May 2024 Southeast Edition

S OU T HE A ST E DI T I ON AL / FL / GA / MS / NC / SC / TN / VA / WV

Survey: Vehicle Data Access Top Concern For Independent Repair Shops A nationwide survey conducted by the Auto Care Association has shed light on the significant obstacles that independent automotive repair shops encounter due to restricted access to vehicle repair and maintenance data. This limitation not only hampers their operational capabilities but also leads to substantial financial losses.

technician recruitment and inflation.

This data is crucial for these businesses to perform routine repairs and maintenance effectively.

Moreover, the majority of these shops face routine difficulties in servicing vehicles, with 63% encountering obstacles on a daily or weekly basis. About 51% of the shops reported being forced to

42 YEARS

AUTOBODYNEWS.COM

Vol. 15 / Issue 3 / May 2024 REGIONAL NEWS

Southeast Collision Conference Releases Presenter Lineup The upcoming Southeast Collision Conference, scheduled for May 1618 in Greensboro, NC, has two full days of Collision P.R.E.P. classes and presentations for attendees.

The event is co-presented by the Carolinas Collision Association (CCA) and the Washington Metro Auto Body Association (WMABA). Find more information and purchase tickets at carolinascollisionassociation.com/ scc-home/

Friday, May 17 8:30-10 a.m.: “Future-Proof Your Shop: Tomorrow’s Success Starts with Today” Mike Anderson, Collision Advice What does success look like today

and what will it look like tomorrow?

Mike Anderson shares insights gleaned from traveling over 300 days a year working with hundreds of shops, OEMs, software companies and his own personal experiences.

He’ll discuss moving to a fourday work week, trends with OEM insurance, OEM certifications and DRP versus non-DRP. Find out what ESG is and how it may impact our industry, trends on customer pay repair orders, and why it is critical to build a relationship with the vehicle owner. Speculate on what the future holds for innovation in scheduling and how AI may impact that. In addition, Mike will share his latest state-by-state average labor hours l CONTINUED ON PAGE 22

REGIONAL NEWS

Mercedes-Benz Facing Charges in U.S., Germany For Alleged Union-Busting Efforts

Credit: Shutterstock.

The findings support the need for the REPAIR Act (H.R. 906), a federal bill that would ensure vehicle owners and repairers of their choice have access to the vehicle data, tools and software required to maintain and repair modern vehicles.

The survey revealed 84% of independent repair facilities identify access to vehicle repair and maintenance data as their paramount concern, overshadowing other pressing issues such as

redirect up to five vehicles each month to dealerships due to these data restrictions, resulting in an estimated annual financial impact of $3.1 billion across the industry.

“This research sheds new light on the stark reality facing the 273,000 shops and 900,000 technicians in in the United States if Congress fails to take action on federal right to repair legislation,” said Bill Hanvey, president and

Over the course of about a week, two separate sets of charges were filed against Mercedes-Benz for what workers at its plant in Vance, AL, and the UAW call an “aggressive antiunion campaign.”

On March 26, workers filed multiple federal charges with the National Labor Relations Board (NLRB), and requested an injunction to put an end to what they say is retaliation against workers for standing up for their rights at work.

l CONTINUED ON PAGE 24

l CONTINUED ON PAGE 18

Mercedes-Benz released this file photo of workers at the Alabama facility beginning production of the EQS SUV in August 2022.

INSIDE THIS ISSUE 17

8

Columnist Mike Anderson: Creating an Action Plan is Key to Reaching

Business Goals

Columnist Abby Andrews: WrenchWay Finds Average Technician Salary Higher than Federal Agency Reports

20

Columnist Stacey Phillips Ronak: Pros and Cons of Implementing a

10

Columnist John Yoswick: Getting Paid Aluminum Labor Rate May Be

4-Day Workweek at Your Collision Repair Facility

Tougher, But Other Vehicle Tech Adding to Estimates

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2 MAY 2024 AUTOBODY NEWS / autobodynews.com

Contents

COLUMNISTS Mike Anderson Creating an Action Plan is Key to Reaching Business Goals ��������������������������������������������17

REGIONAL NEWS CARSTAR Apprentice Triumphs at SkillsUSA Georgia Competition �������� 30 Classic Collision Acquires 100th Business in 4 Years ����������������������������� 18 Crash Champions Acquires Collision Shop in FL ��������������������������������������������� 23 Holman Acquires Leith Automotive in North Carolina �������������������������������������� 24

Mercedes-Benz Facing Charges in U.S., Germany for Alleged UnionBusting Efforts ��������������������������������������� 1 Southeast Collision Conference Releases Presenter Lineup ������������������ 1 Tennessee Volkswagen Workers File for Election to Join UAW �������������������� 12

Biden Administration Announces New Tailpipe Emissions Rule ���������������������� 36

How Independent Body Shops Can Thrive in a Consolidating Industry ��������������������������4 WrenchWay Finds Average Technician Salary Higher than Federal Agency Reports ������������������������������������������������������������8 Stacey Phillips Ronak California Shop Finds Success Using CCI Curriculum to Train New Technicians ���� 16 CCI Provides Defined Career Path, Training for Entry-Level Techs ����������������� 14

NATIONAL NEWS ‘Who Pays’ Survey: More Shops Billing, Getting Paid for Feather, Prime and Block ������������������������������������������������������� 31

Abby Andrews Federal Agencies Support Regulations in Existing Law Allowing Right to Repair ��� 13

Plant, Boosts Hybrid Offerings ���������� 46

Pros and Cons of Implementing a 4-Day

Workweek at Your Collision Repair Facility ����������������������������������������������������������������������� 20 Shop Owners Who Have Tried 4-Day Workweeks Share Their Experiences ���� 21 Cole Strandberg Leading Forward: I-CAR Hosts National Volunteer and Instructor Meeting ����������� 48 John Yoswick Body Shops Focusing on Employee Retention, Development of Entry-Level Techs ����������������������������������������������������������������6 Collision Repair Estimating: Understanding Information System Guide Changes ������������������������������������������������������� 19 Getting Paid Aluminum Labor Rate May Be Tougher, But Other Vehicle Tech Adding to Estimates ���������������������������������� 10

GM Edges Out Toyota in U.S. Q1 Sales Despite 1.5% Dip ��������������������������������� 34 Hertz Replaces CEO Amid EV Struggles ������������������������������������������������ 49

Index of Advertisers

I-CAR Launches RTS Mobile App ����� 32

Advanced Equipment Solutions ��������������� 52

Honda-Acura Wholesale Parts Dealers 25-27

Boyd Group Reports Soaring Profits in 2023 �������������������������������������������������������� 32

Kinderhook Acquires Kaizen Auto Care ����������������������������������������������������������������� 47

AkzoNobel Coatings �������������������������������� 23

Hyundai Wholesale Parts Dealers ����������� 51

Audi Gwinnett ������������������������������������������ 40

Kia Motors Wholesale Parts Dealers ������� 45

CCC Crash Course Report: Auto Tech and EV Repairs Escalate Costs, Delays ����������������������������������������������������������������� 39

NTSB Investigating Fatal Crash Involving Ford Hands-Free Driving Technology �������������������������������������������� 45

Audi North Miami ������������������������������������ 38

KECO �������������������������������������������������������� 17

Audi Wholesale Parts Dealers ����������������� 46

Launch Tech ��������������������������������������������� 15

CCC Launches New Cloud-Based Product to Better Share Data in Collision Repair Process ��������������������� 28

Podium Joins SCRS as Corporate Member �������������������������������������������������� 51

Auto Data Labels ��������������������������������������� 9

Mercedes-Benz of Tampa ����������������������������40

AutoNation Ford-Memphis ���������������������� 38

Mercedes-Benz Wholesale Parts Dealers ���51

Axalta ������������������������������������������������������ 13

Miami Lakes Automall ����������������������������� 32

Blue Ridge Color �������������������������������������� 10

MINI of Charleston ���������������������������������� 42

Blue Vista Data Systems ������������������������� 18

MOPAR Wholesale Parts Dealers ������������ 35

Bosch Launches Mobile EV Technician Training Tour ������������������������������������������ 31

CIECA Announces New Member ������ 30 Companies Renew Commitment to CIF Program ������������������������������������������������� 12

President of I-CAR to Retire ��������������� 47 Revv Joins SCRS as Corporate Member �������������������������������������������������� 46

D.C., Maryland Lead Nationwide Surge in 2023 Vehicle Thefts ������������������������� 41

Spanesi Americas Announces Leadership Changes ��������������������������� 43

Car-O-Liner ������������������������������������������������ 2

Nissan/Infiniti Wholesale Parts Dealers ���� 48

Federal Court Upholds Reinstatement of California’s Emission Standards Waiver ����������������������������������������������������� 44

Survey: Vehicle Data Access Top Concern for Independent Repair Shops ���������������������������������������������������������1

CARSTAR ������������������������������������������������� 22

NorthAmerican Bancard �������������������������� 28

Certified Automotive Parts Association ��� 30

OEConnection ���������������������������������������� 29

Federal Government Softens EV Mileage Rating Rule ����������������������������� 51

Tesla Settles in Fatal Autopilot Accident Case ��������������������������������������� 45

Classifieds ����������������������������������������������� 50

Ourisman Kia of Fairfax ���������������������������� 42

CCC Intelligent Solutions ������������������������� 11

Parks Chevrolet ���������������������������������������� 44

Fix Network Names Global VP of Strategic Operations ���������������������������� 36

TPG Acquires Classic Collision ���������� 43

CPS Products ������������������������������������������� 16

Polyvance ������������������������������������������������ 31

Visionary Leader of BendPak Passes Away �������������������������������������������������������� 41

Dale Earnhardt Jr. Chevrolet �������������������� 30

PPG ������������������������������������������������������������ 5

DJS Fabrications ��������������������������������������� 6

Reeder Chevrolet ������������������������������������� 42

Empire Auto Parts ������������������������������������ 16

Reed Nissan �������������������������������������������� 38

Ford Wholesale Parts Dealers ����������������� 48

Rick Hendrick Chevrolet Naples �������������� 40

GM Wholesale Parts Dealers ������������������� 49

SATA Spray Equipment ����������������������������� 7

Grieco Ford of Fort Lauderdale ���������������� 41

Serra Kia �������������������������������������������������� 40

Gus Machado Ford ���������������������������������� 37

Southern Polyurethanes, Inc �������������� 12, 24

Harper Volkswagen ���������������������������������� 43

Sport Durst Chrysler-Dodge-Jeep-Ram ��� 42

Hendrick Automotive Group �������������������� 33

Stivers Decatur Subaru ���������������������������� 44

Hendrick Honda Pompano Beach ������������ 38

Subaru of Gwinnett ���������������������������������� 39

Hendrick Kia Cary ������������������������������������ 36

Subaru Wholesale Parts Dealers ������������� 47

Hendrick Kia Concord ������������������������������ 36

Toyota-Mazda of North Miami ����������������� 42

Hendrick Volvo Cars of Charleston ���������� 44

Toyota Wholesale Parts Dealers �������������� 51

Herkules Equipment Corporation ������������� 34

Volkswagen Wholesale Parts Dealers ����� 50

Ford Delays EV Production at Canada

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How Independent Body Shops Can Thrive in a Consolidating Industry

by Abby Andrews Autobody News

On a recent episode of The Collision Vision podcast, driven by Autobody News, host Cole Strandberg spoke with Michelle Sullivan, who became CEO of Certified Collision Group (CCG) earlier this year.

The conversation touched on high level industry trends, the future of independent collision repairers, and how independent shops can stay competitive in an increasingly consolidated industry.

Sullivan’s career in the collision repair industry began about 30 years ago in Baltimore, MD, when she went to work for Superior Auto Paints. She worked in every department within the company on her way to rising to become president.

After Superior Auto Paints was sold to a national distributor, Sullivan worked for AkzoNobel and FinishMaster. In those positions, she worked as a vendor partner for CCG when it first came to the market 10 years ago.

“Industry dynamics were changing, consolidation was ramping up. And [CCG] came in with the premise of kind of leveling the playing field for the independent repairers,” Sullivan said. “Their premise was the OE certifications and really improving shop performance. How can you not get behind that?

“I was able to see firsthand what some of those affiliates were experiencing. Whether it was shop performance or performance management or the vendor programs, it was impactful,” Sullivan said. “So when the opportunity came up [to join CCG as CEO]…I was thrilled. It’s a full circle moment for me because I’m working with a lot of customers, a lot of vendors, and a lot of stakeholders that I’ve worked with at some point in my career.”

The Future of Independent Collision Repairers “There’s no sign of [consolidation] slowing down in 2024,” Sullivan said. “We’re seeing a lot of regional private equity-backed platforms coming into the industry. Yes, the consolidators are growing, no question about that. But so are the regionals and so are single-store operators.”

Sullivan said high-performing shops have multiple OEM certifications and are focused on culture.

“Consolidation will continue, but so will the independents. They’ll continue to thrive,” she said.

“There’s more pressure on having that exceptional customer service experience. Everyone wants that Amazon-type experience. You know, everything is easy. And our industry is no exception to that. So shops that figure that out, they’ll be successful.”

How Elite Organizations Stand Out “I read this quote a long time ago and it stuck with me: ‘Your customer experience will never be greater than your employee experience.’ That’s so powerful,” Sullivan said.

The high performers are focused on their employees, Sullivan said.

“They’re creating an ownership mindset, and they’ve got people on the team that want to contribute,” she said. “They don’t have issues with retention, right?

They’re keeping their teams. Their teams are engaged, and there’s something to be said for that with the employees.”

Sullivan said the first time she visited a shop that wasn’t chaotic, it was almost eerie.

“They had figured out how to create processes that minimize that chaos,” she said. “It’s not that they weren’t busy, and it’s not that

4 MAY 2024 AUTOBODY NEWS / autobodynews.com

they didn’t have a backlog, they just figured it out.”

What Independent Operators Should Focus On Sullivan said she is a “huge supporter” of peer groups, like 20 Groups, and networks. CCG has built a network of nearly 800 like-minded operators across 46 U.S. states, and earlier this year announced it is expanding into Canada. Sullivan said there is power in those operators being able to connect, bounce ideas off each other and share best practices.

“We’re not fighting each other; we’re all rising together,” Sullivan said.

Sullivan said CCG looks for shops with industry-leading KPIs and OEM certifications. Then CCG’s performance management groups work with shops to help them further improve their businesses.

“One of the biggest things our affiliates really love about the network is these are highperforming operators that have really built solid reputations in their market,” Sullivan said.

“They’re very much involved with the community and their name and their legacy is important to them. We have a very nonintrusive model, so you don’t have to change your name. You don’t have to give up everything that you know you’ve built.”

Sullivan said CCG’s affiliates appreciate that model.

“There’s a lot of interest in the network,” she said. “As consolidation continues, people are looking to level the playing field. The company was built on that foundation. And that still exists today.”

Sullivan said in her 30 years in the industry, she has never taken for granted the dedication and commitment of all stakeholders to performing proper repairs.

“I just want to give a shout-out to all those people out there, because they’re really the difference makers,” she said.

Key Takeaways Sullivan said her first takeaway is to embrace being a lifelong learner.

“There is always something to learn. This industry is changing

dramatically,” she said. “Not only make sure that you’re up to speed on what the trends are, what the changes are, but that your team is and that your organization is positioned for that. You’re not responsible just for yourself, but you’re responsible for those that you serve.”

Sullivan’s second takeaway is to invest in the development of others.

“I read this quote a long time ago and it stuck with me: ‘Your customer experience will never be greater than your employee experience.’

That’s so powerful.”

— MICHELLE SULLIVAN CEO OF CCG

“Understand what the individuals on your team want, what their ‘why’ is, understand where they want to go, and be relentless in helping them get there,” she said. “High performers want to contribute.

They love feedback and they love transparency. If you have a high performer on your team, make sure that you’re having regular career path conversations with them so you don’t ever run the risk of losing them.

“But more importantly, they lead the industry,” she added. “So again, that customer experience will never be greater than the employee experience.”

Sullivan’s third takeaway is to build your community and stay connected.

“Industry organizations are a great way to be connected to the overall industry,” she said. “You learn from the organizations and today, more than ever, there is a need for that. And you can find those 20 groups that we talked about and find a way to stay connected.”

Sullivan encouraged listeners to follow CCG on LinkedIn for an exciting announcement set to come out at CCG’s conference April 21. More information on CCG can also be found on its website, certifiedcg.com.

Listen to the full episode at www. autobodynews.com/podcasts or watch it at www.youtube.com/ watch?v=WteWcElj8kA

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Body Shops Focusing on Employee Retention, Development of Entry-Level Techs

By John Yoswick Autobody News

Ask collision repair shop owners and managers where they currently are focusing added resources, and staffing is fairly consistently at the top of the list.

“I kind of feel like the shepherd protecting my flock most of the time to guard off poaching, making sure they’re not getting enticed to go elsewhere,” said Andrew Batenhorst, manager of Pacific BMW Collision Center in Glendale, CA. Batenhorst noted that at least in his market, it’s not just other shops looking to attract workers.

