Motor Trader, February 2017

FEB 2017

INNOVATION REVOLUTION THE FUTURE OF THE AUTOMOTIVE INDUSTRY

OFFICIAL PUBLICATION OF THE MOTOR TRADES ASSOCIATION OF QUEENSLAND

MEMBERS CLASSIC: 1948 HOLDEN FX

The benchmark of industry standards.

NEW GOV LIMITED PERNMENT FUN LACES AP DING PLY NOW Right training.

Right place.

Right way.

GET YOUR SKILLS RECOGNISED

Australian citizen, permanent resident or a Refugee and Humanitarian Visa holder living in Queensland. You must also have six or more (current or recent) years of experience within the industry, providing documentation as proof. Finally, learners must be over the age of 21, have no former trade qualifications and express a commitment to gaining the qualification in its entirety.

Although offered at MTA THE MTA INSTITUTE is now Institute as a government-funded MTA Institute offers a Trade Skills Assessment and Gap Training offering Trade Recognition Initiative, there is an additional Program for the following qualifications for skilled and experienced mandatory fee applicable to the individuals working in the • AUR30312 – Certificate III in Automotive Electrical Technology gap training components. This • AUR30412 – Certificate III inAgricultural Mechanical Technology automotive industry who will differ from person to person • AUR30612 – Certificate III in Light Vehicle Mechanical Technology wish to gain a formal trade based on competency, and the • AUR30812 – Certificate III in Motorcycle Mechanical Technology qualification. fee is $1.60 per nominal hour for • AUR31114 – Certificate III in Heavy Commercial Vehicle Mechanical Technology each unit of gap training needed • AUR31212 – Certificate III in Mobile Plant Technology What is Trade Recognition? to complete the assessment.

• AUR32112 – Certificate III in Automotive Body Repair Technology Funded by the State With limited positions • AUR32412 – Certificate III in Automotive Refinishing Technology Government, Trade Recognition available, all applications for this is a fantastic opportunity for highly sought-after opportunity This opportunity means the experienced automotive trade workers will be considered and approved in order government-funded Trade Recognition to gain a formal trade qualification in just of date received. undertaken at MTA Institute can be a matter of months.

For further information or to apply completed and signed off in potentially The duration of the course is now, contact training@mtai.edu.au three months or less for the majority of customised to the individuals’ knowledge participants. and skills. However, the expectations are This is opposed to the three to four that all undertaking Trade Recognition years needed to gain a trade qualification can achieve 60 per cent of a qualification through an apprenticeship. or more through the Recognition of Prior To be eligible, learners must be an Learning (RPL) assessment.

RTO No: 31529

Working in the industry but have no formal qualifications?

MTA Institute

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Address Freeway Office Park, 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@mtai.edu.au Website mtai.edu.au

Contents Official Publication of the Motor Trades Association of Queensland

Search for MTA Queensland

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

MTA Queensland and MTA Institute actively promotes our four social media platforms and encourages all our members and MTA Institute clients to connect with us via these channels.

Simply search “MTA Queensland.”

EDITOR Jonathan Nash

Each social media platform contains different information and this is a terrific way to stay on top of industry news, upcoming events, MTA Institute courses and the latest benefits for Association members.

We see our social media platforms as an additional important communication method, alongside Motor Trader and Member Bulletin emails.

ART DIRECTOR Marco Ilinic INDUSTRIAL RELATIONS Ted Kowalski Paul Murray POLICY Kellie Dewar, General Manager MTA Queensland ADVERTISING ENQUIRIES Barry Browne 03 9807 9154 Email: barry@barrybrownemedia.com.au EDITORIAL Editorial submissions are welcomed but cannot be guaranteed placement.

For more information telephone the Editor 07 3237 8777 SUBSCRIPTION RATES (including GST) Australia: $72.60 annually Overseas: $110 annually

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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.

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MTA QUEENSLAND ABN: 74 028 933 848 CORPORATE PARTNERS

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02 From the editor 04 From the desk of the CEO 05 Policy/Viewpoint 08 MTA Q&A

LES HANIFIN FROM HANOS CAR CARE

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Feature 10 THE INNOVATION REVOLUTION: THE FUTURE OF THE AUTOMOTIVE INDUSTRY 16 Members Classic THE AUSSIE ORIGINAL: 1948 HOLDEN FX

MEMBERS ESSENTIALS 18 Training GM's Professional Circle perspective 19 Professional Circle training 27 Member profiles 28 Industrial relations 31 Concept Corner VOLKSWAGEN I.D. BUZZ 33 Industry insight

YOUR NET INCOME SHOULD EXCEED YOUR GROSS HABITS!!

February 2017 Motor Trader | 1

From the editor

JONATHAN NASH EDITOR

H

ELLO AND WELCOME to the February 2017 edition of Motor Trader.

The coming year, and indeed years, are going to be very important for the automotive industry, both here in Australia and across the globe.

No one can be blind to the amazing technological leaps that are sweeping through our industry. Electric vehicles - and associated technology such as battery recharging - autonomous vehicle technology, communications and mobile connectivity, developments in construction and manufacturing, amongst many other innovations,

will dramatically alter the industry landscape as we know it - a change that MTA Queensland's CEO, Dr Brett Dale, has coined 'Carmageddon'.

The MTA Queensland will be at the forefront of this change and, as a first step, will be holding a symposium in March dedicated to considering and deliberating where these changes might take us and how the industry can not only adapt to them but also take advantage of the incredible opportunities that such a revolution offers.

In our main feature in this edition of Motor Trader, we take a look at some of the innovations and technological advances that are already spreading through the industry. Check them out starting on page 10.

In our MTA Q&A feature this month we talk to Les Hanifin from Hanos Car Care in Brisbane.

A 20-year veteran of the service station and mechanical workshop industries, Les has created a successful business, with a loyal community following, founded on his philosophy of offering only the highest levels of service. You can read more on pages 8 and 9.

In our Member's Classic feature, we visit Jason Gordon, Dealer Principal

of Gatton Auto, to talk about the company's Holden 48-215.

The 48-215, better known as the FX, was Holden's first homegrown car and, as such, is an important part of Australia's automotive history. A fine example of the model, Gatton Auto's FX also has a quirky history - the company sold the car as new in 1949 before rediscovering it in the mid1980s. Check out this beautiful old machine on pages 16 and 17.

In other news, we report on the MTA Queensland trainers conference; the success of Cairns-based ASR Collision, the winners of the MTA Queensland's 2016 Innovation Award; and the imminent launch of MTA Queensland's very own racing team.

A lot that has been happening and I hope you enjoy this edition.

Please remember, if you have a story worth telling, want to appear in Member Profiles, or have a classic car, bike or truck you would like to see featured, then please contact me.

Cheers, Jonathan Nash jonathann@mtaq.com.au

ADVERTISE ON OUR JOBS BOARD MTA Queensland has launched a FREE Jobs Board and employment section on our website, which contains valuable resources for employers and enables you to advertise positions available in the automotive industry.

See www.mtaq.com.au/Membership/Jobs-Board for more information.

2 | Motor Trader February 2017

Make the most of your MTA Queensland member benefits.

Commonwealth Bank provides MTA Queensland members with a wide range of market leading business banking solutions.

• Competitive rates: If you open a new merchant

• Asset Finance: Equipment, car or technology

• Business insights: With a simple iPad app, Daily IQ

• Commercial finance: Find a product that meets your

facility that settles into a Commonwealth Bank Business Transaction Account, Commonwealth Bank will waive the $10 monthly account fee and give you six months free terminal rental*. powered by CommBiz, you can get valuable free data from Commonwealth Bank issued credit and debit cards. Plus, for new CommBiz customers, the Bank will waive the establishment fee and give you your first two tokens free^.

finance helps you buy equipment or vehicles and offers a customised repayment plan, so you can manage your cash flow and improve your working capital. financial needs, including bank guarantees, flexible loans, business lines of credit, business credit cards and overdraft facilities.

To take advantage of our special rates and fees, please call Sara at MTA Queensland on 07 3237 8777 and start saving today.

Important Information: Offers available to referrals made via MTA Queensland between 31/12/2015 and 30/06/2016. *This offer is applicable to existing and eligible new merchant facilities excluding the Albert EFTPOS device. To maintain the fee waiver, you must retain the required products contained in this offer. (Offer includes settling your merchant facility to your linked Commonwealth Bank Business Transaction Account, with a monthly account maintenance fee of currently $10.) Otherwise the offer may be withdrawn. ^Establishment fee waiver and two free tokens are available to new CommBiz customers only. This offer may be extended beyond the specified end date at the discretion of the Commonwealth Bank. Applications for finance are subject to the Bank’s normal lending criteria. Fees and charges are payable. MTA Queensland may receive a fee from the Commonwealth Bank of Australia for each successful referral. Referral Fees are not payable on referrals from existing relationship managed Commonwealth Bank customers. This has been prepared without considering your objectives, financial situation or needs, so you should consider its appropriateness to your circumstances before you act on it. Terms and conditions are available from commbank.com.au. Commonwealth Bank of Australia ABN 48 123 123 124. Australian credit licence 234945.

From the desk of the CEO

BRETT DALE CHIEF EXECUTIVE OFFICER MTA QUEENSLAND

2

017 IS HERE. The Christmas decorations are down and stored and we’re back at work in top gear on new initiatives and with eager expectations for a positive and profitable year for members. Happy New Year to each of you!

Here at the Sir Jack Brabham Centre for Automotive Excellence we have hit the ground running with new plans to advance the Association in a period of change. The corporate office team is enthused to deliver the advocacy and the services to achieve MTA Queensland’s vision: ‘to be Queensland’s most influential, desired and respected industry peak body.’ To achieve the vision, we have reviewed the activities of 2016 and assessed progress over the past six months and the score card is impressive.

In a nutshell, stakeholder engagement relationships with industry and government entities is on track; national relations and partnerships built to represent capably and effectively the views and policies of the Association and member’s commercial interests; the organisational culture now matches member and business needs; the MTA Queensland’s profile is lifting within the state’s automotive value chain; and benefits and services to members are increasing.

The MTA Institute (MTAI) Board and the MTA Queensland Board met on 18th and 19th January respectively to set the direction for the coming year. Common to both Board meetings was the focus on those 4 | Motor Trader February 2017

innovations and technologies that impact on the automotive value chain.

The MTAI highlighted its curriculum to provide the courses and training for apprentices and trainees to achieve the skill sets to service, maintain and repair the new generation of motor vehicles. The MTA Queensland Board directed the corporate office to provide the leadership on emerging innovations and technological changes to enable the motor trades to successfully adapt to and shape the innovations that will drive and derive from technological disruptions.

