Mopar Masters Guild Magazine November - December 2021

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Leaders in the sale of quality Stellantis Mopar Parts.

November - December 2021

Also In This Issue From the Desk of MMG President Susan McDaniel: “Be Thankful” ....................2 Mopar Masters Guild 30th Anniversary Information ........................................................3 Automakers See Gold in Over-the-Air Software Upgrades ....................................... 4-6 Dodge to Certify Dealers; Revive Direct Connection Parts Line .................... 6-7 The View From My Office with Kat Monteiro ................................................. 8-9 MMG Vendors ..........................................10-11 OEConnection ...........................................12-13 AER Sales...................................................14-15 10 Missions Media - FenderBender ............16 Katzkin Leather ..............................................17 Activator ..........................................................18 CDK Global .....................................................19 Katzkin Leather ..............................................20 CDK Global .....................................................21 Reynolds & Reynolds .....................................22 10 Missions Media - Ratchet+Wrench ......23 Wholesale Parts Pro/NiTS Solutions..24-25 OEConnection .................................................26 Reynolds & Reynolds .....................................27 Snap-On Business Solutions .........................28 Wholesale Parts Pro/NiTS Solutions........29

Mopar Masters Guild to Celebrate 30th Anniversary at NADA 2022 Las Vegas (Informa on Page 3!)

Katzkin Leather ..............................................30 Stellantis Plans Rollout on Level 3 Automated Driving in 2024....................31-32 From the Desk of Mike Anderson ........33-34 Florida Sheriff Praises Homeowner for Shooting Invader ............................................35 MMG Officers/Committees ........................40

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November - December 2021

From the Desk of MMG President Susan McDaniel

Be Thankful Hello Everyone, It’s hard to believe we are closing in on another year. We have all had to endure many changes over this past year; the loss of loved ones, illnesses, changes within our businesses, employees, and the changing world around us. Despite all of this, we all s ll have so much to be thankful for. Every year at this me, our dealership takes dona ons from our employees to support needy families in our community. This year we have made twenty gi boxes full of common household items, sundries, non- perishable food items and a few family board games. This really put things into perspec ve that the heads of these families cannot provide such simple necessi es. During home schooling, these children lost out on a free warm breakfast and lunch, not to men on eight hours out of a poten ally bad environment. Hopefully, knowing that someone cared and tried to help will carry on through their adult lives. I am thankful that I was able to help in some way. I have read and heard many nega ve comments lately regarding changes and general unhappiness. It’s unfortunate, but some mes we just need to adapt and improvise. If you should ever need help in doing this, try driving by your local hospital and take a look at the parking lot. Be thankful you are only driving by. Be thankful for your own families and the health and happiness you share within them especially this me of year. Think about this as you are buying gi s, visi ng and pu ng great food on the table. Be thankful that we have such an awesome support group within Mopar Masters that we can reach out to each other at any given me for ideas, encouragement and support. Where might we all be right now without having had this all of these years? The struggle would have been a lot worse. Be thankful for the support of all of our vendors who have worked with us relessly to help improve our businesses, listen to our sugges ons and provide the financial support for our yearly mee ngs and recepons during NADA. Without them it would not be possible to have events such as the one coming up this March. This is where the ul mate networking, friendship making and idea sharing takes place. Be thankful we can s ll do this.

Your President,

Susan McDaniel Susan McDaniel susan@billluke.com 602.336.1557

“Be present in all things and thankful for all things.” “We must find time to stop and thank the people who make a difference in our lives.” “The heart that gives thanks is a happy one, for we cannot feel thankful and unhappy at the same time.” “Life is under no obligation to give us what we expect.”