“The city has jobs with pension programs and health benefits, and they are ramping up [recruiting] efforts as they’re losing a lot of the Baby Boomer generation who have been in those jobs for 40 years,” Batenhorst said. “They’re aggressively luring people in. So that’s kind of a new threat that we’ve not really seen in this market until the last year or two.”

New Mexico shop owner Scott Benavidez is helping launch a program of basic collision repair training at a high school near his shop this year

Scott Benavidez, owner of Mister B’s Paint and Body in Albuquerque, NM, is also focused on challenges related to human resources. He helped get a basic collision repair training program launched this year at a high school near his shop.

“We’ll be the first one in the nation to pilot I-CAR’s new program to start training people who may not have even touched a screwdriver,” Benavidez said. “We’re going to see how it works in my local high school here. If we can start them out from the ninth grade to the 12th grade, by the time they get out, they’re going to be beneficial to us. There’s five basic things we want them to learn: Small dent repair, R&I bolted-parts, plastic repair, prep paint and color sand and rub. If one of those kids came in my shop today with that, I’d hire them immediately.”

Benavidez said CCC Intelligent Solutions is putting an estimating system in the school to help students start learning about estimates and parts tracking.

“The Automotive Management Institute is going to do classes for these kids in how to answer the phone, how to talk to a consumer, how to see if vehicles are drivable from the get-go,” he said.

Benavidez said there’s a sizable student population in his area that are unlikely to go to college and want to begin earning right out of high school to help their families. “Hopefully this will help them and help our industry,” he said. “We’re trying to build a program where we move them in steps to get them ready to go into a shop by the time they are juniors and seniors, maybe even apprenticing during the summer. And then we can teach them the rest.”

Mentoring New Techs Will Latuff, president of Latuff Brothers Auto Body in St. Paul, MN, is focusing on developing new technicians in-house.

“We have three employees who are new to us, two right out of trade school and one with little automotive experience, who we have paired up with mentor techs,” Latuff said.

“We’re working on systematically increasing their skillsets so that they can become full-fledged techs. And then as we start growing those skills, we will bring on probably at least one more in the next year.”

One change that has made that more feasible to do: Latuff converted all his flat-rate technicians to hourly.

“There were more reasons behind that than just training, but that was one of the barriers to enabling a master tech to become a mentor,” Latuff said. “Because if a tech is dependent on what they produce,

doesn’t have to borrow our mentor’s tools is kind of key,” he said.

Also necessary, Latuff said, is having a good plan. “A lot of people

you bring in new employees. The mentors need to know those trainees don’t know what they haven’t told them. And if you tell them once, they may not remember because they’re trying to absorb so much. So you may have to tell them again and again. You have to have that empathy or that heart to transfer the knowledge.”

Finding New Sources Like Benavidez, Tom Ricci, owner of Body & Paint Center in Hudson, MA, is also working to increase the New training and mentorship programs can help grow pool of potential entry-level entry-level technicians technicians, but he’s looking beyond local schools. He’s seem to think that the first thing trying to get an auto body program somebody needs to learn is cosmetic established as part of rehabilitation dent repair, and it’s absolutely not. program at a correctional institute in They need to learn organization, his state. damage analysis, disassembly, “I’m involved in the program that’s reassembly, panel fitment.” working to get lower-level criminals It’s also important to help guide the back out in the workforce, helping mentor techs through the process, he them with re-entry,” Ricci said. “I’ve said. “They have a lot of knowledge talked to a couple of people already in but don’t always know how to regards to trying to get an auto body translate that to a trainee,” he said. training program up and running. If “You don’t get frustrated with a baby we get that off the ground, there’d because they don’t know how to be more resources for auto body walk. It’s the exact same thing when technicians throughout the state.”

“If we get that off the ground, there’d be more resources for autobody technicians throughout the state.”

— TOM RICCI

BODY & PAINT CENTER

they’re not going to be focused on teaching new skills.”

One of the trainees, who is working at the shop while in his first year of trade school, didn’t have much in the way of tools, Latuff said, so the shop got him a basic set tools. “That’s not earth-breaking, but making sure he

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WrenchWay Finds Average Technician Salary Higher Than Federal Agency Reports

by Abby Andrews Autobody News

A new survey conducted by WrenchWay found the average collision repair technician makes far more than the U.S. Bureau of Labor Statistics (BLS) reports, but more data is needed to be able to definitively present that positive information to young people considering a career in the industry.

WrenchWay co-founders Jay Goninen and Mark Wilson presented the results from their 2024 Technician Pay survey, which gathered data on pay and benefits from technicians across the country, in a Zoom webinar March 26: “Is BLS Data a Bunch of BS?”

median experience of 13 years.

“We were light on data for the collision side, but hopefully you guys can help us get more,” Wilson said.

The survey results are available for all to see via the Automotive and Diesel Technician Compensation Tool at wrenchway.com/pay. Users can filter the results by industry category, shop type, ZIP code and radius, and years of experience in the industry.

That is also where technicians can continue to submit their own pay data, which Wilson and Goninen encouraged everyone to do. They also asked technicians and managers to invite friends, employees and coworkers to fill out the sevenquestion survey.

WrenchWay said these initial survey results are “a starting point,” and will become more robust – and accurate – as more technicians respond to it. Image via Shutterstock.

According to the BLS, the average pay of an automotive technician is $46,970 per year, or $22.58 per hour, and the average pay for diesel technicians is $54,360 per year, or $26.14 per hour. The agency also cites the highest 10% earning around $75,000.

Goninen and Wilson said they already knew from the more than 1,000 shops on WrenchWay and countless others they work with that the data is simply not accurate.

Their brief, self-reported survey has been completed by about 3,000 technicians so far, which were broken down into four industry categories: automotive, diesel, collision and school, which covers high school and college instructors.

The data shows the mean salary for collision repair technicians was about $87,000 per year, and the average was $89,000.

However, of those 3,000 responses, only 43 came from collision repair technicians, with a

WrenchWay vs. BLS Methods Wilson said the problem with the BLS statistics is that it groups so many careers under “automotive technician,” from an entry-level employee at a quick lube shop to a master technician with 40 years of experience.

BLS data also figures out annual salaries by simply multiplying hourly rates by 2,080 hours a year, but that doesn’t take into account those who work more than 40 hours per week, so a lot of technicians make more in a year than their hourly wage would indicate.

“That method just doesn’t work in our industry,” Wilson said.

The result is an average pay that doesn’t look appealing to young people considering a career to pursue.

“The problem is a high school student shows interest, they look at salary data from BLS and it s good, but not great,” Goninen said. “There’s a lot of training to keep up with and the student has to pay for their own

8 MAY 2024 AUTOBODY NEWS / autobodynews.com

tools. It’s all false except the tool part.

There are some really competitive salaries.”

Goninen and Wilson acknowledged the fact the responses largely came from experienced technicians, which skewed the average salary numbers higher than those for entry-level technicians with less than three years of work experience.

“A lot of people want to see the industry promoted as a great career,” Wilson said to explain why longtime technicians seemed to be more willing to participate.

Goninen said going in, they had been a little concerned only entrylevel technicians would respond, which would not show the long-term earning potential.

“We want to have realistic data,” Goninen continued. “We don t want to over emphasize the beginning salary, because it’s hard to compete with Amazon and others offering bigger starting salaries, but we can give them hope, that maybe if I can stay in this industry, I can have a very successful career.”

Collision repair-specific results in the Automotive and Diesel Technician Compensation Tool.

Automotive, Diesel and Instructor Average Salaries Looking at the rest of the survey results, a large majority – about twothirds – of all respondents said they were automotive technicians. They reported a mean experience level of 18 years, a mean salary of just over $89,000 and a median of $83,000.

Wilson said setting the results to show auto techs with zero to three years of experience returned a mean salary of $49,173, about what he expected. There were not enough collision repair respondents with the same amount of experience to generate a result.

The automotive technician data can be further broken down into those working for dealerships, either domestic or import brands; independent shops servicing all makes and models or specializing in one; fleet; service and tire chains; quick change lube shops; mobile services; or those servicing RVs or EVs. Diesel technicians were the next-largest segment, with 644 respondents with a mean experience of 13 years, a mean salary of $83,519 and median of $77,509. They could indicate if they worked in a shop, or on construction or agricultural equipment.

The “school” category had a handful more respondents than collision repair – 50 respondents with a mean experience of 30 years reported a mean salary of $79,013 and median of $77,750.

“We’re still very much growing the collision side of this,” Goninen said.

“It’s very early in the process.”

Goninen said collision repair shops can join WrenchWay to post jobs, be searchable for technicians looking for jobs, and connect with local schools.

“The job board is like Zillow is to housing,” Goninen said. “A technician can do their due diligence on an employer, and an employer has a chance to ‘sell’ themselves to new employees.”

The School Connect program allows automotive education programs at high schools and postsecondary schools to ask for what they need to effectively teach their students – be it speakers to come to class, new equipment, or shops to place their students in apprenticeships, internships and job shadows.

For instance, one school posted to the School Connect board looking for a new brake lathe, which was donated before the end of the week by a local car dealership.

“It helps grow that program,” Goninen said. “So many schools have significant budget restrictions that lead to the program being cut. They need proper equipment and tools.

The [donating] shop gets to build a relationship with that school beyond a twice-a-year advisory committee meeting.”

“I think job shadows will be critical as we move forward,” Goninen added.

For more information, visit wrenchway.com.

More Data Needed from Collision Repair Technicians In a follow up call, Goninen said WrenchWay is still developing its relationship with the collision repair industry. The aim is to gather enough data from technicians to be able to break it down into salaries for working in dealerships vs. independent shops and other subsets, similar to the automotive technician and diesel categories.

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Getting Paid Aluminum Labor Rate May Be Tougher, But Other Vehicle Tech Adding To Estimates

By John Yoswick Autobody News

A recent industry survey found while fewer shops are successfully negotiating to be paid their higher labor rate for aluminum repair work, other new vehicle technology is adding more lines to shops’ estimates and final invoices.

Among more than 500 shops participating in a recent “Who Pays for What?” survey, the vast majority — 84% — perform aluminum repair work, and 43% hold an OEM certification for aluminum repair from one or more automakers. With the added expense of separate tools and work areas designated for aluminum work, along with training and other certification requirements, shops have seen a need for different hourly rates for aluminum repair compared to standard steel body repairs.

It appears insurers, however, have been pushing back on those higher labor rates for aluminum work. Over the past five years, fewer and fewer shops participating in the surveys are being paid the higher rates. Just 29% of those performing aluminum work reported through the survey they are being paid their aluminum rate on a regular basis (“always” or “most of the

time”) by the eight largest national insurers. That was down significantly from the same survey five years ago, when 54% of shops said they were regularly being paid their aluminum repair rates.

The average percentage of shops reporting that insurers “never” pay their aluminum rates has been slowly

grows, for example, more shops are getting paid for keeping those vehicles charged while in the shop.

Nearly 2 in 5 shops (38%) say they are paid always or most of the time by the largest insurers for electric vehicle recharge. That was up nearly 13 percentage points from a year earlier. About an equal percentage

The survey found shops’ labor rates for structural aluminum work outside of an OEMcertified program in late 2023 found a 75th percentile rate of $130, meaning 75% of shops charge a rate below that amount, while 25% charge a higher rate

increasing over the past five years as well, rising from 25% in 2019 to 37% in late 2023.

In better news for collision repairers, however, shops are more regularly being paid for labor operations that are becoming increasingly common because of changes in vehicle technology.

As the electric vehicle population

10 MAY 2024 AUTOBODY NEWS / autobodynews.com

(41%) said those insurers never pay for that procedure, but that was down from about 50% the prior year.

Given that only a small — but growing — number of automakers require a radar power test on select vehicle models, it’s perhaps not surprising that two-thirds of shops responding to the survey said they had never billed for the procedure.

But the survey, which was the first to ask about radar power tests, found more than 2 in 5 shops (42%) that have billed one or more of the eight largest insurers for the procedure said they have been paid all or most of the time.

“It’s a static function test to see if painting the bumper has reduced the power of a radar sensor too much,” said Mike Anderson of Collision Advice, who conducts the “Who Pays” surveys. “The test is needed if the system uses higher resolution radar for blind spot systems that are able to identify not just a vehicle in the blind spot, but even smaller objects such as a bicycle.

“The test uses what is essentially a metal pole on wheels, to measure, when the system is engaged, how much the bumper cover is reducing the power signal of the radar sensor,” Anderson continued. “The test is currently required for some Mercedes-Benz and Toyota vehicles but likely will be required on more makes and models in the future.”

The latest “Who Pays” survey, which focuses on not-included frame and mechanical labor operations, is open during the month of April; shops can click visit www.surveymonkey. com/r/9NC7D6B to take the survey.

SPONSORED EDITORIAL

Bowen’s Collision Drives Shop Confidence with CCC® Diagnostics Workflow For 27 years, Bowen’s Collision has been a pillar of the Columbia, South Carolina community, but it was only in the last two years that the family-owned and operated business experienced impressive growth, adding two new locations, with plans to open more in the next few years.

General Manager Scott Austin attributes Bowen’s Collision’s success to their world-class customer service and top-quality repairs.

Putting customers first and delivering high-caliber repairs wouldn’t be possible without consistent performance, which is why Austin focused on developing more standardized routines and processes for his technicians to streamline things like diagnostic scans, which he believes gives Bowen’s Collision a competitive edge.

In fact, the decision to scan every vehicle that comes into the shop was a “no-brainer,” according to Austin, because the benefits of doing so far outweigh the drawbacks. He said most manufacturers no longer recommend scans –– they require them, yet not every shop does them consistently.

“Scans cover all the bases,” says Austin. “Pre-repair scans help us find out where the initial problems are and eliminate others right away. Documentation beats conversation and having all the information up front helps us know what we’re getting into and be prepared to have a discussion if we have to. It’s good for our customers and it’s great for our shops.”

Austin says the benefits of knowing more about vehicle damage earlier in the repair process can help save everyone time,

money, and resources, which leads to happier customers. It’s also increased revenue and profitability for his shop, he said. The cost of a brand-new scanner quickly pays for itself because the shop can bill carriers or self-paying customers for each scan, and the scans aren’t time-consuming to perform.

The problem shops often have with integrating diagnostics into their repair processes is “remembering not to forget” to scan or calibrate, sometimes even resorting to sticky notes to remind them of these critical tasks.

Austin says that’s why he uses CCC® Diagnostics Workflow, because it helps his team integrate diagnostics into every single repair plan and keep track of every scan all in one place. The result?

A diagnostics process that comes naturally to his technicians. They no longer need reminders, and they don’t even have to think about it –– it’s simply a required operation for every vehicle, every time.

“You’ve got to make sure you do it, because it’s the times you don’t that you get whistle bit,” Austin says. “We’re all about helping people –– that’s truly our mission, and if we can make a customer feel better about their repair knowing we did everything we could to diagnose the problem, well, then, we’re practicing what we preach.”

To learn more about CCC Diagnostics Workflow, visit www.cccis.com/diagnostics autobodynews.com / AUTOBODY NEWS MAY 2024 11

Tennessee Volkswagen Workers File For Election To Join UAW Volkswagen’s Chattanooga, TN, workforce has filed a petition with the National Labor Relations Board for a vote to join the UAW, after a supermajority of workers there signed union cards in just 100 days, amid growing concerns about job quality, safety and worklife balance.

“Today, we are one step closer to making a good job at Volkswagen into a great career,” said Isaac Meadows, a production team member in assembly. “Right now, we miss time with our families because so much of our paid

time off is burned up during the summer and winter shutdowns.

We shouldn’t have to choose between our family and our job. By winning our union and a real voice at Volkswagen, we can negotiate for more time with our families.”

“We are voting yes for our union because we want Volkswagen to be successful,” said Victor Vaughn, a logistics team member at VW. “Volkswagen has spent billions of dollars expanding in Chattanooga, but right now safety is a major issue in our plant. Just the other day, I was almost hit by four 500-plus pound crates while I was driving to deliver parts. That incident should’ve been followed up within the hour, but even after I clocked out no one asked me about it. VW has partnered with unionized workforces around the world to make their plants safe and successful. That’s why we’re voting

for a voice at Volkswagen here in Chattanooga.”

“I come from a UAW family, so I’ve seen how having our union enables us to make life better on the job and off,” said Yolanda Peoples, a production team member in assembly. “We are a positive force in the plant. When we win our union, we’ll be able to bargain for a safer workplace, so people can stay on the job and the company can benefit from our experience.

When my father retired as a UAW member, he had something to fall back on. VW workers deserve the same.”

This is the first non-union auto plant to file for a union election among the dozens of plants where workers have been organizing in recent months. The grassroots effort sprang up in the wake of the record victories for Big Three autoworkers in the UAW’s historic Stand Up Strike win.

The Chattanooga plant is Volkswagen’s only U.S. assembly plant and employs more than 4,000 autoworkers. It is the only Volkswagen plant globally with no form of employee representation.

Companies Renew Commitment To CIF Program The Collision Industry Foundation (CIF) is delighted to announce Axalta, Enterprise and Dedoes Industries have all committed again to the CIF Annual Donor Program, each company’s fourth consecutive donation at the Urgent Care (second highest) tier.

