CollisionRepairer News, views & information for the Collision Industry Professional ACKNOWLEDGED BY THE INDUSTRY AS THE LEADING MAGAZINE
Driving innovation for 70 years.
We review the AMA Group’s acquisition of Capital S.M.A.R.T We meet The Sheen Group’s CEO, Martin Stone in Melbourne AFCA’s John Price sets the record straight on Choice of Repairer
1K SEAM SEALERS & 2-IN-1 SEAM SEALERS REDUCE REP REPAIR AIR TIMES, STEPS & WASTE WASTE
E D I AT
Reduce repair times, steps, and waste with SEM’ss 1K seam sealers, direct to metal and SEM’ paintable immedia immediately tely with most solvent paint systems. These OEM recommended products come in four OEM ma matched tched colors: White, Gray,, Beige, and Black. Gray A reliable, cost effective option for ensuring pre-crash condition on ever everyy seam.
PPG Industries Australia 14 McNaughton Rd, Clayton, VIC 3168 Australia
13 24 24 www.ppgreﬁnish.com.au www .ppgreﬁnish.com.au
PPG Industries New Zealand 5 VVesty esty Drive, Mt W Wellington, ellington, Auckland, 1060 New Zealand
Learn about 2-IN-1 Seam Sealers & 1K Seam Sealers semproducts.com/1kss
- - - - - - - - - - - - - - - E D I T O R I A L - - - - - - - - - - - - - - W I T H
J O E
M C F A D R I E S
Interpretation It’s in the eye of the beholder It’s a weird world in which we live and, sometimes, it’s a weird industry in which we operate. It’s as if the stars aligned to reinforce this point last month. Facts, by their very definition, are indisputable; however, how individuals interpret the facts is what creates the mystique. Now, it would be remiss of me not to point out that “facts” can, and frequently are, misinterpreted to reinforce a preconceived idea or support a particular agenda. We see this in international diplomacy, politics, media and, as it turns out recently, in our industry. With so much change happening within the regulatory framework, the industry structure, technological advancement and even company ownership, it’s not surprising that it can be difficult to keep abreast of what is really going on. It is at these times that it’s critically important to state the facts and interpret them independently to ensure the industry is best informed. Anything less is not in the best interests of the industry as a whole. In this issue we discuss some touchy subjects that are well and truly open to interpretation, in addition to some less controversial, albeit equally important, changes to our landscape. We report on two key regulatory issues: the ACCC’s submission to the SA Parliamentary Enquiry into the motor vehicle insurance and repair industry and AFCA’s response to the misrepresentation (their own words)
of a recent determination on a matter of choice of repairer. See these reports in “Local News”. With AMA’s recent acquisition of Capital S.M.A.R.T, I make an attempt to read between the lines and interpret the impact of this significant change, whilst AMA Group CEO, Andy Hopkins, provides exclusive commentary. The opinion piece is on page 30. We also celebrate 50 years with The Sheen Group as we chat with founder Martin Stone about how it all began, what Sheen stands for and where they are going in the not-toodistant future. See “Movers and Shakers” on page 14. Barry Edney also returns with an insightful piece on the trends of electric and hybrid vehicles in Europe and gives us a glimpse into the future of this technology here in Australia – it’s not as far away as you may think. See Barry’s article on page 24. The full report on PPG’s THE
inspirational Colour Matching Competition is on page 28, where apprentices from Australasia show off their skills. We have a Tech Tip from Robin Taylor of Axalta on page 34 and Mark Czvitkovits (page 38) and John Yoswick (page 44) both discuss the importance of correct ADAS calibration. On page 32, John McCoyLancaster gives us his analysis of Supercars on the back of all the drama from Bathurst, Owen Webb reflects on his career with MotorActive on Page 40 and we introduce Mark O’Connell as our most recent Future Leader of the industry on page 36. I’ll leave it to you to interpret this issue in your own way! As always, happy to chat. The National Collision Repairer magazine – Making a difference in our industry
CollisionRepairer To receive our weekly e-newsletter sign up at www.nationalcollisionrepairer.com.au or email: email@example.com For all the updates follow us on Facebook and LinkedIn.
“Staying connected” The National Collision Repairer – 1
Latest News Local news
Keep up to date with the latest developments in the industry from across the globe.
Robin Taylor of Axalta shares his experience with optimum body shop layout.
Updated Events and Training Contacts
Barry Edney shares the EV and Hybrid trends in Europe and suggest it is a sign of things to come Downunder.
We discuss AMA Group’s acquisition of Capital S.M.A.R.T and ACM parts with exclusive input from Andy Hopkins.
An overview of the latest products designed specifically for your business.
EDITOR: Joe McFadries 0458 588 333 firstname.lastname@example.org
ADVERTISING SALES ENQUIRIES: Joe McFadries 0458 588 333 email@example.com
DIGITAL EDITOR: Josephine McFadries 0406 421 902 firstname.lastname@example.org
Josephine McFadries 0406 421 902 email@example.com
SUB EDITOR: Joanna Dolan
PRINTED BY: Bright Print 02 9757 3000
ART CONSULTANT: Chris Stone (Stone Dezine) 0407 939 668 firstname.lastname@example.org
PUBLISHED BY: JMF Solutions Pty Ltd PO Box 1258, Kyneton Victoria 3444 0458 588 333
We introduce Mark O’Connell, fourth year apprentice from Sheen Panel Service.
I-CAR Update Industry Event
The Car Guy John provides his analysis of the state of Supercars on the back of all the drama from Bathurst.
The full report on PPG’s colour matching competition from Kangan’s ACE in Melbourne.
Automechanika Shanghai Summernats Automechanika Kuala Lumpur.
Movers and Shakers We meet Martin Stone on the advent The Sheen Group’s 50th Anniversary.
See what’s happening in our industry around the country.
Mark shares his view on the importance of ensuring ADAS calibration is completed correctly.
Owen reflects on his extensive and thoroughly enjoyable career with MotorActive.
John discusses the importance of understanding the inter-connectivity of ADAS.
AUTOMOTIVE R E F I N I S H E R
Collision Repair A s s o c i a t i o n the benchmark for quality
DISCLAIMER The National Collision Repairer is published by JMF Solutions Pty Ltd, PO Box 1258, Kyneton Victoria 3444. This publication is copyright. Apart from any fair dealing for the purpose of private study, research, criticism and review under the Copyright Act (1968), no part may be reproduced by any process without written permission. Enquiries should be addressed to the publisher. The publisher believes all the information in this publication to be correct at the time of printing, however is not in a position to make a guarantee to this effect and accepts no liability in event of any information proving inaccurate. Prices, addresses and phone numbers were, after investigations and to the best of our knowledge and belief, up to date at the time of printing. It is also not feasible for the publisher to ensure that advertisements which appear in the publication comply with the Competition and Consumer Act (2010). The responsibility must therefore be on the individual, company or advertising agency submitting the advertisement for publication. Whilst every endeavour has been made to ensure complete accuracy, the publisher cannot be held responsible for any errors or omissions. Copyright © JMF Solutions Pty Ltd ACN 117 914 235
2 – CONTENTS
PPG Australia McNaughton Road Clayton, VIC, 3168, Australia 13 24 24
PPG New Zealand 5 Vestey Drive Mount Wellington, 1060 Auckland, New Zealand 0800 320 320
- - - - - - - - - - - - L O C A L
N E W S - - - - - - - - - - - -
ACCC supports insurers at SA Parliamentary Enquiry Recently, the Australian Competition and Consumer Commission (ACCC) made a submission to South Australia’s parliamentary inquiry into the motor vehicle insurance and repair industry. Here is a summary of the submission. The ACCC is the statutory authority responsible for the administration and enforcement of the Competition and Consumer Act 2010 (CCA), which has the overarching objective of enhancing the welfare of Australians through the promotion of competition, fair trading and consumer protection under Australian Consumer Law (ACL). Although the ACCC has no direct role in relation to the Motor Vehicle Insurance and Repair Industry Code of Conduct, in the course of the ACCC’s work, various issues have been brought to our attention regarding the smash repair industry. These issues include concerns that the preferred repairer schemes set up by insurance companies are anticompetitive, insurance companies steer consumers to their preferred repairers and may provide false or misleading information about nonaffiliated repairers. There are also concerns that insurance companies enforce unfair contract terms and exert pressure on repairers to give lower quotes for repairs, resulting in poor quality work. The ACCC has assessed these issues as they have been raised and to date has found no evidence of breaches of the CCA. There are several provisions of the CCA and ACL that may apply to the concerns raised, including prohibitions against engaging in: • misuse of market power; • exclusive dealing; • unconscionable conduct; and • unfair contract terms. Of the three key relationships in the motor vehicle smash repair industry, when work is carried out as part of an insurance contract, contractual relationships exist between the insurer and the consumer and between the insurer and the repairer. Generally, there is not a contract between the repairer and the
4 – LO C A L N E W S
consumer when repairs are performed through an insurance company. Misuse of market power prevents corporations with a substantial degree of market power engaging in conduct that has the purpose, effect, or likely effect of substantially lessening competition in a market. It has been alleged that insurers are engaging in such conduct by exerting pressure on repairers to charge less for repairs. Whilst such conduct would need to be assessed on a case-by-case basis, the ACCC believes that this conduct generally is unlikely to constitute a misuse of market power. Exclusive dealing occurs when a person trading with another imposes restrictions on the other’s freedom to deal with a third party where the restriction has the purpose, effect, or likely effect of substantially lessening competition. It has been alleged that preferred repairer schemes amount to exclusive dealing, specifically third line forcing, which involves the supply of goods or services on the condition that the consumer buys other goods or services from a third party, or a refusal to supply if the consumer does not agree to such conditions. Whilst such conduct would need to be assessed in the context of the circumstances particular to each case, in our view, this conduct generally is unlikely to constitute third line forcing in contravention of the ACL. Unconscionable conduct is conduct that goes against good conscience as judged against the norms of society. The threshold for conduct to be found to be unconscionable is high, as the conduct must be more than simply unfair and involve deliberate serious misconduct that is particularly harsh or oppressive. Every allegation would be assessed on a case-by-case basis, although on the information the ACCC has previously assessed, the conduct of insurance companies in their dealings with repairers has not reached the threshold of unconscionable conduct. It has also been alleged that certain terms in contracts between repairers and insurance companies
may be unfair. However, based on the information provided to the ACCC to date, no terms have been identified that raise concerns under the ACL. Other concerns have been raised with the ACCC about issues consumers experience as a result of preferred repairer schemes. These include concerns that insurers allegedly attempt to steer consumers to their preferred repairers by providing misleading information about nonaffiliated repairers or their rights under their policy. The other primary concern is alleged poor quality repairs. Misleading conduct in relation to financial products, which includes insurance, is covered by the Australian Securities and Investments Commission Act 2001 (ASIC Act). ASIC is better placed to consider consumer issues relevant to the provisions of the ASIC Act and consumers also have access to a simple, low cost method of dispute resolution through the Australian Financial Complaints Authority (AFCA). The ACCC notes that whether consumers are able to choose repairers is generally disclosed in the insurer’s product disclosure statements. There are clear benefits to consumers having repairs done through a preferred repairer and by guaranteeing the preferred repairers a certain amount of work, the repairers may be able to provide cheaper repairs for the insurance company. Regarding allegations of work being completed that does not meet the consumer guarantee provisions, the ACCC has received minimal reports from consumers raising concerns about repair work completed under insurance policies. The ACCC will continue to assess, on a case-by-case basis, alleged contraventions of the CCA and ACL in the smash repair industry, although any detriment to an individual smash repair business must also be balanced against considerations of the benefits to consumers. However, we consider that currently there does not appear to be sufficient evidence of contraventions of the CCA or ACL that require ACCC intervention.
