What Makes a Good Parts Supplier?

Parts, parts, parts – shops can’t perform repairs without them, but they don’t show up by magic. Each facility has its own process for ordering and acquiring the vehicle components needed for each job, yet even the best developed parts procedures rely heavily on the vendor or dealer supplying the shop. Meeting cycle time expectations and other KPIs is impossible without receiving the right parts in a timely manner, and successful shops recognize that sourcing from a good parts supplier plays a vital role in their business outcomes. But what are shops actually seeking when they select a provider to work with – what makes a good parts supplier?

Shop expectations vary to some extent, depending on their business model and whether they have a dedicated parts manager; however, most shop owners agree the most important factor in choosing where to source parts comes down to their relationship with the vendor and the level of customer service they receive. “I can go to any dealership for parts, but I’ve looked for those whose staff is willing to take ownership of the job and ensure the shop’s needs are met,” notes Danielle Molina (Perfect Bodies Collision Center; Passaic). “Responsiveness and responsibility are huge; I’ve got an eye on which parts person is on their game, who contacts me about issues versus finding out when only half the order shows up, etc. The importance of a supplier who tries to meet and exceed my customer service expectations can’t be understated; I’ve sourced from different dealers until I found a reliable, responsible salesperson with whom I’ve been able to develop a good relationship.” Of course, any good relationship flows both ways and requires mutual respect, as Pete Kelly (821 Collision; North Haledon) points out:

“We have to treat them how we want to be treated because they’re people too. When you form a relationship with the parts people who you use on a regular basis, they’ll call you to let you know about a part’s availability or if something is backordered. They keep you updated, and we need those updates so we can schedule the vehicles when the parts are expected.”

“Relationships are incredibly important,” agrees Paul

Edgcomb (CARSTAR Champion Collision; Hightstown). “We’ve dealt with some of our vendors for two or three decades. For each one, we have one point of contact, and after we submit our order, we can expect an email that details what is available and when each part will be delivered.

“Communication enhances comprehension, so it is critical,” he continues. “With other vendors, we’ve come to recognize that we’ll need to initiate contact, instead of expecting them to get back to us. We also work with suppliers who do what they say they’ll do – they need to earn our trust by being reliable and following through on their commitments.”

Obviously, delivering the parts on the indicated date ranks as a pretty important commitment, but that’s not shops’ only consideration during the delivery process. Parts handling, paperwork organization and the customer service provided by the driver also factor into how shops measure a specific parts supplier. “All the small stuff adds up,” Kelly emphasizes. “Lots of shops just want a driver to throw the parts ‘over there’ and hand them the bill, but we have signage that indicates where the parts should be stacked to make sure nothing gets run over. Punctuality is important, but at the same time, they can only do what they can do. “Still, even when the truck is full, great suppliers make an effort to organize the parts in a neat stack to deliver with clean paperwork,” he continues. His pet peeve is “when the paperwork is all marked up with checkmarks and notes. I need to make copies to scan to the insurer and other parties, so I need a clean copy. When they don’t provide it, I have to invest time and cost into making copies. Small things matter and add up in a typical day at the shop.”

Edgcomb believes, “It’s really important to have two deliveries a day for the major OEM’s, and although it is very difficult for the supplier, getting them to ship a complete order a few days before we start the repair, that’s ideal.”

Molina attempts to order all parts upfront to avoid the need for last-minute requests, and she appreciates this type of forethought from vendors as well. “Some drivers plan their shift based on the shop’s hours. It’s even better when they allot enough time to give us a chance to check the parts.”

In an ideal world, every order would contain exactly what the shop needed, and all parts would be in perfect condition. Unfortunately, that’s not the world we live in – parts often need to be sent back when shops receive incorrect or damaged parts, the job gets canceled or the vehicle is declared a total loss – and as such, a vendor’s return process can make or break how shops view their customer service. Streamlined return processes make the chore much easier, according to Molina. “How long do we have to wait for our money back? They charge us the same day, so why do we have to wait six weeks for a refund?”

“We understand that a credit cannot be processed immediately, but we’ve stopped ordering from dealers that took forever to process a return,” Kelly says. “When a part goes back, the credit should be applied in a timely fashion, not in four to six weeks.” For Edgcomb, the shop needs to do all they can to alleviate some of these issues by completely disassembling the vehicle, ordering all parts upfront and then mirror-matching the received items to confirm they’re correct. “Once you know what you’re missing, follow up every day so you don’t get surprised at the end of the process when you’re trying to put the car back together,” he recommends, suggesting, “Having one person who is solely responsible for parts creates accountability and helps maintain our timeline. Our CSI over the past year is over 98 percent, but every unusable part we take in will negatively affect that rating, so it’s critical that we’re getting the right parts the first time and that they’re of a quality that we can actually use.”

“If something is wrong, you have to deal with the return,” Molina laments. “After a part never made it back to the warehouse, we tightened up our process…drivers have to sign the invoice because we grew tired of getting stuck when parts were lost. Unfortunately, drivers are often busy and don’t have time to wait while we check the quantity, let alone the quality, of the parts.”

Quality is an important consideration – yet, it’s largely alleviated by shops that emphasize the importance of utilizing OEM parts during the repair process. Warranties also play a less vital role for the shops predominantly utilizing OEM parts in the repair process.

“We had mostly used OEM parts in the past, but the back order status on OEM parts in the past two years has forced us to use more “alternative” parts. No doubt using OEM parts when they are available and cost effective is more profitable and streamlines the production process. We test fit aftermarket parts, and we try to work with only a very few high quality like kind and quality (LKQ) vendors who know our high standards. I can count on one hand how many warranty claims we have made in the past year. It is not worth the hassle unless it is a significant loss. Molina agrees that aftermarket warranties “don’t mean much – maybe not even the paper they’re written on – so we transitioned to using OEM parts. Dealing with OEM parts doesn’t mean we never receive damaged goods, but those problems are less about quality and more about incorrect boxing or damage that occurred during storage or transport.” Kelly feels similarly, but he breaks down the different types of non-OEM parts in his estimation. “Junkyard parts sit in the weather for long periods of time, so how much rain got into that trim panel? It may look okay, but there could be corrosion around the joints that we cannot see around the door skin. We don’t use aftermarket parts because they aren’t crash-tested, and although the warranty on OEM parts matters a lot, many carriers are now selecting opt-OE parts – these aren’t