Introduced in 2021, the Annual Donor Program was designed to bring needed recurring resources to CIF, so it can deliver on its mission to “Answer the Call” when those in the industry have been impacted by catastrophic events such as wildfires, hurricanes, tornados or flooding.

For more than two decades through the generous support of corporations and individuals, CIF has been able to assist hundreds of collision repair professionals in need after a disaster. CIF is grateful for Axalta and Enterprise’s continued support of the Annual Donor Program, which will enable CIF to continue its work for disaster relief assistance.

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Federal Agencies Support Regulations in Existing Law Allowing Right To Repair

By Abby Andrews Autobody News

Two federal agencies recently submitted a joint comment recommending renewing and expanding temporary repairrelated exemptions to a federal law protecting copyrighted content, to allow consumers’ and businesses’ right to repair their own products.

The Federal Trade Commission (FTC) and the Department of Justice’s Antitrust Division (DOJ) submitted the comment to the U.S. Copyright Office, which might recommend the Librarian of Congress renew and expand exemptions to the Digital Millennium Copyright Act (DMCA), passed in 1998, which prohibits circumventing measures that control access to copyrighted content.

In their comment, the FTC and DOJ said renewing and expanding repair-related exemptions would promote competition in markets for replacement parts, repair and maintenance services, as well as allow competition in markets for repairable products. Doing so would benefit consumers and businesses by making it easier and cheaper to fix things they own. Expanding repair exemptions can also remove barriers

that limit the ability of independent service providers to provide repair services.

According to the comment, software “locks” that protect copyrighted content from theft and infringing uses can also be used to prevent third-party repair, by the owner of the product or an independent repairer.

Expanding repair exemptions in the law can remove barriers that limit the ability of independent service providers to provide repair services, the agencies said. Image via Shutterstock

For example, such measures can restrict access to computer maintenance hardware and software programs, leaving only the OEM able to do maintenance and repair work. The FTC and DOJ said that can be used to squash competition for replacement parts, repair and

maintenance, which ultimately limits consumers’ and businesses’ choices and raises costs.

Among the specific DMCA exemptions the FTC and DOJ support renewing is one related to the repair of vehicles. They also support adding a new one to allow vehicle owners or independent repair shops to access, store and share vehicle operational data.

In a statement, Bill Hanvey, president and CEO of Auto Care Association, said his organization supports the joint comment.

“In particular, on behalf of the entire automotive aftermarket, Auto Care Association agrees with the DOJ and the FTC that the Class 7 exemption to allow vehicle owners and repair facilities greater access to vehicle diagnostic and telematics data for monitoring purposes is critically important to lower the cost of repairs, improve access to repair services, and minimize costly and inconvenient delays,” Hanvey said.

The Auto Care Association also launched a new video campaign emphasizing the need to pass a new law, the Right to Equitable and Professional Auto Industry Repair (REPAIR) Act, which was unanimously advanced by the U.S. House Energy

and Commerce Subcommittee on Innovation, Data, and Commerce last November.

In the new campaign, shop owners from across the U.S. share their stories and shed light on the increased challenges independent repair shops are facing with accessing repair data to service their customers’ vehicles.

“You can’t do the simplest job anymore without [needing] to get into the computer system,” said Dwayne Myers, co-owner of Dynamic Automotive, an automotive repair business with six locations in Frederick County in Maryland. “If Congress doesn’t take action on the right to repair, it will only increase what it costs to fix your car. The REPAIR Act has bipartisan support because it really ties back to the American dream. It puts everyone on a fair playing field.”

“The impact to the consumer is that they have less choice and pay more for repairs that take two, three or four times longer,” said Kathleen Callahan, owner of Xpertech Auto Repair, a family-owned automotive repair shop in Englewood, FL. “I support the REPAIR Act because I want to protect my legacy, my customer’s choice, and the independent aftermarket that I’m so proud to be a part of.”

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Stacey Phillips Ronak — Solving the Tech Shortage

CCI Provides Defined Career Path, Training for Entry-Level Techs One of the most talked-about challenges in the collision repair industry today is the significant shortage of skilled workers. The Collision Career Institute (CCI) was established in 2015 to help solve this crisis.

“We designed a program to supercharge the growth of collision repair teams across the United States,” said Erick Bickett, co-founder and CEO of CCI. “Our team’s sole purpose is the learners’ success.”

Bickett said the genesis of CCI was rooted in necessity. Known by many in the industry as a visionary and innovator, Bickett recognized the dire need for new industry talent. With a resume including initiatives like the Collision Industry Electronic Commerce Association (CIECA), Fix Auto USA and Caliber Collision, he realized the challenges facing collision repairers.

Bickett wasn’t alone in his quest. He partnered with Charlie Robertson, a recognized authority in collision repair education with more than 25 years of experience, over the shared vision of revolutionizing the way collision repair professionals were trained.

“A lot of shops think the problem has been around a half a dozen years or so, but it has been an ongoing problem for a long time,” noted Robertson, CCI president and co-founder.

With Bickett’s industry acumen and Robertson’s educational expertise, they set out to tackle the tech shortage.

Their plans were met with an unforeseen challenge – the COVID-19 pandemic.

“Because of our dedication to the industry and future leaders, CCI pivoted during the pandemic to assist technical schools and provide curriculum support at no cost,” said Robertson.

In-Shop Collision Repair Education CCI then embarked on a journey to redefine in-shop collision repair training.

“Our approach was simple yet revolutionary,” said Bickett. “We worked toward providing a comprehensive curriculum that addressed the core challenges facing the industry.”

Their efforts were supported by the addition of a new team member, Dan Dutra, vice president of business development.

“Dan’s dedication to the industry is matched only by his commitment to excellence,” said Robertson. “Together, we’re united in our mission to reshape the future of collision repair.”

Dutra said they listened to shop owners, career and technical school educators, insurers, technicians and students to refine the curriculum and support materials that deliver skills to new industry entrants.

“CCI has every variable covered at this point and will produce productive

with the U.S. Department of Labor.

Implementing CCI Training in Your Shop CCI begins with a tailored assessment of the shop.

“It is critical that a shop has the right learning environment and culture to embark on this journey,” said Dutra.

In most cases, CCI recommends repair centers evaluate the company’s culture and environment before bringing in recruits.

They’ve found some of the best candidates come from their own detail and parts departments, those who are already part of the team and known to be trusted and dependable.

AJ Gaston, general manager at Fix Auto Downey in “Ideal entry-level California, said CCI’s program has helped educate candidates include those technicians on how to properly repair modern vehicles. who show up on time every day, are trustworthy standalone techs inside of 18 months,” and respectful and have excellent soft he said. skills,” noted Robertson.

Bickett emphasized that CCI’s vision CCI helps shops match an applicant extends beyond technical skills. s work style and personality with their “It is about instilling a mindset of trainer to ensure it is a good fit. excellence and innovation,” he shared.

“We don’t suggest using the “Our program focuses on teaching highest-performing technician in the entry-level technicians collision repair shop,” said Bickett. “Instead, we look skills so they can be successful and for a trainer who might be a little older, productive.” needs a helper, and has the ‘teacher The CCI team has found the holistic gene’ – someone who wants to give approach resonates with shop owners back to the industry.” and industry professionals.

“We use a combination of work “CCI’s goal is to provide a defined style and personality assessments career path and training for those that have been customized and interested in joining the industry or tailored to our industry,” added already working in the industry in less Robertson. “Apprentices then start critical roles,” Bickett explained. training using a mapped-out plan, Bridging the gap between tracking and measurement to ensure classroom theory and real-world they have gained the skills needed to application has had its challenges, be successful.” according to Robertson.

The program was designed to work “The challenging shop dynamics with all the established processes and make it very difficult for a new person variables in a shop. to learn,” he said.

“We work closely with shops to To address this, CCI adopted a transform their teams’ capabilities,” competency-based approach to explained Dutra. “CCI guides apprentices learning, focused on mastery instead through the skills they need to be of completion. successful through online learning and “Rather than being time-based on-the-job skills development, utilizing as with most schools, CCI’s program the work assigned to their trainer.” is competency-based,” Robertson “We provide a road map for the clarified. in-shop trainer to allow apprentices The program is approved by the to learn the skills they need to be California Division of Apprenticeship successful,” added Robertson.

Standards and registered as a CCI’s process develops skilled national apprenticeship program apprentices while they contribute to

14 MAY 2024 AUTOBODY NEWS / autobodynews.com

the business’ bottom line.

“We also provide repair centers with suggested tool strategies, pay plans and resources to track and measure the transfer of skills to help apprentices produce more than they cost within 90 days of the program starting,” Robertson said.

The online program is delivered through the Canvas Learning Management system. It includes presentations, videos, handouts and skills-tracker workbooks. Students can access the materials on their smartphone, tablet, laptop or desktop computer.

“Apprentices experience every angle of the repair process in their chosen career path, as a technician, painter or repair planner,” explained Robertson.

The online courses are supplemented with skills-tracker workbooks for apprentices to keep track of their developing skills. QR codes link to “how to” videos explaining how to perform each skill. The trainer guide provides step-by-step directions for trainers, helping them improve skillstransfer to learners.

As students progress, they repeat skills from previous courses so no skill diminishes during their apprenticeship.

“This ensures a learner has the skills to perform work in a live shop environment,” said Dutra.

Ultimately, he said they must contribute to the bottom-line by helping move cars through the shop during the learning process.

“With CCI’s guidance, shops can transition entry-level candidates to B-level body techs, painters and estimators,” said Dutra.

“We are inclusive, not exclusive,” said Robertson. “We don’t think we’re the only ones with the answer and are open to working with others who have a piece of the puzzle to help solve this dilemma.”

Scan this QR code to go to a playlist of informational videos on CCI’s YouTube channel.

autobodynews.com / AUTOBODY NEWS MAY 2024 15

California Shop Finds Success Using CCI Curriculum To Train New Technicians

By Stacey Phillips Ronak AJ Gaston, general manager at Fix Auto Downey in California, said good technicians who know everything from A to Z are hard to find and often expensive to hire.

Gaston has worked at Fix Auto Downey, owned by Little John’s Bodyworks, for more than 38 years. Since the family-run business opened in 1960, Gaston said it has built a reputation for quality service. Most technicians are long-term employees, but some trainees have left because they weren’t part of a structured training program.

“Many times, when you hire someone new, they think they know how to do certain tasks, but they really don’t,” he noted.

Gaston recently hired two technicians after they graduated from Universal Technical Institute (UTI). They were taught how to weld and learned basic skills, but had limited knowledge working on cars.

He wanted to find an apprenticeship program that would allow him to pair the new

techs with a mentor so they could learn enough to become fullfledged technicians.

After doing research, he decided that the online apprenticeship program offered by the Collision Career Institute (CCI) was a good fit.

About six years ago, Gaston tested CCI’s program. He said it offered many benefits but took time away from a user’s daily duties.

Following the pandemic, CCI revamped its program and Gaston implemented it again.

“They told us it’s much different and we would like it a lot better,” Gaston recalled. “We really do like how things work now.”

Since implementing it, Gaston said it has helped educate technicians on how to properly repair modern vehicles.

The first step was assessing the incoming technician/ student and mentor to ensure compatibility.

He has been impressed with the program’s flexibility, which allows technicians with industry experience to start the program

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at the appropriate level.

“That’s part of the beauty of the program,” said Gaston. “They don’t have to start over and waste time learning what they have already learned at another shop or technical school.”

Technicians can also input their I-CAR learning into the CCI app.

Alex has used the program for nine months and Eddie started it about four months ago.

“It is part of their daily job, other than one hour a week when they have a conference call with their CCI training manager,” explained Gaston.

“CCI is a very hands-on program and is very well designed for new techs joining the automotive collision industry,” said Alex, one of the helpers. “It’s more like an ‘in-person ASE course.’ Each module is well thought out with support from great coaches.”

Eddie agreed. “My experience with CCI has been outstanding,” he said.

Eddie has found the staff at Fix Auto Downey want to keep track of the students’ progress,

and the assignments represent real-world challenges technicians would encounter in any shop, giving them confidence to do any assigned work there.

“I’m grateful for this program because it allows me to continue expanding my knowledge,” he said. “I’m also grateful for the shop where I work because it lets me continue my education in an area I’m passionate about.”

Their mentor, Larry, said CCI’s program helps him keep track of what has been taught to the student and what still needs to be presented.

Gaston said CCI’s program offers a structured approach to collision industry education and includes information to ensure technicians use the proper materials and provide the correct documentation.

It also helps technicians and mentors stay on track by letting them know what module they should work on daily.

“Programs like CCI will help produce good techs that our industry desperately needs,” said Gaston.

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Mike Anderson — From the Desk of Mike Anderson

Creating an Action Plan is Key to Reaching Business Goals Just saying something doesn’t make it so.

Too often I hear collision shop owners say that they’re going to do something – improve customer satisfaction, increase sales or reduce cycle, for example. But when pressed for exactly how they’re going to do that, their answers are often pretty vague.

Ladies and gentlemen, just because you say something is going to happen doesn’t mean it will. That’s a wish, a desire that something will happen, rather than a plan to make it happen. A goal is when you actually have an action plan – preferably in writing – on how to accomplish it.

A good action plan answers: What are you going to do? Why are you going to do it? How are you going to do it? Who will be involved?

Let’s take shop owner “Rob,” who wants to increase his shop’s sales by $400,000 a year. He built an action plan for accomplishing that goal.

One step, he decided, is to capture more necessary but not-included labor operations the shop is already

doing, but not consistently including on estimates or final bills. He and his estimators looked through some of our “Who Pays for What?” survey reports, and decided it’s realistic they can capture one more labor on every job. At 100 jobs a month and a $63 per hour labor rate, that would add $6,300 per month (or $75,600 a year) to the shop’s annual revenue.

So how will they get that extra labor hour per job? The first Thursday of each month, Rob will have a meeting with his blueprinting and sales staff to go over two or three not-included items the shop is doing regularly that could be included on estimates. Together, they will discuss how to negotiate for those items.

Think about that plan: It lays out what is going to happen, who is involved, and when and how they are doing it. That’s a goal, not just a wish.

The other part of Rob’s action plan is to improve the shop’s closing ratio. Right now the shop has a 60% closing ratio. That means it is writing about $900,000

in estimates every month, but only capturing about $540,000 (60%) of that potential work.

Rob sets a goal of improving that closing ratio to 63%. That would mean the shop’s sales would rise to $567,000 per month (63% of $900,000) without needing to get a single additional customer through the door.

A good business plan lays out what is going to happen, who is involved, and when and how they are doing it.

How will Rob accomplish that goal? First, he is going to bring in some after-hours sales training for

his team. And every estimate for a job not immediately scheduled by the customer will be put into a file; an estimator or customer service rep will call each of those customers the next day with a script Rob and his team develop to help get that job scheduled. If unsuccessful, that estimate will move into another file for another follow-up call a certain number of days later.

The added labor hour per job will generate an additional $75,600 in revenue over a year. The improved closing ratio will generate an additional $324,000. That puts Rob within $400 of his goal. And it’s not just a wish.

He has an action plan for how to accomplish it, with specifics about what will be done and who will do it.

So enough with the wishes.

Set goals. Put the plan in writing.

Keep it to a manageable four or five action items. And delegate but don’t abdicate; get others involved, but don’t just dump it on them. Then regularly show them how the shop as a team is making good on that plan.

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l CONTINUED FROM COVER

Mercedes-Benz Then, on April 3, the UAW filed charges against Mercedes-Benz Group AG for allegedly violating Germany’s new law on global supply chain practices, calling Mercedes-Benz’s actions “a clear human rights violation” under the German Act on Corporate Due Diligence Obligations in Supply Chains. If found guilty, MercedesBenz faces billions in penalties, including fines and bans on government contracts.

The law, which took effect Jan. 1, 2023, sets standards for global supply chains that Germanbased firms with more than 1,000 employees must adhere to. It prohibits companies from disregarding workers’ rights to form trade unions.

The Alabama plant is operated by Mercedes-Benz U.S. International (MBUSI), a subsidiary of Stuttgartbased Mercedes-Benz Group AG. The UAW complaint details how MBUSI has intimidated, threatened and even fired Alabama workers in violation of U.S. labor law and International Labour Organization Conventions.

In February, Mercedes-Benz

workers announced a majority of their coworkers at the plant had signed union authorization cards.

Every Mercedes-Benz plant in the world is unionized, except the company’s two plants in the U.S. The complaint filed by the UAW documents seven alleged violations of the German act, including: The firing of a union supporter with Stage 4 cancer. The employee had been allowed to have his cellphone with him at work so he could receive updates on the availability of his scarce chemo drug. But a supervisor who has intimidated union supporters claimed there was a zero-tolerance policy on cellphones and had him fired.

A January letter from MBUSI CEO Michael Göbel to employees, filled with stock phrases used by anti-union consultants designed to stoke fear, uncertainty and division.

A mandatory plant-wide meeting Göbel held in February to discourage workers from unionizing. At this meeting, Göbel reportedly told workers, “I don’t believe the UAW can help us to be better” and that they “shouldn’t have to pay union dues that generate millions of dollars per year for an organization where you have no transparency where that money

18 MAY 2024 AUTOBODY NEWS / autobodynews.com

is used.”