Be more effective with baslac ®
“The training and reps are really good and spent a lot of time with us getting the team familiar with the system.” Adam Stokmanis, Bumper Pro in QLD
More information on www.baslac.com
- - - - - - - - - - - - L O C A L
N E W S - - - - - - - - - - - -
How mechanics protect drivers from counterfeit car parts Mechanics at independent workshops can play a vital role in protecting Australian motorists from being defrauded by counterfeiters dealing in fake vehicle parts. Australia’s leading carmaker, Toyota, says the sub-standard quality of fake auto parts, often found online, poses safety and financial risks for individuals and families. Toyota, which has been rallying against counterfeit car parts for many years, says the fakes even have forged Toyota packaging, markings and branding. The global market leader says independent workshop mechanics, with their expertise, position of trust and hands-on experience, are well placed to advise customers on the safety, performance and durability of genuine replacement parts. The best way for these mechanics and their customers to avoid fakes being passed off as the real thing is to buy genuine parts only from an accredited dealer. Counterfeit spark plugs are
common and, with poor-quality materials and inferior construction, could cost drivers thousands of dollars in engine repairs. The fakes can affect the vehicle’s ignition system, leading to poor fuel consumption and reduced performance, especially going up hills and on highways. Even worse, a fake spark plug’s cheaper, inferior core can melt, leading to serious engine damage and even catastrophic failure, requiring replacement of the engine. Industry experts say there are tens of thousands of counterfeit parts
circulating in Australia, but the true figure could be much higher. They are being sold by a counterfeit industry that has developed cunning ways to defraud Australian drivers. Toyota Genuine Parts bought from an authorised Toyota dealership are created specifically for Toyota vehicles. Unlike counterfeit parts, they have been designed and tested to rigid quality and approved safety standards. For more information, contact your nearest Toyota dealer or visit https://www.toyota.com.au/ owners/parts and https://genuineisbest.com.au/
Fix Auto Australia expands into Qld with Fix Auto Mackay Fix Auto, the world’s largest collision repair network, has appointed its first strategic partner in Queensland Australia. Claydon Panel Works in Mackay is the latest independent smash repairer in Australia to join the growing brand. Having operated in Mackay for over 25 years, they have established a strong reputation for delivering the highest levels of quality and service to both their insurer and private customers. When asked about their decision to join Fix Auto, Director Marty Wheeler said: “Joining Fix Auto was a critical part of our desire to implement change in our business to ensure we can continue to thrive in a rapidly changing industry. Joining a group of like-minded business owners to promote high quality repairs and drive standards in excellence, such as I-CAR training and added value from maximising the group buying potentials on offer with leading global suppliers, provides even greater value to the model.” Marty added that he was extremely excited about the
6 – LO C A L N E W S
rebranding of the business and a whole new visual presence of the facility. “It is going to look great and provide an outstanding environment for our staff and customers alike.” Scott Holden, Head of Sales for Qld and NSW for Fix Auto added: “Fix Auto Mackay is the perfect fit for our business. They have the passion and
Marty and Andrew, now of Fix Auto.
enthusiasm to deliver at the highest level and they embrace the changes needed to thrive in a consolidating industry that is under increasing pressure from all sides. Andrew, Marty and the whole team in Mackay represent the very best of our industry and we are delighted to have them as our latest partner.”
Aussies know a thing or two about how to take a good thing and make it better. From smashing a bit of avo for brekky, to chucking your beers in an icy esky, there are some things that just work better together. At Fix Auto Australia, we’re all about building partnerships so that your business goes from good to great.
Fix Auto is the world’s largest independent repair network, with over 700 locations in 13 countries taking advantage of our systems, resources, training and global buying power, coupled with the strength of leading collision industry brands. If you’re ready to go one better, call the team on 1300 FIX AUTO or visit ﬁxauto.com.
B E T T E R TO G E T H E R F I X AU TO AU S T R A L I A & O U R G LO B A L PA R T N E R S
- - - - - - - - - - - - L O C A L
N E W S - - - - - - - - - - - -
AFCA sets the record straight Well known industry identity Graham Judge, of Safety Collision Consultants of NSW, invited repairers, insurers and a broad cross-section of industry stakeholders to a recent meeting held in Western Sydney to hear from John Price, Lead Ombudsman, General Insurance for the Australian Financial Complaints Authority, AFCA. Judge kicked off the event with an overview of his business, outlining some of the cases he has been involved with in recent times and how he has assisted in the resolution process. A self-proclaimed consumer advocate, Judge unashamedly pointed the finger squarely at the insurers, citing several examples where he believes they as an industry don’t always get it right. It set the scene for an interesting evening. Price presented a short overview of how AFCA was established only only 10 months ago, and during this time they have addressed 3,300 motor vehicle related complaints, 73 percent of which were either settled or a determination was found for the consumer.
Price went on to explain AFCA’s strategy, which is based on being fair and independent, transparent and accountable, honest and respectful, and proactive and customer focused.
CASE 620915 HAS BEEN COMPLETELY MISREPRESENTED He then turned to the muchpublicised case, 620915 relating to “choice of repairer”. Briefly: a consumer provided a quote from a chosen repairer and the insurer obtained a second quote from another repairer that was less than half the amount of the first quote. The insurer stated that the first quote was unreasonable and offered to pay the lesser amount. In the determination, AFCA outlined that the insurer failed to provide the correct information or supporting evidence, without which they found in favour of the consumer. It has been variously reported that this
case is, amongst other things, “a landmark case”, “a game changer” and “an historic decision”. I asked Price if each AFCA case was determined on a standalone basis. “Every case is different and is treated as such. We aim to be consistent in our determinations, but they are all separate. One case does not create a precedent for any other.” When I asked if he agreed with the above descriptions of case 620915, he was unequivocal: “Absolutely not! The determination has been completely misrepresented – this is not ‘a landmark case, a game changer or an historic decision’.” Price provided several examples of other cases to illustrate the point. The meeting wrapped up with a Q&A from the floor which, not surprisingly, included some passionate, if not somewhat misguided, discussion. Graham is to be commended for organising the function and I have no doubt he will continue to fight what he believes is the good fight.
Novus the difference! Novus Glass, the world’s largest independent automotive glass repair and replacement business, is well underway with the rebranding of its Australian locations in line with the recently introduced global brands standards program. Its flagship store for the WA region in Malaga is the latest to have undergone a total transformation of its branding and is already noticing the difference of the new look and feel. Commenting on the finished product, Phil Bailey, Head of Sales and Marketing for Novus WA, said: “This new look is such a contrast to our previous branding. In the past we relied on a bold colour scheme to attract the eye, which it did very well for many years, but now we achieve even greater and more striking results through these clean lines and strong identity, which are much more modern and in keeping with retail branding today. Customers love it and even the staff comment how great it looks every day when they arrive at work.” The rebranding exercise is just one component of a resurgence of the Novus brand here in Australia as new locations and an expanding footprint is helping Novus provide even greater coverage and customer service. Stuart Faid, Regional Vice President Asia, Australia & New Zealand for Fix Network, the parent company of Novus and collision repair network Fix Auto, added: “Novus has always had a strong reputation for service and quality.
8 – LO C A L N E W S
As the inventors of windscreen repair in 1972, we have always focused on delivering the highest levels of service and convenience to our customers. By giving the brand a more modern context, it better represents our focus on innovation, technology, tools and equipment and helps us better convey that focus to our customers. Lloyd, Phil and the whole team in Malaga have done an outstanding job of the rebranding and they deliver the customer experience to match it, too.”
E D A
W H O
ERS TO TH E AL S T E R L
D I AT O R
$_;7;Cmbঞom o=1ooѴbm]Ĺ AAA Radiators - All the Best Brands. !-7b-|ouvķm|;u1ooѴ;uvķbuŊ1om7bঞombm]vv|;lv -m7=-mv-m7_;-7Ѵb]_|v-u;ou=o1vĺ -ѴѴou;r;u||;-l=ou|_;]-u-m|;;70;v|rub1; and FASTEST service in Australia. AAA Radiators are THE wholesalers to the trade.
aaaradiator.com.au T: 1300 725 683
- - - - - - - - - - - - L O C A L
N E W S - - - - - - - - - - - -
The colours of Summernats by PPG Colourful cars and colourful people make for a colourful experience at the annual Summernats event, and that is a perfect fit for PPG. These days, the high octane Summernats festival regularly attracts around 120,000 people to Canberra’s Exhibition Park in early January and, sometimes, it can feel like all of them are at the onsite PPG stand at once, according to Tony Naughton, car enthusiast and PPG NSW Business Development Manager. “We have a great PPG/Protec team for our Summernats 2020 stand and they are looking forward to a very busy four days. Because we welcome so many visitors, PPG now has one of the biggest marquees and it’s packed with colourful displays. As usual, we will have several top class show cars on display to really showcase exactly what PPG products are capable of achieving. This includes a finalist at Motorex 2019 and another that was unveiled at the 2019 Hot Rod & Custom Auto Expo,” he said. “Another exciting reason to drop by is to get a taste of the super successful PPG ‘Masters of Custom’ workshop. Using techniques from that mid-2018 event, we are planning to display a series of panels that show,
step-by-step, what goes into creating an epic custom paint job. By moving from panel to panel, visitors can see the physical progress from prepped bare metal, right through to the awesome final finish,” he continued. “Naturally, this also features PPG’s Vibrance Collection, which these days includes everything you need for a custom job, from primers, to a vast range of colours and finishes, through to a specialised clearcoat to apply the final touch. However, PPG is also a leader in mainstream paints and colours, which we are highlighting with our ‘Retro Colour Wall’. Muscle car fans are going to love it. A whole series of classic muscle car colours will be on display, from Ford,
Holden, Chrysler, and so on, such as a panel painted in the 1971 Falcon colour ‘Yellow Glow’, complete with GT stripes, and another featuring the ‘Silver Mink’ colour from the HK GTS Monaro.” “More than ever, the PPG Summernats stand is a great place to catch up with a PPG expert and discuss your needs. Whether you are a refinish professional, a custom painter or just planning your dream build, you can tap into their knowledge and advice. Best of all, whatever colour you settle on, you can take away full details so you have them for future reference. The PPG stand is super easy to find – just look for PPG Corner or follow the crowds!”
I-CAR announces Gold Class for Accident Repair Centre Dandenong I-CAR Australia Gold Class Coordinator Gary Wood recently announced that Accident Repair Centre Dandenong (ARCD), Victoria, has been awarded the prestigious I-CAR Gold Class Collision status. “The team at ARCD entered the Road to Gold program twelve months ago in order to meet the Holden requirements for their approved repairer network. They have been regular participants in the I-CAR online virtual classroom courses and training organised through their paint supplier, PPG. It is great to see another Holden repairer gain the Gold Class accreditation and continue to set high standards within the industry,” said Wood. “Accident Repair Centre Dandenong is delighted to have
1 0 – LO C A L N E W S
successfully obtained the I-CAR Gold shop rating. We have found the process both informative and challenging due to the changing vehicle structures, metals and repair requirements,” explained Theo Pagiamtzis. “The team at I-CAR, from the office staff to the instructors, has been helpful, supportive and have a
wealth of knowledge. We found the training a great team-building exercise. It has been educating, refreshing and extremely rewarding, both individually and as a company, to achieve this accreditation.” “Thanks, I-CAR, we will work together to maintain our current level GOLD,” concluded Pagiamtzis.
ALL TOYOTA GENUINE PARTS NOW REDUCED Toyota Genuine Parts are competitively priced to help you keep your costs down. And because there’s availability across the full range of vehicles, whatever Toyota you’re working on, you’ll get a perfect fit, first time. They’re tested to meet quality, safety, and performance standards, and all parts are covered by Toyota Warranty Advantage.* So make the right choice for your business, and use Toyota Genuine Parts. To find out more, contact your local Toyota Dealership. Toyota Genuine Parts, you’ll always drive with peace of mind.
*Toyota Genuine Parts/Accessories purchased at & fitted by a Toyota dealer to a Toyota vehicle which was purchased on or after 01/01/2019, are warranted for the remainder of that vehicle’s Toyota Warranty Advantage period, or 2yrs from installation (whichever is greater). Genuine Parts/Accessories purchased from, but not fitted by, a Toyota Dealer are warranted for 2yrs from T2019-013253 TOY1278 date of purchase. See toyota.com.au for T&Cs. This warranty does not limit & may not necessarily exceed your rights under the Australian Consumer Law.
