Motor Trader April 2015 by MTAQ IT

APR 2015

OFFICIAL PUBLICATION OF THE MOTOR TRADES ASSOCIATION OF QUEENSLAND

MEMBERS CLASSIC: 1979 BUICK LE SABRE

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IN S T IT U T E O F T E C H N O L O G Y

Contents Official Publication of the Motor Trades Association of Queensland

HEAD OFFICE Building 8, 2728 Logan Road, Eight Mile Plains, Qld 4113 P.O. Box 4530, Eight Mile Plains, Qld 4113 Tel: 07 3237 8777 Fax: 07 3844 4488 Toll Free: 1800 177 951 Email: publications@mtaq.com.au Website: www.mtaq.com.au EDITOR Jonathan Nash ART DIRECTOR Marco Ilinic INDUSTRIAL RELATIONS Ted Kowalski Michelle Chadburn POLICY Kellie Dewar, General Manager MTA Queensland ADVERTISING ENQUIRIES Barry Browne 03 9807 9154 Email: barry@barrybrownemedia.com.au Emily Metelmann 07 3237 8784 Email: emilys@mtaq.com.au

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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 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.

MTA QUEENSLAND ABN: 74 028 933 848

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02 From the editor 04 Policy/Viewpoint 06 Divisional news 08 MTA Q&A ATHERTON SMASH REPAIR SPECIALIST: STEVE AND KAREN WEST Feature 10 ANZACS: WWI AND THE MOTORISED ARMY 15 News THE COST OF MANUAL HANDLING INJURIES IN TYRE RETAILING 16 Members Classic ALL-AMERICAN CRUISER: 1979 BUICK LE SABRE

30 MEMBERS ESSENTIALS 19 24 26 28

Training matters Member matters Member profiles Industrial relations

29 Investment matters MARKET WRAP 30 The hit list THE BEST-LOOKING CARS EVER MADE 32 Industry insight HOW MORE SALES CAN CAUSE CASH-FLOW PROBLEMS April 2015 Motor Trader | 1

From the editor

ELLO AND WELCOME to the April edition of Motor Trader. ANZAC Day 2015 marks the 100th anniversay of the ill-fated landings at Gallipoli of the Australian and New Zealand Army Corps (ANZAC). More than 8000 Australians died over the eight months of the campaign and the word 'Gallipoli' has now come to symbolise not just the terrible events of those few months on the dry and dusty peninsular, but also marks the time and place that Australia as a nation began to recognise its unique and distinctive character. Whatever the truth about the incompetence and callous indifference of British commanders, what is undeniable is that Gallipoli saw the rise of the concepts of mateship, courage and ingenuity that would become known as the 'ANZAC spirit'. WWI not only had an extraordinary effect on Australia. The war saw the end of empires and the emergence of new nations and also set the tone for all future military engagements. For WWI was the first war in which the motorisation of armed forces truly impacted on the outcome. When the war began trucks, lorries, cars and motorbikes were not an unusual sight on civilian roads, but in war the horse was still favoured on the battlefield - either for moving artillery and other materiel or in the cavalry charge. By 1918 though, when WWI mercifully came to an end, the age of the motorised, and armoured, vehicle had arrived. In our main feature this month, Motor Trader takes a look at the vehicles and developments that changed the face of war. In our MTA Q&A feature this month we talk to Steve and Karen West from Atherton Smash Repair Specialist. The couple have built a large and modern facility in the north Queensland town one that has set the bar high for repair

JONATHAN NASH EDITOR

businesses in the region. In our Members Classic feature, we talk to John Dooley from Wheelz and Wheelz dealership in Townsville about his 1979 Buick LeSabre. Thanks to John's unique modifications, the Buick is an instantly recognisable symbol of his business. You can take a look at the Buick on page 16. Also in this edition we catch up with some of our members who lived through last month's ferocious Cyclone Marcia. The cyclone reached Category 5 at one point during its cycle and caused millions of dollars worth of damage through the Rockhampton region. A more terrifying event to be caught up in can scarcely be imagined. Read more about the cyclone on page 24. Also in this edition we continue our 'Hit list' feature. This month we look at the 'Best-Looking Cars Ever Made'. There are some stunning machines on the list - but maybe there are some you think are missing? Let us know . . . we'd love to have a conversation about it. Go to page 30 to see what MT's choices are. As always, we will endeavour to bring you news of the industry, information on the latest training opportunities and highlight members' interests with our regular features. And if you have a story, want to appear in Member Profiles, or have a classic vehicle you would like to see featured, then please don't hesitate to contact me. Cheers,

Jonathan Nash jonathann@mtaq.com.au

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Policy/Viewpoint

KELLIE DEWAR GENERAL MANAGER MTA QUEENSLAND

HE PRIORITY POLICY issue for Members is industrial relations. In other words, the matters that relate to their workplace relations that derive from the Fair Work Act 2009. From the media stories and advices in previous Viewpoints, members would be aware that the Productivity Commission is examining the performance of the workplace relations framework and will identify improvements to it. In October 2014, President David Fraser and I attended a Queensland Chamber of Industry & Commerce Roundtable (CCIQ) to discuss workplace relations policy issues of mutual interests. We provided a working document identifying MTA Queensland’s issues and priorities. Attending this event were representatives from the CCIQ and other employer associations including the MTA Queensland, Clubs Queensland, the Franchise Council of Australia, the Queensland Hotels Association, and the Queensland Tourism Industry Council. The CCIQ indicated that collaboratively it would prepare a draft submission on behalf of employer associations. To this end, the organisations (including the MTA Queensland) surveyed over 1,000 Queensland businesses and held consultative forums to assess the impact of Fair Work laws on their businesses. The results of this survey and forums provided a comprehensive 4 | Motor Trader April 2015

reflection of Queensland business views on the Fair Work laws and underpin the submission’s recommendations. The Workplace Relations Survey identified that the top five workplace relations issues for Queensland businesses were: unfair dismissal legislation; complexity of the industrial relations system; penalty rates and public holiday entitlements; wage levels and increases; and restrictions on individual agreements ( flexibility). We were provided with an early draft for our assessment. Our Industrial Relations team of Ted Kowalski and Michelle Chadburn reviewed it as did I. We agreed it was an excellent submission reinforcing the need for reform to achieve greater balance in the Fair Work regime that is premised on the needs of small business. The submission is on our website and I encourage Members to take the time to overview it.

SMALL BUSINESS UNFAIR CONTRACT TERMS Another long term and significant policy goal for Members has been achieved. That is the unfair contract protections currently available to consumers are to be extended to cover the small business sector and made law. This was an election commitment by the Coalition parties. The Minister for Small Business the Hon Bruce Billson MP has written to state and territory consumer affairs ministers asking them to agree to the changes. We commenced this policy initiative in 2008 in our submission to the processes involved in the Australian Consumer Law reforms. We maintained the focus on unfair contract protections for small business at each opportunity afforded including in our policy priorities to the major political parties for consideration for their 2013 election platforms. It has been our long held belief that the extended protections will give small businesses greater certainty over their contracts. The new small business protections

will allow the courts to declare void a term within a contract that is unfair. For example, a term that allows a big business to unilaterally change the price or key terms during the course of the contract could be considered unfair. Businesses that offer low value standard form contracts will have to comply with the new law. The Australian Government has provided $1.4 million to the Australian Competition and Consumer Commission (ACCC) to ensure businesses comply with the new rules.

ACCC & AUSTRALIAN CONSUMER LAW PROTECTIONS Having mentioned the ACCC, I’m reminded that it has indicated its priories for 2015. Over the next 12 months it will be working with state fair trading agencies and consumer groups to protect and educate consumers. The focus will be on issues affecting indigenous and older consumers and consumers who are newly arrived in Australia.

MEETING WITH THE OFFICE OF FAIR TRADING (OFT) Earlier this month, Divisional Executive Ian Cole and I met with the Office of Fair Trading (OFT) for the first time since the state election. We had a comprehensive agenda including compliance activity relating to the new Motor Dealers & Chattel Auctioneers Act (MD&CA) 2014 & the associated regulations; the provision of feedback on the MD&CA regulated forms and their implementation; contract requirements and education as part of obtaining a dealers licence and compliance place versus build date for motor cycles. We sought an update on the national standard for Fuel Price Boards. As indicted in the March Viewpoint, New South Wales and South Australia have legislated standards for fuel price boards. The OFT is exploring various options having the view that the New South Wales standards are complex.

DOB IN A BACKYARDER For the past 10 months we have been working with the OFT with what they refer to as Operation Round Up. This seeks to limit the operations of unlicensed motor dealers preying on unsuspecting consumers. Intelligence from our members, auction houses and online sales of vehicles is used to identify sellers passing themselves off as private buyers when in reality they were operating a motor dealing business while unlicensed. In all there have been some 200 actions. Four of these matters were prosecuted in court; 67 infringement notices totaling $34,000 in fines were issued to 20 unlicensed dealers and 48 official warnings were handed out. This is not the end of the operation. I encourage Members to be alert to unlicensed dealers who give the used car industry a bad reputation and “dob them in” via our website. We will alert OFT to it.

INDUSTRY ENVIRONMENTAL GUIDE FOR MOTOR VEHICLE SMASH REPAIR The Brisbane City Council (BCC) has released a consultation draft for the Industry Environmental Guide for Motor Vehicle Smash Repair. It is an environmental guide - not a statutory document and is not law. Its purpose is to provide advice to assist the motor vehicle smash repair industry in Brisbane to meet requirements of the Brisbane City Plan 2014 when building, upgrading, extending or altering a motor vehicle smash repair workshop and meet the requirements of the Environmental Protection Act 1994 administered by the BCC, when operating a smash repair workshop. I draw this document to the attention of our Members in the Auto Collision Alliance Division for their consideration. It is on our website and may be downloaded from the BCC website.