Another mandatory plant-wide meeting in February that featured former University of Alabama football coach Nick Saban. Before and during the meeting, MBUSI supervisors attempted to stop union supporters from passing out UAW hats.

On April 5, the UAW announced a supermajority of employees – more than 5,000 -- at the MercedesBenz plant had petitioned the NLRB to hold a union election to join the UAW -- the second significant push in the South for union representation in less than three weeks, closely following Volkswagen employees in Chattanooga, TN, who will get to hold their vote April 17-19.

Mercedes-Benz workers are part of the national movement of nonunion autoworkers organizing to join the UAW in the wake of the historic Stand Up Strike victory at the Big Three auto companies.

More than 10,000 non-union autoworkers have signed union cards in recent months, with public campaigns launched at MercedesBenz, Volkswagen in Chattanooga, TN, Hyundai in Montgomery, AL, and Toyota in Troy, MO. Workers at more than two dozen other facilities are also actively organizing.

Classic Collision Acquires 100th Business in 4 Years Classic Collision, LLC, acquired Heat Collision Auto Body Specialist, in North Miami and West Park, FL. This acquisition represents a monumental achievement for Classic Collision: its 100th business purchase in a robust four-year growth trajectory.

The newly acquired locations in Florida have a long-standing reputation for their commitment to customer service and highquality repair work.

“Our mission is to provide our customers with the most professional, courteous service and quality workmanship, and we believe that Classic Collision will continue that here in MiamiDade County,” said Lily Navarro, former owner of Heat Collision Auto Body Specialist.

“We are eager to welcome the Heat Collision Auto Body Specialist team to the Classic family,” said Toan Nguyen, CEO of Classic Collision. “We recognize their high-quality repairs and service standards and look forward to furthering that in our South Florida market.”

Collision Repair Estimating: Understanding Information System Guide Changes

by John Yoswick

by Autobody News

One of the most important skills for successful collision repair estimators is a good working knowledge of the “p-pages,” or estimating reference manual, for the information system they are using, whether it is made

by Audatex, CCC or Mitchell. These guides help an estimator understand what is included – and just as importantly, what isn’t included – in the labor times provided within the systems. The guides differ from one another and continue to evolve, so staying abreast of changes is important.

Danny Gredinberg of the Database Enhancement Gateway (DEG) said while the guide is generally accessible within the system itself, estimators reviewing an estimate prepared in one of the other systems may need to review that system’s guide as well.

All three guides are available on the DEG’s website, degweb.org/industryestimating-systems/.

Gredinberg highlighted some of the recent changes in the guides in a presentation at an industry event earlier this year.

Audatex Solera Qapter Database Reference Manual The latest version of the Audatex Solera Qapter Database Reference Manual, for example, spells out that “any fees related to OEM data subscriptions or information access are not included in part prices or labor values within Audatex estimating.”

The same is true for any labor related to access or research of OEM service information or electronic parts catalogues.

Another new labor exclusion in section 4-2 of the document reads that “additional repair operations that are taught in an OEM training environment but aren’t included in the current OEM reference material” are not included in the system’s labor times.

“You may have to go to an OEM technical school to learn a specific repair procedure, for example,” Gredinberg said. “A lot of manufacturers may have specific information they don’t define in the actual OEM repair procedure. So it’s very important to attend the [OEM] training if it’s available because there are going to be a lot of takeaways from those for specific repairs.”

Also newly excluded from Audatex labor times is the labor to apply seam sealer on new parts that require it.

“This is an update because previously they did include seam

sealer application on bolt-on parts,” Gredinberg said.

Also excluded is assembly of new parts that come in multiple unassembled parts from the manufacturer.

“If you order a grille assembly, you may receive a box of four or five or seven different parts,” Gredinberg said. “You have to build that component to be installed. That is a not-included operation.”

Set-up of riveting equipment and

have to put a part on a stand to refinish it in a certain way,” he said.

“Sometimes you have to get creative in order to get the coatings to all the nooks and crannies, the backsides and undersides. If you have to set a stand up in a unique way, that’s a notincluded operation.”

The guide now indicates repair times in the system include “one test fit of a component.” In response to a inquiry, Gredinberg said, Motor

be included in that section with a labor allowance for the performance of the task if necessary.”

Gredinberg said another update notes the labor times shown for air conditioning evacuation and recharge represent “utilizing A/C servicing equipment in a collision repair environment that evacuates the system by applying vacuum that must be held by the system for a certain period of time (leak check) confirmed with an electronic leak detection equipment post refill.”

“So essentially take an electronic sniffer monitor like an A/C leak detection tool and check just the service ports, that’s included,” Gredinberg said. “But if you have to diagnose a leak within the entire system, that time is not factored into evacuate and recharge. Some vehicle manufacturers may have different routing of those lines and refrigerant type. So always follow manufacturer guidelines but, again, to leak check just at the ports is an included operation.”

Image via Shutterstock.

materials, as well as test riveting, is also another new labor exclusion in Audatex.

Within the refinish guidelines in section 4-4, Gredinberg said, the blend formula wording – previously defined as 50% of the full panel refinish time – has been deleted, with Audatex stating that it “does not provide a standard labor allowance for blending panels as this requires the estimate preparer’s judgment [and] expertise, [along with] consideration of the unique requirements for each repair.”

“It allows the end-user to put whatever percentage they feel is necessary for performing the blend,” Gredinberg said.

CCC Motor Guide to Estimating A similar change related to the blend formula has been made in the Motor Guide to Estimating, the basis for the CCC Intelligent Solutions estimating system. Motor has eliminated blend formula, Gredinberg said, and instead states “estimated refinish times for color blending should defer to the judgment of an estimator or appraiser following an on-the-spot evaluation of the specific vehicle and refinishing requirements in question.”

Also in the refinish section, Gredinberg said, Motor has added that assembling or setting up a unique fixture or stand to hold parts for refinishing is a not-included operation.

“Many times when we’re painting parts off of the vehicle, we may

clarified its labor times do not “include a second (or more) fitment of a component to the vehicle, for any reason (including verification of dimensional accuracy or adjacent part alignment),” and “if more than one component installation is required for a specific repair plan, an on-the-spot evaluation should be used for the number of fitments beyond the first one required to perform the repair.”

In the wheel section of the guide, Gredinberg said, “torque wheel to OE specifications” is now included in labor times.

“But if you look at a lot of these repair operations or repair manuals, it may tell you to retorque the wheel after so many miles of road testing the vehicle,” he said. “If you have to retorque, perform duplicate effort, it’s a not-included operation. So again, this identifies that one ‘torque wheel to specifications’ is included.”

Mitchell P-pages Mitchell also has made recent changes to its Collision Estimating Guide P-pages. Under the labor general information section, for example, a new section on caulking indicates that “labor times…for bolton panels includes the application of caulking/seam sealer.” If Mitchell determines an OEM replacement part is not serviced consistently by a vehicle manufacturer, it will add a footnote — “does not include application of caulking” – to the specific panels, and “a headnote will

Danny Gredinberg of the Database Enhancement Gateway highlighted some of the recent changes to the guides for each of the three estimating systems.

In any case, diagnosing a failed leak check test is not included, the guide states.

In terms of adhesive emblems, Gredinberg said, Mitchell says the times shown “represent installing the emblem in the correct location by performing some combination of measuring, marking and aligning to ensure proper positioning,” but “time for the fabrication of a template for emblem installation per a specific OEM procedure is not included.” Gredinberg said it’s important to check the OEM procedures for the emblems you are installing, and noted that according to the Mitchell guide, “research, retrieval, review or usage cost of OEM or other service procedural information” is a not-included operation – something all three information providers have updated to define as not-included steps.

Lastly, Gredinberg said, Mitchell has updated the guide to indicate the time to “perform weld testing or matching [including] destructive weld testing” is not included in the labor times in the estimating system.

autobodynews.com / AUTOBODY NEWS MAY 2024 19

Stacey Phillips Ronak — Best Body Shops’ Tips

Pros and Cons of Implementing a 4-Day Workweek at Your Collision Repair Facility In today’s collision industry environment, many shop owners and managers are finding competent staff are becoming a scarce and valuable commodity. In response, progressive companies are looking for ways to differentiate themselves to be the “employer of choice” in their marketplace, according to Tim Ronak, senior services consultant at AkzoNobel.

One option is to implement a fourday workweek.

“A four-day workweek can be a powerful recruiting tool that positively impacts facility morale, helping to foster an environment to becoming an ‘employer of choice,’” he said.

Ronak and Tony Adams, a business services consultant at AkzoNobel, discussed the potential benefits and challenges of this alternative structure during the AkzoNobel Acoat Selected North American Performance Group event in Orlando, FL, in March. They also presented the idea during a presentation held as part of the Society of Collision Repair Specialists (SCRS) Repairer Driven Education Series at the SEMA Show in Las Vegas, NV, in November 2023.

“It typically involves reducing the workweek from five days to four while maintaining the same number of weekly working hours,” explained Ronak. “However, it can mean different things to different stakeholders.”

In the European Union (EU), for example, the alternative structure can imply four eight-hour days, resulting in a 32-hour workweek. However, in the U.S., Ronak said businesses typically work four 10-hour days to maintain a 40-hour workweek.

Ronak shared information about an EU study conducted in June 2022 that evaluated the merits of a fourday work week. Over six months, 61 organizations reduced their work hours by 20% with no pay decrease.

“They found that it boosted employee well-being without comprising productivity,” he said.

Participating companies reported a 65% reduction in sick days and a 57% decrease in staff turnover. At the same time, 71% of employees reported lower levels of burnout and 39% said they were less stressed compared to the beginning of the trial. This resulted in 92% of the companies planning to continue with a four-day work week; 18 companies said it would be a permanent change in their business.

Ronak noted the work schedule variations implemented by the organizations. While some stopped work entirely for a three-day weekend, others staggered a reduced workforce over a week. A selection of participants designated fewer holiday days and others set an agreement that staff could be called in at short notice. Some decided that a “conditional” four-day week would only continue while performance targets were met.

with the same amount of output, Ronak said they would need to work at 156% efficiency for 50 hours of output and 187% efficiency with six hours of output.

With one less day of coffee or lunch breaks during the week, Ronak said there are fewer stop-and-start intervals, potentially allowing for more productivity.

“The fewer breaks and the longer days seem to drive efficiency,” he said.

Adams then talked about the pros and cons of the alternative work schedule.

Potential advantages for employers include increased employee retention and productivity, cost savings, a positive impact on company culture and enhanced employee morale, and a reduced carbon footprint with less commuting.

“We’re all vying for Body shop owners Stephen Bozer, left, owner of Fix Auto people right now,” said Tempe in Arizona, and Kena Dacus, second from left, Adams. “It becomes owner of Dacus Auto Body, discussed the pros and cons of implementing a four-day workweek after Tony Adams, second a differentiator in the from right, and Tim Ronak, far right, from AkzoNobel shared workplace if everybody some of the logistics involved in the alternative work structure. around you is working five days a week and The study found most employees you’re able to give employees the gift used the extra time off as “life admin,” of 50 more days a year, more time spending the day doing tasks such as with their families and an extra day to shopping and chores and taking care do some activities.” of family obligations.

Advantages for employees “Many explained how the extra include improved work-life balance, time off allowed them a proper break increased productivity and focus, for leisure activities on Saturday and and reduced commuting time driving Sunday,” noted Ronak. in off-hours.

Ronak shared information about “We’re giving employees the gift of the United Auto Workers contract less commuting, and they’re saving negotiations in September 2023, money because they’re driving back which included the demand for a fourand forth four days a week instead of day, 32-hour workweek. Although five,” he said. the new structure wasn’t part of the Another employee advantage he contract terms, the union is reportedly pointed out is technicians having still interested in the idea. fewer starts and stops.

Ronak also addressed the role of “Sometimes, we miss the energy efficiency with a four-day workweek burden that technicians go through and examined whether it can be with the start-stop, start-stop achieved in fewer hours. dynamic,” noted Adams.

“With a 20% reduction in hours Overall, the altered work schedule worked, you would need a 25% was found to enhance employee increase in productivity to maintain morale and satisfaction. the same output as before,” he noted.

Adams also addressed the “How can people at their peak work challenges of a four-day workweek. fewer hours and still create the same For employers, these include extended output when you shift to four-days?” daily work hours, the potential for He explained 40 hours worked at decreased productivity and resistance 125% efficiency generates 50 hours from management, client and of output; 150% efficiency equals 60 customer expectations and issues, hours of output for 40 hours of effort. including billpayers, implementation Having employees work 32 hours costs, and coordination and

20 MAY 2024 AUTOBODY NEWS / autobodynews.com

scheduling complexities.

“It’s a hard shift for some of us serial entrepreneurs who are trying to figure out how to maximize the efficiency of our facilities,” said Adams.

Challenges for employees include longer workdays, the potential for burnout, difficulty adjusting and reduced opportunities for overtime pay.

Adams said there is no one-sizefits-all scenario and encourages owners and managers to consider the pros and cons before deciding what is best for the facility.

“Care must be taken to ensure that facility output is maintained or improved and that formal structure is enforced so customers and vendors are clear regarding facility operating hours,” he said.

Implementation Tips For shops evaluating a four-day work week, Adams and Ronak shared these tips: • Select the specific alternative structure: Decide on a flexible or fixed schedule, implementing a 40hour week with four 10-hour days or a 32-hour week with four eighthour days. Other options include extended hours or multiple shifts.

• Prepare the team: Be transparent when communicating changes with employees. Look into state and federal employment laws, as well as overtime pay rules. Also, evaluate training needs.

• Logistics: When deciding on the best schedule for the facility and how it will be implemented, consider office hours of operation versus production hours of operation.

• Tools: Contemplate work schedule and pay structure tools, including vacations, statutory holidays and sick time.

• Auditing and compliance: In addition to legal and regulatory compliance issues, plan how the business will monitor production targets and approach new team member integration.

Read the case studies from Kena Dacus, owner of Dacus Auto Body & Collision Repair in McPherson, KS; Stephen Bozer, owner of Fix Auto Tempe in Arizona, and Mitch Erlacher, location manager of Stinnett’s Auto Body in Maryville, TN. All three discuss their experiences after implementing a four-day work week.

Shop Owners Who Have Tried 4-Day Workweeks Share Their Experiences

By Stacey Phillips Ronak Autobody News

Three collision repair shop owners talked about what worked — and what didn’t — when they made the move to a four-day workweek.

Dacus Auto Body & Collision Repair Kena and Chris Dacus, owners of Dacus Auto Body & Collision Repair in McPherson, KS, implemented a four-day work week in June 2022.

After hearing about the alternative work schedule in the media, Kena and Chris presented the idea to their 20 employees during a regular morning meeting.

“They were worried about burnout and working a 10-hour day,” Kena recalled.

They took a vote and the idea was shot down.

About six months later, gas prices went up and the idea became more appealing. Commuting technicians asked if the team would reconsider a four-day workweek. After another vote, employees agreed to test the concept.

When deciding on the best structure, the Dacuses asked their team for input. At the time, the shop was operating Monday to Friday from 8 a.m. to 5 p.m. with a one-hour lunch. Under the new schedule, the work hours were updated to 6:30 a.m. to 5 p.m. with a 30-minute lunch. The front office staff chose to keep the original hours.

Holiday pay remained the same and employees still receive two week of vacation per year.

One of the key benefits Kena shared pertains to retention and recruitment. Since implementing the four-day workweek 18 months ago, she said there has been zero technician turnover. In addition, it has helped with employee recruitment. In the first nine weeks, they hired three qualified technicians.

“Most of us are used to our technicians getting job offers from other shops,” said Kena. “Now we’re getting technicians coming to us. That’s always a blessing in this environment.”

Overall, morale has improved.

“I think they have a better quality of life and work-life balance,” she said. “The new structure provides an extra day to take care of appointments and household chores they would typically have to fit in during the week.”

The body shop owners have noticed production efficiencies at their facility with less distractions and waste. They’ve also been able to fit in more booth cycles. Two fewer production meetings are held, which has resulted in about 20-30 minutes less meeting time and more production time.

There have also been cost savings. Overtime dollars have decreased about $791.38 per month, which equates to $10,000 per year. Utility savings are approximately $7,500 a year.

“Because we’re paying less overtime, it has allowed us to give back in other ways, like bigger

ourselves from other employers,” said Bozer.

He and the facility manager, Jennifer McKinney, presented the idea to their production staff and received full support.

“Most technicians absolutely loved the idea,” recalled Bozer.

They considered two options: splitting the week and creating two teams or having all employees work one less day for longer hours. Ultimately, they opted for the four-day workweek to keep everyone on the same schedule, except for one technician who still works the standard five-day week, eight hours per day. The remaining employees work Monday-Thursday from 7 a.m. to 6 p.m. with a one-hour lunch break.

Before making the switch, management created a production target with the team over 60 days to validate the actual sales output At Fix Auto Tempe, morale is at an all-time high after putting the new work structure in place capability with the standard work schedule.

“That became the bonuses at Christmas time and baseline,” he said. “The staff was more benefits,” noted Kena. very motivated to make sure that Commuting employees have we maintained, if not improved, noticed a savings of about a tank of production.” fuel monthly.