The combination of the review of the strategic plan and the MTA Queensland Board’s direction to provide leadership on emerging innovations and technological advances means a changed organisational focus was required. For this purpose, General Manager Kellie Dewar was appointed to the position of Group Deputy Chief Executive to sharpen the focus on our new responsibilities. Kellie, with her longstanding corporate and policy knowledge, will fill the roll with distinction and I join with MTA Queensland members and staff in congratulating her on the appointment.

CARMAGEDDON SYMPOSIUM I coined the era in which the automotive value chain will transit the innovation revolution as Carmageddon. To provide the leadership and advance understanding of present and future disrupters in the motor trades, the MTA Queensland will host a Carmageddon symposium on Tuesday 7th March. It will be opened by the Minister for Innovation, Science and the Digital Economy and Minister for Small Business the Hon Leeanne Enoch.

Participants in the program will include Commonwealth, scientific and industrial research professionals who will discuss disrupters across the economy and the automotive value chain; a representative from the Queensland University of Technology with expertise in the digital economy; a successful entrepreneur from the startup economy; the Jobs Queensland

Executive Director; and Officers from the Departments of Innovation, Science and the Digital Economy and Small Business. Interstate MTA colleagues have advised they will attend to observe and participate either in person or through a representative.

The purpose of the symposium is to start to fill the knowledge gap on the digital economy and emerging automation technologies. It is an important initial step to advancing/ preparing industry for the 4th industrial revolution. A Carmageddon symposium advert is on the website and also in this edition of Motor Trader which seeks Expressions of Interest (EoI) from members and the wider industry. I urge Members to submit an EoI to attend, or plan to watch/listen the symposium on your computer as it will be live-streamed via a webinar.

By the way there is no registration free and lunch will be provided.

NATIONAL INDUSTRY ENGAGEMENT Over the past six months, the MTA Queensland has sought to open doors and commence dialogue with our interstate counterparts and aligned national bodies. A slow and steady approach has been adopted to build a lasting platform from which to engage in meaningful collaboration and discussion on issues that require a national voice for our members. It is rewarding that through goodwill these relationships have been built, ensuring our members' views and the Association’s policies are represented in national fora and meetings.

Indicative of the new collaborative arrangements in place, the Australian Motor Body Repairers Association will hold its national meeting hosted by our National Auto Collision Alliance at the Jack Brabham Centre of Excellence. The agenda items include a full suite of issues including industry Code of Conduct. Additionally, the Engine Reconditioners Association (ERA) Australia has scheduled a national meeting by teleconference, and for the first time the ERA Queensland will be a participant.

MEETINGS Throughout 2016, the vocational education and training system has undergone policy changes and reforms. The new Innovation and Business Skills Australia established six Skills Service Organisations to work with specific industries in developing training packages.

Price Waterhouse Coopers Skills for Australia (PwC) has been appointed with the responsibility for the automotive and mining and drilling sectors. To establish our credentials with PwC, I met with the Chief Executive Officer and representatives to discuss support and key priorities for Queensland’s automotive value chain. This was an excellent meeting and I am confident that under the new arrangement the MTAI will continue to provide the high standard of skills training for which it is renowned.

A flaw in the apprentice and trainee system we would like remedied is the absence of a state-based mechanism to determine training priorities and investment to gather market intelligence for national advisory entities. The MTA Queensland has a guaranteed position on the strategic Industry Reference Committee and ideally a state-based industry advisory

body would be of advantage.

As a routine, I either meet with or liaise with our corporate partners on matters to ensure mutual benefits from the arrangements. I am in the process of negotiating additional benefits with some corporate partners which I will advise in the March From the CEO’s Desk.

Pending is a meeting with the Federal Member for Brisbane Trevor Evans at which I will discuss issues detailed in our 2017-18 pre-Budget submission to the Commonwealth Treasury. This includes support for the Government’s economic plan to improve productivity, increase job opportunities and assistance measures for small/medium enterprises. On behalf of our Australian Automotive Dealer Association (QLD) membership I’ll raise the Luxury Car Tax (LCT).

The current LCT threshold for fuel efficient cars is $75, 520 and $64,132 for other vehicles. The LCT should be phased out and ultimately abolished.

It is redundant due to the emerging alternative energy and automated vehicles, the pending demise of motor vehicle manufacturing in Australia and the flow-on consequences from the Free Trade Agreements with Korea, China and Japan.

MTA QUEENSLAND RACING TEAM Excuse the pun; we are on track to meet the timeframes to be at the track.

So far, three major industry sponsors have been selected and the vehicle is being race and branding prepared.

I’ll keep you updated on progress.

AND THE LAST THING Experts predict that by 2030 there will be 5 million electric motor vehicles on Australia’s roads. Already long-term plans to provide thousands of vehicle charging stations are under way including the provision of ‘onestop-shop’ technology solutions for customers. With this in mind, I have met with innovation experts to discuss incubation/transformation hubs and how businesses can adapt and work within industry innovation with an appropriate business model.

My focus in the coming month will be to network with stakeholders and the wider automotive value chain to promote the Carmageddon symposium and grow the membership.

Until March, as Henry Ford, the industrialist and the founder of the Ford motor company said ‘execute ideas with enthusiasm . . . as it is the bottom of all progress’.

Policy/Viewpoint

KELLIE DEWAR GENERAL MANAGER MTA QUEENSLAND

H

APPY NEW YEAR! My wish for each member of the MTA Queensland is for 2017 to be prosperous and that the improved economic outlook for small / medium businesses, as indicated in the December 2016 Sensis Business Index,

becomes a reality.

The beginning of a New Year provides the opportunity to stock take - to review the activities, outcomes and achievements of the past year and supplement the existing strategic and operational programs to take the Association forward in the best interest of the membership and the motor trades. That is exactly what CEO Dr Brett Dale, Divisional Chairs, executive officers and I have been doing. The objective is to continue to strive to be at the leading edge in corporate office systems to deliver an efficient and timely service to members and to be constant and relevant in advocacy to all levels of government relating to the motor trades on behalf of the membership.

The 2016 Report Card, which you can read overleaf, shows an impressive record of work in communications

and advocacy. It is a record in which we can all take pride.

A duty which I take seriously and with enthusiasm is advocacy. With my colleagues and Divisional Chairs, we work consistently and patiently across all levels of government and with those agencies with automotive value chain responsibilities to convey the views of the membership so that these can be included in decision making and be reflected either in legislation, regulations or general advices. In 2016, we achieved much. In all, there were 30 submissions to State and Federal agencies on a broad range of policy issues. In addition, there were 66 ministerial, senior department and key industry stakeholder meetings relating to discussions on specific automotive value chain matters. Importantly, the voice of the MTA Queensland membership is represented in the February 2017 Motor Trader | 5

Policy/Viewpoint submissions and at the meetings.

In readiness for the coming year, a full review of the service capability, member engagement strategies and alignment with the Strategic Plan of the Member Services Department has been completed. I’m confident we have the personnel, the competence, the systems and the technology to serve members professionally and efficiently, and provide a high standard of service delivery and advocacy to meet the challenges ahead.

A new initiative is our own MTA Queensland Member Jobs Board. It is on the website and, importantly, it is free to post your advertisement. If you are looking for staff, start with our Jobs Board - already we have some jobs listed.

By the way, the website provides access to a wide range of tools for business, including succession planning and financial tools.

Whilst the 2016 Report Card is ‘A+’, we cannot sit on our laurels. We are alert to the massive disruptions and challenges of technological change and automation ahead which demand the motor trades continue to evolve.

The benchmark of industry standards.

2016 REPORT CARD

ADVOCACY Last year ended with an advocacy flourish with six policy submissions in the last quarter. Likewise, the New Year has commenced with a rush of submissions either just finished or pending. CEO Dr Brett Dale and I signed off on our Commonwealth pre-Budget submission and I have commenced the research on the social issues relating to land-based driverless vehicles in Australia (cars, trucks, buses and trains). This paper is due on 6th February to the House of Representative Standing Committee on Industry, Innovation, Science and Resources. We have participated in other government investigations to address the technological aspects of driverless vehicles or possible regulatory approaches.

Down the track, (due 10th March) we will be responding to three papers 6 | Motor Trader February 2017

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on potential measures to reduce vehicle emissions: new fuel efficiency standards for light vehicles (draft Regulation Impact Statement (RIS)); tighter noxious emissions standards for light and heavy vehicles (RIS); and improved fuel quality standards (Discussion Paper). Members interested in these issues may access them on the Ministerial Forum on Vehicle Emissions’ website: https:// infrastructure.gov.au/roads/ environment/forum/index.aspx.

Feedback would be appreciated.

Our standing advocacy meetings with the Office of Fair Trading, the Department of Transport and Main Roads (TMR) are pending and we will continue to meet with Officers in the Departments of Energy and Water Supply and Science, Information Technology and Innovation when necessary or invited to do so.

I emphasise to members that

the Association has excellent consultative dialogue with the State Government Departmental officers from which much is achieved for the membership.

Policy issues that specific Divisional Chairs and their respective Committees and I are addressing include: the requirement for Farm and Motorcycle Dealers to have a dual licence; Approved Inspection Stations (AIS) difficulty in locating and recording engine numbers; and the review of the policy and quality of repairs of written-off vehicles.

Recently, TMR held information sessions across the state specifically relating to Approved Inspection Stations, one of which we have attended. The feedback from the sessions has been very positive. In the September Viewpoint, I referred to the advice from TMR that a web portal and mobile application for Inspection Certificates Online (ICO) was under development. Members who requested the ability to process certificates on tablets will be pleased to know the specific App is in the development phase for launch soon.

ROAD SAFETY

As mentioned in the December/ January Viewpoint, I represented the MTA Queensland at a State Government road safety stakeholder meeting to consider road safety messages for the Christmas holidays. On return to work after my break, I was horrified by the statistical data detailing the carnage on the state’s roads which indicated a further increase in road deaths (which includes motorcycle fatalities) compared to the previous year.

Reflecting on the real tragedies for many families, the question must be asked ‘do we as drivers believe the driving of a vehicle is a priority job that requires skill to go somewhere?’

Seemingly, driving the vehicle is secondary to ‘getting somewhere’ and little thought, other than by rote, is given to road rules and courtesy. In my view, when we slide behind the wheel we should say to ourselves the job at hand is to drive safely and with skill.

Until the March Viewpoint, take care and stay safe.

Planning for a super future Matthew Webster, 45 has a long way to go before he hangs up his hat, but is easily able to picture his retirement years.

He plans to grey nomad it around Australia in a caravan with his wife, once he convinces her that it will be a lot more fun than she expects.

