FEB 2015
OFFICIAL PUBLICATION OF THE MOTOR TRADES ASSOCIATION OF QUEENSLAND
MEMBER'S CLASSIC: 1957 CHEVY BEL AIR
SHIFT YOUR
DEALERSHIP INTO
TOP GEAR
NADA UNIVERSITY COURSES ARE NOW AVAILABLE THROUGH AADA, INCLUDING: Service Department Operations Management Sales Operations Management I Sales Operations Management II
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IN S T IT U T E O F T E C H N O L O G Y
Contents Official Publication of the Motor Trades Association of Queensland
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HEAD OFFICE Building 8, 2728 Logan Road, Eight Mile Plains, Qld 4113 P.O. Box 4530, Eight Mile Plains, Qld 4113 Tel: 07 3237 8777 Fax: 07 3844 4488 Toll Free: 1800 177 951 Email: publications@mtaq.com.au Website: www.mtaq.com.au EDITOR Jonathan Nash ART DIRECTOR Marco Ilinic INDUSTRIAL RELATIONS Ted Kowalski Michelle Chadburn POLICY Kellie Dewar, General Manager MTA Queensland ADVERTISING ENQUIRIES Barry Browne 03 9807 9154 Email: barry@barrybrownemedia.com.au Emily Metelmann 07 3237 8784 Email: emilys@mtaq.com.au EDITORIAL Editorial submissions are welcomed but cannot be guaranteed placement. For more information telephone the Editor 07 3237 8777
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SUBSCRIPTION RATES (including GST) Australia: $72.60 annually Overseas: $110 annually MOTOR TRADER PUBLISHING POLICY Motor Trader is the official publication of the Motor Trades Association of Queensland. The role of Motor Trader is to inform members of current issues and legislation affecting the industry. As such it can be regarded as the business magazine for the Queensland motor industry. The role of Motor Trader is not to be in competition with the technical magazines already on the market. It will advise of new vehicles being released and of the latest technology incorporated into them; it will advise of latest technology affecting members in each of the MTA Queensland Divisions; it will keep members abreast of the latest in motor industry training and industrial affairs; and it will keep members informed of the latest technical aids available through MTA Queensland Member Services, which will assist members in staying ahead of the technological revolution presently being encountered within the motor industry. The publisher reserves the right to omit or alter any advertisement and the advertiser agrees to indemnify the publisher for all damages or liabilities arising from the published material.
02 From the editor 04 Policy/Viewpoint 06 Divisional news 08 MTA Q&A ACTION AUTO ELECTRICS: GEOFF AND DERYCK ANDERSON Feature 10 BEN COLLINS: SECRETS OF THE STIG News 13 BRIDGESTONE JOINS TYRE STEWARDSHIP AUSTRALIA 14 HELPING THE SEARCH FOR THE RIGHT APPRENTICE 15 CELEBRATING AUSSIE AUTOMOTIVE DESIGN 16 Members Classic BEL AIR FLAIR: 1957 CHEVROLET BEL AIR
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MTA QUEENSLAND ABN: 74 028 933 848
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CORPORATE PARTNERS
MEMBERS ESSENTIALS 19 22 26 28
Training matters Member matters Member profiles Industrial relations
29 Investment matters MARKET WRAP 30
Motoring SHOWTIME IN MOTOWN: THE NORTH AMERICAN INTERNATIONAL AUTO SHOW
32 Industry insight YOUR ‘CRITICAL SUCCESS FACTORS’ ARE YOUR 'KPIS' February 2015 Motor Trader | 1
From the editor
JONATHAN NASH EDITOR
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ELLO AND WELCOME to the first edition of Motor Trader for 2015. I hope you all had a fantastic break over Christmas and the New Year and that the first few weeks of this year have started brightly. Our cover story this month centres on Ben Collins - a name that not everyone may recognise. An experienced racing driver, Collins is better known as having spent years as The Stig, the anonymous driver who was as much a star of the BBC's hit TV show Top Gear as its three more recognisable presenters, Jeremy Clarkson, Richard Hammond and James May. After eight years, Collins' identity was finally revealed and he has continued to compete in motor racing - including in
the V8 Supercar series - as well as have a career as a Hollywood stunt driver. He's an interesting fellow. In our MTAQ&A this month we catch up with Geoff and Deryck Anderson from Action Auto Electrics in Brisbane. Since starting the firm 40 years ago the business has grown from a two-man operation to a large and successful company employing 27 staff and servicing a wide range of customers including mining, construction and trucking companies. In our Members Classic feature this month we take a look at a car that just about everyone, even someone without the least bit of interest in cars, recognises as a classic once they've clapped their eyes on it - a 1957 Chevy Bel Air. Owned by Alan Raine, a Light Vehicle apprentice with MTAIT, the Chevy is an incredible piece of restoration work - even if the colour was taken from a neighbour's Toyota Corolla! Take a look on page 16. Also this month we highlight how members who are searching for an apprentice can find the perfect candidate to fit their business. MTAQ and the BUSY At Work organisation have partnered to secure access for members to BUSY At Work's apprenticeship services. These include matching apprentices to businesses through the world-renowned Harrison Career Assessment Tool, and access to mentoring services to help businesses retain apprentices. Turn to page 14 for more information.
Also in this edition we focus on a member business that is creating a bit of a 'buzz' in a field completely unrelated to automotive. Jeff and Ann Ross, from Beerburrm Service Centre, are now not only owners of a mechanical servicing business but are developing recyclable, hi-tech, pest resistant beehives for the beekeeping industry. If it seems a bit of a leap to go from the world of engines and oil to the world of beehives and honey . . . well . . . it sort of is! Check out Jeff and Ann's story on pages 22 and 23. I hope you enjoy this edition. As always, we endeavour to bring you news and insight into the automotive industry, the most up-to-date information regarding training opportunities and, of course, stories that highlight members' interests. If you have a story you think is worth telling, please don't hesitate to contact me. It's great to be able to report on the successes and endeavours of our members and I know there are many of you out there who, just like Jeff and Ann, have an interesting story I would love to write about. I look forward to hearing from you! Cheers,
Jonathan Nash jonathann@mtaq.com.au
A WORK OF ART The Holden Efijy - a unique concept car produced in 2005 - will be one of the cars on show at the new exhibition Shifting Gear: Design, Innovation and the Australian Car that opens in March at the National Gallery of Victoria.
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2 | Motor Trader February 2015
INSTITUTE OF T EC H N O LO G Y
NEW G LIMITE OVERNME D PLAC NT FUN ES APP DING LY NOW
GET YOUR TRADE SKILLS RECOGNISED
Do you have trade skills and experience but no formal qualifications?
TRADE RECOGNITION Trade skills recognition is a way of gaining formal recognition of your skills and work experience. If you have not completed an apprenticeship in Australia or you have gained trade skills overseas, you can have your skills, work experience and trade qualifications nationally recognised. Recognition of work or training (trade recognition) allows people to gain a certificate of recognition in Queensland in an apprenticeship trade, where: • A formal apprenticeship has not been completed • An apprenticeship or trade training has been completed overseas
PARTICIPANT ELIGIBILITY 1. Be an Australian citizen, a permanent resident of Australia and living in Queensland or a Refugee and Humanitarian Visa holder living in Queensland 2. Be a skilled or experienced individual without a trade qualification, whose experiences are such that it is reasonable to assume you could achieve two thirds of a qualification or more through RPL assessment processes in a priority trade 3. Be 18 years or older 4. Express a commitment to gaining the entire qualification
MTA INSTITUTE OF TECHNOLOGY OFFERS TRADE RECOGNITION FOR THE FOLLOWING QUALIFICATIONS • • • • • • • •
Agricultural Mechanical Technology Automotive Electrical Technology Automotive Body Repair Technology Automotive Refinishing Technology Heavy Commercial Vehicle Mechanical Technology Light Vehicle Mechanical Technology Mobile Plant Technology Motorcycle Mechanical Technology
The Queensland Government covers the majority of the cost for trade recognition other than mandatory fees determined by Government.
COURSE LENGTH Once an application has been received with all supporting documentation, MTA Institute of Technology will assess and respond within 10 working days. Evaluation can be completed at MTA Institute of Technology’s Eight Mile Plains premises or alternatively on site at the applicants workplace.
ENROL Should you wish to obtain more information regarding trade recognition, please contact one of our friendly team using the contact details below.
Address Building 8, 2728 Logan Road Eight Mile Plains Qld 4113 Postal PO Box 4530 Eight Mile Plains Qld 4113 Tel (07) 3722 3000 Toll Free 1800 884 137 Email training@mtaq.com.au
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MTA INSTITUTE OF TECHNOLOGY
Policy/Viewpoint
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KELLIE DEWAR GENERAL MANAGER MTA QUEENSLAND
4 | Motor Trader February 2015
APPY NEW YEAR! MTA Queensland staff join with me in wishing you a successful and prosperous 2015. I had hoped to ease my way into 2015 following my Christmas/New Year break with the family. Welcome rain had fallen across the State and the drought areas suggested an improved economic outlook for our regional Members. Although rain does not drop money, it does bring hope and I planned to call Members to hear about their activities and issues. The relaxed approach was quickly replaced with sharp focus with the calling of the State Election. On behalf of Members, I prepared and sent a letter to the Leaders of the major political parties - the LNP Parliamentary Leader and Premier Campbell Newman and the ALP Parliamentary Leader and the Leader of the Opposition Annastacia Palaszczuk detailing the issues and policies relevant to the automotive value chain we would like to be addressed. Over the past two years, President David Fraser attended several industry fora at which he detailed the matters important to the motor trades. These were emphasised in the letters for the Leaders' consideration and inclusion in their respective party’s election platforms and future State Budgets. The initiatives identified in the letters included: continuation of fiscal repair and regulatory reform; increased support and funding for vocational education and training to raise employment opportunities for young people, to decrease youth unemployment, increase the skill base for industry and ensure quality of life and standard of living for many Queenslanders; taxation and charges “capped” to the increase in the Consumer Price Index; energy and insurance costs contained; registration fees remain frozen in line with the LNP 2012 State Election commitment; and the payroll tax exemption level increased. Additional funding was sought for highway infrastructure to improve transport logistics across the State and ongoing reform, efficiencies and improvement in the delivery of services and increase in frontline staff.
It is encouraging that both Leaders have placed a focus on training and employment. Shortly, I will be preparing a letter to Australia’s Treasurer to indicate the automotive value chain’s issues for the 2015-16 Federal Budget.