- - - - - - - - - - - - L O C A L
N E W S - - - - - - - - - - - -
Holden Project Monaro – the home straight In the final stages of the project, Craig Lowndes met Rob Trubiani at Holden’s top-secret Proving Ground at Lang Lang in Victoria to see the finished Project Monaro for the first time. It’s come a long way since we first saw it at the Holden Design Studios in Port Melbourne: it’s been rebuilt and refined by Holden’s build partners using as many Holden Genuine and ACDelco parts as possible, along with some extra bespoke parts to really make it something special. Lowndes was absolutely amazed by the look of the finished car: “Wow, it looks absolutely brand new – I’m blown away. The finish is astonishing, and I can’t wait to see how it goes!” The wow factor came from the great work by Dominic Mazzeo and the team at B&A Motor Body Repairs, a member of Holden’s Certified Collision Repair Network. The fantastic work by PPG to create the special one-of-a-kind colour, “Panorama Blue Suede”, in the Envirobase HighPerformance Waterborne basecoat system was also a big winner. Trubiani has been refining and finetuning the Monaro and taken it through a mix of some of the standard Proving Ground tests to ensure everything is working as it should. “I actually validated the original V2 Monaros here almost 20 years ago now, and some of the tests we put Project Monaro through weren’t all that different to what we originally did on the Monaros back then,” he said. Holden made significant improvements in the “the Big 3” – Go, Stop, Turn. The original LS1 received a complete rebuild by Maurice Fabietti, who runs the ACDelco Pro Slammer Monaro. It was fitted with AP Racing brakes, similar to those fitted to the similar era HSVs, and the suspension was improved through one of their partners, Sachs Performance. The new hood scoops, front splitter, a fuel filler door and a lip spoiler, which were all re-imagined and re-designed, look awesome due to the work by HP-EVOK3D, Holden’s 3D printing solutions partner. The
1 2 – LO C A L N E W S
interior was fully refreshed by Sam Fisicaro from Auto Image Interiors, who re-sculptured some new bolsters to ensure the new trim in Project Monaro is perfect. And the range of interior and exterior bespoke instruments, plaques and badges was not lost on Lowndes. When Project Monaro hit the track, Lowndes was even more impressed. “How awesome is this car – it is seriously something special and it sounds great! I’ve had an absolute ball driving this around.” Lowndes was quick to acknowledge that the new Chevy Performance Pontiac GTO exhaust system from Eagle Auto Parts has really made an impact, and the grip and feel of the Bridgestone Potenza S007A tyres and new set of AP Racing 4-piston brakes was
something special. “I’d love to be in a position to take this one home – it really is a one-ofa-kind Holden Monaro,” concluded Lowndes. However, he can’t, but you can, because Holden is giving away this incredible prize to a lucky winner – a customer who purchases Holden or ACDelco genuine parts, including Holden Collision parts, under the Holden Trade Club program. More information is available for the trade at www.holdentradeclub.com.au. By the time we go to print, Project Monaro will have been revealed at the recent Holden Motorsport Trade Night, so look out for the big finish and all the great pics in the December issue.
- - - - - - - - - M O V E R S
A N D
S H A K E R S - - - - - - - - -
Martin Stone Managing Director, The Sheen Group WE RECENTLY MET WITH MARTIN STONE WHO SPOKE CANDIDLY ABOUT HIS BACKGROUND, HIS JOURNEY AND HIS BUSINESS ON THE EVE OF THE SHEEN GROUP’S 50TH ANNIVERSARY. NOT SURPRISINGLY, MARTIN STILL HAS AN EYE ON THE FUTURE. NCR: By way of introduction, take us back to where it all began. MS: Back in the late sixties, I was a recently arrived “ten-pound Pom”, and in those days it was not uncommon for people to have a second job. Mine was working in a Golden Fleece service station in the evenings. One day, a customer with a Mini Cooper S came in looking for someone to repaint the car. My brother and I knew Minis inside out, so we offered to do it for the grand sum of $250. This planted the seed of an idea. We then bought a second-hand compressor from a wrecker (we had painted the Mini using a foot-pump) and set ourselves up to repair cars in our mother’s garage in Ringwood. By late 1969 we had rented a factory – and that’s how Sheen got started. There was initially three of us: my brother David, Peter Simons and myself. We tried to register various combinations of our names but none of them were approved. So, one evening a group of us put suggestions in the hat and the one we pulled out was “Sheen for Shiny”. Then and there we decided on Sheen Panel Services. Over the years, people have mistakenly called me Martin Sheen, and even introduced me as such at functions, but I’ve long since given up correcting them.
Martin Stone (left) and business partner Blair Denys.
1 4 – M OV E R S A N D S H A K E R S
NCR: What was the driving force behind your expansion? MS: Very early in the piece we realised that the limiting factor was the number of pairs of hands we had, so it followed that if we had more hands,
- - - - - - - - - M O V E R S
we could repair more cars – and, of course, make more money. It was our version of economies of scale as we figured we could spread our costs across several shops. We thought it was the only way we could build a successful, sustainable business. We started the expansion in the mid to late seventies when we bought shops in Ringwood and Ferntree Gully, as well as buying a tow truck, which further accelerated our growth rate. Interestingly, I learned very quickly how competitive, ruthless – and at times frightening – the tow truck industry was back in the late seventies, especially when you’re only five foot five! However, we persevered and by the early eighties we had 25–30 trucks on the road. NCR: In hindsight, were there any real “sliding door” moments? MS: Without doubt, the most significant moment was the decision to expand. It was a “limit your income or grow your income” moment for us. My brother and I were still in our twenties and reasonably hungry so, whilst it was a sliding door moment, it was a no-brainer. NCR: What has been your biggest single challenge over the journey? MS: What tested us the most was creating a blueprint of what we produced and making it work on multiple sites. It was to be consistent across all sites with an expectation that everyone understood. So, we developed standard processes, and expectations of quality and consistency with the products and equipment we used. Now, it wasn’t easy but by standardising so much of what we did and how we did it, the result become increasingly consistent. We focused on how we write our estimates, as distinct to costing each job, to ensure we were able to deliver high quality work consistently. We even standardised how we presented ourselves to ensure we conveyed a consistency with our brand. NCR: Is it fair to say your relationship with insurers has been “frosty” at times? MS: When a commercial relationship
A N D
S H A K E R S - - - - - - - - -
Addressing the 2019 AFL Grand Final Lunch.
gets frosty, it’s the payer who is frosty; in this case, it’s the insurer. But this only happens when the payer believes they are being charged too much. In our case, we make the correct amount of money to ensure our customers receive the quality of repair they expect, maintain our equipment to allow us to deliver a consistent repair and to ensure our business generates a satisfactory return on investment. We make no apologies for that. This is the ongoing discussion as to what’s “fair and reasonable” and we will always fight to ensure we get paid for repairing a car the way it should be repaired. In saying that, we have marvellous relationships with some of the smaller insurers and today we have the best relationship we have ever had with IAG, although we are not one of their preferred repairers. NCR: So, what does the Sheen Group stand for and what has made you so successful? MS: Fundamentally, we stand for customer satisfaction! Everything we do is to ensure the customer leaves with the best experience we can deliver. We have repeat clients and even third and fourth generation clients. We keep them informed during the process, detail every car, and even add a small “thank you” gift when we return the car. We minimise complexity, keep it simple and invite our customers to provide a post-repair
rating via SMS and personal call backs. We have a 60 percent response rate and a net promotor score of +83. We are very happy with that. When we get unfavourable feedback, we address it and rectify it immediately. However, we ensure that when we do what we do, we have employee safety front of mind. Our staff are our greatest asset. NCR: Tell us a bit about your apprenticeship program. MS: Go back 15 years or so when TAFEs were closing down. My view is that, like many other trades, we just stopped training. We pondered what to do about it and although we tended to have a dozen or so apprentices across the business, we decided to really ramp it up about four years ago. We did a deal with Kangan, who have been absolutely superb in the systems they’ve put in place, including a person who oversees our program. We now have 55 to 60 young men and women on board and really going well. One of the reasons for the success is that we have all reassessed the way we communicate with the younger generation. Some of our apprentices have won some great awards, and there are even some who have completed their qualification faster than expected. We see these “young kids” as not only future technicians, but future panel shop owners. It’s our investment
The National Collision Repairer – 1 5
- - - - - - - - - M O V E R S
in the future, although we are prepared to acknowledge we should have ramped it up sooner than we did. NCR: You clearly have a passion for charity work. How did you come to be involved in Variety? MS: Back in 1997 I received a call from an old friend inviting me to involved in “a bash”. He said my job was to build a car while he kicked off the fundraising effort. The real challenge was that we were seven weeks out from the event. I was in Perth the following week and by sheer luck
Sheen Variety Bash team.
The 2019 Bash.
1 6 – M OV E R S A N D S H A K E R S
A N D
S H A K E R S - - - - - - - - -
I spotted an EH Holden with “Wally Gator” on the roof in a dealership – clearly a bash car! The owner was looking to sell it as he was no longer involved in the bash, so for $5,000 we had our bash car. At our first bash, which was in Tasmania, we were introduced to a young woman with cerebral palsy for whom the bash had raised funds to buy a wheelchair. When she told her story of how this changed her life, I was hooked. We’ve also been involved in
various other charities over the years, but we’ve raised over $4.5 million for Variety over the last 20 years, through the generosity of our key suppliers and other supporters. It’s been so rewarding to see the smiles on so many people’s faces over the years. However, it’s not just the individual that benefits, it’s the whole family support network that gets more freedom and flexibility when we fund, say a wheelchair or an assistance dog – it changes so many people’s lives. NCR: And you were awarded the Member in the General Division of the Order of Australia (AM)? MS: Yes, I am absolutely beside myself with pride as an adopted son to this great country. The recognition was the next best thing to happen to me after getting married and having children. The reasons were my contribution to charitable organisations and contributions to the collision repair industry. Due to our long-term commitment to training, you will find a Sheentrained technician, I believe, in perhaps 40 percent of the shops in Victoria. I also greatly appreciate the National Collision Repairer Lifetime Achievement Award earlier this year, and just last month I was awarded a Life Membership of Variety. NCR: Do you have a succession plan in place at the Sheen Group? MS: Blair Denys, my business partner of 30 years, and I, perhaps 15 years ago, pondered that very question. If we were to sell a business like ours, what would we get? If you are really lucky, 10 times earnings, although more typically, 3–5 times. There have been numerous approaches over the years, but then we thought the business could continue to evolve and continue for as long as we wanted it to. The business supports so many people, not just our family members, but our family of employees, especially those who have been with the company a long, long time. So, if we can continue to run it through my children, Adam, Ben and Erin, and Blair’s children, Lauren, Lana and Josh, why mess with it? We
- - - - - - - - - M O V E R S
provide guidance and support in the background these days, but our succession plan is well underway. NCR: What do you see as the biggest opportunities for your organisation today? MS: Expansion. Sheen is likely to grow to, say 40 shops over the next ten years. We’ve watched the changing landscape unfold in recent years and now, with AFCA and the “new VACC” under Geoff Gwilym, we see a stronger regulatory framework that
Bayswater - where it all began.
A N D
S H A K E R S - - - - - - - - -
gives us greater confidence. Our model is an equity model where the guy that runs the store has skin in the game. Under Australian law, we fall under the Franchising Code of Conduct, even though we own 60 percent of the businesses – go figure. Our challenge is finding sellers in the right location with realistic expectations and finding and retaining the right staff – a flow-on effect of the late start to our apprenticeship program. Whilst the focus has been
Melbourne, Sydney is not out of the question, although it will need to be a group of several shops to make it viable – we do have our feelers out. NCR: And a final message to your staff in Sheen’s 50th year? MS: You know, we have almost 400 staff members across the group, and what I want to say to them is – thank you! Thank you for what you have done, because without you we just can’t do it. We appreciate your effort, your consistency and your belief!
