NATIONAL FEATURE by Alana Quartuccio 10 SCRS LEADERS HIGHLIGHT GROWTH, BENEFITS AND POSITIVE RESULTS Working to make a difference.
WMABA WINNER’S CIRCLE by Alana Quartuccio 14 WMABA CELEBRATES PHIL RICE FOR HIS PASSION, GENEROSITY AND PARTICIPATION A real WMABA champion.
NATIONAL NEWS by Chasidy Rae Sisk 22 BACK TO SCHOOL, BACK TO SEMA: A GLANCE AT SCRS’ RDE AGENDA A variety of thought-provoking sessions. INDUSTRY ADVICE: ASK MIKE 36 ARE SHOPS TRULY BENEFITTING FROM THEIR OEM CERTIFICATIONS? Are shops seeing ROI?
MESSAGE PRESIDENT’S IT’S NOT THEIR BUSINESS
The Collision Industry Conference (CIC) in Denver had plenty of things come out of the week – from the SCRS board meeting to the SCRS Affiliate Conference and CIC committee presentations. Undoubtedly, the biggest topic of conversation was the bombshell of asTech and GEICO intertwining their relationship via an endorsement and standardized pricing agreement. The topic was broached during the CIC open mic session as repair professionals expressed their frustration and disbelief that asTech and GEICO have reached agreement on pricing structure on scans and calibrations. It’s become a hot topic and has been discussed at length since, and rightfully so. Essentially, a shop’s vendor stepped around its customer – the repairer – and made an agreement to standardize pricing with an insurance company. Now keep in mind, insurance companies don’t perform scans, purchase scan tools, or do any direct business with scanning and calibration companies.
Vendors have no business entering into agreements with an insurance company or any other business who is not a customer of their service. After all, it is us who pay the bill. While the announcement was intended for GEICO’s DRP network shopswho have chosen their own contractual obligations – we all have experienced how those B2B agreements have affected the rest of us. We’ve all experienced how insurers use what they deem to be “market standard” or “prevailing” rates and charges as a means to limit indemnification for consumers outside of their networks. Who has heard you are the “only one in the area”?
What’s more troubling is the depth in which the agreement goes beyond just standardized pricing, but down to certain calibration operations being included in their pricing and the reliance on a recommendation from asTech on if an aftermarket scan (which they are calling OEM-C) will suffice in place of an
WMABA OFFICERS
PRESIDENT Kris Burton kris@rosslynautobody.com - 703-820-1800
VICE PRESIDENT Phil Rice phil@ricewoods.com - 540-846-6617
TREASURER John Shoemaker john.a.shoemaker@basf.com - 248-763-4375
SECRETARY Barry Dorn bdorn@dornsbodyandpaint.com - 804-746-3928
IMMEDIATE PAST PRESIDENT Steven Krieps steve@gregclineauto.com 304-755-1146
Jordan Hendler (jordanhendler@wmaba.com) 804-789-9649
WMABA CORPORATE OFFICE
P.O. Box 3157 • Mechanicsville, VA 23116
actual OEM scan/calibrations performed with OEM tools and software. I know that we have struggled with insurers – including this one – accepting the OEM documented recommendations, and I’m not sure how the recommendation from a scan tool company suddenly is more reliable. They did not engineer the vehicles.
We, as repairers, have an obligation to our customers to provide the very best repairs possible following the guidelines, procedures and prescribed methods by the automaker. I think of all the families and generations of those families who trust us with their vehicles to make sure they are getting the best and safest repairs we can provide. It is our responsibility to do just that. It is our job to preserve safety, not just to repair a vehicle based upon what an outside company who wasn’t involved in the engineering of the vehicle deems is market reasonable. That is something I continue to prioritize and will not deviate from.
At the end of the day, it is up to us as collision repair facilities to choose to do business with the companies that support us. The companies that recognize who their customer is. The companies that advertise in local trade magazines, show up to association meetings, have booths at trade shows, participate and donate to the local trade schools. The ones who are actively engaged in our industry, and focused on what we – their customer – need. We, as independent collision repair shops, have all the ability to control what we use in our business. It is more important than ever to get involved, to share your perspectives and to be a part of this industry. Reach out to associations, show up at the trade schools and be an active participant to ensure they see the value of continuing to provide classes to all the students.
As always, I’m available to anyone who wants to speak about our industry. H&D
HAMMER & DOLLY STAFF
PUBLISHER Thomas Greco thomas@grecopublishing.com
SALES DIRECTOR Alicia Figurelli alicia@grecopublishing.com
EDITORIAL DIRECTOR Alana Quartuccio alana@grecopublishing.com
SENIOR CONTRIBUTING Chasidy Rae Sisk EDITOR chasidy@grecopublishing.com
Tracy Dombrowski (tracy@collisionadvice.com) 571-458-0648 Bill Hawkins (hawkinswilliamjr@gmail.com) 510-915-2283
OFFICE MANAGER Donna Greco donna@grecopublishing.com
PRODUCTION Joe Greco
COORDINATOR joe@grecopublishing.com
www.grecopublishing.com @grecopublishing
As you’ll read in this month’s issue, the overarching theme of the July Industry Week in Denver was discussion. The conversations were encouraging (as SCRS highlighted initiatives and progress during its Open Board Meeting), concerning (as CIC participants reacted to the asTech-GEICO bombshell in nearly real time during the Open Mic), and as always, eye-opening (with updates on Right to Repair, automation, AI, repair planning and so much more that you’re just going to have to read about starting on page 28). But as always, these Industry Weeks are where the discussions are happening, and where you need to be.
Which brings me to the theme of my message. Are you going to SEMA? I sure hope so. If not...let’s change that.