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Mopar Masters Guild to Celebrate 30th Anniversary at NADA 2022 Las Vegas

Mark Your Calendars! Plans for our 30th Anniversary of the Mopar Masters Guild MeeƟngs at NADA 2022 in Las Vegas, Nevada are well underway! Come join the celebraƟon and see your friends! Our Hotel of choice this year is The Aria Resort & Casino 3730 S Las Vegas Blvd, Las Vegas, NV 89158 Use the following link to secure your reserva ons: https: book.passkey.com go SMMG0322AR You will be prompted to include an Access Code which is: MMGATT032268 Tenta ve plans so far: 

Tuesday March 8th, 2022 Arrival in Las Vegas - Member Gathering in the Evening (TBA)

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Wednesday March 9th, 2022 MMG Meetings - (TBA) - (Election for MMG Officers Will Be Held!)

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Thursday March 10th, 2022 MMG Meetings - (TBA)

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Thursday Evening March 10th, 2022 Mopar Masters Guild Annual Cocktail Reception at The Barbershop Cuts & Cocktails at the Cosmopolitan

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Friday March 11th, 2022 MMG Meetings - (TBA)

Updates & IƟnerary will follow soon! The exchange of information by like sized dealers in a non-competitive environment.

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November - December 2021

Automakers See Gold in Over-the-Air Software Upgrades The kinds of instant upgrades consumers get on their phones are now on the way to their cars and trucks. Will customers keep shelling out post-purchase? DETROIT — Star ng in late December, some Dodge owners who want more horsepower can just download it. Ram owners will one day be able to buy extra payload capacity. The kinds of instant upgrades consumers are used to ge ng on their cellphones are now on the way to their cars and trucks as automakers salivate over the prospect of wirelessly squeezing more profit from vehicles long a er they’ve le the dealership. General Motors projects up to $25 billion in annual revenue by 2030 from so ware and subscrip on services. Stellan s last week began a push to bring in $23 billion a year from such offerings by 2030, more than 50 mes what it gets from the meager op ons available today. “We intend to deepen the emo onal bond between our customers and the brands they love,” Mamatha Chamarthi, head of Stellan s’ so ware business, said in a presenta on to investors. “If the past was about increasing margins by moving customers north in hardware and trim levels, our future is about offering customers so ware-based services.” But whether automakers can persuade customers to keep their wallets open long a er taking ownership of a vehicle isn’t clear. Soaring transac on prices mean many buyers are stretching the limits of their budgets to afford their monthly payments, even as loans increasingly spread out the cost over seven years or more. That means that to achieve their ambi ous revenue projec ons from so ware, automakers will need to find ways to make the vehicle itself less expensive, Stellan s CEO Carlos Tavares said. Costs reduc ons on the lower-profit manufacturing side of the business are key to unlocking the poten al of the higher-margin so ware side, he told reporters in Detroit last week.

Stellantis CEO Carlos Tavares “Cutting manufacturing costs is key”

“All of this is very much dependent on the affordability of what we are doing,” Tavares said. “Something needs to be improving in the cost structure of this fantas c mobility device called the automobile ... to make sure this technology is not going to create mobility that is only for the elites.” Continued on Page 5

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Continued from Page 4 A Tesla model In many ways, automakers are taking a cue from Tesla as they equip vehicles to receive over-the-air updates, years a er the electric vehicle maker began doing so. They also have watched technology companies such as Apple use connec vity to produce recurring revenue streams and make customers fiercely brand-loyal. Stellan s says the so ware and services market it’s eager to tap will amount to $225 billion by 2030, and doing so will produce the sizable margins that tech companies enjoy. Apple’s 29 percent opera ng margin in the third quarter is nearly triple the 10 percent that Stellan s projects for all of 2021. That kind of profit poten al explains why automakers are so enamored with so ware, but the benefits for consumers who will be asked to pay up are less obvious, cau oned Mike Ramsey, an automo ve and smart mobility analyst at Gartner. “I’m skep cal that any of these car companies will get anything close to the mul ples they’re talking about from services,” Ramsey said. Automakers might be able to get customers to subscribe to features that go beyond what they have today, such as driver-assist technology, he said. But the companies will likely have trouble if they try the airline model of charging for ameni es people are accustomed to having included. “If they try to shake people down for heated seats, like BMW is considering, that’s probably not going to go over very well,” Ramsey said. In Germany and Norway, Audi offers upgraded Matrix LED headlights on the E-tron and E-tron Sportback EVs for a monthly fee a er buyers exhaust a free trial. And owners of the Polestar 2 EV in Europe can now buy a $1,100 performance upgrade that provides 67 hp more and faster accelera on. ‘Always on’ Ford Motor Co. last week launched a field service tool for businesses that it hopes will help differen ate its new Ford Pro commercial unit and help generate recurring revenue. The tool, called Viizr, is meant to provide business owners with so ware to do everything from digi ze work quotes and invoices to schedule, dispatch and coordinate field technicians. Ford has said it aims to foster an “always on” rela onship with customers to generate new forms of revenue through vehicle connec vity, though it hasn’t given a specific dollar amount.

