Ratchet+Wrench - March 2022

03.22

STRATEGIES & INSPIRATION FOR AUTO CARE SUCCESS

GET THE CUSTOMER

TO SAY YES PAGE 36

NAIL YOUR

IN-HOUSE TRAINING PAGE 30

FOCUS ON Quality First

Bill and Sheila Greeno of Quality Automotive Servicing are among the 2022 Best Workplaces winners.

YOUR GOALS PAGE 42

REDEFINE THE WORKPLACE

THE 2022 RATCHET+WRENCH BEST WORKPLACES PAGE 22

RATCHETANDWRENCH.COM

03.22 / R+W / 1

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MARCH

03.22

VO LU M E 10 N U M B E R 03

7

EDITOR’S LETTER

9

BREAKDOWN

Leaders adapt to change Tips for navigating parts shortages

12 SPEED READ

Interest rate increase could cost auto industry billions

14 NUMBERS

Best qualities of a technician

17 ADAPT

Are EVs really cleaner?

18 SHOP VIEW

Atlantic Motorcar

20 STRAIGHT TALK

Reflections on 41 years in business JOE MARCONI

30 EDUCATION+TRAINING Close Knit 59 Auto Repair believes in educating and encouraging its staff members and listening to their ideas and input.

Growing your business from within

32 CASE STUDY

Creating a family shop culture

36 CUSTOMER SERVICE

Helping customers plan ahead

42 THE FIXER

How to communicate your vision A ARON STOKES

F E AT U R E

22

THIS YEAR’S WINNERS ARE...

The third-annual Best Workplaces highlight shops going above and beyond to create a thriving workplace culture.

PRINTED IN THE U.S.A. COPYRIGHT ©2022 BY 10 MISSIONS MEDIA LLC. All rights reserved. Ratchet+Wrench (ISSN 2167-0056) is published monthly by 10 Missions Media, LLC, 571 Snelling Avenue North, St. Paul, MN 55104. Ratchet+Wrench content may not be photocopied, reproduced or redistributed without the consent of the publisher. Periodicals postage paid at St. Paul, MN, and additional mailing offices. POSTMASTERS Send address changes to: Ratchet+Wrench, 571 Snelling Avenue North, St. Paul, MN 55104.

4 / R+W / 03.22

ON THE COVER: BILL & SHEILA GREENO PHOTOGRAPHED BY DANIELLE HANKINSON

MIKE WHEALAN

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EDITOR'S LETTER

EDITORIAL EDITORIAL DIRECTOR Matt Hudson EDITOR Chris Jones SPECIAL PROJECTS EDITOR Nora Johnson DIGITAL MULTIMEDIA EDITOR Noah Brown CONTRIBUTING WRITERS Enid Burns, Paul Hodowanic, Joe Marconi, Tess Owings, Aaron Stokes PRODUCTION ART DIRECTOR Zach Pate GRAPHIC DESIGNERS Morgan Glisczinski, Emme Osmonson, Phil Tippin PRODUCTION ARTIST Lauren Coleman SALES VICE PRESIDENT AND PUBLISHER Chris Messer 651.846.9462 / cmesser@10missions.com ASSOCIATE PUBLISHER Andrew Johnson 651.846.9459 / ajohnson@10missions.com MARKETING STRATEGISTS (NATIONAL ACCOUNTS) Marianne Dyal 706.344.1388 / mdyal@10missions.com Bob Marinez 216.533.8747 / bmarinez@10missions.com Martha Severson 651.846.9452 / mseverson@10missions.com Kyle Shaw 651.846.9490 / kshaw@10missions.com Dan Thornton 734.676.9135 / dthornton@10missions.com Sean Thornton 269.449.0257 / sthornton@10missions.com ASSOCIATE MARKETING STRATEGIST (NATIONAL ACCOUNTS) Kenzie Verschoor 651.846.9472 / kverschoor@10missions.com REGIONAL SALES MANAGER Matt Harper 651.846.9551 / mharper@10missions.com CLIENT SERVICE SPECIALIST Jen George 651.846.9465 / jgeorge@10missions.com 10 MISSIONS MEDIA PRESIDENT Jay DeWitt GENERAL MANAGER AND PRODUCTION MANAGER Mariah Straub BOOKKEEPER AND CLIENT SERVICE SPECIALIST Meghann Moore EVENT PRODUCER Kate Fahlen COMMUNITY DEVELOPMENT ASSOCIATE Meghan Horan SENIOR DIGITAL MEDIA STRATEGIST Tiffany Fowler ADMINISTRATIVE ASSISTANT Karley Betzler EDITORIAL ADVISORY BOARD Jimmy Alauria, 3A Automotive & Diesel Repair Ryan Hillebrand, Urb’s Garage Dwayne Myers, Dynamic Automotive John Miller, Fifth Gear Automotive Bryan Gossel, BG Automotive Rob Choisser, Choisser Import Auto Services HOW TO REACH US 10 MISSIONS MEDIA 571 Snelling Avenue North, St. Paul, MN 55104 tel 651.224.6207 fax 651.224.6212 web 10missions.com The annual subscription rate is $72 (U.S.A. only) for companies not qualified to receive complimentary copies of Ratchet+Wrench.

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AUTOMOTIVE GROUP

Adaptation, Culture, Leadership WHY FOCUSING ON PEOPLE FIRST MAKES BUSINESSES BETTER I believe in running toward change when a

course of action seems clear. This doesn’t mean I know the outcome—often I don’t—but I’m sold on the why before the how becomes evident.

Aviator Amelia Earhart said, “The most difficult thing is the decision to act, the rest is merely tenacity.” I believe this. As a former small business owner, I’ve had to move with changing trends many times throughout my career. When web design expanded from HTML to CSS, I learned to code cascading stylesheets. When website builders replaced hard coding as a faster, less expensive option for clients, I learned Joomla and then Wordpress. Even within journalism, I had to change writing styles—news, public relations, and magazine reporting aren’t the same. I learned to move with the market because that’s what my clients wanted and expected. They were paying for my expertise and in knowing this I took pride.

There’s an old single-panel comic of two yellow dinosaurs perched on a rock surrounded by water. As Noah’s Ark floats into the distance, one dinosaur says to the other, “Oh, crap! Was that today?”

Businesses need to be adaptable, ready to embrace change. That’s the enduring lesson amplified by the pandemic. When businesses fail to adapt, they miss the boat and end up left behind like the two dinosaurs.

The way we’ve always done business is comfortable, but is it sustainable? Profitable?

Customer-centric?

Successful businesses this decade win because they’ve adapted to the trend of putting people first—customers and team members. Add storytelling through social media and businesses feel more personal to customers than ever. The whole customer experience becomes immersive and pleasant starting from the top down. And that all rises and falls on company culture.

This brings me to the heart of this issue, honoring our best workplaces. Each repair shop highlighted has successfully “... developed a great culture and a place

employees want to work for,” writer Paul Hodowanic points out.

Creating culture starts by making the workplace healthy—ensuring your employees feel heard, have access to training opportunities, have the right tools for the job, and receive critical feedback to aid with job improvement. Satisfy these and you’ll create a culture of openness, loyalty, and enthusiasm that keeps your staff intact for the long haul.

On the customer side of culture, I encourage you to read Turning Deferred Work into a Customer Relationship (p. 36). As customer service becomes more personal, service writers function as care consultants within the realm of customer communication. This includes walking customers through their repair estimates, explaining technician recommendations and costs, and scheduling ongoing repairs in a way that’s comfortable for the customer’s budget while placing the safety and drivability of their vehicle top of list.