MOTOR DEALERS AND CHATTEL AUCTIONEERS ACT After a long gestation period, on December 1, 2014, the Motor Dealers and Chattel Auctioneers Act 2014 commenced. We worked with Members to ensure that there was a seamless transition to the new system so that they were ready to accommodate the reforms that included 14 profromas reduced to 3 forms. It was disappointing that a few businesses were unprepared for the changeover, particularly in view of the many advises from both Fair Trading and our Association. Members now tell me that the new system is working well.
NEW MOTOR VEHICLE SALES After 11 months of consecutive declining new motor vehicle sales (Australian Bureau of Statistics (ABS) seasonally adjusted), December 2014 produced a positive bounce. There were 20,105 new units sold, an increase of 2,278 or +12 .8 per cent compared with the previous month. This increase in new sales was the highest of all Australia’s jurisdictions. In trend terms, the result was less positive, indicating a decrease of 5.3 percent. Similar to the ABS, the respected VFacts data indicated that December new motor vehicles sales were strong with 20,858 unit sales, an increase of 1,135 of +5.8 per cent compared with December 2014. On a year to date basis, total new car sales numbered 223,519 down 9,620 or -4.1 per cent. Nationally, the new car market topped 1.1 million for only the third year, with Australians buying 1,113,224 new cars in 2014. The SUV was the most popular vehicle type, accounting for around 32 per cent of the market. When browsing through the Personal Properties Securities Register’s
quarterly statistical data an interesting fact caught my eye. Motor vehicles are the most common collateral class listed on registrations on the PPSR. As at December 31, 2014, there were 4,281,271 current registrations on the PPSR with this collateral class.
ECONOMY The next meeting of the Reserve Bank of Australia (RBA) Board will be on Tuesday 3rd February. Reading between the lines, it seems likely that the cash rate will remain at the historic low of 2.5 per cent where it has been for the 16th month in a row. Anecdotal information suggests that retailers reported strong Christmas sales. The Australian Chamber of Commerce and Industry (ACCI) December quarter 2014 survey of Investor Confidence indicated a different circumstance finding that overall, ‘business had a tough Christmas period’ and were ‘downbeat about prospects for the Australian economy for the year ahead’. The report indicated that profitability was ‘the worst in the 23-year history of the survey.’ ACCI called on the RBA to consider a rate cut at its next meeting and the government and the Parliament to act to restore business confidence by fixing the budget and undertaking productivity enhancing structural reforms. TD Securities had a different view, indicating that it was unconvinced that a cash rate cut was the solution; rather the government should announce a well-targeted infrastructure package to boost growth and jobs. The Westpac Melbourne Institute (the Institute) Index of Consumer Sentiment (seasonally adjusted) increased by 2.4 per cent in January assisted by a fall in petrol prices. When contrasted with the sharp 5.7% fall in the Index in December it is not a particularly strong result. The Institute maintains its position for a cut in the cash rate when the RBA meets in February. Time will tell.
SERVICE AND REPAIR INFORMATION The long running service and repair issue is over following the signing on December 15 2014 of a voluntary agreement - Access to Service and Repair Information for motor vehicles 2014. The Minster for Small Business
“THE AUSTRALIAN TAXATION OFFICE IS IN THE PROCESS OF SIMPLIFYING TAX AND SUPERANNUATION REPORTING OBLIGATIONS THROUGH SINGLE TOUCH PAYROLL. OVER THE COMING YEAR, I WILL KEEP MEMBERS UPDATED ON THE PROCESS.” Bruce Billson witnessed the signing which included the Australian Automotive Dealer Association as a signatory. The Agreement reflects the Commonwealth Consumer Affairs Advisory Council’s findings that access to service and repair information must be available to independent operators and to maintain competition in the aftermarket. The Victorian Automobile Chamber of Commerce makes their extensive repair information available to all independent repairers in Australia. Its call centre currently answers 98 per cent of received technical enquires. Importantly, under the Agreement, independent repairers must disclose to consumers whether the parts being replaced in their vehicle are genuine (Original Equipment Manufacture recommended) or non-genuine (sourced from an independent manufacturer/supplier), as well as fit for purpose and compatible with the operating systems of the vehicle. This means that the consumer has a fully informed choice about the use of a non-genuine part which may not be compatible with the operating systems of a complex modern motor vehicle. The Agreement has 14 Principles and recognises that while dissemination of service and repair information is important, ensuring that the repair sector is proficiently trained and consistently updated with new skills/information is critical. The parties to the Agreement decided to implement a process to develop protocols relating to vehicle data and ownership. The Agreement is to be underpinned by codes of practice specific to each signing organisation and their members.
RED TAPE REDUCTION - SINGLE TOUCH PAYROLL The Australian Taxation Office is in the process of simplifying tax and superannuation reporting obligations through Single Touch Payroll. Over the coming year, I will keep Members updated on the process. Under Single Touch Payroll (STP), employers’ accounting software will automatically report payroll information to the Australian Taxation Office (ATO) when employees are paid. This will eliminate the need for employers to report employee-related Pay As You Go Withholding (PAYGW) in their activity statements throughout the year and employee payment summaries at the end of the year. In addition, the Tax File Number declarations and Super Choice forms will be streamlined by providing digital services to simplify the process of bringing on new employees. STP builds on the Standard Business Reporting and utilises the innovation of software developers to provide accounting software solutions that meet the needs of employers. The STP will be available from July 2016 and transition arrangements will be the subject of consultation with the business community early in 2015. The ATO and the Treasury will consult with the community on the phasing of the start date for different sized employers and the arrangements to support the move to STP. This will include how the new arrangements will build on the Super Stream changes currently being implemented. In addition, consultation will examine the potential for employers to remit PAYGW and the Superannuation Guarantee at the same time employees are paid their salary and wages, and what support businesses may require to enable such a transformation in payments to government and superannuation funds.
PRODUCTIVITY COMMISSION INQUIRY INTO AUSTRALIA’S WORKPLACE RELATIONS FRAMEWORK A significant issue for Members is workplace relations. The Federal Government has tasked the Productivity Commission to undertake an Inquiry to Australia’s workplace relations. It will assess the impact February 2015 Motor Trader | 5
Policy/Viewpoint of the current workplace relations framework and consider what improvements may be needed. The terms of reference may be accessed at www.pc.gov.au/inquiries/current/ workplace-relations. An Issues Paper will be released in January 2015 and initial submissions are due by March 13, 2015. We will be making a submission following the release of the Issues Paper. Members who wish to have input should contact our Industrial Relations Officers - Ted Kowalski or Michelle Chadburn.
CONSUMER GUARANTEE FOR REMARKETED VEHICLES The issue of the consumer guarantee as it applies to remarketed vehicles from a licensed dealership has arisen. Members are reminded that a statutory warranty applies for three months or the first 5,000 kilometres (km) to a used motor vehicle purchased from a licensed used car dealer with an odometer
reading less than 160,000 km and less than 10 years old. It is important that licensed dealerships operate within the framework of the consumer guarantees under the Motor Dealers and Chattel Auctioneers Act and the Australian Consumer Law. Failing to do so has negative consequences for the dealer and indeed the entire sector. I was disappointed that a major news and current affairs outlet televised an incident of a consumer’s negative experience of purchasing a used motor vehicle from a licensed dealer who failed to provide and inform of the statutory warranty. The buyer, too, seemed unaware of his consumer rights. The story concentrated on the sensational aspect of the used motor vehicles defects, the consumer’s financial loss and the lack of a warranty. The news outlet failed to contact the MTA Queensland or Fair Trading to check the accuracy of the facts pertaining to a warranty before putting the story to air. Worse still, it was broadcast during the caretaker
LIONEL OTTO INSTRUMENTS Contact: John Robertson P: 07 3277 3888 F: 07 3277 8520 E: info@ottoinstruments.com.au 124 Evans Rd, P.O. Box 9, Salisbury, Qld. 4107
www.ottoinstruments.com.au 6 | Motor Trader February 2015
Before going on holidays prior to Christmas, I wrote to the Chairman of the Australian Consumer Affairs Commission (ACCC) referring to the continuing high prices of petrol in the regional areas that did not reflect declining oil prices. Whilst there are regional price disparities, petrol prices are at four year lows. Consumers are paying, on average, 40 cents a litre less than they were at May 2014. This means a family using 50 litres of fuel a week is saving around $20 each week,
Ben Chesterfield
ERAQ As advised in the last issue of MT, we did not hold the last scheduled meeting for 2014. As the first meeting is still a couple of weeks away there is time for you to come along and have a say in your division. It would be great to see some new faces in attendance. 20140192
LIONEL OTTO INSTRUMENTS has been servicing the automotive industry for over 40 years. Our level of service is second to none. We take pride in restoring your instruments to showroom condition and revel in the challenge of a “basket case”. Odometer setting on new clusters (proof of mileage required) Repair of digital clusters Service and restoration of all classic instruments Ratio boxes, speedo and tacho cables made to order Pixel and LCD screen repairs Repair of fuel tank sender units Our repairs offer a viable alternative to having to buy a second hand item or expensive new item
FUEL PRICES
Divisional news
INSTRUMENT REPAIR AND RESTORATION
• • • • • • •
period because of the State Election, making it difficult for Fair Trading to correct the inaccuracies. The consumer’s experience is one that we come across when a used motor vehicle is purchased from a backyarder operator - not a licensed dealership. I remind Members of our ‘Dob in a Backyarder’ which enables the reporting of unlicensed operators who are a serious problem to the sector.
AED Still a hot topic for this division is the ability to access technical information with regard to right to repair. The question is being asked of you as to whether there really is any difficulty in accessing this information. To date we haven't had any real evidence of this. We have also seen the
first 3 months of no rego labels. I trust you are all using the 'check rego' link. If anyone still isn't using this, or hasn't seen it, please make contact with us and we can resend the link. The next committee meeting is later this month.
