Bodyshop CANADA’S MAGAZINE FOR COLLISION REPAIR PROFESSIONALS SINCE 1970
June 2012
Plus: Innovations in Paint Technology Health and Safety on the Shop Floor Specialty Hand Tools
2012
Bodyshop
of the Year Formula One Collision is a family affair
CANADA POST CANADIAN PUBLICATIONS MAIL AGREEMENT #40069240
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Bodyshop CANADA’S MAGAZINE FOR COLLISION REPAIR PROFESSIONALS SINCE 1970
contents
June 2012 l Volume 42, Issue 3
Features 22
Colour Confidential
26
Risky Business
30
Top-drawer Tools
How new products and technology are improving paint efficiency, delivery times and quality.
Bodyshops are notorious when it comes to health and safety issues.
New specialty hand tools to make your job easier.
26
Cover Story
14
A Family Affair Formula One Collision is the 2012 Bodyshop of the Year.
22
In Every Issue 30
4
Viewpoint
35
Advertisers Index
6
News
35
Internet Directory
32
Products
38
From the Publisher
34
CCIF Report
visit us at bodyshopbiz.com In the next issue: Business Strategies for Lean Practices; Banners, Networks and Franchises; Computerized Measuring; Spray Booth Retrofits; and more. www.bodyshopbiz.com l June 2012 l Bodyshop 3
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Bodyshop CANADA’S MAGAZINE FOR COLLISION REPAIR PROFESSIONALS SINCE 1970
viewpoint
PUBLISHER Andrew Ross 416-510-6763 aross@bodyshopbiz.com
Business Excellence W
elcome to the Bodyshop of the Year issue. This year we received an overwhelming number of nominations from across the country. I must say it’s fantastic to see how many shops are so progressive and innovative as they grow their businesses. After an intensive selection process, we are pleased to name Formula One Collision in Windsor, Ont., as the 2012 Bodyshop of the Year. For the profile you will find on page 14, I made the trek to Windsor and spent the afternoon touring the facility, meeting the staff, and chatting with owner Frank Gobbato and [son] Franco Gobbato, the vice-president. The facility is certainly grand and I was fascinated by the high-end equipment and processes they have in place—Formula One’s USI Italia spray booth and prep station allows vehicles to be moved sideways from prep to paint on a track system. But what really struck me about this operation was the honest, family culture vibe. While interviewing the Gobbatos, I noticed an employee watering the bistro’s garden and then herding the chickens back into a coop that’s located on one side of the facility. Frank, who truly shoots from the hip, refers to his facility as the Disney Land of collision. And his son, Franco, who has a milliondollar smile, radiates positive energy while talking about the family business. Given that Windsor’s automotive industry has been dragged through the mud since the economy tanked in 2008, it’s fantastic to see a bodyshop growing and thriving. Of course, with so many great nominations, we’ve also dedicated a page to salute our honourable mentions (page 20). I personally would like to thank all of you for making my job as editor always exciting. That said, this will be my last issue as the editor of Bodyshop Magazine. I’ve decided to spread my wings as a freelance journalist. This is not necessarily a goodbye, but more of a professional transition to better serve many phenomenal industries, such as yours. Thank you for welcoming me into the industry. B Noelle Stapinsky nstapinsky@bodyshopbiz.com
MANAGING EDITOR Noelle Stapinsky 416-510-6839 nstapinsky@bodyshopbiz.com CONTRIBUTORS Martha Uniacke Breen Abi Slone Peter Diekmeyer SALES MANAGER Jay Armstrong 416-510-6745 jarmstrong@bodyshopbiz.com PRODUCTION MANAGER Steven Hofmann 416-510-6757 shofmann@bizinfogroup.ca ART DIRECTOR Choo Hwee Kuan PRINT MANAGER Phyllis Wright CIRCULATION MANAGER Selina Rahaman 416-442-5600 ext.3528 CUSTOMER SERVICE Roshni Thava 416-442-5600 ext 3555 VICE-PRESIDENT Alex Papanou PRESIDENT Bruce Creighton BODYSHOP is published by BIG Magazines LP, a div. of Glacier BIG Holdings Company Ltd. 80 Valleybrook Drive, Toronto, ON M3B 2S9 Phone 416-442-5600 Fax 416-510-5140 Subscription rates: Canada – $39.95 (add applicable taxes) per year, $62.95 (add applicable taxes) for 2 years, single copy $7.00. USA and all other foreign – US$61.95 per year. U.S. single copy US$10.00. All rights reserved. Printed in Canada. The contents of this publication may not be reproduced or transmitted in any form, either in part or full, including photocopying and recording, without the written consent of the copyright owner. Nor may any part of this publication be stored in a retrieval system of any nature without prior written consent. US Office of Publication: 2424 Niagara Falls Blvd, Niagara Falls, NY 14304-1118. Periodicals postage paid at Niagara Falls, NY. US Postmaster: send address changes to Bodyshop PO Box 1118, Niagara Falls, NY 14304-1118. From time to time we make our subscription list available to select companies and organizations whose product or service may interest you. If you do not wish your contact information to be made available, please contact us via one of the following methods: Tel: 1-800-268-7742 Fax: 416-442-2191 E-Mail: privacyofficer@bizinfogroup.ca Mail to: Privacy Officer, Business Information Group, 80 Valleybrook Drive, Toronto, ON M3B 2S9 ISSN 0045-2319 Online 1923-354X Canada Post Canadian Publications Mail Sales Product Agreement No. 40069240 Return postage guaranteed. Send change of address notices, undeliverable copies and subscription orders to: Circulation Dept. — Bodyshop Magazine, 80 Valleybrook Drive, Toronto, ON M3B 2S9 We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund (CPF) for our publishing activities. Member of Member of Inc. Inc.
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Stay ahead of the curve in a changing world.
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The DuPont Refinish Logo, DuPont™ and all products denoted with ™ or ® are trademarks or registered trademarks of E. I. du Pont de Nemours and Company or its affiliates. DuPont Canada is a licensee. © Copyright 2012 DuPont Canada. All rights reserved.
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AIA VP Deborah Moynes-Keshen Departs D
eborah Moynes-Keshen, Automotive Industries Association (AIA) executive vice-president, recently tendered her resignation, and plans to leave the association on June 22 to take up residence in Calgary, Alta., where her husband has accepted a new position with Mount Royal University. “Deborah has been a highly valuable member of the AIA management team for the past 12 years. Her leadership, expertise, and commitment to the industry as well as the Association will be missed,” states AIA president Marc Brazeau. “AIA is stronger today because of Deborah’s immense contribution. The legacy that Deborah leaves behind at AIA will be felt
for many years to come and for that we owe her a great deal of gratitude.” Moynes-Keshen has been instrumental in the development and delivery of AIA’s new business plan and governance model. She has also led numerous committees, projects, and programs on behalf of AIA, including the integration of I-CAR and HDDC into AIA. In addition, her work with the AIA Market Research Committee has resulted in a revision of the strategic industry overview, the AIA Outlook Study, development of the Demand Study to quantify underperformed maintenance, as well as the Consumer Outlook Study that was released this spring.