They also set revenue goals to “Our employees love the extra maintain sales based on historical day to fish, spend time with family output with a small reach goal. or work on their house/chores/life After achieving that target, the admin so that they can better enjoy shop implemented the four-day the weekend.” week.

Most customers don’t realize Being open one less day a difference in hours since the office week has resulted in production is open on Friday. efficiencies.

The shop has Her advice to shops considering consistently maintained production implementing a four-day workweek targets due to the new hours, as is to have a good process in place well as some changes made to the and get employees’ buy-in ahead shop floor to maximize space. of time.

Bozer has found customers are “It’s not a quick fix and how receptive to the idea because they you implement can make a big can pick up vehicles after work difference,” said shared. “Stay open more easily due to the later hours. and communicate clearly how Usually, there is someone in the PTO, holiday pay, etc. will work shop on Fridays to answer calls before you start.” and arrange for customers to pick up vehicles on request.

Fix Auto Tempe Since the change, Bozer said A year and a half ago, Stephen they have had zero technician Bozer and Shane Orlando, owners turnover. of Fix Auto Tempe in Tempe, AZ, “Employee retention is key,” he evaluated the idea of implementing said. “When we lose somebody, it’s a four-day workweek after hearing very disruptive to our business.” about a shop in Northern California He has noticed their job postings having a positive experience with receive solid responses since the structure. implementing the new structure, “We wanted to create a better especially when he mentions the work environment for team four-day workweek. members and differentiate “We have the pick of the local

talent due to a three-day and sometimes four-day weekend along with competitive pay,” he said. “It’s a huge selling tool.”

Other benefits include no cost to make the change and team members spend less time and gas commuting to work.

Overall, morale at the shop is at an all-time high. Bozer said he enjoys walking around the shop on Thursdays and asking if employees are ready for the weekend.

He refers to the time off as a “Goldilocks Day.” Saturdays are usually a catch-up day in a typical five-day week, and Sundays are spent getting ready for the next week. The extra day off — Goldilocks Day — provides real time off.

“You have this day right in the middle, and it’s pretty amazing,” he said. “They return refreshed on Mondays and seem to be in a better mood, which is wonderful.”

Stinnett’s Auto Body Mitch Erlacher, the location manager of Stinnett’s Auto Body in Maryville, TN, implemented a fourday workweek in April 2023 after hearing about it in the media.

“I wanted to create more work-life balance and use it as a recruiting and retention tool,” he explained. “I was also hoping it would help with employee engagement.”

After putting the new structure in place, Erlacher found cycle time had increased, CSI decreased and the business wasn’t running efficiently with the change. In addition, employees were frustrated with the shift.

Ultimately, they reverted to the five-day workweek on Jan. 1, 2024.

“Although we are back to the original schedule, we believe the four-day workweek can work,” said Erlacher.

He attributes some of the challenges to opening a new building at the same time as making the change, implementing unlimited personal time off, and not having processes in place.

“You need a solid execution strategy,” said Erlacher. “This includes daily management and having a plan to manage the hours produced per tech.”

For shops considering implementing a four-day workweek, Erlacher recommends having regular conversations with team members to determine how it is and isn’t working and making changes accordingly.

autobodynews.com / AUTOBODY NEWS MAY 2024 21

l CONTINUED FROM COVER

Presenter Lineup per RO and per labor category and the consequences of “Being greedy!”

11:30 a.m.-1 p.m.: “Efficiency Unleashed: Rethinking Roles in Collision Repair” Michael Bradshaw of K&M Collision, Barry Dorn of Dorn’s Body & Paint, and Kris Burton of Rosslyn Auto Body This insightful seminar is designed for shop owners, managers and estimators in the collision repair industry, and offers a comprehensive approach to maximizing shop efficiency through strategic role segmentation. Takeaways include the concept of role segmentation and its critical impact on enhancing shop efficiency; successful strategies in other industries like manufacturing and health care and how to adapt these for collision repair; the importance of specializing in evolving vehicle technologies, including ADAS and electric vehicles, to stay ahead in the industry; practical, actionable steps for introducing and optimizing role segmentation in your shop, aimed at improving workflow and overall productivity; equipping yourself

with the knowledge to adapt to and leverage future trends in the collision repair industry, ensuring long-term business growth and innovation.

2-3 p.m.

Option 1: “The Critical Steps Involved to Achieve an OEM-Centric Calibration” Greg Peeters, CEO of Car ADAS Solutions With the increasing focus on following OEM repair procedures to ensure a proper repair, collision repair facilities must understand the critical steps involved to achieve an ADAS calibration. Greg Peeters will talk about the most popular types of calibration being done today, as well as when and how to calibrate.

He will also discuss why the setup of the calibration environment is an important factor in the accuracy of the calibration.

Option 2: “Building Value in Your Shop” Matt DiFrancesco, principal and certified exit planner at High Lift Financial As an owner, you pour your heart and soul into building a successful business. Many entrepreneurs are focused on daily operations, but it is just as important to strategize for the future. Every move you make

CARSTAR is a collision repair network made up of independent owners focused on delivering the highest quality repairs. By joining forces with over 700 other stores across North America, you will be able to leverage a larger scale of support to overcome any obstacle.

Contact Lori today if you want to learn more about joining at LKroeger@CARSTAR.com

22 MAY 2024 AUTOBODY NEWS / autobodynews.com CARSTARTradeAdApr2024.indd 1

should have your continued success and succession in mind, regardless of when or if you are planning it.

Waiting until you burn out will make it very difficult to achieve the post-ownership lifestyle you want.

Building the value in your business will allow you to focus on growth and exiting on your terms.

4:30-5:30 p.m.

Option 1: “Self Confidence: An Advanced Repair Plan You Can Expand On” Danny Gredinberg, administrator of the DEG, and Kyle Motzkus, general manager of Hunter Autobody and Missouri Autobody Association A dive into the what, why and how of the repair planning process. Repair planners are getting stuck in explaining the repair process with technicalities which can include required procedures, process of repairs and the truth of the conversation. Repair planners are challenged daily, having to understand every aspect of the repair process. This session will discuss non-negotiable required operations within the repair process.

Starting with the initial consultation then onto diagnostics, advanced refinishing processes that must be considered, and unique repair steps when compliant with OEM certified

expectations. Immerse yourself into this action-packed discussion, which will yield proven tactics to build a bullet proof repair plan supported by facts.

Option 2: “Navigating the Challenges of Recruiting & Retaining Technicians” Jay Goninen, co-founder and president, WrenchWay Recruiting and retaining technicians is one of the greatest challenges facing the collision industry. Not only is there a national technician shortage, but the priorities of job seekers is changing and recruiting as a whole isn’t as cut and dry as it used to be. Join us in this presentation as we discuss what today’s technicians are looking for in an employer, modern-day recruiting strategies that actually work, and tips for retaining top talent in your shop.

Saturday, May 18 8:30-9:30 a.m.

Option 1: “100% Disassembly” Mike Anderson, Collision Advice This class explores the importance of creating a culture of doing things WITH your team, not TO your team, and how to gain their support for the common goal of 100% disassembly.

WHAT CAN CARSTAR DO FOR ME?

OEM, INSURANCE, FLEET PARTNERSHIPS

NATIONAL VENDOR DISCOUNTS AND REBATES

ANALYTICS & KPI DASHBOARDS

DIGITAL MARKETING SUPPORT

OPERATIONS COACHING

COLLISION UNIVERSITY: ONLINE LEARNING PLATFORM

2024-04-02 10:46 AM

Often shops believe they are completely disassembling vehicles; however, we find the vehicles still have components that should have been R&I’d. Therefore, this course will look at the reasons why components need to be R&I’d from a vehicle and provide real-world examples for each reason.

Option 2: “Do You Have Leaky Profit?

Find Out Where Profit Leaks from Your Collision Center and How to Fill the Holes!”

Taylor Moss, OEConnection This presentation focuses on realworld examples where materials, labor, software, employees and other areas may be leaking profits out of your business. There are collision centers all over the nation that are mindful of these areas -- they are winning and collecting profits that others simply let leak out of their business. This presentation will highlight some of the most common areas where profit leaks out, while offering advice and recommendations on how to plug those gaps and fill your profit cup.

11 a.m.-12:30 p.m.: Panel Discussion: “RTAs and PRIs, The Process & the Shop’s Role” Panelists: Adrian Mora, Collision Consumer Advocates, and Billy

Walkowiak, Collision Safety Consultants; moderated by Steve Krieps, WMABA Imm past president/ Collision Safety Consultants of WV This panel discussion will be an open dialogue between local- and nationally-recognized leading experts on the right to appraisal and post-repair inspections, sharing viewpoints on how repairers properly use the RTA and/or PRI. This will give insights into where the customer or the repairer can invoke these resources, to assist in negotiations and completion of the repair process.

Real examples and real discussion will round out the session, with a healthy allotment of time for interaction and questions.

2-3:30 p.m.

Option 1: “Nurturing the Goose that Laid the Golden Egg” Bruce Schronce, StrongLead’s executive partner and leadership and business consultant Companies typically get started because of a passion, an ability and an opportunity that eventually turns into a business. However, growing and sustaining that business while enjoying the journey can become a challenging feat at best, and at worst a living nightmare. This will

be an interactive presentation on critical aspects of growing your business: attracting, developing and retaining great people, leadership cohesion and enjoying a meaningful and prosperous journey. Bruce will present and field questions on growing, enjoying and sustaining a successful business in today’s everchanging environment of collision repair.

Option 2: “Increased Profitability Through Proper Documentation” Keith Manich, AMAM, director of collision services, Automotive Training Institute The presentation will identify the areas of opportunity we all face in trying to move collision shops in a more professional and direct way against those who might challenge the collision shop owner and their staff. One of the most important steps will be creating bigger and more effective associations to allow collision owners to develop more collaborative opportunities and business partnerships to move the entire industry forward. It’s about the collision shop owners taking back their industry at the same time they are becoming businesses the consumer can look to for quality and trust in the process.

Crash Champions Acquires Collision Shop in FL Crash Champions announced April 9 the acquisition of Buddy Foster Collision and Towing in Zephyrhills, FL, effective immediately, expanding Crash Champions’ Tampa service.

“Crash Champions is proud to continue growing our service across the state of Florida and the greater Tampa market,” said Matt Ebert, Crash Champions founder and CEO. “This is another strategic acquisition that expands our already strong service to Tampa motorists and business partners.”

Crash Champions now operates 17 locations across the Tampa market, part of its nationwide lineup of more than 630 locations in 37 states.

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autobodynews.com / AUTOBODY NEWS MAY 2024 23

Holman Acquires Leith Automotive in North Carolina Holman, a global automotive services provider, announced it completed its acquisition of the North Carolina-based Leith Automotive Group, which includes 13 new franchises and Holman’s first auction center, all located in the greater Raleigh area and Aberdeen, NC. The deal nearly doubles Holman’s automotive retail business, which now features 58 dealerships, 34 brands and nearly 4,500 retail automotive employees in nine states, and marks the largest retail acquisition in Holman’s 100year history.

“In our centennial year, we’re excited about the opportunities to strengthen and grow our automotive retail footprint that began in 1924 with a single dealership.

This acquisition represents the culmination of extensive strategy, hard work and vision to put our employee partners and our business in a position to win for the next 100 years,”

said Holman CEO Chris Conroy. Both family-owned organizations have a legacy of success and growth built on longstanding core values.

Together, Holman and Leith remain committed to doing the right thing for their employees, customers and the community.

The deal preserves the Leith brand and team.

“Like Holman, Leith has placed the highest priority on delivering excellent customer service by building a strong network of employee partners,” said Holman President of Automotive Retail Gene Welsh.

“We are thrilled to welcome Leith’s 1,900 employees to the Holman family.”

Holman ranks as one of America’s largest privatelyowned dealership networks.

Additionally, the certified, women-owned broader Holman business delivers a unique range of automotive-centric services to commercial and consumer customers around the globe.

l CONTINUED FROM COVER

Survey: Vehicle Data CEO of the Auto Care Association.

“Without change, local repair shops will be forced to turn away more and more business, leaving car owners with no choice but to foot outsized bills at the dealership. The REPAIR Act is critically needed to protect America’s vibrant network of local, independent repair shops that offer trusted service, convenience, and choice to millions of American drivers during the car repair process.”

Vehicle data restrictions disproportionately hurt small independent repair businesses by making it harder for them to offer certain repair services and parts to their customers -- which can leave some car owners with no other option than the dealership for some repairs, as seen in the Auto Care Association’s new survey.

This growing trend is particularly concerning when considering that

consumers prefer independent repair shops to dealerships for vehicle repairs, according to separate research from Consumer Reports.

Last fall, the REPAIR Act, which has 50 bipartisan co-sponsors, unanimously advanced out of the House Energy and Commerce Subcommittee on Innovation, Data, and Commerce. In March, the Government Accountability Office (GAO) released a report detailing how vehicle repair restrictions can “disadvantage” independent repairers relative to dealerships.

The Auto Care Association’s survey, carried out by Hanover Research, involved 407 individuals from the independent auto repair sector, providing a margin of error of 5%. This research not only reinforces the narrative of the independent repairers but also complements findings from a similar survey

by Babcox Media, which further delineates the labor and time losses incurred by these shops due to data access limitations.

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Please contact these dealers for your Honda or Acura Genuine parts needs.

HONDA ALABAMA

FLORIDA

Carlock Honda Birmingham

800-987-0819 205-949-5457

Dept. Hours: M-F 8-6 robert.thompson@carlockcars.com

GEORGIA

Hendrick Honda Pompano Beach

Honda Mall of Georgia

Apple Tree Honda

954-425-8244

678-318-3155

Dept. Hours: M-F 7-7; Sat 7-5 cdunlap@penskeautomotive.com

800-476-9411 828-684-4400

Pompano Beach

Dept. Hours: M-Fri 7-6; Sat 7-5; gerardbruno@hendrickauto.com

Holler Honda

FLORIDA

Orlando

AutoNation Honda Clearwater Clearwater

888-205-2564 727-530-1173

Dept. Hours: M-F 7-7; Sat 8-5; Sun 10-3 santosr1@autonation.com

AutoNation Honda Hollywood Hollywood

800-542-8121 954-964-8300

Dept. Hours: M-F 7-7; Sat 7-5; Sun 9-5 hernandeze@autonation.com

Classic Honda Orlando

888-893-4984 407-521-1115

Dept. Hours: M-F 7-7; Sat 8-4 parts@classichonda.com

407-442-1938

Milton Martin Honda Gainesville

770-534-0086 678-989-5473

Dept. Hours: M-F 7:30-6 robertthomas@mmhonda.com

Honda of South Miami

Honda of Newnan

305-256-2240

678-423-8183

Asheville

Dept. Hours: M-F 8-5; Sat 8-4 appletreeparts@hotmail.com

McKenney-Salinas Honda Gastonia

888-703-7109 704-824-8844 x 624

Dept. Hours: M-F 7:30-5:30 parts@mshonda.com

Newnan

Vann York Automall

Dept. Hours: M-F 8-6 mfranceschi@hondaofsouthmiami.com

Dept. Hours: M-F 7-6; Sat 7-4 samuel.trapani@henrickauto.com

336-841-6200

Rick Case Honda

Nalley Honda

877-544-2249

866-362-8034 770-306-4646

Miami

Davie

Dept. Hours: M-F 7-7; Sat 7:30-4 robbutton@rickcase.com

GEORGIA

Union City

Dept. Hours: M-F 7:30-7; Sat 8-5 hondawp@nalleycars.com MISSISSIPPI

Ed Voyles Honda Marietta

800-334-3719 770-933-5870 Direct

Dept. Hours: M-F 7-7; Sat 7-6 hondaparts@edvoyles.com

800-497-2294 407-395-7374

Gerald Jones Honda

Dept. Hours: M-F 8-7; Sat 8-5 pepe.guevara@headquarterhonda.com

Buford/Gwinnett

Dept. Hours: M-F 7-6; Sat 7-4 parts@hollerhonda.com

Headquarter Honda Clermont

NO. CAROLINA

Patty Peck Honda Ridgeland

800-748-8676 601-957-3400

Dept. Hours: M-F 7:30-6; Sat 8-5 pmartin@pattypeckhonda.com

High Point

Dept. Hours: M-F 7:30-6; Sat 8-3 SO. CAROLINA

Fred Anderson Honda Greenville

864-234-6481

Dept. Hours: M-F 7:30-6; Sat 8-5 hgrparts@anderson-auto.net

Piedmont Honda Anderson

800-849-5057 864-375-2082

Dept. Hours: M-F 7:30-6; Sat 8-5 swhite@piedmontcars.com

Augusta

800-733-2210 706-228-7040

Dept. Hours: M-F 7:30-6; Sat 8-5 tdunn@geraldjoneshonda.com

ACURA FLORIDA

FLORIDA

GEORGIA

VIRGINIA

Acura of Orange Park

Rick Case Acura

Nalley Acura

Karen Radley Acura

888-941-7278 904-777-1008

800-876-1150 954-377-7688

800-899-7278 770-422-3138

800-355-2818 703-550-0205

Jacksonville

Dept. Hours: M-F 7-8; Sat 7-5; Sun 9-3 msweeney@acuraoforangepark.com

Duval Acura Jacksonville

800-352-2872 904-725-1149

Dept. Hours: M-F 7-7; Sat 8-5 Cecil.adams@duvalacura.com

Fort Lauderdale

Dept. Hours: M-F 7:30-6; Sat 8-5 rubenramos@rickcase.com GEORGIA

Dept. Hours: M-F 7-7; Sat 7-5 byoung@nalleycars.com NO. CAROLINA

Jackson Acura Roswell

877-622-2871 678-259-9500

Dept. Hours: M-F 7-6; Sat 7:30-6 kmcmillan@jacksonacura.com

26 MAY 2024 AUTOBODY NEWS / autobodynews.com

Marietta

Flow Acura

Winston-Salem

800-489-3534 336-761-3682

Dept. Hours: M-F 7:30-6; Sat 8-1 www.flowacura.com

Woodbridge

Dept. Hours: M-F 7:30-5:30; Sat 8-3 coreythompson@radleyautogroup.com

TENNESSEE

VIRGINIA

Airport Honda

Valley Honda

800-264-4721 865-970-7792

800-277-0598 540-213-9016

Alcoa

Staunton

Dept. Hours: M-F 7:30-6:30; Sat 7:30-5 parts@airporthonda.com

Dept. Hours: M-F 7:30-5:30; Sat 9-5 bwimer@myvalleyhonda.com

AutoNation Honda West Knoxville

West Broad Honda

Knoxville

800-824-1301 865-218-5461

Dept. Hours: M-F 7:30-6 rossd1@autonation.com

Richmond

800-446-0160 804-672-8811

Dept. Hours: M-Fri 7:30-6:30; Sat 8-5 wbhonda@aol.com

Wolfchase Honda Bartlett

800-982-7290 901-255-3780

Dept. Hours: M-F 7-7 ekerr@wolfchasehonda.com VIRGINIA

Checkered Flag Honda Norfolk

800-277-2122 757-687-3453

Dept. Hours: M-Sat 7:30-6 honda.checkeredflag.com

Hall Honda

Virginia Beach

800-482-9606 757-431-4329

Dept. Hours: M-F 8-7; Sat 8-5 fox@hallauto.com

Honda and Acura Genuine Parts is an online ordering portal for repair facilities to order parts directly from the Honda/Acura Dealer(s) of their choice.