Adaptability and change. That’s what this decade is about for small businesses.

Change is happening fast in the auto industry. That leaves businesses two options—adapt or be left behind. Let’s choose the former.

CHRIS JONES, EDITOR CJONES@10MISSIONS.COM 03.22 / R+W / 7

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JUMP START

GETTY

Disruption Junction Talking solutions amid labor and parts challenges

BY PAUL HODOWANIC

N E WS I D E AS PEO PLE T R E N DS

A couple years ago, it was common for Har-

rell’s Automotive to keep about 10 to 15 cars overnight that were waiting on parts or labor.

Now, as the industry deals with a crippling parts shortage, it’s common for the shop to keep anywhere from 30 to 80 cars overnight at any of their four locations in North Carolina.

03.22 / R+W / 9

J U M P S TA R T / B R E A K D O W N

10 / R + W / 0 3 . 2 2

about as bad as it gets from a customer service standpoint,” Harrell says.

SO WHAT CAN SHOP OWNERS DO TO ADDRESS THE SHORTAGE? It’s a hard spot for many shop owners.

Unlike other shortages, shops can’t address it themselves. So, until the supply chains return to normal, shops need to be innovative in their strategies, says Harrell.

Be resourceful.

Joe Valind, owner of Auto Safety Center in West Bend, Wisc., has also had issues, though not as extreme as Harrell’s. Valind’s shop doesn’t service many Euros, which he has seen longer days on than domestic vehicles.

But when he has had delays, he’s been willing to go anywhere to find them. Valind has the luxury of several parts stores in his area, which his team will peruse to find parts, even if it isn’t their preferred supplier. In other instances he’s also looked to EBay, Amazon, or other online dealers who have dealer stock.

Don’t become married to one parts supplier, Valind says, make sure you’re exhausting every option you have.

Get it right the first time.

Misordering parts is an unfortunate reality that pops up for every shop. While it’s always been a blow for the business when that happens, the shortage has exacerbated it. A part that normally takes two days to deliver now takes five days.

Then it’s the wrong part and the shop needs to wait another five days to get

the correct part. Suddenly, a two-day job has taken a week and a half. That’s why Valind has had technicians begin to write their own quotes. It’s more work for the technicians, yes, but it helps ensure the correct parts are ordered every time. They know the job better than anyone.

Charging for delayed pickups.

Harrell never used to charge customers who were a little late in picking up their vehicles.

Now he is. There just simply isn’t room to keep fixed cars on the lot. He’s also charging warranty companies a storage fee the very minute the car is on the lot. In normal situations, if the company wanted to get an appraiser out to the shop the next day, Harrell wouldn’t charge the company to keep it on the lot. Now he is.

Be transparent.

This is the biggest key, Harrell says. With every industry struggling with supply chain issues, customers have become much more understandable with delays. But that shouldn’t be taken advantage of. Call the customer frequently to update them on the status of the repair and be up front when they come to the shop about the struggles the shop is facing. Harrell has even gone as far as to tell the customers what the shop is making from the individual job to give them more context on the situation.

“We’ve been more transparent now than we’ve ever been. The more transparency you have, the better the outcome,” Harrell says.

GETTY

“It’s pretty terrible,” owner Brandon Harrell says.

Harrell’s Automotive isn’t alone in its struggles. Typical day-of-jobs are taking three days. Three day jobs are taking a week. And it’s happening everywhere.

Look up “auto shop parts shortage,” on Google and you’ll be flooded with stories of shops around the country that are struggling to receive parts. A quick glance shows shops in Florida, Virginia, and Washington talked to local news stations about the issue just this week.

“A confluence of issues have led to the current state of affairs,” Harrell says. Shortages of employees in every step of the supply chain, from the parts manufacturers, shipping yards and delivery trucks. COVID shutdowns in foreign companies that are key parts producers. A struggling chip shortage that has prohibited new vehicle production, which has led more consumers to keep their old cars and thus need more extensive repairs. And while the added business is good for the shops, the increased demand for parts, often that are more complex, has further pressured a limited supply chain. Then add on other third-party factors, like the Canadian trucker blockade, which reportedly cost the auto industry $300 million as parts couldn’t be delivered.

To make a long story short: pretty much everything that could go wrong has gone wrong, Harrell says. And he blames the parts industry, of which he was a part of for 20 years. He owned a parts distribution company for two decades before getting out of the business two years ago.

“We’ve been digging this hole since the mid-90s and here we are,” he says, explaining the constant push to make parts cheaper and cheaper which required manufacturing to go overseas and has led to a lot of the current issues.

In Harrell’s experience, the items that have been the most difficult to track down have been filters, saying it’s been a “nightmare” to source, filling at 50 percent or less. Batteries and oil have also been difficult. He also expects a shortage of additives for gasoline in the coming months.

It’s also been more difficult to get parts for heavy repairs like engine replacements, which are commonly taking two or more weeks to get parts.

And parts companies have not been transparent about their delays.

“They don’t want us to call other people, so they’re not honest with themselves. It’s

0 3 . 2 2 / R + W / 11

J U M P S TA R T / S P E E D R E A D

Half of Small Businesses Raised Wages in January ­ — Half of small businesses raised wages in January to lure workers, Bloomberg News reported.

Based on findings from the National Federation of Independent Business, a record 50 percent of small business owners said they raised compensation as 47 percent of the same business owners said they had job openings they could not fill.

Over a quarter of small businesses plan to raise compensation in the next three months, the report said.

The share of firms that raised compensation was the largest in monthly data back to 1986 and up two points from December.

Study: AEB Ineffective at Night ­— A study by the Insurance Institute for Highway Safety (IIHS) found that AEB systems practically made no difference

12 / R + W / 0 3 . 2 2

in pedestrian crashes that occurred at night, Teslarati reported.

The study found that pedestrian crash rates of all severities were 27 percent lower when vehicles were equipped with AEB systems. Injury crash rates were 30 percent lower. However, the study also found that AEB systems made no difference in tests conducted in “unlighted areas.”

“This is the first real-world study of pedestrian AEB to cover a broad range of manufacturers, and it proves the technology is eliminating crashes,” says Jessica Cicchino, IIHS vice president of research.

“Unfortunately, it also shows these systems are much less effective in the dark, where three-quarters of fatal pedestrian crashes happen.”

Volkswagen’s Taos model was the only vehicle that didn’t see its AEB performance decline in nighttime conditions. The Taos received essentially the same nighttime tests scores compared to daytime evaluations. However, the IIHS noted that the Taos was also the worst performer during the daytime tests.

Study: First-Time EV Drivers Very Satisfied with Vehicles — A study from J.D. Power shows consumers who switched to an electric vehicle for the first time have been very satisfied overall with the switch.

According to the study, new EV customers gave their first electric vehicle a rating of 754 out of 1,000 on average, which is comparable to the average of 766 that “BEV veterans” give their vehicles.

Per a news release, the study rates 10 factors including everything from battery range and driving enjoyment to safety features and vehicle quality.

“Making the initial leap of faith into owning a BEV is proving to be very satisfying,” said Brent Gruber, senior director of global automotive at J.D. Power.

“We know from our research that many consumers have concerns during the purchase consideration process with aspects like battery range and vehicle charging.

However, once someone has purchased a BEV, they’re pretty much hooked.”

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SCAN ME

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J U M P S TA R T / N U M B E R S

What Do You Look For in a Technician?