Matt has spent his career in the motor trades and is well on the way to ensuring he has enough super to be able to see the nation in comfort. He started an apprenticeship in 1986 at the age of 16 and now works in an automotive training role in NSW. He became an MTAA Super member when it was first established in 1989.

“I’m really happy I’ve been with MTAA Super. It’s the industry super fund for my trade and has been supporting careers in the automotive industry for over 25 years.”

“I’m still a long way off retirement but I do think about what I will do when I stop working and how I will support myself and my family.”

Matt, like many Australians is not alone in his concern about life after work. We can now expect to spend more time in

retirement than any previous generation, thanks to changing work patterns and increased life expectancy.

Leeanne Turner, CEO of MTAA Super mentions “As people start drawing closer to the 60-mark, they begin to think more seriously about what they would like to do in their retirement and how they will be able to finance it. With people living longer, weak interest rates and stricter rules around the age pension, these concerns have come to the forefront like never before.”

Leeanne shares, “The key is to take advantage of the compounding nature of superannuation. Super gives the opportunity not just to grow one’s employer and voluntary contributions but to grow the investment returns on these contributions as well.”

“Small amounts can go a long way.

Making extra contributions as little as $25 per week early in your career can result in thousands of dollars over a 30+ year working life.”

“Extra super contributions can be particularly important for people in casual or part time employment as well as those who’ve needed to take career breaks to raise a family or care for sick or elderly relatives.”

With increasing life expectancy, many Australians could be in retirement for over 25 years and may well need to look at ways to boost their super such as salary sacrifice contributions and personal contributions.

Give your super a boost!

For ways to give your super a boost while you’re still working visit mtaasuper.com.au/take-control.

1300 362 415 mtaa.super.com/take-control

This article is issued by Motor Trades Association of Australia Superannuation Fund Pty. 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 Limited. 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 information you need to make a decision about MTAA Super, can be obtained by calling MTAA Super on 1300 362 415 or visiting mtaasuper.com.au/handbooks. You should consider the PDS in making a decision.

MTA

QA &

What products and services does your business provide?

Les Hanifin and his 1971 HQ Monaro

LH: We have a Matilda service station at Everton Park and two Hanos Care Care workshops, one at the Everton Park service station site and another in Albany Creek.

At Hanos Car Care, we offer general servicing on all makes and models and have invested in the latest technology to ensure the quality of our work.

We are an RACQ-approved repairer and delivering excellent quality vehicle servicing is our main focus.

We recently opened a new workshop at the Everton Park site.

Originally, the workshop was at the front of the service station but it was too small so we built the new shop at the rear of the site. Following that move, we will be opening an expanded store at the service station and are installing new awnings and fuel pumps. We have a similar set-up at the Albany Creek site although we don’t run the service station there.

At the Everton Park service station, we still carry on the traditional driveway service where someone will refuel your car, check the oil and water and clean the windscreen. I grew up with service stations that offered that service - that is why it is called a ‘service’ station and not a fuel station.

What’s your background in the industry and how did the business become established?

LH: I left school when I was 15 and started my automotive apprenticeship at a Shell garage in Alderley, Brisbane.

However, I didn’t complete that apprenticeship, choosing instead to take an offer to work for the Council.

I ended up working for them for 22 years, eventually becoming the Operations Manager at Toowong Bus Depot.

Les Hanifin has been working in the automotive industry for much of his life. For the past 20 years, he has been running a Brisbane-based enterprise that includes a Matilda service station and two mechanical workshops trading under the Hanos Car Care name. Offering a broad range of services to the public, while utilising the latest equipment and the skills of highly-trained staff, the business has gained a loyal following within the community and the emphasis on delivering the highest levels of service has become a hallmark of the business.

It was toward the end of that time that I met the father of one of my son’s friends who ran a service station at Albany Creek. He said to me, ‘How would you like to buy a service station?’. I thought about it and went to have a look and I was really excited by it. I had the business and operational experience and my wife, who worked at Westpac Bank, has a great business brain too. We were both reasonably young and thought ‘What’s the worst that can happen?’. So, we bought it and it went off like a rocket!

However, we didn’t own the freehold and after 20 years the guy who owned it put it to auction giving us six months’ notice. We then took over a workshop at the BP Albany Creek before Matilda offered us the freehold here at Everton Park.

When we came to Everton Park in 2004 it had only a small workshop and we soon began to outgrow it.

We realised we had to either do away with the fuel station or build at the rear of the site. We built out the back as I figured the best combination was a workshop and fuel station combined. And people do seem to love that combination.

Have you see many changes in the industry during your career?

LH: When I first started, you didn’t need a lot of equipment for a mechanical workshop. The engines back then were basic and, on the equipment side of things, all you basically needed to run a workshop was a hoist, a jack, a set of spanners and a timing light! Today’s car technology, much of which is computer-driven, demands you have a lot more equipment – diagnostic tools for example. That can be very expensive.

Although the technology has

evolved, we haven’t seen too many hybrid vehicles as yet and I am not sure that, in my lifetime, we will see hybrids or other technologies taking over from regular cars. This period of change actually feels a little like when E10 fuel was implemented. Everyone was saying it would take over and it hasn’t yet. In fact, as far as fuel sales go, E10 fuel is hardly worth selling.

I think the biofuel mandate is great thing but the government hasn’t relayed to the public what the benefits are for the car, the community and the user.

The feedback I get from my customers is that they are cautious of using it and think it will do some damage to their car. However, I do believe if it was explained properly it would take off.

And we are prepared for that. When we re-tanked here, we re-tanked with fibreglass tanks which are E10 compatible. We wanted to be prepared for what the future might bring so we went with the latest technology.

To what do you attribute your success?

LH: I love what I do, and if you love what you do then that influences the service you provide - if you’re happy, the customers are happy. You have to make sure that when a customer comes through the door they enjoy their experience. After all, we don’t want their business just for today, we want them for the next hundred years!

So, the service, the advice and the quality of work has got to be second to none. I treat my customers the way I want to be treated – fairly and honestly.

When you do that, then they trust you and you can’t miss.

How many staff do you have?

LH: On the fuel side, I have a manager, the guy who does the driveway service, plus casual staff on two shifts through the day. In the workshop, we have three

qualified mechanics. So, we have 15 staff here at Everton Park and another three at the Albany Creek site.

Although I am semi-retired, I do still visit both stores daily to make sure everyone is happy and to see if I can do anything to help. But I leave most things to my son, who runs the workshop side of things, and my daughter, who runs the fuel side.

They’ve been with me long enough to know exactly how things work.

What does the future hold for the business?

LH: The fuel business is to be rebranded soon as Puma Energy. Puma bought Matilda Fuel Supplies and will eventually rebrand all the stores.

They are a good brand and good people to do business with.

As I mentioned, we have upgraded the workshop, and on the fuel side we will soon be opening our new shop and have new awnings and new pumps. What we are doing is building a much nicer environment for our customers while providing the traditional service.

What do you do in your spare time, if you have any?

LH: I have always loved cars and I have a 1955 FJ Holden, a 1955 2-door Chev, a 1971 XY Falcon and a 1971 HQ Monaro. They are all in show condition and I do go to shows with them. I also do a bit of tinkering with buying and selling the odd one. However, the collection I have now are my dream cars and I would probably never sell them!

I am also looking to build a race car. I am involved a bit in motorsport and we sponsor a couple of race cars including a VK Holden Commodore, driven by Steve Hay, that recently won the 2016 Queensland Touring Car Championship.

February 2017 Motor Trader | 9

INNOVATION REV

I

N 1886, CARL Benz applied for a patent for his ‘vehicle powered by a gas engine’. The two-seater vehicle, sporting a single-cylinder four-stroke engine which generated 0.75hp of grunt, was christened the Benz PatentMotorwagen and it started a revolution.

Within just a few years, hundreds of companies were building cars and, following the introduction of mass production techniques that followed the launch of the Ford Model T in 1908, the effect on human society was tremendous. People became mobile, could travel long distances easily and reach their destinations quickly.

Businesses flourished as the means of transporting their goods and services became efficient and affordable.

Economies boomed as the new automotive industry created millions of new jobs. And those jobs were not only in the manufacturing of the cars themselves. Myriad industries and trades - such as fuel stations, repair shops, tyre producers and road construction firms - mushroomed to service the needs of the car-driving public.

Then there were the cars themselves. The basic early machines were endlessly improved and innovations were legion. Hydraulic shock absorbers, drum brakes, electric starters, the pneumatic tyre and a host of other innvoations were developed in those early decades and, of course, the manufacturers’ need to appeal to the public taste led to vast improvements in engines, transmissions, to construction techniques and to the level of comfort inside the cabin (the car radio, for example, was introduced in the 1930s).

Put simply, the early days of the automotive era must have been a tremendously exciting period in which to work.

10 | Motor Trader February 2017

Today, we stand on the cusp of a period of transition that will be just as exciting and challenging. In the past decade, there has been an explosion of technological and business innovation. The power of the computer, of wireless communication, of the internet, has changed our entire society; developments in battery technology, in construction materials and techniques have changed how things are powered and built; and creative thinking has seen new businesses arise to challenge the accepted order.

The effect of these changes on our industry will be dramatic and here are just few of the inventions that are, or will become, part of that innovation revolution.

ELECTRIC VEHICLES The electric vehicle has a long history. More than 100 years ago, they were widely used and extremely successful - in 1900, 30 per cent of vehicles on American roads were

VOLUTION The all-electric Tesla Model S

The undeniable impact of Tesla has led to an embrace of the possibilities of all-electric technology and every major manufacturer is now working on battery-powered models. Some, such as Volkswagen, are so certain of the technology’s future that much of their business strategy is based around it. Launched in mid-2016, part of the German manufacturer’s ‘Together – Strategy 2025’ plan will see it bring 30 new electric vehicles to the market by 2025 with an annual sales target of two to three million units.

As well as the large, established players, the resurgence of the all-electric vehicle has seen an explosion of niche manufacturers and alongside cars such as the Nissan Leaf, the BMW i3 and the up-coming Chevrolet Bolt, are models from specialist firms such as Rimac Automobili, BYD Auto, Faraday Future, Tesla and a whole host of others.

The battery technology that powers these vehicles is improving year on year, allowing for a single-charge range in some models that rivals that of traditional cars - around the 500kms mark for a new Tesla Model S and Chevy Bolt.

The number of public recharge points continues to grow and technology such as inductive charging could be used to charge electric cars remotely if, for example, they were placed at traffic lights or car parks.

However it is done, it is clear the electric car will play a huge part in the automotive industry’s future.

AUTONOMOUS VEHICLES

battery-powered and, during the same period, an electric car set the world land speed record at 105.8km/h.

As roads improved and the range advantage of the internal combustion engine became clear, the electric car fell out of favour and the technology bumbled along, almost ignored, for decades.

