25 minute read
CASE STUDY
from NOLN - August 2022
by EndeavorBusinessMedia-VehicleRepairGroup
HIRING FROM OUTSIDE THE INDUSTRY
Getting the right skillset doesn’t always mean finding the right experience in recruits
BY PAUL HODOWANIC
FOR MANY SHOP OWNERS IN THE industry, finding quality technicians isn’t their only hiring struggle. While the technician shortage has been well-documented, an effect of the COVID-19 pandemic has emerged: “The Great Resignation.” Businesses in industries across the country are seeing a dramatic increase in employees leaving their jobs, and a decrease in applications for new jobs.
For the auto industry, finding qualified candidates can be difficult. Matt and Judy Curry, co-owners of Matt Curry’s Craftsman Auto Care, like to bring on employees with five, 10 or even 20 years of experience in the industry, especially for highly-technical positions like a technician.
However even before the pandemic, the Currys had begun to adapt and have seen dividends on that decision.
The Currys currently own five locations in Virginia. But back in 2019 when the couple operated just three, they recognized they needed someone to handle the back-end work such as HR work, bookkeeping and other financial work.
“We were growing and once we hit that third location, there was no way he could keep going without someone,” Judy Curry says.
Ideally, they wanted someone who had experience in the auto industry. But above all else, for this specific hire, they wanted someone they could trust. That led them to a lifelong friend, Susan Boone. Boone had worked for private developers in the area doing much of the same work: bookkeeping and project management. They knew Boone could be trusted and knew she was a hard worker so they pulled the trigger.
The couple have also brought on several young workers, including their niece, who have little to no experience in the industry to attend to the register and sell basic services like air filters.
The Challenge It’s always easiest in the hiring process to fall back on someone with experience. But in today’s world, those people can be hard to come by, Matt Curry says. So hiring outside of the industry has become more important. And while it may never be realistic
to find a technician from outside the industry, the same can’t be said for other positions like a service advisor or a customer service representative.
Still, that idea can be daunting. What skills and traits should shop owners look for? Are there specific industries they should be looking to? How should they train them once they’ve brought them aboard? Those are the challenges that shop owners face when hiring outside the industry.
The Solution Along with Boone, the Currys have hired several cashiers and a cleaner, all of whom had no experience in the industry. Both cashiers, however, worked at a local Sunglasses Hut.
To Matt Curry, it was clear they both possessed strong customer service capabilities. They knew how to interact and help customers with empathy, and they were self-sufficient. When working at Sunglass Hut, both worked as the only employee at a given time, meaning they were good at problem-solving. For a simple cashier role that could one day expand to a service advisor, that’s all they needed.
Whether it’s retail workers or restaurant employees, looking to an industry that also puts a priority on customer service is the key. When you go into one of those places, keep business cards on you, Matt Curry says. You never know when an employee may wow you and you may want to hire them away.
In keeping with that, the couple recommends prioritizing attitude and being willing to teach about the industry.
In the case of Boone, accounting is accounting. Yes, some new language is involved, but the nuts and bolts are the same. Same thing goes for the cashiers or service advisors. They know how to sell, now they just need to learn about the industry. And if you hire someone who is passionate and hard working, that teaching goes much smoother than you’d think, Matt Curry says.
The Aftermath Since hiring Boone, the Currys have added two additional locations, something that wouldn’t be possible without Boone’s help on the backend, Judy Curry says.
Boone was thrown into the job as COVID hit and was a major help in formulating a plan to keep the business running strong despite operating at 10 percent capacity. Judy Curry called it “very inspirational and notable.”
The younger hires have played smaller but important roles as well. The employee they brought in to do cleaning has begun to change oil as well and the cashiers have provided great customer service, the couple says. Those hires have also been a big help for Judy Curry, who takes on content creation for the shop. She says getting ideas from those employees outside the industry has been “fantastic.”
The Takeaway For some positions, like a technician, hiring outside the industry may never be realistic. But for some of the
smaller but still necessary roles, like a service advisor, cleaner or bookkeeper, looking outside the industry is not only possible but can yield promising results.
