician and Business GM. In this final step, clear communication is crucial. With the vehicle owner they must be informed as to what is going to happen to their vehicle. With the vehicle insurer they must know fully why we made the decisions for specific repair processes that we made and explain in detail why it is the best decision for them. Repair technicians need to understand the viewpoint of all parties which can be inclusive of customer requests, insurer’s request and the business owner’s need for profitability. SECURING the Correct Parts utilizes use of the three Cs: • • •
Complete Clear Concise
Order forms are used, not verbal orders, and must be followed by good accounting practices to ensure needs fulfillment and proper payment. It also involves follow-up with vendors to ensure prompt delivery. This brings the first installment to a close, and I will continue to write about what I identify as the best approaches and practices to improve your business, so you can be the one who’s driving. CRM Jay Perry is the founder and owner of Automotive Business Consultants (ABC), a performance coaching company specializing in the automotive service industry. He can be reached via e-mail at jayperry@a-b-c-inc.com.
Meet Navigator™, the industry’s newest color matching tool. It’s the culmination of putting ourselves in your shoes and asking, “How can my job be made easier and more accurate?” What we came up with is a new generation of tool that is setting the standard for confidently selecting and matching color in any situation.
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TakingAstand Set-up costs are part of the cost of the repair.
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By Sam Piercey
I
believe it is time to take a stand when it comes to certain practices we have to follow. Say I had a high-end luxury car in my shop that was hit in the side. It was t-boned really hard in the centre post and will require two new doors and will have to be set up on the dedicated bench system that the standards say must be used for repairs on these vehicles. Say the vehicle has boron steel in the centre post. It must be replaced if damaged and there is no room for error. This vehicle may require a lot of set-up time and jigs to repair it back to original
plains about poor fit or wind noise, not to mention that he paid premium price for the car and insurance to drive a premium vehicle, and has every right to be upset if something is wrong. It’s unfair to expect shops to eat those costs and risk losing a customer too. So I say to all the repair facilities, let’s take a stand against these people and say “NO.” Educate your customers and let them know how they’re being penalized for having an accident and how our technicians are being short-changed by the insurance company. Also, why are we
Educate your customers and let them know how they’Re being penalized. condition. In some cases, parts only fit properly one way, the right way, so the manufacturer may want us to use jigs to maintain a proper and accurate fit for all repairs on its vehicles. We’ve had to spend a large pile of money on the right equipment and training to make sure our technicians can take high-end vehicles back to pre-accident conditions according to OEM specifications. Now, some insurers may tell us that, “we don’t pay for set-up or jigs.” So am I expected to eat the eight to 12 hour set-up and also rent the jigs and eat the rental money for the jigs? Also my technician must eat the labour, not to mention the tight sheet that the hero appraiser wrote, who has been off the bench for years? I must mention that some insurance companies do not “get it.” Whether it is a high-end, middle-of-the-road or a budget model, they don’t seem to care about ensuring that we can make a safe and accurate repair for our customers, and they’re condescending about it. We’re the ones who have to take the heat if we have a customer who com-
34 collision Repair collisionrepairmag.com
investing money in the equipment only to be told by the insurance company that “we don’t pay for jigs or set-up?” Imagine how much nerve someone would have to have to even come into a business and tell them you’d like to do business, but you won’t pay what the job costs. That’s how prices are set. You total up how much it costs to do it, including all labour, overhead, etc., and that’s what you charge. Simple, right? It should be, but it isn’t. If we want it to be that simple, we must learn to say “no.” There are no freebies in life, and you get what you pay for. If you’re not willing to pay for it, then you don’t get it. Again, simple stuff. I am not sitting down on this, and they are not going to win this one. I’ll say it again, as an industry, we need to learn to say “NO!” CRM Sam Piercey is the co-owner of Budds' Collision Services in Oakville, Ont. He is a long-time Coyote member and sits on many boards and committees. Sam can be reached at sam@buddscollision.com.
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prairie view
handsonautobody Helping kids learn the business is its own reward. By Tom Bissonnette
Instructor Rob Thompson works with two young students of the Hands On Auto Body program.
W
e are approaching the first year anniversary of the Hands On Auto Body program. It was set up by the Saskatoon Auto Body Association (SABA) to help children in our inner city learn basic collision repair skills and I just wanted to report on our progress to date. So far we have: • Renovated the building to accommodate mechanical and collision repair including electrical work and a new furnace. • Purchased a 1970 Chevrolet Nova courtesy of Wheaton GM here in Saskatoon. • Acquired a fuel injected 350 cu. in. engine and the transmission to go with it, which we then totally re-built. • Picked up new positrac gear for the existing differential. • Bought $25,000 worth of replica parts to rebuild the car courtesy of Tiger Automotive (Grand West Enterprises).
• Purchased tools and equipment from various shops here in town, including hand tools, tool boxes, jacks, work benches, mig welder and acetylene torches. • We were given sand paper, courtesy of St Gobain Norton products through Caruk & Associates. • Obtained compressed air filters courtesy of SATA and Caruk. • Been given an industrial air compressor courtesy of Comairco. • Been helped out by SIAST Kelsey Instructors on all mechanical work on the steering components and the transmission courtesy. • And we’ve had 12 guys volunteering several hours each week on a rotating basis. Going to Hands On is like going to the gym. You can think of a million excuses, or consider doing other things you think you need to do, but once you’re there and see the smiles on the childrens’ faces, there’s nowhere else you would rather be. It
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36 collision Repair collisionrepairmag.com
prairie view
feels good to be making a difference in the childrens’ lives and there is a camaraderie in working with other guys from other shops and some of SGI’s appraisers! I keep thinking we will have this car ready for the various car shows around Saskatoon but Bob Heroux from Lazer Auto Body keeps telling me
every other week we would love to hear from them. The children that come out are fun to be with and they seem to really enjoy the opportunity to work alongside our guys. The car itself is getting to the stage where we need guys that can do metal work as we are just about finished welding on the rear body panels.
it feels good to be making a difference in the children’s lives.
not to be silly. We are not as far along as we think we ought to be but we are amazed to see how much has been accomplished working one night a week for two to three hours. This fall we would like to see at least one other night in the coming year and if possible spending a few hours each Saturday. The road blocks to doing this include funding and of course we need more volunteers. If there are bodymen out there that would be willing to spend a few hours each week or even
Above: This 6-litre chevy engine will be going into the car the program’s students are working on. Below: SABA brings young people in from the inner city so they can learn basic collision repair skills.
If we get enough volunteers who knows, we might even have this car ready for next April’s Draggins Rod and Custom Show – right Bob? CRM
Tom Bissonnette is the owner/operator of Parr Auto Body, a collision repair facility located in Saskatoon, SK. He can be reached at tom@parrautobody.com.
october 2013 collision Repair 37
health & safety
ProtectYourshop An uninsured contractor might be your responsibility.
By Matt Gibson
R
ecently we received a call from a customer to come and help him get his burner started on his spray booth. Just a standard burner service call, we get lots a year for varying reasons. When we arrived we discovered that this was not going to be a standard burner call. The customer had a company in to complete a burner service but while the “technician” was completing the job, he accidentally created a small explosion inside the heat exchanger. The force of the explosion abruptly blew the technician off his ladder and he landed hard on the concrete floor. He suffered an injury and was unable to complete the service, while the explosion also blew a hole in the heat exchanger. The
anywhere on your property—are licensed and have insurance should be of the utmost importance. All reputable service companies can provide you Certificates of Insurance and WSIB clearance certificates. We complete a lot of work for commercial and industrial companies, and we cannot even set a foot in the door without providing these items to them. Why should it be any different in our world?
Workplace Safety and WSIB
Recently I completed a course with the WSIB regarding workplace safety and was amazed at the responsibility placed on the business owner to be sure that they are hiring properly licensed and insured technicians, along with being responsible
Always Protect yourself, your Business and your employees! shop owner’s first concern, of course, was for the technician. After deeming that the technician was okay, they assessed the damage to the spray booth. The shop owner then did his due diligence as per Ministry of Labour protocol and asked the technician for his insurance information and gas license number so that they could complete a claim with the technician’s insurance company.
Insurance and Licensing
To the surprise of the shop owner not only did the technician not have any insurance whatsoever, he also did not have a gas license. What does this mean for the shop owner? Well, for one thing it means that this particular shop owner was on the hook for all of the repair costs to his spray booth. In all fairness to the owner of this particular shop, he had no idea that the technician was not licensed or insured. On the other hand, he didn’t ask the technician beforehand either. There are many things on the plates of shop owners and managers, but making sure that contractors that complete work at your facility—or 38 collision Repair collisionrepairmag.com
for the penalties that go along with hiring unlicensed service providers. Maybe this is naive on my part, but we have always had the proper insurance and WSIB coverage so I never thought about what other companies may or may not have, and just assumed this was the standard. Whenever you are hiring contractors or service technicians to work at your facility, or on your property, be sure that they have the proper requirements as soon as they arrive. Because if they don’t and something happens, they don’t pay. YOU DO! If a service company or contractor comes into your shop and quotes you some ridiculous price that doesn’t match with industry standards, then they probably don’t have the required insurance or license. Always protect yourself, your business, and your employees! CRM Matt Gibson is the General Manager of Flat Line Spray Booth Specialists, a firm offering comprehensive spray booth service packages and turn-key installations. He can be reached at 905-475-5600 or via email to mgibson@flatlinessi.com.
View From the top
momentsoftruth Firm core values are the key to professional success.
By Dick Cross
T
homas Paine once said, “These are the times that try men’s souls.” No, I have no delusion of being Paine. And I know it’s not 1776. But from time-to-time we all face moments of truth in running our businesses. Situations that test our resolve and adherence to the lofty principles we’ve talked about. When handled right, we inspire our troops to follow our lead. With motivation that lives on well beyond the moments of our anguish, decision, action and glory. Implanting a force more powerful than anything else we can imagine, setting the standard for all. Our moments of truth aren’t always big things. But they are situations where there’s an easier way out, and where we have the opportunity to choose the higher, harder right.
Therefore, the ultimate objectives for you are visibility and alignment. Alignment of the handling of moments of truth by everyone in your organization. But you can’t be everywhere to enforce it. Nor can you impose yourself in ways that undermine effective delegation, or others’ responsibilities for their own jobs and areas of your company. Your solution must be subtle. It’s in setting the example, then teaching and then coaching your staff based on the core values of your business. Most of us have them. Somewhere. The result of an old offsite, or a lunch discussion. Maybe on a plaque in the lobby. And not usually first in thought for anybody. But these core values are your Trojan horse for capitalizing on moments of truth and for infecting the rest of your organization to act likewise. In demon-
We have the opportunity to choose the higher, harder right. They’re the moments we put our jobs, maybe even our whole companies, on the line for what we believe is right. They’re also the moments when we earn our pay. For being at the pivot position on matters big and small, telegraphing the core of our company’s value system to all staff. Far too few of us look hard enough for these opportunities. It’s partially because there are always other tasks we can do to make us feel like we’re contributing. But it’s also because our natural instinct is to avoid, not seek, resolve-testing situations that match our idealism to our actions. It’s especially true when it’s the tougher path to walk. Choosing higher right paths is exactly what distinguishes your business from others. In the eyes of your employees, your customers and your suppliers. It’s what inspires admiration, and in turn, support from others when you need it most. So, what does turning up our focus on moments of truth look like? First you’ve got to recognize them. The ones that show up in your email are easy. But they’re only a fraction. More arise in parts of your company, taken care of by others, with results you never know about.
strating your own consistent focus on core values and by using them as a reference point during your own moments of truth, you’ll teach everyone else to do the same. Lack core values? Not too hard to put in place. They’re already “in the woodwork” of most organizations. They’re just neglected. Your job is to resurrect them and make them apparent in your own, and then other people’s lives. Gather a team for 45 minutes and ask them to finish this sentence: “At (our company) we believe deeply in ...”. It’ll take a few sessions, but soon you’ll be zeroing in on a short set of about five emotion-stirring core values. Each need not be more than a short, easy-to-remember phrase. Use the list to screen each decision. Soon they’ll all be doing the same. And alignment of moments of truth will blossom throughout your organization. CRM Dick Cross is an eight-time turnaround CEO, private equity partner, consultant, the originator of The Mid Tier Presidents Course for Executives at Harvard, frequent speaker, chairman and member of numerous boards, and author of the book “Just Run It!” He can be reached at dick@dickcross.com.
october 2013 collision Repair 39
profiles of success
Rick Hatswell of Craftsman Collision, which operates a chain of collision repair facilities in Alberta and B.C. The business recently embarked on a new venture, Distinctive Auto Works, which provides repair to high-end vehicles.
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profiles of success
Distinctive Touch Rick Hatswell and Craftsman Collision bring a luxury brand to collision repair.