NEW ROAD RULES FOR MOTORCYCLE RIDERS Our Motorcycle Industry Division Members have ongoing concerns with the new February 1, 2015 road rules for motorcycle riders. These relate, in the main, to lane filtering and motorcycle helmets. The intention is to raise these matters with Department of Transport

(DOT) at our first meeting for this year and following the state election. Under the new lane filtering rules, riders with an open license (including RE and R open licence holders) are allowed to move between stationary or slow moving vehicles travelling in the same direction as the rider, provided they are not travelling at more than 30km/h and it is safe to do so. The purpose is to ease traffic congestion, allowing motorcycle riders to move quickly and safely away from congested traffic. The feedback is that motorists may not be aware of the new lane filtering rules for motorcycles and there have been some incidents and confusion. In our meeting with DOT we will seek an extended publicity or education program to better inform the motoring public of the new lane filtering rules. There is confusion relating to the motorcycle helmet that riders are required to wear following the changes. The range of motorcycle helmets approved for use in Queensland has been expanded to include those complying with the United Nations Economic Commission for Europe standard. The problem is that whilst the European standard helmet has compliance for use in Queensland, under the Australian Consumer Law, the helmets are restricted for sale in the other Australian state and territories as they do not comply with Australian standards. The helmets are unable to be purchased from a Queensland retailer due to non-compliance but a consumer may go on-line or travel overseas and purchase one but it would be an offence to wear such a helmet in states and territories excepting Queensland. This seems unwise when there is high interstate mobility. I will raise this issue with DOT and seek a review of the helmet change to resolve the confusion.

FEDERAL BUDGET The Coalition Government has announced the intention that as part of the 2015-16 Budget there will be a small business jobs package and may include a small business tax cut of 1.5 per cent. The latest advice, literally as I prepare Viewpoint, is that it will apply to all small business regardless of whether they pay company or income tax. There is an old idiom that one should never look a gift horse in the

mouth. Regardless, I have written the Queensland Member for Forde Bert van Manen supporting his initiative to have it replaced with accelerated depreciation as this would have greater benefit to small businesses. This is consistent with our recent submission to the Commonwealth Treasury for consideration in formulating the 2015-16 Budget. In our submission we sought the reinstatement of the loss carry back provisions and the threshold for the small business instant asset write-off to be increased to $6,500 from $1,000. Reinstating these tax concessions would give small business the chance to reinvest, create jobs, undertake capital investment and increase contract investment returns.

THE ECONOMY The Reserve Bank Board at its March meeting decided to hold the cash rate at the historic low of 2.25 per cent following the February decision to lower the cash rate by 25 basis points. This March decision was based on “allowing some time for the structure of interest rates and the economy to adjust to the earlier change.” The Board recognised “that further easing over the period ahead may be appropriate to foster sustainable growth in demand while maintaining inflation consistent with the target.” The Board next meets on 7th April - immediately after Easter. The Westpac Melbourne Institute Index of consumer sentiment in March fell by 1.2 per cent from February. The message from an analysis of the data seemed to be that consumers “remain very concerned about the outlook for the economy and job security” - although less concerned than they were in December, probably due to the more positive interest rates situation. The National Centre for Social and Economic Modelling (NCSEM) at the University of Canberra has turned up some findings that may surprise. The research shows that living standards are on the rise, driven mainly by the slow rise in the cost of living due to lower energy costs. The cost of living rose just 1.4 per cent last year, while household incomes rose by nearly twice as much, or 2.7 per cent. The NCSEM research indicated the latest increase in Australia’s standard of living adds to substantial gains over the past quarter century. April 2015 Motor Trader | 5

Policy/Viewpoint Australian households are some 59 per cent better off today than they were in 1988 after accounting for cost of living. All family groups, on average, are better off than in 1988, 1998 or 2008. In the next month’s Viewpoint, there will be a better understanding of business confidence as the various institutional and industry surveys will have been published. However, there are growing concerns that Canberra's political deadlock on the 2014 budget, which remains deeply in the red, are weighing on business sentiment and making companies reluctant to invest and hire.

NEW MOTOR VEHICLE SALES New car sales bounced positively in February 2015. The Australian Bureau of Statistics (ABS) seasonally adjusted data indicated there were 19,844 new motor vehicle sales - an increase of 888 units or 4.7 per cent. This is a positive result as February is a short trading month. The change on a year-to-date basis was also positive providing a rise of 4.8 percent. In trend terms, the result for February was encouraging

showing a 0.6 rise but subdued on a year-to-date basis, indicating a decrease of 1.7 per cent. Similar to the ABS, the respected VFacts data indicated that February new motor vehicles sales were strong with 18,212 unit sales, an increase of 845 of 4.9 per cent compared with February 2014. On a year-to-date basis, total new car sales numbered 34,782 up 755 or 2.2 per cent. Nationally, there was buoyancy and some exuberance in the market with the February new car market at a record. Australians purchased 90,424 new passenger cars, SUVs and commercial vehicles. Sales figures for February 2015 were 4.2 per cent higher than February 2014 figures. All states and territories excepting Western Australia experienced strong sales growth. VFacts analysis indicates that Australian consumers continued to move towards versatile vehicles such as SUVs and light commercial vehicles, with these vehicles accounting for around 53 per cent of the new car market in February 2015. Passenger vehicles made up around 45 per cent.

Business purchases declined 3 per cent in February 2015, while Government purchases remained steady with February 2014 figures.

VISITS Divisional Executive Andy O’Hearn and I visited Townsville for a general meeting to listen and speak with Members. It was a longanticipated visit as for one reason or another various attempts for the visit in 2014 did not eventuate. Overall, the Townsville visit gave us an insight to the issues of Members in that region and enabled us to overview and obtain feedback on the initiatives that we have put in place to enhance the interface between head office and Members.

EASTER GREETINGS This month’s Motor Trader coincides with Easter. To all Members, the staff of MTA Queensland joins with me in wishing each of you a happy Easter. Take care and stay safe.

Divisional news Ian Cole

ARD

The Motor Dealer and Chattel Auctioneers Act 2014 has been introduced effective from December 1, 2014. Unfortunately, in my contact with members it would appear that some have been using PAMDA paperwork and are unaware of the implementation date of the new act. It cannot be highlighted enough that any paperwork referencing the previous PAMDA act must not be used in any capacity. The stationery affected is as follows: • Dealer and Trust Account • Receipt Books • Used Vehicle Contracts • New Vehicle Contracts A3 with Trade • Vendor Statement to Motor Dealer Books 6 | Motor Trader April 2015

• A ppointment to Act on Consignment Books MTAQ has the new stationery available from the stationery department. Another of the main changes introduced on December 1 is that Statutory Warranty B has been removed and members need to ensure that they are complying with signage and advertising content if they are selling unwarranted vehicles under the new Act. Although Statutory Warranty B has been removed, ACL still applies to unwarranted vehicles. “No Statutory Warranty “ signs are available from the stationery department.

APRD

As noted in ARD news I would advise all APRD members to also make themselves aware of the Motor Dealers and Chattel Auctioneers Act 2014 as this may apply to you depending on activities within your business.

TUDQ

It was good to see excellent attendance at the last TUDQ committee meeting. The main subject covered was the disposal of scrap tyres. Could all members ensure that they are using a licensed operator and receiving the appropriate paperwork when it comes to disposal of scrap tyres.

ELECTIONS 2015

The following divisions have elections due this year: • Automotive Remarketing Division • Engine Reconditioners Association of Qld • Service Station and Convenience Store Association of Qld • Rental Vehicle Industry Division • Auto Parts Recyclers Division There are also elections for the following: • Far North Qld District Representative • Central District Representative Nominations open for all of the above 1/5/2015.

A special business offer for MTA Queensland members. To help keep your business moving, Commonwealth Bank has a special offer for MTA Queensland members. Just open a new Commonwealth Bank Business Transaction Account by 29/05/2015 and link it to your existing or new Commonwealth Bank merchant facility.

To take advantage of this offer, just contact MTA Queensland on 07 3237 8777 .

Important Information: Offer available to referrals made via MTA Queensland between 01/01/2015 and 29/05/2015. *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 (including settling your merchant facility to your linked Commonwealth Bank Business transaction account). Otherwise the offer may be withdrawn. #To maintain the fee waiver, you must retain the required products, otherwise the offer may be withdrawn. Offer includes the monthly account maintenance fee of currently $10 on the Business Transaction Account linked to the merchant facility. Please refer to terms and conditions. ^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. Interest rates and fees are subject to change. Full conditions of use will be included in our Letter of Offer. Applications for finance subject to the Bankâ&#x20AC;&#x2122;s normal lending criteria. 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.

MTA

QA &

Steve and Karen West

MT: What products and services does Atherton Smash Repair Specialist provide and how did the business get its start and grow?

STEVE: We provide minor and major smash repairs and do a whole range of work for insurance companies – from standard hits and bingles to severe damage from hitting kangaroos and cows! We have two straightening machines, an auto robot and Dataliner, two car hoists, one portable hoist, two spray booths, prep bay, baking oven and we have dust extraction and welders. We are also preferred repairers for Suncorp and RACQ and an affiliated repairer for NRMA/CGU. We actually bought an existing repair shop here in 2005 but we wanted to expand fairly quickly. That’s what we ended up doing – building this, our new workshop, next door to that original one. We built the shop specifically for smash repairs. The workshop size is about 1076 square metres and we won the 2010 award for best new regional shop for Queensland through Paint and Panel magazine and the AAMI. KAREN: The shop was purpose-built and was a big investment. Together with our builder we thought about the building long and hard and it took us almost 12 months to decide on the actual building and how we wanted it done. When we first came here, the old shed that we were in was the only building at this end of our industrial estate. All around us farmers were either growing corn or potatoes or peanuts. In fact, we knew the owner of the fields and he would tell us when the potatoes were ready and if we wanted fresh ones we could just go and dig them up!

Steve and Karen West are the owners of Atherton Smash Repair Specialist in far north Queensland. Now in its fifth year of operation, the modern, well-equipped shop has set the bar high for repair businesses in the region and it continues to flourish and grow. Nowadays, the area has expanded considerably and there have probably been about 15 buildings go up around us and there are still new buildings going up even now.

MT: How did you get started in the industry? STEVE: One day after school I came home and a guy by the name of Robert Chapman was knocking a dent out of the side of my mother’s EH Holden wagon. I watched him hammer and file finish it and ended up going up to my mum and saying ‘That’s what I want to do.’ So, when I was ready to leave school I had a few interviews and started work at a panel shop - Guthrie’s in Fortitude Valley in Brisbane. And on my first day at work I met Robert, who had repaired my mother’s car, and he was actually the workshop foreman there. So, I’ve known the guy that repaired my mum’s car since I was in Grade 5, and I still talk to him today. Karen got involved after I met her at a trade show in America in 1992.