For the Currys, they had a family friend they could go to. For others, it won’t be that simple. Looking at the retail and service industry may be the best route to success. It worked for the Currys in some of their smaller roles. They looked for qualities like trustworthiness, customer savviness and a good attitude.
“Everything else can be taught,” Matt Curry says.
As the labor shortage continues, businesses will need to adapt. Looking outside the industry is one way. Identifying employees with those unteachable qualities, regardless of prior experience, will make it easier to train them on the specifics of the automotive industry, Matt Curry says.
Focusing even just on the smaller dayto-day acknowledgements of good work can create a more engaging and exciting work environment for employees.
Consorte agrees that public acknowledgement is one of the most important tools in improving team morale and creating a strong work environment.
Consorte adds, however, that it is important to strike a balance between not giving enough feedback and giving too much, which ultimately degrades the reward value of the acknowledgement.
“If you do it every time they do good work, it’s going to make it predictable, which isn’t as stimulating as slightly unpredictable behavior,” he says, “and it’s going to make some people worry that when you don’t give positive feedback, something is wrong. So you do want to balance it and nuse of that family environment that we try to share,” he says. “It seems that, above all else, sets the groundwork.”
Automotive Technology Summit SEPTEMBER 2425 • DALLASFORT WORTH, TX
ADAPTSUMMIT.COM
KEYNOTES ANNOUNCED FOR THE ADAPT AUTOMOTIVE TECHNOLOGY SUMMIT
OPENING KEYNOTE MIKE BUZZARD, PARTNER AT SCHWARTZ ADVISORS
2022 ADAPT: AUTOMOTIVE TECHNOLOGY SUMMIT SPONSORS: PLATINUM SPONSOR:
GOLD SPONSORS: ADVANCE PROFESSIONAL, SHOPMONKEY SILVER SPONSORS:AKZONOBEL, AUTOMOTIVE TRAINING INSTITUTE, CAROLINER, FULLBAY, HUNTER ENGINEERING, INTREPID DIRECT, KUKUI, NAPA, OPTIMIZE SOCIAL MEDIA, PODIUM, SHOPWARE, SIRIUSXM, SOLID START, TEKMETRIC
New Low Viscosity Oils Requested to be Added to ILSAC GF-6
Update on Anticipated Request for New Gas Oil Specification
BY JEFFREY HARMENING, AMERICAN PETROLEUM INSTITUTE, SENIOR MANAGER – EOLCS/DEF/MOM
Over the past few months API has provided updates on anticipated changes to engine oil specifications for gasoline and diesel engines. During a recent API Lubricants Group meeting held in conjunction with meetings of ASTM D02 committee on Petroleum Products, Liquid Fuels and Lubricants in Seattle, API presented a plan to add SAE 0W-8 and SAE 0W-12 viscosity grades to the current ILSAC GF-6 specification.
ILSAC GF-6B is currently applicable only to oils meeting the SAE 0W-16 viscosity grade. API has submitted their request to the Auto/Oil Advisory Panel (AOAP) and the API Lubricants Group. The AOAP has been called into session and is co-chaired by the ILSAC chair and the API Lubricants Group chair. The group is evaluating the request and, if accepted, they will undertake the technical efforts of adopting the new viscosity grades into the category, following the procedures detailed in API 1509, Annex C. Changes to API SP will be handled by the API Lubricants Group in parallel with any changes for ILSAC GF-6.
The SAE 0W-8 and SAE 0W-12 viscosity grades appear ripe to be fast tracked for quick approval with the goal for the new oils to be ready for first license by API by year’s end. However, existing GF-6 fuel economy tests have not demonstrated the ability to accurately measure fuel economy in these ultra-low viscosity grades. Thus, the API recommends reliance on a recently published fuel economy test standard from the Japanese Automotive Standards Organization (JASO).
The test standard, JASO M366 - Automobile Gasoline Engine Oils - Firing Fuel Economy Test Procedure, stipulates a test procedure for the measurement of the fuel economy performances of these very low viscosity gasoline engine oils by the measurement of the fuel consumption using a fired engine test. This test is available in US independent labs and has some Base Oil Interchange and Viscosity Grade Read-Across guidelines. API’s plan is to adopt this test into GF-6 in a manner to be determined by the AOAP along with the limits set forth in JASO M364 - Automobile Gasoline Engine Oils which specifies the performance of SAE 0W-8 and SAE 0W-12 viscosity grade engine oils.
