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.