Not one person I’ve encouraged to travel to Las Vegas for SEMA Week has come back and said to me, “I can’t believe you made me do that. What a waste of time.” It’s almost become cliché at this
point to say it, but I mean it when I tell you there is truly something for everyone at SEMA. If you repair cars for a living, and want to do it in the safest, most efficient and professional way, you need to be there.
Maybe your goal is to learn valuable information from the experts in our field. Well, SEMA has so many educational opportunities that it’d be nearly impossible to attend them all, and SCRS has worked tremendously hard to provide countless opportunities for professional development through the Repairer Driven Education program. (In fact, we recommend you bring a few people from the company in order to try and attend the RDE sessions you need to - which, quite honestly, is all of them.)
Maybe you need some new tech for the shop. At the Las Vegas Convention Center, you’ve got hundreds of thousands of square feet full of the industry’s latest tools, equipment, innovation and more. Or maybe - this is my hope! - you’re
JORDAN HENDLER
also trying to make more of a difference in this industry. There is absolutely no better place to start to dip your toe into these waters than SEMA, and especially at the final Collision Industry Conference of the year happening on Tuesday, November 5. This is an opportunity to be around our people, surrounded by our issues with an entire day devoted to discussing them. You’ll have more networking opportunities than you could dream of, not to mention the chance to sit in the room and be part of conversations with hundreds of professionals representing every area of the industry. If July was any indication, November will be one for the history books. We’ve got a ton to talk about. So, what are you waiting for? The hotel rates and airfare are only going to go up from here. Don’t wait until it’s too late. Make the effort now to plan for a few days out of the business, because it truly is an investment IN the business. If you’re committed to the success of your company, but also interested in the longevity and success of this industry, it’s a no-brainer. You need to go to SEMA, and you really should get those reservations in order yesterday. (That includes CIC. Don’t wait. I promise it’s going to be a packed house.)
I hope to - no, I WILL - see you there! H&D
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NATIONAL FEATURE
SCRS LEADERS HIGHLIGHT GROWTH, BENEFITS AND POSITIVE RESULTS
The Society of Collision Repair Specialists (SCRS) never stops working to better the industry. Every conversation and every bit of research conducted ultimately finds its way toward progress. As Executive Director Aaron Schulenburg put it during the organization’s most recent Open Board Meeting in Denver, “Growth comes from repetition. I talk with a lot of very successful repair businesses who have figured out that the things so many other people in the industry believe are impossible aren’t impossible. They just do them, or they do them routinely enough – or with enough repetition – that it’s no longer something they have to deal with or overcome because it’s just become routine. It’s become practice.
“The repetition matters,” he continued. “People hear you when you speak over and over again of the things that you believe are authentic and are the right thing. They may not resonate with it right away. They may not react to it immediately, but they hear it over and over again. When you share those messages with your customers or in your marketplace, when you’re visible and doing the right thing, when you’re always being honest and helpful and courteous, when you’re being brave because you know that other people don’t see the world the way you do, people hear that. They might react to it later, but it’s definitely something that colors their picture of this industry.”
One of the many ways SCRS seeks to improve the industry is through education. In addition to their Repairer Driven Education (RDE) Series which they hold at SEMA every year, Board members also work behind the scenes testing out some of the latest tools and software. Members of the Education Committee spoke of increasing repair plan efficiency by demonstrating how technology can play a role. To illustrate, the committee demonstrated how they were able to combine the CCC Mobile Jumpstart tool, and the SCRS Blueprint Optimization Tool (BOT) to increase the efficiency of mapping basic estimate needs. Andrew Batenhorst (Pacific BMW Collision Center; Glendale, CA) explained how the Jumpstart software uses AI technology to help “give repairers a little bit more leverage in some of the redundant tasks that one does when assessing basic damage to a vehicle. It helps identify some of the low-hanging fruit to let us make a very quick determination in terms of what a repair cost might be.”
Schulenburg stressed the idea behind the demonstration wasn’t to promote any particular tool, but to “help people think about ways in which [technology] can have an advantage, [but is not meant] to replace what we do because we are firm believers in the skill set of the repair profession that we have.”
RDE pre-registration numbers are already an indication this
Attendees listen as Andrew Batenhorst leads a demonstration during SCRS’ Open Board Meeting in Denver.
BY
ALANA QUARTUCCIO
will be one of the strongest years yet, according to Schulenburg. (See page 22 for details about the 2024 RDE series.) He reminded the audience that the digital RDE series is also available and designed so that repair professionals can share these valuable educational opportunities with those who aren’t able to attend in person.
Testimonials speak volumes, especially in the case of SCRS’ healthcare plan. Roughly 80 businesses and 2,100 participants are on this plan, and SCRS wants to continue to grow those numbers. Schulenburg emphasized the importance of spreading the message to “help other shops understand how we can make a difference within their facilities and for their people.” The audience heard video testimony from a woman who praised the amazing care she is receiving and indicated how grateful she was to her employer for switching to this plan. The absence of upfront expenses have made a world of difference for this single mother battling breast cancer, who stressed, “Every single visit that I’ve gone to – from my CAT scans to my MRIs to my bone scans, my biopsy, my mammogram – not once have I paid a penny. Not once yet.”
employer for life, no doubt.”
pointed out. “To have an employee say, ‘I’d stay here forever because of how good they take care of me,’ that is someone who feels valued despite going through really difficult circumstances.”
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technical information. You’ll see AkzoNobel has a new document for color tinting and color blending recommendations and best practices. And BASF has a document for adjusting color tint and blend.
“The video itself actually led to conversations with technical team members who updated documents as a result, which then led to updated I-CAR curriculum to answer for those updated documents as well,” he added. “It circled toward giving back to the industry. Creating a video led to more technical information that helped lead to more curriculum that will help people better understand how to communicate it.”