There are a number of benefits to adding the lower viscosities to ILSAC GF-6 now. First, it would fill an identified gap for licensing of “low vis” oils in the global marketplace. In fact, calls for introduction of these grades came early in the development of GF-6 but could not be accommodated at that time because the SAE J300 specification on viscosity grade classification had not yet defined SAE 0W-8 and SAE 0W-12 viscosity grades and a test to measure fuel economy was unavailable.
Now that a fuel economy test exists and that test is referenced, coupled with the fact that the test is confirmed to be available in North America, there is no longer a barrier to adopting the grades into ILSAC GF-6/API SP. Another benefit to licensing these oils is that there is precedent for EPA recognition of ILSAC engine oil specifications on engine approvals. While there are currently not many engines on US roads requiring oils of these viscosity grades, adopting them into ILSAC now could make the path of engine approvals a little less burdensome on future engines.
New Gasoline Oil Specification Request Expected
The International Lubricants Standardization and Approval Committee (ILSAC) is expected to request that a new gasoline engine oil specification be developed. The specification is expected to be called ILSAC GF-7 and would replace the current GF-6 specification. Once the request is received by the Co-Chairs of the AOAP and to the Chair of the API Lubricants Standards Group, the AOAP will begin the evaluation process of the specification.
Early presentations on the topic indicate that 0W-8 and 0W-12 would be included in the specification and for first licensing in 2028. Including the grades in ILSAC GF-6 now can help reduce the burden later during GF-7 development.
API will continue to provide updates on the development of new gas and diesel engine oil specifications. If you have questions or need additional information, contact the API Engine Oil Licensing and Certification System at eolcs@api.org or find us at api.org/EOLCS.
Great Employees Aren’t Born, They’re Trained
BY BILL BEYERLE, AUTOMOTIVE INSTALLED SALES MANAGER, CHEVRON LUBRICANTS KIM TULLY-SUTTON, LEAD MARKETING SPECIALIST, CHEVRON LUBRICANTS
Every town and city in America has them: boarded up storefronts with “For Lease” signs. Spaces where local, small business owners once invested their money, their time, and their hopes, only to be undone by a challenging economic environment. In these unprecedented times, many business owners did not anticipate that their expenses would surpass their revenue.
The current economic climate has similarities to the raging inflation of the 1970s as we are seeing the highest price increases since then. Everything is going up – the cost of goods, operations, and especially payroll. Not only are you having to pay more to hire and retain highly competent employees, but they too are facing a higher cost of living.
Inflation is especially challenging for the auto installed business, which tends to be very competitive, price-sensitive, and largely driven by promotional discounts. Yet as suppliers’ costs increase, at some point they will pass these higher costs on to you – the shop owner. As part of the value chain, sooner or later shop owners will have to do the same by increasing prices to their customers to remain profitable. In these extraordinary times, it is key that owners do what they can to have a positive balance sheet so that they can stay in business and service their customers, and the local economy, for the long term.
Your customers are certainly aware that we are in an inflationary cycle. They are seeing significant price increases in almost every aspect of their life. It will not come as a surprise that their next oil change will cost more than their last one. Still, how you message this is important. So, use this as an opportunity for your employees to reinforce the value that your shop delivers. To maintain the level of quality and service that your loyal customers are used to, you must make sure your business remains profitable.
It is important that employee training includes guidance on how to answer customers’ questions about pricing. This may also be a time to recommend premium products, like full synthetic motor oil or high-end windshield wipers. These higher-end products and services can cost more up front, but they have the potential to save your customer money and will be better for their vehicle’s overall maintenance in the long run.
This is not the time to compromise on the quality of the products you sell or the service you provide to reduce costs. That strategy will prove far more detrimental to your business in the long run than a reasonable price increase. Instead, consider performing a little extra service within your new price structure, such as a free fluid top-off or interior vacuuming with each oil change.