MT: Who are your customers? KAREN: We cover all the rural areas and our customers include many people from a very wide area - the tablelands region actually covers about 64,998 square kilometres and includes the towns of Atherton, Malanda, Mareeba and Herberton as well as the smaller towns of Ravenshoe, Millaa, Tinaroo, Tolga, Yungaburra. And we do get customers from as far away as Karumba.

MT: How do you keep up with the technological changes in the industry? STEVE: Training is pretty high on the agenda and we talk to people we

know and people in the industry. We are going to Melbourne in March to take part in some seminars at the Collision Repair Expo and, as we are the approved repairer in our area for Suncorp, we will also be committing to I-CAR training.

MT: How many staff do you have? STEVE: We have four panel beaters and one apprentice panel beater, two painters and one apprentice painter and I do get out on the floor and help too. Monday is the day when I give the boys the jobs they have to do and I chase parts and do quotes and so on - I call it my ‘day off ’ but it is my stress day. I do still enjoy the work though. KAREN: I handle the accounting side – paying the bills and chasing the money!

MT: To what do you attribute your success? STEVE: The love of the trade. And I’m a country boy at heart and can talk to country people. But really it’s that we try and do the best work we can. We are a neat and tidy shop too. I had a lady here this morning who had gone to our opposition for a quote and then she came here for a quote and ended up saying, ‘I want you to do the job, I love your premises.’ We do get a lot of that. KAREN: One of the reasons is the friendliness of everyone here. We do look after our customers as best we can. Customer service is very important. For instance, if a customer brings their car to us and they need a ride, we do offer to take them home. Of course we do cover a very large area so it’s not always possible, but as long as it’s not too far!

MT: Atherton is a small and tight-knit community. Do you involve yourselves in the communtiy outside of the services you offer through the business? KAREN: We sponsor the Atherton Roosters which is our local football club. I’m also in the Atherton Lionesses - a community non-profit organisation. We raise funds through the year and donate the money back into the community. We give to the SES, to the hospital and to the ambulance service. Our business is also a sponsor of the Avenue of Honours that recognises the sacrifice of our fallen soldiers. It’s located out at the Tinaburra Peninsular. The gentleman who was behind the idea actually had a son who was killed in Afghanistan a few years ago. It is a beautiful area out there.

MT: What plans do you have for the future of Atherton Smash Repair Specialist? KAREN: We do have plans to expand. We have grown steadily and there is a block next door which is of interest. We may look at taking that on and building, perhaps for storage or spare parts.

MT: What do you in your spare time if you have any? KAREN: We have friends who have a cattle property and we go to their place to visit. We have helped out when they were bringing in the cattle to put fly tags in their ears and so on. We thoroughly enjoyed that! And we try to go camping when we can. We have a camper trailer and get together with close friends and their families. It’s a lot of fun – it’s just a matter of if the weather holds out! April 2015 Motor Trader | 9

ANZACS

WWI AND THE MOTORISED ARMY

When WWI began in 1914, the horse was still used widely across the battlefield. By the end of the war in 1918 the age of the motorised army had arrived.

T IS NOW 100 years since the ill-fated landings by the Australian and New Zealand Army Corps (ANZACS) on the Gallipoli peninsular. It was Australia’s entrance into the Great War and, many maintain, the real and painful birth of our identity as Australians. Three years later, with the war over and won, Australia and the young men it had sent to defend the Mother Country and its Empire had been instrumental to the Allies’ victory, though that victory had come at a cost - more than 60,000 men were killed and 156,000 were wounded from the Australian Imperial Force (AIF). For a country with a population of less than five million it was a heavy price indeed. WWI had an extraordinary effect on Australia, and indeed the world. Geo-political changes would see the creation of Communist Russia and the emergence of the USA as a true world power; there was the reorganisation of Europe that would see the dissolution of old empires and the birth of new nations; and there was new pride and a growing assertiveness amongst Britain’s imperial ‘colonies’, including Australia and New Zealand, that slavishly following Britain was no longer where their future lay. They had proven themselves in battle - from the dry dusty plains of the Middle East, from the rugged, hillsides of the Dardanelles, to the quagmire of mud and blood in the trenches of Europe’s western front. Members of the 5th Australian Light Horse Regiment in Egypt ca. 1915 with a BSA motorcycle

State Library of Queensland

10 | Motor Trader April 2015

“AUSTRALIA, WITH ITS CLOSE

TIES TO BRITAIN AND THE EMPIRE, WOULD SHARE IN MUCH OF THE ALLIES' TECHNOLOGICAL ADVANCES AND WWI SAW A LARGE ARRAY OF VEHICLES USED IN THE PUSH FOR VICTORY.”

But political and social change weren’t the only developments to come out of the Great War. A cradle of invention, war has been the catalyst for many innovations, and so it proved during WWI, particularly with the move to a mechanised, mobile army. As the war began, the world’s armies still relied on the horse for much of their mobility and hundreds of thousands of them were used for all manner of duties, from cavalry units to logistical support hauling artillery pieces and other material around the battlefield. But horses could be easily killed, were not infinite in number, were expensive to feed and house and could be the cause of disease amongst the troops. And with advances in mechanised vehicles, those in charge of the war effort began to look to man-made solutions for ending what had, on the western front of Europe at least, become a bloody, muddy standoff of trench warfare. Australia, with its close ties to Britain and the Empire, would share in much of the allies' technological advances and WWI saw a large array of vehicles used in the push for victory. Tractors, particularly the Holt Caterpillar (originally

Rolls Royce Type A Armoured Cars

A Vauxhall 25hp Staff car - one of nearly 2000 Vauxhalls built for the War Office between 1914 and 1918. Pictured is King George V with the Vauxhall chosen to take him as he toured the battlefields of France in 1917.

mechanical shearing developed by Frederick Wolseley, the company became based in England and, by the early 1890s employed the services of Herbert Austin - an Englishman who had emigrated to Melbourne and whom Wolseley brought back to England to assist with the company’s development. Austin began to experiment with car manufacturing and over the next few years Wolseley would become one of Britain’s major manufacturers. Austin himself would go on to found the Austin Motor Company which, like Wolseley, would have its moment as one of Britain’s biggest automotive businesses. Wolseley, Talbot and Rolls Royce were among the first light transport vehicles to be converted to armoured cars, and what started as nothing more than a standard car with a machine gun stuck on it would soon become a pretty terrifying weapon of war. The Rolls Royce Silver Ghost, for example, fitted with a superstructure which consisted of armoured bodywork and a single fully-rotating turret holding a water-cooled Vickers Machine gun, saw extensive service throughout the theatres of war, including in Palestine with the British and Australian forces, and would still be around 20 years later at the outbreak of WWII. Though not so heavily-armoured as the Roller, the ubiquitous Ford Model T did find use with the AIF as

April 2015 Motor Trader | 11

State Library of Queensland

designed for use on the farm and manufactured by the company that would become Caterpillar) were adapted to tow large artillery pieces across the rough ground of France and Belgium. Heavy transport was provided by vehicles such as the 3-ton Peerless Lorry which was modified into versions that fulfilled a number of roles, including Anti-Aircraft, Mobile Workshops, First Aid Lorries and fuel and water tankers. Designed and manufactured by the Peerless Lorry Company in Cleveland, USA, Britain purchased more than 10,000 of them and many found their way into the hands of the AIF. Other manufacturers that supplied lorries to the Allies, and which would, like the Peerless, be similarly fashioned to fulfil all manner of roles, included Maudsley, Dennis, Albion, Commer, Halford, Garford, Karrier, Thornycroft, AEC and Leyland. While the ‘heavy’ trucks performed their logistical roles, lighter vehicles were used for more aggressive roles. Cars from Daimler, Sunbeam, Wolseley, Napier, Talbot, Crossley, Vauxhall and, of course, Ford were all used by the Allies during the war and were used as Staff cars for Officers, were converted to ambulances, or found a role as armoured cars. Wolseley was a particularly interesting company. Beginning life as the Wolseley Sheep Shearing Machine Company in Sydney to capitalise on the innovations in

World War One tanks, though effective, battle-winning weapons when introduced to the battlefield in 1916 . . .

State Library of Queensland

Field ambulances wait at Kantara for the wounded from the front ca. 1916 12 | Motor Trader April 2015

â&#x20AC;&#x153;. . . INCREDIBLE ADVANCES HAVE BEEN MADE IN THE CAPABILITIES OF MACHINES OF WAR AND THE AUSTRALIAN ARMED FORCES ARE NOW BE IN POSSESSION OF SOME OF THE MOST ADVANCED EQUIPMENT IN THE WORLD.â&#x20AC;?

battle but their performance confirmed what many already knew - armoured mobility was the future and the days of the cavalry charge were all but over. Even the relatively basic Mark I - with its top speed of just 6km/h, and cramped and near poisonous interior (there was no ventilation and the crew shared the same space with the 16-litre, 105hp engine, meaning the cabin could fill with carbon monoxide leading to entire crews losing consciousness) - could still cover all but the most treacherous of ground, crush the barbed wire fences that were flung up as trench defence, and offer some cover for infantry.

State Library of Queensland

an armed car, and the Ford was to be found in a number of other guises, from Staff cars to ambulances and even lightweight Desert Patrol vehicles. Motorcycles too, would play an important part in the new mobile armies. Bikes were used in many different roles - as scouts and patrol vehicles, for despatch duties, ammunition and medical supply carriers and for casualty evacuation, though their use for carrying messages was particularly noteworthy - their speed around the battlefields meant communication between units could be carried out quickly if other form of communication broke down. By the time WWI kicked off, the motorcycle was already a well-established form of transport so it is no surprise to find them being widely used by all armed forces, with the AIF operating several different models including the Douglas Model V, Triumph Model H, Phelan & Moore, Clyno Model 5-6hp and Belgian FN. But perhaps the biggest mobile, mechanical innovation of the War, and one that would be used to great effect during Australian offensives, was the tank. A British development, though the French were developing them at about the same time, the tank saw action for the first time in 1916 during the Battle of the Somme. Less than 50 of the rhomboid-shaped Mark I British tanks took part in the

. . . are a far cry from the technological marvel that is the M1 Abram tank, the Australian Army's current Main Battle Tank.