However, in the past 30 years, concerns about the environmental damage caused by fossil fuels, as well as the cost of oil, brought about a resurgence of interest in the electric car. Today, alhough the sales numbers might not reflect it – in 2015 less than 1 per cent of the 70 million vehicles sold globally were all-electric – there is a momentum behind the technology that seems irresistible.

The all-electric BMW i3 (left) utilises carbon fibre reinforced plastic for its passenger 'Life Module' (above)

The idea of self-driving cars has been around for decades but what was once deemed as science fiction is now all but science fact. Advanced computer technology and its ability to make sense of the information from the array of sensors available to automotive designers and engineers is what is driving this technology forward.

A staggering number of features are now becoming standard on new cars. Pre-collision safety systems with autonomous emergency braking, active cruise control, lane departure alert and lane support systems, blind spot monitors, self-parking, stop-start technology, tyre pressure monitoring systems . . . the list goes on and are clearly stepping stones to automation. Adding LiDAR (Light Detection and Ranging), GPS, radar, cameras, and vehicleto-vehicle and vehicle-to-infrastructure communication technology gives a car the ability to drive itself.

This Cooperative Intelligent Transport System (C-ITS) technology is already here. Autonomous cars are on the road and being tested across the world, including in Queensland - the government announced in November 2016 that Ipswich had been chosen as the site of a largescale initiative to trial vehicles and infrastructure that can communicate, as well as to test highly-automated vehicles.

What is interesting about the autonomous driving technology is that it is not the exclusive domain of the car manufacturers. While the major auto firms are pouring millions of dollars into ‘connected mobility’ research - and Bosch and Delphi, two of the largest technology suppliers to the automotive industry are also heavily involved in this area - a lot of the technology is coming from other parties such as technology and software enterprises that have no history in vehicle manufacturing.

Most famous of these is Google, which has been developing its autonomous car for some years, but other February 2017 Motor Trader | 11

hi-tech firms such as Microsoft, FiveAI, Mobileye and Baidu (amongst many others) are also developing the software and the systems for car manufacturers to use.

MATERIALS Making cars that are lightweight has always been a goal of the manufacturers, especially in an era that demands better fuel efficiency. While steel has long been the material of choice, other materials such as aluminium and plastic composites are now widely used in car production.

The BMW i3, for example, an all-electric car with more than 60,000 units sold since its introduction in 2014, makes extensive use of aluminium and carbon fibre reinforced plastic (CFRP). Made up of two separate units – a ‘life module’ and a ‘drive module’ – the aluminium drive module houses the battery system, the suspension system and the drive train while the Life Module - a passenger cell made of CFRP - is, says BMW, high strength, offers high protection, and is light enough to offset the weight of the battery.

Should CFRP become more widely used, it will have a major impact on repairers - it’s a new material requiring new understanding and new expertise.

MICROFACTORIES AND 3D PRINTING

part from the manufacturer, input that information into a 3D printer and produce that part swiftly and on-demand.

ONLINE TRANSPORTATION NETWORKS In recent years, the global taxi industry has been shaken by the arrival of companies such as Uber and Lyft. While they would appear to be taxi-like firms, these companies are really technology firms - they don’t own the cars but use their technology, available through mobile apps, to allow customers to log in and connect with a ‘partner driver’ who uses their own car for the service. Cleverly, the apps allow customers to see an estimated time of arrival, allows for direct payment (no need for the customer to find the correct change or fumble for a credit card) and lets them rate the driver and the trip for other customers to see.

These companies have been a tremendous success, and they are not stopping at revolutionising the 'taxi' industry.

Both companies see a future in autonomous vehicles – Uber began testing self-driving cars last year – and have interesting views on the future of the automotive industry generally. In an online article, Lyft founder John Zimmer claimed that, by 2025, car ownership, and its associated financial burdens, in US cities would all but end and that when ‘networked autonomous vehicles come onto the scene, below the cost of car ownership, most city-dwellers will stop using a personal car altogether’. A bold claim.

Car manufacturers work on economies of scale. Mass production allows for cars to be made cheaply but the initial investment in the stamping and die machinery CAR RETAILING is very expensive. For anyone wishing to get into the manufacturing game the evolution of microfactories and 3D The internet has changed the way people shop. Today you printing may be the answer. can buy just about anything online – from groceries to clothes, Small facilities that produce small (but still significant) from airline tickets to books and, of course, cars. Companies numbers of cars, microfactories utilising 3D printing such as carsales.com.au offer a means of finding the car you technology can now be found in several countries. want while others, such as autogenie.com.au and carconnect.

Companies such as Divergent 3D are producing low-volume com.au all allow customers to input the details of their desired 3D-printed cars and developing and packaging their vehicle and let dealers compete for their business. manufacturing technology for use by others.

Manufacturers are turning to the online way too. If you Divergent claims its system of producing 3D printed want to buy a Tesla, for example, you can do so online. Via alloy nodes connected by carbon fibre structural tubes their website you can choose the model, use the ‘design produces a very strong and light chassis upon which a car's studio’ to choose the paint, interior and other features, see body can be placed, and that the manufacturing technology the price and put down a deposit. From there, it’s a case of drastically reduces costs, development time and investment waiting for your car to be made and delivered. for start-up businesses.

How will changes like this affect the nation’s dealers?

To prove its concept, Divergent created the Blade It could be a game-changer . . . or perhaps not. A car is an Supercar – a car with a chassis that takes 30 minutes to expensive purchase and the traditional showroom allows put together by hand, weighs 630kgs and, with a 700hp a customer to see, feel and consider the exact vehicle they turbocharged engine, can do 0-100km/h in 2.5 seconds. want to buy (you can, of course, test drive and view a Tesla While 3D printing might herald the future of smaller in the flesh too) and that’s an experience you can’t get scale car production, it is also a technology used by through a computer screen. However, there is little doubt major manufacturers - many use the process to produce that the online buying experience is one that is gaining spare parts. Such a technology raises the intriguing ground across every industry. It’s something to consider. possibility that a mechanical and/or repair workshop could, at some point, do the same Google's self-driving car project, under the banner of WAYMO, includes an autonomous Chrysler Pacific minivan as well as the Google-designed small vehicle (left) thing – receive the digital design for a spare

12 | Motor Trader February 2017

The Divergent Blade supercar uses 3D-printed parts to create a light and strong chassis Divergent Blade supercar

These are a few of the innovations and ideas that are influencing, and will continue to influence, the automotive industry and there is no doubt we are headed for massive change. But while such dramatic transformation can be unnerving, it is also an exciting time – a time in which those able to adapt can take advantage of new opportunities.

While the Queensland government, through initiatives such as the Platform Technology Program announced in January, is assisting industry to embrace and develop new technologies, the MTA Queensland is also offering its support, developing new ideas and programs to support industry and members.

On March 7, the Association will be holding the Carmageddon Symposium, bringing together government representatives, researchers and industry leaders to brainstorm the implications for business and industry and search out the opportunities that exist.

“It’s imperative that industry not only acknowledge the impending innovation revolution, but also embrace it,” said Dr Brett Dale, MTA Queensland CEO. “The time is now for businesses to review their products and services and contemplate what opportunities advancing technology offers them. I believe the opportunities are endless, and success will be determined by first-to-market and those businesses which think beyond today’s needs.

“The MTA Queensland is responding to this revolution by sharing everything we gather from our global analysis

of developments, and the Carmageddon Symposium will consider all the possible opportunities.

As an industry peak body, we have a responsibility to support members and contribute to the success and viability of their businesses, and stakeholders will see us support new and existing members like never before.”

Part of that support will, said Dr Dale, come in the form of an innovation hub – a hub that utilises the facilities of the MTA Queensland’s offices in Brisbane and the skills and expertise of its staff.

“The Carmageddon Symposium will assist in identifying the knowledge and skills needed to transform or start up new cutting-edge automotive businesses," he said.

"In addition to the symposium, we are looking to create an ‘incubator’ on-site at the MTA Queensland headquarters to support creativity, help commercialise innovation and support industry through start-ups or transformations.

We have office space and technical facilities on hand, and can offer legal, industrial relations, marketing, ICT and digital support - all of which can be difficult to obtain for individuals or businesses with great ideas.”

As the new technologies take hold, taking advantage of the support that MTA Queensland, the government and other like-minded institutions can give just makes sense.

The new technologies and ideas, like those that created the industry more than 100 years ago, should inspire us.

This is new territory, a new playing field, and we should all enjoy playing on it.

INNOVATE OR DETONATE! This one-day innovation symposium will bring together industry, government and academia.

Email expressions of interest to attend info@mtaq.com.au | Tuesday 7th March 2017 February 2017 Motor Trader | 13

MTA QUEENSLAND RACING TEAM GETS THE GREEN LIGHT T HE MTA QUEENSLAND is about to mark a new chapter in its long history by taking to the track with its own motorsport team.

The newly-formed MTAQ Racing Team will field a Hyundai Excel in the upcoming 2017 Queensland Hyundai X3 Series Cup – a series that has exploded in popularity across the country thanks to its focus on creating an entry-level, grassroots competition.

The MTAQ team will be a part of each race of the six-meeting series which will include five in Queensland and one in Victoria where a national race meeting will be held.

For the MTA Queensland, taking a place on the starting grid of a motorsports competition has been a long-held ambition and the Hyundai X3 Series Cup offers the perfect mix of grassroots involvement, fierce competition, training opportunities and the chance to forge new relationships across the state.

Formed in November 2016, the MTAQ Racing Team is a partnership between MTA Queensland and the man who will be the team’s driver, David Wood. A fixture of the 14 | Motor Trader February 2017

motorsport scene in Queensland and Australia for nearly 20 years, David raced in the Gemini Series in the 1990s before successfully competing in the Queensland Improved Production Car Championship, the Formula Ford series and the Australian Production Car Championship in which he took part in the Bathurst 12-hours race.

He brings a wealth of experience to the team and is hungry to get behind the wheel and take part in what will be a very competitive series.

“The Hyundai X3 Cup is growing rapidly in every state,” he said. “It has been running for only four years but is already on the verge of being the biggest category in Queensland.

“We will also have the opportunity to test ourselves against the best from across the country at the national event. It's going to be very competitive!”

Importantly, the decision to establish a motorsport team was not all about the racing. The MTA Queensland is committed to advancing the automotive industry and one way it does this is by offering the very best training opportunities to students of the MTA Institute.

The MTAQ Racing Team is a fantastic vehicle for the Association to give apprentices a truly unique and rich training opportunity. Apprentices who come to the MTA Institute will have the chance to work on the car throughout the race season and students of just about every trade including mechanical apprentices, panel beaters, spray painters, auto electricians, tyre fitters - will be involved. This is a race car, after all, and there will be plenty to do!