H&D
Executive Director’s Thoughts
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partnered with to make this program possible, Richie Seaberry said he’s encountered many collision repairers who “don’t believe this type of program exists or think it’s too good to be true.” He too questioned it upon first review, but “there is no catch. Your employees are going to get the best health insurance they’ve ever had in their entire life.”
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The SCRS 401(k) plan is also continuing to grow. “As we pull in businesses, large or small, we continue to affect positive change for everybody involved in the plan,” according to Schulenburg.
The Media Committee announced the latest series of Quick Tips videos that explore five in-process scans tending to a blendable match, trim levels, customer service versus customer experience and culture in the business, reported Andy Tylka (TAG Auto Group).
Schulenburg pointed to the added value they discovered upon making this particular series. “We ended up interacting with a number of the paint companies talking about the process of tinting to a blendable match, talking about some of the things that come out of the repair facilities and the challenges they’re facing. And as a result, we had two companies that have actually updated their documents relative to this. If you go to our website, scrs.com, under resources, you’ll see an area for refinished manufacturer
The July SCRS Open Board Meeting provided so many examples of how SCRS continues to work on behalf of the success of their membership in so many ways. From reviewing valuable tools and products to after effects of the Blend Study still contributing to positive change to benefits in place that are literally helping the longevity of our industry, they continue to do the work and pay it forward for the benefit of us all. - Jordan
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“Gary, I wanted to thank you for your continued support for my latest purchase of the Autel ADAS Calibration system. You provided the training we needed and most importantly you provided a direction when calibrations needed a little more technical advice. I’ve had the good fortune of finding you many years ago to supply my necessary computer scan tools to stay current and relevant in this everchanging environment.
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I use the analogy of running a business is like being a captain of a ship. My job is steering the ship and plugging the money holes all while navigating into calm profitable waters. After 36 years in business, I can say buying from you and attending many of your Technical Training classes has directly facilitated my continued success in the Auto Repair business.
Your extensive technical training background has led you to a great business opportunity to provide a valuable needed service that many garages and body shops don’t provide. Most cars leave body shops and repair facilities not getting the necessary Calibrations. The more I know the more I see the opportunity to make cars safer for everyone. One of the lessons I’ve learned is that business owners don’t tell other businesses where their Honey hole is. Buying from you with your training and after purchase support is a honey hole they don’t have to miss out on.”
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WMABA CELEBRATES PHIL RICE FOR HIS PASSION, GENEROSITY AND PARTICIPATION
Phil Rice (Huber Motor Cars; Fredericksburg, VA) has worn many hats over the years. No matter which role he plays, those around him can rest assured that Rice will give nothing less than his very best. That is especially true when it comes to WMABA. The longtime Board member was honored this past May during the Southeast Collision Conference as the 2023 WMABA Board Member of the Year.
During the award ceremony, WMABA President Kris Burton noted the many roles Rice has played over the years, from family-business owner to I-CAR instructor and jobber, emphasizing his passion and generosity. WMABA Executive Director Jordan Hendler echoed sentiments about Rice, pointing out, “He’s usually the first one in and last one out at every event. He participates in everything we do. He loves to greet the members at our WMABA events, so he’s always at the registration table.” She also noted Rice’s “super generosity” in his commitment to ride his bicycle hundreds of miles at a time in support of charitable organizations.
“I was shocked,” says a humble Rice about the recognition. “I’m kind of a behind-the-scenes type of guy. I get involved in a lot of things, but I don’t do it for recognition or notoriety. If I was a dog, I’d be a labrador retriever. I have a lot of fun and love to help. That’s my general personality, and to be recognized for it on a stage of that caliber, I was just awestruck.”
A second-generation business owner, Rice’s passion for the industry began at an early age. “My father owned a shop. I worked as a kid and then came on board full time in 1985. My dad took me to my first WMABA meeting back in 1987. He said, ‘Son, if you are going to be successful, this is something you are going to need to be involved with.’” Soon after, “he turned the torch over to me at an early age.”
He recalls the many things that came about over the decades he’s spent in this industry. “I was there when DRPs first came out. I’ve watched the evolution of that. Then I became an I-CAR instructor in the 1990s, and I spent many years teaching.”
When Hendler came into her role as WMABA’s executive director, Rice decided it was time to get more involved. He’s always volunteered his time in some way and has been an active member of the Board for the past 10 years.
“It’s one of those jobs where, if you’re looking for glory, it’s not the right place. But if you are looking to pay it forward, there is no better place to be. It’s an opportunity to put like-minded people together and talk about ways to make the industry better. That’s what I love about WMABA. It’s not about how Phil can run his shop better. It’s about how any business owner can improve, and here are the tools to help with that.”
He’s proud of the things WMABA has been able to accomplish. Topping that list is their work with the state legislature to not allow caps to be put on paint and material rates. “It was awesome to be part of an association that made that happen. It made lives better for every collision repairer in Virginia. To this day, we still forward that published language to insurers if they try to cap these rates.” He’s also proud of WMABA’s involvement on the national level with the Society of Collision Repair Specialists (SCRS) and their work with things like the blend study which has been “instrumental to the financial health of a lot of collision centers.
“It’s great to be part of an organization that works locally and nationally,” adds Rice. “I may be a bit partial, but I don’t think there’s a better association than WMABA.”
What he truly loves most about this industry is the people and how they work together to make a better environment.
From L-R: WMABA President Kris Burton, Phil Rice and WMABA Executive Director Jordan Hendler
“When I come to work each day, I don’t think about how I can put more money into my pocket. I think about how we can build a better environment that has fair pay, good benefits and – first and foremost – inspires all parties to want to fix cars correctly.