Celebrating 50 years.
Glasurit would like to congratulate Sheen Panel Service on reaching 50 years of quality service to the automotive smash repair industry. glasurit.com
The National Collision Repairer – 1 7
- - - - - - - - - - - G L O B A L
N E W S - - - - - - - - - - - -
Tradiebot features at Government Skills Conference in Vietnam As an emerging leader in digital automotive and trade training applications, Tradiebot was invited to take part in a joint Australian and Vietnam Government Skills Conference held in Vietnam on 23 October. Tradiebot joined a handful of innovation companies from across the world who took part in exclusive planning sessions on skills and training. The program, which was organised by the Australian Government, AusCham Vietnam, Austrade and WorldSkills Australia, was designed to tackle the needs for new programs and technologies used in early training and skill development of the current workforce. The conference was part of a week-long event hosted across two cities, Hanoi and Ho Chi Minh City, featuring government representatives, education providers and an array of workshops, conferences, expert panels and demonstrations of new technologies in areas such as virtual reality platforms, where Tradiebot showcased its new-to-market SprayVIS product. SprayVIS is the most technologically advanced, cost effective and compact virtual reality spray painting simulator on the market. The out-of-box plug and play solution developed by Tradiebot in Australia provides a new perspective in developing training using virtual environments. The solution comes with three user modes including Expo, Training as the main feature, and Learner, which is a light version software offered to schools as a platform to provide a direct connection to industry and stimulate interest in trades such as spray painting. Tradiebot is in the final stages of packaging its ReadyTradeGO program, which has the capacity to reach every school and home of students who have an interest in a career path such as spray painting or automotive repair. The program uses new smart devices such as virtual reality headsets, which are becoming more affordable and common in schools and homes around the world.
1 8 – G LO B A L N E W S
Tradiebot CEO Mario Dimovski also presented and took part in high level talks with officials from both governments and training providers, addressing the need to introduce new digital solutions for training and information delivery to the auto industry and how to better connect with the future workforce via the education network. “We enjoyed contributing to this program with the Australian and Vietnamese governments and the delegates from the training and education sectors. Our software solutions offer a new perspective in generating interest for the younger generation using these new digital tools that they can relate to, be it either via a mobile phone, smart tablet or a VR gaming headset. These are everyday devices that the younger generation are now growing up around,” said Dimovski. “We aim to promote trades as a pathway to a secure and prospective career choice as the need to repair vehicles increases, though the flow of
new apprentices is at a record low around the world. With technology in cars and repair methods becoming more complex, it is just as crucial to ensure that the technicians of today are equipped with the knowledge and understanding on how to carry out safer repairs and continually be upskilled in the ever-changing repair industry,” he concluded. This event is one of several exclusive trade missions and government related events over the next few months. Working with Austrade and other government organisations, Tradiebot will take part in an up and coming mission to India, meeting leading OEM manufacturers and visiting auto innovation facilities as they continue to explore opportunities to expand their unique technology software systems in virtual and augmented reality. Trips to the USA, Europe and the Middle East are also being explored in the next 12 months as Tradiebot strengthens its stature as a leading distributor in auto innovation solutions.
- - - - - - - - - - - G L O B A L
N E W S - - - - - - - - - - - -
PPG’s NZ Training Centre co-stars at Supercars Drivers Night As the Pukekohe crowd roared its approval for Scott McLaughlin’s record breaking 17th win in the 2019 Supercars Championship, it marked the climax of an epic weekend for many PPG customers. On Thursday evening, the race weekend had kicked off with another awesome PPG Supercars Drivers Night, which saw around 140 customers take the unique opportunity to rub shoulders with star drivers from the Supercars Series. Once again, PPG’s refinish headquarters in Auckland provided the venue for the hugely popular pre-race event, but this year it, too, was on show. In early 2019, the PPG Auckland Training Centre opened its totally revamped facilities, including a new booth, double prep bay, tint/mixing room and other state-of-the-art equipment. Many customers arrived early and took the chance to have a closer look. While everyone came away very impressed with the excellent new training resources, what they really came to see was their Supercars heroes. And it was not just Scott McLaughlin. He was joined by his DJR Team Penske teammate, Fabian Coulthard and 11 other drivers from teams who choose PPG paint to protect their cars and keep them looking great in the rough and tumble of racing – Nick Percat and Tim Slade (Brad Jones Racing), Simona De Silvestro and Andre Heimgartner (Kelly Racing), David Reynolds and Anton de Pasquale (Erebus Motorsport), Todd Hazelwood (Matt Stone Racing), Scott Pye and James Courtney (Walkinshaw Andretti United) and Cameron Waters
and Chaz Mostert (Tickford Racing). Where else do you get to hang out with 13 star drivers all in one spot? The evening began with a buffet dinner at 6.30pm before the drivers arrived and, after spending time mingling with the crowd, chatting and having photos taken, they were invited up on stage for an amusing and informative Q&A session with event MC Craig Lord. For any red blooded motorsport fan, it was the perfect start to a memorable weekend! For more information on PPG training courses or to book a course, speak to your Territory Manager, your Training Manager or call (NZ) 0800 477 487.
VW to tighten up structural repairs in 2020 In a recent letter to Volkswagen certified collision repair facilities in the US, from January 2020 Volkswagen will require proof that a collision repairer is qualified to perform certain side-impact repairs before it will sell the associated parts to that repairer. Volkswagen didn’t spell out precisely which parts would be restricted, but the section describing the change speaks of “B-pillar parts restrictions” and repairs to vehicles involved in a “side-impact collision”. “Repairs of vehicles involved in a side-impact collision require unique equipment and a highly technical repair to safely restore the vehicle to its prior condition,” according to the letter from both VW wholesale parts senior manager Dan DuCharme and wholesale operations manager Bill Garrett. “As a result, we will begin restricting some of the parts associated with this repair to ensure the correct repair process is followed.” Shops won’t be able to buy the restricted parts without providing “repair plans, test welds, documentation of training, and evidence of properly-calibrated VAS welders to a thirdparty auditor for approval.” Parts restrictions typically occur at luxury repairers. The Volkswagen move is noteworthy in that it shows a massmarket OEM willing to sacrifice potential parts sales to give consumers better repair quality and strengthen certified shops. “These program changes are a clear demonstration of our commitment to our customers and the trust in our network
of VW CCRFs,” wrote DuCharme and Garrett. “As always, we greatly appreciate your continued commitment to standards of safety, quality, and customer satisfaction.” In addition, from January 2020 Volkswagen US advised its consumers and certified collision repairers that they will provide VW owners a free tow to the nearest certified shop regardless of whether the Volkswagen is still under warranty. “Our goal is to ensure that all Volkswagen customers have access to a Volkswagen certified facility,” concluded DuCharme and Garrett. This article courtesy of John Huetter of Repairer Driven Education (RDE). Check out their website at http://www.repairerdrivennews.com/ for this and many other informative and educational articles on the collision repair industry.
The National Collision Repairer – 1 9
- - - - - - - - - - - G L O B A L
N E W S - - - - - - - - - - - -
Daimler AG adopts principles for dealing with artificial intelligence From production to the product, from sales to the legal department, artificial intelligence (AI) opens up new ways for the automotive industry to further improve the customer experience and make processes more efficient. To make responsible use of these opportunities, Daimler AG is the first automotive manufacturer to establish principles for handling AI. "Responsible use", "explainability", "protection of privacy" and "safety and reliability" are the four guiding principles according to which the company develops and uses AI. "Our four principles for dealing with artificial intelligence create a clearly defined scope for action. We thus make it clear that the human being will remain the pacemaker of technical progress," said Renata Jungo Brüngger, member of Daimler AG’s board of management and spokesperson for integrity and legal affairs. "The principles are not mere theory, but are practical and responsible guidelines for day-to-day use," she added. An inter-disciplinary team that included experts from Development, IT and Legal Affairs developed the four principles for dealing with artificial
intelligence at Daimler, to take into account technical, legal and social aspects. Behind the principle of "responsible use" is the maxim that the opportunities and effects of AI must be carefully weighed up. The use of AI at Daimler is therefore preceded by a transparent assessment process. Will products, services and processes actually become faster and more efficient with AI? What are the benefits for different target groups? These questions are examined during a riskbased technology impact assessment. Responsible use of AI also means creating a high-quality, representative database. This requires that the data used must take the factors relevant to the application into account, which in turn fosters fairness and inclusion. The principle of "explainability" creates the transparency necessary to have trust in new technologies. Customers and employees of Daimler AG must be able to recognise when they come into contact with AI, for example through information in the general terms and conditions, or by direct messages in the system. The principle also stands for comprehensibility: it must be clear which parameters are included in data
analyses. This makes it easier to evaluate the results of AI-based calculations and avoid unwanted bias. With the principle "protection of privacy", Daimler is reaffirming that data protection is a feature of quality for the company. The user must have control over access to and use of their data, as is the case with the MBUX multimedia system. Artificial or anonymised sets of data are used where possible when testing and training AI. The principle "safety and reliability" means that Daimler’s high-quality standards also apply to applications in the digital world. The company develops and tests AI to the latest scientific and technical standards. The basis for this is conscientious training of learning systems, the use of scientifically validated algorithms and up-to-date technologies. The AI principles are part of a comprehensive approach for the responsible handling of data at Daimler. Alongside a guideline for data and a data-related compliance management system, this includes a culture that sensitises employees to the importance of data. In this way, Daimler is shaping the mobility of the future in a proactive and legally secure way.
BASF strengthens automotive refinish business BASF has acquired a majority share of the internet platform UBench, with offices in Turnhout and Geel, Belgium. Both companies have agreed not to disclose financial details of the transaction, which includes UBench International NV, CarRoll BVBA and DLight BVBA. Regulatory approvals are not required. BASF says the transaction strengthens the market position of its automotive refinish business. UBench continuously advances the development of its in-house internet platform and manages the service portfolio for various customers in the automotive aftermarket, such as leasing companies, insurance companies, car manufacturers and companies with large fleets. UBench provides accident management and claims handling services, as well as a variety of procurement and other services. “The transaction reflects BASF’s strategic and long-term commitment to grow in the refinish business beyond premium paint and to enhance customer experience,” said Dirk Bremm, President of BASF’s Coatings division. “UBench is a collaborative digital platform business that increases our portfolio by providing service solutions,” said Katja Scharpwinkel, Senior Vice President BASF Automotive
2 0 – G LO B A L N E W S
Refinish Coatings Solutions Europe. “By connecting all players in the automotive aftermarket industry, we strengthen our position in the fast-growing automotive service segment.” UBench will continue its current activities as a standalone business under the umbrella of the newly established UBench BV. Peter Verbraeken, Founder and CEO of UBench, will hold a minority share, supporting consistency and future strategic development of the business.
YO OUR CO OL LLISION I PA AR RTS SPECIAL LIST TS ACM Parts is a nationwide supplier of high quality recycled, independently certiﬁed and Original Equipment Manufacturer (OEM) parts arts to Australia’’s automotive repair industry. With sites throughout Australia, our vision is to be the repair pair industry’’s ﬁrst choice for automotive parts and to raise the industry standard on safety, quality and affordability of parts for repairers and consumers. We offer o our customers an easy, fast and cost effective solution for sourcing parts.
1800 226 727
Minutes with ...