“This is a really exciting project,” said Dr Brett Dale, CEO MTA Queensland. “It is a great community venture, an opportunity to expand the profile of our brand and, for apprentices, offers the opportunity to get involved with a legitimate motorsport venture, all while knowing that we, as a training organisation, have apprentices who have gone on to work with 888 Racing in the V8 Supercar Championship. The MTAQ Racing Team will serve as an inspiration to them, and to everyone who is part of MTA Queensland.”

To follow MTA Queensland Racing Team news go to www.mtaq.com.au/MTAQ-Racing-Team

CBC AUTOMOTIVE SOLUTIONS

NTN-CBC (AUSTRALIA) PTY. LTD.

Automotive Focused Bearing Company Since its modest beginnings as an Automotive-focused bearing company, CBC Australia continues to expand and deliver quality brands through its vast operations network.

CBC’s extensive product range is second to none, working closely with major manufacturers to deliver products that in most cases are the OEM or equivalent.

Our partnerships with major global OEM manufacturers, ensures our automotive data is constantly being updated and our electronic in-house catalogue and parts identification system has no rivals in the industry.

Our Automotive offering ranges from all types of ball and roller bearings, needle bearings, all types of seals and materials, automotive drive belts and hoses, idlers, hydraulic tensioners, constant velocity joints as well as bearings to suit high performance applications such as turbo and superchargers. Coupled with this are CBC’s extensive ranges of ancillary products like Loctite

adhesives, CRC lubricants, rod ends, silicones, hose clamps, circlips and plastics.

Our in-house manufactured range of automotive kits covers everything from Wheel, Timing Belt, Gearbox and Differential to swivel hub kits for off-road applications.

Established in 1954, CBC Australia is committed to providing customers with the highest quality product and services, and supports this with the largest amount of inventory in the country across its network. CBC offers specialist technical advice, delivery and a 24/7 after hour service.

CBC is also part of the INENCO group of companies, 100% privately Australian owned with a footprint of over 160 locations, 1400 employees in Australia, New Zealand, South East Asia and recently opening an additional two major distribution centres in Melbourne and Sydney.

THE AUSSIE O R I G I N A L

T

HIS IS A Holden 48-215. It is the first ‘true’ Holden the car that not only changed Australia’s automotive landscape but set Holden on its way to becoming a manufacturing heavyweight and a dominant force in the auto industry. To say it is an important car would be something of an understatement.

Adapted from a mid-1940s American design, prototypes were rigorously tested and tweaks were made to ensure the FX’s suitability for Australian conditions before going into production. But even before a single car had rolled out of the factory, the four-door sedan had its fans - according to the National Museum of Australia, the thought of an Australianbuilt car was so enticing that around 18,000 people signed up for the FX without knowing a single detail about it.

Of course, the details turned out to be very good indeed and the public had every reason to love it. The 2.17-litre 6-cylinder ‘grey’ motor was reliable and fuel efficient, there was room for a family of six in the cabin to ride in comfort, and the car was strong and sturdy enough to withstand the rigours of the Australian environment.

It was a winner from the off and the foundation for a spectacularly successful automotive manufacturing industry.

Not surprisingly, the FX has become a true classic, a motoring icon that every collector worth their salt would be very pleased to own.

This magnificent example is a resident of the Gatton Auto

16 | Motor Trader February 2017

Holden dealership in Gatton, west of Brisbane, and graces the showroom alongside its hi-tech descendant, the VFII – a reminder of where Holden’s ‘Made in Australia’ story began and where it is to end.

Gatton Auto itself has a history even longer than the FX – one that reaches back to the early decades of the last century – and this particular FX forms a special part of that history.

“It was actually sold from here as new,” says Dealer Principal Jason Gordon. “It was the first Holden to come to Gatton and it arrived in early 1949 before being sold to a sub-agent named Peterson out at the service station at Mama Creek.

“In 1986, we were made aware that it was outside the old servo and had been put up on blocks. We were, at the time, looking for an iconic old car and we only found out later that it was the car we had sold all those years ago - so that was very special.”

After towing the FX back to the workshop, the Gatton Auto team set out to restore the car to its original condition.

Done during the business’s downtime, the restoration took quite some time to complete.

“It took a few years to get it back into its current condition,” says Jason. “We did it all onsite here and it was all done in

MAKE: HOLDEN MODEL: 48-215 (FX) ENGINE: 2.2-LITRE, SIX-CYLINDER GREY MOTOR OWNER: GATTON AUTO OWNED SINCE: 1986 (AFTER SELLING IT AS NEW IN 1949)

our spare time. Back then we had mechanics here who had worked on the FX model 20 years earlier, so there was a lot of knowledge here to get it done.

“The car hadn’t been used for years and there was bugger all interior left in it,” he adds. “We repainted it and actually went through a couple of interiors before getting the right light leather trim.

“As for the engine, well, we didn’t have to do much to that.

The previous owners had oiled all the cylinders and kept things going, so although it blew a bit of smoke when we got it, she was easy to start. Since then, we really haven’t done much to it apart from change the water pump a few times.”

The FX is, not surprisingly, treated rather well, getting a run every now and again to help keep it roadworthy but spending much of its time in a prime spot within the Gatton Auto showroom.

“It doesn’t get a lot of road time,” says Jason. “But you do have to use old cars from time to time to keep seals, master cylinders and so on operational. They have to be used. If you just sit on them then they just deteriorate.

“Driving it is a ‘wonderful’ experience,” he adds with a laugh. “It’s on rag tyres and has a drum-brake front-end and, after driving it, you certainly appreciate modern advances in technology! Having said that, the beauty of these is that although they are simple from a technology point of view,

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.

they work.

“We usually keep it in the showroom.

It is a great talking point because we can show the latest model VF and, at the same time, show the very first model. You don’t see a lot of them anymore, particularly in running condition, and the reaction is always great. Customers love it and we often hear a comment about how they had a connection to one in the past – either their grandfather had one, or their father had one, things like that.”

The FX is not the only classic car associated with Gatton Auto. Dealership and family-owned cars include an EH sedan, a WB ute, an MGB and a rather brilliant Torana XU1 Bathurst model – another car originally sold by the company before finding its way back home a few years ago.

And like those cars, the FX is unlikely to pass into anyone else’s hands anytime soon.

“People do ask, ‘What is it worth?’,” says Jason. “But it really doesn’t matter. It’s not going anywhere.”

February 2017 Motor Trader | 17

Training GM's Professional Circle perspective

MEMBERS MEMBERS ESSENTIALS ESSENTIALS

PAUL KULPA GENERAL MANAGER MTA INSTITUTE

Contents 18 Training GM's Professional Circle perspective 19 Professional Circle training 27 Member profiles

FIRST RESPONSE MECHANICAL FORMULA AUTOMOTIVE

28 Industrial relations

W

E’VE HIT THE ground running in 2017 in what should be a big year for MTA Institute. There are two major projects for us to complete this year.

One is the AUR16 transition, which is an update in the training package which determines how we assess apprentices and trainees, and the second is the implementation of our Learning Management System (more on this later in the year). Both projects will affect the way we deliver training, and we anticipate the benefits will greatly improve quality training outcomes. We will keep you informed of these changes as we move into the different phases of each project.

Speaking to businesses, the start of the year is often a time to look at

employing new staff and, in particular, to bring on an apprentice or trainee.

Now, I am probably preaching to the converted but it’s always important to recognise that investing in training through apprenticeships or traineeships is an excellent way to improve a business.

There are also financial incentives available when hiring apprentices and trainees. These financial benefits are distributed throughout the duration of the apprentice's and/or trainee's contract and further financial support is permitted for rural and regional locations.

If you need any further information, please contact us.

Whilst you are looking for the right person to put on as an apprentice or trainee, I have to say the MTAQ Job Board is a great place to lodge an advert or to look for a potential candidate. I’ve heard time and time again about employers struggling to find the right person and, equally, employees finding it difficult to find the right place to work.

I believe the Job Board is a good place to start. I would recommend any employer looking for staff to place an ad on the MTAQ Job Board to make sure they get maximum exposure for the position. And remember, as an MTA Queensland member, it’s a free service!

I hope 2017 is a great year for everyone and if you need any information regarding training, whether its accredited or tailor-made, please make sure to contact us.

investing in training through apprenticeships or traineeships is an excellent way of improving business

18 | Motor Trader February 2017

ESSENTIALS

T

HE MTA QUEENSLAND brought together MTA Institute trainers from across the state in December for its annual three-day trainers’ conference.

An opportunity for the trainers to collaborate on various issues, the conference also offered workshops on mobile plant, parts interpreting, underbody, and body repair and refinishing as well as presentations from the Department of Education and Training and updates on new procedures and technology to be introduced in 2017.

“Our on-site delivery model means we our delivering training to workplaces across the state to more than 1550 students,” said Paul Kulpa, General Manager of MTA Institute. “With more than 30 trainers delivering that service across such a large area the conference

apprenticeships and the new technology that will be available to both trainers and students that will make the apprenticeship journey even more streamlined.

“We did look closely at the new AUR16 MTA Queensland CEO, Dr Brett Dale MTA Institute GM, Paul Kulpa training package and how it will change some of the operational processes is a great opportunity to get everyone we currently use, ” said Mr Kulpa. together to talk about issues, share “Another very important aspect of the experiences and review our processes conference was to introduce to the and look at what we can improve. trainers the MyProfiling application “All the trainers benefit from that will be launched in 2017.” the conference. From receiving an The MyProfiling system is a weboverview of the organisation’s strategic based application that will provide plan to information technology students, trainers and employers a updates and professional development level of interaction and engagement opportunities, everyone gets not yet seen in the training sector and something from the three days.” will see the MTA Institute reinforce its Particular focus at this year’s reputation for innovative and industryconference was placed on the leading training delivery. new AUR16 training package for February 2017 Motor Trader | 19

E S S E N T I A L S

INGENUITY, ENGAGEMENT AND TECHNOLOGY THE FOCUS OF MTAI TRAINERS’ MEMBERS ANNUAL CONFERENCE

M E M B E R S

Professional Circle training

E S S E N T I A L S M E M B E R S

MTAI TRAINER PROFILE

Professional Circle training “MyProfiling will assist us in meeting the new requirements for AUR16 and will also allow us to move everything to the digital environment,” said James Orr, Chief Information Officer for MTA Queensland.

“In the digital space we can automate processes and give people greater visibility over their portfolio, make things easier to manage and offer greater visibility to employers and supervisors over their students.