I
f you want to aim for the stars, you start with your feet planted firmly on the ground. It’s a maxim that Rick Hatswell would likely agree with. Hatswell is the General Manager of Operations for Craftsman Collision, an MSO operating four shops in Alberta, 29 in British Columbia and one in China. He got his start in the collision repair industry the same way a lot of people did: by working in the family business. His father, Bill Hatswell, founded the chain in 1977 when he immigrated to Canada from his native Australia. “When I was 13 years old, I started repairing a little MGB,” says Hatswell. “I worked on it until I was about 16.” Pulling up to your high school in a MGB is an experience to be savoured. Knowing you repaired it yourself is the icing on the cake. After high school, Hatswell moved onto the next stage of his education. He studied autobody and worked his way through an apprenticeship, eventually earning his Red Seal. “I think it makes a huge difference in how I see the business,” says Hatswell. “One of the biggest advantages I have is that I worked in the business from the ground up, learning as I went.” He moved from the shop floor to management in 1997, managing two Craftsman Collision locations. In 2006, he was
By Mike Davey
promoted to General Manager of Operations for the chain. “My role is managing the day-to-day operations of the business. Everything from staffing levels and process flow to creating training programs for our staff,” says Hatswell. “Having so many shops, it’s essential that we have a clear plan and path for our staff training. We’ve come up with a good system for management training. Some of our best managers come right from the trade.” It’s not a small undertaking. Craftsman Collision employs more than 400 people in the shops, with additional staff in head office and corporate positions. Much of their success can be attributed to the quality and dedication of their management and the shop teams. Many collision repair centres across Canada partner with vehicle rental companies. However, Craftsman Collision sees value in maintaining its own 500plus fleet of vehicles. “We could use rentals, but having our own fleet gives us more control over satisfying customer needs,” says Hatswell. There was a time in the collision industry when customer service didn’t receive much attention. Today, customer service is top of mind for progressive repairers. It’s a fact that some customers are harder to satisfy than others. Motorists who in-
vest in luxury automobiles often expect distinctive levels of service in all areas of their life. Craftsman Collision has created a brand to meet their needs. “The Distinctive Auto Works brand started when we purchased a MercedesBenz authorized facility in Calgary,” says Hatswell. “They were a ‘high-end’ shop for many years before we made the purchase and we decided to keep the name for branding purposes.” Craftsman Collision has grown through a combination of mainly greenfield builds and some acquisitions. Typically, an acquisition will be rebranded as a Craftsman Collision store. The Distinctive Auto Works shop kept its name in part to differentiate it from the other stores in the chain. The Distinctive Auto Works shop in Calgary primarily services all makes and models of Mercedes-Benz, but does repair other luxury brands. “We acquired the shop at the end of 2006, and we’ve since developed a very close relationship with Mercedes-Benz Canada. We’re an authorized collision repair centre and can access the same technical and part resources as the Mercedes-Benz dealers. We work with local dealerships, Lone Star Mercedes and Hyatt Auto Gallery,” says Hatswell. The Calgary store is even branded “Mercedes-Benz” in addition to the Distinctive Auto Works label. Recently, Craftsman Coloctober 2013 collision Repair 41
profiles of success
lision has opened a second Distinctive Auto Works location, this time in Colwood, B.C. The Colwood location is a member of the BMW Group Certified Collision Repair Centre (CCRC) network, having been recommended by BMW Victoria. The signage is certainly “distinctive.” The facility is co-branded, with Distinctive Auto Works and Craftsman Collision. “Inside the store, our logo, signage and uniforms are distinctly, ‘Distinctive Auto Works,’” says Hatswell. Becoming a BMW Group CCRC isn’t easy. Part of the reason for the store’s cobranding is so that customers don’t get the idea that the entire Craftsman Collision chain is BMW and MINI certified. “We had to work very hard with the Craftsman organization to find a solution that worked for us in that unique marketplace. The Distinctive Auto Works brand was unique and premium enough to provide the seed of the idea,” says Michel Matte, Aftersales Retailer Development Manager for BMW Group Canada. “They were also not a franchise operation that could easily lose control of the certification moniker. We now have a model in place for any other markets where finding a strong CCRC investor might be a challenge.” Distinctive Auto Works under Craftsman Collision was also one of the few facilities on Vancouver Island poised to make the investment in tools, equipment and training to make certification possible. “Say a car gets hit on the front rail, but the damage isn’t visible,” says Hatswell. “They showed us a video at the BMW conference where they fixed two identical Passats with two different methods: the old way and the recommended way. Then they put them through crash tests. The results were catastrophic for the car repaired the old way. The recommended procedure maintains the car’s crash worthiness.” There’s more to servicing a luxury brand than getting the certification, although that’s enough of a hurdle on its own. “We use the right brand of replacement vehicle at each facility,” says Hatswell. “Our Craftsman Collision fleet is primarily new Toyotas and Hyundais and the Distinctive Auto Works shops provide Mercedes-Benz and BMWs.” Hatswell believes that certified collision programs will become more common. “It’s not just the higher end vehicles that use these construction techniques anymore,” says Hatswell. “A lot of the OEM are
ABOVE: Sean Ashford of Distinctive Auto Works hands over the keys to a satisfied customer. LEFT: John DaSilva. BELOW: Troy Gooding, Sebastien Audy, Troy Hull and Kim Watts.
Craftsman Collision employs more than 400 people in the shops, with additional staff in head office and corporate positions. That’s not to mention Craftsman Collision’s 500-plus fleet of vehicles. looking at these programs. Some of them have already rolled them out in other countries. They’ll come here sooner or later.” Hatswell expects it to be sooner. This leads directly into what he sees as a major challenge for the industry in the years to come. “You can talk about insurer parts procurement, lack of technicians, etc., but I really think the biggest hurdle for the industry will be technology,” says Hatswell. “Do the shops have the right skills and equipment to fix these cars? What about five years from now?”
42 collision Repair collisionrepairmag.com
Hatswell, Craftsman Collision and the Distinctive Auto Works brand have no intention of being left behind. In fact, Hatswell is making sure he personally is ready for the future. “I’m completing a Masters of Business degree through Queens in Kingston and Cornell in New York,” says Hatswell. “I’m learning a lot, and can’t wait to apply it.” For information on Craftsman Collision, please visit craftsmancollision.com. For more information on Distinctive Auto Works, please visit distinctiveautoworks.ca. CRM
ASRW | NACE | CARS | 2013
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This museum features some of the most famous Cobras and Mustangs ever produced. Visit Monday through Sunday at 10:30 a.m. for a FREE tour of the museum. No registration required.
the auto collections autocollections.com 3535 Las Vegas Blvd. South, 89109
If you’re feeling classy, The Auto Collections will give you an up close and personal experience with over 250 world class cars and automotive treasures. Open to the public seven days a week for viewing, buying, and selling, if you’re interested in President John F. Kennedy’s 1962 Lincoln Continental, make an offer!
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A unique adrenaline-pumping experience driving up to four exotic or muscle cars for one full hour. Take the wheel yourself with a friend in the passenger seat. An instructor will guide you via radio communication.
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Your chance for a true NASCAR experience, whether you want to be there for the ride or get behind the wheel yourself. With packages ranging from eight to 50 laps, there is something for everyone! You can even take your experience home with souvenirs such as t-shirts, hats and other memorabilia.
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NACE Show Floor Make sure to stop by and check out the great products on display.
The educational opportunties offered at this year’s International Autobody Congress and Exhibition (NACE) are simply unparalleled. The event takes place Oct. 16 to 18 in Las Vegas, Nev. Live I-CAR training, the MSO Symposium and numerous social events are some of the more obvious opportunities, but it’s important not to neglect the Exhibition part of NACE. Attending the trade show
means you can speak directly to representatives of many of the supplier partners you value most highly, and all in one location. It’s a big show, and it can be easy to miss a particular booth. Make sure to stop by the booths below and see what’s new, what’s working out for your competitors and colleagues and what’s coming in the future.
Axalta Coating Systems, NACE booth #1125
Celette, nace Booth #1860
LKQ Corporation, nace Booth #1250
Spanesi Americas, nace Booth #1635 & 1637
Car-Part.com, nace Booth #1149
Hollander, nace Booth #1735
Mitchell International, nace Booth #1539
Vale Training Solutions, nace Booth #1137
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iBolt tow eye, studlever
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Steck says its new universal iBolt with safety strap provides the ability to safely load disabled vehicles on roll-back wreckers and frame racks without causing damage. The I-Bolt is a 2-inch by 1.5inch loop connected to a 7-inch long steel shaft with unique gripping teeth that locks into the threaded holes on the front or rear of the vehicle. All you need to do is insert the I-Bolt into the threaded hole, ideally behind the nut or the back of the hole, and then engage the gripping teeth by turning the loop clockwise until the teeth engage behind the nut or in the threaded hole. Steck says the IBolt ensures the quicker loading of disabled vehicles with tow eye holes while preventing further damage. Steck has also released the Stud Lever Combo Kit, which allows techs to complete PDR work using either studs or glue tabs. The Stud Level features a reinforced lever with pivoting base and self-locking stud capture mechanism, which allows the tech to lock and lever studs or tabs while also compressing the crown area of the dent with the pivoting base. The Stud Lever allows one-handed operation and provides increased leverage and accuracy.
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The ONYX HD Low VOC Productive System is BASF’s new low volatile organic compound (VOC), fast-dry solvent-borne basecoat system. This new system produces low VOC basecoats that are either waterbor ne or solvent-borne. BASF says this is the only system currently on the market that provides these options. BASF also says that the system offers similar benefits and performance to national rule solvent-borne basecoat systems, and meets all VOC regulations across North America. BASF says the product is easy to spray, offers enhanced de-nibbing, and dries quickly under common humidity and temperature conditions compared to other systems. BASF also says that collision repair centres have tested the system, and reported significant decreases in drying times leading to more repairs in less time, which can result in increased profits. “This new system is a truly unique basecoat that offers our customers options they’ve never had before,” said Antonio Leandres, Market Segment Manager for BASF’s Automotive Refinish business in North America.
Profit at work.
Profit. Mitchell RepairCenter helps improve profitability on every job. • Estimating provides the most current labor and parts pricing so you get paid for the work you do • Mobile improves service levels and customer satisfaction with realtime status updates
Come see what’s new at Mitchell NACE Booth #1539
To learn more today, visit www.mitchell.com/repaircenter or give us a call at 1.866.990.9279
www.mitchell.com
FUTURE OF THE INDUSTRY
No Detail Overlooked BMW Group Canada’s Chris Castagna is the company’s CCRC point man. By Mike Davey
C
hris Castagna is intimately familiar with the results of high-speed crashes. Currently the Field Specialist, Certified Collision for BMW Group Canada, Castagna cut his automotive teeth working on racing teams while still in high school. “At 15, I started working on a Quebecbased professional race team, and I worked on race teams for the next 13 years,” says Castagna. “I participated in over 200 professional races, and I got first hand experience with just what high speed crashes could do.” Castagna’s interest in the automotive world was sparked by his father, who owned small shops in Montreal that dealt in restorations and custom car work. “I grew up seeing him as the guy people came to see to fix things, and his custom work sparked my interest,” says Castagna. During his racing days, Castagna worked at two Honda dealerships in numerous roles, starting where most do: washing cars. “Later I became a service advisor and worked in fixed operations, managing two full-sized Honda dealerships. After that, I decided to return to school as the auto industry was in a slump and I became a mechanical claims adjustor,” he says.
Castagna then took a position as a project manager with ABB, a firm specializing in power and automation technologies. “I managed the implementation of several nationwide policies,” says Castagna. “I found I had a knack for bringing people together and implementing policy.” Until that point he had primarily been “hands on.” The experience allowed him to speak to both technical people and high-level executives. Despite having the technical skills and knowledge, and the ability to manage and implement policy, he felt he was missing a piece of the puzzle: a degree. He enrolled at Concordia University and gained a degree in political science. That degree, combined with all of his previous experiences, helped him secure his current position with BMW Group Canada. Castagna is currently the subject matter expert for The BMW Group’s Certified Collision Repair (CCRC) program. This encompasses offering technical advice to CCRCs on the rare occasions they encounter an issue not covered by The BMW Group’s online materials, serving as the main contact for the insurance industry, and providing guidance to nonCCRC collision repair facilities. Castagna
Every collision, whether it’s structural or simply cosmetic, we want that vehicle at a CCRC.” – Chris Castagna
stresses the importance for insurance companies to use CCRCs. “Every collision, whether it’s structural or simply cosmetic, we want that vehicle at a CCRC,” says Castagna. “However, we can’t force our customers to take their cars there. When a BMW enters a non-CCRC, it’s part of my job to talk to that shop and try to convince them, at a minimum, to sublet any structural repairs to a CCRC.” Castagna believes if most shops were familiar with the proper repair procedures, they would decline to fix those vehicles and would instead push them to shops with the proper equipment and training. BMW repair instructions are available through the National Automotive Trades Association (NATA), but Castagna feels this is something of a double-edged sword. “You can get a step-by-step manual on how to do open-heart surgery, but that doesn’t necessarily mean you should go ahead and do it,” he says. “Our cars are not mass market, and there are complexities to them that may be overlooked unless the technicians are thoroughly trained.” Since Castagna started working for The BMW Group, the Canadian CCRC network has grown from 21 to 36 facilities across the country. It’s been projected that number will rise to 41 by early 2014. “Our goal is to have a CCRC in every market in which BMWs are sold,” says Castagna. He also notes that programs such as Accident Management Service and features such as Nationwide Accident Management and BMW Assist will help to ensure all BMWs are taken to CCRCs. “Pushing the network nationwide isn’t simply about convenience, although that is a factor. Making sure our customers are safe is our top priority.” CRM
Future of the Industry is Collision Repair magazine’s feature profiling young up-and-comers in the industry. Is there a young person in your shop who goes above and beyond in attitude and passion for the business? Let us know and you could see them profiled in an upcoming issue. Please contact Mike Davey at 905-370-0101 or via email to editor@colllisionrepairmag.com for more information.