At the Battle of Hamel in July of 1918, Australian General Sir John Monash used them to great effect, overseeing a defeat of the Germans using innovative tactics that showed the effectiveness of mobile warfare. A relatively small-scale battle, Hamel was, nevertheless, a decisive victory, one that convinced senior military figures to adopt Monash's tactics at the Battle of Amiens a couple of months later. Spearheaded by Australian and Canadian forces, more than 75,000 Allied troops, using more than 500 tanks, overran German positions at Amiens, advancing several kilometres, capturing tens of thousands of enemy troops and ensuring the day would become known in Germany as â&#x20AC;&#x2DC;a black day for the German army'. The victory at Amiens would, in fact, mark the beginning of the Allies push to victory. By the end of WWI, the mechanised, mobile army was here to stay. The ability of a mobile force, when well commanded, to change the tide of battle had been definitively proved and the armed forces of the world's great powers would turn their minds to the research and development of such machines. It would take just two decades for them to find a reason to test out their new

inventions. On the battlefields of WWII, the German tactic of Blitzkreig, using the highly-mobile, mechanised force which the Nazi's were able to put into the field, allowed them to conquer most of Europe in a matter of months. Since then, of course, incredible advances have been made in the capabilities of machines of war and the Australian Armed forces are now be in possession of some of the most advanced equipment in the world. The M1 Abrams tank, the Australian Light Armoured Vehicle (ASLAV), the M113AS4 Armoured Personnel Carrier and the Australian-built Bushmaster Protected Mobility Vehicle are at the cutting edge of military technology. It's a long way from the days of the cavalry charge with swords drawn and Australian soldiers have never been better protected or better armed. Still, the terrible events of WWI and the reflection upon those events that ANZAC Day prompts us to make, should make us hope that, regardless of the technological brilliance of these machines, our troops never have to use them in anger. Lest we forget.

Ford Model T ambulances

INSTITUTE OF T EC H N O L O G Y

NEW G LIMITE OVERNME D PLAC NT FUN ES APP DING LY NOW

GET YOUR TRADE SKILLS RECOGNISED

Do you have trade skills and experience but no formal qualifications?

TRADE RECOGNITION Trade skills recognition is a way of gaining formal recognition of your skills and work experience. If you have not completed an apprenticeship in Australia or you have gained trade skills overseas, you can have your skills, work experience and trade qualifications nationally recognised. Recognition of work or training (trade recognition) allows people to gain a certificate of recognition in Queensland in an apprenticeship trade, where: • A formal apprenticeship has not been completed • An apprenticeship or trade training has been completed overseas

PARTICIPANT ELIGIBILITY 1. Be an Australian citizen, a permanent resident of Australia and living in Queensland or a Refugee and Humanitarian Visa holder living in Queensland 2. Be a skilled or experienced individual without a trade qualification, whose experiences are such that it is reasonable to assume you could achieve two thirds of a qualification or more through RPL assessment processes in a priority trade 3. Be 18 years or older 4. Express a commitment to gaining the entire qualification

MTA INSTITUTE OF TECHNOLOGY OFFERS TRADE RECOGNITION FOR THE FOLLOWING QUALIFICATIONS • • • • • • • •

Agricultural Mechanical Technology Automotive Electrical Technology Automotive Body Repair Technology Automotive Refinishing Technology Heavy Commercial Vehicle Mechanical Technology Light Vehicle Mechanical Technology Mobile Plant Technology Motorcycle Mechanical Technology

The Queensland Government covers the majority of the cost for trade recognition other than mandatory fees determined by Government.

COURSE LENGTH Once an application has been received with all supporting documentation, MTA Institute of Technology will assess and respond within 10 working days. Evaluation can be completed at MTA Institute of Technology’s Eight Mile Plains premises or alternatively on site at the applicants workplace.

ENROL Should you wish to obtain more information regarding trade recognition, please contact one of our friendly team using the contact details below. RTO No: 31529

Address Building 8, 2728 Logan Road Eight Mile Plains Qld 4113 Postal PO Box 4530 Eight Mile Plains Qld 4113 Tel (07) 3722 3000 Toll Free 1800 884 137 Email training@mtaq.com.au

20130128

MTA INSTITUTE OF TECHNOLOGY

News

THE COST OF MANUAL HANDLING INJURIES IN TYRE RETAILING S TATISTICAL DATA FROM WorkCover Queensland indicates that the workers compensation industry premium rate for a tyre retailing business (currently $2.92 per $100 of wages) is close to three times higher than for a car retailing business ($1.03/$100 of wages) and more than double the rate for a motor vehicle parts and accessories business ($1.44/$100 of wages). Given that WorkCover premiums are based on the wholeof-industry-segment claims history, these figures highlight significant potential improvements and savings that could be achieved by tyre retail businesses with a greater attention to health and safety. The growing popularity of larger SUV/ four wheel drive type vehicles has brought with it the use of larger tyre and rim combinations and an inevitable increase in the weight of these items. Given that an employee in a tyre shop could conceivably handle a tyre/rim combination up to 150 times a day, the potential for a manual

handling injury ought to be obvious. The regular handling of incoming tyres off the back of trucks and loading those same tyres into storage further adds to the risk. These risks must be acknowledged and acted on to fulfil the obligation under workplace health and safety legislation to ensure, as far as is practicable, the health and safety of

all employees. The business must put in place a proper system of handling of tyre/rim combinations and loose tyres and ensure that that system is followed by all employees. Drawing up a Safe Operating Procedure (SOP) would be an excellent way to show that the company has recognised the hazard and has taken positive steps to address it. Furthermore, purchasing and installing appropriate mechanical/ hydraulic devices to aid in the handling of these items would also show a clear appreciation of the legal obligations imposed by the Workplace Health and Safety Act. With a broad enough addressing of this issue by this segment of the industry we ought to see a reduction in the industry rate for tyre retailing, and, consequently, the premium charged by WorkCover. The related drop in manual handling injuries would make it a win-win for the industry and its workers.

AUSTRALIAN MOTOR DEALER COUNCIL SHIFTS INTO GEAR

HISTORIC MOMENT TOOK place on Tuesday March 17 with the official formation of the country’s first Australian Motor Dealer Council (AMDC). In a meeting conducted at the Sir Jack Brabham Automotive Centre of Excellence in Brisbane, key Dealer council chairs representing the top vehicle brands in Australia agreed on the creation of the new council and to support funding for the national secretariat of the Australian Automotive Dealer Association Ltd (AADA).

The AMDC, which will consist of the elected chairpersons for each Dealer council, will be led by former Managing Director of Mazda Australia, Doug Dickson. Appointed by the AMDC as Independent Chairman, Dickson, who was at the meeting said that ‘AMDC and AADA working collectively will make a difference’. It is envisioned that AADA will set the policy agenda whilst the AMDC will provide the AADA Board with feedback from the Dealer community. Federal Chamber of Automotive Industries (FCAI) Chief Executive,

Tony Weber was a guest speaker at the meeting and made special mention of the strong links being forged between FCAI and AADA. He mentioned the major policy issues, including access to repair information, and parallel imports as key examples of where the two associations have been working together. In reference to the new AMDC, AADA Chairman Ian Field said ‘There is still a lot of work to be done but after 30 years we now have the structure in place to solely advocate on behalf of Dealers’ interests’. April 2015 Motor Trader | 15

ALL AMERICAN

CRUISER T

HE BUICK LESABRE is something of an American icon. Apart from having one of the automotive world’s great names – LeSabre means ‘the sword’ in French, which is a very cool choice of name, and Buick is just a great sounding word anyway – the LeSabre was America’s best-selling full-size car for much of its long existence, an era that stretches from the rock ‘n’ roll days of the late 1950s through to the electronic hip-hop years of the mid-2000s. It was one of the longest-lasting models in continuous production and one of the longest-lasting nameplates in automotive history. And that history saw it change quite a bit over the years. Born in the era when American cars were massive, chrome-wielding, fin-bedecked behemoths, over its long lifetime the LeSabre was slowly scaled down, becoming rather more sedate and calm with each passing model. However, in the 1970’s there was still something a bit ‘disco’ about the LeSabre – big and extroverted was still beautiful in America’s automotive world – and that was the decade that saw owner John Dooley’s 1979 four-door sedan roll off the production line. Interestingly, Buick didn’t actually make a four-door convertible version of the LeSabre - though judging from these pictures you might think otherwise. The story behind this particular model’s conversion is one that owes much to North Queensland’s fine meteorological outlook. “What happened was we had it parked down the back of the yard and some grub threw a rock and broke the back

16 | Motor Trader April 2015

window,” says John. “The repairer said ‘Oh, that’ll take me a couple of months to get a window,’ so I said not to worry about that and let’s see if we can chop the top off it! So we got the engineers out and they did up a plan for the panel beaters and painters and they progressed from there. “It was a case of just ‘Let’s do this.’ You can drive it for nine months of the year up here because of the weather. It’s only when it’s really hot or when it’s raining that you can’t drive it!” Owner of the Wheelz and Wheelz used car dealership in Townsville, the website wesellurcar4u.com, and a former member of the MTAQ’s Used Car Committee, John has an affinity with American cars thanks to regular visits to the US. He admits, though, that he is not a complete car nut. “I go to America a couple of times a year - holidays and business conferences and so on - so I am fond of their cars,” he says. “I bought a near new Camaro SS a couple of years ago that was probably one of their nicest cars I’ve ever had but there’s no real urgency for me to race out and buy the latest model car. That’s not my thing.” Car nut or not though, the Buick caught John’s eye when