Letter to the Editor Dear Insurers & Collision repair networks,
I
am writing today about my frustration towards the attitude that is present in our industry, [regarding the] steering of work based on impressions: the impression that if a shop has a fancy building with a fresh, inviting office, it does proper repairs of good quality. I agree that a shop should be concerned about how people perceive it, but most important of all should be the quality and service, not the colour of paint on the walls. Every day insurers steer consumers to shops based on this reality, rather than the quality and service. I know because I am not on a DRP list or part of a network. Daily I hear, “[This shop is] not on the list, or we cannot guarantee the repair or speed at which your car will be returned to you. We cannot guarantee your rates won’t increase if you use that shop.” I have news for you: your rates are
going to increase if you are at fault, no matter who repairs the car or for how much the claim is. The one I like the best is, “We cannot guarantee the resale value of your car if you choose to go there for your repair.” Since when do insurers ever warranty repairs or resale values on vehicles? My experience is the shop warranties the repairs. If a consumer ever has a problem with a repair, the insurer always tells them to go back to the shop that repaired it, regardless of DRP or not. Insurers use scare tactics to steer people to the shop of their choice, not based on quality but rather the financial agreement they have with that shop or network of shops. What gives them the right to comment on my shop or quality of workmanship based on a computer list? The person on the end of the phone has not set one foot in my shop, or most any other shops for that matter. Yet they are making comments good or bad based on the list. Nothing frustrates
me more than an employee of an insurance company basically saying to an insured that my shop can’t be trusted with the repair of their vehicle because we are not one of the preferred shops in the area. I have never had an insurance company call and say that they would like to send out someone to take a look at my shop and repair process to see if I have a qualified shop to do repairs. The closest thing to that is State Farm, who mails out a questionnaire. In fact the only three people who work for an insurance company that have set foot in my shop are an appraiser, an insurance salesperson, or an employee that has been in an accident. Whatever happened to recommendations based on quality, service, honesty, and integrity? Oh wait, that is how we fill our shop every week, because we sure don’t get any referrals from insurance companies! Robert Dumais Streamline Collision Barrie, Ont.
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Toronto Bodyshop Achieves Toyota Certification 427 Auto Collision has announced that it has received its Toyota collision centre certification, following a full audit of the facility that was conducted by DuPont Canada. As such, 427 Auto Collision is officially
recognized as a Toyota Certified Collision Centre for Mississauga Toyota. “This took time and effort,” writes owner Lorenzo D’Allessandro. “We are proud and honoured to receive this Toyota Certification.”
SAVE TIME, SAVE MONEY!
Canadian Among 2012’s Most Influential Women in the Collision Repair Industry
K
im Roberts, manager of Fix Auto, Barrie, Ont., was among this year’s recipients of the AkzoNobel Automotive & Aerospace Coatings Americas (A&AC) 2012 Most Influential Women in the Collision Repair Industry (MIW) award. The annual awards presentation will be held on July 19, 2012 in San Antonio, Tex. The 2012 MIW award recipients follow in the footsteps of past honourees holding leadership positions within the industry association, shop operations, and service sectors of the U.S. and Canadian collision repair industry. They were selected for their contributions to the organizations they represent, the collision industry at large, and their respective communities. Other recipients include: • Kim Parsons – president, Automotive Collision Technologies Inc., Randallstown, Md. • Catherine Mills – executive director,
C
Florida Autobody Collision Alliance, Orange Park, Fla. “The collision repair industry’s collective strength, image, and long-term sustainability is dependent on individuals who have a passion, a vision, and a vested interest in its future,” said Margret Kleinsman, general manager for AkzoNobel A&AC Americas, in a statement. “The leaders we are honouring with this prestigious award all share these qualities and are among the top tier of those who continue to make this a vital industry.” The MIW program was established in 1998 by AkzoNobel to both recognize and promote the contributions of key leaders representing a valuable resource pool for the collision repair industry. The MIW program also enables scholarships, administered through I-CAR, to be provided to deserving women seeking to advance their education and pursue career opportunities within the collision repair industry. Over MIW’s 14-year history, 69 women have received MIW awards.
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Copart, Inc. Acquires Alberta Auction Company
opart, Inc., an online salvage vehicle auction company, has acquired Diamond Auto Bids and Disposals, a privately held automotive auction with locations in Calgary and Edmonton, Alta. The acquisition provides Copart with its first locations in Western Canada to accommodate its expanding Canadian customer base. Copart, founded in 1982, provides vehicle sellers with a full range of re-
marketing services to process and sell salvage and clean-title vehicles to dealers, dismantlers, rebuilders, exporters, and in some provinces and U.S. states, to end users. Copart remarkets the vehicles through Internet sales utilizing its patented VB2 technology. Copart sells vehicles on behalf of insurance companies, banks, finance companies, fleet operators, dealers, car dealerships, and others, as well as cars sourced from the general public.
Order parts with a few clicks of your mouse from any computer 24/7
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S
Summit’s “Help I Crashed My Car”
ummit Software and Marketing Solutions has released its next generation of phone apps for the collision repair industry. According to Summit, the new phone apps have been redesigned for a more appealing look and feel, and include new features designed to improve the connectivity between consumers and businesses. It also added additional customization capabilities for shops, MSOs, and repair networks. “With more than 50 per cent of
North America’s population using smartphones and a forecast of more than 200 million users by 2015, we wanted to dramatically improve the way a collision repair business markets to and connects with these consumers,” says Frank Terlep, Summit’s CEO. “Our newest app release includes features such as live traffic monitoring, two-way text messaging,
in-app communications, ‘fetch’ vehicle information, oneclick shop scheduling, and many more customization options that allow a shop, MSO, or repair network to create their own phone app quickly, easily, and affordably.” These next-generation apps can be downloaded for free from Apple’s app store or Google’s Play Store.
Boyd Group Results Highlighted by Acquisitions W
innipeg-based collision repair chain operator Boyd Group Income Fund reported its financial results for the threemonth period ended March 31, 2012. Among the highlights for Boyd are that it added six new single locations plus it added the eight-location Master Collision chain through acquisition, together totalling fourteen new locations year-to-date. Sales increased by 31.7 per cent to $107.4 million from $81.6 million in Q1 2011; and the Cars Collision, Master Locations, and eleven new single locations added since Q1 2011 contributed $26.1 million of sales. While same-store sales decreased by 0.4 per cent, excluding the impact of foreign exchange translation, gross margin increased to $47.9 million, or 44.6 per cent, compared with $36.8 million, or 45.2 per cent, in Q1 2011. Other financial highlights include: • Adjusted EBITDA1 of $7.0 million compared with $5.5 million in Q1 2011. • Net earnings were $2.1 million, or $0.166 per unit (diluted), compared with $0.9 million, or $0.082 per unit (diluted), in Q1 2011.
• Adjusted distributable cash of $2.3 million compared with $3.0 million in Q1 2011. • Payout ratio of 63 per cent compared with 38.2 per cent in Q1 2011. “We are pleased with our achievements for the quarter,” said Brock Bulbuck, president and chief executive officer of the Boyd Group. “We made significant progress towards our growth goals for the year, and we posted respectable results despite the weather-related challenges of the mild and dry winter. Total same-store sales were only down slightly, and U.S. same-store sales recorded modest positive growth. Our acquisitions of Cars Collision and Master Collision over the last 12 months, as well as the addition of new single locations, have been positive to our business. We will continue to evaluate similar attractive opportunities as part of our growth strategy. We believe that this strategy, combined with our strong industry position, has helped us mitigate the softer market in the first quarter.”
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unforgettable CARSTAR is proud to have been awarded the unforgettable honour of being named one of Canada’s 50 Best Managed Companies. Thank you to our Employees, Customers, Franchise, Insurance and Vendor Partners! Over 160 locations in 10 provinces.