autobodynews.com / AUTOBODY NEWS MAY 2024 27

CCC Launches New Cloud-Based Product To Better Share Data in Collision Repair Process

By Abby Andrews Autobody News

CCC Intelligent Solutions announced the introduction of its Intelligent Experience (IX) Cloud™ platform, a new event-driven architecture that overlays onto CCC’s existing cloud applications, customer workflows and customer and partner systems.

The platform is designed to offer more flexibility in how data is shared across CCC’s solutions and the 35,000 businesses that connect to them, building on CCC’s decades of SaaS expertise and data stewardship.

Laura Weber, senior manager of public relations for CCC, said the CCC IX Cloud is the “center point” of CCC’s technology, powering its customer applications, including its CCC ONE Total Repair Platform.

“At the product and solution level, repairers will continue to interact with CCC ONE as they do today,” she said.

“We hear from customers that they want to connect to ecosystem trading partners in new and more

intelligent ways,” Weber added.

“For years, we’ve provided data point-to-point. The new intelligent architecture will allow data to move more efficiently across our network.”

“For example, a repair facility may receive a digital payment from an insurer once a claim has been auto approved,” she said.

“Another example, a consumer could share photos taken at the scene of the accident which flow through to the insurer, shop and even other ecosystem providers, such as parts suppliers.

Weber said the CCC IX Cloud is “designed to make life easier for everyone involved in a repair or claim experience – the customer, business and employees. When data and insights are available at key moments across the repair, faster, more confident decisions can be made, speeding up the process and improving the consumer’s experience.”

The CCC IX Cloud was announced as part of CCC’s new vision to “Make Life Just Work.”

“Making Life Just Work is at the heart of what CCC has been doing for more than 40 years. Today, it becomes our official north star,”

Credit: Shutterstock.

CCC is already using AI in its product offerings to speed up processes. The CCC IX Cloud will also use AI to flow data where it needs to go, based on customer rules and workflows.

“This way, authorized users will get access to data and get insights in the moments they need it, helping to speed up decisionmaking to take quicker, more confident action,” Weber said.

said Githesh Ramamurthy, chairman and CEO of CCC. “The industry is at an inflection point and customers are looking for ways to rapidly transform their businesses without disrupting existing operations. Our new intelligent architecture will help them deliver improved performance today while also providing a modern, flexible foundation from which customers can build and innovate for the future.”

“The only way to address the challenges facing the industry is by embracing a fundamentally new approach to human-centered technology,” said Marc Fredman, chief strategy officer for CCC. “Through the combination of data, advanced AI, and ecosystems, CCC is enabling our customers to transcend traditional boundaries and achieve unprecedented levels of success. With the CCC IX Cloud, CCC is not just envisioning a world where life just works, we’re actively engineering it.”

Learn more about the CCC IX Cloud, at https://cccis.com/ccc-ix.

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CARSTAR Apprentice Triumphs At SkillsUSA Georgia Competition

CIECA Announces New Member

Dane Robbins, a senior at Fannin County High School in Blue Ridge, GA, transformed his apprenticeship at CARSTAR Car Crafters, also in Blue Ridge, into a stepping stone toward a promising career in collision repair. Robbins’ commitment and talent were recently recognized at the state level, where he clinched the gold medal in the SkillsUSA Collision Repair Technology Competition.

He will now move on to represent Georgia at the national competition this spring.

Devin Dilbeck is the automotive repair teacher at Robbins’ high school. He connected with CARSTAR Car Crafters through its comprehensive apprenticeship program, which offers students invaluable resources, parts and real-world work experience. Under the guidance of Carson Beavers, who manages the program and is the son of the owner, Jeff Beavers, Robbins gained hands-on experience in a high-production collision repair environment.

Jeff Beavers, who also owns a second CARSTAR location in Blairsville, GA, has been a proactive

CIECA welcomed National Calibration and Diagnostic Solutions (NCDS) as a new corporate member. Established in 2022 by Darren Sodoski and Cliff Fegert, the company provides Advanced Driver-Assistance Systems (ADAS) calibration tooling, OEM diagnostics, training and support to independent garages, dealership body shops and calibration businesses.

With more than six years of experience performing ADAS calibrations and diagnostic programming, the partners identified the need to provide tools, equipment and training to those performing calibrations.

With ADAS calibration increasingly being part of the repair process, Sodoski said the company is currently developing calibration software for the industry. With their award-winning NCDS 360 Laptop launched at SEMA 2023, shops can have all desktop OEM diagnostic and programming software on one device. Sodoski said they are looking forward to getting involved in a CIECA committee.

supporter of Fannin County High School’s vocational training.

“The most rewarding aspect of our involvement with the school is seeing the students take interest in vocational jobs that

the class needs.”

The collaboration between CARSTAR Car Crafters and the local high school has proven mutually beneficial, with the company committed to nurturing talent like Robbins and integrating them into their workforce.

“One of the motivating factors in partnering with our local high school is to prepare technicians for a career in the collision repair industry,” said Jeff Beavers.

“Dane plans to come work with us full-time when he graduates and we are very excited to welcome him to our team. We definitely Pictured, left to right, are Devin Dilbeck, Dane plan to hire more students Robbins and Carson Beavers. as qualified candidates become available, as skilled lead to careers,” said Jeff Beavers. young techs are hard to find and “College is not for everyone, and this creates a great opportunity to the collision industry has many connect with them.” high-paying great career jobs. Also, For Robbins and the team at working with the shop teacher CARSTAR Car Crafters, it’s a winat the high school has helped us win partnership that will deliver identify ways we can help with benefits for years to come. And their program, from donating cars, hopefully a gold medal at the parts, tools and money to support SkillsUSA National Competition.

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‘Who Pays’ Survey: More Shops Billing, Getting Paid For Feather, Prime and Block The “Who Pays for What?” survey series, conducted quarterly by Collision Advice and CRASH Network, is now in its 10th year, and offers evidence that shop awareness of not-included repair

operations they are performing but may not be billing for has improved – as has shops’ ability to successfully get paid for that work.

Feather, prime and block is one of the “not-included” repair operations that has been asked about every year since the first survey in 2015.

Ten years ago, just over 1 in 5 shops (22% of those billing for the

procedure) said they were paid “always” or “most of the time” by the eight largest national insurers for feather, prime and block when it was necessary and performed as part of a repair. But by this year’s survey in January, that had doubled to 44% of shops saying they are paid regularly for the procedure.

“In terms of actual numbers, these results indicate there are over 9,000 more shops regularly being paid for this in 2024 than there were in 2015,” Mike Anderson of Collision Advice said. “The surveys are important to keep raising shop awareness. Even today, about 1 in 20 shops still are not billing for this procedure when they perform it, despite the fact that 77% of shops that do bill for it get paid at least some of the time by those same eight insurers.”

Ten years ago, 53% of shops that negotiated to be paid for feather, prime and block said the insurers “never” paid them for it. But this year, just 23% of shops said they “never” get paid for it.

The latest quarterly “Who Pays for What?” survey is now open through the month of April. It focuses on not-included frame and mechanical labor operations.

Shops can take the survey at www. surveymonkey.com/r/9NC7D6B Survey participants receive a free report with complete survey findings along with analysis and resources to help shops better understand and use the information presented.

The survey can be completed in about 15 minutes by anyone familiar with their shop’s billing practices and the payment practices of at least some of the largest national insurers. Each shop’s individual responses are held in the strictest confidence; only aggregated data is released.

The results of previous surveys are also available at www. crashnetwork.com/collisionadvice.

Bosch Launches Mobile EV Technician Training Tour Bosch’s Mobility Aftermarket division officially launched the Bosch EV Training Tour alongside its supplier, AVI, March 21, in Fort Myers, FL, with a “Breakfast with Bosch” kickoff event. The tour will begin traveling across the country in early July.

The EV Training Tour will hold three one-day, eight-hour courses in cities across the U.S. Each course will have a maximum of 20 attendees. The Bosch-created curriculum will be instructed by a Bosch-certified AVI professional trainer and feature EV repair-related topics including the fundamentals of an electric vehicle, electric motor concepts, power electronics, maintenance and troubleshooting topics and more.

In addition to learning relevant EV maintenance from industry experts in a classroom-like setting, attendees will leverage training aids, built by AVI, to easily access and work with electric and hybrid vehicle systems in a hands-on environment.

Learn more at aviondemand. com.

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autobodynews.com / AUTOBODY NEWS MAY 2024 31

I-CAR Launches RTS Mobile App

Boyd Group Reports Soaring Profits in 2023 Boyd Group Services Inc. reported setting new records in sales and profitability in 2023. This news comes as the company continues to execute its aggressive growth strategy, marked by the addition of 106 new locations and substantial improvements in its financial metrics.

The company, which operates Gerber Collision & Glass locations in the U.S., as well as auto glass operations under several names, saw a 21.1% increase in sales, reaching $2.9 billion, up from $2.4 billion in the previous year, including a 15.8% rise in samestore sales, despite the fiscal year having one less selling and production day compared to 2022.

Adjusted EBITDA followed suit, jumping 34.6% to $368.2 million, up from $273.5 million in 2022.

Boyd Group reported a 111.7% surge in adjusted net earnings, which climbed to $89.7 million from $42.4 million in the previous year. Similarly, net earnings per share saw a 111.6% increase.

Boyd’s strategic growth included the addition of 106 new

locations – 78 acquired and 28 startup locations.

The company also published its second Environmental, Social and Governance Report, and announced the election of Christine Feuell to its Board of Directors and the appointment of Jeff Murray as its new executive vice president and CFO.

“We are pleased with the strong financial results reported in 2023, once again achieving record sales and showing meaningful improvement in leverage and profitability when compared to the prior year”, said Timothy O’Day, president and CEO of the Boyd Group. “Demand for services remained high throughout 2023. We were able to continue

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successfully negotiating selling rate increases from our insurance company clients to better reflect the labor cost increases we have been experiencing, although further increases are necessary to bring our labor margin back into the normal range.”

Looking ahead, Boyd said the pipeline to add new locations and to expand into new markets is robust, through single- or multilocation acquisitions, as well as through start-up locations.

Boyd is focused on optimizing performance of new locations, as well as scanning and calibration services, and consistent execution of its operating standards.

Given the high level of location growth in 2021, the strong samestore sales growth during 2022, and the combination of samestore sales growth and location growth in 2023, Boyd remains confident it is on track to achieve its long-term growth goals, including doubling the size of the business on a constant currency basis from 2021 to 2025 against 2019 sales.

I-CAR introduced the Repairability Technical Support (RTS) app for mobile devices, a shift from RTS’s former online-exclusive presence to a more accessible platform, putting OEM Partial Part Replacement, OEM Calibration Requirements, technical news and industry best practices right at the fingertips of industry professionals.

The RTS app, available for download on both iPhone and Android devices, serves as a comprehensive information hub, aiming to bridge gaps within the collision repair industry and provide essential and real-time support especially to technicians and those doing repair planning.

Through RTS, I-CAR aims to connect with the entire collision repair industry to help close knowledge gaps, access technical best practices, provide clarifications on repair procedures, get the latest updates on emerging technologies, access OEM technical information, and simply respond to the evergrowing technical needs of this evolving industry.

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GM Edges Out Toyota in U.S. Q1 Sales Despite 1.5% Dip General Motors (GM) was the leading car seller in the U.S. in the first three months of 2024, despite a 1.5% decrease in total sales compared to the previous year, keeping it ahead of its closest rival, Toyota North America.

GM reported a total of 594,233 vehicles sold in the first quarter, down from the 603,208 vehicles sold during the same period last year, largely attributed to a 23% drop in fleet sales, which were affected by temporary production halts. Conversely, GM experienced a 6% increase in its retail sales.

The quarter saw notable successes, particularly in GM’s

full-size pickups and the Cadillac LYRIQ EV, which saw a significant uptick in sales. The Cadillac LYRIQ alone represented 17% of Cadillac’s retail sales, indicating a growing consumer interest in GM’s electric vehicle offerings.

Additionally, the Buick brand experienced a substantial sales increase, led by the Encore GX. Toyota North America reported a 20.3% increase in its Q1 vehicle sales, selling 565,098 units – including 214,894 vehicles in March alone, a 21.8% increase compared to a year ago – but the surge was not enough to surpass GM’s numbers.

Toyota said sales of electrified vehicles for March totaled 78,157, representing 36.4% of total sales volume, while EV sales for the first quarter totaled 206,850, representing 36.6% of total sales volume.

Other automakers also reported Q1 and March sales numbers.

Ford Motor Co. Ford reported a 6.8% increase in vehicle sales during the first quarter, surpassing the industry average growth of 4.7%, by selling a total of 508,083 vehicles. Hybrid

vehicle sales increased 42% from the previous year, reaching the company’s highest-ever quarterly figure of 38,421 vehicles sold. The mid-size Maverick hybrid pickup saw a 77% jump in sales, and there was consistent demand for the F-150 hybrid.

the F-150 Lightning.

Ford’s “freedom of choice” strategy, which allows consumers to select from various powertrain options, appears to be paying off, with hybrids forming a crucial component of its sales success.

The automaker is continuing to

Ford’s EV segment also saw impressive growth, with an 86% increase in sales, thanks to strong sales of the Mustang Mach-E and

invest in hybrid technology, as well as in the expansion of its electric and traditional internal combustion engine (ICE) offerings.

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Tesla Tesla reported in Q1, it manufactured more than 433,000 vehicles, predominantly consisting of its Model 3 and Model Y, but only delivered approximately 387,000, an 8.5% year-over-year decline and short of Wall Street’s anticipations.

This was the company’s first decrease in deliveries since the pandemic in 2020.

Tesla attributed this unexpected downturn to several factors, including the ramp-up phase of the updated Model 3 at its Fremont Factory and unforeseen halts at its Giga Berlin production site.

These disruptions were partly due to external events, including the Red Sea conflict affecting shipping routes and a targeted arson attack.

Rivian Rivian announced in the first quarter it produced 13,980 vehicles and delivered 13,588, outperforming Wall Street’s forecast of 13,800 produced and 11,900 delivered.

Despite a previous announcement in February suggesting a potential 10-15% decrease in deliveries compared to the fourth quarter of 2023, when it had delivered 13,972 vehicles, Rivian managed to maintain robust production levels.

Rivian is maintaining its full-year production guidance of 57,000 vehicles for 2024.

Mitsubishi Mitsubishi Motors North America, Inc. reported strong first quarter 2024 sales of 28,403, up 35.7% over Q1 2023. Assisted by dealer new-vehicle inventory stocks returning to near-pre-pandemic levels, the brand and its dealer partners achieved their highest quarterly sales total since Q1 2020.

Outlander achieved its secondbest quarterly sales total in the history of the nameplate, with sales of 13,846, a year-over-year increase of 41.1%. As the company closes its fiscal year at the end of calendaryear Q1, highlights include record best-ever annual sales of both Outlander and Outlander Plug-in Hybrid.