General Motors CEO Mary Barra addresses investors in October. GM projects up to $25 billion in annual revenue by 2030 from software and subscription services.

“ ‘Always on’ means we are regularly interac ng with our customers on things large and small,” Ford CEO Jim Farley said in July, “and we’re building new capabili es like connected services to enrich the customer experience and drive recurring revenue streams.” Continued on Page 6

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November - December 2021

Continued from Page 5 Stellan s intends to offer many of the services it’s developing via three technology pla orms it will deploy star ng in 2024, called STLA Brain, STLA SmartCockpit and STLA AutoDrive. It also plans to launch usage-based insurance in North America and Europe in 2022. The company listed horsepower boosts, increased pickup capabili es, Wi-Fi, and streaming audio and video features as more immediate examples of what it’s planning. But one ques on that the rollout of “Ne lix-style” services raises is the dealer’s role in post-purchase transacons, said Fernando Varela, who owns three Ford dealerships and a GM brand store near Dallas. “We, as dealers, probably need to be more outspoken,” said Varela, chairman of the Na onal Associa on of Minority Automobile Dealers. “It is my customer; I should get a percentage of the revenue and not just the manufacturers.” Source: www.AutoNews.com

Dodge to certify dealers, revive parts line Building a network of cer fied retailers and resurrec ng its Direct Connec on performance parts brand are among the first steps in a two-year plan the brand has started to roll out. DETROIT — Dodge will begin calling some dealerships “Power Brokers,” a designa on indica ng that a store’s sales, service and parts opera ons meet the brand’s standard for customer service and that it has staffers with comprehensive knowledge of vehicle features, performance parts and installa on. Building a network of cer fied retailers and resurrec ng its Direct Connec on performance parts brand are among the first steps in a two-year business plan Dodge began rolling out last week. The brand says it will release at least one new step of the plan, which it’s calling “Never Li ,” every three months. “Some will be minor, but there will be a few that will be game-changers,” Dodge brand CEO Tim Kuniskis said in an online video, “so we’re going to give you a calendar, and we’re going to tell you the me frames, but we’re not going to tell you which ones are major and which ones are minor.” Continued on Page 7