"Employers and supervisors will have access to MyProfiling and be able to monitor and view the progress of their students. Given the online nature of the system, they will also have the ability to authenticate work-based elements of training at any time and from anywhere.

“For the student, they will no longer be required to have a training record book or, in fact, any workbooks because everything they need will be online. All they will need is access to a tablet and the internet. This will greatly reduce the burden on the student.

“MyProfiling will give us a significant advantage over competitors. No other system allows the visibility over a student’s

ZAK ZUIDERDUIN

progress within the training process, enabling employers to ensure the training provided is fulfilling all the requirement for their apprentice.”

“Innovation and client engagement is always a focus for us,” added Mr Kulpa. “The MyProfiling system will allow employers to be more involved in their apprentices’ training than ever before and will give trainers the ability to monitor a student’s progress from afar. The level of transparency is a terrific aspect of the system and being so connected with the students will be beneficial to everyone involved.”

Along with the MyProfiling system, other technologies designed to streamline and strengthen connectivity are being introduced.

“The Microsoft Sharepoint system will introduce a shared platform through which everyone in the wider MTA Queensland team can work collaboratively,” said Mr Orr. “While MyProfiling will handle certain aspects of learning delivery, the teaching aids, such as videos and modelling, will be enabled through Sharepoint.

“By using these applications and using them in conjunction with tablet

I started my first apprenticeship in 1977 and have worked in most aspects of the trade gaining qualifications in the various fields. I also spent time as a workshop manager on a cotton farm and 12 months in an engineering shop.

When did you become a trainer for MTA Institute?

2009.

What geographical area do you service?

Boonah to Roma.

What is the most satisfying aspect of your role as a trainer for MTA Institute?

What is your specialised area?

Auto electrical, light vehicle, motorcycles, and parts interpreting.

What is your background in the automotive industry?

20 | Motor Trader February 2017

Being able to train apprentices in their own environment I can flag their strengths and weaknesses to mold the training to suit them.

What do you believe is the most important aspect of training?

To keep our industry strong by training

MTAI trainers attended various workshops, including one on electric vehicles run by fellow trainer Paul Tugwell

hardware such as the iPad, trainers will no longer require a laptop, it will reduce overheads, and paperwork will all but disappear apart from where it is a legal requirement.

apprentices to diagnose and repair all types of motor vehicles.

Why should someone consider a career in the automotive industry?

The automotive industry has become so advanced in technology, that it’s always a challenge and very satisfying staying on top of it.

What is the best piece of advice you can give to an apprentice starting out in the industry?

Love and respect the trade, put in your best effort to learn as much as possible and research the technical side of the trade. You will only get out of it what you put into it.

When you’re not training, what do you like to do?

I play lead guitar in a 70’s rock band, and rebuild & ride Kawasaki Z bikes.

E S S E N T I A L S

February 2017 Motor Trader | 21

M E M B E R S

“In terms of moving the business forward it is a big step toward total mobility.”

Another aspect of new technology discussed at the conference was the use of social media. A vital marketing and communication tool for any enterprise, the use of our four social media platforms Facebook, Twitter, Instagram and YouTube (all found by searching “MTA Queensland”), has become integral to the way the MTA Queensland works and Lysa Dugandzic, MTA Queensland’s Marketing and Communications Manager, held a presentation to bring the trainers up to speed on the avenues open to them.

Keith Minchin with MTA Queensland CEO, Dr Brett Dale “Social media channels are very important as, used “The trainers' use of these channels appropriately, they increase the will allow us to be able to quickly Association’s profile and brand with share the great work they are doing, both industry and the public,” said as well as that of their apprentices Ms Dugandzic. “As more people come and MTA Queensland members. The to the MTA Queensland through trainers are an important part of the these channels there will be a flow-on automotive industry and understand effect both through an increase in it well so what interests them will membership and an uptake in MTA Institute training services. certainly interest others and we will be

encouraging them to share amusing, educational and inspirational stories, videos and images across the MTA Queensland social media network.”

Although the MTA Queensland trainers’ conference is important for networking, sharing and delivering professional development, the annual gathering is not all about work.

This year’s conference was capped by the annual MTA Queensland Christmas dinner, held at The Landing at Dockside resort in Brisbane. A chance for everyone to relax after a challenging and rewarding year, the evening’s highlight was the presentation of the Trainer of the Year Award, won this year by Keith Minchin, a Light Vehicle mechanical trainer for the Brisbane metro west region.

Involved in the automotive industry since 1976, Keith began his career as a mechanic working in general automotive and light truck repairs before doing stints with Mitsubishi, Ferrari and Maserati in various technical roles. In 2012, he began working as a trainer with MTA Institute and his high level of professionalism, and the high regard in which he is held by his students and their employers, make him a worthy winner of the 2016 Trainer of the Year Award.

“I was very surprised and proud to receive the MTAQ Trainer of the Year award,” said Keith. “We have many talented trainers in our ranks and to be selected was a real honour.

“In my career, I have always enjoyed participating in and delivering technical training and it is very satisfying to see students’ progress in their technical competency. It builds confidence and opens a range of career opportunities the student may not have even considered at the start of their apprenticeship.

“I strongly believe that skill and knowledge empowers people in many ways and I always encourage students to go beyond what they have to do.

"The important thing in any

APPRENTICE OF THE MONTH - JANUARY

M E M B E R S

E S S E N T I A L S

Professional Circle training

As well as the announcement of Keith Minchin as the recipient of the Trainer of the Year award, other MTA Queensland staff were recognised for their efforts during 2016. Iesha Iselin (left) received the Above and Beyond Award for taking on responsibilities beyond the scope of her duties, while Kerry Cook (right) received the Dedication Award which recognises an employee whose daily efforts exemplify hard work, dedication, and a positive contribution to MTA Queensland.

career is to do what you are interested in, and then do it to the best of your ability. An apprenticeship is just the beginning, we never stop learning and technology never stops evolving.”

Keith said that the training model used by MTA Institute enabled him to deliver a winning combination of training that was not only targeted to the individual but allowed plenty of input from employers and supervisors, and enabled him to include new and developing technologies.

“Working for MTA Institute has given me the opportunity to pass on the vast amount of experience I have gained working in the industry for over 30 years,” he said. “The great advantage of the one-on-one delivery model is that we can tailor the training to appeal to the students’ style of learning and workplace requirements without the distraction of a large group while also allowing for the employer to easily provide feedback or discuss any concerns which arise.

22 | Motor Trader February 2017

“There has been a huge amount of technical evolution in the industry over the past 30 years and it continues to evolve at a rapid pace. I have a particular interest in electronics which I pursue in my spare time and I find myself constantly looking at ways to demonstrate and explain current technology of modern vehicles.

I believe we have very exciting times ahead in the automotive sector.”

“Keith is extremely professional and we receive continual positive feedback from his students and their employers,” said Dr Brett Dale, MTA Queensland CEO. “He is a very positive contributor to the business and his productivity and quality outcomes are demonstrated over and over again.

“Nothing is too hard for Keith. He has a true ‘can-do’ attitude and this award recognises his outstanding ability to engage and work positively with co-workers, students, employers and all the stakeholders with whom he engages.”

MICHAEL HUMPHRIES IS the MTA Queensland Apprentice of the Month for January.

The 24-year-old, third-year light vehicle apprentice has been working at Townsville Michael Humphries Offroad Centre for four years under the guidance of his brother and business owner Roger Humphries, and his MTA Institute trainer Guy Mckenzie.

Impressing with his dedication to the job, Guy said Michael’s skills are second to none.

“Michael works very hard and he is brilliant on the tools - better than many tradesmen I have met,” said Guy. “I wish I had him as a mechanic when I had my own business for 12 years.”

Proof of Michael’s ability lies in the work he is accomplishing. He has just completed a complete engine and transmission conversion on a Nissan Navara – converting it from a diesel to a supercharged LS3 V8 - and that work included firewall modifications, fabrication of all engine and gearbox and cab mounts as well as suspension modifications and the exhaust system. He is now working on a 6-wheel conversion for another customer.

Michael said that working in the trade, and particularly on 4WDs, was always on the cards and there was plenty about the work that he enjoyed.

“I always liked 4WDs. I used to go four-wheel driving with my family a lot so I’ve been around them all my life.

“The Navara was probably the biggest job I have ever done and that turned out pretty well,” he added. “And I enjoy the fabrication work – that is sort of my area in the workshop.”

It’s not the only area though. While still at school on the Sunshine Coast, Michael took on a spray-painting apprenticeship and he still gets to practice those skills he learnt.

“I do still get to use those skills – on intercoolers and bonnet scoops and so on – so I do get to keep my hand in every now and again.”

When Michael finishes his light vehicle apprenticeship he will be a dual-qualified tradesman – a solid grounding for anyone wanting to take on ownership responsibilities in the industry.

And Michael looks set to do just that. Already taking over the running of the shop when his brother is away, Michael is set to take over for good in the next couple of years.

“My brother is moving up to the Tablelands in the next couple of years and, at that point, I will take over the business,” said Michael. “That’s the plan.”

M E M B E R S E S S E N T I A L S

WHY AUTOMOTIVE EMPLOYERS SHOULD BE HIRING NOW! T HE NEW YEAR is often a time for businesses to reevaluate their succession plan and, for automotive services, an opportunity to bring on an apprentice or trainee.

Investing in training through apprenticeships or traineeships is a steelfast way for improving a business. Apprentices contribute to an industry’s bottom line, providing real support and, often, financial benefits. With traineeships from 12 months and apprenticeship generally extending over a four-year period, automotive employers are rich with choice appropriate to their needs.

Often viewed as an integral component of a business’s strategy as well as providing vital support in the workplace, there are numerous ways an apprentice or trainee can strengthen a workplace. Employers often report on productivity levels improving and positive changes taking

“EMPLOYERS

OFTEN REPORT ON PRODUCTIVITY LEVELS IMPROVING AND POSITIVE CHANGES TAKING PLACE AFTER TAKING ON AN APPRENTICE OR TRAINEE.” place after taking on an apprentice or trainee. Hiring apprentices and trainees is also vital to the growth of communities and plays an important

role in motivating school leavers and young adults in working hard and achieving goals.

Alongside the schoolbased apprenticeship sector, apprentices and trainees can be classed as an adult apprentice or mature-aged apprentice (aged 45 and over). Within these three important classifications, the sector is also split into new worker, existing worker, long-term unemployed worker and more; and each group carries substantial financial incentives to the employer for the hire of both apprentices and trainees.

These financial benefits, which are an Australian Government initiative, are distributed throughout the duration of an automotive students learning period and further financial support is permitted for rural and regional locations, nominated equity groups and more.

For more information contact MTA Queensland or go to mtaq.com.au.