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Attracting Talent
M
aaco Canada hosted an eager group of pre-apprentices at its Milton, Ont., offices in an effort to expose them to the collision repair industry. Conducted with the assistance of 3M, Sherwin-Williams, Caruk & Associates, and Canadian Autobody Sales & Marketing, the event offered 15 students a primer on breathing apparatus, the evolution of paint systems, career opportunities, and hands-on experience in bumper repair. At the end of the day-long session, each student received a certificate of achievement. AYCE Employment Services, a program focused specifically on exposing prospective apprentices to collision repair careers, organized the visit. “Each of the students expressed an interest in a collision repair career,” says Marc Tremblay, coordinator of the preapprenticeship training program. Tremblay says the AYCE is very careful to ensure that only students with a high level of commitment, as demonstrated through a multiple interview process, are brought into the program. “What we
want from them [with] this program is to learn about the terms and the processes, so that when they enter the apprenticeship program they are already familiar with some of these.” In the classroom, 3M’s Paul Birchall guided students through a course on how to put on and test breathing masks, and why they are important to the longterm health of bodyshop personnel. Sherwin-Williams’ Bruce Redwood and Jim Owens gave students a lesson in the history of paint, as well as career tips based on their own experience of working in the industry.
Wayne James, director of operations at Maaco, said the students were really impressive. “We introduced them to so many facets of our business. Who knows? They may work for a paint company, or something else. There are so many people they could be. They don’t all have to be painters or bodymen,” says James. “The highlight was the painting. All the kids just loved it. There were only two runs in 15 panels. For people who have never touched a spray gun in their life, that’s pretty incredible.”
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AIA Holds Committee Council Day & 70th Annual General Meeting
T
he Automotive Industries Association (AIA) held its annual Committee & Council Day in April. AIA member volunteers congregated at the Hilton Toronto Airport & Suites to take part in various meetings, attend a special volunteer luncheon and the association’s 70th Annual General Meeting. During the luncheon, AIA Canada’s incoming Chairman of the Board of Directors, John Macdonald, awarded Linda Donnini with the Young Executive of the Year Award. AIA Chairman Mauro Cifelli thanked the hundreds of volunteer members from across the country, and also took the opportunity to recognize the AIA directors who are completing their terms on the Board of Directors, which include: Denis Mathieu, Uni-Select; Bob Sinclair, Dixie Electric; Greg Sims, OK Tire; and Brad Morris, Grote Industries—who has completed his term on the Executive Committee. Cifelli provided his sincere thanks to these individuals for providing their expertise and knowledge in the past year and committing their time to the association. At the luncheon, AIA also recognized longstanding members who have reached a significant membership milestone and took the opportunity to recognize the members in attendance,
including Grant Brother Sales, which is celebrating 50 years of membership with AIA this year. AIA’s 70th Annual General Meeting served as a closing event for the day. Keeping with tradition, outgoing Chairman of the Board Mauro Cifelli opened the program by sharing a few words with attendees, concluding his term as Chair-
man of the AIA Board of Directors and welcoming John Macdonald of Ideal Supply as the new Chair of AIA. Macdonald, addressed the membership by outlining his goals and objectives for his upcoming term. For the complete list of directors, go to www.aiacanada.com.
CIIA Simplifies Emissions Reporting
F
acing a July 3 deadline to report many of their emissions, bodyshops in Toronto can now use the Collision Industry Information Assistance’s (CIIA) CHEMtrac simplified process. Instead of using multiple spreadsheets and determining emissions from painting, welding, sanding, heating in the booth and solvent use, the new simplified association program just asks the shop two questions on paint use and heating costs. “Shops felt the reporting was too onerous and many were confused with a significant number deciding not to report, which would generate a fine,” says John Norris of the collision industry trade association, CIIA. “This new simplified process that we have adopted working with CHEMtrac, will save many shops the headaches of reporting a complex series of emissions at the shop, letting the association handle that work.” The association was worried when they saw private consultants demanding $2000 or more to do the shop’s work, and decided to find an easier way to help shops with this work and to meet the pending filing deadline. Member shops can have their reporting handled for them by the association for $300 with a surcharge to non-members. All shops are urged, member or not, to contact the association for help as soon as they can to arrange for the completion of their report. For assistance, contact info@ciia.com.
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Congratulations Congratulations to Frank, Franco and the team at Formula One Collision Centre for being recognized as Body Shop of the Year. Standox is proud to be one of your suppliers.
StandoxŽ is a registered trademark of E. I. du Pont de Nemours and Company or its affiliates. DuPont Canada is a licensee. CopyrightŠ 2012 DuPont Canada. All rights reserved.
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bodyshop of the year profile
2012 Bodyshop
of the Year
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A family affair By Noelle Stapinsky
W
hen you think of a typical bodyshop, do the words “elegant” and “pristine” come to mind? Would it be your venue of choice for a gala event and wine tasting? On a stretch of Tecumseh Road East in Windsor, Ont. —a hardcore automotive city —dealerships, bodyshops, and repair centres flank the drag for as far as the eye can see. In the midst of this auto mecca, Formula One Collision appears more like a high-end dealership than your typical repair centre. Surrounded by green lawns, mature trees, and heavy pots bursting with colourful flowers at every door and window, the building presents a graceful professional welcome. A 1956 BMW Isetta sits in the front lawn for curbside appeal. But customers shouldn’t be intimidated by the lineup of luxury vehicles out front, or the Lamborghini sitting in the retro-style service bay next to the office door; this 30,000-squarefoot facility will treat any make or model with the same attention and care that it would a Rolls-Royce. That’s how this third-generation family business built its reputation: one car at a time, with a focus on quality repairs. The owner of Formula One, Frank Gobbato, got into the family business when he was just 13 years old. His father, Duilio (Willy)—an old-school bodyman who picked up the trade in Italy fixing high-end vehicles—emmigrated to Canada in search of a better life and opened Continental Collision in downtown Windsor in 1964, which he ran with his sons Frank, Marco and Enrico, and daughter Tiziana. “He [Willy] took a big production shop and turned it into a quality shop. He worked his entire life. He came from just a suitcase to being a millionaire with a grade-three education,” says Frank, who took over the family business when he was 18. In 2002, Frank decided to spread his wings, and opened Formula One (which he now runs with his son Franco, who is vice-president), leaving the successful family business in the hands of his brother. The new building, which was once a country and westernthemed bingo hall, sits on a vast plot of land with an open field on one side and a flowing river on the other. At the front of the building, the office shares a space with an open-concept, fully licensed bistro that’s open to the public and serves up fresh daily specials. It’s a lunch hot spot for local businesses and customers can hang out there while their vehicles are being fixed. Venturing back into the shop, there’s a customer lounge with
a full view of the operation. Some shop owners might cringe at the thought of their shops being in full view of the customers. Not Formula One. The shop is impeccably clean. There’s ceramic tile flooring throughout, the damaged vehicles are lined up as if on display rather than in the process of being repaired and two massive chandeliers—left over from the building’s bingo days—add a luxurious glow to the shop lighting. But it’s not just the grandeur of the facility that sets Formula One apart. It’s the DIY spirit, attention to detail and quality, and customer service, which is all held together by the family-style culture it has created with its employees. And of course, the plethora of lessons learned from Willy.