50 collision Repair collisionrepairmag.com
BMW Certified Collision Repair Centres
bmw.ca/ccrc
BMW CERTIFIED COLLISION REPAIR CENTRES.
Accidents happen. And while a BMW Certified Collision Repair Centre can’t undo the accident, it can undo the damage. BMW Certified Collision Repair Centres are equipped with the most sophisticated BMW technology, including frame straightening machinery developed and designed specifically for repairing BMWs, advanced bonding and riveting techniques, and a steadfast commitment to upholding BMW’s strict standards. Whether it’s a minor scratch or a major accident, your BMW is better off in expert hands. Year after year, the network of BMW Certified Collision Repair Centres continues to grow. Launched in 2004 with a mere 10 repair centres, by early 2014, there will be a total of 41 BMW Certified Collision Repair Centres in the country. You can be confident that our highly-trained professionals will restore the safety and performance of every BMW to its original pre-collision factory specifications, and at the best possible price. For more information, visit bmw.ca/ccrc.
THE ONLY APPROVED OPTION, GUARANTEED. ALBERTA Contemporary Coachworks, North Contemporary Coachworks, South Doug’s Place Collision Modern Auto Body
BRITISH COLUMBIA Bavara Auto Haus Inc. B&D Autobody & Glass Ltd. Distinctive Auto Works Kelowna Performance Collision No. 1 Collision (Lougheed) No. 1 Collision (Richmond) No. 1 Collision (Vancouver) Open Road Richmond Autobody (Langley) Richmond Auto Body of North Vancouver
MANITOBA Don Vito Collision NOVA SCOTIA Chapman Auto Body
ONTARIO Avenue Collision AWIN Advanced Autobody Centre Budds’ Collision Services Ltd. Camco Collision Centre European Auto Body Excellence Auto Collision Excellence Auto Collision (Concord) Heartland B&B Mitek Fine Automobile Body & Paint Otto’s Collision Centre Performance Collision & Restyling White Oaks Auto Body
QUéBEC BMW Canbec Collision Centre BMW MINI Laval Collision Centre Carrosserie Auto-Cinq Groupe HVN Carrossier Expert SASKATCHEWAN Sherwood Collision
©2013 BMW Canada Inc. “BMW”, the BMW logo, BMW model designations and all other BMW related marks, images and symbols are the exclusive properties and/or trademarks of BMW AG, used under licence.
driving performance
BMW’s Drive to Excellence Certified Collision Repair Centres will grow to over 40 shops. By Darryl Simmons
B
MW Group Canada’s commitment to enhancing consumer driving experience will soon include the country’s first Certificate of Repair. This innovative program, combined with a new third-party audit of procedures, was announced at the recent Certified Collision Repair Centre (CCRC) Annual Meeting held in Greenville, South Carolina. The city is home to BMW’s North American plant and famous Performance Driving Training Center. Owners and managers from nearly 30 Canadian CCRCs, along with key insurers, partner suppliers, OE reps from Honda, VW and Audi, and one media outlet were on hand at the three-day event from June 19 to 22. They came to hear the latest information on new programs and procedures, share viewpoints and feedback and bond via some old-fashioned southern hospitality. Everyone also got to hit the performance track for some adrenaline-pumping action.
The event brought together representatives from BMW certified collision repair facilities, the OEMs, suppliers, insurers and one media outlet.
Essential to the BMW and MINI customer experience is the ability not just to qualify the trust, but to quantify it as well according to Michel Matte, Aftersales Retailers Development Manager. This, he stated, was the initial building block of the Certificate of Repair. It is important to note that the final criteria to receive the repair certificate is yet to be finalized.
However, starting in the near future, each car at a CCRC with a hit that could potentially impact the structure will be measured by a computerized Car-O-Liner Vision X3 laser measuring system before and after repair. With tolerances so accurate, Matte said this is the only way consumers, insurers and repairers can know for certain the repair was done accurately. Although this may not completely eliminate diminished october 2013 collision Repair 53
driving performance
value or accelerated depreciation, he said it will certainly reduce it. The new Certificate is designed to assist the company’s certified repair centre network to set higher standards and accountability. DEKRA, one of the largest performance auditing and consultancy firms in the world, will also add to the consumer confidence in the repair facilities capabilities. Looking at processes and cycle times will be core, but the firm will also look at the CCRC’s greeting policies, reception waiting areas as well as a host of other tangible and non-tangible checkpoints. With a network of more than 30 locations and growing, it was no longer feasible for BMW staff to audit the CCRCs throughout the network. But this type of audit will not be a burden to the CCRCs. DEKRA is going to leverage its vast experience and reach in this area to help consult with practices, establish new processes as assist the facilities in managing their throughput. Safety and care of BMW’s customers are the number one concern and priority, according to Stephan Kuester, BMW’s Director Aftersales. That is why there is such emphasis on the BMW Assist telematics feature in the vehicle. At first notice of accident, communications lines are automatically opened with a trained operator checking the status of the driver and passengers and once they are confirmed to be okay, first responders are dispatched to the accident scene. This removes a lot of stress from the customer.
Clockwise from above: Group given a presentation on the efficiency and accuracy of the Car-O-Liner Vision X3, and how it can be functionally used on a 2 post lift; From left: Sam Piercey, Peter De Santis of Richmond Autobody North Vancouver, Ryan Hurdsman of Budd’s Collision Services, Jeremy Bolderson of OpenRoad Richmond Autobody and Rick De Dominicis of Don Vito Collision Winnipeg; Information on the latest procedures and standards is an integral part of the BMW Conference; BMW’s Performance Driving Center; Peter Richardson, Key Accounts Manager and Jeff Kern, President of Car-O-Liner with Michel Matte of BMW Group; Dave Procunier of Heartland B&B Collision and Dan Silvestri of Awin Advanced Autobody.
First responders include police, ambulance and fire services, as well as a contact with the BMW or MINI Accident Management team who can dispatch a tow vehicle and often arrange for car rentals for the vehicle’s driver and occupants. The car, if towed by a BMW Group authorized tower, will be delivered to the nearest CCRC. Chris Castagna, Field Specialist, Certified Collision Repair outlined the rapid growth of the network from only 10 in 2010 to 30 in 2013. More CCRCs are being certified and added to the network to meet the demands of a growing vehicle parc, according to Castagna. In many cities, this is accom-
54 collision Repair collisionrepairmag.com
plished by the building of additional shops to those already on the network, or increases to existing facilities, for example in St. Catharines and Winnipeg. BMW expects have 41 CCRCs by early 2014. By the end of 2014, there should be an active CCRC in every market where BMW vehicles are sold. Currently, the CCRC network is able to serve the entire nation via the BMW accident management system. Traditionally, CCRCs are individual locations affiliated with one or more dealers. In the case of Craftsman Collision, a singleowned chain predominant in the west, the organization created a new brand of prestige collision stores, co-branded as “Distinctive Auto Works” to address the premium segment and BMW Group Canada’s concerns around specialized repairs specifically. Rick Hatswell, General Manager of the first Distinctive Auto Works location in the Victoria, B.C. area, says customers are quite appreciative of the “brand within a brand.” “From a distance, our Craftsman logo is visible and recognizable but when close
driving performance
up and inside the store our logos, signage and uniforms are distinctly, ‘Distinctive Auto Works,’” said Hatswell. The day’s dinner was sponsored by Allstate Roadside Assistance, Car-O-Liner and Celette. BASF sponsored the drive
event that took place the following day at the BMW Performance Driving Center. Capping off the event, it was only appropriate to have was a night out at the ball park watching the Greenville Drive Junior A Boston Redsox affiliate take on a team
from Hagerstown, Md. With a team named “The Drive,” it all made sense. For more information on the BMW CCRC network, please visit bmw.ca/ ca/en/owners/service/collision_centre/ overview.html. CRM
The ultimate driving experience Pedal to the metal at BMW’s Performance Driving Center. By Darryl Simmons
W
hite knuckles leave deep imprints in the leatherpadded steering wheel of the BMW M3 as the squeal of performance tires on asphalt fills the cabin with burnt rubber. A few pylons later my co-pilot, Tei Seizinger-Mearns of Otto’s BMW Collision Centre in Ottawa, nods in approval as I slam on the brakes at the finish line of the track. With pylon penalties and a missed corner, the time is less than remarkable. But this changes with the driver. Tei takes over the wheel, and try as I might to take photos while riding shotgun, I need both hands to secure myself as the G forces and velocity increase to what seem like jet speeds. Good thing the windows and roof are closed or I’m sure my eyeballs would be glued to the back of my skull. Even then, maybe they were. No hit pylons, proper braking and an unbridled absence of fear on the gas pedal puts Tei in a close race for the lead with a time of 24.53. Only a couple of drivers would beat this time, with the top numbers going to Mike Lowe of Chapman Collision ~ CSN in Halifax. The win is obviously a testament to his skill combined with his thrill-seeking personality and the ability of his heart to skip the occasional beat while mastering the track. “I definitely had one advantage,” he says. “I was one of the guys that was down here last year, so I’ve driven on the track before. I also own a 3 Series BMW, so I’m used to the vehicle, although of course I wouldn’t ever drive like that on city streets. I was in the car with Ryan from Budds’ Collision in Oakville, and we kept egging each other on to push the car just a little further.” This is all part of the BMW driving experience. This portion, sponsored by BASF, seems appropriate with only a bit of irony. The recipe of letting twenty-five drivers loose on a series of five
tracks with a score of new Beamers does make sense. Who better to put through the paces some of North America’s fastest production cars than the guys and gals entrusted to repairing these vehicles if and when they have the misfortune to collide? John Scetta, Kelvin Campbell and Mike Lowe. It is said that those who share a common fear or the thrills of heart-pounding, adrenaline pumping action get real close, real quick. After a day on the track, the people in attendance validated this theory. Smiles pasted to faces coming out of the cars clearly displayed the enjoyment and the shared tales of bravery and bravado added to the camaraderie. Tucked in between Greenville and Spartanburg at the base of the Blue Ridge Mountains, the BMW Performance Driving Center teaches both drivers and riders everything from drifting techniques to off-road maneuverability. A ton of fun and mandatory handson learning experience, it’s the brand’s ultimate playground and learning centre. There was no shortage of ways to test driving mettle including the Wet Track Rat Race and Hot Laps. Pro instructors also drifted in roller coaster fashion through the course as we sat shotgun whipping around hairpin turns. Showing the versatility of the 3 Series on some insane terrain, we tackled the dedicated off-road area on two wheels and four. Not for the faint of heart, but a definite must-do for thrill seekers and those truly seeking the ultimate driving experience.
Left to right: Peter Woo of Excellence Auto Collision in Toronto; Darryl Simmons of Collsion Repair magazine; Tie Seizinger-Mearns of Otto’s Collision in Ottawa; Manny DeLuca of European Autobody and Stephan Kuester of BMW Group Canada; Sukhi Natt of RBC Insurance.
october 2013 collision Repair 55
@carstarcanada CARSTARAutomotiveCanada
At CAR ST AR we un derst an d
th at car s are mo re th an just
meta l; they are our s. They are our se cur ity an d our fre ed om . Our car s pr ove to us th at somet ime s lif e isn ’t ab out the de st inatio n, but the journ ey . W het her it’ s ta king yo ur ba by home fro m the hos pit al for the fir st time, a roa d tr ip wit h fri en ds or an ins pir ing dr ive wit h a speci al someon e; CA R ST AR un derst an ds the rel at ion sh ip th at pe op le ha ve wit h their car s an d th at when somet hing ha ppen s to them , som et hing ha ppen s to us . Joi n the CAR ST AR com mu nit y on Fa ceb ook an d Tw itt er an d sh are wit h us how yo u # lov et he journ ey . be st fri en ds an d our wo rk hor se
INDUSTRY EVENTS
CARSTAR’s
Elevation By Jay Perry
The network aims high at 2013 CARSTAR Industry Conference.