Turns out, the industry is split What do you look for when hiring a technician? As the technician shortage presses on and is exacerbated by The Great Resignation, it’s a question many shop owners have had to ask themselves. Do you prioritize experience and expertise? Or do you seek out more soft skills like trustworthiness and teamwork?

According to the 2021 Ratchet+Wrench Industry Survey, shop owners are split on the question.

WHAT TRAIT IS MOST IMPORTANT IN A TECHNICIAN AT YOUR SHOP?

Ability to learn 24%

Passion for the job 21%

Trustworthiness 24%

Ability to get along with others 11%

GETTY

Technical skills 20%

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SCAN TO WATCH

TRAINING VIDEOS

YOUTUBE

J U M P S TA R T / A D A P T

How Clean Are EVs? EVs are touted as being far cleaner than ICEs, but how much of that is actually true?

BY NOAH BROWN

One of the biggest selling points of EVs—if not the biggest selling point—is the fact that they’re “cleaner” than internal combustion vehicles (ICEs).

A study from the International Energy Agency has found that global demand for passenger EVs has grown exponentially over the last decade, with more than 10 million EVs on the road as of 2020. The U.S. accounted for nearly 20 percent of that demand, registering around 1.7 million battery electric and plug-in hybrid electric vehicles registered two years ago.

More recently, President Joe Biden and American automakers have pledged significant funds and resources to making upward of half of all new vehicle sales electric within the next decade. Biden has touted the move as “a robust schedule for development of fuel efficiency and multi-pollutant emissions standards,” leading the way for a cleaner world.

The claim that electric vehicles are by far a cleaner choice than ICE-powered vehicles has been peddled for quite some time and has become a key argument for widespread EV adoption. A commodities study from the United Nations Conference on Trade and Development (UNCTD) shows that a massive increase in demand for cobalt, lithium manganese and cobalt, key ingredients for EV batteries, is directly connected to the EV surge. “[The demand] is largely driven by policies that encourage the mitigation of greenhouse gases coupled with incentives for zero-and low-emissions vehicles, economic instruments that help bridge the cost gap between electric and conventional vehicles and support for the deployment of charging infrastructure,” the report said. “It is also being driven by policies that target banning future sales of internal combustion engines (e.g., in Norway and France) which are influencing the expansion of the EV market.”

There is significant evidence to suggest that EVs, once on the road, are a cleaner option. The Union of Concerned Scientists in May 2020 filed a report calculating the total emissions from EVs compared against ICE-powered vehicles.

The report measured ICEs based on the average amount of emissions produced by “by extracting crude oil from the ground, moving the oil to a refinery, making gasoline and transporting it to filling stations, along with combustion exhaust from the tailpipe.” For EVs, the report measured both power plant emissions and emissions from coal, natural gas and other fuel sources used by power plants.

Average emissions in power plants across the U.S. fell around 5 percent from 2016 through 2018 due to increases

S EP T EM B ER 24 - 25 , 2022 DALL AS - FORT WORTH, T X

A D A P TA U T O M O T I V E . C O M

in wind, solar and natural gas being used, while the average efficiency of EVs increased by around 6 percent over the same time period. At the time of the study, the average electric vehicle produced the same amount of pollution as an ICE vehicle that gets around 88 miles per gallon, which is far higher than the average fuel efficiency for new cars and trucks.

Electric vehicles are only going to get more efficient, too, meaning that once they’re on the road, ICE vehicles really don’t even come close to matching the low level of emissions EVs produce. However, there are still several major hurdles EVs face while in production that prevent them from being the end-all solution that many people claim them to be.

Extensive mining is required in order to produce the materials needed for EV batteries. According to that same commodities study from the UNCTD, once a mine has been drained of its valuable minerals and is abandoned, it can undergo several reactions with sulfur materials left over and produce sulfuric acid. That acid can pollute surface water and, more importantly, drinking water in the countries where that mining happens. Moreover, dust from cobalt mines can contain toxic metals, including uranium, that is linked to respiratory diseases and birth defects.

Aside from health affects, many of the mines used to produce EV materials rely heavily on child labor—the UNCTD report suggests upward of 40,000 children in the Democratic Republic of Congo are working in life-threatening conditions for very little money to harvest cobalt and other resources.

These materials can produced elsewhere—a report from NPR shows that on the Pacific Ocean floor, “sprawling fields” of mineral-rich rocks contain most every resource necessary for EV production. Advocates for this plan say “deep sea mining is more environmentally friendly than land-based mining,” which in turn makes it by far the best solution for producing these materials. However, climate scientists say there’s very little data to measure how big of an impact this deep sea operation would have, and getting to that point would take decades of research.

It’s clear that EVs are cleaner than ICE vehicles once they’re on the road by a significant margin. However, in order for electric vehicles to be the large-scale solution to vehicle emissions problems that people such as the Biden administration tout them to be, an extensive amount of work is going to need to be done to clean up the supply chain of how EVs are produced.

Have you snagged your ticket for The ADAPT: Automotive Technology Summit? Head over to adaptsummit.com to register and check out the full two-and-a-half-day lineup.

A D A P TA U T O M O T I V E . C O M / FA C E B O O K

T W I T T E R .C O M /A DA P T_ AU TO

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J U M P S TA R T / S H O P V I E W

Atlantic Motorcar

A standalone facility is this shop’s next step in advancing its training

BY PAUL HODOWANIC

P H O T O G R A P H Y B Y T O R Y W E LT O N

S H O P S TAT S

When Bruce Howes first started in the repair industry back in 1985, there was hardly any dedicated training.

Education came through “osmosis” as Howes worked on cars.

But flash forward to 2021, formal training has become a staple of Howes’ shop. All employees are required to take 16 hours of training per quarter. So when the pandemic hit, Howes needed a way for it to continue in-house.

The solution turned out to be more than just an occasional after hours class in the back of his single location. Howes decided to buy an entirely new building about 200 yards from his current shop that now serves as part-overflow facility and parttraining center.

There Howes invited outside trainers to come to do training for his staff. It’s also the home base for Howes’ apprentice program that helps keep his stable of techs strong. At the moment, Howes is putting together at least one training session a month but hopes to grow it to a weekly occurrence.

“I think this is a model that most of us are going to have to go to for the mid-to-large shops. Not just because of COVID but it just makes a lot of economic sense. I see this as a model for the future,” Howes says.

Owner: Bruce J. Howes Location: Wiscasset, Maine Staff Size: 12 Shop Size: 2,900 square feet Average Monthly Car Count: 221 ARO: $1,292 Annual Revenue: $2.6 million

Supporting expansion Among the reasons Howes made the move was a financial incentive. Howes was regularly sending employees across the country to get training.

The price of airfare, hotels, and other expenses adds up, not to mention the productivity hit the shop takes while they are away. With the dedicated training facility, it’s become much cheaper to fly in a trainer to train within his space. Howes also invites other local shops to send their employees.

And while he has no plans to turn the center for-profit, adding other shops not 18 / R + W / 0 3 . 2 2

only helps the industry all together but they help pay for the trainer’s expenses, Howes says.

“Rising tide lifts all boats,” Howes says. “You’re not a competitor, you’re a colleague. We don’t mind bringing other shops in.

In the future Howes would also like to expand from just technician training and add operational training for shop owners as well.

HAVE AN OUTSTANDING SHOP? Send a few photos and a brief description to submissions@ ratchetandwrench. com and we might feature it here.