- - - - G L O B A L
N E W S - - - - -
Axalta redefines digital colour management
Neil Pike Capricorn When did you join the industry? 2015 What was your first job in the industry? Working for Capricorn What do you do now? Work for Capricorn What do you like about the industry? All the different people you meet What don’t you like about the industry? Not much – it’s pretty much all good What music do you like? Pretty much anything except classical or country
Axalta is redefining what’s possible for car repair body shops of all sizes by helping them increase their efficiency through digital technology. Axalta’s Digital Colour Management uses a cloud-based colour management system that enables body shops to handle the entire colour retrieval and colour mixing processes, not only completely digitally, but also 100 percent wirelessly – something that is unique to Axalta. Instead of matching colours by eye, with Axalta’s Digital Colour Management refinishers simply take colour readings of a vehicle’s paintwork using Axalta’s digital spectrophotometers, which wirelessly send the readings to Axalta’s constantly updated online global colour database. The best match can be selected on a smartphone or a tablet and sent via WiFi to an IP scale for mixing the colour formula. Labels and other printouts can also be handled wirelessly. A PC can still be used in the mixing room, but it is no longer required. In addition, thanks to the wireless data exchange between connectable devices, everything can be accessed by everyone in the same body shop network. There are also other online functionalities like stock management, paint shop management and e-ordering, as well as the ability to connect with many
Your Favourite Artist? None really come to mind Your favourite food? Indian Your favourite drink? A cold beer Your hobbies? Running Who in the world would you most like to meet? Richard Branson
PROUDLY SPONSORED BY 2 2 – G LO B A L N E W S
other digital management systems used in the body shop. Adrien Schrobiltgen, Vice President of Axalta’s refinish business in the Europe, Middle East and Africa region, said: “Axalta’s Digital Colour Management is the pinnacle of our digital services that help body shops be more accurate, more efficient and more profitable. And the premise is simple: the whole colour management process is carried out with our digital and wireless technologies using only a smartphone or a tablet. Colour chips, cables and PCs are a thing of the past.” Axalta has a long and proven history of driving innovation in modern colour management and recently marked the sale of more than 50,000 spectrophotometers globally. “We are delighted that Axalta is the only company to provide the option to carry out the entire process digitally and wirelessly. We are giving our refinishers the right tools to place them at the cutting edge of the digital transformation that's happening in the refinish industry today, which in turn will help them achieve a solid competitive edge,” concluded Schrobiltgen. For more information about Axalta and its Digital Colour Management, please visit www.axalta.com.au/DigitalColour Management.
CAPRICORN TRADE ACCOUNT Fewer bills to pay, less paperwork!
“What did we do before we joined Capricorn? Spent lots of time sourcing different parts and paying different bills. Now, with our Capricorn Trade Account, we get instant credit to use with so many Preferred Suppliers – including the biggest names in the industry – plus the convenience of having just one statement to pay each month. We even earn reward points with our purchases – which we’ve redeemed for some great holidays with Capricorn Travel!”
SVS Autocare - Capricorn Member
JJoin oi n C Capricorn ap ricorn ttoday. od ay. c ap r icor n .co op 18 1800 00 5 560 60 5 554 5 4 | email@example.com oi n @ c ap r icor n .co op | capricorn.coop
Members initially join Capricorn on a trial basis. After successful completion of the 12 month trial period and having met the minimum required spend of $12,000 p/a, they may become full Members through the purchase of shares. Members are not elligible to earn/redeem reward points during the 12 month trial period.
- - - - - - - - I N D U S T R Y W I T H
I N S I G H T - - - - - - - - - B A R R Y
E D N E Y
EVs are coming! No really, they are IN THIS ARTICLE, BARRY LOOKS AT THE RISE OF THE ELECTRIC VEHICLE IN EUROPE AND DISCUSSES SOME OF THE ISSUES AND OPPORTUNITIES, GIVING US HERE IN AUSTRALASIA A GLIMPSE INTO THE FUTURE OF MOTORING. We have been saying this for quite a while now, especially since Tesla began leading the charge, proving that electric vehicles (EVs) were a real option. Tesla have talked a big game but, in reality, they have been a niche player, selling high performance luxury models to those with the ability to finance the upfront costs. The speed of change is now accelerating globally, with more affordable models being launched (Tesla Model 3 included), charging networks expanding and governments in the EU, the UK and China driving the growth of EV fleets to replace carbon emitting fossil fuel burners. Given that EVs are here to stay and will eventually become the mainstay of the vehicle parc worldwide, I thought I would look at the likely impact of this change for drivers, the auto makers and the aftermarket.
2 4 – INDUSTRY INSIGHT
Background Once Tesla proved that electric cars could be stylish (while still looking like a good car), had great performance and were a viable alternative to fossil fuelled vehicles, acceptance levels grew. Up until then, eco-friendly cars always looked to me a little odd or futuristic in design, often being lightweight runabouts with no real kerb appeal or weird futuristic designs. Maybe I’m showing my own prejudices here, but quite frankly the Toyota C-HR looks like the Batmobile and the Renault Twizy is just odd! Since then, volumes of EVs and plug-in hybrid electric vehicles (PHEVs) have grown steadily, originally being led by early adopters, car geeks and some who were prepared to invest in reducing their carbon footprint. Now, EVs are ever more mainstream, particularly so now that there is huge pressure on the major economies to do
more in reducing emissions, reduce the consumption of fossil fuels and proactively reduce pollution levels in the major cities. This requires not just a reduction in the number of fossil fuel cars sold, but a real reduction in the number on the roads. We can see this change reflected in the UK, where targets have been set to stop the sale of “non plug-in” vehicles by 2040, with the expectation that there will be an increase from 200,000 EVs now to 10 million in 10 years (24 percent of the current car population). In the EU, vehicle emissions targets effectively mean the end of sales of conventional fuelled and standard hybrid cars by 2035. The city of Amsterdam has gone a step further and plans to ban all petrol and diesel burning vehicles by 2030. China is targeting 60 percent of all auto sales to be of electric vehicles by 2035 and is setting up a timetable to phase out sales of fossil fuelled cars completely. As China is the largest auto market in the world, the impact on global numbers will be significant. With all the major manufacturers offering an ever-increasing choice of models and price ranges, EVs are becoming mainstream. It’s estimated that there will be almost 100 new models introduced globally between now and the end of 2022, with GM alone bringing 22 EVs to market. These new models aren’t just limited to the mass volume brands either. Australia currently has 22 PHEV models available and this is expected to increase to 31 within a year. Expect to see pure electric or PHEV models from the likes of Bentley, Lamborghini and Ferrari, as well as new niche brands such as Faraday and Polestar.
- - - - - - - - I N D U S T R Y
Adoption and expansion One of the key drivers in this rapid expansion of models, availability and expected lower prices is that European car manufacturers in particular will face a wide range of assaults on their profits and reputations in the coming years. They face an imminent recession in the Euro zone, tariff wars with the US, Brexit impact, R&D costs for new technology and the threat of massive US and EU fines for the diesel emissions scandal. Unconfirmed reports suggest that the EU will use the money from fines to finance the expansion of EVs. Auto makers initially expected to make healthy profits from early adopters, but the likes of VW will be under pressure to rapidly ramp up EV sales to meet the obligation to lower the average CO2 emissions of its entire fleet. This focus on high volume sales will certainly help keep prices closer to that of conventional fuelled cars, further encouraging the switch to EVs. To support this growth in sales, fast charging networks are expanding rapidly. BP, for example, recently acquired Chargemaster, the UK’s largest charge network, and is now investing heavily to bring rapid charging points to BP forecourts across the UK. In China, BP has teamed up with DiDi, the ride hailing app, to provide the technology to support drivers, guide them to the charging points, and provide a better experience for drivers. In the US, VW has created a spin-off company called Electrifying America through which it will invest $2 billion to build charging infrastructure as part of its settlement with the US government over its diesel-emissions cheating scandal. As well as VW’s venture, there are other companies developing charging stations, and the current estimate is that there are around 22,000 charging stations with over 65,000 outlets across the US. Australia is seen as a bit of a laggard in the adoption of EVs compared to other mature economies, although this is beginning to change. EV sales are increasing and investment in new charging infrastructure in national, state and
I N S I G H T - - - - - - - - - -
regional projects announced by the private sector, motoring groups and local governments is progressing. A recent report by the Electric Vehicle Council puts the number of charging stations across Australia at 450, with a total of 1,930 outlets. So, what will EV motoring be like? Only now that numbers are growing can we get a feel for the way the motoring experience will really be affected. The most immediate concern most people think of is potential range issues and the challenge of recharging quickly. It’s not just a matter of filling the tank and driving away, although you are able to “re-fuel” an EV or PHEV at home, which is not possible with a fossil fuel vehicle. Current EVs have a range of between 350 and 500 km and as battery costs come down, this range will improve. In Australia, the average daily usage is only 38 km, so an EV user would only need to recharge once every 10–12 days, depending on the range of their vehicle and, of course, home charging is a real option for these drivers and
far easier than a trip to the “servo”. For longer journeys, more planning and thought will be needed. A friend of mine regularly drives from his home in the Netherlands down to Barcelona in Spain. This is a 15-hour run, about the same as a drive from Melbourne to Coffs Harbour. He would usually take two overnight stops on this trip. Since he started driving a Tesla, the only change he has had to make is to ensure he selects an overnight stop with a charging point. So, even for a long journey, no real change, just some advance thought. Affordability and repairability In terms of affordability, the running costs are very low, offsetting the high upfront costs. Many governments are offering incentives and tax breaks, which makes the initial purchase that much less painful. The biggest saving in running costs is in re-charging. According to the Electric Vehicle Council, electricity costs for a vehicle driven 15,000 km annually are around $600 per year ($0.04/km) compared to around $2,160 on petrol per year ($0.14/km).
EV growth in Oz.
EVs in Oz.
The National Collision Repairer – 2 5
- - I N D U S T R Y
Another contributor to the low running costs is the much-reduced maintenance as there are fewer moving parts. The regenerative brakes that use the motors in reverse to recharge batteries lead to much reduced use of friction materials and there are no transmissions or engines to service, saving brake pads, filters, lubes, spark plugs and a variety of other parts. For collision repairers, there are likely to be some considerable changes in the way vehicles are handled and repairs are managed. Although structurally different, over the years our industry has been pretty good at adapting to new materials, construction methods and repair techniques, and I don’t expect the experience with EVs or PHEVs to be any different. The main challenges for repairers will be learning to handle the large power packs safely and easily, the control systems, motors and transmission assemblies. The power packs are extremely heavy, so how are they safely removed and reinstalled? It is essential not to overheat the batteries, so when do you remove them and when do you repair with them in situ? Do you always remove them? How do you store them? What if they are damaged in the collision? And so on. In Europe, the manufacturers are only allowing the repair of EVs and PHEVs to be done by their repair networks, but as their numbers increase, more of these vehicles will be repaired by the independent repairers, and once again it will be up to individual businesses to develop new skills and to invest in any specialist equipment that is required. The change in maintenance requirements is likely to have a serious impact on the amount and type of work conducted by the aftermarket in
2 6 – INDUSTRY INSIGHT
I N S I G H T - -
ten or twenty years. With fewer mechanicals to take care of, the focus will be on electrically powered heating/aircon, power steering, management systems, communications systems, software updates, battery replacements and collision repairs. I don’t believe that EVs themselves will be a threat to the collision repair industry in terms of numbers, but the increasing number of accident avoidance systems and autonomous functionality on the latest vehicles will likely reduce the number of damaged vehicles in all markets. Of course, we’re already prepared for that … right? So what? The additional consumer choice, expanding charging networks and a better understanding by consumers of the real cost of operation, means that reasons not to buy plug-in vehicles are fast diminishing. For me though, the real test will be in 5–8 years’ time when we look at some of the used models on the market. In 2026, will a 2019 Nissan Leaf be an attractive proposition to buy, maintain and operate reliably? With most manufacturers offering 10 year, 160,000 km warranty on batteries and the cost of batteries coming down all the time, buying a used EV and installing new batteries is looking less threatening than it did a few years ago. Notably, if the used market doesn’t work, then EVs as a mainstream option will not work. Think about it. Barry has extensive collision industry experience across Australasia, Europe and Asia Pacific. He is currently located in the UK and can be contacted on firstname.lastname@example.org
Perfect erfect Partner... Full Solution!