1
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he 2013 CARSTAR Industry Conference began Aug. 14 on a charitable note as about 100 people walked along the Lake Louise Shoreline Trail for Cystic Fibrosis, ending with a passionate rendition of “Oh Canada” as delegates faced the majestic Rockies. Over $5,000 was raised for Cystic Fibrosis Canada, contributing to the $2-million already raised by CARSTAR. The theme of the three day 2013 conference was “Elevation,” a title suited both to the setting of high goals and this year’s backdrop at the Fairmont Chateau Lake Louise in Lake Louise, Alta. Sam Mercanti, CARSTAR Automotive Canada President and CEO, opened the conference with a speech focusing on the importance of technology, demographics
and business climate in the collision industry. Mercanti highlighted the necessity of constant improvement and establishing an emotional connection with customers as an imperative goal and key to the future of the company and its franchise partners. Michael Macaluso, COO, followed and spoke on on where the industry has been, where it is today and speculated as to where it will be in the future. This led into a discussion among delegates about the company’s national strategy and solutions to business challenges that are ready and being rolled out across the country. David Byers, CEO of CARSTAR U.S., was also in attendance and brought greetings from the American affiliates. He acknowledged the strength of CARSTAR’s North American service offerings and how continued collaboration between
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CARSTAR’s Canadian and American organizations will benefit both sides. To conclude the first day, keynote speaker Sasha Strauss addressed consumer perception and communication, highlighting how leading global companies have created new ways to deliver both product and service to consumers, adding that the bar is being raised once again for the collision repair industry. The second day focused on the importance of social media. Glenn Gibson, CEO of Crawford Consulting, discussed the relationship between technology and business. Gibson noted the company’s greater responsibility to be downloaded and fully integrated into a customer’s purchasing, procurement and claims experience. Chris Moore, CARSTAR’s National Marketing Manager, highlighted the
INDUSTRY EVENTS
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8 success of the year’s marketing programs and discussed forthcoming programs that will help to continue raising brand awareness. He also spoke of the impact on business that community efforts such as supporting Cystic Fibrosis Canada has had. “The CARSTAR Industry Conference allows us to discuss marketing in a face-to-face environment with our franchise, insurance and vendor partners and garner input on how to best elevate our business,” says Moore. L illian Haskett of CARSTAR followed, delivering a presentation on how franchisees can elevate their shop’s customer service experience. She noted how CARSTAR’s updated image and the new look of its locations has been an influencing factor in choosing CARSTAR over a competitor. It’s key to ensure a superior customer service experience.
David Lingham, Conference Director for the International Bodyshop Industry Symposium (IBIS), gave a speech on industry leadership and collision repair industry pressures based upon the global nature of the business. He cited those pressures as opportunities to emerge as leaders. A well-attended trade expo occupied the afternoon, featuring over 40 vendors and a variety of business development workshops. “The conference this year was a great example of bringing together franchise partners, insurance partners and vendor partners to help elevate each other’s business,” says Colson Cole, CARSTAR’s National Director of Operations. The final day of the conference began with insights from Louis Gagnon, President and COO of Intact Financial Corporation. Gagnon says recent tragedies such as the Lac Megantic
1 Sam Mercanti of CARSTAR and the son of Frank Sottile, CARSTAR MSO. The CARSTAR Conference is a family friendly affair. 2 Keynote speaker Sasha Strauss discussed the significance of both corporate and personal brands. 3 The conference kicked off with a stirring rendition of O Canada. 4 Colson Cole of CARSTAR outlined how CARSTAR’s structure and new initiatives will help stores continue to strive to be the best. 5 Louis Gagnon, President and COO of Intact, shakes hand with Michael Macaluso of CARSTAR following his presentation. Gagnon provided an account of recent challenges that test all aspects of the insurance industry. 6 In addition to seminars and networking events, attendees also got their trade show fix at the Vendor Expo. 7 The final dinner event followed a Western theme. 8 Over 100 of CARSTAR’s staff, franchisees and partners walked the Lake Louise Shoreline trail to kick off the conference.They were able to raise more than $5,000 for Cystic Fibrosis Canada.
train disaster and the floods in Alberta and Ontario create challenges for insurance companies beyond finanicial soundness. They force companies to weigh the human aspect and the emotions of loss, stressing that the system needs to be robust and flexible. The conference came to a close with a dinner and awards ceremony honouring stores for their commitment to leadership, outstanding service and results. “Aside from the venue and location placing everyone in a great spirits, it’s never an easy task trying to deliver true value to all our partners, but I received nothing but positive feedback,” says Vince Matozzo, CARSTAR’s National Account Manager. “To quote one partner, ‘we hit a home run this conference!’ With only a year away to our next one, we will have to raise our own bar to achieve a ‘grand slam.’” CRM october 2013 collision Repair 59
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regional focus
Training the Future to Save It Developing new, young technicians the key to invigorating the business.
990
Part-time vs. Full-time Positions
891
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By Andrew Ardizzi
o industry can ever rest on its laurels and hope to stay successful and in business. Why should the collision industry be any different? In April 2013 Meyers Norris Penny released the Auto Body Business in Manitoba Health of the Industry report, which highlighted a number of steps the industry has taken forward inside the province. The report, which polled collision repair shops across Manitoba, offered insights into the state of the industry and how it progressed between 2009 and 2012. The report especially noted an improvement in wages for journeyperson repairers and apprentices, a higher volume of recruits and greater employee retention and shop freedom. “I feel it’s been progressive,” says Dan Jonsson, owner of CARSTAR Manitoba. “There seems to be a lot of good things afoot, not the least of which being the migration towards electronic management stores and the potential to do our own estimates.” While greater in-shop freedoms are welcomed by Jonsson, he’s careful to become over-excited by the prospect of the labour rate rising. The 2012 report states journeyperson collision repairers and apprentices have seen a total annual average wage increase of nine percent over from 2009 to 2012. The report also indicates the number of part time jobs in the industry have decreased. Full time positions have increased from 891 positions to 990 based on the report which polled a number of shops across the province. “You can say the labour rate has gone up and say that’s terrific, but that’s fairly shortsighted,” he says, although noting the swing towards more full time jobs is a positive indicator. “You probably can surmise
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Part-time what the decrease in part time jobs and the increase in full time work is indicative of; businesses are becoming more stable.” Jonsson was careful to note that this is a trend he has not seen personally, as CARSTAR Manitoba doesn’t currently have any part time staff. John Vernaus, owner of Vernaus Auto Body, isn’t as optimistic that the industry is on an upswing. He says that although he has hired more staff, as well as two full time technicians, a number of shops have closed down over the last several years. “I think it’s a cycle, and right now our industry is up,” Vernaus says. “Last year was good, but on a down year a lot of people will be crying. We’re up about 45 percent during the winter, so I think it’ll be a good year. But if it wasn’t for the volume I think we would be losing money.”
2009
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Full-time Another prevalent issue across the province has been keeping shops adequately staffed due to pay inequality relative to other industries, something Vernaus views as an obstacle to attracting skilled technicians and apprentices alike. “It’s a down and dirty job, I don’t think it’s an attractive industry,” he says. “Not right now, not for the amount we’re paying our people.” Vernaus says the current labour rate of $67.00/h doesn’t lead to a profitable business, adding wages have only been increased to match the cost of living over the last 10 years. With the decreased labour force, he says it’s been difficult to cycle cars in and out of the shop. Despite Vernaus’ cycnicism, the Health of the Industry report states that the industry has had some success in recruiting apprentices to the collision repair industry october 2013 collision Repair 61
regional focus
to help alleviate the strain caused by the periodic exodus of journeyperson repairers. In 2011 there was a total of 166 new registered apprentices, compared to 147 in 2008 and 2009. This represents a 13 percent increase in the number of new, young prospective collision repairers entering the industry. Much of this increase is attributable to the Tool Allowance and Apprenticeship Grant program that awarded over 100 grants worth $400,000 to apprentices between 2011 and 2012. “I thought it was progressive of MPI to promote the trade with its tool subsidies for apprentices in order to make entrance into the industry more accommodating,” says Jonsson. “We’re going to get old and nobody’s entering the field because wages are low and it’s too difficult a sector to get into when you look at the amount of tools you have to purchase. People don’t want to enter it.” He says it’s incredibly important, given that older technicians are retiring and the business needs to plug the hole left by departing journeyperson technicians. Vernaus says attracting apprentices to the business is imperative, noting they’re easier to groom and keep than journeyperson repairers. From his observations apprentices tend to stick around if you take a chance on them, citing loyalty as a key to creating a family-like relationship inside the shop. Rick De Dominicis, Director of Automotive Repair at Donvito Automotive Group, says they undertake a number of initiatives with schools to attract young would-be-collision-repairers, hoping to introduce them to the business and train them in-house with the promise of work once they’re certified. He says there’s a shortage of highly skilled technicians, making partnerships like the one they hope to establish with Red River College that much more important. “We have two apprentices right now: the one we took from Red River College and one we took out of a high school collision repair course,” says De Dominicis. “We went into the high school and said, ‘give me your best student and they can come here for work experience and then come back when they’re finished high school.’” Through their partnerships, he says they continue to educate them and help them through college and allow them to grow with the company. He says Donvito has already done this with one former high school student, and they’ve now been with the company for three years.
Types of Workers Journeyperson Apprentice
4%
13%
Admin/Supervisory
42%
Parts Person Other
27%
14%
2009
16% 5% 22%
*Average age of workers in 2009: 37.7 years old *Average age of workers in 2012: 36.6 years old
“We’re still grooming him and he’s been doing really well,” he says. He says it’s also beneficial to train young repairers the “right way” at a young age, given Donvito’s strict processes and relationships with OEMs. “Getting kids involved with the process at a young age is critical. It’s much easier to train them than a higher-skilled guy from another place and change their way of thinking,” he says. De Dominicis is a little more optimistic about the state of the industry and its ability to keep technicians, but for Donvito, it comes down to how their technicians are treated in-house. “We’re a very large company, but we’ve always kept it as a family business,” he says. “ Every one of my employees is like a family member and that’s the way I look at them.” He says they make the constant effort to have the best equipment on hand so technicians can be equipped to do their jobs while ensuring they’re happy. “It’s about caring about your staff and giving them what they need. Pay isn’t always everything. You can leave and go somewhere else for an extra dollar, but if it’s a horrible business culture then it’s not worth the dollar,” he says. “It’s about having a sound balance of pay and culture.” Vernaus says an additional benefit to investing in young repairers is that they are more tech-saavy and are often more capable of using new technologies as they
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44% 13%
2012
arise. Given increased integration between the repair process and emerging technologies, he says having a tech-based skillset will be a cornerstone of the collision repair industry moving forward. He estimates 30 percent of repairs require some measure of technological familiarity outside the strictly automotive sphere. The report states this will become increasingly important as the business continues to evolve with respect to base-level technological advances, environmental and safety regulations; this will necessitate able and willing workers that are prepared to stay up-to-date with the latest advancements in automotive technologies. It further stresses the importance of investing in additional training and education programs. The report suggests refining a strategy to not only attract new technicians, but improve a shop’s ability to retain their young workers. The report recommends that ATA, MMDA and MPI must work together to find a way to compensate smaller shops who invest in apprentice training. While opinions on the industry’ direction in Manitoba are mixed, there are positive aspects within the report’s findings that do warrant a positive, albeit subjective outlook concerning what’s next for a debatably hampered industry. “Ask the collision repair shop down the street and they might say the situation is deplorable,” says Jonsson. “As for me, I’m heartened.” CRM
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hybrid, Safety and you
Full Charge Working on hybrids demands new safety protocols. By Craig Hubbard
M
ore than 6.3 million Hybrid Electric Vehicles (HEVs) have been sold worldwide since the introduction of the Honda Insight in 1999 and the Toyota Prius in 2000. According to DesRosiers Automotive Consultants, they represent less than 1 percent of the Canadian market, but this number is expected to increase significantly over the coming years. These vehicles require special safety considerations. “It would have to be an absolute priority for repair facilities to have the proper safety equipment,” says Andrew Shepherd, Director, Collision for the Automotive Industries Association. “Any repair facility
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without instruction in the safety issues would be putting its employees at risk.” At the heart of most HEVs is a 300-volt nickel metal hydride (NiMH) rechargeable battery. NiMH batteries have been chosen for HEVs because of their durability, but their high voltage makes it necessary for repair facility employees to adopt a number of safety precautions. Raymond Bourgeois is an adjuster with Allstate, who also teaches hybrid collision repair for I-CAR. He says the HEV must be started periodically to ensure that the NiMH battery doesn’t go flat while in the shop, as it can lose power easily, unlike the forthcoming lithium-ion battery which retains its charge more reliably.
hybrid, Safety and you
“The lithium-ion battery can go flat a number of times,” Bourgeois says. “It can take that abuse.” Prior to making any repairs on a vehicle, use the high voltage service disconnect to disable the high voltage (HV) system on the car. Always located on the battery itself, the service disconnect isolates the high voltage to the battery. According to Stu Klein of Fix Auto and an instructor in hybrid collision repair for I-CAR, using the service disconnect is essential for almost all repairs. “If it’s a very simple repair like a fender dent, you don’t have to power down,” Klein says. “But anything more complicated than this and you do have to make sure the high voltage is disconnected.” The service disconnect switch takes different forms on different vehicles: slideand-pull; round handle (which moves from lock to unlock to service position); toggle switch; and spring loaded switch. With any of the switches, follow the manufacturer’s wait time to ensure all the HV has been discharged and check with a digital-ohm meter to verify that all HV is absent. The battery should remain in the vehicle during repair, and you may have to cover the battery for protection from heat and sparks. One of the most important principles that Klein emphasizes to his students is that different manufacturers recommend different techniques. “There are aspects of every car that are different, so it’s essential that you refer to the manufacturer’s manual,” he says. If the battery must be removed, it should be placed on a flat surface away from heat and sparks. The battery should then be covered—a welding blanket is good for this purpose—and tagged as high voltage. In addition, use caution not to tip the battery; the electrolyte is highly alkali and can do damage to the vehicle’s finish. Neutralize and clean up any spill immediately. Litmus paper can be used to test if liquid found around a battery is from the battery’s electrolyte or another source. During all these operations, wear “class 0” electrically insulating rubber gloves that are free from holes or tears, as well as safety glasses. Also assume that any parts of the HV circuit could still be energized during repair. Bourgeois recommends even more stringent precautions. “Put on lineman’s gloves first and cover them with regular gloves,” he says. The hybrid battery can have sharp edges and electricity is like water, it can enter the smallest puncture in a glove.”