Fit to train Formerly a truck reconditioning center, the inside of the building didn’t need much work to get it ready to train and because it isn’t clientfacing, neither did the exterior. The building is split in half between office space and service area. The office space has been turned into a group training area with a large conference table and big screen television, while the three-bay service area has been consolidated to two bays. That allows more people to gather around the vehicle to help during hands-on training work, Howes says.

Among the small list of changes that Howes made was putting in a new epoxy flooring and adding a dedicated parts area in back. He also added air conditioning and highspeed internet.

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Columns

STRAIGHT TALK Joe Marconi

CHANGING GEARS After 41 years in business, I’m no longer a shop owner

three weeks to the day after the birth of my first child. At the time, I was working at a Ford Dealership in Larchmont, N.Y., as an A-rated technician, making a good salary, with benefits. Friends and some family members told me I was crazy to leave a secure job after having a baby, just to start my own business. Three days later, I went to the bank to withdraw my last $700. I was dead-broke. The fear I had at that moment was nothing like I had ever felt before. Little did I know, there would be even greater fears to deal with as an automotive shop owner.

While I did have a goal to go into business someday, I never planned on fulfilling that goal three weeks after the birth of my son. It was on the day that I took my wife and baby home from the hospital when I happened to look in the newspaper and noticed an ad to rent a four-bay auto repair shop in Baldwin Place, N.Y., which is about 35 miles north of New York City. After a few visits to the shop and scouting out the community, I made a deal to take over the existing shop owner’s lease. I was a technician on Sept. 30, 1980, and a business owner on October 1. Was I prepared? Heck no. I knew one thing really well: how to fix cars.

The transition from technician to businessman wasn’t easy for me. The first 10 years were a struggle. It’s not that I didn’t do well, I did. But wearing all the hats for every position ended in an emotional, life-changing event in November of 1991 that made me question why in the world did I go into business in the first place. Like so many other technician-turned shop owners, I eventually discovered that in order to survive and thrive, I needed to learn a 20 / R+W / 03.22

new set of skills, the skills of running a business. That meant putting down the tools and getting out of the bays; a place where I felt the most comfortable.

The 1990s marked a renaissance period in my life. By then I had two more children, another boy, and a girl.

Our business made great strides, with year-over-year growth. By the late 1990’s I had new definition of what it meant to be an automotive shop owner.

My responsibilities expanded to more than my family and my business. The entire automotive industry became important as well.

Raising the automotive industry bar became an essential part of my career.

Not because I had something to prove, or to out-do anyone. I just felt that there were too many shop owners that had the same start that I did, and their struggles, passion, and commitment did not always result in the level of success they rightfully deserved.

On Friday, Dec. 17, 2021, at approximately 2 p.m., I closed on the sale of my business. With pen in hand, and a few signatures, it was over. After 41 years I was no longer a shop owner.

Was it emotional? As I write this article on Jan. 10, 2022, it really hasn’t sunken in yet. The past 41 years has been a wild roller coaster ride. All the memories, the people I have met, the good times, and the not-so good times, has made being a shop owner an experience that will live inside me for the rest of my life.

The anchor during my entire career?

My family and especially my wife. I owe so much to my wife, who stood beside me throughout the years. She fully understands what it means to be a shop owner, and supported me, even when I put in those crazy 16-hour days.

Joe Marconi Joe Marconi has more than four decades of experience in the automotive repair industry. He is the former owner of Osceola Garage in Baldwin Place, N.Y., a business development coach for Elite Worldwide, and co-founder of autoshopowner.com.

Reach him at j.marconi@eliteworldwide.com

One last thing, I may be retired from my business, but not retired from the auto industry. I will continue to help raise the bar as an Elite business coach and continue to get involved where I feel I can help the most. So, you will still see me at events, read my articles, and I will continue to help other shop owners elevate their own businesses and lives.

I have been asked: “I you had to do it all over again, and knowing all that you know now, would you do anything different?” I need to be honest with everyone, the last 41 years has not been a walk in the park, by any stretch. And, after reflecting on the past 4 decades, If I had to do it all over again, I wouldn’t change a thing.

MICHAEL HOEWELER

I started my business on Oct. 1, 1980,

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Ratchet+ Wrench’s third annual look at the shops setting new standards with their workplace cultures BY: PAUL H O D O WA NIC PH OTO GR APH Y BY: DA NIELLE H A NK INS O N, MIKE W HE AL A N, A N D STE VEN B O URELLE

Quality Automotive Servicing

Under 10 Employees

59 Auto Repair

10-25 Employees

Silver Lake Auto and Tire Centers

26+ Employees

22 / R+W / 03.22

What defines a great culture?

Sponsored by Nissan

In an industry that quantifies so many key aspects of the business, from cycle time to technician efficiency to customer retention, culture remains that elusive quality that is hard to capture in just metrics.

It’s a combo of those all-important quantifiable KPIs, sure, but it’s also influenced by every small interaction you have with your employees. The way you hire, fire, and promote. Which benefits you offer and how you make employees feel. That’s just to name a few.

And in the time of The Great Resignation, which has only compounded a labor shortage that was already in existence for several years, it has never been more important to crack the code of culture.

That’s why Ratchet + Wrench recognizes its annual Best Workplaces. To find successful repair shops that have developed a great culture and a place employees want to work for. To honor them and share their stories to help all shop owners improve their culture every day.

So let’s take a look at three shops, one small (1-10 employees), one medium (11-20) and one large (20+), to find out what has made them among the industry’s best places to work.

Small: Under 10 Employees

DANIELLE HANKINSON

QUALIT Y AUTOMOTIVE SERVICING

Quality Automotive Servicing

Owner: Bill and Sheila Greeno

Applying for a job at Quality Automotive Servicing looks a bit different than at your run-of-the-mill shop.

Before an applicant even steps inside the shop, they are required to take a Strengths Finder personality test. To the shop’s owners, Bill and Sheila Greeno, it’s a vital first step in the process. If the applicant’s results line up well with the rest of the team's, and he or she possesses the skills needed, the next step is not an interview with Bill and Sheila—it’s with the entire shop staff.

Annual Revenue: $1.8 million

Location: Truckee, Calif.

Staff Size: 9 Average Monthly Car Count: 490

“Our mindset is not that our employees are here to make us successful. We are here to guide them to their success, which leads to our success,” Sheila says. “So, they are involved in all aspects of the business.”

Jamie Millard has been on both sides of the desk, first as the interviewee two years ago, and now as part of the inter-

viewing team. The experience has been just one piece in a larger puzzle that the Greenos have established at the shop, with the central goal of maximizing strengths and prioritizing employees, she says.

“I’ve been at a few shops before. This has set a new standard for me,” Millard says. “It’s been eye-opening.”

03.22 / R+W / 23

Pathways Jamie Millard, who assists on the interviewing team, says this shop’s attention to detail in hiring sets the company up for success down the road.

“We ask our employees to stretch themselves to places they wouldn’t go if they just came to work and did their jobs.”

Employee-Centric Processes The results of the strengths test play a larger role than in just hiring. The employees' top-five strengths are displayed at the front of the shop. If the team knows a particular technician’s top strength is “maximizer,” they know to work a bit harder to make sure everything is on time for that technician, because a late part could lead to an argument. Bill says having the awareness of how each employee operates have avoided situations from devolving and brings the employees closer.

That level of detail is carried through all the team’s processes. The shop pays for its employees’ taxes to be completed by an accountant. They provide life coaches and therapists, and bring in a massage therapist monthly. They have passes to the local ski resorts for employee use. And in the rare 24 / R + W / 0 3 . 2 2

-BILL GREENO, CO-OWNER, AUALITY AUTOMOTIVE SERVICING

situation that an employee needs housing, several apartments on the upper floor of their building are available.