For or further information contact our friendly customer service team. Phone: 1300 742 123 or E-mail: email@example.com
- - - - - - - - - I N D U S T R Y
E V E N T - - - - - - - - - - - -
A great finish! PPG’s national colour matching competition The 2019 PPG Colour Matching Competition was run at the Kangan Institute’s Automotive Centre of Excellence (ACE) at Docklands in Melbourne. The facility is an ideal venue for such a prestigious event, with the contestants supported by their TAFE teachers and mentors from Australia and New Zealand, the various representatives from PPG, of course, and teachers and department heads from the ACE. Michael Mavrikakis, Head Teacher at the ACE, said, “It is such a thrill to be able to host this event for the first time in all the years I’ve been here. PPG does such a great job fostering this next generation of talent.” Following a series of regional competitions throughout 2019, the grand finale of the PPG Colour Matching Competition involved the best-of-the-best from each state and territory, together with the national
All competitors prior to the event.
2 8 – INDUSTRY EVENT
champion from New Zealand. After matching a solid grey colour in the one-hour time limit, contestants moved to the more challenging metallic blue colour, and as the contestants varied from first year to fourth year apprentices, the results reflected the level of experience. The judging criteria included: accuracy of the colour match on both the face and the flip; the time taken; the number of “moves” required; cleanliness; organisation of the work area; paint usage; and, of course, work safety. The three judges were renowned WorldSkills judge, Carl Tinsley, Head Teacher at Campbelltown TAFE; Richard Harvey, Colour Technologist from PPG; and Manny Grillo, Colour Auditor and Consultant, also from PPG. Judging, of course, was done “blind” (spray-out cards are numbered, not named), so the panel of judges did not know whose panel
they were assessing. When the event was over, I spoke with first year apprentice, Jesse Pieterse from New Zealand. “Under the pressure of the competition it’s easy to miss little things, such as cleanliness of the workplace and taking the time to make smaller moves. However, it’s been a great experience – I’ve had a lot of fun.” I then spoke with 29-year-old third year apprentice, Jarrah Moon from Western Australia. “This really is a step up from state level and such an awesome experience. The facility is fantastic and so well laid out. I’m so glad I left uni to come to TAFE and carve out a career indulging my passion for cars.” After the pressure of competition, PPG gave the contestants an opportunity to get hands-on with air brushing, something to which they would have little, if any exposure. It was
- - - - - - - - - I N D U S T R Y
a great way to unwind and enjoy the rest of the afternoon before the formal announcements late that evening. It’s important to recognise that, while the nine contestants who gathered at the ACE were the focus for the final, the very high levels of interest and engagement around Australia and New Zealand during the year ensured that the 2019 PPG Colour Matching Competition was an outstanding success. “We’ve been running this event for decades now, and it’s still so great to see so many technicians take the valuable opportunity to further
Manny Grillo and Marissa Tasios.
It's all happening.
E V E N T - - - - - - - - - - - -
develop their colour matching skills and then test themselves under the pressure of competition,” said Duncan McDonnell, National Sales Manager, PPG Refinish. Editor: Congratulations to PPG once again on an extremely professionally organised and run event. The next running of the PPG Colour Matching Competition has already been announced and is scheduled to start around the second quarter of 2020. Places are limited, so speak to your training provider for event timetables and entry details.
Noah Tamala from Queensland.
The winners are ... Competitors, mentors and PPG staff all gathered for the eagerly awaited presentation dinner where it was announced that the winners were: First place: Jarrah Moon from Western Australia, who received an iPad Air, a SATA Vision 5000 Hood and a Mirka DEROS sander. Second place: Aiden Bail from the Northern Territory, who received a Nintendo Switch with Super Smash Bros Ultimate game and a Mirka DEROS sander. Third place: Maxine Colligan from New South Wales, who received a Ultimate Ears Bluetooth Speaker and a Mirka DEROS sander. All the finalists (listed below in alphabetical order) are to be congratulated on a hard-fought event. For winning their way to the final, they received a SATAjet X5500 spray gun, which was presented at the gala event. Daniel Chandler, Victoria Lachlan Moseley, South Australia Jesse Pieterse, New Zealand Blake Snow, ACT Noah Tamala, Queensland Damien Wing, Tasmania
Maxine Colligan, Jarrah Moon and Aiden Bail.
The National Collision Repairer – 2 9
- - - - - - - - - - - - - - - O P I N I O N - - - - - - - - - - - - - - W I T H
J O E
M C F A D R I E S
The AMA Group
The acquisition of Capital S.M.A.R.T and ACM Parts NOW THAT THE DUST HAS SETTLED, WE TAKE A CLOSER LOOK AT THE ACQUISITION FROM A STRATEGIC, STRUCTURAL AND OPERATIONAL PERSPECTIVE AND HEAR FROM GROUP CEO, ANDY HOPKINS. By the time we go to print, we will have passed the target date for AMA Group’s unconditional acquisition of 90 percent of Capital S.M.A.R.T and 100 percent of ACM Parts from Suncorp. Whilst Suncorp’s divestment of these businesses has been on the cards for some time, the buyer was far less certain. It is our understanding that the AMA offer was finalised at the eleventh hour and, clearly, was an offer too good to refuse. We spoke with AMA Group and Group Chief Executive Officer Andy Hopkins, who said: "We have been planning the integration of S.M.A.R.T since the bidding process commenced in the event we were successful. We have a dedicated integration team to manage the transition, which is made slightly easier by the fact that S.M.A.R.T will be a stand-alone business within the AMA Group.” At an enterprise value of $420 million for Capital S.M.A.R.T,
The new Chatswood facility.
3 0 – OPINION
representing a multiple of 20x 2019 EBITDA (earnings before interest, taxes, depreciation and amortisation), there is no doubt Suncorp will be particularly pleased with the transaction. Of course, AMA must also be pleased as they have paid this amount, although they will be relying on synergies to realise the full value to their business. One industry source suggested that Capital S.M.A.R.T’s 2019 profit was abnormally low and that the multiple “on a normal year” was closer to 14x EBITDA – I would suggest even this is on the high end, unless, of course, AMA is banking on realising even greater synergies. Notwithstanding this reliance on synergies, Hopkins added: “There is no reason to re-invent the wheel. S.M.A.R.T's management and operation won't change, and one of the attractions of the acquisition is that they have a great model and our business can learn from it.”
One thing we do know from decades of research in the corporate sector is that over 70 percent of acquisitions fail to realise the projected synergistic benefits. This, I am sure, will be front of mind. AMA Group has been on a clearly defined growth by acquisition strategy for some time now and has even been bold enough to state their intention become an ASX 200 company and reach $1 billion revenue by FY2021. This most recent acquisition takes them significantly closer to this goal, with combined 2019 revenue in excess of $900 million – the key going forward is to retain this revenue stream. Should AMA Group become part of the ASX 200, it means that fund managers that track the index will be compelled to include AMA Group in their portfolios. This, of course, fuels demand for the stock, although it also means that the group must satisfy specific conditions to qualify to be included on the index. Conditions related to liquidity of the stock, market capitalisation (the market capitalisation cannot include large strategic holdings or issuing of new shares) and stronger governance all imply there will be many more eyes on the performance and conduct of the organisation. Good corporate practice, of course, is to develop your strategy, create your structure and fill the key positions with the right talent. With the strategy well underway, the recent structural changes at board and executive level are specifically designed to bring both industry experience and intellectual horsepower
- - - - - - - - - - - - - - - O P I N I O N - - - - - - - - - - - - - - -
to the team. It is self-evident that following such a significant acquisition, the new team will have every opportunity to display their individual and collective talent. One thing is certain: the stock market and we at the coal face will all be watching. Whilst this is all very interesting at a group level, what really matters to us is the impact on the collision repair landscape. However, this requires pulling together disparate information to create an overall picture. Let us first look at the size and share of the new entity. The combined panel revenue now looks like $850 million, based on a reported $530 million in the AMA Panel Division and an estimated $320 million in Capital S.M.A.R.T Although it has been suggested that the market size is $7 billion, I stand by my estimate that it is closer to $5 billion, which implies a combined market share of revenue of 17 percent. However, when we look at the
Call 1300 007 650
number of repairs, it shows a somewhat different picture. Industry sources suggest that the Group’s combined total will be 300,000 repairs, with S.M.A.R.T adding 170,000 repairs to AMA’s estimated 130,000 repairs. With approximately 1.2 million repairs annually, the market share is estimated to be 25 percent. This implies the average repair cost at AMA is $4,100, whilst at S.M.A.R.T it is $1,900, which, of course, is consistent with the type of work on which each organisation focuses. Of course, there are other operational aspects to consider, and arguably the most important is cultural fit. Whilst it is often difficult to define “culture”, AMA states there is “a very strong cultural alignment”, although several sources suggest that there are more cultural differences than similarities, which in turn suggests that one of AMA’s early challenges will be staff retention. To this point, Hopkins said: “The combined entities will be
great for staff in terms of career progression and the opportunities and benefits that come from two professional, complementary businesses coming together.” In addition, relationships with strategic partners are likely to be tested as suppliers consider the consequences of the transaction. Insurers and paint suppliers spring immediately to mind, although these are likely to be transitional as the entities come together. "We see this as positive for insurers in terms of the benefits of greater scale across the Group, and a seamless transition for Suncorp policyholders who require a quality repair and want to get back on the road quickly,” concluded Hopkins. It is clear that AMA has much to do to bed-down such an important acquisition, and it is equally clear that the leadership team is under no illusion as to what is required of them. For now, watch this space.
© Saint-Gobain 2019: Norton and “Reshaping Your World” are registered trademarks of Saint-Gobain Abrasives.
- - - - - - - - - - - - - T H E W I T H
J O H N
C A R
G U Y - - - - - - - - - - - - -
M c C O Y - L A N C A S T E R
If I could turn back time
Ouch - this one hurt David Reynolds. Where to from here!
It’s time for an update on the pinnacle motorsport category as we see it in 2019. Let’s take a little moment to reflect on the recent events that happened at Bathurst and the Gold Coast for the Virgin Supercars. Some may say the results for both events were absolutely predictable – and yet we stared at the television screen (small or large) or went to the events to check out the festivities. Bathurst and the Gold Coast certainly brought races of heartache and jubilation. The results showed a continuation of this year’s dominance from one team and one driver in particular. Scott McLaughlin is an incredible talent from this part of the world, and he is already being compared with the best in Formula 1, Lewis Hamilton. McLaughlin consistently demonstrates a close affinity with his car and a skill that not many on the global stage can demonstrate. He was able to wrestle the car to the controversial win at Bathurst in fine form for another close result. There can only be one winner and, with a string of Holdens, Nissans
3 2 – THE CAR GUY
and other Mustangs behind him, there was bound to be some response to his further dominance. The numbers that came up also told the story. It has been 25 years between wins for DJR Penske and the team has come a long way in the past few years. Many say they deserve the win. The new lap record set on the Saturday at Bathurst was right out there on the edge. With the changes in the rules and the cost reductions being introduced into the sport from 2020, it is likely that we will see that record stand for some time. We can say it was a team result, but the team very nearly lost the Bathurst Crown with the tactics employed on the day. It is interesting to see how Australian motorsport became part of the conversation for the general population when “newsworthy” accusations started flying. And even more so when the largest fine in our sport’s history was handed down a week later. Suddenly, it seemed everyone was talking about the drama of the moment, rather than the level that the sport has achieved,
Penrite working overnight.
and how a single decision can bring that all down. Every one of these events is now won by strategy. It not only takes a fast driver and a great car; it also takes the sharpest minds and the best decisions to bring home the win. External decisions outside of the main competitive cars were the calls that either gave or took away the chance to be on the winner’s podium at the end of each day. Motorsport has again demonstrated that the whole team, from the driver, the engineer, the pit-crew and all the way up to the team owner, need to be aware of the facts of the moment and make the appropriate choices. As an example, at Bathurst it was down to the decisions of Roland Dane at 888 Racing with Shane Van Gisbergen or Jamie Whincup. Dane
- - - - - - - - - - - - - T H E
elected to not put tyres on for the final dash to the finish and Whincup was no longer able to fight for the win. And then with Roger Penske with the Ford Mustang influencing the thinking of the team manager to reduce the speed of the second car with Fabian Coulthard and deliver a heavy blow to anyone behind. The resulting fine and loss of 300 team points for DJR Penske a week after the event certainly put a damper on the outcomes in the championship. However, it isn’t just the points or the fine. It was obvious when all the teams rocked up to the Gold Coast that something was different. This is a category where there has been a level of competitive friendship amongst the teams. They will often travel together to get to the interstate venues. While some of that continues, there has been a lot of emotion as this year’s events roll on to a close. We now have a few races left to the end of the year, including the last of the Endurance races at Sandown and the big Grand Finale in Newcastle. What will be the choices that everyone makes, and how early will Scott McLaughlin winning the Driver’s Championship be recognised? When looking through the changes in the category coming along with new rules, new aero requirements, new engine specifications, and new drivers, many could see that 2019 would be a year of the changing of the guard. There are several major changes happening in the pits. Gary Rogers will not be turning up with any cars for the 2020 year. There have been so many funny moments and great inspirations that Rogers has provided over the years, and he will be missed. We will still see him with other categories, and some of those could become Australia’s pinnacle motorsport categories of the future. Scott McLaughlin has been earmarked to become a member of the global Penske empire. Will we see him depart in 2020 to head overseas? He has openly stated his ambitions, and now having ticked off a win at Bathurst, that was all he wanted to win in the South Pacific. He is still a young man and the world is his oyster.