“That’s one of those things that we, as a Board, work well together on, to emphasize the importance that we have to fix these cars correctly,” he adds. “We didn’t always know how to do that. When I started in this career in the mid-80s, there wasn’t a rule book or repair guidelines. You pretty much did it however you wanted to. Then I-CAR came about, and manufacturers came out with repair procedures; now, we are able to really identify what it’s going to take to fix these cars correctly before we figure out what our bill needs to look like.”
When it comes down to the things and the people Rice loves most, he is sure to give it his all. Just like with his recent completion of the Tour Divide, a bicycle race that spans 2,700 miles from Canada to Mexico along the Continental Divide Well-deserved
that required him to filter water and purchase and carry his food along the route. He was also challenged to find suitable places to camp for five or six hours of sleep each night amid rugged terrain and unpredictable weather.
“For me, riding is not just about exercise. I love nature. I love to work hard. You can’t ride far and fast without working hard.” H&D
Phil Rice (left) poses with his dear friend Sam Garre of Highland, WI after recently completing the Tour Divide, a bicycle race that spans 2,700 miles from Canada to Mexico.
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WHAT IS ADAS CALIBRATION?
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ADAS calibration is the precise adjustment of your vehicle’s sensors and cameras, essential for the optimal functioning of advanced safety systems. This process is especially critical following significant repairs, part replacements, collisions, or windshield replacements, as these events can disrupt sensor alignment. It’s important to avoid driving without proper sensor calibration. Uncalibrated ADAS sensors can compromise your vehicle’s safety features, leading to potential malfunctions and driving hazards.
The calibration of ADAS can be performed in two main ways: static and dynamic. Static calibration takes place in a controlled environment, ensuring accuracy and consistency. Dynamic calibration, on the other hand, involves driving the vehicle under specific conditions to fine-tune the sensors in real-world scenarios. This comprehensive approach ensures that your vehicle’s safety systems are reliable and effective, providing peace of mind on the road.
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ADAS calibration is the precise adjustment of your vehicle’s sensors and cameras, essential for the optimal functioning of advanced safety systems. This process is especially critical following significant repairs, part replacements, collisions, or windshield replacements, as these events can disrupt sensor alignment.
It’s important to avoid driving without proper sensor calibration. Uncalibrated ADAS sensors can compromise your vehicle’s safety features, leading to potential malfunctions and driving hazards.
The calibration of ADAS can be performed in two main ways: static and dynamic. Static calibration takes place in a controlled environment, ensuring accuracy and consistency. Dynamic calibration, on the other hand, involves driving the vehicle under specific conditions to fine-tune the sensors in real-world scenarios. This comprehensive approach ensures that your vehicle’s safety systems are reliable and effective, providing peace of mind on the road.
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NEWS BACK TO SCHOOL, BACK TO SEMA: A Glance at SCRS’
2024 Repairer Driven Education Agenda
It’s difficult to believe summer is already over and kids are heading back to school, and it’s even more surreal that it’s time for collision and automotive repair professionals to prepare to boost their knowledge by making plans to head to the 2024 SEMA Show, taking place November 5-8 in Las Vegas!
Renowned as one of the world’s largest and most exciting automotive shows, SEMA features the industry’s latest products, innovations and trends from thousands of vendors, but the Show’s plethora of networking and educational opportunities offer even more reasons for repairers to book a hotel room and schedule a flight. Auto body professionals seeking the most relevant education, training, discussions and networking won’t want to miss the lineup planned by the Society of Collision Repair Specialists (SCRS) for its week-long Repairer Driven Education (RDE) series!
“It’s become very inspiring to me to hear why collision repairers choose to attend the SEMA Show every year,” shared SCRS Executive Director Aaron Schulenburg. “There is always such variety in the answer and what people are looking for out of our collaboration with the Show, from some of the most amazing and thought-provoking sessions in the classrooms, to futurefacing conversations about technology and infrastructure in the OEM Summit, to simply networking with friends and colleagues from around the globe that someone may only see once a year because of the SEMA Show. I just think we always felt the Show adds a spark of excitement to what we do in our businesses. It makes it fun to be part of the automotive industry, and it opens eyes to possibilities that might change or amplify how you can support your customer.”
over a dozen more familiar names and some that may not be as familiar. This year’s agenda offers brand-new insights from four first-time RDE speakers: Sheryl Driggers (Collision Advice), Taylor Moss (OEC), David Ghodoussi (Opti-Coat) and WMABA President Kris Burton (Rosslyn Auto Body; Alexandria, VA).
Burton will be accompanied by Michael Bradshaw (K&M Collision; Hickory, NC) and Barry Dorn (Dorn’s Body & Paint; Mechanicsville, VA) as they take participants on a transformative journey into strategic role segmentation and explore its impact on maximizing shop efficiency in an encore performance of their popular seminar, “Efficiency Unleashed: Rethinking Roles in Collision Repair,” which debuted earlier this year at the Southeast Collision Conference.
Driggers will tackle the ever-changing expectations of today’s vehicle owners in “Creating an Extraordinary Customer Experience,” and Moss will offer insights into the best ways to incorporate process and technology into the shifting landscape of collision repair shops during “Crafting a Collision Repair Powerhouse Through Process and Technology.”
Future-focused shops should definitely plan to learn more about what artificial intelligence (AI) holds in store with Ryan Taylor’s (BodyShop Booster) “AI is Here: How Others are Leveraging AI Interactions with Automotive Consumers.” They can gain even more insights by attending “Cracking the Code: Understanding AI and the Invaluable Role of Human Intelligence,” presented by Josh McFarlin (AirPro Diagnostics).
Combat the technician shortage by learning “How to Catch Talent and Keep It” with Kena Dacus of Dacus Auto Body and Collision Repair (McPherson, KS).