School of Hard Knocks “My dad was a tough teacher,” says Frank. But he didn’t achieve what he did in life by throwing his money away. If something needed to be done, he would figure it out. When they were first renovating Formula One, they had a company give an estimate on putting up the black and red façade. “The company wanted $100,000 just to bend the metal,” says Franco. “He (Willy) wasn’t going for it. He said ‘Are you kidding me? I’ll do it myself.’” And he did. He was 80 years old at the time. He was up on a scaffold in February working on it. “People would call me and say, ‘Are you insane…letting your dad up there like that?’ And I’d say, just try to get him down,” says Frank. Willy even handmade the old Continental Collision sign that now hangs near the entrance to the bodyshop. It’s that do-it-yourself mentality that the Gobbatos look for in their 25 employees. “If you see someone that’s getting minimum wage, moving their ass to do the best they can, that’s the kind of person you want,” says Frank. “In fact, there’s someone here, John Charles, that’s been with me for 36 years. I found him working at a car wash. He’s almost 60 years old now and he can outwork most of these young guys.” Getting hired at this shop is no easy feat. Yes, new hires are chosen based on qualifications, but they must also fit into the Formula One family. After initial interviews, the candidate is brought out to the shop floor for a full team interview. “You’d be surprised at the honesty you get from some of these people that you didn’t get in the first or second interview,” laughs Franco. Continued on page 16 www.bodyshopbiz.com l June 2012 l Bodyshop 15
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But once you’re hired, the Gobbatos strive to provide a challenging workplace, where everyone helps each other. Onsite training is provided to help employees, who get benefits, an above average wage, and constant opportunities for growth, with new developments in equipment, techniques and processes. Finding the right job for each employee is essential. “If you don’t, they’re going to be frustrated, and you’re going to be even more frustrated because it’s coming out of your back pocket,” says Frank. “By finding out what they do best and communicating with them, you can create a better workplace.” This is how Josh O’Neil, who was working as a technician, moved to the front of house as a damage consultant. “He already knows the back and what the work entails. He loves cars, but really wanted to get into estimating,” says Franco. Franco also got his start working on the shop floor before moving to the front. Reminiscing about his days on the floor and his working dynamic with his father, Franco says they used to joke about being like Ralph the wolf and Sam the sheepdog from the Looney Tunes cartoon, when they clocked out for the day. Frank, who’s currently on the shop floor painting, believes in training each employee in the Formula One way. He’s currently in the middle of training a female technician, Hilary Leipold, who was hired fresh out of school. “I said, ‘Hilary, how would you like to be our next Picasso?’ Her eyes lit up. She’s learning and is better with detail than the guys,” says Frank. “She’s an amazing person and she’s going to be really great at what she does. In fact, I know I need more female technicians here.”
Built on Reputation Windsor was hit hard when the economy tanked in 2008. Autobody tradesmen in the region are hard pressed to find a job, let alone one where there’s steady work. But Formula One’s shop is booming. When Bodyshop magazine visited the shop in May, there was a Rolls-Royce in the paint booth, a Jaguar in prep and a line-up of vehicles being worked on in the shop and in the outdoor work bays longside the river, where there are beautiful rose bushes and a gazebo. “Our techs love being out there,” says Frank. “There are trees, birds, the river, and it’s nice to be outside in the natural light and fresh air.” To stay on top of trends and operational strategies, Formula One belongs to a group of 20 shops led by Tony Passwater, president of AEII, a consulting service for the collision repair industry. With the group, Frank and Franco tour unique shops throughout North America.
“We discuss issues and ways to improve, and we learn a lot from each other…about being more lean, how to keep costs down, and how to get people coming to your shop for their vehicle repairs,” says Franco. “Getting in an accident is a horrible experience. But if you can turn it around so that customers actually enjoy coming to your facility, you’ve done a good job. That’s our main goal.” To add even more to the experience, customers can enjoy walking around the meticulously kept property, check out the bistro’s vegetable garden, and say hello to Frank’s chickens. They’re allowed out of their coop—which has an exhaust pipe for a perch—to roam around the property during the day. With an attractive website to market the business, Formula One also offers online access for customers to view pictures and the status of their repair. And every customer gets a guided tour of the facility. “That’s been key,” says Franco. “A lot of times you don’t want to see the back of the shop, let alone be allowed to see where the cars are being fixed.” Vehicles being repaired are handled with the utmost care—removed parts are placed in clearly labelled containers and stored in organized storage units out back, while vehicle interiors are plastic wrapped to prevent dust or repair debris from getting inside. Formula One has a stern focus on restoring vehicles to the manufacturer specifications. Using ALLDATA and working with local dealerships to access the needed information, Frank says, if a five-star car comes in, it has to be restored to that five-star condition. “That vehicle must withstand the impact of an accident the way it was manufactured to. There are families in those cars. It’s not just shiny metal and a nice paint job that counts; it’s the underneath safety factor.” Frank and Franco agree that anyone can do the customer service thing and clean up cars, but they question whether or not shops are really spending the time and effort to negotiate with the insurance companies for the proper repair procedure and cost, or are they just jumping at the chance to get vehicles in the door? Continued on page 18
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bodyshop of the year profile Continued from page 16
“When you sign up for a DRP, you’re basically eliminating the insurance company’s responsibility. Shops are jumping at those opportunities just to get cars in the door, but what are we really doing?” asks Frank. “You are my customer, not ABC Insurance. You are here to trust me with your best interests.” Franco says that insurance companies are notorious for trying to push customers away from their independent shop. “Our customers get calls from their insurance companies about how they can’t guarantee our work or quality. The best compliment is when our customers ask, ‘Have you ever been to Formula One? I think I’m going to trust their quality over anywhere else you’re sending me.’” To add to its customer-focused service, Formula One also has a fleet of rental cars available for its customers. “If they drive a Jag, we’ll give them a Jag. Or if they need a minivan, we have one ready to go,” says Frank. Indeed, Formula One’s progressive stance on customer service, quality work, company culture, and community involvement [see sidebar] makes it a stunning role model for Canada’s collision industry. For these reasons, Formula One is this year’s Bodyshop of the Year award winner. When asked about how much more they can do, Frank says, “I think we could give back to the community more, and I’d like to start a school here to train technicians.” He continues with a smirk, “We started a horseshoe pit out back for the employees, and I was thinking about putting a pool in, but I don’t know what the liability is for that.” Most recently, Formula One bought the equipment to start making clear automotive protective bras and covers. “It’s trial and error at this point,” says Frank. “We’re working on perfecting it…Rome wasn’t built overnight.” Frank’s father always dreamed of having the best auto bodyshop in Canada, and now Frank has his sights on being the
best in North America. And at the end of each workday, when he’s punching in the alarm code, he looks up at a photo of the four generations of Gobbatos and says, “Thanks Dad.”
I
Giving Back
n May, Formula One held a Red Dress Gala event for the Heart & Stroke foundation. Clearing out the bodyshop for tables and chairs, the event attracted 130 from the community. Ladies in stunning red dresses posed for photo opportunities with the 1956 Isetta, and a wine tasting was held in the upper level of the shop. And with the fully licensed bistro, Formula One also catered the event. Each year, the shop hosts a car show to raise funds for organizations. This year, it will be working with the Mountain Child Foundation. It also sponsors Starlight, a Canadian Children’s Foundation annually, and this summer, the entire staff will take part in a Big Bike Ride for Heart & Stroke—a large bike with up to 40 seats, which the staff will ride around downtown Windsor.
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honourable mentions
Top Notch
2012 Bodyshop of the Year Honourable Mentions The Bodyshop of the Year Award once again attracted a flood of nominations for shops across the country, and the competition was strong. With such great nominations, we decided to highlight those that caught our attention. In no particular order, here are the 2012 Bodyshop of the Year Honourable Mentions. Superior Auto Collision, Toronto, Ont.
A third-generation family-owned business that has operated in Toronto for over 35 years, Superior Auto is focused on being an industry leader. Investing heavily in training, such as Automotive Aftermarket training and I-Car, and a member of the Sherwin-Williams A-Plus network, owner Daniel Tsatsos says that attending courses and helping others throughout the industry is essential. And when it comes to the community, Superior raises money for the Daily Bread Food Bank by holding food drives, it donates regularly to Sick Kids, and it sponsors about eight to 10 youth sports teams each year.
Morden Autobody Ltd., Morden, Man. Located in the rapidly growing town of Morden, just north of the U.S. border, Morden Autobody is a third-generation family-run business that opened in 1965. An I-Car Platinum shop, quality control and customer service is top of mind. Owners Dale and Fred Pohl boast a tight management system that streamlines its repair process from the moment the vehicle arrives until it’s repaired and leaves the shop with a happy customer. With seven technicians on the floor and two office employees, the shop is focused on staying on top of industry trends. It also supports all of the local charities and regularly donates to community events.