MAKE: BUICK MODEL: 1979 LE SABRE ENGINE: SMALL BLOCK V8 OWNER: JOHN DOOLEY OWNED SINCE: 2000

it appeared at a car yard in Townsville. “The car just sort of turned up,” he says. “I found it at a Holden dealer who had traded it and didn’t want it, so we bought it off them. It had come in from Japan, had just one owner and low kilometres, and was just a lovely old car.” Though the LeSabre was in excellent condition when John bought it, and remains mostly original, there were some projects he had to execute – outside of the major roof job, of course. “It was spotless when we got it but the weather does have an effect,” he says. “It had cloth trim in it and that didn’t fare too well so we re-trimmed it. Sparkies put a whole new dash in it too – a customised dash – and we have put 20-inch wheels on it. “It is a great six-seater,” he adds. “We have a Limo but when we have functions up here, such as the V8s or around Melbourne Cup time, we use the Buick to ferry people around too.” It’s little wonder the Buick is popular for treks around town. Big and comfortable, it’s also an eye-catching rarity thanks in part to its roof-free appearance, and is a popular choice for unique transportation for people from kids going to formals to the odd international dance band. “We picked up the band The Potbelleez from the airport in it and carted them around,” says John. “All they wanted to do was cruise down The Strand and drive around before we dropped them off. People ring up and say they would prefer

DO YOU HAVE A PRIDE AND JOY IN THE GARAGE THAT YOU WOULD LOVE TO SEE IN THE PAGES OF MOTOR TRADER?

to use the Buick - it does carry six people including Contact Jonathan Nash at jonathann@ the driver and mtaq.com.au or 07 3237 8721 and let’s it does have a see if we can share your classic with massive boot. other members. “The formals were a big hit this year too. They ring and ask specifically for the Buick and it’s great to do things for people like that.” Being an unusual car, the Buick gets plenty of looks from the public – which is perfect for its dual role as about-town cruiser and rolling advertisement for John’s business. “We get plenty of looks driving it about, of course,” says John with a chuckle. “I have a couple of sets of air-horns on it too and we play about with those. The car is a bit of fun.” April 2015 Motor Trader | 17

CERTIFICATE III

INSTITUTE OF T EC H N O L O G Y

BUSINESS ADMINISTRATION The Certificate III in Business Administration is a course designed to give students a comprehensive set of skills across a wide range of areas. This course is subsidised for eligible participants by the Queensland Government under the Certificate 3 Guarantee program. The MTA Institute of Technology has been approved as a PQS (Pre-Qualified Supplier) to deliver the Certificate III in Business Administration. The objective of this course is to help students develop the knowledge to perform a range of office skills – such as handling payroll processes, keyboard and computer functions, organising schedules, creating presentations and spreadsheets – this course is also structured to assist those whose current job involves business administration and who require some formal training in key areas.

COURSE LENGTH - 14 WEEKS

COST TO STUDENT (CONTRIBUTION FEES) $140 (for students who are eligible for Certificate 3 Guarantee subsidies and who are eligible for the concessional rate – further details on www.mtait.edu.au) $350 (for students who are eligible for Certificate 3 Guarantee subsidies and who are non-concessional) $1950 (for students who are not eligible for Certificate 3 Guarantee subsidies). For more information and to view our refund policy please visit www.mtait.edu.au

MORE INFORMATION

Commencing Tuesday 3 February 2015 and finishing up on the 5th May 2015. rd

Night sessions conducted at the MTAQ Head Office in Eight Mile Plains.

ELIGIBILITY Prospective students must meet the following criteria for eligibility for Certificate 3 Guarantee Subsidies: • Not hold or currently undertaking Certificate Level III or higher qualification. This does not include certificate III level qualifications completed while at secondary school. • Be 15 years of age or older • Have finished secondary school or have left school • Be an Australian citizen or Australian permanent resident residing in Queensland or a New Zealand citizen permanently residing in Queensland.

For more information on the Certificate 3 Guarantee you may visit www.training.gov.au To assess your eligibility and to apply for enrolment please contact our training team on (07) 3722 3010 or alternatively e-mail training@mtait.edu.au Please note: prospective students are only eligible for one subsidised training place for a Certificate Level III qualification. Courses dependent on student numbers.

RTO No: 31529

Address Building 8, 2728 Logan Road Eight Mile Plains Qld 4113 Postal PO Box 4530 Eight Mile Plains Qld 4113 Tel (07) 3722 3000 Toll Free 1800 884 137 Email training@mtaq.com.au

20130128

MTA INSTITUTE OF TECHNOLOGY

MEMBERS ESSENTIALS Contents 19 Training matters 24 Member matters 26 Member profiles

TERRY NANGLE SMASH REPAIRS TRULSONS MECHANICAL ULTRATUNE BUNDABERG

28 Industrial relations

Trainer Warren Archer with the AccelR8 students at the MTA Institute of Technology's workshop

IGHLIGHTING THE OPPORTUNITIES of a career in the automotive industry, and encouraging young people to consider such a career, is a standing goal for the industry. A shortage of skilled staff and low retention rates of apprentices are issues that have proven to be long-term frustrations for the trade and tackling those issues is a perennial problem. Among the number of initiatives that have come along in recent times, a new program, called AccelR8, has recently been launched that holds real promise and may be the avenue that provides the automotive industry with the influx of young professionals it needs. An initiative of Queensland’s Department of Education and Training (DET), in partnership with employers, training organisations, schools, students and parents/guardians, AccelR8 is a ‘school-to-work’ transition program, designed to prepare Year 12 students for the move to full-time automotive industry employment.

The program offers students a 20-week work experience and training placement (one day per week) at an automotive business and the opportunity to achieve a Certificate II in Automotive Vocational Preparation by completing three days of theory study at school with an MTA Institute of Technology (MTAIT) trainer, and three days of practical work at MTAIT’s state-of-the-art workshop facility. At the end of the program, which coincides with the students completing Year 12, their work placement employer has the opportunity to take them on as a full-time apprentice. The AccelR8 program offers students, employers, and indeed the government, many benefits. For students interested in pursuing a career in the automotive industry it gives them an opportunity to develop their skills through industryleading training with MTAIT while receiving genuine work experience. April 2015 Motor Trader | 19

E S S E N T I A L S

ACCELR8 PROGRAM LAUNCHED WITH FOCUS ON YOUTH

M E M B E R S

Training matters

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

MIT TRAINER PROFILE

Training matters For employers, the program establishes an entry-level pathway specifically designed to attract youth into the industry, as well as the recruitment of employees who have gained experience, received solid industry training and who have proven themselves to be enthusiastic and passionate about a career in the automotive trades. For the Queensland Government, attracting young and passionate people into the trades would be a boon to an industry that requires new blood, while also tackling the prickly problem of youth unemployment - the near year-long process ensures that the industry receives an influx of employees who know it is a career they want to pursue, a result which should help lower the dreadful apprentice attrition rate which currently stands at approximately 50 per cent. “One of the key policy drivers that sit behind this program is the youth unemployment rate,” said Lynette Taylor, Manager of Training & Skills for DET's metropolitan region and one of the architects of the AccelR8 program. “In Queensland, the youth

DON LERM

MTAIT trainer Jeff Mann takes the students through the theory part of the program

unemployment rate has reached 20 per cent in some parts of the state, the highest it has been in 12 years." “Another key driver concerns the ageing population and trying to develop youth recruitment strategies for industries that need it.” MTAIT is partnering with DET in delivering the course to 15 students from Ipswich area schools. “It’s about a year ago that we got involved with the AccelR8 program,” said Anthony Bonaccorso, Business Development Manager for MTAIT. “We’ve put together a package where we do training with the students in

school, and that training includes such elements as induction, basic health and safety and environmental regulations. That is followed by three days of practical training at MTAIT that will take the students through to the end of Term One. “In terms two and three, the students will spend 20 days working with employers one day a week. "MTAIT trainers will also be delivering on-site training and assessment to the students to help progress them through their Certificate II. They will graduate from school at the end of the year and be

What is your specialised area?

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

Light Vehicle.

What is your background in the automotive industry?

Students gathering knowledge and skills in their selected trade.

Started my apprenticeship in 1970. Worked as a mechanic, foreman and manager in three major dealerships in Victoria and Queensland. Had a short stint with International trucks and tractors. Hold a work permit for NSW and roadworthy certificates for Victoria, NSW, Queensland.

It's a rewarding trade which will normally give you a full-time career.

When did you become a trainer for MTA Institute of Technology? August 2005.

What geographical area do you service? Sunshine Coast and Hinterland.

What is the most satisfying aspect of your role as a trainer for MTA Institute of Technology? Guiding students to complete their qualifications and move on to managing or running their own business.

20 | Motor Trader April 2015

Why should someone consider a career in the automotive industry?

What is the best piece of advice you can give to an apprentice starting out in the industry? Four years go very fast and you are rewarded with a certificate to be proud of.

When you’re not training, what do you like to do? I look after three acres of land, service vehicles and mechanical breakdowns and do some landscaping. I would like to spend more time on my baby 1965 XP Ford Coupe restoration project.

the program,” said Ms Taylor. “It’s not about going to schools and saying ‘can you give us some kids’. Rather, we make sure the students have an interest in automotive, run them through a selection process and then get employers to interview them as well. “We actually tell the students that it is a 20-week job interview,

SHOWROOM/WAREHOUSE - FOR LEASE - BRISBANE Near City Northside - 5km Pickering Street, Enoggera Precinct

76-78 Farrington Street, Alderley

SHOWROOM is airconditioned with very good lighting, reception desk, kitchen and staff room, shower, 6 toilets on site. WORKSHOP is an A Class auto servicing facility with 3 hoists, 3 phase power, high bays and natural light, air compressor system, epoxy floors. Extensive galvanised iron work benches with full lighting.