Mopar Masters Guild Magazine


Leaders in the Sale of Quality Mopar Parts Continued from Page 6 The steady rollout of news comes as Dodge, known for its roaring internal combus on engines, begins to transi on to electrifica on. Dodge is expected to launch a plug-in hybrid model in 2022 and a ba ery-electric muscle car in 2024. The high-octane brand also will show an electric concept next year. The first Never Li dispatch didn’t touch on EVs. It was centered on the customer experience at dealerships, product giveaways and the search for a brand ambassador. The start of the two-year plan comes with Dodge’s U.S. sales down 14 percent this year through September, though sales of its three remaining nameplates — the Challenger, Charger and Durango — are up 15 percent. The Grand Caravan and Journey are now out of produc on. Salespeople at Power Brokers stores, Dodge said, “will have the knowledge to walk customers through Dodge vehicle performance features and available performance upgrades.” The brand said consumers will be able to “purchase a vehicle with upgrades directly from a Power Brokers dealership, with the added benefit of maintaining the balance of the factory vehicle warranty when parts are installed by a Dodge Power Brokers dealer.” These dealerships will also host performance clinics for enthusiasts and maintain a full lineup of Dodge performance models available for customer test drives. The Power Brokers program will begin Dec. 15. Dodge said its Direct Connec on parts brand is returning as the exclusive source of factory-backed parts and official technical informa on. The Direct Connec on brand launched in 1974 and was folded into the Mopar umbrella during the 1980s. “It stood for giving enthusiasts the best possible support straight from the factory with parts, technical advice, guides and manuals that serve as how-to bibles of high performance,” Kuniskis said. Modern performance kits will be available through Direct Connec on to upgrade the engine, suspension and driveline of the current Dodge Challenger. It will also provide “race-ready parts” for the Challenger Mopar Drag Pak, including engines, transmissions and a body-in-white that Dodge says will allow racers to build their own Drag Pak. “These are the factory performance parts that you’ve been asking for, like Hellcat and Red Eye stage kits, tuned and updated with a Direct Connec on PCM tuning module,” Kuniskis said. “These kits are emissions compliant, and they won’t violate your factory warranty.” Direct Connec on resources for muscle car enthusiasts and racers will include a performance parts website, technical informa on telephone hotline and parts catalog. The brand said Power Brokers stores will be exclusive hubs where consumers can get Direct Connec on parts. The Direct Connec on program begins its rollout Dec. 15. Dodge also said it will give away 25 vehicles during an eight-week event called Opera on 25/8 that will enlist superstars from the sports, music and automo ve arenas. The name is meant to suggest that the brand goes beyond 24/7. Each of the 25 celebri es involved will offer muscle car enthusiasts a chance at a new Dodge of their choosing. Amazon also will take part in the giveaway. Source: www.AutoNews.com

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November - December 2021

The View From My Office

With Kat Monteiro

Here we are, the end of December and Christmas is just a few short days away. A few days a er that we will be celebra ng the coming of a new year - 2022. Bringing in the new year - 2022 - seems almost impossible! Remember when most of us were young, we never even thought we would make it to the year 2000! We thought we would be old and shriveled up by the me that decade came along - but here we are, alive and well, bringing in 2022! Blows my mind! And how many of you went in to work December 31st 1999? Going in to watch the computers, to see what was going to happen when the clock and year changed over to 2000. I know Rick did! And now here we are bringing in 2022. And we are s ll here to talk about it. I’m in a bit of a reflec ng mood. Thinking about all the Lifestyles trips we have been on, and being able to spend me with many of you on those trips, how fortunate we have been. With the new year brings con nued changes to our Chrysler world with Stellan s becoming our new leader. And all the thoughts going through our minds wondering what will become of it all. I hope they bring back Lifestyles. Those trips were such good opportuni es for many of us to get to know each other. And it really was a great tas ng carrot at the end of a hard fought year. Happy mes indeed. Going down memory lane brings me to thoughts of these ar cles I write. It all started when I was driving and delivering parts. I always picked a good place with a view to sit and have my lunch. Usually by the ocean, but there were days it was under a shade tree with a view of a grass field full of flowers, or the salt fields in Chula Vista, wherever it was I would snap a picture looking out my windshield and post it on Facebook with a tle of The View From My Office. It kind of became a hit so Don and I cha ed and decided I would write monthly ar cles with the tle The View From My Office. It started off as kind of a blog. Talking about my daily job as a driver, introducing you to some of my favorite shops and introducing you to Jack Powell CDJR. I started wri ng these ar cles back in 2015. It’s been fun! It makes me feel accomplished when you all tell me that you read my ar cles and liked what I talked about in a certain issue. I have even had people from Chrysler Corpora on/ Mopar tell me how much they look forward to reading my ar cle. Jack Powell himself will send Rick and I an email telling me how much he enjoyed something I have wri en. I know I am too ng my own horn here a li le bit, but I do feel proud. I want to thank Don Cushing for all his encouragement and pa ence. There have been mes that I just couldn’t pull anything from my brain and Don would tell me that he knew I could get past my block and write something, and I always did. And some of those ar cles ended up being the best I have wri en. So I truly do thank him for always believing in me. I thank him for giving me the opportunity to take up space in the Mopar Masster’s Guild Magazine issue a er issue. I do enjoy it so much! I have had the opportunity to write about so many things from our business at Jack Powell, life as a parts driver then as an Outside Sales Rep, trips, convenons, vaca ons, NADA, so many things, how did I ever get so lucky? As I am wri ng this I started to think it sounds like I am saying goodbye. And in some aspects I guess I am. As I write this I have only 7 days le of work. Rick and I are re ring on New Year’s Eve. Rick will s ll be working part me but I will not. It is all bi ersweet. Continued on Page 9