Brimell Group Paint and Collision, Scarborough, Ont.
The Brimell Group Paint & Collision Centre first opened in 1972 as a 1,500-square-foot extension of the Brimell Toyota service department. By 2010 it moved to a new location and added a multimillion-dollar expansion, to create a 18,000-square-foot facility that houses the latest in repair technology. Under the management of Richard Marsh, the Brimell Group facilitates I-Car training—with a full audio/video training facility—and has four employees with platinum status. The shop has also teamed up with 3M and other industry leaders to supply technical training to industry professionals. Actively focused on educating the children that will be the future of the automotive industry, Brimell works with AYCE Employment Services—it recently completed a sixweek training course at its facility for the 2012 Autobody and Collision damage pre-apprenticeship program. The Brimell group is also a regular contributor to organizations such as the Heart & Stroke Foundation, Ronald McDonald House, Child Find, Sick Kids, The Alzheimer Society, Scarborough Hospital and the Adopt a Grizzly Bear program at the Toronto Zoo.
MacKay’s CARSTAR Collision, Sackville, N.S. Husband and wife team, Tim and Shelley MacKay have been CARSTAR franchisees for the past five years, with locations in Sackville and Halifax, N.S. Always keeping up-to-date on industry events, the MacKays are regular supporters of provincial apprenticeship programs and have contributed to the Skills Competition in Nova Scotia. Keeping up on new techniques and skills with I-Car training, Tim MacKay is always searching for ways to improve the business. And when it comes to the community, this couple is extremely active and regularly supports local sports groups and church activities.
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paint technology
Colour Confidential How new products and technology are improving paint efficiency, delivery times, and quality. By Peter Diekmeyer
H
einz Grau is an old-school bodyman. He gets to work early, gives customers a fair deal, and his handshake is worth more than any piece of paper. But as with many oldtimers, Grau, who runs HG Garage Inc., doesn’t like change. So despite the fact that much of the industry has made considerable advances in paint technology, notably a massive move from solvent-based to waterborne products, he hasn’t budged. “The stuff we use is up to standard and our customers are happy,” says Grau. “So why should we change? It would cost us a fortune and would be a pain in the [rear] for nothing.” Bodyshop pros like Grau, that have built long track records with loyal client bases, can afford to stick with old technologies. However, many industry players, beset with tough competition and increased demand for better prices, service, and quality, are streamlining the paint products and processes they use in a furious bid to stay out in front. Industry suppliers—keen to meet new demands, maintain existing customer bases, and expand them if possible—are playing along, introducing new innovations that improve everything from solvent-base preparation and application, sanding, and polishing to the actual painting itself.
Boosting productivity Mary-Ann Short, a marketing services manager at BASF who deals with bodyshops across the country, sees the productivity pressures that the industry faces every day. She readily admits that boosting efficiency by moving from solvent-based paint to
water-based products involves considerable investments in new equipment, workflow changes, and shop layouts, but remains adamant that the benefits more than make up for it. “You don’t just change because you are forced to; you do it because it makes good business sense,” says Short. “Water-based paints give you better production, throughput, and colourmatching capabilities. Plus, companies like us make it easier for bodyshops to convert their processes, by providing training for the painters.” Angela Baillie, a marketing specialist at Sherwin-Williams Automotive Finishes, agrees that productivity is key. “There is a continuing need to ensure paint booths don’t become production bottlenecks in collision shops,” she says. “In fact the search for new tools to increase efficiency throughout all phases of collision centre operations is a must in a tight economy, where time truly is money.” By now, most major Canadian bodyshops have taken the steps they need to adhere to the low Volatile Organic Compound (VOC) standards regarding solvent-based paints that were introduced in 2010. True, many, particularly smaller, independent shops are still using solvent-based primer and clearcoats. Others continue to have inventories of old solvent-based paint on hand, which they are entitled to work through. However, paint companies are constantly introducing new technologies. For example, according to Baillie, SherwinContinued on page 24
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IN LOVE WITH COLOUR
We share your passion for perfection. That's why we created Standoblue® basecoat: to put great paint in shops that elevate refinishing to an art. Standox is consistently enhancing its portfolio of products to give you a solid foundation for the success of your business. It's also why we developed best-in-class colour tools specifically designed to help master craftsmen achieve an outstanding colour match—each and every time.
The Art of Refinishing.
Standox® and Standoblue® are registered trademarks of E. I. du Pont de Nemours and Company or its affiliates. DuPont Canada is a licensee ©
Copyright 2012 DuPont Canada. All rights reserved.
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Did you know that when you are spraying a catalyzed paint product in a spray booth or prep deck, the proper personal protection equipment is an air-supplied respirator? Air supplied respirators must be supplied with Grade “D” Breathable Air. Quality Air Breathing Systems are designed to provide Grade “D” Breathable Air from your existing compressed air system, for compliance with current CSA Standards when using an air supplied respirator. Systems sized from one person to twelve persons at the same time. We offer complete systems, with proper filtration and carbon monoxide monitors, panel mounted, and ready to use. Available in belt mounted, wall mount, and portable versions.
Williams recently launched HP Process, a new system that encompasses primers, basecoats, and urethane clearcoats, that takes the entire vehicle refinish procedure from primer to clearcoat in less than 50 minutes. Other companies, such as PPG, have introduced new clearcoats that are designed to be used in its Aquabase Plus system. PPG’s new clearcoat enables the tech to bypass the baking cycle, making vehicles ready to be polished in as little as 30 minutes. Spies Hecker’s low-VOC clearcoat was also recently introduced in part to help boost bodyshop efficiency. And according to Short, BASF recently introduced No Bake Clears, a product designed for small repair jobs that, as the name implies, requires minimal drying times and thus speeds the repair process, enabling shops to increase both throughputs and revenues.
Enhanced workflows Productivity improvements can also be leveraged by investments in new, highperformance equipment, says Rick Boychuk, national sales director of Eurotech Spray Products, which markets the German-designed line of SATA paint spray guns to distribution networks and occasionally directly to end users. Use of quality guns with high transfer efficiency rates can dramatically improve bodyshop productivity, says Boychuk. Eurotech, which is in heavy competition with both IWATA and DeVilbiss, markets two major series: one to apply primers and another that applies clearcoats and colour. Last year, SATA launched the SATAjet 4000B, modelled after the earlier 3000B version, which Boychuk says includes several features that will improve efficiency. The new gun is said to be lighter than the previous version, and has improved air-, fan-, and fluid-related features. Key, says Boychuk, is the new gun’s ability to break resin into smaller droplets, which makes for far subtler colours, a crucial attribute in an era where colour matching is becoming increasingly challenging and important.
Streamlining administrative processes Another often-overlooked area of paint technology that can be considerably improved in many collision repair centres is administrative processes. Many bodyshop professionals are tradesmen at heart, and
regard anything that occurs outside of the shop floor, such as completing work orders, billing, filling in purchase requisitions, ordering, and so on, as distractions from “real work.” These tasks are thus often handled as an afterthought. However, according to Baillie, bodyshops can make significant productivity gains by improving their inventory management processes. Bodyshops generally face two contradictory challenges when managing the various paint products stored inhouse. The first is the vast gains that can be achieved by keeping levels low. Having large qualities of paints, primers, clearcoats, and other consumables on hand ties up valuable corporate capital. In addition, if not properly stored and tracked effectively, products may end up being dumped or forgotten back in low-traffic storage areas. That can lead to huge quantities of increasingly valuable floor space being essentially wasted. “Lean inventory management plays a key role in delivering an efficient production cycle,” notes Baillie. “Maintaining proper stock levels is critical to maximizing profitability and growth potential as well as promoting repair consistency.” However, bodyshops also need to keep enough stock on hand, so that the ordering process does not slow the workflow chain. To help clients do that, SherwinWilliams offers its Lean Stock Inventory System, which according to Baillie gives the shop the resources to control its entire inventory. All the inventory manager has to do is scan the barcodes through a kanban trigger and a replacement order is placed through the SherwinWilliams website. After delivery, the order is verified by the inventory manager and restocked. The system has gotten considerable positive feedback from customers who have tried it, says Baillie. As for Hans Grau, the old-school bodyman recently moved his facilities from Dorval, on Montreal Island, to Laval. Upon reflection, he shows openness toward adopting some of the newer products and technologies. “I guess I will make the investments in time and money to move to water-based paints eventually, when the benefits to customers become too clear to resist,” says the industry veteran. “Sometimes you just have to go with the flow.”