HEV batteries are also vulnerable to the heat of a spray booth. Spray booth paint cycles can reduce both the performance and life of an HV battery. Manufacturers recommend refinishing be conducted at temperatures of less than 60 degrees centigrade with a bake time of 45 minutes or less. Remove the battery prior to painting if these limits can’t be achieved. Run the engine every two weeks or so to maintain the battery’s state-of-charge. If the service disconnect has not been enabled, smart keys should be kept away from the HE. Damaged batteries should be recycled according to egulations. With the introduction of the 42-volt electrical system, HEVs were able to power their air conditioning and power steering systems. Unlike conventional vehicles, HEVs need special compressor oil to lubricate these systems. The recommended oil attracts less moisture than conventional compressor oils, thereby conducting less electricity. This, in turn, acts as an insulator preventing the compressor case from conducting HV. If the wrong oil is used in the compressor, a diagnostic trouble code (DTC) may be set, or worse, may cause damage requiring the A/C inverter to be replaced. The oil to be used in HEV compressor systems is Polyol Estor (POE) oil such as ND-11 or SE-10Y. “Every time you replace any part of an air conditioning system, you need to replace some of the oil,” Klein says. “It’s essential that the right oil be used to prevent damage to the A/C system.” Even a small amount of the non-insulating oil can cause contamination if it leaks into the A/C system. To prevent this, GM recommends a flushing procedure for the A/C recovery recharging equipment. Other approaches include having dedicated equipment for electric A/C systems or specialized equipment that can change
between conventional and HEV systems without contamination. In addition, Nissan and Toyota recommend against using leak detection dye, which they say can react with the oil and reduce its viscosity. They recommend an electronic leak detector instead. GM recommends a POE oil-compatible leak detection dye that comes in a solid wafer and is removed through flushing. In 2008, the two-mode full hybrid system was introduced. Designed for HEVs that need more power in certain circumstances, the system is found on HEVs such as the Chevrolet Tahoe Hybrid, the GMC Yukon Hybrid and the Cadillac Escalade Hybrid. The first mode is used for light loads and speeds. The second mode is for passing, towing or climbing a steep grade. In many of these vehicles, the battery is located under the second row of seats. A venting system on the battery vents as many as 40 cells of their electrolyte gases. Each cell is vented individually and any gases joined into a single hose in the seat pan. Inspect the hoses and manifolds for kinks or poor connections. On GM full-frame HEVs, there is a 12volt battery under the hood with three cables marked by yellow tape. Examine the battery and replace any cut cables. On some HEVs, a collision will automatically disable the HV system. A sensor may be set which will require a scan tool to clear. Some HEVs have batteries located in the rear of the vehicle. A rear collision can cause damage to the battery or to the A/C venting. Inspect rear-located batteries for damage which might require replacement. Recognizing the unique design and structural details of HEVs is essential to staying safe during the repair. Information from AIA Canada course materials was used in preparation of this article. CRM
The batteries in an electric vehicle can carry an enormous charge. “Safety first“ is the mantra when working on these vehicles. Photos appear courtesy of Lauria Hyundai in Port Hope, Ont.
october 2013 collision Repair 65
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features
Franco Gobbato, Vice President of Formula 1 Collision Centre, inspects a car at his shop in Windsor.
Successful W Estimates The key is in the details. By Sanam Yar
hen it comes to writing estimates, getting them perfect on the first try is easier said than done. The ever-changing nature of the auto industry propels vehicle designs and components to change year after year, leaving even the most experienced estimator with an increasingly difficult job. At the end of the day, the goal is to have an accurate estimate with a minimum amount of supplements and cycle time. According to Marc Julien, General Manager at CARSTAR Brampton, a good estimate is “detailed, follows a specific standard of procedures, addresses mechanical issues, and is adjusted for every part of the estimate during the teardown... october 2013  collision Repair  67
features
Marc Julien, General Manager at CARSTAR Brampton, teaching a class for an I-CAR advanced vehicle systems estimating class.
it is one with no surprises and where all the questions are answered ahead of time.” Yet, as John Norris, executive director of Collision Industry Information Assistance (CIIA), points out, “Estimating is not a trade in itself–the vast majority of estimators are collision repair technicians, and estimating is included in their collision damage repair training.” The challenge with this is that since estimating does not specifically require its own qualifications, estimators rely on experience to teach them the nuances and tricks of the craft. With that in mind, one way to achieve more accurate estimates is to look into sending estimators to school. Educational facilities such as Vale Training Solutions provide hands on instruction in intensive courses that can range from two days to two weeks long. Taking estimating courses requires some investment, both money-wise and time-wise. However, Douglas White, Quality Control Analyst at CSN Collision and Glass, believes, “While most of estimating comes to you with experience, these courses help you understand the way metal moves with collisions, understanding where collision impact transfers damage. They are more beneficial for entry level people and new estimators.” Norris agrees, “Estimators attending these courses learn things they can use. There are shops that pride themselves on charging 300 to 400 more dollars for the same repair done at another shop, because their estimators catch things others might not.” Additionally, Frank Gobbato, president of Formula One Collision Centre, suggests,
when it comes to missed elements on estimates, small processes, parts or materials, such as hardware, are often omitted. Estimators often overlook or forget to address the electronics. “Observe your estimators and what they have to do to perform the repair. Scrutinize their steps to make sure they are not missing any.” When it comes to missed elements on estimates, small processes, parts, or materials, such as hardware, are often omitted. Estimators often overlook or forget to address the electronics included in newer vehicles and the new technologies of safety systems and airbags.These inaccuracies can add up and have an impact on shop efficiency and profitability. An important thing to remember is to take your time. As Don Pogoda, Operations Manager at Parr Auto Body, explains, “Take your
68 collision Repair collisionrepairmag.com
time and discover all the damage. Spend a little bit more time in the beginning and you will save a ton of time in the end. There is a saying we have: discover early, recover early.” “When rushed, estimators don’t look at the whole picture of what is required, they don’t necessarily follow all the procedures the vehicle needs to be put through. In the end, everyone suffers,” adds Gobbato. “Blueprinting is the best way. When you are removing everything, you should be writing the details down as you go. Having everything written in real time and added as you go makes for a more thorough estimate,” says White. Efficiency is paramount, and considering the time and money lost in the steps associated with traditional, visible damage estimating, blueprinting provides tremendous value in terms of cycle time reduction alone. Having a consistent methodology when estimating a vehicle can streamline the process, making it more efficient. As an estimator, it is also important to keep up with industry trends, including changes in pricing for parts and labour, as well as issues specific to particular cars. Julien explains, “Moving forward, estimators should understand vehicle construction. Vehicles and materials are always being updated, and technicians and estimators need to understand the components they’re working with.” “Do your Audatex and Mitchell training to find out what you think should be necessary steps, and know your P-pages. A lot of vehicles go in with a five star crash rating and leave with a one star crash rating. How many collision shops actually look at manufacturer’s recommendations? Individual interpretation of the system leads to omitting steps, and the result can be lifethreatening. Knowledge on how to properly repair a vehicle back to pre-accident condition is crucial,” adds Gobbato. Another thing to consider is that while there are many things that comprise a good estimate, all that work is meaningless if the customer is unhappy. It is important to be empathetic towards a customer. More accurate initial estimates will lead to fewer surprise costs for customers down the road, helping them make decisions on how to address the damage. Spending time listening to what the customer has to say instead of just handing over an estimate can make all the difference in good customer relations. Ultimately, as Norris puts it, “Estimating is the lifeblood of the business; without proper estimating, you have nothing. It is what everything is based on.” CRM
profile
Riding the Wave Dave Miller a champion in the shop, on the water. By Andrew Ardizzi
D
ave Miller has come a long way since he opened his first shop in 1987. Now the owner of Fix Auto Abbotsford West—in addition to seven other shops across B.C. and Alberta —Miller’s philosophy has developed over the course of his life, forming into a simple creed: expect the best, and expect results. Miller grew up working in his grandfather’s repair shop in Lynden, Wash., taking on many of the odd jobs on the shop floor. He swept up at first and observed much of what went on inside. “I think one experience that stands out in my mind was when I was 10-years-old and I was cleaning the shop and my grandpa would be wandering around. Employees would just sit around and watch to see if he was coming and then they’d go back to work,” he says. Despite his age, the employees’ work ethic angered Miller, and it was that moment in his formative years that molded and sculpted his business philosophy. “I learned that if you don’t work hard and if you’re not committed, you’re not going to get anywhere,” he says. “I learned that productivity was important, whether you own the business or if you’re a worker.”
Outside of the shop Miller is an accomplished champion level water skier.
Natasha Jackson, an accomplished athlete herself, hopes to one day follow in her dad’s footsteps. Aaron Jackson is the Manager of Business Development at Fix Auto Calgary South Central.
Miller says no matter the job, from the time he worked in his grandpa’s shop to the time he opened his first shop, he has maintained a strong work ethic and demands the same from his employees. He also finds it’s important to keep the customers front and centre with each job. “Treating others the way you’d want to be treated. That’s been our core mission statement since way back,” he says. “If we approach everything we do with that in mind, you can’t really go wrong.” Principles of fairness, honesty and integrity are important to Miller, who also demands and expects results from his team. While he expects the best, he believes you need to be understanding and offer help
70 collision Repair collisionrepairmag.com
where it’s needed. What’s important is having a positive, willing-to-learn attitude. “Delegation is key, and letting people step out and take a leap into a job helps them learn,” he says. “They’ll make some mistakes along the way, but if they’ve got a good attitude they’ll learn and then succeed.” When Miller first began his career, he remained very active in the shop, literally taking on every role. As his business expanded he found he needed to step back and let others take the reins from his hands. He says he soon discovered that you can’t do everything yourself, and that you need to surround yourself with good people. “I learned very quickly that I needed to replace myself with anyone I could that
profile
was as good or better than me,” he says. “I think that was the key to my success, to the shop’s success, that I trusted people. Trusting and empowering others to go out and challenge themselves and learn from their mistakes has been crucial.” While Miller has approached his collision repair business with a natural drive, determination and willingness to challenge himself, he’s transferred those traits into a successful athletic career as a world champion water skier. “I got started a little late. 25 is when I really started competing and got serious about training at a competitive level,” he says. Miller has competed internationally in water skiing events for nearly 30 years, competing at the pro level for 10 years. A multiple time national champion, Miller won the 2006 world championship in South Africa and has won multiple Pan-Am championships. He continues to compete today in the Masters Men’s category (35+), but feels his water skiing experiences have only enhanced his collision repair career. “I’m very competitive. With waterskiing you have to be focused, you have to train hard and you can never give up,” he says. “I think those principles apply to business. When you’re working you have to be focused, you have to work hard and keep moving forward.” While his water skiing and collision repairing exploits are impressive, he isn’t the only car-loving, athletic member of the Miller clan. His daughter, Natasha Jackson, runs Fix Auto Calgary South Central with her husband Aaron Jackson, who is the location’s Manager of Business Development. Natasha is an accomplished heptathlete, having been named an All-American over 20 times while obtaining her business management degree in the U.S. She’s currently training to compete in the 2016 summer Olympics and credits her dad’s influence in the shaping of her own path. “He’s always been a role model in my life, both athletically and in my career,” she says. “He’s very driven, he’s pretty much all or nothing and gives his best in everything he does.” She says she admires the way he relates to people, and how he adapts and evolves for the sake of improving his business. “It takes a lot of discernment and wisdom to know what to do. He’s very intuitive,” she says.