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Continued from Page 8 I am very excited about our future. Traveling and visi ng friends and family, staying down in Mazatlan, Mexico and up in Albion, Calif at the coast for extended periods of me. We plan on ge ng a small travel trailer and visi ng the Na onal Parks. We want to visit all the Presiden al Libraries. The best part will be visi ng many of you. This week has hit me a li le hard with the reality of it all. I was si ng up at the front retail counter watching all the sales people walk by, and the service advisors coming up to get coffee or use the snack machine, and the customers I talked to, and I started realizing how much I will miss being with all these people. Gree ng our GM, Gerold every morning, popping in and saying hi to Jason Powell when he is in his office, fist bumping with Jack Powell when he comes into the dealership and even though he is wearing a mask I can see his big smile underneath, everyone in our parts department - we are a work family and I will miss you all. Rick is in his 29th year here at Jack Powell, it has been a good run. I am thankful to the Powells for giving Rick the opportunity all those years ago. He has truly thrived here and has really built a good reputa on for himself in the Chrysler world and has made this dealership one of the best. I am so very proud of him. I am looking forward to our next adventure, because for those of you who know Rick well, you know he never travels the same road twice and he always plans great adventures! As far as my ar cle goes, if Don will have me, I would like to con nue. We could call it The View From My Office - the re rement edi on! I hope everyone enjoys their friends and families over the holidays. Take me to be thankful and be kind, the world needs more kindness. We look forward to seeing many of you in Vegas for NADA to help celebrate 30 years of the Mopar Masters Guild. What an awesome accomplishment!! Congratula ons to all of you for helping make this group successful and strong. Merry Christmas and Happy New Year

Kat Monteiro “The best part about re rement is that you don’t have to worry about ge ng caught for doing nothing.”

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November - December 2021

Our Supporting Vendors:

Support those who support you.

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Our Supporting Vendors: The exchange of information by like sized dealers in a non-competitive environment.

Support those who support you.

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November - December 2021

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November - December 2021

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IdenƟfying New Sales and ProĮt OpportuniƟes Programs and IncenƟves Product Knowledge; Features, BeneĮts, Tools Sales Support; Outside Sales Reps Wholesale vs. Retail; Are both right for you? Why Buy O.E.? * Why Sell O.E.? Phone Skills; Parts and Service Warranty; Mopar vs. CompeƟtors Cummins Diesel Overcoming ObjecƟons Selling Skills (Phone and Face to Face) Outside Sales Rep Skills Sales Blitz: Why and how to execute a successful sales blitz

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November - December 2021

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November - December 2021

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What do we think when we look to the road ahead?

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November - December 2021

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IT’S TIME TO OPEN THIS BABY UP. The pace of change in our industry isn’t slowing down any time soon. But rest assured, CDK Global isn’t about to slow down either. Our customer relationships are stronger than ever. Our technology is more robust, more intelligent and more connected than ever. Our drive to innovate is more relentless than ever. And we couldn’t be more prepared to help you navigate the road ahead. Now hop in, buckle up and enjoy the ride.

LET'S CONNECT

CONNECTIONS THAT MOVE YOU Digital Sales / CRM / F&I / Fixed Operations / DMS / IT Solutions / Intelligence ©2021 CDK Global, LLC / CDK Global is a registered trademark of CDK Global, LLC. 21-0650

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November - December 2021

The Changing Automotive Landscape

CONSUMER PREFERENCES IN SERVICE

We conducted a survey of consumers who had service work completed at a dealership to better understand their preferences toward online and digital offerings in fixed operations.