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health and safety
Risky
Business The bodyshop industry has a notorious history when it comes to health and safety issues, but careful attention to regulations and workplace safety can improve worker safety tenfold. By Abi Slone
I
n no industry is the idea and practice of workplace safety something to be taken lightly. But in the Canadian collision repair industry, treating safety regulations as an afterthought can not only result in fines and stopwork orders, but can be a matter of life and
death. From mechanical missteps to airborne contaminants, bodyshops from coastto-coast are stepping up their game, thanks to new regulations, provincial inspection blitzes, and an investment in employee safety. Working on a shop floor means coming
into contact with potentially hazardous equipment and chemicals every day. From welding equipment to spray booths to the storage of flammable and combustible liquids, the need to stay safe is more important Continued on page 28
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than ever, and can mean the difference between a successful business and a shop that spends more time paying fines and increased insurance premiums than taking care of its employees and customers. In Alberta, despite the province’s 10 per cent decrease in workplace-related deaths due to chemical exposure between 2010 and 2011, Government of Alberta public affairs officer Barrie Harrison believes there is still a lot of work to be done when it comes to making bodyshop safety a priority. Since the last revision of the Occupational Health and Safety Code (July 2009), a review of orders “would indicate that the most common issues officers have identified during inspections of auto bodyshops involve a lack of adequate assessment of the hazards present at the work sites, and in particular, with regards to exposure to airborne contaminants,” says Harrison. And unlike other jurisdictions across the country, there are no requirements for mandatory health and safety committees to ensure the provincial guidelines are being met—not because safety isn’t a priority, but according to Harrison, because there’s no proof that they make any difference when it comes down to the numbers. “Unlike some other jurisdictions, we don’t have mandatory health and safety committees in Alberta,” says Harrison. “We don’t believe there’s any indication that it makes a company any safer. Of course, we encourage any business in Alberta to form a health and safety committee if they feel that’s an effective practice for them.” In Ontario, a province-wide inspection blitz was recently implemented that was designed to raise awareness around health and safety issues and encourage compliance with existing regulations. Ministry of Labour senior communications officer William Lin believes workplace safety is “the responsibility of everyone in the workplace...and prevention of work-related illness and injury [is] the most important job at any workplace.” Ontario’s Occupational Health and Safety Act requires that companies convene a Joint Health and Safety Committee, comprised of individuals who represent both the worker and the employer to ensure a balanced perspective and commitment. The committee routinely inspects the workplace, identifies potential health and safety problems, and brings them to the attention of the employer. Manitoba, British Columbia, and Nova
Scotia also have mandatory health and safety committees for organizations with more than 20 employees (often a mandatory Health Representative for organizations with five or more employees), but what should these committees be focusing on to ensure their continued success? According to a checklist supplied by the Ontario Service Safety Alliance, the major hazards to watch for in autobody and repair facilities include hoists, designated substances including isocynates, the dispensing and storage of hazardous liquids, bonding and grounding, sandblasting, compressed gas, the availability and use of personal protective equipment, the storage of waste paint and solvents, and potential explosions due to the cross-mixing of solvent and waterborne waste streams. Jo-Anna Guerra, acting executive director of Manitoba Family Services and Labour, Labour Programs-Workplace Safety and Health, believes that the frequency of inspection and a strong Internal Responsibility System are key elements to ensuring a safe work environment. “The most important aspect of safety inspections is the frequency at which they are conducted,” says Guerra. “The inspection schedule should be rigorous enough to identify safety and health hazards in the workplace. An inspection must be thorough enough to identify general hazards, such as flooring, housekeeping and storage issues, and to ensure
that specific hazards are appropriately addressed, including unguarded or poorly maintained machinery or tools, exposure to fugitive emissions, chemical mixing and use, and risks for musculoskeletal injury. Inspections should also take into account the availability of appropriate eye/face washing facilities, first aid, and personal protective equipment.” Depending on the type of equipment, including hoists, power mobile equipment, ventilation systems, and spray paint facilities, there may need to be more frequent inspections—the details of which are outlined not only by occupational healthy and safety regulations, but the manufacturers themselves. Across the industry there are efforts to be compliant with the rules and regulations put in place to ensure worker safety, but should infractions be found within a shop, provincial inspectors can issue anything from a fine to a stop-work order. “Improvement Orders are usually issued for various contraventions of the legislation,” says Guerra. “Compliance with the Workplace Safety and Health Act and Workplace Safety and Health Regulation are the criteria to become an accredited bodyshop, and employers generally take appropriate action when they receive an Improvement Order.” There can be an administrative penalty of up to $5,000, though, should the shop fail to comply with the order after it has been issued. And in Ontario, the penalties can be much steeper, ranging from
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individual fines up to $25,000 and/or imprisonment for up to 12 months if convicted, according to Lin. Although there are varying regulations and standards across the country, there are common watch-outs regardless of what
province the shop resides in. Harrison says, “The best way for employers to make sure that their equipment meets the regulation requirements is to follow the manufacturer’s specifications for all aspects of the erection, installation, assembly, start-up, operation, handling, servicing, testing, adjusting, calibration, maintenance, repair, or dismantling of the equipment.” But the best way to make sure the shop is compliant with safety regulations and standards is to become familiar with the regulations. The codes and guidelines that help to keep the industry safe and healthy are available online in each province. “Everyone in the organization has a role to play in safety and health, and needs to know what their responsibilities are,” says Guerra. “Assuming that someone else has done it or that safety is someone else’s responsibility is one of the most common mistakes people make when it comes to safety.” With routine internal inspections, a familiarity with the guidelines, and a com-
Custom Tapes & Sprayers
FBS_Ad_June-BodyShop_half-press.pdf
5/11/2012
2:13:06 PM
mitment to workplace safety, repair shops and their employees can start to breathe easier—literally.
watch bike paint project with Nub & Ryno www.fbs-online.com
www.fbs-online.com
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specialty hand tools
Top-drawer Tools Auto body professionals all have their own tricks of the trade, and that perfect tool to get the job done. Some can be a MacGyver with just the basics, but with many specialty tools on the market, there are options to make tricky jobs a lot easier. Here are some new tools that might come in handy. Drill Sergeant
Glass Act
Remove spot welds in seconds with Blair Equipment Co.’s Enforcer pneumatic Spotweld Drill.
The Extractor PROV28 Milwaukee allows technicians to remove automotive glass with accuracy.
T he lower drill bit speed of 800 RPM is ideal for ultra-high strength steels and boron. Drill-bit penetration is adjustable to exact depths.
The comfort grip handle reduces operator fatigue and gives a solid grip in slippery conditions.
Manual operation maximizes the drill bit torque.
With two lithium ion batteries and two chargers, the V28 also features a battery fuel gauge to help techs monitor power usage. peration O requires 90 psi and four CFM.