February 2017 Motor Trader | 23

E S S E N T I A L S M E M B E R S

Member matters

AFTERMARKET EXPO TO HIGHLIGHT LATEST TECH AND INDUSTRY TRENDS T HE AUSTRALIAN AUTO Aftermarket Expo is the nation’s most comprehensive exhibition of vehicle repair and servicing equipment, replacement parts, tools and accessories. Hosted every two years by the Australian Automotive Aftermarket Association (AAAA), the Expo will be held in Melbourne from April 6-8. More than 350 top Australian and international brands will be on display while industry experts will be on hand to update business on the latest technologies available and the new trends in workshop management via a range of educational seminars.

Industry excellence will also be recognised through the 2017 New Product Excellence Awards and the 2017 Australian Auto Aftermarket Awards, which acknowledge organisations and individuals who set the benchmark for industry performance.

Held in tandem with the Collision Repair Expo at the Melbourne Convention and Exhibition Centre, entry is free and visitors will be able to check out a combined total of about 400 exhibits over nearly five acres of display space.

AAAA Executive Director Stuart Charity said the Expo has become the major meeting place for key industry players in the Asia Pacific region.

“The top industry brands will be at the Expo. All sectors will feature, such as global parts and lubricant companies, consumable and business systems suppliers, and tool and equipment manufacturers,” said Mr Charity. “The range and scope of the tools, equipment and consumables displayed at Expo is difficult to appreciate if you have not visited a previous show.

“The Expo will also provide

24 | Motor Trader February 2017

Major sponsor for the Australian Auto Aftermarket Expo is Tenneco brand Monroe and at the 2015 event, they used their impressive stand as a video studio to conduct interviews with industry members

suppliers with a rare opportunity to identify new product lines and meet face to face with hundreds of Stuart Charity, AAAA Executive Director customers in a single location.

You can achieve over three days the business objectives that would otherwise take months.

“The benefits for workshop owners and managers are equally great. At the Expo, you will see and experience the latest technologies available – products and service systems – to help you deliver best practice customer outcomes and to make your business more profitable.

“In addition to the huge range of products, the Expo offers visitors outstanding education and information opportunities through

the comprehensive and free two-day Seminar Program, plus a range of networking functions to meet colleagues and exchange ideas.”

The MTA Queensland will be one of many high-profile organisations attending the Expo.

“The Expo highlights the trends and direction of our industry,” said Anthony Bonaccorso, MTA Queensland Business Development Manager. “The MTA Queensland is the peak industry body in the state and as an Association that also delivers innovative and leading-edge training solutions to the industry it is important we are a part of an event that allows us to both assess progress from other industry leaders and highlight our own cutting-edge developments.”

The Australian Auto Aftermarket Expo is to be held at the Melbourne Convention and Exhibition Centre from 6-8 April. Go to aftermarketexpo.com.au for more information.

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E S S E N T I A L S M E M B E R S

Member matters

INNOVATION AND PLANNING THE KEY TO ASR COLLISION SUCCESS

A

SR COLLISION, A paint and panel repair business in Cairns, was the winner of the 2016 MTA Queensland Innovation Award.

Winning the award is just reward for the 28-strong ASR team, who worked tremendously hard to build and implement new facilities and systems that have not only enabled the business to vastly improve productivity but also helped prepare the company for the evolution which the industry is going through.

Winning the award is an accolade that the company is justifiably thrilled to have received.

“It has been a busy year and we are very proud to have won the Innovation Award,” said Corey Croft, Administrative Manager. “We have done a lot of work and to see a business in far North Queensland win is great.”

ASR Collision made the investments with an eye set firmly on the future direction of the industry. Founded in 1978 by owner Garry Gilholm, the business now has three facilities across two sites in Cairns and its latest shop – an aluminium repair shop that opened at the beginning of last year – enabled the company to become a Jaguar Land Rover (JLR) approved repairer and is home to the newest arm of the

26 | Motor Trader February 2017

business, ASR Prestige.

“We started building that facility in October 2015 and it opened in April 2016,” said Corey. “It was a necessary part of becoming a JLR factory approved repairer, and a by-product of investing in that facility has been a 40 per cent increase in productivity without an increase in staff numbers.

For example, just having more floor space and allowing direct access to our paint shop has increased productivity.

“We have also invested in new mechanical equipment, such as a four-post wheel alignment machine, that allows us to keep more work in-house. In the past, to do a wheel alignment, it used to take a couple of guys ten minutes to drive a customer’s vehicle to the wheel alignment shop and another ten to pick it up when it was ready. Installing the wheel alignment equipment meant saving that forty minutes of lost productivity straight away. It might be a big investment but it will pay for itself soon and these are the sorts of things we need to do to stay ahead.”

Staying ahead of the game and preparing for the changes that will inevitably influence the industry is part of the ASR philosophy.

“One of Garry’s favourite sayings

is ‘Don’t rest on your laurels’, and he sees investments such as the ones we have made as a necessary part of being a provider for insurance companies in the future,” said Corey.

“Those who do invest are the ones who will be doing the work in the future. And that investment is not just about equipment either, of course.

For JLR, for example, we flew our guys to Sydney many times for training.

That’s a large investment too, but if we don’t make them we will get left behind.”

The investments by ASR are already beginning to pay off. Productivity improvements have been followed by new insurance company customers and an increase in business that has seen the company employ two more painters and panel beaters.

But the work won’t stop here.

After nearly forty years of business, the team at ASR knows the importance of keeping abreast of the ever-changing nature of the industry.

“Technology is changing at a faster rate and no doubt they will find new ways to manufacture and power cars,” said Corey. “It is part of our philosophy to keep an eye on changes and developments in the industry and we will continue to invest and adapt to those changes.”

What has been your proudest business achievement to date?

It has always been a great feeling seeing customers who have been returning for over 20 years.

What is the best thing about working in your industry?

The technology is awesome – cars have evolved so much.

What is the best piece of business advice you have ever given or been given?

Formula Automotive Location: Woolloongabba Type of business: Mechanical and Auto Electrical workshop Number of employees: 4 Trading since: 1990 MTAQ member since: 2015

You’ve got to work hard before you can work smart.

How did you hear about the Motor Trades Association of Queensland? (MTAQ) A representative came to the workshop.

What would you say to someone thinking about joining MTAQ? Not only does membership give your customers peace of mind but MTAQ has a wealth of easily-accessible resources.

How has being an MTAQ member benefited your business?

information and it also enhances the professionalism of the business.

What has been your proudest business achievement to date?

Growth into our current premises and employing extra staff.

What is the best thing about working in your industry?

The variety of work that is available.

What is the best piece of business advice you have ever given or been given?

Treat people honestly.

What would you say to someone thinking about joining MTAQ?

First Response Mechanical Location: Caboolture Type of business: Mechanical workshop Number of employees: 2

It is good value for money and allows you to access lots of helpful advice.

How did you hear about the Motor Trades Association of Queensland? (MTAQ) From various industry sources.

Trading since: 2014

How has being an MTAQ member benefited your business?

MTAQ member since: 2016

Allows us to have up-to-date

February 2017 Motor Trader | 27

E S S E N T I A L S

I think that knowing we are a member of a nationally-recognised motoring group gives our customers a sense of security and trust.

M E M B E R S

Member profiles

E S S E N T I A L S M E M B E R S

Industrial relations

PUBLIC HOLIDAYS W ITH A SLEW of public holidays just over the horizon, members should be mindful of the requirements of the modern awards and the Fair Work Act. All employees who would normally work on a given day, are paid when a public holiday falls on that day. Part timers, for example, won’t be paid if the public holiday is a day they wouldn’t normally work. Casuals who aren’t rostered to work a public holiday aren’t paid for that day.

Casuals who are rostered to work receive a loading of 175% instead of the usual 25%. Permanent employees are paid at double time and a half if they work a public holiday and a minimum of four hours must be paid.

Rather than pay loadings though, if your employees agree, either individually or by a majority, you can decide on a substitute day instead of that public holiday. This arrangement

PAUL MURRAY INDUSTRIAL RELATIONS OFFICER

can be useful if for example your business is located where a local holiday, such as a show holiday, is on a different day from the local holiday where most of your employees live.

Recent legislative changes coming into effect this year mean that Easter Sunday will now be a public holiday.

That means the whole long weekend from Good Friday (14th April) through to Easter Monday (17th April) will be composed of public holidays.

Although the Government is currently considering changes to the laws, which could include simplifying provisions for trading hours across the State, rules for who can and cannot trade on given public holidays are still quite complex. Keep an eye out for our Member Bulletin setting out the gazetted holidays this year and any alerts as to changes introduced by the government. As always, if you have any further questions, call or email us.

MTA QUEENSLAND WELCOMES THE FOLLOWING NEW MEMBERS Business Name

Principal/s

Address

Email

Division

Absolute Car Care B & D Inspections & Mechanical Bailey’s Brake & Clutch Ipswich Bajair Transport Refrigeration Specialists Bay Auto Marine Electrical Butt’s Smash Repairs CJD Mechanical Repairs Cruising Mechanical Dier Automotive Exadent Precision Dent Removal Goodyear Auto Care Acacia Ridge GPD Automotive Hi Tech Mechanical IQ Mechanical Metropolitan Autogas Midas Car Care Enoggera Midas Kippa-Ring Northside Smash Repairs Brendale Rudd’s Towing Sims Auto Electrics Skinnys Ultimate Garage Steve’s Workshop Styling Automotive The Torque Team Tyreright Oakey Total Car Care – Slacks Creek Wheatley’s Auto Electrical

Michael Georgas Brad Mitchelll Michael Bailey Brett Johnson Peter Mueller Wendy Stephenson Paul Stephens Jack Sinclair Ross Reid Richard Van Der Reyden John Suffolk Dudley Leighton Aaron Nowlan Ian Milnes Tanith Tritton Shaun Orr Travis Leine Steve Davies Kelly Hamilton Simon Ryan Emmanuel Halicos Steven Lindenmayer David Styling Paul Milevskiy Natasha Renyard Ludwig Pleml Leon Wheatley