Available Option

Customers who prefer this option:

Customers who actually used this option:

Schedule Service Visit Online

72%

24%

Check-In Using a Kiosk

33%

6%

Check-In Using a Mobile App

40%

4%

Receive Photos and Videos of Work/Issues

49%

16%

What does this mean for your dealership? When comparing consumer preferences to actual behavior, there appears to be a divide. Consumers continue to prefer more digital options in service such as text and email links, photo and video evidence, and additional forms of check-in and check-out using self-service technology. The dealership that meets these new preferences is likely the dealership that will beat out the competition, increase customer satisfaction, and drive service profits.

For more insights on the changing automotive landscape, download the full report at reyrey.com/report.

©2021 The Reynolds and Reynolds Company. All Rights Reserved. Printed in the USA. 1029578 12/21

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10 MISSIONS MEDIA: THE EXCLUSIVE MEDIA PARTNER OF THE MOPAR MASTERS GUILD

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STRATEGIES & INSPIRATION FOR AUTO CARE SUCCESS

SKY-HIGH NET PROFIT PAGE 33

UNLOCK YOUR VISION TAKE A STEP BACK AND DEFINE YOUR FUTURE PAGE 26

THE FUTURE OF ASA PAGE 11

MARCONI:

DO YOU SELL ON VALUE? PAGE 23

The Next Phase Dave Toole's California shops have grown quickly in the last few years, thanks to a focus on being a visionary leader.

YOUR GUIDE TO GEOFENCING PAGE 41

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November - December 2021

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Mopar Masters Guild Magazine


Leaders in the Sale of Quality Mopar Parts

25

“WPP not only provides easy-access reporting, but takes CRM one step further with Marketing Campaigns to help grow our wholesale parts business.” -Tom Finley, Parts Manager - Bachman Auto Group

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2-87 'SRƼHIRXMEP [[[ RMXWWSPYXMSRW GSQ

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November - December 2021

RepairLinkSM connects buyers with local dealers, so they can buy more OEM parts at competitive rates, ONLINE, backed by exclusive manufacturer promotional pricing. 237Ζ0$/ &86720(5 $&&(66Ζ%Ζ/Ζ7< • •

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Mopar Masters Guild Magazine


Leaders in the Sale of Quality Mopar Parts

27

RETAIL ANYWHERE WITHOUT SACRIFICING ANYTHING

To learn more about Retail Anywhere visit reyrey.com/retailanywhere ©2021 The Reynolds and Reynolds Company. All rights reserved. 12/21

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November - December 2021

wiADVISOR and Snap-on EPC 5 Integration Now Available! Snap-on’s Electronic Parts Catalog, EPC 5 is now integrated with wiADVISOR. Your dealership can improve cycle time and shop throughput, resulting in a parts and service department that is more efficient and profitable.

You’ll also benefit with: • Reduced steps to specify parts and add them to MPI System • Quicker cycle times when building and processing parts/service quotes • Faster confirmation of parts pricing and availability* • Increased accuracy due to reduced manual entry *Only available to users with Snap-on Integration Pro subscription. wiADVISER is a registered trademark.

Interested in Learning More? Click HERE to learn how you can sign-up for EPC 5 to start improving productivity and efficiency in your Parts Department today!

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Not Just Another Reporting Tool... We Take It To The Next Level!

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November - December 2021

Mopar Masters Guild Magazine


Leaders in the Sale of Quality Mopar Parts

31

Stellantis plans rollout of Level 3 automated driving in 2024 The hands-free technology will be part of its Ɵe-up with BMW.