It is also tempting in these cycles to cut back on marketing expenses, but that could prove to be counterproductive as local site marketing is one of the best ways to attract new customers to your shop. It is entirely appropriate, however, to reevaluate your marketing mix and promotions objectively and focus your resources on the most effective activity.
There are other things you can do on the expense side, too. Are you operating as efficiently as possible? Consider, for example, an inventory management and storage system that is more cost effective. Take a look at your product mix relative to the market and make sure you are stocking the right products for your customers.
Do price increases make you vulnerable from a competitive standpoint? The reality is there will always be a competitor that sells their services and products at a much lower price and potentially those are the businesses that will have the boarded-up shops at some point in the future. This is a time to stand by your quality standards and focus on delivering a superior customer experience that will far offset the initial reaction to a price increase.
Bill Beyerle has been with Chevron Lubricants for more than 25 years and is currently the Automotive Installed Sales Manager. You can reach him at BillBeyerle@chevron.com.
Kim Tully-Sutton has been with Chevron Lubricants for more than 12 years and is currently the lead marketing specialist supporting Havoline®, Havoline xpress lube®, Chevron xpress lube® and Techron®. You can reach her at Kimberly.Sutton@chevron.com.
How Design and Technology Can Improve the Customer’s Experience
Tips for how to drive business success through utilizing the consumer perspective
BY KEVIN KORMONDY, CHIEF EXECUTIVE OFFICER OF FULLSPEED AUTOMOTIVE®
The way you approach your customer’s experience is vital to the success and growth of your business. Customers are drawn to businesses where they can receive high-quality products and services, in addition to a first-class experience. For companies that are looking for ways to improve their customer experience, one of the best places to start is with design and technology.
FullSpeed Automotive® is home to flagship brands Grease Monkey® and SpeeDee Oil Change & Auto Service®. To enhance our customers’ experience and improve efficiency for franchisees, our team has recently revealed the highly anticipated ‘Store of the Future’ models. These new store models utilize design and technology to give a muchappreciated upgrade to the customer experience.
It can be hard to know where to start when looking to improve a brand’s business approach. Below are a few ways design and technology can help upgrade your customers’ experience and elevate your business to new heights.
Understand the Customer Experience
The customer experience is a holistic experience. You can’t think of it as only the product or service, but also how a customer feels throughout their entire interaction with your brand. From pulling into the parking lot, the service itself, and checkout – every one of those touchpoints can affect the quality of the guest’s experience. This is where technology and design can work together to ensure each step of the customer’s journey is designed for success.
During the design process for our new store models, our team worked with renowned design firm Studio|H2G to create these all-new models for both Grease Monkey and SpeeDee in an effort to modernize the customer experience. We thought through our customers’ entire experience when visiting our locations, and worked to enhance every step of the process. In our new models, we have added express lanes to support a stay-in-the-car model, including clear and directional signage on the parking lot to bring ease to the consumer. We also have designed all new comfortable lounge areas for guests if they have service that requires a longer stay, and patio seating with refreshments and entertainment.
When guests enjoy their experience, you create a loyal customer, driving them back time and time again.
Be Creative with Design
Design can play a huge role in a business’ success. Both store design and branding can a ect a consumer’s decision in choosing where they spend their money. There are many aftermarket automotive brands, so your business needs to stand out among the rest.
For the new store models, we wanted to create an instantly identifiable façade that stands out, a comfortable space for customers while their car is being serviced, and an atmosphere that speaks to the quality of the work being performed. Creating a space that feels welcoming both for those who stay in the car or those needing a lobby, while also establishing an environment where a customer knows they are being taken care of, is key to these new store designs.
Utilize Technology
Technology provides a new opportunity for brands to be innovative with their customers’ experience. With all of the new advances in programming and AI, there are now so many resources to help improve business operations and the guest experience.
Our team searched for tools that would add to the services we already provide. The newly designed stores will include state-of-the-art technology and POS Systems that will help educate, inform, and streamline the customer experience. The technology we are pursuing includes the opportunity for customers to watch live streams of their car being serviced, scanners that inform technicians on the best products for the car, and much more.