“Personal time outside of work is the most valuable asset our employees have,” Bill says. “So how can we improve their time when they're not at work? It’s not just throwing another benefit at them, it has to do with improving quality of life.”

Bill and Sheila organize team building events, with the ideas almost always coming from their staff. They’ve done escape rooms, river rafting, skeet shooting, and team dinners. They’ll even have the occasional nerf gun fight during lunch.

The company also hosts an annual retreat, with family members welcome to join, which gives the team a chance to reset, revisit its core values, and spend time together.

“We’re kind of like a low-key comedy show,” Millard says. “If we were a reality show, we’d be a hit.”

Stretching the Team But that doesn’t mean the work isn’t prioritized. The team of nine services just under 500 cars per month and generates $1.8 million in revenue. Each team member is required to complete 40 hours of training every quarter, and the team is constantly pushing each other.

“We ask our employees to stretch themselves to places they wouldn't go if they just came to work and did their jobs,” Sheila says.

“That’s what makes it a great place for me,” Bill adds. “I’m just so grateful that I’m able to be stretched just as much as I'm able to help people be stretched.”

Medium: 10-25 Employees

59 AUTO R E PA I R

59 Auto Repair

Owner: Linda and Richard Brauer Location: Plainfield, Ill. Staff Size: 12 Average Monthly Car Count: 366

Rich and Linda Brauer like to joke that they’ve mastered the art of terrible singing.

Co-owners of 59 Auto Repair since 2006, the couple organized their fair share of employee birthday celebrations, which always include a crown along with the singing of “Happy Birthday” in front of their customers.

It’s just a small part of a larger goal that the Brauers have on their minds every day: Treat every employee like a member of the family. And it led them to be named one of Ratchet+Wrench’s 2022 Best Workplace winners.

“We consider ourselves family,” Dave Matel, the shop’s foreman, says. “With the Brauers, if you need something, all you need to do is ask.”

MIKE WHEALAN

A Family Dynamic The family atmosphere is seen both literally (six members making up the staff of 12), and through the shop’s actions.

Matel has known the Brauers for more than 25 years. One of their techs has been at the shop for 13 years, another for 14. The Brauers inherited two employees when they bought the repair shop 15 years ago; both stayed on until last year when they retired.

The duo works in tandem to keep the shop’s atmosphere where they want it, with Linda manning much of the backend HR, bookkeeping and management and Rich handling the shop floor. They credit that split approach in keeping the shop culture intact, along with keeping a keen eye on the benefits that will maintain quality of life.

The shop sends its employees to NAPA, ASE, and ATI training, and have

Annual Revenue: $1.8 million

Little Things Co-owners Linda and Rich Brauer know that small reminders, like birthday celebrations, create a family atmosphere in the shop.

“We need to show our employees, not with our words but our actions, that we care about them and the things they’re passionate about.”

-LINDA BRAUER, CO-OWNER, 59 AUTO REPAIR

03.22 / R+W / 25

two employees in NAPA’s apprenticeship program. They also have in-house mentoring for its lower-level technicians to help them grow internally. As a result, the shop was named the NAPA Auto Care Center of the Year in 2021. Rich has been named ASE Technician of the Year for the Chicagoland area three times.

Elevating Employee Passions The shop, with influence from its employees, is also very active in the community. They are an active drop-off site with a local food pantry, participate in a backpack program to give children meals on the weekends, and, this year, purchased Christmas gifts for 35 families.

The team has also worked with military veteran organization “Operation Welcome Home” for nearly 10 years, and team member Sarah got the shop involved with Cars of Hope, providing free car repairs to several local residents in need.

“We need to show our employees not with our words but our actions that we

care about them and the things they’re passionate about,” Linda says.

It’s part of a wider effort to make sure their employees know they have a hand in the decision-making of the shop. Their thoughts, ideas and actions have a real impact on the business. It has helped craft a culture in which the cliche “our door is always open” is actually true.

Open Door The entire team at 59 Auto Repair is encouraged to give input and improve processes when opportunities arise.

Large: 20+ Employees

S I LV E R L A K E AUTO AND TIRE CENTERS

Silver Lake Auto and Tire Centers

26 / R+W / 03.22

Location: Four in Wisconsin Staff Size: 42 Average Monthly Car Count: 546 Annual Revenue: $6.2 million

Ratchet+Wrench’s 2022 Best Workplaces is their actions with team members. You’d be hard pressed to find anyone with a bad word to say.

“I’ve had other possible opportunities, but it’s family more than employer here,” says Tyler Peartree, manager at the company’s Oconomowoc location.

Peartree, now 31, has spent nearly half of his life working for the Garlocks. “Dan has been a business mentor, a life mentor

and it’s never felt like a business, it’s all about me as an individual and how they can help me improve.”

Life Outside the Shop You can’t have a conversation with the Garlocks or any of their employees without work-life balance coming up relatively quickly. It’s a core tenet that Dan has worked to make a pillar of the company.

STEVEN BOURELLE

Growth is at the core of every decision Dan Garlock makes.

Personal growth. Growth within the community. Expanding current locations and adding new ones. And, most importantly, individual employee growth.

Co-owner of Silver Lake Auto and Tire Centers, a four-shop operation in Wisconsin, with his brother Darren, the duo have guided the family-owned company from a single location into a network of shops with 42 employees generating more than $6 million annually.

But the numbers aren’t the impressive part. What made them one of

Owner: Dan and Darren Garlock

Using OfficeVibe, a product that allows the company to send weekly anonymous surveys to its employees, Garlock was able to see how important work-life balance is to the team. So, he decided all training and meetings would happen during normal shop hours. And if they needed to close down to conduct the sessions, they will.

“We never took a step backward when we went from [being open] seven days to five days, so why can't we be shut down for a couple hours every so often for training? We wanted to show we were hearing their feedback,” Garlock says.

The work-life balance has been pivotal for Peartree. A 14-year National

“I just want to tell people how much I like working here and naturally people become interested.”

-AUSTIN HILL, SILVER LAKE AUTO AND TIRE CENTERS

Guardsman, Peartree has been sent on several deployments over his tenure, always with the guarantee of returning to his job after. Furthermore, Peartree says any conversation with Garlock was never about the business, and solely about Peartree and how he was doing.

Employees as Brand Ambassadors That dedication to valuing employee time has reverberated throughout the organization and has led to few hiring issues over the last several years. Garlock constantly gets recommendations on new writers and techs to hire when positions open up.

Austin Hill was one of those recommendations; he left a service writing position at a dealership and just a few months into his tenure, he’s already recommended several of his former co-workers to Gar-

Gathering Information Through anonymous surveys, the owners of Silver Lake Auto and Tire Centers get honest reports from inside the company culture.

0 3 . 2 2 / R + W / 27

Big Referrals One recent hire at Silver Lake liked his job so much that he began recommending new hires as an enthusiastic ambassador.

lock. The company has already hired one of them.

“It’s not something I feel I need to do,” Hill says, “I just want to tell people how much I like working here and naturally people become interested.”

The Importance of “You” Throughout conversations with employees, Garlock and his leadership team want to make their purpose clear. Garlock meets with his managers bi-weekly, and those location managers meet one-onone with each employee weekly. In those meetings, the focus is on the employee, and what they need and want.

“It’s all about you,” Peartree says. “It’s not about the supervisor's agenda; it’s about yours.”