NACA It has been nearly 3 months since 'that' hail storm and I'm sure you are all reaping the benefits. I have had conversations with many of you and it would seem that it was really heaven sent. However, let's not lose sight of the long term effect that this could have on our businesses by only seeing the short term gains. A new year brings new focus, so it is now that we should be focusing on what
“WHILST THERE ARE REGIONAL PRICE DISPARITIES, PETROL PRICES ARE AT FOUR YEAR LOWS. CONSUMERS ARE PAYING, ON AVERAGE, 40 CENTS A LITRE LESS THAN THEY WERE AT MAY 2014.” compared to May last year. I note that the Minister for Small Business the Hon Bruce Billson has directed the ACCC to examine the pricing and margins of supply impacts and competition in particular markets. Under a new arrangement the ACCC’s monitoring, reporting of petrol price will be done quarterly instead of annually. Four investigations a year into specific markets will be undertaken including a closer examination of pricing and margins,
of supply impacts and the state of competition in particular markets.
REGIONAL VISITS Visits to regional Members will continue to be a feature of the 2015 business calendar. I’m in the process of preparing the schedule for the coming year and will be able to provide the details in the March Viewpoint. I’m keen to meet with the Members in Townsville as we were unable to do so in 2014. With the help of Rod Pether our North Queensland region representative, the Townsville visit has been scheduled for March 12-13 for a general meeting of all Divisions. Townsville Members will receive a bulletin providing the details of the time and place. We believe it is important for us to hear the individual issues important to your businesses and we hope you are able to attend. These visits provide for an interchange of information and ideas
enabling us to deliver the services that Members need and to advocate on your behalf to Federal, State and Local Government agencies.
STAFF CHANGES Our popular Divisional Executive Ben Chesterfield has received an employment offer ‘to good to refuse’ and will be leaving us. Ben will still be in the automotive value chain and will remain involved with the Association. I’ve worked closely with Ben and he will be missed by Members in the Divisions for which he has responsibility. On behalf of the Members he worked with I thank him for his commitment and professionalism. MTA Queensland staff join with me in wishing Ben the best as he undertakes the new opportunity afforded to him. For a while, I will assume Ben’s responsibilities until there is a new appointment. I will be pleased when the State Election and the caretaker period is over so that we can resume our advocacy.
with Ben Chesterfield and Ian Cole is sustainable and viable. I have recently met with Youi, and it is great to see another insurer that wants to communicate with the industry through MTAQ. We value your feedback, and look forward to hearing from more members this year. On a personal note, I wish to advise that I will be leaving MTAQ to take another role within this industry - an industry for which I have so much passion. I would like to say thanks for the last four years and the opportunities it has
afforded me to get to know a lot of you.
Ian Cole
ARD The Motor Dealer and Chattel Auctioneers Act 2014 has been introduced effective from December 1, 2014. Unfortunately, in my contact with members it would appear that some have been using PAMDA paperwork and are unaware of the implementation date of the new act. It cannot be highlighted
enough that any paperwork referencing the previous PAMDA act must not be used in any capacity. The stationery affected is as follows: •Dealer and Trust Account •Receipt Books •Used Vehicle Contracts • New Vehicle Contracts A3 with Trade • Vendor Statement to Motor Dealer Books • Appointment to Act on Consignment Books MTAQ has the new stationery available from the
stationery department. Another of the main changes introduced on December 1 is that Statutory Warranty B has been removed and members need to ensure that they are complying with signage and advertising content if they are selling unwarranted vehicles under the new Act. Although Statutory Warranty B has been removed, ACL still applies to unwarranted vehicles. “No Statutory Warranty “ signs are available from the stationery department.
Gadi Electrical / Electrical Contractors No. 68790
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THE TIME IS NOW FOR BUSINESSES TO SAVE
February 2015 Motor Trader | 7
MTA
QA &
What products and services does Action Auto Electrics provide?
GA: We provide a range of auto electrical products including lights, gauges, starter motors - anything to do with automotive electrical. On the service side we repair mostly heavy equipment. Trucks, cranes, buses, earthmoving gear - that’s where we specialise. We also have ten service trucks on the road that are all fully equipped to do automotive electrical repairs and air conditioning repairs on-site. They all have recovery units, vacuum pumps and a range of light products - relays, solenoids, bulbs, trailer plugs, circuit breakers and so on - that you need for an on-site job. We operate from 7am until 9pm four days a week, 7am until 7pm on Friday and 7am until noon on Saturday. We also provide a 24 hour call out service. DA: Also, we have recently begun developing our website with an online catalogue. Customers will be able to log in through an online account and be able to see what we have available. So there will be an e-commerce component for our account customers as well as for the general public who are looking at purchasing items.
Who are your customers?
Michael and Neil Hart
Geoff and Deryck Anderson
DA: 50 per cent of our business is the transport industry, much of the rest is equipment and construction type companies doing utilities and construction type work - from the waste management type area to infrastructure - where we support their equipment.
Having just celebrated 40 years in business, Action Auto Electrics is a Queensland success story. Starting in 1974 with just two employees, the company, owned and run by Geoff Anderson, now has 27 staff servicing clients from major transport companies to the general public. Motor Trader caught up with Geoff and son Deryck to talk about the business and the changing face of the auto electrical industry. We do some work on mining equipment too - safety lock-outs, emergency stop switches and so on. GA: We are currently working out at North Lakes where they are putting in a new railway line; at Brisbane airport where the new runway is going in and also at the Legacy Way tunnel where we’ve been supplying spare parts and doing maintenance repair work. Customers either come to us or, if it’s an on-site job, they’ll ring us, give us the relevant information and we go from there. Quite often they will just turn up with a problem to be fixed. A lot of those are fuel tankers. Those companies work 24/7 and we have to keep them going, so that’s part of our business too. We work throughout south-east Queensland and with interstate groups but in the main it's the larger Brisbane metropolitan area.
What’s your background? GA: I’m actually a motor mechanic by trade. I finished my apprenticeship in 1968 and in 1969 I went to work for an auto electrical business. As a motor mechanic I think you eventually need to specialise in something. One of my instructors had started his own auto electrical business and I finished up working with him.
How did Action Auto Electrics start? GA: Myself and another chap named Terry Murray were working for a company in South Brisbane when we decided to move on ourselves. At that time there was no one really on the north side of town doing what we were doing so we decided it was worth a try. That was in 1974. We started from small premises in Holt Street in Eagle Farm
and were there for six years during which time Terry decided to leave the business. We moved to premises at Lavarack Avenue in 1980 and were there for 32 years before moving to our new site three years ago. There were just two of us when we started and we didn’t actively promote ourselves - we just kept growing and tried to stay with it. Now we have 27 staff covering administration, spare parts and the workshop where we have four apprentices.
You do have a relationship with the Australian Army. Can you explain that? GA: We have one apprentice here on a monthly rotation from the army as part of their light vehicle training. When I say 'light vehicle' I mean their 4WD equipment. We give them a basic knowledge of auto electrics, repair work, air conditioning and so on. DA: The Army approached us initially looking for avenues for their apprentices to gain experience outside the barracks - it works for them as it gives the apprentice a much wider scope than they would normally get. We don’t have any dramas with them - they’re pretty well behaved!
Hybrid vehicles are already here and allelectric vehicles are beginning to arrive. How will this affect your industry? GA: It’s changing dramatically. I never thought I’d see trucks with the computers in them that we see today - the improvements in engine performance and engine maintenance are just astounding. There is a loss in reliability - they can shut down for
some silly reasons - but there’s no way we would get the economies out of the bigger engines that we get today without that technology. I think initial purchase price is an issue with hybrids. Also, the economy that you can get from the small diesel engines is nearly as good as what you get from a hybrid and yet those cars cost a third of the price. So, where it’s all going to end up, I’m not sure.
How do you keep abreast of the technological changes? Is training an important factor? GA: It is important and I keep in touch with Paul Tugwell from MTAQ to find out what they are doing and what else is going on out there in the way of training. We’ve had our people involved in engine courses from Cummins, Caterpillar and Allison and we need to do more of that. In doing that training we keep ourselves across a large range of trucks as those engines finish up in a number of different vehicles.
What do you do in your spare time? GA: I don’t have much time but I used to play golf - I am a master of the air swing! I don’t mind the surf but I don’t get a lot of time to do that either. I do a bit of travelling these days. I used to go to the SEMA Show on a regular basis which was excellent for learning about new technology that was emerging, and I used to go to the Society of Automotive Engineers conference in Chicago for a number of years too. They were very good sources of information over the years. The industry is changing and the challenge is to stay abreast of those changes. February 2015 Motor Trader | 9
“SINCE THE TIME FIRST GETTING INTO A RACING CAR AND THEN GOING RACING, THAT'S ALL I HAVE WANTED TO DO . . .”
10 | Motor Trader February 2015
Ben Collins, the man in the white suit, speaks to Motor Trader
T
HERE IS MORE than a little irony in the fact that a racing driver with over two decades of experience behind the wheel, an author, Hollywood stuntman and television presenter is best known for a role in which his identity was kept a secret for eight years. Nonetheless, Ben Collins is a household name for the die-hard motor head. “I started racing when I was aged 19,” he begins. “So I got a racing licence and that was a dream come true, in a way.” Collins’ need for speed has manifested itself in a number of ways since first getting that licence, but he admits the thrill of racing a car round a track remains unmatched, despite his celebrity status. “Since the first time getting into a racing car and then going racing, that's all I have wanted to do. I've now been racing for twenty years. That skill set opened other doors for me to pursue other avenues.” One such avenue was Top Gear, where Collins adopted the on-screen alias ‘The Stig’; a mysterious racing driver with formidable driving skill, testing everything from supercars to reasonably priced models, with celebrity guests often in tow. “I got in touch with the likes of the BBC, got working as The Stig and from that got into other types of filming as far as Hollywood. That's where I still work today. I’m still racing at the Le Mans and still working on films; one job usually leads to another quite nicely!” Having stunt doubled for Nicholas Cage in the National Treasure movies, Ben’s highest Hollywood honour has been precision driving as James Bond himself in all three of Daniel Craig’s outings as the British super-spy. In addition to his experience working as a stuntman, Collins met his fair share of A-listers in his native Britain, while under the guise of The Stig. Top Gear afforded Ben the chance to put celebrity guests through their paces behind the wheel; a learning experience for both pupil and tutor. “I've always noticed that people learn at different rates and that was one thing I learnt particularly with Top Gear.”
Giving a bit of driving advice to Simon Pegg . . .