Miller shaped his work ethic while working in his grandpa’s shop.
Jackson, who much like her dad started by doing odd jobs at a young age in the Abbotsford shop, plans to continue expanding her role in the business, working with Aaron to grow what her father started. Dave Miller envisions Natasha and Aaron slowly taking over the business long-term, but in the meantime he continues to enjoy what he does – inside and out of the shop. “It’s always changing, it’s never boring,” he says. “I love the challenge, the cars and the people.” CRM
october 2013 collision Repair 71
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products
Show time! On display at SEMA. Las Vegas is currently gearing up to host one of the single biggest events on the automotive calendar. The Speciality Equipment Marketers Association (SEMA) Show takes place Nov. 5 to 8 at the Las Vegas Convention Center and will feature numerous vendors. SEMA has also recently announced that this year’s Collision Repair section will be significantly expanded over last year’s. The SEMA Show will also feature education and networking opportunities too numerous to mention here, but for many, it’s the trade show portion that is the main draw, displaying both well-known equipment lines and the latest and greatest in innovation. Over the following pages, we’ll feature a sneak peek at some of the newest products being showcased this year at SEMA. All products are listed alphabetically by manufacturer. As always when considering new equipment or lines, please research any purchases thoroughly before you sign on the dotted line. Information presented in this section comes directly from the manufacturer. Inclusion of a product in this section is not intended as an endorsement of these systems or products by Collision Repair magazine or its staff.
3M
flexible abrasive
3M says its new 3M Flexible Abrasive Hookit Hand Sheets are ideal for hand sanding applications including primer sanding, blend p re p a r a t i o n a n d paint finishing. This product provides excellent cut and finish performance with high flexibility, conformability and a soft feel. The company say the 3M Flexible Abrasive Hookit Hand Sheets are excellent for sanding panel edges, and for parts including hard-to-reach areas such as bumper covers, door jambs, and door pockets as well as panel edge scuffing applications. 3M says one advantage is that the 3M Flexible Abrasives deliver the cut and finish of a conventional abrasive, while also providing added flexibility for hard-toreach areas that will get the job done faster and better.
> www.3Mcollision.com SEMA Booth #12439
Anest Iwata
BLOWTHERM
From its humble beginnings in 1926 and throughout the last century, Anest Iwata has been a quality designer and creator of spray guns. The company has come a long way over the last 87 years and aims to continue to innovate well into the future. With their latest offering, the Entech LS400, the company touts it as the next generation of HVLP spray guns. The LS400 is the latest addition to the company’s line of Supernova sprayers, giving professionals a wide range of application solutions for second and third generationwaterborne basecoats. The LS400’s pre-atomization nozzle technology couples with its new design air cap to deliver a variety of paint options to technicians’ hands. It is capable of delivering flat, thin, large and wet spray patterns and works well in hot and dry climates, in addition to cold locations with high humidity. Anest Iwata says the LS400’s combination of HVLP technology and preatomization technology provide painters with a tool that ensures that is no wasted product on the shop floor.
Blowtherm’s Extra is not new for this year, but the company has made several significant improvements in 2013. These improvements are now available as options on newly-purchased Extras. First, new floor-to-ceiling windows can be added to the sides of the booth. This allows for much greater transparency during refinishing. Managers can easily check on the status of a paint job while walking by the booth, and the large windows make it much easier to demonstrate the process for customers and key insurance partners. Blowtherm has also introduced an innovation when it comes to drying. The company says it will help to greatly increase efficiency, by bringing power where it’s needed. The drying units are built directly into the ceiling. This frees up space along the walls, giving the painter more room to operate. More importantly, the full force of the dryers can be used on a small area. For example, if you only painted the front left quarter, then you can set it only to dry that area. Bringing full power to bear in a small area greatly speeds up the process.
Entech LS400
> www.anestiwata.com SEMA Booth #10825
extra
> www.blowtherm.com SEMA Booth #11379 october 2013 collision Repair 73
products
Car-O-Liner
Garmat
Point X from Car-O-Liner is designed as a diagnostic and estimating tool for quickly diagnosing lower and upper body measurements. Car-OLiner says a technician using the Point X can perform measurements in the parking lot or under a two post lift and give the customer a printout. The software guides the tech through the process, providing a pictorial representation to show where the measuring points are located. The Point X attaches to the bottom of the vehicle with a super-strong magnetic base. The technician then extends the arm, records the measurement and sends it to the software. From that one point, the arm can then be swung around on its magnetic base to measure the other points. According to Car-O-Liner, it is often possible to measure five or six points from the same base, as the arm can rotate. The Point X is constructed of carbon fibre, making it very lightweight and robust. The brightly lit screen shows where the tech must place the magnet and pointer for each measurement, eliminating trips back and forth to look at the software.
Garmat offers a full line of booth accessories which the company says are designed to increase production by implementing leaner processes into your workflow. In addition to the company’s wellknown Accele-cure Accelerator system, Garmat now offers a number of air boosters, including the Vertical Corner Booster, the Vertical Tower Booster, the Horizontal Hip Mounted Booster, the Horizontal Hip Mounted Booster with Lights and the Horizontal Wall Booster. Also new for 2013 are 6 and 8-tube upgraded light fixtures and AddA-Lite Retrofit Lighting Kits, allowing you to bring more and higher quality light into the booth, leading to more accurate and productive paint jobs. Continuing the drive towards greater booth efficiency, Garmat has also introduced the Parts Hanger, for more efficient parts spraying, and the Hose Trolley for longer hose life. In-Booth storage is also now available for drive-in back/out paint booth or prep stations models. These flush fit cabinets provide in-booth storage and can be configured to fit materials required for your individual processes, and secondary painting equipment.
> www.car-o-liner.com SEMA Booth #10639
> www.garmat.com SEMA Booth #10729
Goliath Carts
Mirka
Goliath Carts has won several awards for its products in the past few years, including a New Product Showcase award at SEMA in 2012 and Best New Product at NACE in both 2010 and 2011. The company manufactures and sells a wide variety of carts and security solutions specifically geared to the collision repair industry, including a number of specialized carts for various shop departments, such as body, paint or detailing. The company’s latest offering is the PG1 Gun Locker. This is a lockable, wall mounted cabinet that stores up to eight paint guns simultaneously. Using a keyless entry lock, Goliath Carts says this is the first secure paint gun holder for the industry. The PG1 Gun Locker can be mounted directly to the company’s Goliath P1 Prep Cart. Alternatively, the PG1 Gun Locker can also be mounted on any wall surface to provide security for the valuable paint department and personal resources. The PG1 Gun Locker adds to the end-to-end line of Goliath Carts products that cover every department in the collision repair facility.
According to the company, Mirka’s new Optimized Surface Preparation System takes advantage of the best of the range, resulting in a system that is extremely compact but nevertheless very effective. Mirka says the combination of net sanding and soft abrasive products, together with the company’s ergonomic tools, provides the operator with benefits that simply cannot be achieved with a conventional system. The Optimized Surface Preparation System includes a 150 mm paint removal disc and 70 by 198 mm body filler strip, a 150 mm feather edge disc and 70 by 198 mm body filler strip, a 150 mm primer preparation disc and 70 by 198 mm primer and body filler strip and a 150 mm finishing disc and Mirka OSP-4 hand finishing pad. The system also includes a trolley, a VC 915 dust extractor, pneumatic box and pneumatic dual operator kit, dust extraction hoses, a PROS 650CV pneumatic random orbital sander, an OS383CV orbital sander, a Mirka interface and a dry guide coat.
> www.goliathcarts.com SEMA Booth #10961
> www.mirka.com SEMA Booth #11431
point x
D1 Detailing cart
74 collision Repair collisionrepairmag.com
productivity boosters
optimized surface prep
products
Sherwin-Williams
Wedge Clamp Systems
Sherwin-Williams Automotive Finishes has launched a number of new products this year. Two new 2.1 VOC clearcoats hav been added to the ATX solventborne refinish system, ATX 2.1 VOC Spot Clearcoat 1090210Q and ATX 2.1 VOC Overall Clearcoat 1090211Q. Both use the same mixing ratios and hardener, so less inventory needs to be stocked. Sherwin-Williams has also added 2.1 VOC Matte Clearcoat 1100727Q to its Premium Clearcoat line. The company says the main goal was to ensure it consistently hit targeted gloss levels and be less susceptible to gloss variation due to technique or equipment. The new Genesis Polyurea coating is a spray on polyurea that is 100 percent solids. It is also available in a tintable version. Rounding out this year’s offerings is the addition of a new waterborne spray gun and surface cleaner to the AWX Performance Plus product line. No mixing or dilution is required. It can be used both as a gun cleaner, and can also be used on OEM topcoats, primers and refinish undercoats to prepare the surface prior to painting, and helps minimize static build up when applied to plastic substrates.
Wedge Clamp says that if saving half an hour per paint cycle time appeals to you, then you should take a look at NitroHeat. NitroHeat is a heated nitrogen system designed to plug right into your compressed air system, converting air to 98 percent nitrogen. The company says it atomizes and lays down better while flashing off faster. With the improved efficiency in paint transfer, Wedge Clamp guarantee a minimum paint savings of 15 percent. Shorter tack times, faster to dust-free, and less waiting between coats means more efficient throughput. Wedge Clamp has also launched a new, lighter duty puller that provides more versatility. Pulling up to five tons, the Quick Puller offers dual independent pulling capacity and boasts a 20 percent smaller footprint than Wedge Clamp’s EZE Roller. The integrated handle and swivel wheels ensure mobility, and you combine the Quick Puller with Wedge Clamp’s EZE Tie Down anchoring system for an Express Repair bay.
> www.sherwin-automotive.com SEMA Booth #10831
> www.wedgeclamp.com SEMA Booth #10669
coatings, awx cleaner
nitroheat, Quick Puller
october 2013 collision Repair 75
NG SOO COMI N NG MI CO
COMING SO ON
SOON CO
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Calgary’s towers step up for recovery efforts By Avi Patel
Shot in the early morning hours of Friday, June 21, this photo shows the encroaching flood waters in the street outside Superior Paint & Auto Body. Most of the vehicles at the facility were parked safely on top of the collision centre’s rooftop parkade. All photos by Jon Pernul.
The 2013 Alberta floods were triggered by heavy rainfall leading to the worst flooding in the province’s history. Vehicle recovery efforts in Alberta went into overdrive during the recent flooding, as government workers and towing operations scrambled around the clock to reclaim vehicles damaged or submerged in water.
For many Albertans, this meant abandoning their vehicles and hoping they’d still be there when the waters receded. Drivers raised their concerns regarding the insurance coverage of their vehicles. Steve Kee, Director of Media Relations at the Insurance Bureau of Canada (IBC) had good news. “Alberta has more cars per capita than anywhere else in Canada and approximately 90 percent of Albertans have comprehensive coverage on their vehicles and are covered for flood damages,” said Kee. The towing industry worked overtime to deal with the large volume of calls for assistance. Alicia Goeseels is a dispatcher for Calgary Tow Masters. “It has been loaded, our workload has quadrupled compared to what it usually is, everyone has been working 13 hours a day which is the legal maximum for drivers, and the dispatchers have been working up to 12 hours a day,” she said. A spokesperson for ASAP Towing Calgary had a similar story, saying, “We have been receiving more than 100 calls per day. It has been very hard to move around, a lot of our
drivers are working overtime and we’re responding to as many calls as possible.” Mark Sturby is the General Manager of Superior Paint & Auto Body in Calgary. He says some vehicles were damaged, but the situation could have been much worse. “We have an average of 100 to 110 vehicles here at any given time, but only 33 customer vehicles were damaged,” says Sturby. Many vehicles were stored on the facility’s rooftop parkade, protecting them from the flood waters.
Rising waters often left vehicles stranded or simply inoperable.
CAA continues to support Tow Truck Survivor Fund For the sixth year in a row, CAA is proud to make a financial contribution to the Survivor Fund of the International Towing & Recovery Hall of Fame and Museum. The Survivor Fund was established to benefit the families of individuals who lose their lives while aiding the motoring public. Although the public tends to view the occupation as not overly hazardous, the risks that are associated with the towing profession can be considerable. Industry estimates suggest that as many as 100 or more tow truck operators are killed annually while on the job in North America. CAA Clubs continue to work with provincial authorities to promote the need for “Slow Down Move Over” legislation to protect all roadside assistant workers. With this year’s donation of $2,250, CAA has donated a total of $13,500 to the fund and plans to continue the commitment in years to come. More information on the fund can be found at thesurvivorfund.com.
For advertising inquiries, please contact Gloria Mann at 647-998-5677 or advertising@collisionrepairmag.com.