When you find the right balance between digital and physical elements in your strategy, you’ll create a richer experience for your customers and exceed their expectations.
As you begin to look for ways to improve your business, putting yourself in your customers’ shoes is a great place to start. Both design and technology are simple changes that can have an immediate effect and help enhance your business.
To learn more about FullSpeed’s ‘Store of the Future’ models and franchising opportunities you can visit fullspeedautomotive.com.
Kevin Kormondy has served as Chief Executive Officer for Grease Monkey International, LLC d/b/a FullSpeed Automotive (as well as its affiliate companies Grease Monkey Franchising, LLC and SpeeDee Worldwide, LLC) since October 2019.
A Fall Plan Without Execution Will Just Fall
BY JAY LITSEY, SENIOR CHANNEL MARKETING DIRECTOR, CALUMET PERFORMANCE BRANDS
Have you ever had a great idea but then did not follow through? Do New Year’s resolutions come to mind? If so, you are not alone. Some people don’t take the time to generate new ideas about their business. Some don’t build plans. Others plan, but they don’t execute the steps. Solid execution of an “OK” plan is better than a great plan never implemented. Let’s talk about what you can do to get from great ideas to more profit.
Ideation As An Art Form
Sometimes it’s hard when you are busy running a business to have time to think. You may also feel like you are out of ideas.
The good news is that there are some easy tricks to get ideas flowing. Have you ever noticed when ideas did hit you? It might be at the oddest times, like in the shower. We all must take the time, even if only five minutes a day, to quiet our mind and let the brain wander. Let it happen, and write it down.
This might be shocking, but you may not be the only person with good ideas. Some of the best ideas can come from your staff. Buy them some pizza, and ask them if they have any ideas for the business. You’d be surprised what they might come up with.
Some vendors just provide meets spec product. Others might be capable of providing you with free business advice. Have them assess your operation, and you might get something beneficial from a second pair of eyes looking at it.
Plan Your Work, Work Your Plan
It’s said often but done rarely. One simple format you can fill out is listed below. 1. Situation: What is your goal? What is keeping you awake at night? 2. Idea: What did you or your staff or your most able vendor think of? 3. How It Works: What are the detailed steps to make the idea come to life? 4. Costs: Line them out by item. 5. Benefits: How much more money will you make? 6. Timing: Set a certain number of days or weeks for each step. 7. Next Steps: What are you going to do first, starting today? This is just one of many tricks to move from an idea to the things that will improve your profits.
Execution Is More Important Than The Perfect Plan
Here’s a live example. You’ve found that you can’t save your way to prosperity. You may want more traffic, more oil changes, or to make more money per customer from selling not saving. You think about it, talk to your staff at the “pizza party” and challenged your best vendor for any solutions they might have. Your vendor took you through some programs built to accomplish all three goals. If you sign up for their promotions, you get free traffic-driving promotional digital media, free consumer offers and point-of-purchase (POP) materials. Instead of getting the promo box and putting it under your shelf, you do the following: 1. Sales Representative Planning Meeting: Meet with your sales representative a month before the quarterly promotions start. Ask what needs to be done to get your free tools. 2. New Product or Product Ordering: Ask them what needs to be ordered (and do they have a purchase incentive, free rack, etc.). 3. Promotion Materials Review: Have the vendor take you through when the advertising hits, what it says, what’s in the kit, greeter tips for nopressure selling, etc. If you do your own marketing, get their images and incorporate yours. 4. Greeter Meeting: Ask your vendor to hold a greeter meeting. Schedule it two weeks before the start of the quarter. Everybody likes free coffee and donuts, so get your vendor to kick in and feed the troops. Show them the POP materials, tell them about the advertising and how the offer works, take them through any greeter scripts or training materials, etc. Have them role-play for practice! They will hate you for it, and then they will love you for it. 5. Dress for Success: At the end of the meeting, everyone puts up the POP materials, fills the new rack, cleans up the building and makes sure they look their best.
Rinse and Repeat
Shampoo bottles used to say “rinse and repeat” on the back, but I doubt if anyone ever did it. Maybe we should have? Testing, learning and modifying your plan, and repeating what’s working are the keys to success.