SCRS’ contribution to the educational extravaganza features presentations on everything from repair planning to total losses, calibrations and more, taught by some of the collision world’s leading subject matter experts – including Mike Anderson (Collision Advice), Danny Gredinberg (Database Enhancement Gateway) and AkzoNobel’s Tim Ronak and Tony Adams plus
Gredinberg’s “Repair Planning with Precision” offers a unique perspective on using technology and defined processes to navigate overly complex repairs, procedure documentation and consumer communications through documentation and building a fact-and-evidence-based repair plan.
And no collision training is complete without an appearance
by industry icon Mike Anderson, who has updated his renowned “Negotiation Best Practices” class to include some new inspiration from Chris Voss’s Never Split the Difference, as Anderson seeks to help attendees understand and employ empathy, complete an audit of all the possible negatives in the situation and learn how to handle when insurers say “you are the only one” or “no one else charges for that.”
Wednesday afternoon wraps up with the IDEAS Collide Showcase, which will feature 10 fast-paced presentations designed to stimulate thought, innovation and resolution of business challenges with brash, outspoken and provoking concepts from thought leaders both in and out of the industry.
The final day of SCRS’ educational delights kicks off with a special FREE RDE session, “Blend Outcomes in Black and White: Using Documentation to Drive Informed Conversation About Blending,” as Schulenburg provides an update on how the information providers (IPs) have responded to the blend study results revealed at SEMA 2022. In addition to discussing the outcomes and system updates that have taken place as a result of the study, he will strive to help attendees understand how those changes can provide opportunities to document variations in the refinish process and provide both painters and repair planners a foundation for more informed conversation surrounding the application of refinish for color match.
RDE 2024 concludes with SCRS’ OEM Collision Repair Technology Summit, an all-afternoon series broken into three special sessions, which features experts in automotive innovation and design. Details will be released closer to the Show.
“We are finalizing some really amazing content for the OEM Summit,” Schulenburg added. “The Summit has always been
intended to put collision repair operators in a room with innovators in automotive structural design and technology and provide access to people and perspectives they can’t reach anywhere else. The sessions typically focus on emerging trends and collision industry preparation so that the industry can benefit from better insight into how vehicles, materials and technologies are evolving and what that means in the repair process. This year’s program is poised to deliver on that promise, and I would secure a seat early!”
Although repairers’ calendars are sure to be jam-packed with the RDE sessions taking place at the Las Vegas Convention Center, auto body professionals from all segments of the industry won’t want to miss the final Collision Industry Conference (CIC) of the year, taking place on Tuesday at the Westgate Las Vegas Resort & Casino. A quarterly forum consisting of participants from all segments of the industry, CIC provides attendees with an opportunity to discuss and explore the issues that most impact their businesses, seeking to form consensus on various concerns through discussion, research and extensive interim committee work; CIC recognizes that all such findings are non-binding and must be accepted voluntarily. Meetings are open to all interested parties from any segment of the industry, including repairers, insurers, paint/material companies, equipment suppliers and manufacturers, OEMs, data providers, trade association representatives and more.
There’s tons to see and do at SEMA each year, so don’t delay; make plans NOW to avoid missing out!
Registration is now open to automotive and collision industry professionals for the 2024 SEMA Show at semashow.com. Sign up for SCRS’ RDE series at scrs.com/rde, and learn more about CIC at ciclink.com H&D
S H O P F I X I N C .
I N S T A L L A T I O N & S E R V I C E
P R O V I D I N G P R E M I E R E Q U I P M E N T , E X C E P T I O N A
Here’s to 241 years of combined service excellence
This year, as Albert Kemperle Inc. celebrates its 83rd anniversary, BASF also celebrates its 158th anniversary. We are proud of our decades of partnership with BASF and years of serving the auto paint and body industry together. Kemperle’s founders would be proud of this relationship and the growth their company has experienced because of it.
Today, as we look forward to many more decades of service to our customers, we find ourselves filled with gratitude. The creativity, hard work, and sense of responsibility of the people working for our two companies have made us what we are today.
Thank you for your many years of loyalty.
626 E. Elizabeth Ave., Linden, NJ 07036 Phone: (908) 925-6133
COVER STORY Voices Rise at July CIC A CHORUS OF CONCERNS:
“Your voice matters.”
Collision Industry Conference (CIC) Chair Dan Risley conveyed this strong message in his opening remarks during the July conference held in Denver, CO. His encouragement set the tone for a day filled with enlightening discussions that explored technologies, offered automation, estimating and post-repair customer experience solutions, questioned the intentions of proposed federal Right to Repair legislation and unleashed a chorus of alarm and concerns over the asTech/GEICO standardized pricing agreement, which had just been announced the previous day.
First to respond to Risley’s urging to take advantage of open mic time was Bob McSherry (North Haven Auto Body; North Haven, CT), who sought answers from asTech representatives about news of the aforementioned agreement. “Can you please explain to me why you – a vendor that I use – would enter into a standardized pricing agreement on behalf of the customer, which is me?” He proceeded to call it a “special kind of stupid. I’ve been a long-time user, and I can tell you that comes to an end when I go back to work tomorrow. If someone can enlighten me, I would really like to know why you would enter into an agreement on my behalf with an insurance carrier. It absolutely freaking baffles me.”
Responding for asTech was Jason Vilardi, vice president of sales, insurance and estimatics relations, who claimed the agreement would not change their position to do safe and proper repairs and that “we did this for our customers to streamline everything for them to make the process easier. We didn’t really take this as being a massively negative thing; we got a top carrier who most people would say they’ve struggled with, and now we brought them in on what we do, how we do it and – in our minds – are willing to almost step up and actually cover more OEM scans than they every previously did.” He further claimed that asTech customers “should not feel a change in the reimbursement process.”