“The Enforcer Spotweld Drill reduces the time needed to replace a damaged panel. Because all the air power is being used to turn the drill bit, it allows the user to aggressively feed the drill bit for faster spotweld removal,” says Greg Londrigan, marketing coordinator, Blair Equipment Co. “It can also be utilized for drilling holes for plug-welding a panel back on to the vehicle.”
Hammer Time Mac Tools’ Compo-Cast hammers provide accurate striking power. With a Dual Face head design, this two-in-one hammer features a slim line design for extended reach and a standard flat dead-blow edge. T he hot urethane Uni-Cast construction provides shape-retaining faces even after repeated striking.
Two delta blades are included in each kit.
The double flange texture handle is curved allowing technicians to perform mid- to full-range motion strikes by moving their palm up or down on the handle.
“This tool would be ideal for disassembly or assembly of the components of a vehicle that has been in a collision, while minimizing additional damage,” says Bob Blue, Mac Tools product manager. “It can be used on multiple applications where a striking tool is required. And since this product is made of a urethane material, it is ideal to remove bolts and pins without damaging them like a traditional steel-face hammer.”
Technicians can also use this tool for separating IG unites to salvage glass, remove floor tiles, or remove barnacles from boats of all sizes.
Nut Buster Ingersoll Rand’s W7150 ½-inch high-torque cordless Impactool is powerful enough to handle jobs usually left to pneumatic impacts. The re-engineered high-power rare earth magnet motor has an all-metal drive train and hammer mechanism, covered by a chemical-resistant, metal reinforced housing. It also features a variable speed switch with an electronic brake for more control.
Weighing 6.8 pounds and measuring 9.4 inches from top to tail, it’s lightweight and ergonomically designed.
The new IQV20 series battery platform features advanced lithium-ion technology to deliver high charge capacity and low internal impedance.
“The W7150 is designed for optimal performance and durability, and has allowed Ingersoll Rand to deliver a true cordless alternative to air,” says Steve Jenson, global portfolio manager, cordless tools at Ingersoll Rand.
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products
Fast Filler Standox recently introduced its Standox ProFuture (PF) Filler, a next-generation technology for professional refinishers. This productive filler features exceptionally fast air-dry qualities and excellent sanding properties. Ideal for use with all Standox basecoats, the filler is VOCcompliant and enables highquality results due to its good film build and outstanding vertical hold. Standox PF Filler is ideal for spot repairs because there is little to no overspray, and comes in white and dark grey, which can be mixed together to achieve a variety of shades and make the application of the basecoat easier. It can be sprayed in two to four coats with only five to 10 minutes flash-off between coats. Standox www.standox.com
Matrix Mixes It Up Now professional vehicle refinishers everywhere will be able to mix RPB-LV Refinish Solutions Low V.O.C. Basecoat off of the existing Matrix System MPB-LV System. This state-of-the-art technology consists of an entire line of toners and pearls that delivers 3.5 or lower V.O.C. emissions. The RPB-LV line offers customers exceptional hiding, with ease of application and use, and there is no need to upgrade shop equipment. RPB-LV was designed to target the “over-the-counter markets� without having to discount the premium line. RPB-LV toners are mixed off of the same mixing bank and enable jobbers to offer a secondary, compliant, lower-cost product line to their customers by simply carrying one additional product, RPB-1000LV Low V.O.C. Basecoat Additive. RPB-LV features an easy 2:1 mix ratio, offers Xirallics and tri-stage colours, and can be matched with the existing AccuShade colour documentation. Matrix System Automotive Finishes www.matrixsystem.com
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ccif
CCIF: CHALLENGES AND
PROMISE AHEAD By Andrew Ross
A
ttendees of the Canadian Collision Industry Forum (CCIF) in Vancouver were treated to a refreshing combination of updates, calls to action, and promises for the future. In probably one of the most candid presentations in the history of the CCIF, Tom Bissonnette, CCIF chair and owner of Parr Auto Body in Saskatoon, Sask., called on insurers to come to the table and talk with shops about how to handle present and future challenges of skills shortages, shop closings, increasing technology, and OE-driven collision centre certification—something he says is not happening now. Bissonnette took the opportunity to run through a “wish list” communicated to him by the industry. He charged that the current state of repairer-insurer relations made it all but impossible to ethically operate a repair outlet with the equipment and skilled employees necessary to maintain quality repair processes. His primary wish is for insurers to stop dictating “solutions,” and sit down with shops to reach the desired result, one that works for all parties involved. “All I’m saying is ‘Let’s talk,’” says Bissonnette. Keynote speaker Donald Cooper has become a fixture of sorts at automotive conferences, but his message of empowered management never seems to wane. In a world where so much focus is put on business managers accommodating the needs and wants of an increasingly demanding young workforce, his presentation focused on how managers need to do what is best for the business. Vision is where it all starts, he says. It’s important to have everyone singing from the same hymn sheet. Most businesses in the 40 industries he works in, he says, fall down on this in one of four ways.
I-CAR director Andrew Shepherd (Top) and Mark McKim of Customs for Urban Teens.
1)There is no hymn sheet. 2)There is a hymn sheet, but it’s only seen by the top three people. 3)There is a different hymn sheet for everyone in the company. 4)The hymn sheet was written by a consultant and nobody understands a word of it.
His presentation elicited much snickering, but the humour of his presentation did not overshadow the meaning of his words. A study done over 11 years found that those companies that did get everyone on the same page and had clarity of purpose, had five times the profitability of those that did not. “Is it any surprise that the chance of getting somewhere is greatly improved when you’re actually trying to get somewhere?” Cooper says that a clear and deliverable Vision Statement is often missing from businesses, and lacks process. He says that a vision should be a measurable statement about what your business is prepared to do to become a profitable and responsible market leader in three to five years. “And it will be six points and revised every year. The goal for every business should be to be different, and to deliver extraordinary Continued on page 36
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Automotive Internet Directory Visit these companies directly at their web addresses or check out the growing list of Hot Links at www.autoserviceworld.com. To find out how your organization can be included in this directory and on the web, contact aross@jobbernews.com
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Aisin World Corp. of America, Inc. (AWA), a leading Tier One automotive components supplier and one of the world’s largest manufacturers of aftermarket parts. AISIN’s original equipment technology and know-how is used to ensure product quality and reliability. To learn more about our products, request a catalogue today. www.aisinaftermarket.com
BUSINESS MANAGEMENT SERVICES The Automotive Aftermarket E-Learning Centre Ltd www.aaec.ca AAEC - BEST - Business Evaluation Support & Training - Instructing and Coaching with the Proven Business Management Tools that drives a shop’s Bottom Line, Team Culture and Marketplace Credibility.
Goodyear Engineered Products www.goodyearep.com/aftermarket www.goodyearbeltsandhose.com The officially licensed belt of NASCAR. Gatorback, the quiet belt. You can never replace Goodyear quality. NGK Spark Plugs Canada Limited www.ngksparkplugs.ca The World Leader in Spark Plugs, Oxygen Sensors and Ignition Wire Sets. Used by 87% of the World’s OE Manufacturers
HAND CLEANERS GOJO Industries, Inc. www.automotive.gojo.com GOJO is a leading manufacturer of skin care products and services for many marketing including automotive and manufacturing. GOJO continues to pursue a commitment of creating well-being through hand hygiene and healthy skin.
S.B International Inc. www.sbintl.com “We keep engines humming”
AUTOMOTIVE RECYCLERS
Company
Bestbuy Distributors Limited www.bestbuyautoparts.ca Independent buying group and warehouse distributor that allocates its profits to member shareholders and provides unbeatable value for independent jobbers. The E.R.I. Group www.theerigroup.com Canada’s Premier Machine Shop Buying Group Kerr Machine Shop Group Inc.
www.kerrmachineshopgroup.com Buying group for machine shops and performance shops.