October 2013 collision Repair 77
Unbeatable Combination Monidex brings you quality parts at a great price, backed by the best in customer service What do you do when you’ve spent the last 30 years bringing high-quality, affordable parts to
the people? You expand! Monidex, long a leader in aftermarket parts supply and distribution in Quebec, the Maritimes and the Ottawa region, has announced it will bring its impressive offering to the rest of Ontario with the opening of new distributors in the province. Founded in 1983, the vision at Monidex
“We go after stuff that not everybody
has remained constant. President Sal Pol-
has,” says Polletta. “Just one example out of
wanted to bring to the market a wide
new gas tanks for the KIA Sportage and the
letta explains: “From the beginning, we
range of high-quality aftermarket collision parts at an affordable price.”
Monidex may still follow the same vision,
many, we’ve recently started stocking two
ers. It’s a win for Monidex and a win for
that it is the Monidex approach to customer
radiators, gas tanks and much more.
While many vendors provide aftermarket parts,
Monide x i s p r o u d to
say that they can often provide parts that are
difficult or impossible to find anywhere else.
in the customers. But some customers say service that keeps them coming back.
from Monidex to Standard’s customStandard. The big winner is the repairer,
who now has more parts available than ever before.
“Monidex has a lot of different parts,
Mary Poirier is the owner/operator of
some of them hard to find,” says Gold. “In
facility located in Pembroke, Ontario. Val-
out of stock on any particular item around
Valley Automotive, an automotive recycling ley Automotive has been distributing parts from Monidex for the last 15 years.
“We’re an auto recycler, but it’s all about
providing our customers with the parts they
need at a good price,” says Poirier. “Distributing Monidex products allows us to say ‘yes’ to our customers much more often.”
Valley Automotive isn’t the only recy-
Monidex President Sal Polletta.
Going forward, Monidex and Standard
Hard to find parts at aftermarket prices is a
is through the dealer, or through us.”
of collision replacement parts, Monidex the company also offers cooling systems,
make sure the program is successful.”
Auto Wreckers will team up to offer parts
big draw, and there’s no doubt that it brings
carries a large selection of CAPA parts, and
and I agreed, so we brainstormed ways to
Hyundai Sonata. The only place to get them
but the offering has grown enormously over the years. In addition to the core products
sees an opportunity to grow in this market,
cler in Ontario serving as a distributor
general, I would say that auto recyclers are 50 percent of the time. It’s the nature of
the business when we depend on salvage.
Partnering with Monidex lets us serve our customers better and faster.”
There are other aftermarket parts sup-
pliers, but Gold says there are advantages to the way Sal Polletta and his team at Monidex do business.
“They invest into sourcing quality parts,
for Monidex. David Gold is the co-owner
they invest into building the right in-
in Toronto, Ottawa and Buffalo, New York.
they’re needed, and they provide incred-
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Contents Recycling News.....................81- 87 The Car-Part Conference, OARA holds Tire Take Back and much more. Recycler’s View......................88-89 by David Gold
Education the focus at Car-Part conference By Mike Davey
By Sanam Yar
A large contingent of Canadians attended this year’s Car-Part Industry Conference.
Hundreds of auto recyclers and other industry stakeholders came from across North America recently to attend the Car-Part Industry Conference, taking place August 8 to 10 at the Holiday Inn in Erlanger, Kent. There were ample opportunities for attendees to seek education, whether they were more interested in hearing about new innovations coming for Car-Part’s products, or wanted to receive individualized training on one or more aspects of the company’s current offering. “It’s not a trade show,” says Janice Schroder of Car-Part.com. “We don’t do booths, vendors, the whole trade show floor thing. Our focus is on customer training. We had six rooms devoted to personalized training this year, staffed by tech support people and trainers.” Dana Poehl is the owner of Poehl’s Auto Recyclers in Kentville, Nova Scotia. This year marked his fourth time at the Car-Part Industry Conference. Poehl speaks favourably of the individualized training, but says he personally prefers to spend his time on what’s new and upcoming. “I always look for the stuff that’s new this year,” says Poehl, noting that conference organizers make it easy to tell by indicating
Tire Take Back Days raises over $175,000 for Sunshine Foundation
new courses in the official conference program. “I always come back with something for our business that I want to try out.” Poehl also notes that the conference attracts high-quality guest speakers, such as Edward Salamy, Executive Director of the Automotive Body Parts Association (ABPA), Clark Plucinski, Executive Director of the Collision Repair Education Foundation and Chris Wright, President of the Automotive Recyclers of America. For Poehl, though, much of the value lies in renewing his relationship with the staff of Car-Part.com. “We have an excellent working relationship back and forth,” he says. “They don’t keep you waiting for an answer for two or three days, but tend to get back to you immediately. They’ve got a very quick turnaround time.” In addition to personalized training on upcoming and existing Car-Part products, highlights included a panel discussion composed of insurers and shop personnel and an examination of industry trends. Attendees were also treated to an in-depth look at new developments in both Car-Part and Checkmate that the company says will help users improve their bottom lines.
Scrap tires and changing children’s lives are not things that normally go hand in hand. Yet that is exactly what the the Tire Take Back event, hosted by the Ontario Automotive Recyclers Association (OARA) and Ontario Tire Stewardship (OTS), achieved. From May 27 to June 1, the provincewide event had Ontarians drop off used tires at the 60 available collector locations. The money from the recycled tires benefited the Sunshine Foundation of Canada, an organization that helps make dreams come true for children with severe physical disabilities or life-threatening illnesses. “Every year, Ontarians are raising the bar for tire recycling and the Tire Take Back program, and we couldn’t achieve this kind of positive yearover-year program success without the support of Ontarians,” says Andrew Horsman, Executive Director at OTS. “This year’s tremendous collection results from the Tire Take Back events reflect Ontarians’ growing desire to create greener, more livable communities with innovative recycled t i re p ro d u c t s , w h i c h a re i n c re a s Continued on page 83.
Continued on page 82.
october 2013 collision Repair 81
Car-Part Conference... continued from page 81.
One of the more interesting items to come out of this year’s Car-Part Industry Conference concerns Car-Part Pro, the company’s solution for automotive professionals. Unlike Car-Part.com itself, the general public isn’t allowed to use Car-Part Pro. It’s reserved solely for professionals. Car-Part.com provides users with access to all of the inventory from over 4,400 recyclers. It will tell you if a particular part is available, but it won’t tell you if the part is cleaned and sitting on a shelf, ready to ship, or if it’s still on a vehicle somewhere in a 15-acre yard. However, when a user logs on to Car-Part Pro, they are shown only the parts they can use. Car-Part Pro is designed with shop cycle time in mind. The software itself can determine which parts would be useful to a repairer, and which to leave out. If the part matches, but its removal and shipping would take a prohibitively long time, it’s left off the list. “There are all sorts of criteria that repairers can use to make sure they’re just shown the parts they need, and would be most beneficial to them,” says Schroder. “They won’t even see the parts that they don’t need or can’t use. They only get parts that fit that job.” Constant technical innovation is the watchword for all of Car-Part’s products. It’s key to making sure the company helps connect repair shops with auto recyclers with an absolute minimum of fuss. For example, Car-Part offers wireless barcoding of parts. This
means that as a part moves through a recycler’s process, its status will be automatically updated with no human intervention. As a part moves through production, delivery times are updated automatically. Accurate knowledge of delivery times is a boon for repairers. “Wireless barcoding is really just one example,” says Schroder. “It really starts right at the beginning, right from when a recycler buys salvage. Our BidMate software automatically downloads auction information and interacts with what the recycling operation has in its management system.” All the stops were pulled out for the social event on Saturday night. In addition to dinner, conference goers had a chance to rock out to the sounds of the “VW Beetles,” a band composed entirely of Car-Part.com staffers. Colin Gerspacher is with SGI Salvage, a division of Saskatchewan General Insurance. This was his first time attending the Car-Part Industry Conference. “They offered a lot of great information and the opportunity for a lot of one-on-one interaction,” says Gerspacher. “It really highlights their ability to delve into customization to suit the needs of the individual auto recycler.” For more information on Car-Part, please visit Car-Part.com.
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82 collision Repair collisionrepairmag.com
Tire Take Back Days... continued from page 81.
ingly being used in our homes, local recreational facilities, parks and playgrounds.” The results of the event and a cheque presentation to the Sunshine Foundation took place at Sonshine Auto Parts in Cumberland, Ont.. Now in its fourth year, the event raised over $175,000 for the foundation. A total of 58, 371 used tires were recycled in the process. “We want to recognize and thank each of our 60 participating OARA members for their commitment to recycling tires for the Tire Take Back community initiative, in addition to the end-of-life vehicles they recycle each year,” said Steve Fletcher, Executive Director of OARA. “There was some friendly competition among our members and communities, not only to raise funds to fulfill dreams for Sunshine Foundation children, but to win the chance to sustainably enhance a local space. Leading the province-wide community challenge with more than 12,000 tires collected, we’re pleased to announce that Sonshine Auto Parts and the Cumberland community will be receiving the Community Challenge prize of innovative recycled tire products to create a greener space in their neighbourhood.” OTS manages how the approximately 12 million tires sold in Ontario every year are handled once they reach the end of their service
life, diverting them from burning facilities and landfills. With the support of Ontarians, OTS reached a new milestone earlier this year with the diversion of its 50 millionth tire since its inception in 2009. Through the Used Tires Program, Ontarians can drop off up to four used tires each for free at thousands of registered collection locations around the province, and the tires collected will be reused or recycled into new, environmentally friendly and durable consumer products such as rubber mulch, landscape tiles, recreational flooring and roof shingles. Sonshine Auto Parts in Cumberland, Ont., won the OTS Community Prize for collecting more than 12,000 tires, the most of any collecting location. The prize was up to $15,000 worth of sustainable recycled tire products to be donated toward the revitalization of a community facility or public space, which is to be determined later this summer. Denis Desjardins, owner of Sonshine Auto Parts, explains, “It’s a good cause that not only removes tires and cleans the environment, but also benefits the children. Just to see the looks on their faces, it is really unbelievable. It’s a win-win for everyone.” For more information on the Tire Take Back collection event, visit rethinktires.ca/tiretakeback.
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october 2013 collision Repair 83
Solera to divest actual systems Solera has announced that it will voluntarily divest itself of the U.S. and Canadian businesses of Actual Systems. Solera purchased the company in May 2012. Actual Systems provides recycling yard management systems sold under the Pinnacle brand name. The voluntary divesture follows the close of an investigation by the U.S. Federal Trade Commission (FTC) into the acquisition. A statement from Solera reads, “Pursuant to the termination of the investigation, and without admitting any violation of the law, Solera has agreed to enter into a consent order with the FTC relating to the salvage yard management system business and will effect a voluntary divestiture of the United States and Canadian businesses of Actual Systems to a purchaser group substantially composed of the former shareholders of Actual Systems.” The group referred to is ASA Holdings, composed of former Actual Systems managers. The FTC’s complaint alleged that Solera’s acquisition of Actual Systems had harmed the market for yard management software, as it combined two of the biggest players in a market that only
has a limited number of providers to begin with. The FTC issued a proposed consent order with provisions stating that Solera must divest the assets to ASA Holdings within 120 days, or the FTC will appoint a trustee to do so. The proposed conset order also stated that Solera must provide ASA Holdings with a 10-year license to the Hollander Interchange, the company’s auto parts database. The investigation by the FTC was primarily to determine if the acquisition of Actual Systems resulted in a combination that was anti-competitive. Solera was already a player in the yard management software arena when it acquired Actual Systems, providing solutions under the Hollander brand name.
Switch Out, Media Matters tour Triple M facility Members of the Switch Out Advisory Committee, along with Media Matters staff, toured Triple M Metals’ Hamilton facility this week to gain a better grasp of its operations. Switch Out is a national program designed to remove, collect and manage mercury switches in end-of-life vehicles before they are flattened, shredded and recycled into new steel. This collaborative effort will assist the steel and automotive industries to prepare and implement pollution prevention plans. The Switch Out Advisory Committee is made up of representatives from Summerhill Impact, the Canadian Steel Producers Association (CSPA) and Canadian Vehicle Manufacturers’ Association (CVMA), the Automotive Recyclers of Canada (ARC) and the Canadian Association of Recycling Industries (CARI).
Representatives from Switch Out and Media Matters experienced Triple M’s Hamilton facility first hand.
