FEATURES |
ADVANTAGES |
BENEFITS |
MANAGEMENT SEMINARS |
Instruct Personnel on Management concepts: Body
Shop Profile Financial
Analysis Customer
Effective Labor Rate Overall
Effective Labor Rate Cosmetic
Repair Guide Merchandising Parts
Control System Production
Scheduling Paint
Scheduling Estimate
& Repair Order Balancing Production
Systems Paint
& Material Control Traffic
Building Customer
Follow-Up Organizational
Structures Management
Operating Procedures Pay
Plans Expense
Control Monitoring
Performance Continuous Improvement |
1)
Key
Managers develop a partnership to improve Merchandising and Profitability. 2)
Managers
and the Dealer Principle commit to the goals established and the process to
achieve them. |
|
BODY
SHOP PROFILE |
Review Market Conditions. Identify competition for Body Shop work. |
1)
Document
those areas that provide opportunities for increased sales and profits. |
FINANCIAL ANALYSIS |
Determine current level of profitability. |
1)
Train
the Body Shop Manager on how to perform a Financial Analysis. |
CUSTOMER EFFECTIVE LABOR RATE |
Determine current Customer Effective Labor Rates. Determine
mix of: Insurance versus Non-Insurance work Metal,
Paint, Frame, and Mechanical |
1)
Develop
a strategy to improve Customer Effective Labor Rates and change the mix of
work performed. |
OVERALL EFFECTIVE LABOR RATE |
Calculate
the current Overall Effective Labor Rate and the mix between Customer,
Warranty, and Internal work. |
1)
Develop
a strategy to generate more profit by increasing the Overall Labor Rate. |
|
COSMETIC
REPAIR GUIDE |
Develop a reference book for Service Advisors, Parts Countermen, Body Shop Estimators and other personnel that contains a description of commonly performed cosmetic repairs. Dealership
labor, parts, and paint prices are included for each operation. |
1)
Service
Advisors and Estimators are able to generate additional sales for the
dealership on commonly replaced trim items and minor body repairs. 2)
Employees
are able to quickly provide quotes, since the guide is divided into major
sections by vehicle area. |
MERCHANDISING |
Review techniques to increase Estimate Approval Ratio: Estimate
Control Log Performance
Tracking (Prospects, Sales, Closing Ratios) Road
-To-The-Sale Point-Of-Sale
Materials Follow-Up |
1)
Use
proven Merchandising methods to increase the percent of estimates that are
converted into actual jobs. |
PARTS CONTROL SYSTEM |
Develop a standard procedure for requesting, ordering, and storing Body Shop Parts. Record
the parts data and status on the Production Schedule. |
1)
Keep
parts status up-to-date. 2)
Improve
parts security and reduce parts loss, theft, and waste. 3)
Improve
Technician Productivity since parts are organized and ready for each job. |
PRODUCTION SCHEDULING |
Use a proven method to determine how much Body Shop work can be taken-in and finished each day. Develop a better balance between the input and
output of work. |
1)
Maintain
a higher level of Technician Productivity. |
FEATURES |
ADVANTAGES |
BENEFITS |
PAINT SCHEDULING |
Provide Painters with a list of vehicles scheduled
into the paint shop to help ensure completion by promised time. |
1)
Improve
Customer Satisfaction by consistently meeting promise times. 2)
Improve
Facility Utilization through
controlled scheduling. |
|
ESTIMATE
& REPAIR ORDER BALANCING |
Body Shop Manager is instructed on how to perform
an Estimate Versus R.O. Analysis. Establish procedures for filing and reconciling
Supplemental Repair Orders. |
1)
Follow-Up
on variances between competed job price and estimated price. |
PRODUCTION METHODS |
Review the Production Methods available for your
dealership. |
1)
Discuss
ways to increase Productivity by focusing on: Proper Technician Staffing Production Methods (Shifts, Groups, Teams) Parts Availability 2)
Schedule
a Production Assessment if appropriate. |
PAINT & MATERIAL CONTROL |
Review handling of Paint & Material supplies. Implement
procedures to tighten control of supplies and paperwork. |
1)
Provide
accurate accounting and physical inventory of Paint and Material supplies. 2)
Increase
cash flow by minimizing days supply. 3)
Provide
adequate security to minimize waster or shrinkage. 4)
Manage
purchasing. |
TRAFFIC BUILDING |
Build Body Shop sales through promotion to: Service Customers New & Used Vehicle Buyers Insurance Companies Area Owner Registrations General
Public |
1)
Take
proactive action to increase sales especially during slow periods. |
CUSTOMER FOLLOW-UP |
Perform telephone and mail contacts. Maintain
Customer Follow-Up logs and reports. Take Management Action concerning customer
complaints. |
1)
Increase
the number of Customers who will consider returning for future body work or will recommend your services to others. |
|
ORGANIZATIONAL STRUCTURES |
Determine all tasks to be performed. Determine
current task responsibilities and volume requirements. Identify
current Body Shop personnel expense and head count. Establish
personnel budget and head count, and compare to current levels. Re-Assign task responsibilities to match budgeted
positions. |
1)
Develop
Job Descriptions that will clarify each employee’s responsibilities and
result in more efficient work assignments. |
|
MANAGEMENT
OPERATING PROCEDURES |
Develop written operating procedures to provide
employees with guidance concerning key areas, including Warranty Administration Repair Order Flow Technician Time Sheet Procedure Control
of Shop Supplies |
1)
Provide
clear instructions to employees on how to perform various aspects of the
jobs. 2)
Eliminate
questions regarding employee expectations. 3)
Useful
as a recruiting tool. |
FEATURES |
ADVANTAGES |
BENEFITS |
|
PAY PLANS |
Current Pay Plans are
evaluated. Pay Plans are modified as needed to ensure that they are good for: The Customer The Dealership The Employee |
1)
Pay
Plans are developed that associate compensation with achievement of specific
management goals. |
|
IDENTIFY KEY CONTROLLABLE
EXPENSE CATEGORIES |
Key
Expenses are measured as a percent of Total Labor Sales to determine if they
are at an acceptable level. |
1)
Focus
attention on those expenses that are under direct control of the Body Shop
Manager. |
|
PERFORMANCE
ANALYSIS AND MONITORING |
Body Shop Manager is instructed on how to
calculate and evaluate: Customer
Effective Labor Rate Total
Estimates Written Estimate
Closing Ratio Estimate
Supplement Ratio Non-Insurance
/ Insurance R.O. Ratio Cost
of Labor % Total
Expenses % Net
Profit % Technician Productivity |
1)
Body
Shop Manager is trained to take appropriate action when a category is outside
the guideline range. |