Follow this guide this Fall, and you will achieve your goals. Follow the same process for your next New Year’s resolutions, and you will achieve the same benefits in your personal life as well!
Jay Litsey is the Sr. Channel Marketing Director for Calumet Performance Brands, which is the proud owner of the Royal Purple® and Bel-Ray® brands. He has been in aftermarket sales and marketing for more than 25 years. He can be contacted via james.litsey@clmt.com.
Attributes of Entrepreneurs
BY AMBER KOSSAK, CEO OF SOLID START
What are the characteristics of entrepreneurs? In what ways do they think and see differently from other people? Let’s start by defining what an entrepreneur is. The most common definition is “a person who organizes and operates a business or businesses, taking on greater than normal financial risks in order to do so.”
Everything in life involves risk, of course. People who are risk averse may shy away from starting and owning a business. It’s the rewards of business ownership, both personal and financial, that stimulate our interest in entrepreneurial pursuits.
Benefits to the Community
Successful entrepreneurs bring many benefits to our local communities. If you own a business, it not only puts food on your table and a roof over your head, but it also helps other families make ends meet by providing jobs. In addition, many other local businesses are helped. Your employees may pick up lunches in nearby restaurants. Your business will routinely need supplies of various kinds, and local services as well. If you advertise on the radio, TV or in print publications, these local businesses are also helped.
Being a part of the local Chamber of Commerce or a neighborhood business association can also help. Many cities and towns have leaders that seem unaware of the impacts their decisions have on business. Business associations can help educate local leaders, making it easier for businesses to thrive, which generates jobs and strengthens the community’s tax base.
The real benefits of being an entrepreneur are not only for the people you employ and how you can help them but also for the entrepreneurs themselves. Owning and running a small business can be challenging, but it helps us become better people. Just as a good workout helps us exercise all our muscles, so does running a business force us to grow and develop skills in a variety of areas.
The Entrepreneur Mindset – Grace Under Pressure!
Entrepreneurs are self-starters, self-motivated and driven from within. If you don’t have that inner spark, it will be a challenge to maintain that strongminded determination to keep going when the going gets rough.
Courage is definitely another attribute you’ll find in entrepreneurs. It requires a willingness to take risks when nothing is guaranteed. Hemingway defined courage as grace under pressure.
Big picture thinking is also a must. It’s easy to lose oneself down in the weeds. Entrepreneurs need to be able to regularly step back and get a bird’s-eye view on what’s happening in the company as well as the community, industry and beyond.
Entrepreneur Skillsets - We Can All Benefit
All the personal attributes of leadership apply here. I have heard them called soft skills however, some of the most important; integrity, self-awareness, respect, empathy, ability to delegate and good communication skills.
Another group of intertwined skills would include planning, forecasting and decision making. Leaders develop the ability to foresee consequences of decisions and learn to think before taking action. Like advanced chess players, they learn from experience how to see many moves ahead and understand the likely outcomes in response to their own moves. They become adept at considering alternative options before making commitments.
A subset of planning is problem solving and the ability to prioritize. Prioritizing includes keeping situations in perspective, focusing one’s energy on activities that offer the highest payoff. It also means giving proper weight to threats. Understand that perceptions are not always reality so that a healthy skepticism is sometimes in order. Edgar Allen Poe purportedly observed, “Believe half of what you see and none of what you hear.” Before you react, know if it’s a fact.
So what are the characteristics of entrepreneurs?
This is hardly a comprehensive checklist of things entrepreneurs need to work on. Reviewing these qualities and skills can serve as a good guide to your own self-improvement no matter where you are in the organizational chart. All of us can be working on improving ourselves by noticing where we’re weak and giving attention to strengthening ourselves in those areas.
This points to the essential foundation: know yourself. The better you know yourself, including your strengths, weaknesses and blind spots, the more likely you will succeed.
Amber Kossak is the CEO of Solid Start, manufacturer of True Brand Products. She has been in the automotive industry for almost 20 years and is serving on the AOCA board of directors. She can be contacted at kossak@solidstart.com. For more information please visit solidstart.com.