Stellantis previewed its future software capabilities with the Chrysler Airflow concept Stellan s will roll out hands-free Level 3 automated driving technology within its cars star ng in 2024. The technology to allow the driver to hand control to the car is being developed in partnership with BMW, the automaker said. Announcing a new so ware strategy, Stellan s said it aims to generate about 20 billion euros ($23 billion) in extra revenue from so ware-driven features in its vehicles by 2030. “The first Level 3 solu on will come in 2024 before rolling out across the full por olio in the years to come,” Joachim Langenwalter, head of ar ficial intelligence, so ware and hardware at the company, said during an online presenta on of the strategy on Tuesday. Stellan s execu ves did not expand on which of its 14 brands will gain access to the technology first, but a slide outlining the plans pictured an Alfa Romeo, sugges ng it would go to premium brands first. BMW will roll out Level 3 technology star ng in 2022 with the next-genera on 7 Series upper-premium sedan, Forbes reported last month. Continued on Page 32

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November - December 2021

Continued from Page 31 Stellan s’ collabora on with BMW is a con nua on of a partnership between Fiat Chrysler Automobiles, Mobileye, Intel and BMW announced in 2017, a Stellan s spokesman said. Fiat Chrysler merged with PSA Group in January to form Stellan s. BMW did not reply to ques ons so whether Intel and its subsidiary Mobileye was s ll involved in the partnership. Stellan s plans to deploy three new so ware pla orms called STLA Brain, STLA SmartCockpit, and STLA AutoDrive.

The automaker said that STLA Brain, due for rollout in 2024, would be updateable over-the-air to allow its Level 2 semi-autonomy to be upgraded to allow hands free drive Level 3 driving. For more advanced Level 4 autonomy and Level 5 full autonomy, Stellan s will partner with Alphabet’s Waymo self-driving unit, it said. Waymo already deploys Pacifica Hybrid minivans from Stellan s’ Chrysler brand equipped with the Waymo Driver Level 4 technology to provide fully autonomous rides in Phoenix. Source: www.AutoNews.com

Mopar Masters Guild Magazine


Leaders in the Sale of Quality Mopar Parts

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From the Desk of Mike Anderson: When it Comes to Auto Body Shop Technician Compensation, Something Has to Change Something has to change. I’ll tell you up front: I’m going to be repea ng those four words a number of mes as you read through this ar cle. Something has to change. I have a family member who graduated from high school and went to work for Amazon. He is now 21, making more than $100,000 a year. He has stock op ons and they pay 100% of his health insurance. And they pay for all of his college. That’s what we’re compe ng against when we’re trying to recruit young people into our industry. Something has to change. I know a body tech who got out of the industry to work as a truck driver. He’s making more than $100,000 a year now. And he doesn’t have to buy any tools. He told me, “I have a lot less stress, Mike.” Something has to change. There’s a convenience store at the gas sta on near my home. That store starts people at $18 an hour. Just to work at a gas sta on convenience store. That’s almost $40,000 a year. Plus health insurance. There’s no liability in that work, and they’re not exposed to hazardous materials. They also offer up to $10,000 a year for child care reimbursement. Yet I talk to auto body shops trying to start people out at $10 to $15 per hour. That model is broken. Our industry has got to be able to... ...offer a more compe ve wage as well as be er benefits. Something has to change. Now I understand: We can’t compensate fairly unless we are being compensated fairly. This is absolutely not an an -insurance ar cle. It’s not. But at the end of the day, either labor rates have to start to come in line with what we need to compensate more fairly, shops have got to be paid for more not-included opera ons, or some combina on of the two. Somehow we need to collect addi onal funds to be able to recruit and retain people. I think we will see shops change who they do business with over this issue. They almost have to. I know one MSO has already told investors they’ve dropped some direct repair programs with “lower-margin clients that are not willing to increase pricing.” I’ve also heard from shops saying a compe tor in their market is offering signing bonuses of as much as $10,000. I don’t believe in stealing fish from another man’s pond. That’s not the solu on. What we need to do is recruit by offering a more compe ve compensa on package. The problem is only ge ng worse. We all know body labor rates have been lower than those in the mechanical industry because of body techs being able to work at 135% or 150% efficiency. Continued on Page 34