Garlock also heavily invests in training. Several members of his leadership team are in ATI’s executive groups, location managers get bi-weekly training from an ATI coach, and Garlock himself is in the ATI CEO program.

They’ve also had Transformers Institute come in to train.

Garlock has grown the company to four locations because of the internal growth, the organized training and in28 / R+W / 03.22

Good Problems Owners Dan and Darren Garlock have lots of growth to keep up with, and it’s the result of investments made in company culture.

dividualized nurturing that fosters the culture. In fact, the impetus for adding shops was to provide more advancement opportunities for team members.

“Honestly, the challenge for me is keeping up with the growth,” Garlock says, “ but that’s a good problem to have.”

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TOOLBOX

MAKE M O N E Y. WO R K SMARTER.

Train Up Your Team Tips to tighten up your in-house training

There is an old joke that originated in the

days of Vaudeville: A fellow goes to New York to attend a concert, but gets lost. He spots a fellow carrying a violin case and asks, “Sir, can you tell me how to get to Carnegie Hall?” The musician smiles and says, “Practice, practice, practice.”

30 / R+W / 03.22

In the world of automotive repair it may not be practice that makes perfect, but rather regular and ongoing training. Just as those working in information technology (IT) need to stay updated on the latest changes in computer software, today’s automotive

technicians increasingly need to continue their training as well.

Many shops may conduct in-house training, but it often remains ad hoc and sporadic. With the advent of new vehicle technology—as well as developments with hybrids and electric vehicles—there could

GETTY

BY PETER SUCIU

T O O L B OX / E D U C AT I O N +T R A I N I N G

be a need for a more formalized in-house training process.

TAKE ADVANTAGE OF OPPORTUNITIES. When it comes to continued training, the first thing to understand is that you’re not in it alone—there are plenty of opportunities provided for regular training. But the mountain isn’t likely to come to you, and you may need to network with other shop owners, vendors and even OEMs. Kory Rozema, owner of Rozema’s Car Care in Hudsonville, Mich., regularly participates in ASE training and vendorprovided technical training. Just as lawyers and doctors will attend training conferences, Rozema says it is necessary to attend industry-specific management training and to participate in industry associations and trade shows.

With nine full-time staffers, Rozema’s shop averages about 185 cars per month. He encourages training of his employees both in the shop and out of the shop. And if a question comes up that can’t be answered, he goes the extra distance.

“I try to work with other shop owners so if there is something I don’t know, maybe they do,” says Rozema.

PRIORITIZE CONTINUED TRAINING. At Rozema’s Car Care, training is neither sporadic nor informal. It is ongoing, and that includes weekly lunchtime training, while Rozema ensures that training materials are provided for his staff.

“I can’t stress how incredibly important it is to conduct regular training,” Rozema says. “Cars are so much more advanced than just five years ago. To replace a battery might take an hour, because you need to go through all the ‘relearns’ and make sure the windows open, the lights turn on and the infotainment system works properly.

What was a five-minute job is now major work and the technicians need to know how to do it correctly.”

While some might think such due diligence is overkill, the last thing a shop needs is a reputation that it had to turn away business because it wasn’t prepared.

“You can’t stop learning. The minute you let it slide, you’re going to get a car that has features or something different and

you can’t service it,” Rozema says. “That is why we’re doing training on the latest advancements at least twice a month, some in-classroom training at least once per month and hands-on training at least once per year.”

BE A MENTOR. For some employees the thought of training could be a turnoff. However, constant training and the ability to service European imports has allowed Carrollton, Texas-based Blair Automotive to become the largest independent European service center in the country.

“YOU CAN’T STOP LEARNING. THE MINUTE YOU LET IT SLIDE, YOU’RE GOING TO GET A CAR THAT HAS FEATURES OR SOMETHING DIFFERENT AND YOU CAN’T SERVICE IT.” KORY ROZEMA, OWNER, ROZEMA’S CAR CARE

Blair Automotive has one week of mandatory paid training for all employees every year, but throughout the year provides a mentorship program with apprentices.

“We have 10 full-time technicians and three apprentices,” says Ryan Blair, owner of Blair Automotive. “We’ve had a mix of employees, some with no previous experience who simply had a desire to become a mechanic and others who were graduates of UTI. But I’ve found that even those who may not have liked school have a desire to learn.”

Blair says that a lot of the training at his shop comes from experience.

“We have a lead technician who heads the training program, and this is actually new for us,” Blair says. “But it seems to be working.”

In many cases training the “newbies” means they’re taught the correct way the first time, and that can be especially important with European cars, which can present unique challenges.

“We have apprentices that are

learning as they’re doing oil changes and other basic maintenance,” Ryan says. “Then the master tech looks over what was done with the apprentice.

The training becomes a natural part of the process and they learn how everything works.”

At the same time, shops need to ensure that the employee’s heart is in the right place. Training is timeconsuming and thus costly. Rozema says that a recent hire quit after only five or six weeks, so being upfront that today’s work is technical and will require ongoing instruction is critical to everyone’s success.

BE PREPARED FOR TOMORROW. As shops become more like a computer repair store, it can be harder for some of the old guard that remembers the good old days.

“You have to be a lot more techfocused,” Rozema says. “When we started I had a toolbox, and there was the ratchet and air tools. Now everyone has a tablet or laptop, and we’re seeing everyone is getting their own scan tools. While we still have brake jobs and alignments, we’re doing a lot of ASE calibrations. However, with the younger guys it isn’t convincing them to embrace the technology, but more about them getting their hands dirty that is the issue.”

Rozema also says that Ford has been very good at helping provide information for continued training while General Motors also keeps shops well informed, but warned that with many imports, shops may be left on their own.

This can be a challenge as models come out of warranty.

“We’re starting to see hybrid Porsches,” Blair says. “So, we have to keep up with the old models, as well as the new.

Fortunately for our business we’re used to the challenges. These cars have several miles of fiber optics and can be incredibly complex. It means we need to learn their various issues and have to use the factory scan tools.”

Blair says that he’s thinking of the next big thing in cars as well.

“We just hired a Tesla master technician,” he says. “We’re getting ready for dealing with electric cars, but that’s probably something for another article.”

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T O O L B OX / C A S E S T U DY

THE U LT I M AT E WORK FA M I LY A guide to finding time for friends and family

BY ENID BURNS

32 / R+W / 03.22

GETTY

Not everyone wants to be his or her

own boss, but the best bosses know that the best way to offer a positive workplace may be to gain experience working for someone else first. Husband-and-wife team Erich and Lauralee Schmidt of Schmidt Auto Care in Springboro, Ohio, brought elements to their Dayton suburb shop that they wanted for themselves, and it works well for their employees.

THE BACKSTORY Erich Schmidt didn't actually set out to be the boss. He began his career as an auto mechanic at local dealerships, but over time found it wasn't the right fit.

"I worked with a dealer when a dealer was a great place to work," Erich says, adding there was a shift where dealers became more corporate and it was no longer a good work environment. "At

that point you don't become an employee anymore; you become a number for profit."

In 2009, Erich started his own business as a "one-man shop" with little intention of expanding. He was his own boss, and could run the business in a way that worked for him. As he realized he couldn't handle all the business that was coming his way, he expanded Schmidt Auto Care and with 03.22 / R+W / 33

T O O L B OX / C A S E S T U DY

the addition of each employee, Schmidt resolved to extend the business practices he held dear, and to make the business one that people would want to work at.

THE PROBLEM "The dealership life was really good to Erich, but it also taught him where there were holes," says wife Lauralee, who runs the business alongside her husband.