Subaru Subaru of America, Inc. reported 61,297 vehicle sales for March 2024, a 15.2% increase compared with March 2023. SOA also reported year-to-date sales of 152,996, a 6.7% increase compared to Q1 2023.

March marked the 20th consecutive month of month-over-month sales increases for the automaker.

In March, Forester achieved its best sales month of all time with 21,045 vehicles sold, a 105% increase compared to March 2023.

Crosstrek also continued to have a strong showing, achieving its best March ever with 14,527 vehicle sales. Outback sales followed closely behind, with 13,501 vehicles sold.

Kia Kia America delivered its secondhighest first quarter sales total in company history, capped by March sales of 69,472 units. Sales of electrified models in March grew 9% compared to the previous year.

Specifically, EVs saw a significant increase of 151% over the previous year. Sales of the entire utility lineup increased by 9% compared to the previous year and accounted for 79% of total sales.

Three models -- Forte, Sportage, Telluride -- drove the overall sales, each delivering more than 10,000 units in March. In addition, the new Sorento recently launched and sales grew 28% in March compared to the previous year. Three models including Sportage (+17%), Carnival (+15%), and Forte (+13%) recorded their highest March sales performances ever.

Hyundai Hyundai Motor America reported record-breaking total March sales of 76,920 units, a 2% increase compared with March 2023. Hyundai set total sales records in March for IONIQ 5 (+58%), Tucson PHEV (+62%), Tucson HEV (+48%) and Palisade (+58%). Hyundai EV sales increased 100% and all eco-friendly vehicle sales combined hit 11,485 units, a 35% increase. Fleet volume was 11% of total sales.

Hyundai sold 184,804 units in Q1, for a total sales increase of 0.2% compared with Q1 2023, setting a new Q1 record. Hyundai set total and retail sales marks in Q1 for IONIQ 5, Tucson PHEV, Tucson HEV, Kona EV and Palisade. EV sales for the quarter jumped 62% compared to Q1 last year.

Mazda Mazda North American Operations reported total March sales of 37,119 vehicles, an increase of 6.7% compared to March 2023. Year-todate sales totaled 100,103 vehicles sold, an increase of 13.3% compared to the same time last year. With 27 selling days in March, compared to the same the year prior, the company posted an increase of 6.7% on a Daily Selling Rate (DSR) basis.

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Biden Administration Announces New Tailpipe Emissions Rule The Biden administration on March 20 introduced stringent tailpipe regulations for passenger cars and trucks, designed to significantly accelerate the transition to electric vehicles (EVs) and hybrids.

However, the final rule adopts a more gradual approach to phasing in these new regulations, offering automakers a broader spectrum of compliance options, following discussions with auto manufacturers and labor unions, who have advocated for a more flexible framework to meet the ambitious climate goals.

Originally, the EPA had proposed an aggressive strategy to ensure two-thirds of all new vehicles sold would be electric by 2030. This plan has been modified to allow for a substantial increase in the sale of plug-in hybrids, alongside pure electric vehicles, by the end of the next decade.

“By taking seriously the concerns of workers and communities, the EPA has come a long way to create a more feasible emissions rule that protects workers building ICE vehicles, while providing a path forward for automakers

to implement the full range of automotive technologies to reduce emissions,” the United Automobile Workers (UAW) said in a statement.

According to recent data from Kelley Blue Book, EVs accounted for only 7.6% of new car sales in 2023. Under the new regulations, the target is set for EVs to comprise between 35% and 56% of new vehicle sales by 2032, with plug-in hybrids aiming for 13% to 36%.

The EPA’s new rule is designed to cut passenger car pollution nearly in half by 2032 compared to 2026 levels, promising a substantial reduction in greenhouse gas emissions and other pollutants detrimental to human health.

The final rule gives auto manufacturers the flexibility to efficiently reduce emissions and meet the standards through the mix of technologies they decide is best for them and their customers – including gasoline engines, hybrids, plug-in hybrids and battery electric vehicles.

John Bozzella, president and CEO of the Alliance for Automotive Innovation, said automakers are committed to the EV transition, but

pace matters.

“Moderating the pace of EV adoption in 2027, 2028, 2029 and 2030 was the right call because it prioritizes more reasonable electrification targets in the next few (very critical) years of the EV transition,” Bozzell said in a statement. “These adjusted EV targets – still a stretch goal – should give the market and supply chains a chance to catch up. It buys some time for more public charging to come online, and the industrial incentives and policies of the Inflation Reduction Act to do their thing.

“And the big one? The rules are mindful of the importance of choice to drivers and preserves their ability to choose the vehicle that’s right for them,” Bozzella added.

Despite the rule’s perceived leniency, it represents a significant commitment to reducing automotive emissions and advancing the EV market. The EPA and the Biden administration remain confident this approach will not only address environmental concerns but also foster innovation and consumer choice in the auto industry.

Fix Network Names Global VP of Strategic Operations Fix Network announced the appointment of Nick Spiers as the company’s new global vice president of strategic operations, effective March 1.

In this newly created role, Spiers is responsible for overseeing and coordinating the strategic planning and execution of global operational initiatives for Fix Network and its family of brands.

Spiers joined Fix Network in 2016 as the manager of international operations, where he was instrumental in the company’s expansion into Australia, Germany and Mexico. In 2019, he was named director of strategic initiatives, where he worked globally on new business development and operations strategy, predominantly in the Middle East.

Spiers has more than 27 years’ experience in the automotive industry, where he’s held positions in sales, business development, commercial and operations. He is based in the UK.

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CCC Crash Course Report: Auto Tech and EV Repairs Escalate Costs, Delays CCC Intelligent Solutions Inc. is now releasing its Crash Course Report on a quarterly basis, and the findings from the first quarter of 2024 show increasing vehicle complexity, combined with rising labor costs and shortages, are placing persistent pressure on carriers and repairers.

According to data compiled from 300 million claims-related transactions, while vehicles may be safer, more capable of avoiding crashes and more environmentally friendly, advanced technology is contributing to costlier repairs, higher claims costs and longer cycle times. Additional factors, such as scheduling backlogs, have contributed to the 60% increase in the amount of time it takes for vehicles to enter repair shops after estimate completion, compared to pre-pandemic times.

“Much of what the industry is experiencing is reflective of a new normal where complexity, beginning with the vehicle itself, is reshaping the market landscape,” said Kyle Krumlauf, director of industry analytics at CCC and coauthor of Crash Course. “CCC has

shifted to a quarterly publication of Crash Course to support the growing needs of our customers and the industry. This change allows us to provide more data and insights more frequently, helping industry participants anticipate challenges and be better equipped for the road ahead.”

Key Findings Auto Tech Transformation: The report identifies key challenges faced by the auto claims and collision repair industries in keeping pace with the industry’s tech transformation, such as increased costs associated with repairing advanced driver assistance systems (ADAS) and other technology.

Electric Vehicle (EV) Repairs: EVs are becoming more common in repair assessments. Despite their youth, EV repairs carry higher costs, especially in labor. Longer repair times are common due to capacity constraints and detailed repair procedures. EVs are totaled less often than non-EVs, reflecting changing valuation trends.

Replace vs.

Repair: An emerging “replace vs. repair” trend,

a preference for replacing parts instead of repairing them, demands different skill sets for the repair industry leading to higher costs for consumers. Over the past decade, the cost differential for repairing older versus newer model year vehicles has grown by 35%.

“Much of what the industry is experiencing is reflective of a new normal where complexity, beginning with the vehicle itself, is reshaping the market landscape,” — Kyle Krumlauf

DIRECTOR OF INDUSTRY ANALYTICS AT CCC AND CO-AUTHOR OF CRASH COURSE

Urbanization and Weather: Acknowledging the impact of growing urbanization and volatile weather patterns as a constant catalyst for losses, the report confirms increases in property losses from severe weather events.

Subrogation: High turnover among adjusters is hindering subrogation efforts, leading to decreased referrals, and

complicating revenue and cost reduction strategies.

Casualty: Despite decreasing treatment duration and procedure counts for injury claims since the peak in 2021, severity continues to climb due to significant cost increases for medical bills, particularly for high-dollar procedures like radiology and surgery.

Claims and Repair Technology: Adoption of AI and automation tools to speed and inform functions from estimating to scanning to parts ordering continue to grow as the industry looks to offset the effects of labor shortages and the complexity that comes with today’s more sophisticated vehicles.

In addition to macro trends and topics, Crash Course Q1 2024 also includes industry-level detail on claims frequency and impact severity, medical costs, parts costs, total loss trends and more.

Previously published annually, Crash Course will be published quarterly in 2024 to provide more frequent updates on key trends and insight. The Q1 2024 report is the 29th edition of Crash Course.

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D.C., Maryland Lead Nationwide Surge in 2023 Vehicle Thefts

Visionary Leader of BendPak Passes Away

In 2023, vehicle thefts in the U.S. reached a new peak, according to the latest data from the National Insurance Crime Bureau (NICB).

The report showed more than 1 million vehicles were stolen last year, marking a continued increase in nationwide vehicle thefts.

This rise is particularly pronounced in Washington, D.C., and one of its bordering states, Maryland, which have seen theft rates soar by 64% and 63%, respectively.

The NICB’s findings showed while the national theft rate grew by approximately 1% from the previous year, certain states and metropolitan areas faced much steeper increases. Behind Washington, D.C., and Maryland, the rest of the top five largest increases in thefts in 2023 were reported in Connecticut (33%), Nevada (18%) and Massachusetts (16%.)

“Criminals are employing increasingly sophisticated methods to steal vehicles, including the use of advanced technology to bypass security systems,” said

Don Henthorn, founder and visionary leader of BendPak Inc., passed away peacefully at his home on March 28 at the age of 85. His departure marks the end of an era for BendPak, a company that, under his guidance, evolved from a modest machine shop into a global powerhouse in the automotive service equipment sector.

Henthorn’s strategic foresight and leadership steered BendPak through decades of growth and innovation, establishing it as a leading name in the manufacturing of car lifts and automotive service equipment.

Throughout the years, BendPak has expanded its reach and product line, now boasting manufacturing and distribution facilities worldwide and employing more than 275 people. The company’s growth culminated in the move to a new LEED PlatinumTM certified headquarters in Agoura Hills, CA, and the development of the BendPak Industrial Complex in Alabama.

David J. Glawe, president and CEO of NICB. “From keyless entry hacks to relay attacks on key fobs, perpetrators are exploiting vulnerabilities in modern vehicle security measures with alarming

Credit: Image via Shutterstock.

success rates. It is critical that industry and law enforcement work together to develop more effective strategies for combating auto theft and safeguarding public safety.”

California remains the state with the highest number of thefts – 208,668 in 2023, contributing

significantly to the national total.

However, when adjusted for population, Washington, D.C., stands out with the highest theft rate – 1,149.71 thefts per 100,000 people, more than three times the national theft rate.

Urban centers continue to be hotspots for vehicle theft, with densely populated areas experiencing higher theft rates compared to more suburban or rural locales.

The top 10 states by volume have remained consistent in each quarter in 2023. After California, Texas and Florida were ranked second and third in thefts by volume with 115,013 and 46,213 stolen vehicles reported, respectively. Five of the states included in the top 10 theft states by volume also appeared in the top 10 list of states with the highest theft rates: California, Texas, Washington, Colorado and Missouri.

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Spanesi Americas Announces Leadership Changes

TPG Acquires Classic Collision TPG, a global alternative asset management firm, announced its U.S. and European private equity platform, TPG Capital, will acquire Classic Collision, a prominent national collision repair operator, from New Mountain Capital.

Classic Collision’s management team will remain invested in the company. Terms of the transaction were not disclosed.

“Today’s announcement is an exciting milestone for Classic Collision and a great testament to the strength of our team and our collective commitment to providing the highest quality service with integrity,” said Toan Nguyen, CEO of Classic Collision. “TPG shares our vision, and I believe they are the right partner to help us take Classic to its next level. I also want to thank the New Mountain team for their tremendous support as we’ve grown our platform.”

Classic Collision was founded in 1983 in Atlanta, GA, and has since grown an extensive reach across 262 locations in 16 states – 100 of those in the last four

years, since it was acquired by New Mountain Capital in January 2020, the latest of which came with the two-shop acquisition of Heat Collision Auto Body Specialist in Florida.

Before New Mountain’s ownership, Classic was a familyowned and operated business that grew by adding greenfield locations and building a strong reputation with automotive insurance carriers and local dealerships.

“Toan and his team have grown Classic into a leading collision repair platform with best-in-class customer satisfaction, strong insurance partner relationships, differentiated manufacturer certifications, and a proven

acquisition and integration playbook,” said Paul Hackwell, partner at TPG. “We are excited to partner with management to grow the company’s market leadership while continuing to empower the distinct culture and passion for problem solving that distinguishes Classic.”

“Since our initial acquisition, Classic has accelerated investments in people, operations and innovation for the benefit of its customers.

We thank Toan and the management team for a successful partnership in building a leading, national collision repair platform,” said Ricardo Gonzalez, managing director at New Mountain Capital.

“Toan’s vision and ambitions for Classic and the future of auto body repair are differentiated, and we believe there is a bright future ahead for the business,” added Robert Mulcare, managing director at New Mountain Capital.

The transaction is set to finalize in Q2 2024.

Spanesi Americas announced the appointment of Alex Stapleton as North American sales and marketing director and Jeramy Holloway as director of aftersales. These appointments are part of Spanesi’s effort to strengthen its leadership team, enhance its service and support across Canada and the U.S., and fill the role of retiring COO Timothy Morgan.

This leadership expansion will allow Spanesi Americas to direct its energy towards fortifying product offerings, refining service delivery, and nurturing relationships with both its valued clientele and esteemed network of distributors throughout North America. Furthermore, the recent appointment of Holloway works well for the company’s collective vision. Spanesi looks forward to leveraging his expertise to elevate its post sales process and overall customer satisfaction.

Spanesi Americas also announced an enhanced partnership with Spanesi S.p.A. to bolster the company’s strategic objectives.

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Federal Court Upholds Reinstatement of California’s Emission Standards Waiver A federal appeals court on April 9 affirmed the 2022 reinstatement of the EPA’s Clean Air Act waiver allowing California to set stronger vehicle greenhouse gas emissions standards and zero-emission vehicle requirements than the federal government.

In doing so, the U.S. Court of Appeals for the District of Columbia Circuit dismissed a lawsuit filed by 17 Republican-led states and fuel industry trade groups challenging the waiver, claiming it harms their interests because it forces automakers to charge more for gaspowered vehicles. The court said the plaintiffs lacked standing.

The waiver allows California to set zero emission vehicle and greenhouse gas and other pollution emissions standards that are at least as or more stringent than EPA’s national standards. Seventeen Democrat-led states have chosen to adopt California’s standards.

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the Biden administration.

“Today the court sided with common sense and public health against the fossil fuel industry and Republican-led states,” California Gov. Gavin Newsom said in a statement April 9. “This ruling reaffirms California’s longstanding right to address pollution from cars and trucks, work started by Gov. Ronald Reagan and codified by President Richard Nixon.

“The clean vehicle transition is already here – it’s where the industry is going, the major automakers support our standards, and California is hitting our goals years ahead of schedule,” Newsom added. “We won’t stop fighting to protect our communities from pollution and the climate crisis.”

Environmental protection groups also lauded the court’s decision.

“Today’s ruling is a victory for cleaner air and cleaner cars not just in California, but across the nation,” said Joshua Berman, a senior attorney for the Sierra Club. “The D.C. Circuit has reaffirmed California’s critical role in protecting its residents

from harmful vehicle emissions, thereby benefiting the many states that rely on adoption of California’s standards to achieve and maintain the Clean Air Act’s air quality mandates.” In its decision, the appeals court noted automakers are already exceeding California’s zeroemission vehicles standards.

The California Air Resources Board showed “that ‘manufacturers are already selling more qualifying vehicles in California than the state’s standards require,’ suggesting that vacatur of the zero-emission vehicle mandate would not redress petitioners’ injuries,” the court said.

The court also acknowledged how climate change uniquely impacts California, as it contains seven of the 10 worst areas for ozone pollution and six of the 10 worst areas for small particulate matter in the U.S. “It also faces ‘increasing risks from record-setting fires, heat waves, storm surges, sea-level rise, water supply shortages and extreme heat,’” the court said. “And these conditions are exacerbated by climate change.”

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NTSB Investigating Fatal Crash Involving Ford Hands-Free Driving Technology The National Transportation Safety Board (NTSB) is looking into the role Ford’s BlueCruise hands-free driving technology may have played in a fatal collision in Texas.

The incident happened Feb. 24, when a Ford Mustang Mach-E going east on I-10 in San Antonio rear-ended a Honda CR-V stopped in a driving lane. Jeffrey Allen Johnson, 56, the driver of the CR-V, was taken to the hospital and later pronounced dead.

The NTSB’s Special Investigations Branch of the Office of Highway Safety said it will investigate “driver interactions with advanced driver assistance system (ADAS)” – that is, if the driver of the Mustang Mach-E had BlueCruise engaged at the time of the collision – with help from the San Antonio Police Department.