. . . and Gordon
Ramsay
“I'VE ALWAYS NOTICED THAT
PEOPLE LEARN AT DIFFERENT RATES AND THAT WAS ONE THING I LEARNT PARTICULARLY WITH TOP GEAR.” He reveals it was easier to guide female guests round the show’s iconic race track than their male counterparts, saying “I've been coaching people for many years, but it’s learning how people learn, particularly girls, who don't have quite as much ego as the boys. They learn very quickly, so the likes of [comedienne] Jennifer Saunders was stand out. I was surprised that she was able to pick it up so quickly.” But the guys weren’t all bad, he admits, marking out one of Hollywood’s best known actors for special praise: “You know, there were some great surprises too with the guys. I mean Tom Cruise is nothing like the character you sometimes hear about in the news. He's very down to earth and very fast in a car and learnt very quickly.” February 2015 Motor Trader | 11
His first foray into the world of celebrity was not as daunting as he expected. “It was really nice just to get to meet these people up close and see that they’ve got just as many frailties as anybody else learning to drive. Teaching them the secrets of controlling speed safely was a lot of fun.” Before revealing his identity, much to the chagrin of Top Gear host Jeremy Clarkson in 2010, anonymity was vital to the success of The Stig’s character. It was a factor Collins embraced: “That was the best part of the job, if I'm honest. It was a lot of fun playing cloak and dagger and staying out of the camera’s eye,” he recalls. “It wasn't like being a spy, but it was the fun parts without being shot at, so I really enjoyed that. I worked very hard with the production team to keep it a secret for as long as possible.” He admits it was difficult at times to maintain that sense of secrecy, given the unrelenting nature of the modern day media. “These days, nothing stays anonymous for very long and with the new Stig, I read his name in The Sun newspaper within about a month of him taking the job. I think eight years was pretty good for me to keep a secret. I was proud of that record, but all good things come to an end.” Just how Collins and Top Gear’s producers kept that secret was a challenge in itself. “In the beginning, nobody knew [it was me], except two people at the BBC - my direct boss and one of the young producers there. But as time went on, I had to let people know, to help defend the secret.” Only his family and a few close friends were in on the act “My wife had to be told and a couple of close friends because they had to help me to make a good excuse as to why I was away all the time," he says. "It helped with the smokescreen but by the end of it there were about 130 people at the BBC who knew and that created a lot of leaks.”
“I THINK EIGHT YEARS WAS PRETTY
GOOD FOR ME TO KEEP A SECRET. I WAS PROUD OF THAT RECORD, BUT ALL GOOD THINGS COME TO AN END.”
Collins as The Stig with Top Gear presenter James
12 | Motor Trader February 2015
May (centre)
He feels that BBC staff were just as responsible for his identity being revealed as his autobiography The Man in the White Suit. “Eventually - of course - the BBC leaked my identity to the Radio Times and published it, and that was the beginning of the end.” Though not bitter about the ordeal, Collins admits the show’s host Clarkson – who branded him ‘greedy’ on the release of his autobiography – was one of the most difficult celebrities to teach during the filming of the show. “Jeremy Clarkson was the hardest I suppose! Yeah Jeremy fits that bill pretty well,” he remarks upon being quizzed on particularly tough pupils. “He was very difficult to teach anything, as many people have experienced in the past, but I think reluctantly he did learn something while I was teaching him. "I taught him to drive round Silverstone and we did a 24-hour race there, so eventually some of it sank in. “I had a lot of fun with him, because we knew each other pretty well by then, so we had some good arguments.” Australian fans of The Stig may know that Collins was involved with the V8 Supercars, driving for Jack Daniel’s Racing, but he has other connections to Austalian motorsport to - becoming pretty familiar with Formula 1 legend Mark Webber in recent years. “I raced with Mark in Formula 3 and he recently re-joined the Le Mans racing series that I race in as well, so I got to catch up with him when we raced in both Texas and at Le Mans, which is great.” The two even had a close shave at one of Britain’s most iconic racetracks. “He ripped my wing mirror off at Silverstone! I was racing a Ferrari GT car and he came past in a Porsche LMP1 and amputated my right side mirror, so we had a close encounter on the track, but he's a great guy and I've always enjoyed racing with him.” Having recently co-presented Polish motor TV show, Automaniak, Collins is continuing to prove there is more to the man beneath the white helmet.
How To Drive: The Ultimate Guide – From The Man That Was The Stig by Ben Collins is available now, published by Macmillan.
News
BRIDGESTONE JOINS TYRE STEWARDSHIP AUSTRALIA T YRE STEWARDSHIP AUSTRALIA (TSA) now has the support of Bridgestone Australia Ltd. as it looks to reduce the impact of end-of-life tyres. The tyre major announced it has joined the TSA at an event held at the Bridgestone Bandag manufacturing facility in Brisbane last month. The event was attended by Parliamentary Secretary to the Minister for the Environment Bob Baldwin MP, TSA Chairman Gerry Morvell and Bridgestone Australia Managing Director Andrew Moffatt. Mr Moffatt said the decision to join TSA was a natural extension of Bridgestone’s commitment to the environment. “At Bridgestone, we take a multi-faceted approach to ensuring we do everything we can to lower our impact on the environment,” Mr Moffatt said. “This includes our fuel-saving low rolling resistance Ecopia technology - which lowers emissions and is being progressively introduced across our passenger car, 4WD and truck tyre ranges, our Bandag retread process, which ensures tyre casings are reused rather than wasted, and our commitment to use only authorised tyre recyclers throughout our dealer network,” he said. “We believe we are leading by example, and see TSA as a very important vehicle in helping educate the consumer and bring national focus and real solutions to the critical issue of waste tyres in Australia.” TSA is an initiative led by major tyre manufacturers and is backed by the Australian Motor Industry Federation and the Minerals Council of Australia, with the support of Federal and State/ Territory Governments. It was formed to implement the Tyre Product Stewardship Scheme
Bridgestone Australia Managing Director Andrew Moffatt, Tyre Stewardship Australia Chairman Gerry Morvell and Parlimentary Secretary to the Minister for the Environment Bob Baldwin
which aims to promote the increase in environmentally sustainable collection and recycling processes and to explore and promote new uses for, and products using, recycled end-of-life tyres. Usages for tyre-derived products include road surfacing, soft-fall playground surfacing, industrial and commercial flooring and even explosives. The Scheme will recognise sustainable end-of-life tyre management through an accreditation and auditing system, reassuring consumers that they’re buying tyres from retailers who are committed to responsible practices. Consumers will be able to identify participants in the Scheme through TSA signage at retail outlets and by visiting the TSA website. “Of the approximately 48 million end-of-life tyres created annually in Australia, only 16 per cent are currently recycled. The rest are disposed to landfill, stockpiled, illegally dumped or exported overseas,” said TSA Chairman Gerry Morvell.
“We welcome Bridgestone to Tyre Stewardship Australia. Their participation will add to the considerable strength of this cooperative industry endeavour and will help address the physical management of end-of-life tyres. “We are confident that Bridgestone will also play a major role in gaining public recognition and support for the industry’s efforts to address this environmental challenge.” The Australian Government also welcomed the news. “Bridgestone joins companies across the tyre supply chain getting behind Tyre Stewardship Australia,” said Bob Baldwin. “These companies want to make a real difference to address the management of end-of-life tyres, and we are proud to support this initiative.” The Tyre Product Stewardship Scheme will be funded through an ACCC approved levy of 25 cents per new passenger equivalent tyre sold in Australia. February 2015 Motor Trader | 13
News
HELPING THE SEARCH FOR THE RIGHT APPRENTICE F INDING THE RIGHT apprentice for your business can prove a difficult proposition. Hiring a suitable candidate is a key business decision - many roles within the automotive industry are deemed by the government as short of skilled tradespeople so the importance of finding and retaining quality apprentices has never been greater - and yet across many industries, including automotive, apprentice retention rates are astoundingly low with more than 50 per cent dropping out in the first year. However, though clearly a difficult proposition, there are options available to employers that can help make the search easier and with a better likelihood of a finding an apprentice who is the right fit. BUSY At Work is a not-forprofit organisation that offers apprenticeship and employment programs that can help businesses find ideal apprentice candidates and offer support in retaining them. The key to the success of the program lies with the Harrison Career Assessment tool – a tool which takes the participants responses from a range of relevant questions and generates an overview of their greatest strengths as a person, a career development guide that illustrates the ways in which they can most effectively understand and perform tasks, and a career comparison report which identifies how suited they are to a chosen career and how well they will adapt to that occupation. It’s a resource that should ensure employers reach candidates who are ideal for the apprenticeships they have on offer. “The Harrison Career Assessment actually matches young people to specific occupations,” said Julie Rogan from BUSY At Work. “It comes up 14 | Motor Trader February 2015
“AS MUCH AS IS POSSIBLE, IT TAKES AWAY THE RISK THAT THE APPRENTICE IS NOT GOING TO WORK OUT” with several jobs which they could be matched to and also references their work behaviours - whether they’re team players or prefer to work autonomously. It touches on elements such as leadership too. "It is a really good tool not only for recruitment but retention too because it gives employers an understanding of that person. “I tell employers that it is a case of risk mitigation,” she added. “As much as is possible, it takes away the risk that the apprentice is not going to work out.” BUSY At Work can also provide further assistance, offering employers
assistance in completing the relevant documentation when signing an apprentice, and also offering mentoring services through an apprentice’s first year. The mentoring service has proven to be very successful. Apprentices can seek advice and guidance from mentors as they move into the working environment and the program has had a great impact in encouraging them to stay in their jobs. “Figures we collated last year showed that, of the people we were mentoring, the retention rate was reaching 95 per cent,” said Julie. Through this industry engaged initiative MTAQ and BUSY At Work are now able to assist employers looking for help in finding and securing an apprentice that is right for their business. Julie Rogan can be contacted via email at julie.rogan@busyatwork.com.au or on 0400 633 027
News
TEAM ARROW’S SOLAR QUEST THE QUEENSLAND-BASED Team Arrow has taken a solid fifth place in the inaugural Abu Dhabi Solar Challenge (ADSC) race. Held from January 16 to 19, the 1200km race took teams from a qualifying stage at the Yas Marina Circuit – the venue for the Abu Dhabi Formula One GP – and on a route that took them through both the city and the surrounding desert landscape. A showcase for technology and engineering talent, competitors in the ADSC came from countries across the world and the route was designed to provide teams with the opportunity to demonstrate their solar cars under real world driving conditions. Though Team Arrow finished fifth they did pick up the ‘Best Mechanical Design’ award at the post-race ceremony. MTAQ became involved with Team Arrow in 2013. In July of that year, five students from the MTA Institute of Technology (MTAIT) Stage 3 Paint course spent a week painting the sleek, carbon fibre vehicle in a stunning red and white livery. Team Arrow will now move on to prepare for their next solar event – the 2015 World Solar Challenge (WSC) that will start in Darwin on Sunday, October 18 and finish on October 25 in Adelaide. In the 2013 edition of the WSC – also from Darwin to Adelaide - Team Arrow were the first Australian team to cross the line in overall 7th place.