Duracool Refrigerants
www.duracool.com Nationally Distributed by: Deepfreeze Refrigerants Inc. The Leaders in Hydrocarbon Refrigerant Technology. Guaranteed In writing not to harm any Mobile A/C System. You can feel the Difference that Quality Makes. “Our Formula Never Changes”.
ADVERTISERS INDEX Page #
AIA Canada 25 Advics North America (AMSales@advics-na.com) ........9 Anest Iwata USA 2
www.aiacanada.com www.anestiwata.com
Blair Equipment
36
BMW
40
www.bmw.ca
Carstar
9
www.carstar.ca
DuPont Performance Coatings
5
www.cromax.dupont.com
FBS
29
www.fbs-online.com
First Choice Auto Repair Systems Inc 7
www.Ezpartorder.com www.EZShopManager.com
www.blairequipment.com
Kennedy Paint
39
www.southernpolyurethanes.com
Martech Services
24
www.breathingsystems.com
Mirka
32
www.mirka.com
NACE
33
www.asrwevents.com
OEConnection
WAREHOUSE DISTRIBUTORS & BUYING GROUPS
REFRIGERANT
Carcone’s Auto Recycling and Wheel Refinishing www.carcone.com With over 32 years of experience Carcone’s Auto Recycling & Wheel Refinishing is your one stop for quality recycled products and wheel refinishing needs. Call today at 1-800-263-2022 or visit us on line at www.carcone.com
advertiser index
TOOLS & EQUIPMENT AIR LIQUIDE CANADA INC. www.airliquide.ca Your one-stop shop for all your industrial gases and welding supplies.
17,19,21
www.OEConnection.ca/shop
Pro-Spray Automotive Refinishes
37
www.ProSprayFinishes.com
Rondex
27
www.rondex.ca
SATA Spray Equipment
11
www.satacanada.com
Stay up to date at
31
www.sherwin-automotive.com
www. VOCcompliance.com
Sherwin Williams Automotive Refinishes Standox
JOBBER NEWS / JUNE 2012
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Continued from page 34
customer service,” says Cooper. “What are you famous for? Are you playing leap-from or catch-up in your business? Will your vision include both success and significance?” Cooper adds, “Success is anything we do that affects us; significance is everything we do that affects others. When we die our success dies with us; our significance lives on.” Presentations at CCIF in Vancouver also included a number of industry updates. I-CAR Canada director Andrew Shepherd focused his presentation on the growth of I-CAR participation in British Columbia. In 2011 I-CAR Canada had delivered 42 B.C. classes with 627 seats, and though the trend is positive for 2012, there is much room to grow. “We are in the process of opening the system up. It is my view [that in the past] it was quite narrow. Now, anyone who shows a Red Seal gets equivalency for 29 of the 80 courses,” says Shepherd. “My objective is to drive to a more open system, that allows other training and that allows shops to have more of a say about what training you need to survive.”
Andrew Shepherd, director of I-CAR discusses the growth of participation in B.C.
Ken McCormick of the Automotive Retailers Association provided an update on the industry in the province. “The trend is in fact to fewer collisions,” he offered, to the surprise of no one. “So I guess the question is, why is it trending downward? Certainly weather has been a factor. It has become less severe on a year-over-year
basis, and of course the economy plays a role.” But McCormick also says that total writeoffs have been increasing, and not just because the cost of repairs has risen. “We generally see a write-off threshold of about 70 per cent of the value of the vehicle when you factor in the cost of the vehicle. Many of our shops are now reporting that the total loss ratio is around 55 per cent,” says McCormick. The day wrapped up with an inspirational presentation by Mark McKim and Dan Murray on the Customs for Urban Teens (C.U.T.) program they have been running in Vancouver on a shoestring since 2009. The program provides at-risk youth in Vancouver with start-up skills in the trade, as well as giving them a place to go to get away from less wholesome influences. Both McKim and Murray have first-hand experiences of what these darker forces can do to your life, and created the program to provide others with opportunities they did not have. Participants have continued on with schooling or jobs in welding, mechanics, auto body repair, and refinishing. The program has so far built two custom cars in the space of only a few hundred square feet, but has struggled to keep supplies on hand and to feed the youth who show up each evening to work on projects. Responding to the challenge, industry attendees committed more than $5,000 to the cause. It was a positive end to the day-long forum, and it seemed to make attendees feel just a little better about the future of the industry.
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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.
Features more than 5100 popular domestic and import colors.
Sprayed in actual Pro-Spray paint and arranged in chromatic order.
Matched in Pro-Spray H2O Waterborne and Solventborne colors.
Combine the Navigator™ with over 282,000 formulas in the included Pro-Spray PaintXpert™ software and you’ve got a powerful set of tools to work with.
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AUTOMOTIVE
FINISHES
29/05/12 2:02 PM
from the publisher
LET’S TALK While the basic fact of bodyshops, and the professionals who run them, squaring off with insurance companies is nothing new, there is ample evidence that the relationship is more strained than ever before. And, if ever there was any doubt about how strained it is, the off-script rant by Canadian Collision Industry Forum (CCIF) chair Tom Bissonnette approached the issue effectively. Bissonnette charged that the way that insurance companies handle their relationships with the shops their customers rely on is without logic, reason, or consultation. You have to remember that one of the founding principles of the CCIF is to avoid such confrontations; while at times this has led to some rather obsequious rhetoric— “we’re all fast friends and partners”—for the most part it has served the forum and the industry well by preventing a descent into charges and counter-charges, accusations and aspersions. And, while some may have felt that there could have been a little more fireworks to the collision repair vs. insurance discussion, it has made some constructive discussion on issues such as training, conversions to waterborne, estimating, and the all-important coffee-break networking possible. However, as Bissonnette charged, there has been little discussion between insurers and the shops, in or out of the public eye. Even some of the insurance partner-focused overtures have Machiavellian overtones. And even if they’re not really enemies, at the very least the insurers and the collision repair industry will always make uncomfortable bedfellows. And so now into this dysfunctional relationship has come the red-headed stepchild that is insurance involvement in parts procurement. This is most acutely represented in a recent move by the American insurer State Farm, which has raised the ire of many industry groups even as the pilot program rolls out. The program is designed to track shop purchases and related pricing, though the insurer says it does not dictate the purchasing and only reveals margins on recycled parts. Still, the rhetoric has become so hot on the topic that State Farm felt it necessary to produce a video defending the program, even to its own Select Service Network DRP program shops, and furthermore to release a transcript to the media. “From the beginning of this effort, we have remained focused on creating a more efficient and transparent part procurement process. And we have a responsibility to our policyholders to ensure efficient oversight of their premium dollars,” it reads in part. But it’s pretty clear why shops would be uncomfortable with this kind of third-party scrutiny, and clearly the insurer is feeling the backlash. Both have been very vocal about this issue, and others in the past. North of the border, however, the conversation is much less public. In fact, the reaction to Bissonnette’s call for communication at the CCIF indicates to me that the confrontational approach was not welcomed. However this doesn’t mean that a conversation can’t be public and civil. I think it’s time to get a group of players around a table to talk it out, for the benefit of all concerned: independents, banners, and yes, insurers, so that everyone can understand everyone else’s positions on the issues and the reasons behind them. My hope is that at the end of the day, the individual parties would at least have a better understanding of the goals of the others, and maybe even have a starting point for mutually beneficial solutions, instead of the current state of dictated measures and workarounds. But what do you think? Drop me a note on whether you think sober conversation is the way to go, or if you’re happy with the status quo. B Andrew Ross aross@bodyshopbiz.com 38 Bodyshop l June 2012 l www.bodyshopbiz.com
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