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November - December 2021

Continued from Page 33 But as we see less “repair” and more “replace,” technicians’ efficiencies are dropping. If it pays you five hours to replace a door, it takes you every bit of those five hours. A technician can turn a screwdriver, wrench or other tool only so fast. The space required for the work has increased. It takes three mes the space of an average auto body shop stall just to... ...perform calibra ons. The skills needed are also increasing. We need a much higher caliber person doing everything from the OEM procedure research to the final ADAS calibra ons. “It’s not just body work,” Susanna Gotsch of CCC Intelligent Solu ons said at the MSO Symposium in November. “It’s mechanical work, the knowledge of electronics, understanding how telema cs and the systems of the car work, how to read the manuals from the OEMs. All of that requires a higher set of training and tooling. That cost will have to be passed on. So I think we’re going to see more infla on on labor. I think that’s going to start to find its way into appraisals as well. It just has to.” My friends and colleagues, the industry model we have right now is broken, in terms of labor rates and compensa on packages. I don’t know the answer. I’ve got some ideas, I’ve got some thoughts. But I do know this: Something has to change.

Mike Anderson Bio There is no one in collision repair who hasn’t heard of Mike Anderson. He is an acclaimed champion of everything that is, or could be, right about the industry. As one of the most knowledgeable people in his field, he is a sought-a er speaker, author and consultant, who can discuss and teach on a wide range of topics – from the poli cs affec ng collision repair, to researching repairs properly via technology, to giving and ge ng the best from insurers, to crea ng a unified and suppor ve work culture, to performing a safe and correct repair – just to name a few things! If there is anything Mike doesn’t know, he will find out about it. Mike Anderson is the former owner of mul ple collision repair centers in Alexandria, Virginia. Mike’s shops held numerous OEM cer fica ons and were voted the #1 Collision repair business for 12 years in a row in the Washington DC, MD, VA area. Currently, Mike owns and operates Collision Advice, an industry research, reference and consul ng business. In addi on, Mike also serves as a facilitator for Axalta’s highly recognized Business Council 20 Groups in both the US and Canada as well as independent 20 groups thru Collision Advice. He facilitates numerous courses for mul ple companies such as Axalta, Toyota, Nissan and other OEM’s as well as his own companies courses listed in this catalogue. Mike has been traveling over 300 days a year for the past 10 years sharing his passion by teaching, serving on advisory boards and commi ees, and generally living to support the industry in the USA, Canada, Puerto Rico, Australia. Speaking with passion, as well as firsthand experience, Mike teaches per nent cu ng-edge management and opera onal techniques. But that’s not all, he is guaranteed to leave you laughing and highly mo vated as well.

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Leaders in the Sale of Quality Mopar Parts

35

As featured in our March-April Edi on of the MMG Magazine (“Jeepin With Judd & Tales of a Rock Star Sheriff), our Polk County Sheriff here in Florida is revered by his cons uents and hated by the “bad guys”! He takes no crap and is relentless in the pursuit on law breakers. The man is a constant sound bite machine. Here is his latest discussion concerning a homeowner defending himself. I’m so happy he’s MY Town Sheriff! -Don Cushing

Florida sheriff praises homeowner for shooting home invader: ‘Only Santa Claus gets to come in your house’ A Florida sheriff praised a homeowner for standing his ground and shoo ng an a empted home invader on Wednesday. ‘He gave him an early Christmas present,’ the sheriff said “The homeowner did exactly what he should have,” Polk County Sheriff Grady Judd told WFLA-TV a er a man in Lakeland, Florida shot an intruder in his home. “He had a gun, he knew how to use it, it was loaded, and he shot him a lot,” Judd said. “He gave him an early Christmas present. Only Santa Claus gets to come in your house — and Santa Claus is invited.” According to police, the homeowner says an intruder tossed a flower pot through the glass French doors of the home in an a empt to gain entry from the back porch. The homeowner then shot the intruder three mes. Police arrived on the scene and found 42-year-old Steven S llwell shot on the living room floor. S llwell was rushed to the hospital and was in cri cal, but stable condi on. “I’m proud of our homeowner for defending himself,” Judd added. “It’s called a ‘Castle Doctrine.’ He has the right to protect himself and his home from unknown intruders.”

Source: www.foxnews.com

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November - December 2021

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