CELEBRATING CLASSIC AUSSIE CAR DESIGN
GM HOLDEN LTD, Melbourne (manufacturer) Holden Hurricane coupé, concept car 1969 (designed and manufactured), 2011 (restored) designed by Don DaHarsh, Jack Hutson, Joe Schemansky and Ed Taylor Collection of GM Holden Ltd, Melbourne
T
HE ‘ART’ OF the car is probably something we don’t think about that much. We know instinctively when a car looks good but these days it seems people are as interested in fuel economy, safety ratings and whether a motor has the latest whiz-bang technology (all of which are, of course, important) as they are in the pleasing lines of a car’s design. So it's great to see that the design of Australian cars is to be celebrated in a new exhibition at the National Gallery of Victoria (NGV) called Shifting Gear: Design, Innovation and the Australian Car. From the classic Aussie ute to muscle cars, racy V8s and dazzling concept vehicles, Australia has a rich legacy of innovative car design and Shifting Gear will display 23 of Australia’s most iconic vehicles alongside photographs, models, sketches, illustrations and archival materials exploring the country’s history of automobile design and engineering. The exhibition will also look to the future of the Australian automobile industry and its shift
from manufacturing to being a global contributor through specialist design knowledge. ‘Shifting Gear will be the first major exhibition of Australian car design and is exclusive to the NGV," said Tony Ellwood, Director, NGV. "As part of the NGV’s commitment to showcasing design, this exhibition will uncover how the modern automobile is far more than simply a means of transport; it is a sophisticated design object that reflects contemporary aesthetics and social values,’. Shifting Gear will present the stories behind the development of some of the great Australian vehicles and reveal the designers who styled them. Many iconic Australian designs will be presented including some exceptionally rare concept vehicles, including the futuristic Holden Hurricane (1969) and the Holden Efijy (2005). Shifting Gear: Design, Innovation and the Australian Car will be on display at The Ian Potter Centre: NGV Australia at Federation Square from 6 March 2015 to 12 July 2015. February 2015 Motor Trader | 15
BEL AIR
F LA IR
C
LASSIC CARS ARE often more than just cars, more than just four-wheeled transportation. They can act like a time machine - evoking a time and place that we all recognise. To do that they have to stand out from the crowd, be special in some way, be a design that is unique to its time and yet be acknowledged as special decades later. You could hold up the E-Type Jag of the '60s, or the broad, gull-winged DeLorean from the '80s as examples, but perhaps no car does this better than the second generation Chevy Bel Air. Produced from 1954 to 1957, the Bel Air's lines, flaired wings, indiosyncratic touches and shining chrome do, of course, evoke a time when everyone was swaying their hips to Elvis and had pictures of James Dean on their wall but, more importantly, it's just a great-looking, beautifully designed car. For Alan Raine, a 47-year-old light vehicle apprentice training with MTAQ, owning a '57 two-door pillarless Bel Air was a dream come true. "I always wanted a 1957 in that exact model," he says. "Why? I suppose it's like a lot of people with Mustangs - they like a certain year, a certain model. For me it was this Chev. I love the shape, the wings, everything about it - they got it just right." However, without a lot of love and attention, even a 60-year-old Bel Air is bound to lose its lustre and Alan's was no exception - when buying the car from a Brisbane seller, he knew what lay in store.
16 | Motor Trader February 2015
"I knew it would have to be restored," he says. "If I was to import one I was only going to pull it to bits anyway so I got something that was already a big mess!" A 'big mess' was exactly what Alan got. "It had no floor inside, no floor in the boot, the rear quarters were buckled in, the front doors and front guards were no good, it had no engine or gearbox and half the wiring was gone," says Alan with a grin. "Inside was a bench seat and back seat just thrown in and heaps of stainless and glass lying about. And, of course, there was no carpet because there was no floor!" It's possible many people would be put off by such a monster of a job, but Alan has history with car restoration work, completing 'a couple of dozen' since his first, an HZ Holden that he bought and restored when he was just 17. Still, even for this experienced campaigner, the Bel Air took four years of hard graft - and almost the entire job was done from Alan's home and his professionally set-up garage. "Firstly I had to put a boot floor into it because I wanted to put it on a rotisserie," he says. "Then I cut it all open, cut rust out of the wheel arches, put in a complete new floor, new doors, new sills and I ended up making the bottoms of
MAKE: CHEVROLET MODEL: 1957 BEL AIR ENGINE: 350 CHEVY V8 OWNER: ALAN RAINE OWNED SINCE: 2010
the rear quarters from the back of the door to the front of the back wheels. "You can buy new doors, floor pan sections - pretty much anything - and everything, including upper and lower ball joints and control arm bushes is new, every steering linkage and every bolt is new, the front springs are new, the rear leaf springs are new - everything is new." Alan then put in disc brakes, sourced a new diff from a VL Commodore running a VSS centre, rewired the car and turned his mind to the engine and gearbox. "I bought a standard bore 350 four-bolt block, ordered the bits I wanted and once all the machining was done I started assembling it all. I had the gearbox built, then started organising the interior and other modifications." Those modifications include some clever touches, including a gauge that appears to read 'miles per hour' but is actually set to kilometres per hour - "I can look at it and know I'm doing the right speed," says Alan. "I've got enough to worry about sitting on the other side!" - to an iPod tucked into the glove compartment that can play through the classic-looking radio. Another modification is Alan's stunning colour choice - a colour that comes from an unusual source and which is carried through to the Bel Air's interior and engine bay. "I'm actually colour blind." says Alan. "However, I can sort of make out blues and my neighbour had a Toyota Corrolla this colour and I just said 'Let's do it the same - job done!' So
DO YOU HAVE A PRIDE AND JOY IN THE GARAGE THAT YOU WOULD LOVE TO SEE IN THE PAGES OF MOTOR TRADER? Contact Jonathan Nash at jonathann@ mtaq.com.au or 07 3237 8721 and let’s see if we can share your classic with other members. the colour is from a 2000 model Corolla!" After four years graft, and with the Bel Air now complete, Alan is toying with the idea of entering it into Car Show competitions but insists that winning trophies would be just a happy by-product of a job well done. "I'm going to enjoy it and drive it," he says. "I think I'll take it to shows and so on this year but I built it because it's what I wanted to do, not because of trophies." But is there another project on the agenda? With so many car renovation jobs under his belt, is another one on the cards? Alan shakes his head and smiles wryly. "My wife was shaking her head when this car rolled up after I bought it," he says. "After four years I think the next project will be the house!" February 2015 Motor Trader | 17
give yourself an Technical Information Service Your MTA Queensland membership gives you access to a vast technical library. Industrial Relations As a member of MTA Queensland you have access to industry-specific industrial relations advice and representation.
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20120064
• MTA Queensland actively lobbies Governments with the best interest of our members to reduce red tape and streamline process for business owners.
ESSENTIALS Contents 19 Training matters 22 Member matters 26 Member profiles
TOWN AUTOMATICS UN-DINT-IT COSMETIC AUTO REPAIRS WIDE BAY MOTORCYCLES
28 Industrial relations
by four weeks of training at MTAIT's workshop facility before concluding with a work experience component provided by MTAQ members. The course was organised by MTAIT in conjunction with Smart Education Training Australia (SETA), a leading education and training consultancy based in Brisbane which assists international students planning to study in Australia. Future courses are planned and will be expanded to include a welding training component. "The students gained some real experience in the automotive industry including through working with MTAQ members," said MIT Business Development Manager, Anthony Bonaccorso. "MTAIT looks forward to continuing our collaboration with our Daejeon partners this year and indeed expanding the courses into other areas."
Students from South Korea receive their certificates for participating in the Certificate I in Automotive
Vocational Preparation
February 2015 Motor Trader | 19
E S S E N T I A L S
MEMBERS
FTER THREE MONTHS of hard work and study, MTA Institute of Technology's (MTAIT) South Korean student guests received their certificates for participating in the Certificate I in Automotive Vocational Preparation in Light Vehicle Automotive in a ceremony held at the MTAQ's Sir Jack Brabham Automotive Centre of Excellence. The ten students, from the South Korean region of Daejeon, received their certificates from Jeff Mann, the MTAIT trainer who was responsible for their training during their time at the Automotive Centre of Excellence. The students were part of the first group to travel to Australia from South Korea to take the specially designed course on basic automotive technology. The course consisted of a four week intensive English language training program, followed
M E M B E R S
MTAQ'S KOREAN COLLABORATION A MARKED SUCCESS A
STU
STU
OF DENT MONTHE
OF DENT MONTHE
TH
TH
MIT TRAINER PROFILE
M E M B E R S
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Training matters
EDAN RUTHERFORD STUDENT OF THE MONTH FOR DECEMBER 2014
NED DOHLE STUDENT OF THE MONTH FOR JANUARY 2015
Edan Rutherford has been named Student of the Month for December. The 17-year-old second year Light Vehicle apprentice with Service Plus Auto Care in Victoria Point has proven himself a worthy winner of the award according to his boss, Mark Bernoth. “He is not only a dedicated employee but displays exceptional knowledge of mechanics,” explained Mark. Working on jobs Mark would normally reserve for more experienced students, Edan’s work has always been to a very high standard. Proving to be keen to learn new skills, Edan’s MTAIT trainer, James Dixon, said that his passion for the industry clearly stood out. “Edan loves the challenge of automotive mechanical situations and regularly takes on projects outside of work to further his skills,” said James. “The solid work ethic that he has at such an early stage of his career will set him up for a great future in the automotive industry.”
Ned Dohle has been named Student of the Month for January. The 20-year-old second year Automotive Electrical Technology student works for Brent Perrett at Herbohns Electrical in Kingaroy and has impressed his MTAIT trainer Paul Tugwell since his first day on the job back in 2013. At the time, Ned was living in Linfield, 1 hour and 45 minutes from his workplace but, said Paul, he never missed a day of work and even did overtime. Now living just down the road from Herbohns, that desire to work hasn’t faltered. “Whether the work is theory or practical, his work ethic is first class,” said Paul. “He is a very quick learner and very intelligent. “Brent Perrett does a lot of mine work and he can set work for Ned to do and know it will be done to the standard his company expects. Ned is just the person for the future of auto electrics."