On March 15, a Ford spokesperson told Reuters the automaker “reported this

incident to NHTSA as soon as we were made aware, and we are actively researching all available information. Safety is a top priority for all of us at Ford, and we will collaborate fully with any resulting investigation.”

Ford’s BlueCruise is a Level 2 driver-assistance system.

Automakers are required to report any incident involving a Level 2 system to the NTSB. Level 2 systems provide steering, braking and acceleration to support the human driver, but drivers are still required to steer, brake and accelerate as needed to maintain safety, according to SAE International, which classifies levels of driving automation.

BlueCruise works on about 130,000 miles of pre-qualified highways in North America, called “Hands-Free Blue Zones.”

A blue light on an equipped vehicle’s instrument cluster indicates when the vehicle is in a hands-free zone.

Tesla Settles in Fatal Autopilot Accident Case Tesla settled a lawsuit April 8 over a deadly Autopilot-related crash, avoiding a trial set to begin the next day. Terms of the settlement were not disclosed in court documents.

The case, which has drawn widespread attention, involved the death of 38-year-old Apple engineer Walter Huang after his Tesla Model X veered off a Mountain View, CA, highway in March 2018.

The lawsuit, filed by Huang’s family in 2019, claimed Tesla’s Autopilot system was at fault for the accident. They argued the system failed to detect a highway barrier, leading to Huang’s fatal crash. The lawsuit also claimed Tesla and its CEO Elon Musk had exaggerated Autopilot’s capabilities, leading owners like Huang to believe the self-driving system “was safer than a humanoperated vehicle.”

Tesla contended Huang was misusing the Autopilot feature by not keeping his hands on the wheel.

An investigation into the crash by the National Transportation Safety Board revealed Huang was playing a video game on his phone when his Tesla drove into the barrier at 71 mph. Documents from Tesla, submitted as part of the case, showed Huang’s hands were on the steering wheel 34% of the time in the 19 minutes leading up to the collision, including the last six seconds.

However, in a court filing, Tesla said it agreed to settle to “end years of litigation.”

The settlement comes about five months after Tesla and its Autopilot system were found not responsible for a 2019 crash in Los Angeles, CA, that resulted in the death of the driver, Micah Lee, after his Model 3 veered off a highway, struck a palm tree and burst into flames. Tesla argued the crash was the result of human error. That case did go to trial, and a jury found there was no manufacturing defect in the Autopilot system.

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Revv Joins SCRS As Corporate Member

Ford Delays EV Production At Canada Plant, Boosts Hybrid Offerings

Revv, a technology company leveraging AI-powered ADAS Calibration Identification resources, is the newest corporate member of the Society of Collision Repair Specialists (SCRS).

Revv ADAS was founded by software professionals with deep family ties in collision repair, setting out to resolve the immense difficulty of researching ADAS systems and the need for ADAS calibrations. It is focused on providing software tools necessary for the collision industry to calibrate ADAS systems easily, quickly and efficiently while prioritizing safe, proper repairs before vehicles return to the road.

“Revv’s mission of continuing to put the safest cars back on the road aligns closely with SCRS’s work advocating for the collision repair professional,” said Adi Bathla, co-founder and CEO of Revv. “We strive to provide the most comprehensive and accurate ADAS calibration report on the market, and we want to ensure that collision repair professionals are set up for success.”

Ford Motor Company on April 4 announced it is pushing back retooling its assembly plant in Ontario, Canada, for EV production, but its projects to build a new plant in Tennessee and add on to an existing facility in Ohio, both for EV production, are still on track.

At the same time, Ford is also expanding its hybrid vehicle offerings, on track to offer hybrid powertrains across its entire lightduty lineup by the end of the decade. In the first quarter of 2024, Ford’s EV sales increased by 86% and hybrid sales rose 42% versus a year ago.

“As the No. 2 EV brand in the U.S. for the past two years, we are committed to scaling a profitable EV business, using capital wisely and bringing to market the right gas, hybrid and fully electric vehicles at the right time,” said Jim Farley, Ford president and CEO. “Our breakthrough, nextgeneration EVs will be new from the ground up and fully software enabled, with ever-improving digital experiences and a multitude of potential services.”

Assembly Plant in Oakville, Ontario, Canada While the transformation of Oakville Assembly Plant from a gas vehicle assembly plant into an EV manufacturing complex will begin in the second quarter of this year, as planned, production of threerow EVs is being pushed back from 2025 to 2027.

Ford said the additional time will allow for the market for three-row EVs to further develop, and enable Ford to take advantage of emerging battery technology, with the goal to provide customers increased durability and better value.

The company will work with Unifor to mitigate the impact the launch delay will have on its workforce at Oakville.

Ohio Assembly Plant Ford is also expanding its Ohio Assembly Plant in Avon Lake to produce an electric commercial vehicle beginning mid-decade.

Half of the structural steel is erected on the site, interior slabs are being poured, concrete walls are going up and masonry is beginning on interior walls. Ford expects to begin tool installation at Ohio Assembly Plant in spring 2025.

BlueOval City The creation of the BlueOval City campus -- Ford’s new production complex that includes the Tennessee Electric Vehicle Center assembly plant -- is progressing as scheduled, Ford said. In addition to paint shop and vehicle assembly equipment, installation is also underway for nearly 4,000 tons

Future EVs Design work continues on Ford’s future-generation EVs. A skunkworks team in California is developing a smaller, low-cost, profitable, flexible EV platform capable of underpinning multiple vehicles at high volumes.

In the meantime, construction is progressing at BlueOval Battery Park Michigan, in Marshall, MI, and at the BlueOval SK joint venture battery plants in Tennessee and Kentucky.

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President of I-CAR To Retire

Kinderhook Acquires Kaizen Auto Care

John Van Alstyne, president and CEO of I-CAR, announced he will retire at the end of 2025.

Since joining I-CAR in December 2010, Van Alstyne has steered it through significant expansions, technological advancements and even global crises, with a steadfast commitment to excellence and innovation.

Under Van Alstyne’s guidance, I-CAR, a leading player in automotive training and education, has witnessed unprecedented growth and success. He has led a remarkable expansion of I-CAR’s product and service offerings, all with the goal of better serving the industry. He put I-CAR on the path to financial stability, reinvesting over $46 million to better support the industry, recently building a new technical center in the Chicagoland area that has served as a catalyst for advanced training, research and development.

The Board of Directors has named a Selection Committee dedicated to hiring a successor.

Kinderhook Industries, LLC, announced the acquisition of Kaizen Auto Care, LLC, in partnership with Jacob Tilzer and LNC Partners. Kaizen is a leading regional collision repair provider with significant presence in key markets across the western U.S. Kaizen represents Kinderhook’s 30th automotive/light manufacturing platform investment. Financial terms of the transaction were not disclosed.

Founded in 2013 by Tilzer and headquartered in Scottsdale, AZ, Kaizen Auto Care is a fullservice collision repair chain that provides paint and body repair, auto glass repair, fleet services and EV specialty services to individuals and businesses through 48 locations across Arizona, Colorado, Southern California, Iowa, Nebraska and Nevada. The company aims to provide high-quality customer service and repairs to consumers, fostering strong partnerships with its insurance carriers. Kaizen partnered with LNC in 2021.

In connection with the transaction, Vince Brock will be

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joining the Kaizen leadership team as CEO and will be teaming up with Tilzer, president of Kaizen, for the next phase of the company’s growth. Brock was previously the CEO of ProCare Collision, a Texasbased collision MSO and former portfolio company of Kinderhook.

In partnership with Kinderhook, Brock grew ProCare Collision from eight to 45 locations, becoming the third-largest collision repair operation in Texas and one of the largest in the country. In 2021, Brock and Kinderhook sold ProCare to Classic Collision.

“I am thrilled to embark upon this new chapter of growth and expansion with Kinderhook and Kaizen,” said Brock. “I am extremely impressed with the growth Kaizen has achieved to date. The company has great shops with great people in great markets – a testament to the company’s commitment to excellence. I look forward to working with Jacob and the Kaizen team to continue building the company into an industry leader while setting the standard for growth and high-quality repairs.”

“The partnership with

Kinderhook is major milestone for our company,” Tilzer said. “I’m excited about working with Vince and Kinderhook as we expand and continue to focus on providing the best working environment for our employees and exceptional repair experiences for our partners and customers. I would also like to thank the entire team from LNC who showed an incredible commitment to investing in our company and people.”

“Kinderhook is excited to partner with Vince, Jacob and the LNC Team to continue to invest in Kaizen’s growth. Kaizen is a platform with marquee locations, great clients and exceptional employees and we believe Kinderhook is uniquely positioned to help Kaizen achieve its next phase of growth,” said Michael Zoch, managing director at Kinderhook.

Kirkland & Ellis LLP served as legal counsel to Kinderhook.

DLA Piper LLP served as the legal advisor to Kaizen and LNC. Financing for the transaction was provided by Twin Brook Capital Partners.

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Leading Forward: I-CAR Hosts National Volunteer and Instructor Meeting

By Cole Strandberg Autobody News

Several hot topics in the collision industry found a platform for discussion at I-CAR’s 2024 National Volunteer and Instructor Meeting, held April 5-6 in Chicago, alongside noteworthy announcements and festivities commemorating I-CAR’s 45th anniversary.

The overarching theme of the twoday annual event, which brought together I-CAR staff, instructors and volunteers from across the country, was I-CAR’s commitment to Leading Forward.

I-CAR Leader Reflects on Growth, Announces Retirement The conference opened with remarks from I-CAR CEO and President John Van Alstyne, who began the weekend by highlighting the organization’s growth and success in nearly every metric in 2023. Most of his remarks, though, were aimed at the future – goals for I-CAR, and the entire collision repair industry, for 2024 and beyond.

Later that evening, Van Alstyne announced his plan to retire at the end of 2025.

Jim Guthrie, I-CAR’s Chairman of the Board, remarked on Van Alstyne’s contributions to the organization over his 15-year tenure.

“On behalf of the board, I would like to thank John for his extraordinarily positive and lasting impact on I-CAR, its customers and its employees,” Guthrie said.

“Under John’s leadership, I-CAR has gone through a period of unprecedented growth and

I-CAR’s 2024 National Volunteer and Instructor Meeting was held April 5-6 in Chicago.

transformation, and he has created a collaborative culture that has led to I-CAR receiving national Top Workplace designation the past two years. These achievements, coupled with his focus on talent development and delivering relevant educational programming, technical information

and services to the industry, position I-CAR for continued success.

“We are grateful for John’s significant contributions and look forward to working with him through the upcoming CEO and president selection and transition process,” Guthrie added.

challenge in both attracting and retaining technicians. According to I-CAR, fewer than 40% of career and technical school enrollees enter the industry, and, of those, only 15% stay for more than 18 months. In combination, these facts culminate in a daunting near-term hurdle: the

During the tour of the Chicago Technical Center, attendees visited the ADAS Lab.

In preparation for Van Alstyne’s departure, the I-CAR Board has assembled a selection committee charged with finding the organization’s future leader.

Tackling the Technician Shortage Another recurring theme throughout the weekend was the talent shortage in the industry, which is facing a

collision industry will need 100,000 technician positions filled in the next five years.

While the onus remains on shops to tackle their technician recruitment challenges today on a micro level, the second day of I-CAR’s national meeting took a deep dive into what the organization is doing for the industry at the macro level.

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Dara Goroff, vice president, Planning & Industry Talent Programming, spoke about I-CAR’s talent programming initiatives. Arianna Sherlock, senior marketing director for I-CAR spoke about Collision Careers, a forwardlooking marketing campaign resembling that of some of the leadingedge consumer brands out there.

Using a “fresh” approach to attract talent and serving the industry was another recurring theme throughout the weekend. Scott VanHulle, manager of Repairability Technical Support and OEM Technical Relations at I-CAR, highlighted the latest resource for technicians, the I-CAR RTS mobile app, as a modern-day solution for modern-day technicians.

Chicago Technical Center Tour Later in the day, more than 300 attendees were treated to a tour of, and educational sessions in, I-CAR’s 48,000-square-foot Chicago Technical Center (CTC). The CTC is an industry resource equipped with the latest technologies and hosts students and OEMs year-round, featuring specialized labs, including ones for EVs, ADAS, welding and more.

Awards Banquet Dinner The second evening brought the Awards Banquet Dinner, honoring exceptional industry leaders, committees, instructors

and volunteers from across the nation. In many cases, the volunteers referred to I-CAR as “their company” with pride.

President and CEO John Van Alstyne announced his plan to retire at the end of 2025.

At the conclusion of I-CAR’s National Volunteer and Instructor Meeting, the collision repair industry stands at a crossroads. There is much to be done to prepare for a rapidly evolving future, but the industry as a whole is in steady and wise hands. For as many hurdles as collision repairers face, and for as unsettling as the massive changes that lie ahead may be for some, it feels like I-CAR gets it, and knows what must be done to not only survive the future, but to thrive. The collision repair industry is well-equipped to recruit and train the new age of technicians, and should feel good about the future with I-CAR Leading Forward.

Hertz Replaces CEO Amid EV Struggles Hertz is replacing CEO Stephen Scherr with Gil West, the former COO of Delta Air Lines and GM’s Cruise unit, as the rental car giant grapples with challenges related to its electric vehicle fleet and broader operational strategies, CNN Business reported. Scherr, who joined Hertz two years ago after a long tenure at Goldman Sachs, is stepping down amid the company’s ongoing troubles, including a $245 million blow to its earnings due to the depreciating value of its EVs. Hertz announced in late 2021 it was buying 100,000 Tesla Model 3s.

At that time, Scherr’s predecessor, Mark Fields, a former CEO of Ford, was in charge. But Scherr was CEO when, after reporting record earnings in 2022, the company announced in early 2023 it was increasing its investment in EVs, with plans to order 175,000 from General Motors and 65,000 from Polestar. “Our team delivered on renewed demand for travel, which is continuing,” Scherr said at the time. “In 2023, we will build on our progress to grow our business across the Hertz, Dollar and Thrifty brands. We look to our investments

in electrification and technology to yield increasing operating leverage and improved returns and an even better product to our customers around the world.” However, while EV sales in the U.S. increased by 40% in 2023, Hertz’s strategy to capitalize on this trend has not gone as planned. The depreciation of its EVs has been exacerbated by a price war initiated by Tesla. In January, Hertz announced it would sell off 20,000 EVs from its rental fleet – about a third of the total it has purchased due in part to high collision repair and logistics costs.

A month later, it announced it was pausing purchasing more EVs from Polestar.

Industry analysts pointed to Hertz’s approach to managing its EV fleet as a critical misstep. Daniel Ives of Wedbush Securities criticized the company’s execution and marketing strategies, suggesting these shortcomings have left a lasting negative impact on the brand.

Hertz’s struggles extend beyond its EV initiatives. The company faced additional setbacks, including a $168 million settlement related to false theft reports of rental cars.

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Editor Abby Andrews Contributing Writers Mike Anderson, Stacey Phillips, John Yoswick, Cole Strandberg Advertising Sales Joe Momber, Norman Morano, Steve Sklenar Office & Media Manager Kelly Cashman

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The Society of Collision Repair Specialists (SCRS) welcomes Podium, a private technology company that develops cloudbased software for small businesses, as the newest corporate member to join the association.

Podium sets out to provide solutions that allow collision repair centers to capitalize on messaging, customer feedback, online reviews, selling products and requesting payments through consolidated customer channels, message automations and other easy-to-use features. The tools are intended to reduce the administrative burden and hours on the phone, while managing repair orders more efficiently with less calls and more texts.

According to Podium, messaging with customers wasn’t just the better way to get reviews – it’s the better way to do business – and it led to multiple product platforms that are modernizing the way local businesses in the collision industry are interacting with local customers, through convenient customer engagement.

Federal Government Softens EV Mileage Rating Rule The U.S. Energy Department (DOE) has moderated its earlier proposal to drastically reduce the mileage ratings of electric vehicles (EVs) to meet upcoming fuel economy standards, Reuters reported.

This adjustment, set to be announced March 19, is a positive development for the automotive industry, particularly benefiting the Detroit Three automakers and the United Auto Workers union.

Initially, in April 2023, the DOE proposed a revision to its “Petroleum-Equivalent Fuel Economy” rating system that would have decreased the compliance value of electric vehicles by 72% by 2027.

However, under the final rule, this reduction will be phased in more gradually, culminating in a 65% reduction by 2030.

This revised approach aims to provide automakers with a more manageable timeframe to adapt their strategies and technologies.

The original proposal had stirred concern among automakers, with projections suggesting major players like General Motors, Stellantis and Ford could face up to $10.5 billion in fines collectively through 2032 for non-compliance with the fuel economy requirements.

Sources told Reuters federal officials took those concerns into consideration when creating the final rule.

The revision comes amidst broader discussions on vehicle emissions and the automotive industry’s shift toward electric vehicles. The EPA is also expected on March 20 to announce amendments to its vehicle greenhouse gas emissions standards, proposing a more gradual transition to increased EV production, which is expected to provide a boost to plug-in hybrid vehicles and adjust the trajectory for reducing particulate matter emissions from gasoline-powered vehicles.

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