SUIT MOTOR VEHICLE SALES AND SERVICE

SECOND SEPARATE RECEPTION AREA with office and parts store. CAN BE LET AS 2 SEPARATE TENANCIES: • Lease A – 633m²; $8,340 pcm • Lease B – 619m²; $6,670 pcm Both Gross rent plus GST

Call Don for details and inspection on 0418 729 372 Email: thal@thalmail.net April 2015 Motor Trader | 21

E S S E N T I A L S

signed into their trade. Importantly, the employer and the student will have a relationship by then – they know each other and know what to expect of each other.” It is this relationship, built up over the many weeks of interaction, that is key to the program’s success. “The selection process around AccelR8 is one of the successes of

M E M B E R S

The first group of students to take part in the AccelR8 training program

which is effectively what it is. So the employers get to view them in the workplace, test their attitude, commitment, aptitude and communication skills, which are the critical soft skills employers need." “From an employers point of view this is a cost saving,” said Mr Bonaccorso. “They’re not spending their time and money trying to recruit, interview and then try out an apprentice. Instead, they’re getting to see that potential employee up front and they’re able to identify whether this student is right for them.” Though the current AccelR8 program is the inaugural program for the automotive industry, a similar program has been up and running for some time. GenR8 – a program aimed at the transport, logistics and supply chain industry - has been particularly successful, winning several state and national training awards and producing upwards of 66 per cent employment outcomes. For more information on the AccelR8 course call (07) 3634 0658 or email metrotransitions@dete.qld.gov.au

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

Training matters

NADA COURSE SHOWS PATH TO PROFIT AND GROWTH

Dany Wong, Mark Taylor, Terry Bienefelt and Ben Berne are the first participants in the NADA University courses

HE NATIONAL AUTOMOBILE Dealers Association (NADA) University courses are now up and running, bringing specially designed courses from the worldrenowned NADA educational programs to Australian dealers. Devised for staff from Shop Foreman to Dealer Principals to show how dealerships can maximise customer retention, maximise profits and secure business back from independents, the first Service Department Operations Management Course was held in March at the Motors Group dealership in Launceston, Tasmania and was attended by Service Managers from both the Motors Group and Gowan’s Motor Group. And the course was well received by participants, its comprehensive look at the workings of the Service department – including analysis of financial statements, sales, expense, forecasting, pay plans and applying them to case studies - winning approval from the course participants. “The course was really very good,” said Dany Wong, a Service Manager 22 | Motor Trader April 2015

“USING LIVE FIGURES MEANS YOU CAN RELATE IT TO YOUR BUSINESS. IT’S THE BEST THING I HAVE SEEN ON A TRAINING COURSE, BY FAR.” with Motors Group. “There are several things that I really liked about it. One was the interaction. You don’t just listen to someone talking but bounce ideas off each other, talk about what others are doing in their workshop and what you are doing in your workshop and how their ideas might help you. “But the biggest difference to the other courses that I have attended is that you actually use live data from your business. Using live figures means you can relate it to your business. It’s the best thing I have seen on a training course, by far." For Mark Taylor, Service Manager for Gowan’s Motor Group, the outcome was similarly positive. “The course was very good and

pretty in-depth,” said Mr Taylor. “I think the best thing about it is that you use your own dealership figures. That gives you a new angle on things. You can see areas to improve on and can implement those ideas when you come back to the dealership. “We covered pretty much everything - from mechanics’ efficiencies to your own figures on hours sold last month, to where you can implement more ideas on how to make money. “We also discussed the ups and downs of scenarios such as when a customer hasn’t paid a bill and the effects that has on the company, and we took part in a role-playing exercise in which someone was a warranty clerk, someone was a Service Advisor and someone was a customer. That was a great exercise - it gave you a look from every angle and that was great.” The Service Department Operations Management course was specially tailored by industry experts from the Australian Automotive Dealer Association (AADA), the NADA, and the course provider in Australia, the MTA Institute of Technology, and

was delivered by NADA-accredited consultant Rob Mackenzie. “The course went very well,” said Mr Mackenzie. “There were some great moments when the guys were actually a little gobsmacked at how much they could do using the information we gave them. They were very excited about what they were hearing.” “We go through the various modules and show them how things are supposed to work, and then ask them to do exactly the same but using their own dealership figures. Then we take those and say ‘Right, that’s where you are and that is how you compare to the NADA guide.’ It can be quite a surprise.” “For instance, regarding Repair Orders. A Service Advisor could come out from behind their desk, do a walkaround of the car with the customer and perhaps discover other things on the car that require attention,” said Rob. “Adding one line per repair order can add massive profit to the dealership.” For Ben Berne, a Service Manager with Motors Group, taking the course was a positive step. “I’ve only recently become a service

“THE CASE STUDIES

GOT THE GUYS REALLY THINKING, AND HOPEFULLY THEY CAN APPLY THAT KNOWLEDGE BACK TO THEIR OWN WORK ENVIRONMENT.” manager and there are a lot of elements in the course that I probably wouldn’t have thought of. And using the figures from your own dealership was great. It puts a more realistic approach to it, you’re more involved and want to know more, and as soon as you get back you start seeing where you can change.” Another element of the course that is new is the analysis of ‘Proficiency’ - a combination of productivity and efficiency, with productivity being the number of hours a technician is actually working, and efficiency being the amount of time it takes for the technician to finish the job. “If the flat-rate manual says a

The Service Department Operations Management course and the Sales Operation Management I and Sales Operation Management II courses are now available through the AADA. Call 07 3237 8777, email courses@aada.asn.au or go to www.aada.asn.au for more information. April 2015 Motor Trader | 23

E S S E N T I A L S

Mark, Dany and Ben with their Certificates of Achievement presented to them by course facilitator Rob Mackenzie. Terry attended the course as an observer

M E M B E R S

Dany, Rob and Mark crucnh some numbers

particular job should take three hours and the technician can do it in two hours, we can say he is efficient – he can complete the job in less time than is actually allocated,” said Mr Mackenzie. “But what does he do with that extra hour? If a technician is 120 per cent efficient but only productive for 80 per cent of the day then he is effectively costing a dealership money. “The combination of being efficient and productive – that’s how you get the calculation of proficiency and it’s a relatively new way of looking at things.” “It was a useful exercise,” said Terry Bienefelt, Director and State Manager Fixed Operations for Motors Group, who observed the course. “For new Service Managers it’s a good course. It covers the basics of service management and it got them thinking about Pay Plans and about different ways of analysing the data – especially the financial data that comes out of the DMS. It gave them the basics, and the fact they used their own live data was good because they were able to extrapolate that data, see where it sat and then were able to compare that with everyone else. A new Service Manager will certainly get a lot out of it. “Having case studies in courses is brilliant, otherwise you’re just doing theory,” he added. “The case studies got the guys really thinking, and hopefully they can apply that knowledge back to their own work environment.” “By the end of the course, participants will have covered many elements that effect the profitability of the service department,” said Mr Mackenzie. “They will have an understanding of the importance of cash flow, they will know how to improve the contribution the Service Department makes to the dealership, they will be able to recognise where they can make a difference to the profitability of the department and the dealership and, amongst other elements, they will be able to develop and analyse Pay Plan models to identify opportunities for profit growth. “They will gain knowledge to make a significant difference to the bottom line of their dealership."

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

Member matters

QUEENSLAND SURVIVES FER W ITH WIND SPEEDS of more than 200km/h and storm clouds carrying enough water to dump more than 300mm of rain in some places, Cyclone Marcia hit Queensland's Rockhampton region on February 20 with a fury that would leave the city and its surrounding communities reeling. Making landfall near Rockhampton and Yeppoon, more than 1500 homes were damaged across the region and more than 1800 power lines were downed, leaving more than 60,000 homes without electricity. Hundreds of energy company workers were deployed to restore power and even Defence Force personnel were moved into the region to assist in the clean-up. The damage was substantial enough that the federal government would provide the Disaster Recovery Payment (DRP) - a one-off payment of $1000 per adult and $400 for each child - to eligible residents, on top of the jointly-funded CommonwealthState Natural Disaster Relief and Recovery Arrangements (NDRRA). According to the Insurance Council of Australia (ICA), as of March 12 the reserved value of

insurance losses had grown to $403.6 million from 29,565 claims. Though many came through the cyclone almost unscathed, it was an experience most would rather forget. "It was a little terrifying sitting at home watching the trees blow around," said Wayne Rosenberg from Rosenberg Motorcycles in Rockhampton. "We have five acres and when we got out to have a look around, trees weren't just broken they were pulled out of the ground. "And the noise of a cyclone is unbelievable. It’s almost like a jet engine. And when the eye of the storm comes over, everything just stops. You’re getting hammered by 200km/h winds and then the next minute it stops, no birds, nothing – it's a very eerie feeling."

“THE DESTRUCTION OF THE POWER LINES WAS JUST PHENOMENAL. . . AND POWER WASN’T BACK ON TO MOST PLACES FOR A WEEK.”

Cyclone Marcia cut a path of destruction through the Rockhampton region, felling trees and power lines and damaging thousands of buildings

24 | Motor Trader April 2015

Like his home, Wayne's business, came away relatively uscathed too, suffering a few minor 'bruises'. "We were lucky," he said. "We lost power on Friday and I came in on Monday thinking we would just have to clean up and go home again. But when I got here my daughter and son-in-law had the place open, lights on. We had power, so we worked." For Tolin Moffatt from Superior Auto Smash Repairs in Yeppoon, the story was a similar one. "We had a bit of building damage here at the workshop but all-in-all we were pretty lucky," he said. "On the Thursday before it hit, the cyclone was predicted to cross the coast as a category one or two but it intensified quicker than anybody thought and by Thursday afternoon it was predicted to be a category 5. "We had obviously been keeping a close eye on it, so we concentrated on securing the workshop. We had all our cars jacked up on stands or on hoists because we were expecting a tidal surge in excess of 3m, on top of a 5m high tide, and we were extremely concerned about flooding. Fortunately, that tidal surge didn’t

Rockhampton, the power of Cyclone Marcia was awe-inspiring - the effect it had on the region's power supply being one of the markers of just how strong the storm was. "The destruction of the power lines was just phenomenal," said Chris. "And power wasn’t back on to most places for a week. "Service stations didn’t have any power for fuel so it was extremely hard to get around. People were having trouble getting fuel, and the line at one working station was two-and-a-half kilometres long! It was a pretty bad few days afterwards, I can tell you." For Wayne Rosenberg, it was 'bad' not just because people needed fuel to

“I’VE NEVER

EXPERIENCED ANYTHING LIKE IT AND I HOPE I NEVER DO AGAIN. THEY SAY YOU GO THROUGH ONE OF THESE THINGS IN YOUR LIFETIME – WELL, I’VE HAD MINE NOW.”

get around but because living without power, even for a short while, will make you appreciate just how vital it really is, especially when it's not possible to run even something as simple as a fan. "I didn’t know this, but the heat after a cyclone is unbelievable," he said. "It’s hard to explain. The humidity was extraordinary. I’ve never experienced anything like it and I hope I never do again. They say you go through one of these things in your lifetime – well, I’ve had mine now!" Though Cyclone Marcia caused millions of dollars of damage, toppled trees, destroyed homes and shut down businesses, the local residents responded, in the main, with typical Australian openness - those who had fared better offering a helping hand to those who had not. For instance, some businesses that were struggling with power issues, and not wanting to see anything go to waste, were giving away food, and stories abound of neighbours and strangers helping each other out. "There was a lot of community spirit," said Chris. "I was pretty impressed."