ROSS WILSON
What is your specialised area?
When you see the student “Get It”.
Light Vehicle.
What do you believe is the most important aspect of training?
What is your background in the automotive industry? 30 years with Dealerships.
When did you become a trainer for MTA Institute of Technology?
Why should someone consider a career in the automotive industry? Always changing technology.
What geographical area do you service?
What is the best piece of advice you can give to an apprentice starting out in the industry?
Bundaberg & Wide Bay Burnett.
Stick with it during those first few years.
What is the most satisfying aspect of your role as a trainer for MTA Institute of Technology?
When you’re not training, what do you like to do?
2012.
20 | Motor Trader February 2015
Being flexible.
Music.
means is that people who want to become a Sales Licence or Motor Dealers Licence holder have to sit the course face-to-face with a trainer. “The legislation also states they have to be working in the industry to participate in the course and that you can only receive the Dealers licence if you are doing the Sales Licence units at the same time, or already have a Sales Licence." The Sales Licence course contains five units and is held over two days. The Dealer Licence course is a nine unit, three-day course and the courses include units such as Safe Working
Practices, Establishing Relationships with Customers, Sales Procedures, Managing Complex Customer issues and Applying Sales Procedures amongst a raft of others. With the courses now requiring the face-to-face element, MTAIT will, when participant numbers allow, deliver the courses across the state and members are encouraged to contact MTAIT to register their interest in them. To contact MTAIT about the new Sales Licence and Dealers Licence courses call 1800 884 137. For more information on MTAIT training, go to www.mtait.com.au
SARAH RECEIVES APPRENTICE OF THE YEAR SURPRISE
Clint Reghenzani and Sarah Gale from Rego's Mobile Mechanical Services
SARAH GALE, MTAQ's Apprentice of the Year for 2014, has been presented with a brand new Kincrome toolbox. Though not part of the official Award prize, you may recall that Sarah, upon being presented with the Apprentice of the Year Award (and the $2000 that went with it) at last year's President's Ball, mentioned she would likely spend the Award money on just such a new piece of equipment. However, Michael Kennedy, from Brisbane Motor Auctions, generously offered to buy Sarah the toolbox so she could spend the award money on something else. The 23-year-old Light Vehicle apprentice with Rego's Mobile Mechanical Services in Atherton, was extremely happy with the unexpected gift. "It's nothing like I was expecting," she said. "It's a million times better!" Since receiving the Apprentice of the Year Award, Sarah has become something of a celebrity, with a story about her Award win in the local newspaper and plenty of support from locals. "A few customers have dropped by and congratulated me," she said. "And that's been really good."
February 2015 Motor Trader | 21
E S S E N T I A L S
OLLOWING CHANGES TO the national training package AUR05 to AUR12 in 2014, and the adoption of The Motor Dealers and Chattel Auctioneer Act 2014 introduced on December 1, 2014 to replace the old Property Agents and Motor Dealers Act 2000 (PAMDA), there have been substantial changes and updates to the Sales Licence and Motor Dealers Licence courses run by the MTA Institute of Technology (MTAIT). Under the previous AUR05 training package, participants were able to complete the course via correspondence but new course components mean the courses must be completed 'in person' with an MTAIT trainer. Other changes include the requirement that course participants be already employed within the industry. "The changes to the national training package and to PAMDA means we have upgraded our curriculum and the courses have now been completely overhauled," said Anthony Bonaccorso, Business Development Manager for MTAIT. “Part of the course now involves role-play situations and the presentation of evidence to support participants' competency. What that
M E M B E R S
UPDATES TO SALES AND DEALERS LICENCE COURSES F
MTAQ MEMBER CREATING A BUZ
M E M B E R S
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Member matters
The Beerburrum Service Centre
I
N 2011, JEFF and Ann Ross, owners of Beerburrum Service Centre north of Brisbane, discovered a colony of bees had made a home in the wall of their business. Many people might have followed the advice of friends and called in an exterminator but Jeff and Ann decided on a different course - instead of destroying the colony, they coaxed the bees from their dwelling and into a beehive. "People told us to poison them but we thought that was a bit mean!" says Ann. "So Jeff put a box (hive) on a stand with a pipe leading to the bees and they started going in and out of the pipe and eventually we were able to move them into the backyard.” It was this small act of charity that led Ann and Jeff to enter the world of beekeeping and a new business venture producing not only honey but developing and producing innovative new beehives. However, though the squatting honeybees sparked the couple’s interest in producing honey, it was another insect, of an altogether more unsavoury kind, that spurred Ann and Jeff - who bought the Beerburrum property back in 1999, re-establishing 22 | Motor Trader February 2015
The bees found an unlikely home in the wall of the
Service Centre
“JEFF PUT A BOX
(HIVE) ON A STAND WITH A PIPE LEADING TO THE BEES AND THEY STARTED GOING IN AND OUT OF THE PIPE AND EVENTUALLY WE WERE ABLE TO MOVE THEM INTO THE BACKYARD.”
an automotive mechanical business on the site – to make the leap into beehive development. “Our bees were happy for ages,” says Ann. “Then the small hive beetle moved in."
The small hive beetle is a notorious pest and one much loathed by the beekeeping world. The tiny insects lay eggs in the beehives and the emergent larvae consume, well, just about everything - the brood, pollen, honey, even the honeycombs – and produce waste that makes the hive unlivable for the bees. They are a global threat to the beekeeping industry. Solving the beetle dilemma became an issue where Jeff ’s practical, problem-solving skills came in handy. “It was probably my mechanical background,” he says. “Although you’re not actually improvising, you do have to think about problems and think about how are you going to fix them? And that’s how I faced this problem.” With an apiary of half-a-dozen, honey-producing hives, Jeff began to experiment with his own designs in the hope he could prevent further destruction by the beetles. This experimentation included developing beetle traps to stop the pests from entering the hives but further research into the industry led the couple to expand their brief further to tackle other industry issues. These included the environmental
M E M B E R S
UZZ IN THE BEEKEEPING WORLD
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Jeff and Ann with honey produced by their bees
concerns of hive production - wooden hives often use material harvested from old-growth forests – that led Jeff to develop a hive using High-Density Polyethylene (HDPE), a plastic that can be sourced from recycled milk bottles and which works well at keeping the environment inside the hive at a consistent temperature and is also resistant to certain spore infestations that can plague a colony. The security of beehives was an issue too – the beekeeping industry may seem a genteel pastime but honey is expensive enough, at approximately $10 per kilo, that stocks do get stolen. Jeff and Ann tackled this problem through the installation of GPS and Radio Frequency Identification (RFID). “The boxes cost about $200 to put together and when one is full it probably contains between $150-200 worth of honey,” says Jeff. “There can be some ‘unethical’ behavior but with GPS and RFID technology a beekeeper can use a computer or smart phone to see if the beehive leaves the area or the temperature inside the hive drops which may mean the lid of the hive has been lifted.” The couple have also developed a hive to house the small stingless
Australian native bees – a species that produces less honey than the honeybee, and which is therefore more difficult to harvest, but which is seen as having major potential for the
“WITH AN APIARY OF
HALF-A-DOZEN, HONEYPRODUCING HIVES, JEFF BEGAN TO EXPERIMENT WITH HIS OWN DESIGNS IN THE HOPE HE COULD PREVENT FURTHER DESTRUCTION BY THE BEETLES.”
The innovative beehive, made from HDPE plastic
The couple offer full mechancial service from their workshop
development of the industry. Jeff and Ann’s beehive innovations have received widespread acclaim. “The beetle trap is what started it off,” says Ann. “But what the industry likes about the hives is that they tick so many boxes.” The couple’s venture has begun to pay off. Last year, Jeff and Ann - who is a business student at the University of Sunshine Coast and part of the University’s entrepreneurial program - won the Innovation Centre Sunshine Coast’s (ICSC) annual Business Pitch competition, and this year a crowdfunding campaign is on the horizon to spearhead the commmercialisation of the project. There has even been some interest in the hives from America, where the beekeeping industry is worth billions. Though Ann and Jeff would like to see their business become a financial success, they've set their sights on helping the industry to develop. “I hope it is successful,” says Ann. “But I also hope it does some real good for the industry.” For more information about Hive Haven, visit www.hivehaven.com.au February 2015 Motor Trader | 23
R The industry super fund for the automotive industry
DO YOU HAVE MORE THAN 20 EMPLOYEES? ARE YOU SUPERSTREAM READY? DID YOU KNOW THAT THE GOVERNMENT’S SUPERSTREAM REGULATIONS MEAN YOU MIGHT NEED TO CHANGE THE WAY YOU ARE PAYING EMPLOYEES’ SUPER BEFORE JUNE 30, 2015?
AN EASY SOLUTION MTAA Super has introduced a clearing house solution, QuickSuper, to help employers comply with the new online data and payment standards.