Those holes became the goals on which to build a business. The Springboro shop was built up slowly, and is now in its third location with roughly 10 employees that are treated like family. As Erich and Lauralee foresee problems, they look to address them with solutions that benefit the business, employees and customers alike, not just the profit margin.

THE SOLUTION As the shop grew, the Schmidts were able to offer more benefits and amenities to their staff. This signifies the value they place on their team members. Technicians are encouraged to take part in training and continued education funded by the shop, and on company time. In addition, Schmidt Auto Care has become a pioneer in the four-day workweek, which offers every employee a three-day weekend.

Amenities usually reserved for tech giants like Facebook have been adopted— including drinks and snacks available in the education and entertainment room— while the shop also boasts an arsenal of Nerf guns, which are often used to blow off steam. In addition, every employee gets his or her birthday off, and often finds gifts on his or her toolbox or some other surprise waiting.

"I came from a very giving company, very accommodating for employees," Lauralee says. "I try to bring a little from that."

Having previously seen the benefits of a four-day workweek from her past employer, Lauralee was inspired to implement the schedule at the shop, which currently operates Monday through Thursday each week.

Technicians clock in for 11-hour days in order to get those long weekends.

The four-day week first began early in the pandemic when Lauralee considered how everyone at the shop had campers, boats and wanted to take part in weekend activities. The decision was made to offer longer weekends and encourage the 34 / R+W / 03.22

downtime, which helped to address the pandemic fatigue.

"Ohio was hit really hard," she says, "We were all shot mentally, we have to have a way of recharging."

The year-round schedule commenced after polling customers to be sure it would work in practice. Customers have been supportive of the decision, and willing to work around the schedule.

“I DO THINK THERE’S ONE THING EVERY SHOP NEEDS: A SHOP DOG.” -LAURALEE SCHMIDT, CO-OWNER, SCHMIDT AUTO CARE

THE AFTERMATH Even as a modest shop, Schmidt Auto Care has several bays to work on cars, but it has the aforementioned entertainment and education room, which is somewhat like a break room/meeting room stocked with food and snacks as well as a laptop where employees can log into a class or look something up. In addition, employees are provided access to the shop's office equipment for their own needs, and technicians are also able to use the shop to work on their own vehicles during free time.

Erich and Lauralee strive to be open to requests and suggestions from their staff, but also look for and anticipate problems to solve. After moving into the shop, a new air conditioning unit wasn't in the budget (but it will be installed this year), Lauralee made sure the staff remained hydrated, especially in the summer heat.

"I knew we had to bring in drinks. We do expect a lot from our team," Lauralee says.

A grill is also permanently set up behind the building, so employees can use it to make lunch, or even to host their family during the off hours. Erich and Lauralee have also remained open to staff suggestions "We let them have a lot of input," Erich says. That could be in the form of "products, equipment, and processes that would benefit us. We take their voices seriously."

The advice has included rearranging the layout, and the new placement resulted in improved workflow, which benefited the shop.

Education is another area where Schmidt Auto Care benefits by offering the benefit to employees. Technicians can take educational classes and training. Prepandemic, techs often went out of town to attend classes to advance their knowledge.

Much of the offerings shifted to online in the past two years.

"I'm at the mercy of the vendors on education right now," Lauralee says.

Classes are attended on company time, even if they happen in the evenings. Technicians can go home and have dinner, then "clock back in and do their class."

While Schmidt Auto Care employees regularly come in to find gift cards and other goodies, the holiday season becomes extravagant. The shop's holiday party was held at a local steakhouse and employees were invited to bring a guest.

"I celebrate Christmas all month long," Lauralee, an ardent gift giver, says. "Every week we got something, a gift bag, and gift cards. I gave a slew of gift cards I put on top of their boxes, and bonus checks as well."

THE TAKEAWAY While Erich intended to open a one-man auto shop, he expanded and Schmidt Auto Care has grown into a business that is good to its employees as well as the community. The auto shop participates in local events, works on promotions with other small businesses, hosts classes and events at its shop, and gives back to the community.

The best benefit might just be the pets policy.

"I do think there's one thing every shop needs: a shop dog," Lauralee says.

"It takes some of that stress off. A dog makes everybody happy."

CONCENTRATED CLEANING POWER.

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Turning Deferred Work into a Customer Relationship Work with customers when they defer needed repairs

BY ENID BURNS

tomorrow what can be done today,” when it comes to auto repairs, there is only so much time in the day, and for most people only so much money in the bank.

Regular maintenance, such as timely oil changes, is essential for keeping a car running, but even with such upkeep, additional repairs become necessary. A diagnostic check can result in a list or repairs and drivers aren’t always prepared to handle the full load of work required all at once.

Hesitation can be due to finances, or contingent on how long a customer plans to own the car. Automotive repair shops should use this event as an opportunity to create a schedule with the customer to complete work, and foster an ongoing relationship.

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DEFERRED WORK Often called deferred work, it is not unusual for a customer to put off repairs for a few weeks, a few months, or until there are signs the repair has become crucial to the performance and safety of the vehicle.

It is important for the technician and sales rep to work with the customer to address any concerns and to advise on a realistic timeline for repairs to be completed.

“Every Customer is different, each circumstance is different,” says Taylor Hayley, senior service advisor at Mankato, Minn.-based Greg’s Champion Auto. The automotive shop, which first opened its doors in 1969, has been under current ownership for the past dozen years, while Hayley plans to take ownership within the year.

While the service team works with each customer individually and addresses each situation, it always starts with an estimate.

“We create an estimate of everything that needs to be done with the vehicle, with an A, B, and C list,” Hayley says.

To address customer concerns, Haley said he discusses their budget, then works out a schedule to address the urgent (A), upcoming (B), and down the road (C), issues with the vehicle.

“Now that I have that number, I know the sale will be ‘X’ and I figure out what is most important to get done in their budget,” he says.

THE ECONOMIC SITUATION The economic climate, as well as other factors, influences how receptive drivers

GETTY

While it’s often said, “don’t put off until

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are to go ahead with repairs. A slow economy can create an increase in deferring work, with drivers waiting until repairs become necessary or budgets loosen, yet there are still other factors, such as a lack of new and used cars on the market—and that helped motivate car owners to keep their vehicles maintained.

“They are a little more proactive, once the economy started to pick up,” says Dan Dumbauld, owner of the Auto Shop Corp in Phoenix, Ariz. “They are willing to invest a little bit more into their car.”

In Minnesota, the rate of car repairs has been swift.

“Currently it’s actually been very busy,” Hayley says. “People are repairing the vehicles due to the new and used car market. More people are driving their vehicles longer and longer these days.”

It is more than just the lack of inventory that has pushed drivers to hold on to their cars.

“I’m seeing more and more people keep these vehicles on the road, and we’re able to help keep the vehicles on the road longer and longer,” Hayley says.

TRACKING TOOLS (CRM) It takes more than a ledger to keep track of clients and manage relationships, especially when work might be done in increments.

There are several software platforms available that help track customers.

Customer relationship management (CRM) software such as MyShopManager, Epicor (previously MechanicNet) and Mitchell 1 POS help manage relationships for these small businesses. Additionally, software tools such as AutoVitals can handle diagnostics, and link up to CRM platforms to ease workflow.

A plan, rather than pushing work on customers, has always been a best practice for the industry.

“For a majority of customers, we’ve always prioritized or made a plan for customers,” Dumbauld says.

He says that while there are those customers who automatically agree to do the prescribed work, “generally we make a plan for them and remind them of those repairs later on.”