ROCKHAMPTON Cyclone Marcia battered mid-north Queensland with winds over 200km/h

April 2015 Motor Trader | 25

E S S E N T I A L S

happen. We were quite lucky." Lucky maybe, but living through the storm made for an alarming few hours. "It was pretty frightening," said Tolin. "It was very loud and you can hear trees falling and things hitting your roof. But we were lucky with our home. A lot of trees on our property went down but all of them missed the house. "We lost power at the business only for a few days. The cyclone came through on the Friday and we had power back at our business by 10am on Tuesday. Once the power came on we tested our equipment and were back into it as per normal by Wednesday morning. And we’ve been flat out ever since with quotes and stormdamaged cars and so on. It has been very overwhelming." For MTA Institute of Technology trainer Chris Brady, based in

M E M B E R S

ROCIOUS CYCLONE MARCIA

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

Member profiles

Terry Nangle Smash Repairs

Trulsons Mechanical Location: 32 George St, Bundaberg South QLD 4670 Type of business: Mechanical Workshop Number of employees: 5 Trading since: 1969

Ultratune Bundaberg

26 | Motor Trader April 2015

How did you hear about the Motor Trades Association of Queensland? (MTAQ)

What is the best thing about working in your industry?

Joined up in late sixties, probably after a visit from a rep.

Meeting new customers and watching Technology change over the years.

How has being an MTAQ member benefited your business?

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

Information, mainly technical, legal and industry in general.

Pay off debt ASAP and keep account customers within 30 days max.

What has been your proudest business achievement to date?

What would you say to someone thinking about joining MTAQ?

Buying the business from my retiring father and increasing the workshop size.

Benefits outweigh cost.

Type of business: Smash repairs Number of employees: 10 Trading since: 1980 MTAQ member since: 2004

What is the best thing about working in your industry?

Through the industry.

I love customer service - so seeing a customer overjoyed when they pick up their car.

How has being an MTAQ member benefited your business? It’s great calling them for advice, including on pay issues, and getting regular industry updates.

What has been your proudest business achievement to date? Seeing our two apprentices blossom under new ownership and restructuring the business and procedures.

What is the best piece of business advice you have ever given or been given? Being passionate about customer service.

What would you say to someone thinking about joining MTAQ? Don’t hesitate as it’s very important to support our industry body because at some stage we will need them.

Trulsons Mechanical

Ultratune Bundaberg Location: 8 Lillian Crescent, Bundaberg QLD 4670 Type of business: Vehicle servicing and repairs Number of employees: 7 Trading since: 2009 MTAQ member since: 2009

How did you hear about the Motor Trades Association of Queensland?

What is the best thing about working in your industry?

A long association with MTAQ through Ford Dealerships for many years.

Dealing with our customers and the servicing industry in general. In both cases you meet some great characters.

How has being an MTAQ member benefited your business? Not only from providing excellent advice - I believe by being a member it shows to the public that you are an honest and reputable business.

What has been your proudest business achievement to date? Owning and running my own business with a great and dedicated staff.

What is the best piece of business advice you have ever given or been given? Never underestimate the importance of customer satisfaction.

What would you say to someone thinking about joining MTAQ? The benefits you receive far outweigh any financial cost. Go for it.

April 2015 Motor Trader | 27

E S S E N T I A L S

Location: 24 Price Street, Nambour QLD 4560

How did you hear about the Motor Trades Association of Queensland (MTAQ)?

M E M B E R S

Terry Nangle Smash Repairs

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

Industrial relations

MICHELLE CHADBURN INDUSTRIAL RELATIONS OFFICER

Serious misconduct – when instant dismissal may apply

HE FAIR WORK Act recognises that certain types of misconduct are so serious that they show the employee does not intend to fulfil his or her part in the employment contract, and may warrant instant dismissal i.e., dismissal without notice or payment in lieu. Serious misconduct may include: • Theft • Assault • Fraud • Serious breaches of workplace health and safety procedures. For all of the above situations it is vital that a thorough investigation be carried out and that the employee is given the opportunity to defend against the allegation prior to any discussion of dismissal. If the matter requires lengthy investigation and it is inappropriate for the employee to remain on the premises while the investigation is being conducted, it is best to stand the employee down - on full pay - until the facts have been gathered. All the evidence should then be presented to the employee for a response. An employer has to be satisfied, on the

balance of probabilities i.e., it is more likely than not, that the employee is guilty of the offence, before acting to dismiss. In considering whether the employee has committed serious misconduct, you must ensure the ‘punishment fits the crime’. For example, a long term employee with an otherwise immaculate record may ‘steal’ ten dollars. On investigation it is discovered that it was a momentary lapse in memory and an honest mistake was made. Although theft has technically occurred, in considering the full facts and circumstances it is unlikely to be regarded as serious misconduct. In this case, a final warning may suffice. If the outcome of the investigation is that the employee engaged in serious misconduct no notice is required; however, the employee must still receive any outstanding award entitlements including annual leave. If the incident involves theft of money or property, the law does not permit the loss to be offset against any entitlements the employee may have except that any pro rata long service leave could be refused.

MTA QUEENSLAND WELCOMES THE FOLLOWING NEW MEMBERS Business Name

Principal/s

Address

Division

All About Steering and Suspension

Tyson Howard and Evan Lewis

73 Moss Street, Slacks Creek Q 4127

Allaboutsteeringandsuspension@outlook.com

TUDQ

Automobiles QLD Pty Ltd

Marshall & Melita Fisher

2/28 Commercial Drive, Ashmore Q 4214

admin@automobilesqld.com.au

ARD

BP Biggenden Food & Fuel

Bronwyn & Brett Scovell

16 Alfred Street, Biggenden Q 4627

biggendenservo@bigpond.com

SSCSAQ

Howard Motor Repairs

Ian & Jo-Anne Farrell

88 William Street, Howard Q 4659

Howardmotorrepairs@bigpond.com

AED

28 | Motor Trader April 2015

Investment matters

MARKET WRAP

EBRUARY PROVED TO be an exceptionally strong month for equity markets with the S&P/ASX 200 Accumulation Index closing up 6.9 per cent. Unexpectedly, Resources outperformed the market led by metals and mining. The 1H15 Australian reporting season was of main interest during the period and while companies still highlighted challenging operating conditions, overall growth expectations remained largely intact across most sectors. This helped drive the market, in addition to the RBA’s decision to cut the cash rate to 2.25 per cent. The reporting season was an exceptionally good one for our portfolios. Many strong reporting results were met with favourable share price responses. Profit growth for the market was up 1 per cent, which was a little above market expectations heading into the results. Excluding Resources growth was up 6.5 per cent, however sales growth remains weak and cost control remains a key focus. Major resource companies RIO and BHP produced strong cost-cutting performances that surprised the market and led to profit upgrades and a good share price response. Consumer stocks results were not as bad as feared and the 2015 year has started strongly. We saw strong share price reactions to stocks such as Super Retail Group and Flight Centre. The market is beginning to anticipate a better environment as lower interest rates and oil prices should spark better sales in 2H15. Across Financials it was a mixed bag. Macquarie Bank announced a profit upgrade, Suncorp and IAG struggled as the cycle turned and QBE Insurance delivered ( finally) a sound result and was re-rated substantially.

“CONSUMER STOCKS RESULTS WERE NOT AS BAD AS FEARED AND THE 2015 YEAR HAS STARTED STRONGLY . . . THE MARKET IS BEGINNING TO ANTICIPATE A BETTER ENVIRONMENT AS LOWER INTEREST RATES AND OIL PRICES SHOULD SPARK BETTER SALES IN 2H15” There were also a number of stocks that produced very strong growth ahead of expectations, which led to a strong share price performance. Examples were Resmed, Estia Health and Lend Lease Group. We saw only minor areas of disappointment. IRESS delivered profit growth of 26 per cent, which was ahead of expectations but disappointed the market by guiding to profit growth of 3–5 per cent next year. We do not see this as overly concerning as we note management is investing heavily in new regions (Asia and Canada) and in new product, which will provide a launching pad for future growth. In the Consumer Staples sector, Woolworths signalled that it will start competing aggressively on price. Understandably, the market reacted negatively to this development. We continue to see support for the market because of low interest rates as investors seek to replace low yielding cash or fixed interest with a higher yielding asset class. The outlook for growth is improving as a low oil price is helpful for global growth which is

cycling a weak period. In addition, domestic conditions appear to be improving in response to the low oil price and the shift in currency and interest rates. We expect profits to improve for a range of domestic sectors and internationally exposed stocks. However, we are aware that the market has enjoyed a strong run over the past month, beyond most investors’ expectations. After such a quick rise it would not be unusual to see some consolidation or a pullback in the market. We would not be surprised, or disappointed, by a pullback in the market given the strong run. Rather we see it as creating better entry points for a range of stocks. A pullback would provide greater valuation support and allow some time for stocks to grow into their current rating. Following the reporting season, we are confident that our investments are in quality companies that are operating well and whose stocks will retain interest from the market. DISCLAIMER This document provides general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Investment in a Dalton Nicol Reid individually managed account can only be made on completion of all the required documentation. Whilst Dalton Nicol Reid has used its best endeavours to ensure the information within this document is accurate it cannot be relied upon in any way and recipients must make their own enquiries concerning the accuracy of the information within.

April 2015 Motor Trader | 29

The hit list

LAMBORGHINI MIURA

THE BEST-LOOKING

CARS MADE

EVER

EAUTY IS, SO the saying goes, in the eye of the beholder, and in this month's 'hit list' Motor Trader goes all misty-eyed over history's best-looking motors. Of course, there is nothing more subjective than whether something, or

someone for that matter, is attractive and we're sure that you have some thoughts about what should, and should not, be on the list. Let us know your thoughts at publications@mtaq.com.au - we'd love to hear from you!