Barry Dorn (Dorn’s Body and Paint; Mechanicsville, VA) questioned how asTech could enter into an agreement with an entity that isn’t involved with the repair process at all.
Others came forward, including Society of Collision Repair Specialists Executive Director Aaron Schulenburg, who brought forth an “elephant-in-the-room” question directed to Vilardi: “Jason, I don’t want to put words in your mouth, but the answer that I heard was that they endorsed your product…what I’m curious about is, was the standardized pricing agreement predicated on the endorsement of your product? So, was this standardized pricing a result of the endorsement?”
Vilardi evaded, “A customer is still in the same position they were beforehand. They’re not making less money from us on a scan today than they made yesterday, although the price is less. The cost is less, so they will be made whole in their numbers.”
“I strongly object to third parties engaging and negotiating set prices, coming up with agreements or controlling a market price on behalf of me, my industry or my customers,” objected Jeff Butler (Haury’s Collision & Vintage; Seattle, WA) whose comments were met with applause.
Mike Anderson (Collision Advice) came forward to voice concerns about “the precedent it sets for taking the collision repair professional out of the equation as it’s my understanding that the asTech/Repairify software is going to determine whether an aftermarket scan tool suffices or an OEM scan tool. They’re making that determination, not the shop, not the consumer, not the OEM certification program, but their software device is, if that’s accurate.
“It disregards anything that engineers from the OEMs have told us in regard to OEM scan tools,” Anderson continued. “As someone who has the blessing and opportunity to work with a lot of OEMs, I can stand here, 1,000 percent without hesitation or reservation, and say there is a huge difference between an aftermarket and OEM scan tool.”
Conversations brought other concerns to light. The Parts and Materials Committee brought Schulenburg, Wayne Weikel (Alliance for Automotive Innovation) and Bob Redding
(Automotive Service Association) to the stage to dive into the intentions of the proposed REPAIR Act, expressing that this legislation is less about independent repairers having access to information to fix vehicles properly and more about protecting parts choices.
Schulenburg used what the CAR Coalition says about the proposed bills as an example of the real intentions behind the bill and those championing it. They define its goal as being to “protect the ability to get the parts, tools and information to choose aftermarket parts. That’s different from making sure that consumers have the right to choose a repairer who has the parts, tools and information to fix cars. That’s a very specific purpose. If you read through it, you start to understand where the focus is. The focus is on protecting the choice of a part type rather than necessarily protecting the type of repair or protecting safety. The REPAIR Act doesn’t mention safety anywhere. It’s not a bill that talks about consumers having the right to choose or not be influenced or be limited or things along those lines. So when you start looking at the drivers behind that and look at groups like the CAR Coalition, you have lots of aftermarket parts companies, alternative parts platforms, insurance companies and things along those lines. So in my opinion, both bills are very much parts acts; one is about protecting the right to choose aftermarket parts, and the other is about limiting intellectual property protection for OEMs on patents, and they’re really both focused on parts initiatives.”
Weikel added that a lot of time has been spent up at Capitol Hill by the other side to present the bill as “Right to Repair, but they don’t actually represent repairers. The REPAIR Act has been framed to present this as the ability to complete a repair when that’s not really what it’s about.”
Schulenburg hopes “conversations can shift from simply preserving a consumer’s choice for one type of part, to a consumer having the ability to choose where they want to have their vehicle repaired, how they want to have it repaired and with what type of parts they want it repaired, whether that means they want an original part or an alternative part, whether they want to go to an insurance preferred shop or an OEM-preferred shop. It should be focused on making sure that consumers are entitled to safe, proper and thorough repairs.”
“What Aaron is saying is very important,” stressed Redding. “When we go into the Congressional Office about our position and tell them we don’t support these bills as they’re currently drafted, their response is, ‘I don’t understand that; we’re doing this to help you.’ They don’t understand all the dynamics of these various industry sectors. When you explain it to them, they get it, so we’re trying to shift this debate to if you are going to do a repair bill, that affects all repairers –mechanical and collision – it needs to do what we want it to do.
“It’s difficult to put the toothpaste back in the tube, so it’s
COVER STORY
critical we get this bill right,” he added.
The Emerging Technologies Committee armed the audience with important intel on how to properly maintain low-voltage systems within EV and hybrid vehicles and the importance of following OEM service information. “It’s really important to know what you’re up against,” stated Donny Seyfer (National Automotive Service Task Force).
“Learn the different types of vehicles that you service and what their needs are for maintenance,” Seyfer offered. “If you’ve got a vehicle that’s going to be [at the shop] for a while, with a lot of these modern charging systems, the vehicles actually draw current by sitting there. And it’s big numbers these days, so you may actually want to maintain a battery while the vehicle is waiting for parts or things that might take a while to get to the shop. Make sure you get a real battery charger. The prices are rather stunning, but the nice part is that many of them are capable of doing all different chemistries for you.”
Seyfer warned, “Charging has to be current, voltage and temperature regulated. If any one of those three parts of the triangle are off, you can damage a battery, so this is why modern chargers are really important, because if you just put the right voltage to it, you could be putting stunning amounts of current in it with some of the old push-around batteries.”
“Our battery technology is getting better, so we can make these technologies work much more efficiently and much more effectively,” stated Scott Baumfalk (Automotive Imports; Littleton, CO), who explained he views the 48-volt-mild-hybrid as a “re-emerging technology” as opposed to emerging “because we dealt with these, and any of you in the industry that have been there for three decades or more, like myself, have seen these technologies. But they weren’t quite as good as they are now, primarily because of our battery technology.