C A R
G U Y - - - - - - - - - - - - -
It would be a shame to see him go. We also have those that are approaching, or have reached, the age of moving on to other things. At the moment, with the license changes happening all over the place, there are several new young drivers coming into the championship – with new names to remember and new skills to shine. The Kellys are going to have a two-car team driving Mustangs (with the Nissans effectively gone), Irwin racing will be running a second car alongside Mark Winterbottom, and there will be a merger with Tekno Autosports at Sydney Motorsport Park with James Courtney coming back to his home town area. Currently we are looking at the pinnacle motorsport category in Australia having a maximum field of 24 cars. The racing will continue to be tight and the time is now for the re-negotiation of the television rights. That will bring new sponsorship opportunities and potentially new colours to wear.
As the year rolls to a close, we are likely to see more great racing, more safety cars, more news to come through. As the race for the Driver’s Championship is all but wrapped up, who will be in second and third? And who will get the team championship this year? Remember that the team that gets the highest number of combined points gets the first two pits – and this is now highly sought after. The racing is not over, the spectacle continues. If you haven’t got your tickets to the last races for the year, get out and grab some. The emotions are high, and the action will go to the final race in Newcastle. The outcomes may be predictable, but the way they get there is still highly entertaining. John’s love of custom and restored cars has seen him become an industry leader in the activities of car clubs and automotive enthusiasts across Australia and around the world.
Kelly's NIssan looking retro.
Bathurst Wildcard - The internationals who came, saw, and wanted more.
The National Collision Repairer – 3 3
- - - - - - - - - - - - - - T E C H W I T H
R O B I N
T I P S - - - - - - - - - - - - - T A Y L O R
Optimising body shop layout and design Robin Taylor shares a lifetime of experience There are many different ways to design a body shop. While everyone has a different idea of what works best, there are certain tips that should be followed to ensure you have a welldesigned shop that allows you to get the most out of your space. It is important to balance the space for each department, as allocating the right amount of space allows maximum productivity and profitability to be achieved. Let’s start at the first stage in the process. When building a new site, many people will buy a block of land and, based on local government regulations, the building will be constructed to its maximum possible size. Later, the internal design of the body shop is considered. This design process should be started by considering the ideal throughput the owner of the shop would like to achieve.
From this, the number of staff required should be determined, which will provide an understanding of the number of bays required for each department. The bays should be designed in a way to allow for specific functions to be completed, with the vehicle moving through the process – ideally in either a straight line or in a “U” shape. When it comes to deciding on booths, there is a lot to consider. Even selecting the type of booth can be an important choice, whether it be a “normal downdraft booth”, an oversize booth, drive through or side loading with the possibility of a separate spray and bake oven. Booth capacity has also become a more complex topic with the advent of gas IR, which have higher airflows and higher bake temperatures combined with clears, which now have very short bake times
at significantly lower temperatures. A key area that is often overlooked is parts storage (including both painted parts and parts to be painted). Parts and parts storage are key issues in most body shops, and all too often in the design of new shops, inadequate space is allowed for parts storage. Moving a parts cart along with a vehicle can be a great advantage. Therefore, when designing your shop, it is crucial to have a designated space for parts carts in front of each bay in the panel shop, a storage area within the paint shop for jobs being processed, and a storage area for new parts and jobs on hold. Overall, the layout should minimise the need for people to walk around the shop to obtain the tools and materials required to complete their segment of the repair process. Every time somebody has to come off the job to obtain materials, there is time being wasted. A well-designed shop is one of the keys to success and can help you achieve your productivity and profitability goals. Editor: I have known Robin Taylor for over 30 years and recall when he was involved in process flow and process control in what was then the biggest paint factory in the country. He is eminently qualified to give this advice which would be most beneficial to most body shops. This article is supplied courtesy of Robin Taylor, Axalta Services Manager, who has a lifetime of experience in the coatings industry assisting collision repairers to run more efficient and effective businesses.
3 4 – TECH TIPS
You can’t copy this
ONLY USE TOYOTA GENUINE SPARK PLUGS At Toyota, we rigorously test all our Genuine Parts for quality, safety and performance. It’s why we back them with Toyota Warranty Advantage.* Of course, you could risk choosing a non-genuine alternative, but it could end up damaging your customer’s car and your reputation. To find out more, visit your local Toyota Dealership.
*Toyota Genuine Parts/Accessories purchased at & fitted by a Toyota Dealer to a Toyota vehicle which was purchased on or after 01/01/2019, are warranted for the remainder of that vehicle’s Toyota Warranty Advantage period, or 2yrs from installation (whichever is greater). Genuine Accessories purchased at and fitted to a Toyota ute or van by a Toyota Dealer are warranted for 3 yrs/160,000 kms or for 2 yrs from installation, whichever is greater Genuine Parts/Accessories purchased from, but not fitted by, a Toyota Dealer are warranted for 2yrs from date of purchase. TOY1281 T2019-013210 See toyota.com.au for T&Cs. This warranty does not limit & may not necessarily exceed your rights under the Australian Consumer Law.
- - - - - - - - - - F U T U R E P R O U D L Y
L E A D E R S - - - - - - - - - -
S P O N S O R E D
I A G
Future Leaders of the industry THIS MONTH WE INTRODUCE 24-YEAR-OLD MARK O’CONNELL, A FOURTH YEAR SPRAY PAINTING APPRENTICE WITH SHEEN PANEL SERVICE IN TOORONGA AND A STUDENT AT KANGAN INSTITUTE’S AUTOMOTIVE CENTRE OF EXCELLENCE. Mark O'Connell.
Mark was born and raised in southeast Melbourne and attended Patterson River Secondary College. He always knew he was destined to work on cars and follow in his father’s footsteps as they are both self-confessed 4WD enthusiasts. After leaving school, Mark found it difficult to get a job in the Frankston area until, through the JobStart initiative, he saw a role at Sheen Panel Service in Malvern. He undertook the pre-apprenticeship program and immediately followed that with a spray-painting apprenticeship at the Kangan Institute. “One of the things that attracted me to the role was Sheen’s apprenticeship program and the Sheen-specific classes at the TAFE,” he explained. Mark was inspired by his father as they are forever working on their 4WDs, although when choosing which path to take (auto body repair or refinishing), it was the thrill of seeing the finished product and the look on the customers’ faces that got him hooked. Mark has completed his studies at Kangan Institute’s Automotive
3 6 – FUTURE LEADERS
Centre of Excellence where he was taught and mentored by Andrew Makroyiannis, who oversees the Automotive Refinishing program at the TAFE. Andrew is no stranger to this column as he has also been instrumental in developing some of our previous Future Leaders. Michael Mavrikakis, Head Teacher said: “Mark is such sharp, focused young man who really knows what he wants. He is a highly talented technician, has a strong sense of commitment and is always looking to learn. He was a great asset to the Sheen Apprenticeship Program.” Mark cannot speak highly enough of Sheen Panel Service. “The work environment is just awesome, and all the technicians receive strong support and mentoring from the more experienced staff. There is a real closeness at Sheen and a great sense of camaraderie within the team.” Mark already has an eye to the future and has the ambition to one day manage a panel shop or even open his own business, in partnership with a close friend, to
service and repair 4WDs. However, he sees this as down the track as right now he is focussing on being the best he can be. “What I really like about the industry is the way technology drives it forward in many ways. From the way the cars are built, the advancements in coatings and, of course, the electronics in today’s vehicles – it’s such an exciting industry.” Doug Bell, of Sheen Tooronga, summed it up: “Mark is a great young kid who knows where he wants to go and is heading in the right direction. He is strongly committed to delivering high-quality work and really enjoys his role with us. He is a pleasure to have on the team.” Editor: IAG’s ongoing support and sponsorship of these awards is greatly appreciated. With such strong support from within the Sheen Group, Mark is indeed a worthy a Future Leader of the Industry. iag donates two I-CAR courses valued at more than $500 to the Future Leader that we feature each month in this section
- - - - - - - - - L I F E T I M E
A C H I E V E M E N T - - - - - - -
Acknowledging a lifetime of contribution Criteria for induction into the National Collision Repairer Lifetime Achievement Honour Roll 1. 2. 3. 4.
A minimum of 10 years in the collision repair industry Contributions to the collision repair industry beyond the scope of their local area Contributions to the collision repair industry beyond the scope of their direct employment Nominations shall come from within the collision repair industry on the nomination form with supporting rationale.
A nomination form can be obtained from: The National Collision Repairer PO Box 1258, Kyneton Victoria 3444 Email: firstname.lastname@example.org Tel: +61 458 588 333
The National Collision Repairer thanks and acknowledges the ongoing support of our sponsors
Honour Roll Richard Nathan ................................ David Weatherall ................................ Terry Flanagan OAM ................................ Marshall Duncan ................................ Graham Winter ................................ Jeff Hendler (Int) ................................ Max Chanter ................................ John Howes ................................ Robert Renwick (Int) ................................ David Newton-Ross ................................ Wayne Phipps ................................ Richard Pratt ................................ Bob Rees ................................ Lance Weiss ................................ Mark Brady ................................ Don Wait OAM ................................ Tony Farrugia ................................ Bob Christie ................................ John Zulian ................................ Tom Vukelic ................................ Robin Taylor ................................ Ray McMartin ................................ Colin Edwards ................................ Ian Wilkinson ................................ Julie Thomas ................................ Brian Johnson ................................ Terry Feehan ................................ Owen Webb OAM ................................ Phil Nixon ................................ Trevor Parkes ................................ Tony Warrener OAM ................................ Brenton Abbott ................................ Michael Killen ................................ Carl Tinsley ................................ Per Madsen (Int) ................................ Rex Crowther (Int) ................................ Michael Wilkinson ................................ Garry Clear ................................ Cec Simpson ................................ Mark Czvitkovits ................................ Martin Stone AM ................................ Julie Wadley ................................ Walter Zuber (Int)
The National Collision Repairer â€“ 3 7
- - - - - - - - - - - - - I-C A R W I T H
M A R K
U P D A T E - - - - - - - - - - - C Z V I T K O V I T S
A U S T R A L I A
ADAS a discovery for all Over the last few months at I-CAR we have been working with several experts in the calibration of ADAS systems. These have included OEMs and aftermarket providers, and the message is the same from all: ADAS is the single largest challenge currently occurring in not only collision repair, but automotive repairs in general. This month I will concentrate specifically on collision repair and reaffirm the mandate to pre and post scan on every modern vehicle, as well as why we must calibrate systems that have radars, cameras, windscreens or sensors. If these vehicles have had these components removed or, in some cases, received a wheel alignment, then scanning and calibration is required. ADAS is not one single system, it is a series of sensors, cameras, radars, and even Lidar, all working together to assess the vehicle’s surroundings and
Sensors show wheels are straight.