KEY FEATURES • Make all your super contributions with ONE transaction * • 24x7 web-based access • Free for default or registered employers* • Upload payment information directly from your payroll system or input manually • Online validation of payments to ensure accuracy • Add new employees without additional paperwork • Secure online facility
Low fees . Run only to benefit members. A range of investment options Award winning industry leadership TAKE THE NEXT STEP
As a participating MTAA Super employer, we can assist with your SuperStream compliance. YOUR $UPER SUPER ON THE GO YOUR LOST SUPER *TheBOOST MTAA Super Clearing House is accessible freeFIND of charge Win $5000 into your super Check your362 balance, We’ll help you consolidate Simply contact our Call Centre on 1300 415 and we to default or registered employers of MTAA Super subject to $ and boost your super balance by rolling over or contributing insurance cover and can can explain how the MTAA Super Clearing House application criteria. Other employers may be granted use of investment choices work for you. the service at the approval of the Trustee.
mtaasuper.com.au Motor Trades Association of Australia Fundfacility Pty Ltd (ABNby14 008 650 628, Corporation. AFSL 238 718) is the of issue MTAAorSuperannuation 74 House. 559 365 913).aYou whetherand or not The MTAA Super Clearing House Superannuation is a non-cash payment issued Westpac Banking MTAA SuperTrustee does not operate the MTAAFund Super(ABN Clearing It offers highshould level ofconsider security, stability MTAA Super is appropriate for you. The MTAA Super Product Disclosure Statement (PDS) can be obtained by calling us on 1300 362 415. You should consider the PDS in making a decision.
privacy and is subject to regulation as a financial product. You should consider the terms and conditions in the Product Disclosure Statement in deciding whether to use the MTAA Super Clearing House, which is available
* All feesfrom are below the Industry Average and This received a “Leading” trend assessment. Source:ofLatest SuperRatings Benchmark mtaasuper.com.au/clearinghouse. document is issued by Motor Trades Association Australia Superannuation Fund PtyReport Limited (ABN 14 008 650 628, AFSL 238 718) of Level 3, 39 Brisbane Avenue Barton ACT
2600, Trustee of the MTAA Superannuation Fund (ABN 74 559 365 913). Motor Trades Association of Australia Superannuation Fund Pty Limited has ownership interests in Industry Super Holdings Pty Ltd and Members Equity Bank Pty Ltd. The information provided is of a general nature and does not take into account your specific needs or personal situation. You should assess your financial position and personal objectives before making any decision based on this information. We also recommend that you seek advice from a licensed financial adviser. The MTAA Super Product Disclosure statement (PDS), an important document containing all the MTA0404 – Trade Ad Design.indd 1 28/10/14 information you need to make a decision about MTAA Super, can be obtained by calling MTAA Super on 1300 362 415. You should consider the PDS in making a decision.
4:57 PM
M
ER
A SUP A T
The industry super fund for the automotive industry
Low fees*. Run only to benefit members. A range of investment options Award winning industry leadership BOOST YOUR $UPER Win $5000 into your super by rolling over or contributing
$
FIND YOUR LOST SUPER We’ll help you consolidate and boost your super balance
SUPER ON THE GO Check your balance, insurance cover and investment choices
mtaasuper.com.au Motor Trades Association of Australia Superannuation Fund Pty Ltd (ABN 14 008 650 628, AFSL 238 718) is the Trustee of MTAA Superannuation Fund (ABN 74 559 365 913). You should consider whether or not MTAA Super is appropriate for you. The MTAA Super Product Disclosure Statement (PDS) can be obtained by calling us on 1300 362 415. You should consider the PDS in making a decision. * All fees are below the Industry Average and received a “Leading” trend assessment. Source: Latest SuperRatings Benchmark Report
Town Automatics Location: Townsville, Queensland Type of business: Specialist Driveline and 4WD
M E M B E R S
E S S E N T I A L S
Member profiles
Number of employees: 10 Trading since: 1975 MTAQ member since: 2002
Town Automatics
UN-DINT-IT Cosmetic Auto Repairs
How did you hear about the Motor Trades Association of Queensland (MTAQ)?
What has been your proudest business achievement to date?
Through colleagues in the industry.
Location: Mansfield - Workshop and mobile repairs
How has being an MTAQ member benefited your business?
Having a diverse and broad range of customers in panel shops, prestige new and used motor vehicle dealerships, insurance companies and international hail companies.
Type of business: Paintless dent repairs, touch-ups, detailing, wheel repairs, tinting Number of employees: 3 Trading since: 2000 MTAQ member since: 2000
Being a member of the MTAQ has given our business credibility and peace of mind to our customers. The network it has provided is also useful for information sharing.
What is the best thing about working in your industry? Seeing customers amazed when we get out difficult dents and save them $$$. Also, working on prestige vehicles such as Lamborghini, Bentley, Porsche, Ferrari and Maserati.
Wide Bay Motorcycles Location: Gympie, Queensland Type of business: Motorcycle, ATV, Mower and Range dealership Number of employees: 7 Trading since: 2011 MTAQ member since: 2011
Wide Bay Motorcycles
26 | Motor Trader February 2015
What is the best piece of business advice you have ever given or been given?
MTAQ representative.
Employing a legally blind apprentice; ability to provide training opportunities for our technicians; achieving a second trade qualification – now mechanical and auto electrical.
Under promise and over deliver.
How has being an MTAQ member benefited your business? Access to employee training, business training and information.
What would you say to someone thinking about joining MTAQ? Do it now!
What is the best thing about working in your industry? Technical challenges – you are forever learning.
What is the best piece of business advice you have ever given or been given? Always know what your customers want and work up to a standard and NOT down to a price.
What would you say to someone thinking about joining MTAQ? Joining the MTAQ gives you a voice in the industry and collaboration of ideas. Great also for industry information sharing and support.
UN-DINT-IT Cosmetic Auto Repairs
How did you hear about the Motor Trades Association of Queensland?
What has been your proudest business achievement to date?
What is the best piece of business advice you have ever given or been given?
Through industry experience.
Establishing this business from the ground up with not even a pen in the building to start off with and getting to where we are today.
Always be honest, no matter what.
How has being an MTAQ member benefited your business? Keeps us up to date with current information and always available to give accurate and expert information should we need it.
What is the best thing about working in your industry? Being a third-generation motorcycle shop owner I have grown up around motorcycles and am doing something that I really enjoy and am passing on my experience and hopefully benefiting others.
What would you say to someone thinking about joining MTAQ? Do it! You never know when you might need them but when you do, they’re invaluable.
February 2015 Motor Trader | 27
E S S E N T I A L S
What has been your proudest business achievement to date?
M E M B E R S
How did you hear about the Motor Trades Association of Queensland (MTAQ)?
E S S E N T I A L S M E M B E R S
Industrial relations
STAND DOWN AND DIRECTING EMPLOYEES TO TAKE ANNUAL LEAVE MICHELLE CHADBURN INDUSTRIAL RELATIONS OFFICER
W
HEN YOU MAY stand down an employee without pay or when you may direct an employee to take annual leave can sometimes be confusing. This article provides an overview of what employers can and cannot do.
STAND DOWN The Fair Work Act (the Act) allows employers to stand down their employees with no pay in limited circumstances as below: • If there is a stoppage of work for any cause for which the employer cannot reasonably be held responsible (e.g., natural disasters such as floods); • If there is a breakdown of machinery or equipment, if the employer cannot reasonably be held responsible for the breakdown; or • If there is industrial action (i.e. employees go on strike). It should be noted that the stand down provisions within the Act are different to when you ‘stand down’ your employees to investigate a matter such as misconduct. In these circumstances you must pay your employee their ordinary pay while they are being ‘stood down’. You should note that the Act does
not permit you to stand down an employee without pay due to shortage of work.
ANNUAL LEAVE Generally, an employer may not direct an employee to take annual leave. However, under the Vehicle Manufacturing, Repair, Services and Retail Award and the Clerks Private Sector Award it is permitted when: • An employee has ‘excessive leave’ (i.e. eight weeks or more); and • As a part of the business annual shut down (i.e. over Christmas break) If an employee has accrued ‘excessive leave’ an employer may direct them to take no more than a quarter of their accrued leave. For example, an employee has eight weeks annual leave accrued their employer can direct them to take no more than two weeks annual leave. When a business is closing down for Christmas an employee can be directed to take annual leave. If an employee has no leave accrued they can be directed to take unpaid annual leave for that period. At least four weeks’ written notice to take leave is required when directing an employee to take annual leave. This applies for either excessive accrued leave or as a part of an annual Christmas shut down.
MTA QUEENSLAND WELCOMES THE FOLLOWING NEW MEMBERS Business Name
Principal/s
Address
Division
Kandeena Pty Ltd
Karl Rasmussen
35 Forbes Street NORTHROCKHAMPTON Q 4701
Karl.rasmussen@bigpond.com
SSCSAQ
Dyna Automotive
Jagraj Sandhu
16 Bradford Street NORTH MACKAY Q 4740
Raj.sandhu870@gmail.com
AED
My Mechanic Mate
Mr David Reid
18 Reward Crescent BOHLE Q 4818
mymechanicmate@gmail.com
AED
28 | Motor Trader February 2015
Investment matters
MARKET WRAP
I
T WAS A volatile year for equities with the market (S&P/ASX 200) managing a 5.6 per cent return for 2014. The best performing sector was Health Care (+24.4 per cent) and the worst performance sector was Energy (-12.0 per cent). The US economy was the bright spot over 2014 with growth accelerating throughout the year. Following a weather-impacted 1st quarter, GDP growth rebounded strongly with 3rd quarter GDP revised up to 5 per cent. The pace of new job creation was maintained above 200,000 for the best part of the year and the unemployment rate continued falling moving to a 6-year low of 5.8 per cent by year end. China’s economic weakness continued as the year progressed. Europe and Japan remained the major hindrance to global growth, with Europe threatening a third recession in almost as many years, while Japan again ended the year in recession. Bond markets rallied over the course of the year as economic data continued to disappoint and a broad global economic recovery again failed to materialise. Notwithstanding the US economy’s relative strength, US 10-year treasury yield moved progressively lower over the year ending at a yield of 2.1 per cent, well down from the year’s high of 3.04 per cent reflecting continued concerns surrounding still weak global growth. The most surprising commodity price development over 2014 was the sharp drop in the price of oil. Brent prices plunged from $110/bbl to $60/bbl reflecting the weaker global demand but driven mostly by the rise in oil production by non-OPEC countries, particularly US shale, and OPEC’s decision not to cut back its
“FOR AUSTRALIA, IRON ORE AND COAL PRICES RETREATED OVER THE COURSE OF THE YEAR. IRON ORE PRICES FELL SHARPLY IN THE SECOND HALF, AFTER STARTING AT US$135/T AND FINISHING AT $71/T AS THE MAJOR PRODUCERS CONTINUED RAMPING UP PRODUCTION.” own output, despite sluggish demand from China and the Eurozone. Importantly, this unexpected slump in oil prices should provide a muchneeded boost to otherwise subdued global demand by shifting purchasing power from producers to consumers. For Australia, iron ore and coal prices retreated over the course of the year. Iron ore prices fell sharply in the second half, after starting at US$135/t and finishing at $71/t as the major producers continued ramping up production. The domestic economy suffered over the year as consumer sentiment and retail sales were weaker following fiscal tightening outlined in
May’s Federal Budget. The A$ finally shifted to reflect the weaker economic outlook for Australia, falling sharply in the last few months. After staging a recovery early on and reaching a midyear high of $0.95, the A$ retreated to a low of $0.812 in December as expectations around a US rate rise gathered pace. Looking forward, recent market activity has been a continuation of the major trends of last year. The dominant stories for this year so far still appear to be the strong US dollar, weakness in commodities, the meltdown in bond yields and volatility in the stock market. DISCLAIMER This document provides general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Investment in a Dalton Nicol Reid individually managed account can only be made on completion of all the required documentation. Whilst Dalton Nicol Reid has used its best endeavours to ensure the information within this document is accurate it cannot be relied upon in any way and recipients must make their own enquiries concerning the accuracy of the information within.
