September 2012 Great Lakes Edition

Page 1

Great Lakes Edition Illinois Indiana Michigan Ohio Wisconsin

31

YEARS

www.autobodynews.com

AASP Illinois’ Statement Officially Opposing PartsTrader AASPI released the following statement on July 23: After several weeks’ consideration, the AASPI Board of Directors has determined that it will stand with AASP National, SCRS, and many other state and regional collision repair associations who now openly oppose the intrusion of yet another insurer-engineered system into the business of collision repair. PartsTrader has been touted as a

mechanism that improves process efficiency while not much has been said by its promoters about profitability. State Farm’s George Avery and PartsTrader make claims of “Win–Win–Win” scenarios for repairers, parts vendors and insurers. Yet, parts vendors and repairers who have been involved, point out the added labor to operate within the cumbersome system and the time lost waiting for the bidding process to See AASPI PartsTrader, Page 18

Welcome to our INAUGURAL GREAT LAKES Edition

Autobody News has been publishing continuously for 31 years and this month we start serving the Great Lakes region. Welcome to all our new readers in Michigan, Illinois, Indiana, Wisconsin and Ohio. Back issues and our other regional issues are readable at www.autobodynews.com.

Michigan’s Three Collision Repair Associations

See Michigan’s Three, Page 38

P.O. BOX 1516, CARLSBAD, CA 92018

Three associations are serving the collision repair industry in Michigan: ASA Michigan, the West Michigan Body Shop Association, and the recently formed Northern Michigan Body Shop Association. ASA Michigan, affiliated with the Colleyville, Texas-based national Automotive Service Association, comprises 250 members statewide, says its president, Ray Fisher, noting that dues are priced according to regions, with various terms for individual budgets. “Our membership is back to growing after a decade of a tough

economy,” he says. He is assisted by an eight-member membership-elected board of directors: Steve Tomaszewski, Alpine Collision, Grand Rapids; Steve Kirk, Kendall Auto, Portage; ChairmanElect Don Walcheski, Quality Car & Truck Repair, Big Rapids; Treasurer Tom Ham, Auto Centric, Grand Rapids; Secretary Carl Marotzke, Carl’s Auto Body, Hemlock; Collision Division Director Ken Overholser, Eureka Body & Paint, Wyandotte; Mechanical Division Director Dale Stroebel, Stroebel’s Automotive, Saginaw; and General Director Pat

Change Service Requested

by David Brown

VOL. 1 ISSUE 1 SEPTEMBER 2012

Michigan Associations Approach State Farm’s PartsTrader Bidding Program with Caution by Melanie Anderson

In June, Automotive Service Association (ASA) members and related collision industry vendors in the Michigan area were invited by ASA-Michigan to attend a “facts to date” presentation and member discussion regarding the State Farm electronic parts ordering application. Since then, ASA-Michigan continues to monitor the controversial program. “We have held a couple of roundtable discussions and data is still being collected,” said Ray Fisher, President of the ASA-Michigan group. “We continue to have dialogue and provide information when available. We will monitor things and share this information with the membership

and the repair industry. Since this is a national insurance carrier, we are providing feedback to our national association for their collision operations committee to discuss.” Led by Denise Caspersen, ASA Collision Division Manager, the standing question to State Farm on behalf of the collision repair industry is: “If this is a ‘win-win’ situation, as stated by State Farm, then now is the time for State Farm to provide the numerical data that specifically identifies any benefit (financially or operationally) to Select Service shops. If State Farm is not able to clearly demonstrate the benefits of this pilot application to the repair community, then this application should not move forward.” See MI PartsTrader, Page 20

NACE-CARS (ASRW) is Oct. 10-13 in New Orleans Full Schedule of Courses, see p. 23-27

Indiana Auto Body Association’s Parts Procurement and Insurer Interference Survey Results In mid-July the IABA conducted a member survey they called a Parts Procurement and Insurer Interference Survey which was responded to by hundreds of shops. Tony Passwater, Executive Director of IABA, wrote in summary: “There is no doubt the Parts Trader is attempting to transform our part procurement process into an ebay type environment, so the “cut-throating” can continue. This will only take away another piece of revenue/profit our businesses have relied upon for a sustainable future. Even though we have “ignorantly” agreed to so many concessions over the years, thinking we would get more work in our doors, isn’t it time to just say “No” ? Survey questions and results are

tabulated herein (bars are not to scale): 1) Do you believe the PartsTrader program is designed to improve your efficiency? Yes

1.4%

No

98.6%

2) Do you feel the PartsTrader program has benefits for collision repairers? Yes

3.5%

No

96.5%

3) Do you believe any third party has the right to mandate the usage of a parts ordering program?

Yes

2.1%

No

97.9%

See IABA Survey, Page 54

SEMA-AAPEX is Oct. 30-Nov 2 in Las Vegas For SCRS’ Repairer Driven Education, see p. 32-34

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