113 Norman Street, EAST BRISBANE Q 4169 20 Spanns Road, BEENELIGH Q 4207 16 Mining Street, BUNDAMBA Q 4304 19 Abercrombie Street, ROCKLEA Q 4106 Unit 1, No 2 Jetty Road, URANGAN Q 4655 Unit 2, 16 Mill Street, GOODNA Q 4300 6/74 Millaroo Drive, HELENSVALE Q 4212 78 Mort Street, TOOWOOMBA Q 4350 1/8 Gladstone Street, MOOROOKA Q 4105 15 Hamberton Crescent, MURRUMBA DOWNS Q 4503 423 Bradman Street, ACACIA RIDGE Q 4110 39 Toombul Road, NORTHGATE Q 4013 49 Station Avenue, DARRA Q 4076 2-8 Tradelink Road, HILLCREST Q 4118 Unit 1/80 Lever Street, ALBION Q 4010 38 Pickering Street, ENOGGERA Q 4051 1/196 Anzac Avenue, KIPPA-RING Q 4021 29 Kremzow Street, BRENDALE Q 4500 107 Lower King Street, CABOOLTURE Q 4510 3/11 Mount Joy Street, WOOLLOONGABBA Q 4102 28 Horan Street, WEST END Q 4101 78 Mort Street, TOOWOOMBA Q 4350 167-49 Station Road, YEERONGPILLY Q 4105 81 Secam Street, MANSFIELD Q 4122 2 John Street, OAKEY Q 4401 5 Herbert Street, SLACKS CREEK Q 4127 Unit 4/7 Locharney Street, BEENLEIGH Q 4207

absolutecarcare@ozemail.com.au Bradford_2007@hotmail.com sales@baileys.net.au bajair@optusnet.com.au info@bame.com.au buttssmashrepairs@gmail.com repairs@cjdmechanical.com.au cruisingmechanical@bigpond.com Ross.reid@dierauto.com.au richard@exadent.com John.suffolk@bigpond.com northgate@futureauto.com.au admin@darrahitech.com.au info@iqmechanical.com.au info@metropolitanautogas.com.au enoggera@midas.com.au sales@kipparing.midas.com.au info@nsrsbrendale.com.au kelly@ruddsradiators.com.au simsautoelec@hotmail.com info@skinnysultimategarage.com.au Stevesworkshop1@optusnet.com.au david@stylingautomotive.com.au paul@thetorqueteam.com dttyres@gmail.com Totalcarcare91@gmail.com Wheatleys_auto@hotmail.com

AED AED TUDQ NACA AED NACA AED AED AED NACA AED AED AED AED AED AED AED NACA NACA AED AED AED NACA AED TUDQ AED AED

28 | Motor Trader February 2017

Investment matters

MARKET WRAP

D

EVELOPED EQUITY MARKETS had a strong month despite the US Federal Reserve raising interest rates for the second time in 10 years. This was driven by a continuation of optimism associated with better economic data and policies proposed by the incoming Trump administration.

The S&P/ASX 200 Accumulation Index closed up 4% for the month, having had its best quarter this year and the best yearly run since 2013.

Utilities, Property Trusts and Energy were the strongest sectors while the weakest was Healthcare and Telecommunication Services although they still posted positive gains.

While there remains a risk of market excitement in the short-term, in our view the trends that have been in play since Trump’s victory in November are likely to extend into 2017. Global bond yields are likely to continue to rise, the US$ is likely to strengthen and commodity prices are likely to remain above 2016 lows.

Global bond yields have increased ~1 percentage point over a short period and may be due for some consolidation, however yields remain

“WHILE THERE REMAINS A RISK OF MARKET EXCITEMENT IN THE SHORT-TERM, IN OUR VIEW THE TRENDS THAT HAVE BEEN IN PLAY SINCE TRUMP’S VICTORY IN NOVEMBER ARE LIKELY TO EXTEND INTO 2017.” very low in a longer run context. A combination of a stronger demand environment (on the back of China’s credit stimulus) and supply restrictions (resulting from policy actions) has led to commodity price upgrades across the market.

Against the backdrop of improving global conditions (economic data has remained strong and at levels consistent with ~3% global GDP), firmer commodity markets, a stronger US$ and more protectionist US trade policies, Australia looks well positioned. For the first time since 2009, the ASX 200 appears to be going

through an earnings upgrade cycle – although this is primarily driven by the improved outlook for commodity prices.

In light of the points above, we believe there is still some valuation buffer in the equity market as bond yields push higher. The ‘Goldilocks’ scenario of a modest uptrend in bond yields and modest economic growth would be supportive for stocks, however volatility remains a key risk for the market.

DISCLAIMER This document has been prepared by DNR Capital Pty Ltd, AFS Representative - 294844 of DNR AFSL Pty Ltd ABN 39 118 946 400, AFSL 301658. It is general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Whilst DNR Capital 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. The general information in this document has been prepared without reference to any recipients objectives, financial situation or needs. Before making any financial investment decisions we recommend recipients obtain legal and taxation advice appropriate to their particular needs.

Investment in a DNR Capital managed account can only be made on completion of all the required documentation.

February 2017 Motor Trader | 29

Concept corner

Volkswagen I.D. BUZZ

VW MICROBUS CREATES BUZZ IN DETROIT

V

OLKSWAGEN REVEALED THE I.D. BUZZ concept at January’s North American International Auto Show in Detroit.

The all-electric Microbus comes with all-wheel drive, electric motors at the front and rear axles, a fully-autonomous driving mode (called ‘I.D. Pilot’) and a new generation of display elements and controls.

A smart-looking vehicle from the outside, the funky business is all on the inside and under the skin. There’s a head-up display; rearview mirrors are replaced by cameras and monitors; a ‘User-ID’ system stores an individual’s profile and info such as their personal seat and air conditioning settings, favourite radio stations, sound system settings, configuration of the navigation system, type of ambient lighting and contact information for friends and 30 | Motor Trader February 2017

business associates.

The interior seating set-up can be changed around too. The front seats can be electrically unlatched and rotated so they face the rear, the seatbacks of the individual second row seats can be folded to form tables

and the third row can be made into a bed. Nice.

VW claims the zero-emissions allwheel drive system has a total output of 369hp and a range of 600km. One electric motor at the front axle and one at the rear each deliver a power output

of 201hp, distributed between the two axles by an ‘electric propshaft’. The I.D. BUZZ shown in Detroit can accelerate from 0 to 60 mph in about 5 seconds, with a governed top speed of 99 mph.

VW says the vehicle’s 111 kWh battery can be charged to 80 percent of its capacity within 30 minutes using the Combined Charging System (CCS) or an inductive charging interface. As an alternative, the battery can be charged from any conventional household outlet and at charging stations.

While the BUZZ is still only a concept, VW’s move to embrace electric mobility over the next few years could see it make it to production.

That means we might not be too far from seeing an updated, all-electric VW Kombi on our roads . . . surfers and hippies of the world rejoice!

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• Contractual advice including compliance with consumer laws;

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Our expertise has proven a vital resource for MTAQ, its members and the automotive industry.

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Our initial legal advice is free and easily accessed – the advantage for Members is it provides immediate and direct access to senior lawyers who can give the right advice at the right time – avoiding potential problems. Simply ask MTAQ for a referral to Bennett & Philp Lawyers.

Automotive Dealers and Industry Suppliers Dealers and suppliers need to know their legal advisors can expertly guide them through the sale and purchase of dealerships and related businesses throughout Australia. It’s also important for dealers and suppliers to know their lawyers are experts in pursuing litigation for unpaid debts and other matters, and also counselling clients in areas such as alternate dispute resolution processes.

As industry specialists we are ideally positioned to assist dealers and suppliers with operational issues such as commercial leasing, supply agreements, employment issues and franchise and consumer law. We have expert advice available to assist with dealership and business acquisitions and sales, financing, negotiations with lenders to the automotive industry, and business succession and restructuring issues.

We take pride in knowing our team focus their considerable knowledge and experience to deliver specialist, value-added and cost-effective legal services to the automotive industry. Take advantage of our expertise today.

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Industry insight

YOUR NET INCOME SHOULD EXCEED YOUR GROSS HABITS! … or why keep your cashflow separate from the business When asked the key to financial happiness one business owner said – ‘Your net income should exceed your gross habits!’

Jokes aside, business owners should keep their own finances separate from those of the business, in order to manage both sustainably and for the survival of the business.

Separating your personal finances from those of the business can have a very positive impact on the cash position of both parties.

Some SME/SMB owners run their business bank account as if it was an ‘open tin’ for themselves and their families. If carefully managed and monitored this may not be a problem.

The problem is we have rarely seen a situation where it is monitored at all and therefore is mostly a problem!

If the situation isn’t managed well it’s difficult to know how much of the funds are available and required by the business as well as the business owner. If the business bank balance suddenly goes up it can be very tempting to pay yourself a bonus because you think you deserve it.

The real question is – can you afford it? Some will get carried away the minute a big sale is made and using the income to fund personal luxuries. Later they regret spending the business’ working capital when finances get tight.

This is usually the point at which they need to head to the bank for an overdraft and find they have to encumber the family home to secure funding. In effect, the overdraft is 32 | Motor Trader February 2017

required to support their personal spending habits.

Drawings accounts are often used as a way for business owners to funnel personal spending through the business, then tally it up at the end of an accounting period and pay the relevant tax.

Again, this is fine if you have some kind of control on the situation.

A problem occurs when there is no limit on spending or income drops.

This situation is often made worse when family members have credit cards on the business account.

I have personally seen some horrendous credit card bills from family of business owners, that the business just cannot sustain. Would a business owner allow their employees to take a wage/salary that reflected their spending ability rather than their earning capacity – I think not.

Taking a wage/salary over drawings means personal spending must be disciplined. Employees have to do it, so why not business owners?

Another drawback with running Drawings accounts is that you effectively have to enter every item of personal spending in your accounting system, which can be quite time consuming and not very beneficial.

The best way to manage a business is to treat it as a separate entity from yourself as the business owner. The business must be able to survive on it’s own merits. If a business owner is constantly dipping into the business’ funds uncontrollably, it doesn’t stand a chance of surviving.

The finances of each entity need to be managed separately.

This begins in both circumstances with a budget. The business needs a budget so that it knows if it will make a profit and be able to meet cash obligations. The business owner needs a budget so that they know if they can meet their own living costs and obligations.

I have been in business for twenty plus years and from the very start I paid myself a wage and never pay personal expenses from the business. I am happy I took this decision, as it has made things so simple. I never have to worry about a big tax bill at the end of the year, because it’s been paid throughout the year.

I never have to wonder how much of the money in the business bank account belongs to the business and how much belongs to me.

Another benefit of paying yourself a salary is that you will become disciplined to pay pension contributions in just the same way that you pay them for staff – on a regular basis.

For more information, go to businessnumbersmadeeasy.com

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February 2017 Motor Trader | 33

Craig Lowndes, TeamVortex

The # 1 choice of TeamVortex and 40,000 other businesses Make it Yours

08/16

1300 362 415 mtaasuper.com.au

This document is issued by Motor Trades Association of Australia Superannuation Fund Pty. 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 Limited. 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 information you need to make a decision about MTAA Super, can be obtained by calling MTAA Super on 1300 362 415 or visiting mtaasuper.com.au/handbooks. You should consider the PDS in making a decision.