CRM software is much more than a Rolodex; it is a database with client contact information, while it manages every point of contact from service history to any work that is scheduled or recommended and deferred. Armed with this resource, auto

care centers can reach their customers with relevant offers and information.

Software helps with timely communications with customers.

“Once a customer comes into our shop, after 48 hours they receive a text message asking how our service was,” Hayley says.

The messaging gives Greg’s Champion Auto an opportunity to address and resolve any customer concerns.

“Being tech savvy now, everyone has a phone at their fingertips, and we’re able to communicate quickly and efficiently,” she says.

The CRM is then used for welltimed communications.

Greg’s Champion Auto uses MyShopManager to send a text or email after six months to remind car owners of regular maintenance. The system can also be used to notify customers of deferred work, and open a line of communication to schedule the service.

REPAIR TALK Sometimes just the diagnostic can cause sticker shock with customers.

“These computers are more and more expensive, and more testing is being sold now,” Hayley says. “Going in for advanced diagnostics [a customer] is going to be in for about $200 to $300. That’s been a learning curve for us. Back in the day, we didn’t have to sell time and testing.”

Technicians armed with laptops, scopes and other instruments to view what’s under the hood can diagnose as well as help inform customers on what the problem is and why it should be fixed.

At Greg’s Champion Auto, technicians use a camera and iPad to take photos of problem areas, which can be sent to the customer to explain any repair work being recommended. The workup includes issues requiring immediate attention as well as problems to keep an eye on—and to plan for future work.

Messaging can also provide photos of parts and problems from the customer’s actual car from the diagnostic, but also information and photos and videos showing the part or automotive system that requires repair. Videos and photos show the working part, and sometimes what the part or system looks like in a failure if the repair is not done before it goes too far.

“Our customers can gain knowledge on why it’s important and what it does,” Hayley says.

KEEP THEM COMING BACK Timely communications help customers keep on top of their repairs. Many auto care centers set up incentive-based programs that offer discounts and reward loyalty.

The Auto Shop Corp in Phoenix offers a VIP program, where every dollar spent grants a reward point toward future repairs or free services such as an alignment or oil change.

“There almost always has to be an incentive attached to it,” Dumbauld says.

Messaging can help retain relationships, even when customers purchase new cars. If the shop knows the customer has plans to purchase a new vehicle, they tune the message with attractive offers.

“There’s a lot of scripts that help reassure them that if they do get a new car, we can offer service, and if they don’t buy a new car, they understood we were sincere and want to continue with their service,” he says.

It is important to offer regular messaging, but not too frequently.

It should be seen as a reminder, not solicitation for business.

“I’m told by managers that sometimes we bombard them with offers and information,” Dumbauld says. “We want to try to touch them four times per year, and we’re not very aggressive with that.”

Shops can also have fun with messaging. Greg’s Champion Auto the shop sends rebate coupons based on spending for the year. Offers sent during tax season look like a refund check. At year-end vouchers look like bonus checks.

“That has been successful,” Hayley says.

“I see quite a few of those come back.”

When work can’t be deferred, financing options help make repairs more affordable. An automotivespecific credit card from Synchrony Bank is available for everything from repair work to a fill-up at the gas station. An auto care center can offer financing through the card with terms ranging from six-months to two years.

“The shop does get charged a fee, but we also close a sale so it’s very beneficial to the company,” says Hayley.

It is also beneficial to the customer who might not be able to afford the work but can’t afford to put off the repair.

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SERVICE ANY ELECTRIC OR GAS-POWERED VEHICLE

New electric vehicles are announced regularly and are gaining traction in the marketplace. While this technology is new and exciting, it’s important for the professionals who will inevitably have to repair these vehicles to have the right tools and equipment to do so safely and effectively. Thankfully trusted equipment manufacturers like BendPak are providing solutions for electric vehicle repair.

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The SL24EVT is compact and portable, with a pallet-jack type steering wheel and oversized urethane casters engineered to provide unparalleled maneuverability anywhere in the shop, even in tight spaces. With a press of the button, the SL24EVT elevates to more than 6 feet in less than 20 seconds. The lift table supports an industryleading 2,400 pounds on its oversized 40 x 60-inch cushioned rubber platform, providing stability for handling bulky EV battery packs.

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The SL24EVT is not only useful for servicing EV batteries and powertrains, but through available add-ons, the lift can handle a variety of different components. To support heavy and awkward components there is a telescoping arm kit. A multi-point adapter can support components like axles, transfer cases and bumpers. There is also a tilt deck when a more precise alignment is needed, and other fixtures and other adapters to expand the use of the lift.

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Columns

THE FIXER Aaron Stokes

ONWARD AND UPWARD The secret to achieving goals If you think of achieving a goal as a

fulcrum, most shop owners are lifting the goal on their own without expressing their intentions to the team. If you can tell in the picture, the team is looking the opposite way. They’re not looking at what the leader is doing. Because of that, the leader is in his own little cocoon—he is by himself and doesn’t know that no one will help him. He’s going, “Man, I’m always by myself. No one will ever help me. It’s all up to me.”

Well, the problem is, these owners don’t realize they’re trying to be the best technician, the best advisor, the best manager, instead of being the best coach.

What you really need to do is focus on giving your team the goal. They’re strong enough. They weigh enough that they can lift this fulcrum in the photo. In fact, they are able to do more together than you could ever do. They’ll probably look at your goal of wanting to hit $1 million in sales this year and go, “No, boss, we’re going to do $1.5 million.” They build a bigger box and make the goal bigger.

This is where a transition comes into play: The owner is now speaking to his team as the team does the work to lift the goal, rather than the leader trying to do it by himself.

This is really difficult for many people. What often ends up happening is the owner finds himself on an island, all alone, still trying to be the best technician or the best salesperson, while their team remains oblivious. They have no clue that you’re trying to lift this goal and get this to move up!

Here’s the real ticker on it that I hope convinces you to stop putting yourself in that position: If you can lift the goal by 42 / R + W / 0 3 . 2 2

yourself, the goal’s too small. It needs to be a goal that’s so big, it takes a team of people to get it up off the ground. What you need to be saying is, how big can we get this goal until it challenges even this group? At the end of the day, you don’t make the money in your shop—they make the money in the shop. They are the ones that do the work, the labor that costs success to launch and happen, right? Because of that, they are the only ones that have the power to lift that goal and give it flight and get something so successful that you never knew.

That means you need to get to a position of coaching. You need to look at yourself in the mirror and tell yourself, “I can do it.

I’m going to go back out there to the shop and tell the team, ‘Guys, I know you can do this.’” Be fully transparent with the vision, and then act as the mirror, holding it up and going, “Everyone, this is where we are.

This is the number we’re trying to hit, and we’re either exceeding, missing or right on target.” Those are the only three yard sticks you ever need to use to measure progress with the team.

But what you do need to be able to do is be upfront with them. You see, you don’t screw it up in a day. You screw up over and over and over for six months— that’s how you ruin a business. If the new habit is bad for the business, it’s going to keep happening over and over.

That’s why it’s easier to coach just one big mistake where it’s super obvious; it’s more schooling. But by that point, it’s too late.

The real key is doing it consistently. If you continue to coach, your team continues to get better, the skillset increases, and your team increases, too.

Aaron Stokes grew his business, AutoFix, into a six-shop operation that is widely regarded as one of the top repair businesses in the country. He is also the founder of Shop Fix Academy. aaron@shopfixacademy.com ratchetandwrench.com/stokes

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