Shop Operations

For most of you, summertime is when you can skyrocket productivity. So rather than telling your techs that you’ll provide them with a bonus if they reach certain productivity goals, give them the bonus up front, with the understanding that it is theirs to lose.

As the economy recovers, new car sales will increase. The aging U.S. fleet, which was predicted to be a boom for repair shops, never really materialized as we thought it would. As an industry, independent repair shops survived and some fared quite well; just not to the extent that many of us predicted. That’s not to say we did not have opportunity, we did. However, as we painfully found out, when people are out of work, feel poor, and when consumer confidence is low, it makes our job a lot more difficult.

We all know about the rage that is going on with the Groupon-type services, and with many businesses, I see where it can be a really good fit. Examples would be in the fast food industry, and with companies that sell commodities like soap or shoes. Yet, when it comes to the auto repair business, with just two exceptions, I feel that this type of marketing is a bad fit. Here’s why …

Creating a list of your competitive advantages will help every shop owner position their business in the market. It is an advantage that enables you to survive against competition over a long period of time. In today’s era of hyper-competition, shop owners are better able to capture the customers they are looking for if they plan to create and focus on what sets them apart.

How many miles do you think a pampered engine could rack up? Hundreds of thousands? How about millions! Irv Gordon, a Long Island, NY, resident who has traveled the U.S. for nearly 50 years, can attest to that. He’s driven the same vehicle, a shiny, red 1966 Volvo P1800, racking up nearly 3 million miles.

A long-time customer approached me with a concern and asked, “Why is it that almost every time I come to see you, you recommend something? You are also more expensive than other shops. Why not just fix what I came in for?”

There are a number of changes that are occurring in our industry, and there is no question, some of them will have a profound, long-term impact. To name just two, automobiles are being built better, and as we all know, service intervals are constantly being extended by the manufacturers.

Business owners work hard, often for many years, to develop a customer base. The last thing they want to see is an ex-employee who’s working for someone else (or self-employed), targeting their customers. These ex-employees often know many of the customers quite well, or when they leave, they’ll make a point to take all the customer contact data with them.

Here’s a tip that’s particularly effective during the hot summer months! Tell your techs that when they go for a test drive, they should stick a thermometer in the A/C outlet. If it’s not as cool as it should be, all that they need to do is write the recorded temperature down on the repair order.

Fluctuations in the economy are nothing new. There will always be challenges associated with running an automotive repair facility efficiently and effectively, while still delivering top-notch customer service. But, here’s what we’re all missing: You can’t scale back too much and put shop renovations on the back burner.

With a record number of discrimination/retaliation claims filed by workers with the Equal Employment Opportunity Commission (EEOC) in 2010 and 2011, the EEOC received almost 100,000 in 2012. In December of 2012, the EEOC laid out the details of its Strategic Enforcement Plan for fiscal years 2013-’16 and identified six “national priorities” that focus enforcement efforts in the three general areas of hiring, pay and harassment.

Traditionally, auto technicians record the results of their vehicle inspections on pre-printed paper forms and, once completed, the inspection findings are re-entered into the shop management software application by a service advisor. And, finally, the motorist is notified by phone to ask them for authorization of an estimate based on the inspection results.