February 2015 Motor Trader | 29
Motoring
SHOWTIME IN MOTOWN T HERE ARE MOTOR shows, and then there are MOTOR SHOWS. And they don’t come much bigger than the North American International Auto Show (NAIAS). Held in the cavernous show halls of the Cobo Center in downtown Detroit - home town to what was once known as the automotive industry’s
‘Big Three’ of Ford, GM and Chrysler - the NAIAS Motor Show still has the power to attract the planet’s big manufacturers into revealing their newest vehicles. And this year was no different with 55 vehicles unveiled and introduced to an expectant world. Trucks, hybrids, plug-ins, driverless,
Ford GT
ALL-NEW FORD GT CARBON FIBRE SUPERCAR FORD UNVEILED THE all-new GT, an ultra-high-performance supercar that serves as a technology showcase for top EcoBoost performance, aerodynamics and lightweight carbon fibre construction. Beginning production next year, the GT hits the road in select global markets to celebrate the 50th anniversary of Ford GT race cars placing 1-2-3 at the 1966 24 Hours of Le Mans. Ford says the all-new supercar represents the company’s commitment to innovation through performance. And it certainly should perform. Designed with an eye on aerodynamic efficiency and using advanced, lightweight composites that will, Ford says, help serve the company’s entire product lineup moving forward, the GT is powered by a next-generation, 600-plus-horsepower twin-turbocharged EcoBoost V6 engine that will give it one of the best power-to-weight ratios of any production car. All of which is great, of course, but beyond the whiz-bang technology what we’ve really got here is one awesome-looking machine. 30 | Motor Trader February 2015
cars both small and large, exotic and practical – all made an appearance at the Show. There were one or two standouts from what was a formidable crowd though and we couldn’t let the opportunity pass without taking a look at the extraordinary production supercars – the Ford GT and Acura (read Honda) NSX.
Acura NSX
ACURA UNVEILS THE NEW NSX TWENTY-FIVE YEARS AFTER the debut of the NSX supercar, Acura (see Honda) revealed the production version of its successor at the Detroit show. The original NSX, launched in 1990, came as something of a shock to rest of the world’s supercar manufacturers, and the new NSX may well cause another stir when it hits showrooms later this year. The NSX is powered by a twin-turbocharged 75-degree DOHC V6 engine with a three-electric motor Sport Hybrid system - two at the front and one at the back wheels. No word as yet on the performance figures but the NSX, with its ultra-rigid and lightweight multi-material body, is bound to be a pretty swift customer. Like the Ford GT, the NSX is a real showstopper. And just like the GT it looks damn good.
GM AUSTRALIA DESIGNERS SCOOP TOP AWARD IN DETROIT GM AUSTRALIA’S DESIGN team made their mark at the NAIAS Show when they took out the “Best Concept Vehicle 2015” and “Best Innovative Use of Colour, Graphics and Materials” awards for the stunning Buick Avenir. The Avenir, designed in collaboration with GM North America and built at GM Australia’s advanced studio, was joined on the ‘podium’ by the Chevrolet Bolt which placed as one of two runners up in the “Best Concept Vehicle 2015” category. The Chevrolet Bolt EV concept is an affordable long-range all-electric vehicle that originated in GM Korea’s advanced design studio before GM Australia Design developed the concept and was responsible for the construction of the functional show car. EyesOn Design, the officially-sanctioned design awards for NAIAS, honour the most significant
Buick Avenir
automotive designs revealed at NAIAS as determined by automotive design leaders and is described as ‘validation of great automobile design from the industry's leaders’. Vice President of GM International Design, Michael Simcoe said the awards were fantastic recognition for the incredibly talented design team and an acknowledgment of all the hard work that
has gone into these programs. “Avenir and Bolt EV are clear illustrations of the creativity and capability we have in the global design studio in Australia,” said Mr Simcoe. “To have these vehicles recognised on the world stage and to receive not one, but two, awards from our peers is a fantastic achievement and one in which everyone should be immensely proud.”
February 2015 Motor Trader | 31
Industry insight
YOUR ‘CRITICAL SUCCESS FACTORS’ ARE YOUR 'KPIs' T HE BEST WAY to improve profit is to know what are your ‘Critical Success Factors’ (CSFs). These are the key things that go on in your business, that without them the business can’t really operate or severely slows down. For example, if you run a service based business, they are the people who provide the service. You need to ask yourself “What difference would it make to the following if these CSFs were compromised?” 1. Shareholders 2. Customers 3. Staff 4. Service Development
If service staff is a CSF what aspect of what they do is important? 1. Chargeable time 2. Quality of work 3. Downtime 4. Staff competency 5. Customer complaints/satisfaction
Let’s consider how we could measure the effectiveness of the five CSFs above. 1. Service staff chargeable time can be measured by having them fill in timesheets or use an app to report on time spent on jobs. 2. Quality of work can be measured by: a. On time completion of jobs b. Number of defects c. Service met with customer requirements 3. Downtime can be measured by getting service staff to fill in timesheet for time not spent on chargeable work e.g. admin, travel, other. 4. Service staff competency can be measured by number of hours spent on training. 5. Customer complaints/satisfaction can be measured by a survey or simple follow up call to a customer to gauge their level of satisfaction with the job. These measurements are sounding like Key Performance Indicators (KPIs) 32 | Motor Trader February 2015
aren’t they? In fact they are what is commonly known as ‘Leading KPIs’ i.e. those that don’t measure results, but ‘drive’ results. ‘Lagging’ KPIs are those that ‘measure’ results e.g. job profit, overall business profit, bank balance, outstanding customer payments etc. If these CSFs can be measured with KPIs, the next question is how do we measure them? We could employ someone to run around and ask lots of questions or gather information from spreadsheets or manual documents. This isn’t a very efficient way of going about it, if we can replace their time with a system to do the work. The answer is a ‘Business Performance Management’ system or ERP system, as they are known! The value of such a system is that you enter information into it once and it can be extracted in many ways and appear in many reports. For example you get service staff to enter time spent on various activities into the system and you can get the following information: • Number of chargeable hours • Number of hours spent fixing defects • Actual Labour hours versus budget for each job • Lost time injury hours • Number of meeting hours • Number of training hours • Number of travel hours • Number of admin hours By measuring these activities you get a real insight into how much time is being spent on non-chargeable items by all service staff. This might give you information that convinces you to invest in: • Training to minimize defects • Processes and training to minimise injuries i.e. WHS • Better planning and management of meetings • Better planning and management of travel or job scheduling • Employing someone else to do admin work or ways to minimise it for service staff.
You can quantify the potential benefit by multiplying the charge out rate of each service staff person by the number of hours saved on non-chargeable activities. For example, if you employ 10 service staff and you could save say 5 hours a week and they get charged out at an average of $100 per hour, that could be an extra $5,000 in potential sales per week or say $240,000 per annum (based on 48 weeks per annum)! And that’s just the service delivery side of things! A good ‘Business Performance Management’ system also enables you to measure marketing and sales e.g. number of marketing leads from particular sources or quotes done versus jobs won. It enables you to efficiently send out regular marketing messages to clients and prospects. Some other KPIs able to be measured could be: • Number of jobs missing deadline • % jobs completed on time • % jobs with defects • Cost of jobs running over budget • Cost of jobs running past benchmark Gross Profit% When you start to get this type of intelligence, the next step is to implement projects to improve them. Once you’ve done this you reap the rewards for the future i.e. once you’ve trained someone to do something better they keep doing it that way and can teach others to do the same. So the benefit is exponential! The key to reaping the benefits, is to select the right system, implement the right KPIs, get staff on board, properly use the reports that come out and manage improvement projects – it’s all in the implementation!
CFO On-Call is happy to offer a FREE ‘KPI Development Session’ to help you determine what are the KPIs for your business and advise on how you can manage and measure them to make a real difference to your bottom line and business value. http://info. cfooncall.com.au/kpi-health-check
MTAQ’S NEW WEBSITE ALIVE AND KICKING “ T HE MTAQ’S BRAND new website is now up and running. Easier to navigate, with a fresh and clean design, the website is now chock-a-block with updated and new features available to you, our members. Of course, many of the important features we have always had including information on member benefits, Green Stamp Accreditation, industry alliances and corporate partnerships – is still available, but there are of plenty of added benefits that will allow you easier access to information and assistance, including Industrial Relations downloadable factsheets covering leave entitlements and employment standards, as well as information on employment legislation and public holidays and trading hours. The Member Directory has also been upgraded, allowing members to directly update the information on their businesses and be able to upload company logos and photos to enhance their Directory presence. Other features of the site include being able to register for, and purchase, event tickets, and be able to track
THE WEBSITE ALSO HAS A NEWS FEED, REGULARLY UPDATED TO GIVE THE LATEST INFORMATION ABOUT THE AUTOMOTIVE INDUSTRY.”
transactions online through individual profiles – a feature that extends to the online store, where items such as Order Books, Invoice Books, Contract of Sale and other essentials can be purchased at a 20 per cent discount for members. For those businesses that want to take advantage of the benefits of being a member of MTAQ it has never been easier to join, with an online application process that allows the prospective member to keep track of their application through to completion. The website also has a news feed, regularly updated to give the latest information on news about the automotive industry. Along with all these innovations, the publications department of MTAQ
has a new and expanding presence on the website too. Motor Trader magazine has its own section with feature stories, news and other automotive articles as well as an area devoted to the popular 'Members Classic' feature, complete with interviews with the owners and extensive picture galleries of the stunning vehicles. Australian Tyre Dealer, the second of the magazines published by MTAQ, also has its own home on the site providing information on product releases, other industry news, features on issues affecting the trade and interviews with industry figures. As well as all that, both Motor Trader and Australian Tyre Dealer can offer banner and block advertising opportunities on their respective sites. That means there is whole new opportunity to advertise and reach both MTAQ members and the wider general public. The new website was designed to assist you, our members, and we hope you take advantage of this fantastic new resource.
Visit us now at www.mtaq.com.au February 2015 Motor Trader | 33
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