Triple M Metal has operations in Canada, the U.S. and Mexico. The company is ISO 9001/14001 certified, and is committed to the application of environmental and health and safety standards, regulatory compliance and quality assurance. With 35 years of experience, Triple M Metal is a fully integrated company, able to meet customer-specific requirements and provide cost-saving solutions to both steel mills and foundries. Triple M Metal provides material to both ferrous and non-ferrous melt shops. For more information, please visit triplemmetal.com. Switch Out’s website can be found at switchout.ca. 84 collision Repair collisionrepairmag.com
ARaAC announces annual fall meeting
Serving the Automotive Industry for Over 45 Years
By Sanam Yar
The Automotive Recyclers Association of Atlantic Canada (ARAAC) has announced the dates and location of its annual meeting. ARAAC members will converge on Halifax from Oct. 25 to 26, 2013, for its annual industry meeting. The event, which will be held at the Four Points Sheraton in downtown Halifax, will additionally feature Rob Rainwater as a guest speaker. Rainwater, who is currently a General Manager at Salvage Auto in Connecticut, has been in the auto recycling business for 23 years and will be presenting three seminars over the course of the day. One of the seminars will be about the 14 golden rules to selling recycled auto parts. “They are the basic selling standards to sell anything, but I twisted them to apply to auto recycling parts,” says Rainwater. Rainwater says another seminar will revolve around how to best go about hiring and training sales staff, in addition to establishing commission structures, creating job descrip-
tions and job profiling. The seminar will also demonstrate how to identify different personality types and how to use those profiles to fill positions in your company. The final seminar will explore how to market oneself in today’s technologicallyadvanced world. “They were broad enough to make sure that there is something there for everyone attending. Everyone can get something out of it,” Rainwater says of his seminar topics. Direct Members can receive one complementary registration for the event, including up to two nights accommodation at the Four Points. While details are still being finalized, pre-registration has already begun. “I’m looking forward to it. I spoke at OARA in Toronto in the past, so I’m excited to meet people in Halifax. There is a strong association in Canada for recyclers and I’m always excited to learn more and meet new people.” For more information, please visit araac.ca.
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Standard Auto Wreckers set to expand in Ottawa region By Sanam Yar
On March 28, 2013, David and Ken Gold accepted an offer they couldn’t refuse. The co-owners of Standard Auto Wreckers, with locations in Niagara Falls, New York and Toronto, purchased a recycler in Ottawa as the newest branch of their company. Some of the enhancements to the location included levelling the 18.5 acre grounds and extensive infrastructure upgrades including a completely renovated shop. The yard, located on 5402 Old Richmond Road, will be a late model business, processing end-of-life vehicles and acting as a scrap metal operation as well as a U-Pull-It yard. It will serve the Greater Ottawa Area and the Hull/Gatineau region in Quebec. “We will pretty much be replicating what’s already in Toronto in Ottawa. There are less and less recyclers due to the shrinking of the marketplace, and the ones in business are larger. So from our perspective, if we’re not growing, we are shrinking,” says Gold.
In regards to when the yard will be publicly open for business, Gold says, “Right now it is a soft opening. We are functioning, selling parts, and getting into the local landscape, but it’s not open to the public yet.” Gold speculates the grand opening of the branch will most likely be in the fall. In the meantime, it seems like the community has embraced the yard’s presence. Ottawa Fire Services holds a weekly training and extraction program on the grounds. “With our experience, being in the business since 1979, we quite frankly haven’t seen a recycling facility with this much potential and this many things going for it,” says Gold. “It’s a pretty unique and exciting venture to be able to go into a big market we only had minimal presence in before. We are pretty confident and excited to see the results.” For more information, please visit standardautowreckers.com.
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october 2013 collision Repair 85
OARA donations top $4 million mark By Avi Patel
With the recent $175,000 donation to the Sunshine Foundation of Canada at the conclusion of Tire Take Back 2013, Ontario Automotive Recyclers Association (OARA) donations have topped the $4 million mark. “We’ve been involved for a long time and participate in all of the OARA charity programs,” says Trevor Generoux of Parkway Auto Recyclers. “It is important because it is highly necessary. For instance, when you deal with some of the smaller charities especially, they may not have national level fundraisers and these grassroots organizations are working and fighting hard to survive and give to those in need, so for us as an organization we need to take what we have and promote these charities, and it doesn’t matter what charity it is, we should definitely be doing what we can.”
Tom Huehn of 400 Auto Wreckers is also a proud and longtime OARA member. “We participate in all OARA programs. This year, I had an overwhelming experience on the DreamLift. The Sunshine Foundation is very dear to me, and I know everybody that had that experience developed a strong commitment to those kids and the charity. Being an OARA member has definitely impacted our business. The training OARA provided has made our business environmentally better, and in fact I think the whole industry is now environmentally better.” “We started working with charities in 2000 through the Car Heaven program, which started off as a provincial program but is now Canada-wide. It encourages people to donate vehicles to charity, and we were first to do it in Canada. We process about a thousand
86 collision Repair collisionrepairmag.com
cars a year,” says Steve Fletcher, Executive Director at OARA. “This year the biggest fundraiser was Tire Take Back event which we ran with Ontario Tire Stewardship and Sunshine Foundation. We had about 60 of our members participating, and for every tire collected they donated their collector fee from OTS, which OARA matched, and our five tire haulers also contributed an amount, so on average each tire brought in over $2.00. We raised $175,000 dollars from Tire Take Back which put us over that elusive $4 million mark. We do it because it’s just a good thing to raise money for others. We’re part of a big professional industry and we encourage members to be an active part of their communities. We try to push the charitable donation benefit to the individual member level to give them an opportunity to connect with their community.”
Detroit court delays Sinclair chop shop trial A former Belleville man’s criminal trial has been delayed due to last minute changes to legal proceedings in a Detroit courtroom. Jim Sinclair, 71, is facing several charges, including conducting a criminal enterprise, operating a chop shop, and 20 counts of receiving and concealing stolen property, following the police raid of his Midland Used Auto Parts in August 2012. 179 vehicles were seized in what has been called Detroit’s largest chop shop operation in recent memory. Some of the vehicles were reportedly in the process of being taken apart at the time of the raid. Police say the site was being used to disassemble vehicles and resell the parts. The jury trial was set to begin July 24, but it was decided that it would instead
be an evidentiary hearing to determine what evidence will be admissable during the proceedings. Sinclair’s defence lawyer tried to have evidence from the prosecution withdrawn but the motion was declined by Judge Daniel Hathaway. Sinclair also faces fines levied by Hastings County, Ont., to the tune of $750,000. Sinclair had purchased the now former Bakelite property in Belleville in 2003 and was sentenced to four months in jail in 2008 for violating the Ontario Water Resources Act. Rehabilitation of the polluted former Bakelite property is estimated to cost $4 million. Hastings County will hold off its legal proceedings until the chop shop trial in Detroit is over. The earliest it can begin is November, over a year since Midland Used Auto Parts was raided.
Fire breaks out at St. John’s vehicle recycling yard Fire officials from three stations in St. John’s, Nfld., were called to a local recycling yard in mid-August to battle a morning industrial fire spewing noxious, black smoke. Reports of a rapidly moving fire came in at 7 a.m for the blaze at Newco Metal and Auto Recycling located on Robin Hood Bay Road. The fire was reportedly contained to an area of the yard where the company stores its crushed cars and vehicles, with no damage to the building. Fires at any location where vehicles are disassembled or crushed are of special concern due to the presence of numerous combustible toxic materials, however fire officials are reported to have extinguished the blaze in a matter of minutes. There are no reports of injuries.
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AlternativeParts Increasing awareness about recycled parts is crucial. By David Gold
H
ollander held its first ever Parts Innovation Summit from Aug. 21 to Aug. 23, 2013, and it was an exciting occasion for the recycling industry. Auto recyclers and honoured guests were invited to participate in a variety of important industry sessions, and I was fortunate enough to have the opportunity to participate in the alternative parts panel discussion. I came to Minneapolis prepared to highlight the benefits and challenges surrounding the use of alternative parts in the collision repair process. The more I delved into the issues prior to the panel discussion the more passionate I felt about getting some key points across concerning the existing situation. As an auto recycler who purchases many late model salvages on a daily basis, I know there‘s nothing more important than the core element of our business, which is the sale of alternative parts. Although I had prepared extensive notes outlining why used auto parts are often considered a
88 collision Repair collisionrepairmag.com
priority in the repair process, or why they aren’t for that matter, I knew it wouldn’t be productive for me to spend the 90-minute session going in circles debating these points with the panel. Most of what I had written down had already been discussed before and with all of the confusion in the industry today, I knew it wouldn’t add value to anyone to get onto that soapbox. I began to look deeper and found high level opportunities, some of which are within the auto recycler’s control and some that aren’t. All told, the points I focused on will have a meaningful affect on parts utilization ratios going forward. I came to the panel discussion with my head flowing with information on these three points. The green recycled brand, auto recycler’s access to OE technology and the long-standing issue of collision repairers compensation for incorporating used auto parts into repairs. The latter topic was intended to demonstrate how the interests of collision repairers and recyclers are aligned, as we know everyone needs to make a reasonable profit and we support
recycling i
seeing collision repairers making as much money on a used part as they do on a new part. I believed this was an important gesture to make with the collision repairers that were on the panel discussion. As for our single biggest opportunity, the “Green Recycled Parts Brand,” it needs to be recognized everywhere. The Automotive Recyclers of Canada (ARC) and our American counterparts have done a great job of coming up with this branding and now that branding needs to hit the mainstream. Used parts usage has remained basically flat in a world where the “reduce, reuse and recycle” tagline is posted everywhere. These mediocre statistics in used parts usage are very disappointing, and I feel we need to make sure everyone knows our brand. Tom Koulopoulos of the Delphi Group told us point blank that our future lies in getting our industry to be known—and our parts sales will always be driven by demand. Consumers are starved for recycled parts and we have to get this message out to them. We need to build that link between the industry and the little recycling logo; highlighting the benefis of using green parts. As for auto recyclers’ access to OE technology, it was made clear that auto recyclers are second class citizens when it comes to VIN decoding technology and deciphering RPO codes, as an example. Collision repairers have access to this information via
their estimating systems and it needs to be made clear that auto recyclers need the same access to VIN information as all other stakeholders in the industry. I came to the conference eager to learn more about how we can achieve access and be on a level playing field with our industry counterparts. I was told point blank, “this information is not available to auto recyclers.” North American manufacturers have restricted valuable information to the auto recycling industry, hampering our ability to promote the reusing of auto parts. This is reprehensible and our associations need to jump all over this. Manufacturers can only tout their vehicles as being “green” when they are transparent with the auto recyclers and give us the information we need to process and recycle these vehicles properly. CRM
Gold particpated in the alternative parts panel at Hollander’s Innovation Summit from Aug. 21 to 23, 2013.
David Gold is the co-owner of Standard Auto Wreckers, an auto recycler with locations in Toronto, Ottawa and Niagara Falls, New York. He can be reached by phone at 416-286-8686 or via e-mail at david@standardautowreckers.com.
october 2013 collision Repair 89
last word
lowpremiums? It sounds good, but who pays the bill? By Mike Davey
R
alph Palumbo has concerns, and frankly so do I. Palumbo is the VP, Ontario for the Insurance Bureau of Canada (IBC). He spoke recently on the key points released by the Ontario government as part of its Auto Insurance Cost and Rate Reduction Strategy. These include providing the Superintendent of the Financial Services Commission of Ontario (FSCO) with the authority to require insurers to file for rates, making the Superintendent’s Guidelines, which are incorporated by reference in the Statutory Accident Benefits Schedule,
There are indications that cost reductions could be gained in a number of other areas, such as reducing the instances of auto insurance fraud. Staged collisions and fraudulent medical claims are not legitimate parts of the auto claims economy, and we would do well to be rid of them for good. IBC says the Ontario government’s commitment to combatting fraud, such as licensing health care clinics and providing clear direction around the 2010 reforms, is a good first step. However it will still be some time before these measures are in place and producing savings. A statement from IBC also says that the organiza-
staged collisions are not a legitimate part of the industry. binding to help prevent unexpected costs, and expanding and modernizing the Superintendent’s investigation and enforcement authority, particularly in the area of fraud prevention. “While the Government has approved insurance rate reductions they still haven’t outlined how they will address some key cost reforms we need to see implemented,” says Palumbo. “Reducing costs is the only way to reduce premiums.” True enough. It’s hard to think of any other method for reducing premiums that wouldn’t drive insurance companies into bankruptcy. My concern is where those cost reductions are going to come from. Auto insurance is the only type of insurance under discussion in this case, and I worry that reducing the cost of those claims will land on the backs of Ontario’s repairers. However, my viewpoint might simply be coloured by my job. The first question I ask myself about anything is “How will this affect repairers?“
tion welcomes the government’s intent to implement further reforms in order to resolve long-standing problems that plague the current auto insurance product. IBC says that in recent years, the insurance industr y has been modestly profitable but that not all firms are in the same financial position. Recent public statements from some insurers raised concerns over how this might impact their businesses and consumers. “The solution is clear—premium reductions need to be commensurate with additional cost reduction measures—it is definitely a necessary next step,” says Palumbo. “We look forward to partnering with the government and all stakeholders to develop and implement a program to bring affordable insurance to Ontario consumers.” CRM
90 collision Repair collisionrepairmag.com
Mike Davey is the editor of Collision Repair magazine. He can be reached at 905-3700101 or via email at editor@ collisionrepairmag.com.
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