“Another big thing for these 48-volt systems is how they work with our start/stop systems and in lowering emissions,” he added. “The simple start/stop system that we’ve become acclimated to lowers emissions somewhere between five and 12 percent, depending on whose study you’re reading.” He used
Mercedes’ redesign of their entire platform which “eliminated the mechanical 12-volt starter altogether,” and as a result, “they have no belt, they have no accessories on the front, and they start and stop this engine and regulate and generate electricity all through an integrated starter/generator between the motor and the transmission. So if this battery fails or if the 12-volt battery gets too low, this car will not start, it will not move, and you’ll likely be calling a tow truck or someone who has a lot of experience with these in order to get this car up and running.”
These technologies are “lowering emissions,” he concluded. “We’re starting and stopping the cars more seamlessly and increasing the performance of these cars. So the first wheel revolution of the internal combustion engine is propelled by the medium hybrid system. And so that’s a big gain there. They don’t have to make the engine more powerful. They don’t have to use more hydrocarbons, and we have a better product.”
For the third time on the CIC stage, discussion continued about the SCRS blend study, but this time, the conversation focused on the “significant amount of changes” that are now taking place with shops’ billing and insurance claim practices. Schulenburg was joined by a panel of technical experts from some of the leading paint manufacturers including Jeff Wildman and Ralph Lieja (BASF), Mark Jahnke (Axalta) and Ryan Brown (AkzoNobel) who shared their respective companies’ processes for developing their paint systems bringing to light that variations and variables that need to be considered, which verifies the importance of having different conversations in order to arm the repair planner with the right dialogue to have with the bill payer.
Michael Lastuka (State Farm) and Darrell Amberson (LaMettry’s Collision; MN) were also on hand to contribute some poignant observations from the perspective of both insurers and repairers. Lastuka expressed agreement about having the right conversations, stating that “knowledge is power” and stressing that shops should take the time to communicate.
Danny Gredinberg (Database Enhancement Gateway) led the Estimating and Repair Planning Committee’s critical “on-the-spot evaluation” discussion “because no two accidents, no two repairs
Jason Vilardi (asTech)
SCRS Executive Director Aaron Schulenburg
Bob Redding (Automotive Service Association)
CIC Chair Dan Risley
are identical to each other.”
Using CCC Estimated Worktime Premise as an example, Gredinberg pointed out, “There’s lot of details in there, especially the list of operations that are commonly not factored or included in any of the published labor times here. And when you go down this list of operations, there are nearly 43 Estimated Worktime Operations just in this section alone on the body side. That’s not factored into any published labor time.”
He illustrated various factors that come into play. “How can we take that cookie cutter and apply that logic across a damaged vehicle every single time? So again, on-the-spot evaluation, is it the same thing over and over again, or can there be variables involved? And there’s weather and conditions and different considerations that a repair planner has to take into account on that specific year, make and model car.”
Communication is key in the process, and it’s a fact-based conversation, not an emotional one, Gredinberg suggested. “We need to make sure the right people are getting that communication – our repair planners, estimators, CSRs, people on the front end who can identify these challenges or these potential things that are going to blow up in the middle of the repair process so we can have the right materials, we can have the right supplies, we can have the right consideration, so you can have the right discussion with the person who is going to reimburse for that bill, whether it be the customer or the bill payer itself.”
Erin Solis (Certified Collision Group) pointed out that technicians have to understand how to use the tools and the repair planners who are “doing the on-the-spot evaluation to put it on the repair plan have to be able to explain it to whoever is paying the bill. And I think that there’s a big disconnect from the person who’s actually using the tools to the person who is doing the evaluation. And we need to bridge that gap a little.”
“You need to be able to explain it in a way that makes sense to both your customer and the bill payer involved. So, that way it makes sense to them,” agreed Gredinberg, adding that it all comes down to creating a memorable experience for the customer to know “the work that we do is going to be tailored and customized to them.”
The Future Disruptions Committee panelists sought answers to the question: How can automation be used to make auto body facilities more efficient?
Darrell Amberson foresees it being used for the “monumental task” in administrative work due to the trend of needing to provide “more documentation to prove what we’re doing in terms of the repair process to protect ourselves and to offer verification to the insurers. Half our staff essentially does admin support work, planning, organizing, orchestrating, interacting with customers that isn’t part of directly fixing the car, so there would be huge value if there were things that could improve that efficiency. We really haven’t seen a lot of that.”
“What is it going to take to get automated refinishing, for example?” moderator Trent Tinsley (Entegral) inquired. “There are some products out there right now that automate welding. How far away are we from doing that? They can do some basic things now; I saw demonstrations at SEMA. They can do some welding operations on a wheel. But how far away are we from automating those sorts of things in the shop? I don’t think we’re anywhere near where we could be.”
The OEM Relations Committee set out to address post repair inspections and how the industry can work to elevate the collision repair experience overall. Led by co-chairs Solis and Liz Stein (Certified Collision Group), panelists included Jeff Butler (Haury’s Collision & Vintage and Collision Consulting of Washington), Ron Reichen (Precision Body and Paint; Beaverton, OR) and Kelly Dougherty (General Motors), who examined issues from the perspective of the “empty chair.”
Previous studies showed that consumers’ largest complaints had to do with paint, but there’s possibly a deeper problem. Stein revealed, “The consumer had returned to the original repairer an average of three times before they actually went to that post-repair inspection. So, not only was it three times the cost; for those of you who are shop owners, think about the three times that they went back. You’ve had to pay the technician, you had to pay the painter, to try to address those issues.”
Stein shared her own personal experience involving her daughter’s vehicle and how the repair facility’s “consultative approach” made for a much better experience for the young new driver.
Too many shops don’t “read the signs on the side of the road,” Butler indicated. “They don’t know the rules, they don’t follow them, and they don’t care, right?” He referred to this negative method as “practicing law without a license.”