ASTON MARTIN HAS created plenty of beautiful cars in its long history but the DBS, made from 1967-72, is the standout. A stunning example of the Grand Tourer and much more muscular-looking than the contemporary E-type Jag, the DBS found fame as James Bond’s car in the 1969 film On Her Majesty’s Secret Service (that’s the one starring Aussie George Lazenby) and again in the early seventies as the

30 | Motor Trader April 2015

MADE BETWEEN 1966 and 1973, the Miura has a classic sportscar silhouette and thanks to its flowing lines and curves it seems more like a graceful speedster than a racing-car-fast monster. In fact, it was the fastest production car of its time, capable of hitting 280km/h - the air scoops just below and to the rear of the doors giving just a hint of the 4-litre V12 engine that sat lurking behind the driver’s cabin. The Miura lasted six years until someone spiked everyones drinks at Lamborghini and they replaced it with the bonkers-looking Countach.

E-TYPE JAGUAR

“THE E-TYPE WAS A SENSATION WHEN IT HIT THE STREETS IN 1961 AND THE CAR STILL LOOKS INCREDIBLE TODAY.”

A CAR THAT couldn’t be more ‘sixties’ if it was being driven by Sean Connery (as James Bond, of course) down Carnaby Street, with supermodel Twiggy in the passenger seat and The Rolling Stones playing on the radio. The E-Type was a sensation when it hit the streets in 1961 and the car still looks incredible today. The long hood suggests an immensely powerful engine hiding beneath it, and the lines and sweeps of its curvaceous body give it an exotic look that’s impossible to deny. A dead-set classic, the E-Type is held in high enough regard that a 1963 Roadster is a permanent fixture at New York’s Museum of Modern Art. Enough said!

ASTON MARTIN DBS

LAMBORGHINI MIURA

“THE DBS FOUND FAME AS

JAMES BOND’S CAR IN THE 1969 FILM ON HER MAJESTY’S SECRET SERVICE.” fantastic mustard-coloured beauty driven by Roger Moore’s character Lord Brett Sinclair in the TV show The Persuaders.

E-TYPE JAGUAR

BENTLEY EXP 10 SPEED 6

FERRARI 308 GTS

FERRARI 308 GTS FERRARI HAVE MADE a number of beautiful cars - and a few real shockers too, it must be said - and, if we're honest, the 308 GTS may not be everyone’s cup of tea. However, the 308 gets in as an ‘Editor’s Pick’ thanks to its association with one of the great TV shows of all time - Magnum PI. The show had everything - an awesome Hawaii location; the best theme tune ever, an action hero star who sported a moustache so bristly that you could paint walls with it . . . but most importantly there was this beautifully-proportioned scarlet stunner. DEUSENBERG MODEL J

BENTLEY EXP 10 SPEED 6 OKAY . . . this probably shouldn’t be on the list as it is a concept car, but when something as stunning as this comes along it’s hard to ignore it. Revealed at last month’s Geneva Motor Show, Bentley’s decision to create this concept is a nod to their long motorsports history and it is a beautiful piece of work. No doubt loaded with all the luxuries one would

DEUSENBERG MODEL J

“...WHEN SOMETHING AS

STUNNING AS THIS COMES ALONG IT’S HARD TO IGNORE IT.”

expect from the British marque, if it ever makes it into production you’ll likely need the GDP of a small European nation to buy one.

FORD XC COBRA

A CLASSIC AMERICAN motor, the Model J was created in 1929 at the height of Prohibition and it is very easy indeed to imagine Al Capone, or any other heavyweight from the bootlegging underworld, swanning about Chicago in one, dodging bullets and escaping assorted violin case-carrying gunmen. Built to challenge the luxurious European motors such as Rolls-Royce, many Duesenbergs were sold as a bare chassis with the interior and body built by coachbuilding specialists, meaning they were always special and spectacular.

FORD XC COBRA DE TOMASO MANGUSTA

DE TOMASO MANGUSTA ANOTHER ITALIAN STUNNER makes the list in the form of this 2-door sports supermodel. Built between 1967 and 1971 the Mangustas had some interesting touches, not least of which was the gullwing engine doors hiding the mid-mounted V8 which gave the back window a unique split appearance. Low-riding, wide and stylish, the Mangusta gives the Miura a run for its money as the best-looking model to come out of Italy in the 60s that isn’t called Sophia Loren.

FROM THE SUBTLE and graceful shape and lines of the E-Type and Miura to the big, growling beast of the XC Cobra. Hugely long and wide the XC dominates like few other cars. Like a rugby league front rower after a few beers on a Saturday night there’s little that's subtle here – the bonnet scoops, wings and fairings all pointing to brutish power. But the real pull of the Cobra is the quite stunning paint job - a Cobra with any other colour design might struggle to get on the list.

HONOURABLE MENTIONS

“LOW-RIDING, WIDE AND

STYLISH, THE MANGUSTA GIVES THE MIURA A RUN FOR ITS MONEY AS THE BESTLOOKING MODEL TO COME OUT OF ITALY IN THE 60S THAT ISN’T CALLED SOPHIA LOREN.”

Lamborghini Reventon (2009) Ferrari Enzo Lamborghini Countach (1974) AC Cobra (1961) Chevrolet Corvette (1963) Ford GT40 (1966) Mercedes-Benz SLS Gullwing (1954 & 2014) Porsche Carrera RS (1973) VW Karmann Ghia (1955)

April 2015 Motor Trader | 31

Industry insight

HOW MORE SALES CAN CAUSE CASH-FLOW PROBLEMS “ T HE AGE-OLD QUESTION accountants get asked by business clients is “How come I’ve made more profit but I don’t have anymore cash?” The answer to this question lies in the issue of the ‘Cash-flow Cycle’. The ‘Cash-flow Cycle’ is an issue often overlooked by small business owners until business starts to grow and they being to experience ‘cash-flow squeeze’. Let me explain how it works. In the diagram below you can see a timeline of 365 days.

• Depending on your accounts receivable management you could wait 60 days to get paid – which adds another 60 days negative cash-flow. • This adds up to 90 days negative cash-flow. This means your money has been somewhere other than your bank account for 90 days i.e. in the bank account of your supplier and your customer. This is referred to as ‘funding the sale’. This is also known as ‘working capital’ which means that you need to have a certain amount of

CASH-FLOW CYCLE 1

Buy Stock

Pay for Stock

120

Sell Stock

You get paid

30 Days

60 Days

Negative Cash-flow

365

90 Days Negative Cash-flow!! The diagram shows: • Before you can sell anything you have to buy something i.e. stock or it could be labour • Depending on your sales cycle i.e. how long the stock sits in store, you may hold onto stock for 60 days. • Depending on the terms you get from suppliers you may have to pay for that stock after 30 days – which means you have 30 days negative cash-flow. 32 | Motor Trader April 2015

money to fund sales all the time. The above causes a problem when growth occurs because the issue just gets bigger. If a business isn’t working to minimize the number of days stock is in store and the number of days customers are taking to pay then the problem just gets worse when sales grow. Sometimes businesses get very focused on increasing sales and the issues of stock movement and accounts receivable get ignored or

A LOT HAPPENS TO CASH ON ITS JOURNEY FROM THE SALE TO YOUR BANK ACCOUNT. IF YOU ARE PLANNING TO GROW YOUR BUSINESS YOU MUST UNDERSTAND THIS PHENOMENON OR YOU COULD BE HEADING FOR PROBLEMS.” are not considered worth investing in. This is why growth can often kill what appears to be a good business. In a ‘service based’ business jobs or ‘work in progress’ can cause cash flow squeeze if billing and payment terms are not well managed. It pays big time to calculate a billing and payment programme with customers, taking into consideration the payment for materials and labour on a job. The ideal is to ask for a decent deposit up front to cover as much of material costs as possible, then progressive payments to cover labour. A lot happens to cash on its journey from the sale to your bank account. If you are planning to grow your business you must understand this phenomenon or you could be heading for problems. ‘CFO On-Call’ is a team of Financial Controllers who help business owners understand the ‘Cash-flow Cycle’ and grow business safely, by managing cash effectively. Please feel free to download a copy of our Ebook ‘How to control your business cash-flow… and keep some for yourself’ at http://info.cfooncall.com.au/how-to-controlyour-business-cashflow.

Travel Further – Go the NTK Way Not many people realise just how important correctly selecting and fitting the right oxygen sensor is to a vehicle’s performance. NTK Oxygen Sensors effectively and efficiently monitor the concentration of residual oxygen within the exhaust gases produced by an engine; to ensure the vehicle is not running too rich or too lean. The result is optimal fuel efficiency and a reduction in harmful emissions, which means that you can help your customers travel further on one tank, while at the same time reducing their impact on the environment. NTK’s aftermarket oxygen sensors are designed to match or exceed original equipment specifications and have a factory fitted connector to ensure a direct fitment is guaranteed every time. So the next time you need to replace an oxygen sensor, choose NTK, the world’s largest manufacturer of oxygen sensors.

NGK/NTK E-Learning Accomplish NGK and NTK product modules. Learn the basics of the products and beyond. Receive a certificate upon completion of each module. Go to www.ngkelearning.com.au and register now!

April 2015 Motor Trader | 33

J000745E

To find out more about the cost saving effects of NTK Oxygen Sensors visit ngk.com.au

A SUP A T

The industry super fund for the automotive industry

Low fees*. Run only to benefit members. A range of investment options Award winning industry leadership SECURE, ONE TRANSACTION CLEARING HOUSE Manage employee super contributions to multiple funds

FIND YOUR LOST SUPER We’ll help you consolidate and boost your super balance

SUPER ON THE GO Check your balance and investment choices

mtaasuper.com.au Gadi Electrical | Electrical Contractors No. 68790

Motor Trades Association of Australia Superannuation Fund Pty Ltd (ABN 14 008 650 628, AFSL 238 718) is the Trustee of MTAA Superannuation Fund (ABN 74 559 365 913). You should consider whether or not MTAA Super is appropriate for you. The MTAA Super Product Disclosure Statement (PDS) can be obtained by calling us on 1300 362 415. You should consider the PDS in making a decision. * All fees are below the Industry Average and received a “Leading” trend assessment. Source: Latest SuperRatings Benchmark Report