Reichen suggested shops “get the idea of an estimate out of your mind. Start with a collision consultation, review the vehicle, review the repair procedures on the obvious damage that you have. Do a meticulous disassembly of the vehicle, measure it. Do those accurate things, follow the repair procedures after you’ve read them and analyzed them.”
The next CIC meeting will be held November 5 in Las Vegas during SEMA 2024. Visit ciclink.com for more information. H&D
Executive
Director’s Thoughts
If you were in the room at the July CIC, you saw exactly why we do what we do. The conversations that happen may not always be pretty, but it is critical that they happen in an open forum where all stakeholders of the industry are involved. It is in environments like these where change is effected, and where the masses can properly vocalize their concerns for doing the right thing. I look forward to these conversations continuing in November at our final CIC of 2024, and really hope to see you there. - Jordan Hendler
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Are Shops Truly Benefitting from Their OEM Certifications?
This month, we “ASK MIKE” to share his thoughts on the current state of OEM certifications in the industry. We at Hammer & Dolly hope you find the following exchange useful, and we encourage you to reach out to us if you have a question for Mike on this or any industry-related matter that he can answer in a future issue.
Hammer & Dolly: Based on your experiences as an industry consultant, what is the current state of OEM certifications in the collision repair field? Are shops seeing the ROI they expected from achieving that designation? If not, why are some certified shops missing the mark in making the programs work for them?
Mike Anderson: When you look at OEM certifications, you need to break them down into two groups: The ones with restricted parts sales and the ones without. Shops in the first group see a huge ROI mostly because of those restricted parts sales. However, some shops may have made the investment but haven’t seen as many vehicles come to their door as they had anticipated. That situation has made some of them wonder whether they made a mistake in pursuing the certification and question whether they should renew it. It could be a matter of some areas being flooded with OEM-certified shops, but it’s also a matter of some shops not having a plan beyond just expecting work to show up. Certified shops need to market those certifications.
While doing research for an OEM, we at Collision Advice discovered that less than 40 percent of its certified shops had that OEM’s logo on their websites. About half of the shops that did have the OEM’s logo on their website violated that OEM’s logo requirements for size, font, etc. We also found that some
shops that claimed not to be seeing a return on their investment also weren’t mentioning their certifications when they answered their phones. When we ‘mystery called’ over 200 OEM-certified body shops, only 10 percent mentioned their certifications. Most of them just asked, ‘Are you going through insurance?’ and started straight down that path. It’s a mistake not to mention your certifications.
H&D: That sounds like a massive missed opportunity, especially when these facilities invested so many resources to become certified. What are some other ways that OEMcertified shops should be marketing that status?
MA: Again, work isn’t just going to show up for you, so OEMcertified shops need to build relationships with dealerships. Some shops will say that the dealerships in their area already send work to someone else, but that’s why these shops need to educate the dealers on the value of sending work to them. A big part of that is letting the dealership know that you’re going to buy OEM parts from them and not lean on them for price matching. You could also let them know that you’re going to refer customers to them for calibrations and safety inspections. Maybe refer total losses to them so they can sell more vehicles. It’s all about building relationships with them and demonstrating that you can bring them value.
If you’re OEM-certified, contact the car clubs in your area and offer to host an open house for them. Educate them on the differences between OEM and aftermarket parts. Scan their cars with OEM tools and point out anything that may be wrong with their vehicles. Educate them on safety inspections. The whole point of marketing is to let people know who you are before they even wreck their cars.
H&D: Do you ever see a time when OEM certifications will become a true alternative to the more traditional shopinsurer partnerships we’ve been seeing for decades now?
MA: Obviously, the shops that are certified by high-end luxury OEMs that restrict parts sales feel they can have a more educated consumer and get reimbursed more fairly for safe and proper repairs. When you look at OEM certifications, you need to look at the benefits that come with them beyond getting customers. A lot of OEMs have great hands-on training – and that’s incredible for shops. Toyota and Lexus, for example, have some of the best training available in the industry. BMW has Service Technician Education Programs, or STEP, which help address the technician shortage. Certified facilities are also placed in shop locators. There are a lot of benefits, but you also must be willing to put in the time to research those benefits.
Am I saying that all OEM certification programs are created equal and that all of them present value? No. Some are on the very top tier, others are on the lower tier, and some are in between. Also, I would be 1,000 percent remiss if I didn’t mention that not all shops are doing the same standard of quality repairs, OEM parts, and safety inspections. However, based on my understanding, there are several OEMs that are working to raise the bar.
H&D: Where are the OEMs’ checks and balances to ensure that the shops that do carry their logos and do share their names in marketing are living up to what those things suggest?
Mike Anderson is an Accredited Automotive Manager (AAM) and the former owner of Wagonwork Collision Centers, two highly acclaimed shops located in Alexandria, VA. He has served as a member of many industry organizations throughout his career, including the WMABA Board of Directors, the Mitchell Advisory Board, the MOTOR Advisory Board, the ASE Test Review Committee, the National Auto Body Council, the Collision Industry Conference and the Society of Collision Repair Specialists. Additionally, he is a past Virginia SkillsUSA chairman, serves as a facilitator for Axalta Coating Systems’ highly recognized Business Council 20 Groups in both the US and Canada and facilitates numerous courses for Axalta Coating Systems’ Educational Series. He currently offers expert industry consulting via his latest venture, Collision Advice (collisionadvice.com). H&D
MA: Some OEMs take their programs to heart. I know of a dealership that called an OEM and said, ‘Hey, this certified shop is 60 days behind on paying its parts bill.’ That OEM removed that shop from the program. I know of another OEM that has removed nearly a dozen shops from its program this year. Some OEMs will take action when issues are brought to their attention. Others don’t do it as well, and the industry largely knows which OEMs fit into which category.