3 8 – I - C A R U P DAT E
send this data back to a central computer that determines the vehicle’s position. It provides multiple data inputs through these sources to ensure a driver can be assisted in the event of an emergency, hence the term “advanced driver assistance systems”. When the system is in-sync (calibrated correctly), the direction of travel, and the speed and location of the car’s position on the road is monitored continuously and assists the driver should they be distracted. If one of these systems is not calibrated correctly, then the data being processed is flawed. On the first image, you will notice a computer screen and an image of the steering wheel behind it. This vehicle was one that was used to train a group of technicians on calibration. If you look at the steering wheel, it is not centred, although the steering wheel angle sensor is providing information
to the ADAS system that it has a variance of 0o – the system “thinks” that the wheels are pointed straight ahead. The second image is the actual angle of the wheels recorded at 0o and, as the image shows, these are not straight. The system “thinks” the vehicle is driving straight ahead when it is not, and when the wheels were pointing straight ahead, the system indicated a 27o variance from dead centre! The information being sent from the steering wheel angle sensor is not true in relation to what the vehicle is doing. In a situation where an emergency arises and the ADAS is required, the subsequent actions of this vehicle will be incorrect, and systems will react differently based on the data being supplied from the array of sensors. It is unclear what the vehicle will do – stop suddenly, not stop, swerve in the incorrect direction – but ultimately it will not be what it was designed to do! This vehicle was involved in an accident. It was not pre and post scanned. Rather, it was sent for a wheel alignment and was ultimately not calibrated. The result was a vehicle that was not repaired to perform as designed. Whether a position statement is available or not regarding calibration, as an insurer or repairer there is a duty of care and responsibility to the motoring public to pre and post scan vehicles that have electronics in their architecture. Where a vehicle is ADAS equipped, it must be recalibrated to ensure the “brain” of the vehicle is receiving the correct data to ensure the safety systems work as designed. ANCAP safety ratings not only
- - - - - - - - - - - - - I-C A R
include structural integrity but also software integrity, and for the collision repair industry to ignore this because there is no position statement is shortselling the customer. There is an inherent ethical and professional requirement to deliver complete and safe repairs, so ignoring scanning and ADAS is putting the motoring public at risk. The challenge for all of us is to learn about the new technology and decide to do the repair completely and correctly and ensure the customer has their vehicle restored to perform correctly after an accident. Many will question why a calibration needs to take place after a camera, sensor, radar or windscreen is replaced, and the simple answer is that, once it has been moved from its original location, it may begin to record incorrect data. Now the kicker – this vehicle only had a wheel alignment and the effect on the steering wheel angle sensor is self-evident. This is a new age and
U P D A T E - - - - - - - - - - - -
The actual wheel alignment.
new age thinking is required. ADAS is now, pre and post scanning is now, calibration is now, so let’s act now and deliver what the vehicle owner is entitled to! For an ADAS awareness course, have a look at our online training programs at www.i-car.com.au
Mark is the CEO of I-CAR Australia. His mission is to ensure that the collision repair industry understands the importance of having fully trained personnel and knowledgeable technicians
Cartec products are distributed by Le’Mix Pty Ltd. For more information about Cartec or other Le’Mix products, visit www.lemix.com.au or contact Le’Mix on tel: (02)97084959
- - - - - - - - - - - C U S T O M W I T H
C O R N E R - - - - - - - - - - O W E N
W E B B
MotorActive An experience of a lifetime This is a very different column this month. As I have now moved on, I thought I would reflect on the last 20 years of working at MotorActive. Back in 2000, Bruce Morrison (owner of MotorActive) had spoken with me about extending his range of products from Meguiars car care and we discussed me coming on board to run House of Kolor (HoK) custom paint. HoK had been around for a while in Australia and made no real impact for several reasons, but I loved paint and custom painting in general so made some enquiries and thought, “what a great opportunity for me personally”, and it also complemented the Meguiars car care business. After the steep learning curve of epoxy primers, liquid and dry pearls, basecoat and urethane Kandys, huge flakes and all the different applications, we soon picked up momentum and had several top show cars painted, setting new benchmarks in paintwork on the show circuit. Some of these cars were incredible: Benny Gatts’ "dumped" urethane burgundy Kandy Lincoln Zephyr, Mark Jones’ Tangelo pearl "Fat 57" Chev,
Ben Gatts' Dumped Lincoln Zephyr.
4 0 – C U S TO M C O R N E R
Zoltan Bodo's Urethane Purple Kandy Commodore, Mark Tarabay's lime gold Kandy Nissan, Peter Fitzpatrick’s Urethane Organic green FC Holden, Mario Calillilo's Blue flaked custom Caddy, and many more top level cars taking out several major awards. These were incredible times in Australian custom car building and really put our cars on the world stage. Working with this product also gave me an understanding of where custom paint had come from, especially working with Jon Kosmoski, founder of HoK. There were a couple of people in the US who had dabbled with Kandy Apple paints, but in 1955 Jon painted one of his cars with his new concoction of Kandy Apple Red, took out many awards and then started selling the paint in 1956. He introduced me to many people I had heard of growing up: Gene Winfield, Art Hamsel, Arlen Ness, Joe Bailon and many top customisers and custom painters not so well known in Australia. I worked alongside Jon in the US at the Dallas training Centre developing colours and running training courses for many years.
I still keep in touch with Jon regularly and count him as a true friend. Before we became MotorActive, Bruce's company was Meguiars Australia, where we sponsored many shows and built an aspirational brand. One of the major shows we sponsored was MotorEx, which had become Sydney's premier custom car event. Meguiars was not only the major sponsor, but we brought “Superstars” and the majority of cars to the event. When it came up for sale, it made sense for us to buy the show and use it as our major marketing tool for our expanding range of products. I really enjoyed the show scene and again hit the ground running, showcasing HoK on new, never before seen vehicles, qualifying the top cars from all over Australia to fight out for best of breed at MotorEx. This event also gave me the opportunity to travel to SEMA and overseas events where I met up with people we'd like to bring out for the show. We had many US builders and key influencers, but none bigger than Chip Foose and George Barris. Chip was really popular, and I'm really pleased to have been part of
The 2017 Ridler Winner.
- - - - - - - - - - - C U S T O M
bringing him to Australia for the opportunity it gave local builders to meet and speak with him as they may never have had that chance otherwise. I also really enjoyed bringing George Barris out in 2015. I had been weighing it up for several years as he'd been ill, but when I caught up with him after SEMA in 2014, I realised it was the time to do it or it may never happen. We locked in the deal and he was such a big hit with all the Aussie people and the movie car display behind him at MotorEx. Sadly, George passed away several months after returning to the US and Joji, his daughter, thanked me for bringing him to Australia as it was something he had always wanted to do, and she felt it had made his life complete. Tony Wood, who came out with him, also passed away this year and I'm so grateful to have met such wonderful people and true "legends" of our industry. I have also been really fortunate to meet some of the best builders and personalities on my SEMA trips and have become friends with Troy Trepanier, Mike and Jim Ring, Barry Meguiar, Jimmy Shine and many more people that we trade ideas and concepts with on a regular basis. MotorEx had become extremely time consuming for the MotorActive staff and needed a fulltime commitment from a dedicated event team. It had run its course with us and the guys from Summernats took over the event in 2016 and have taken it to the next level. I still have some involvement with the unveiling of new vehicles and
MotorEx 09 Jon Kosmoski Kandy Tour 2019.
C O R N E R - - - - - - - - - - -
Gary Myers' unveils his famous Mustang.
George Barris in Australia in 2015.
'50 Mercury Jon Kosmoski.
The National Collision Repairer â€“ 4 1
Minutes with ...
- - - - C U S T O M
C O R N E R - - - -
Troy Trepanier second from right in 2009.
Andrew Simovic CAD Custom When did you join the industry? 1996 What was your first job in the industry? Making coffee for my tradesman What do you do now? Foreman at CAD Custom Mark Jones' Tangelo Pearl '57 Chev.
What do you like about the industry? The people we meet and the cool projects we get to build What don’t you like about the industry? When the customer’s expectations do not match their budget What music do you like? Old school Your Favourite Artist? James Hetfield - Metallica Your favourite food? Pizza Your favourite drink? Chivas Regal Your hobbies? Fishing Who in the world would you most like to meet? Nikola Tesla
PROUDLY SPONSORED BY
general entrants, which I'm grateful for as it was such a huge slice of my life. MotorActive continued to expand into retail and manufacturing and took on American Legend wheels, which again complemented our business. Over the last three years, I have spent many months at our manufacturing facility in Long Beach California and touring the US show/event circuit. I had the opportunity to visit many shows that I thought I'd never get the chance to see. Back to the ’50s in Minneapolis, Detroit Autorama, Street Rod Nationals in Kentucky, Street Machine Nationals in Minneapolis, SEMA and many Good Guys shows across the country. We had a booth at these shows and had awesome wheels with reasonable sales, but never big enough to compete with MHT, Wheel Pros and the huge wheel businesses in the US. We sold the American Legend wheel business this year to Classic Performance Products, which will complement their range of suspension, chassis and brake products.
4 2 – C U S TO M C O R N E R
After building these brands and on selling them, I realised I had made my position redundant but had enjoyed almost every day of the journey with Bruce and MotorActive, and I learnt so much about our wonderful custom auto industry and life in general. The MotorActive business will go onto bigger and better retail and professional opportunities with a great young enthusiastic team well into the future. I’ve just returned from the Red Centre Nats in Alice Springs and I'm really looking forward to my future. I have some unbelievable opportunities on the horizon and can't wait to get into them. I will share some of them in upcoming columns. Owen is a leading figure within the auto re-styling and vehicle modification industry and a Lifetime Achievement Award inductee. He is Technical and Training Manager at Concept Paints.
- - - - - - - - - E V E N T S P R O U D L Y
S P O N S O R E D
T R A I N I N G - - - - - - - - B Y
T H A T C H A M - E S C R I B E
Calendar of events KNOWING WHEN IT’S ON AND WHAT’S COMING UP Automechanika 3rd – 6th December 2019 Shanghai
Summernats 3rd – 6th January 2020 Canberra
Automechanika 21st - 23rd March 2020 Kuala Lumpur
Thatcham update Thatcham Research has announced the renewal of its contract with Suncorp, extending the successful collaboration that has seen Suncorp distribute Thatcham repair data in Australia and New Zealand since 2013. Under the renewed agreement, Suncorp will become the first ever Thatcham Research Global Associate – this provides one of Australia’s largest financial services brands with access to Thatcham Research’s wealth of vehicle research, data and services. Neale Phillips, Global Product Director, Thatcham Research said: ‘’We are delighted to welcome Suncorp as our first ever Global Associate member, building on the successful partnership we have enjoyed over the last five years. We are committed to supporting its needs and those of its repair network – starting with an upgrade to escribe which will shortly see the inclusion of vehicle manufacturer methods, to further increase vehicle coverage.’’
Thatcham’s online portal – escribe, provides insurance assessors and repairers with instant access to the very latest multi-franchised Thatcham Research crash repair methods, times and technical newsletters. Phillips continued: “The growth of escribe in Australia is a tangible demonstration of Suncorp’s commitment to delivering only the safest and highest-quality vehicle repair.” In response, Brett Wallace, EM Assessing & Repair Performance, Suncorp said: “Thatcham repair data helps to ensure that our customer’s vehicles are repaired in the most safe and efficient manner, so the decision to extend and strengthen our relationship with such a respected industry body was an easy one and aligns 100% with Suncorp’s overarching repair strategy” Significant enhancements to the escribe platform enabling the positive identification of ADAS technologies have already been deployed this year, with further updates on the way in 2019.
Training contacts 3M Australia George Di Scala Tel: 0400 382 649 AkzoNobel Tel: (03) 9644 1711 Axalta Coating Systems Product training Axalta services Tel: 1800 292 582
PPG Australia Pty Ltd MVP Business Solutions Greg Tunks 0411 288 451 Sue Lozano 0417 053 030 Cliff Reed 0413 851 433 Joe Esposito 0412 832 919 Mike Green 0412 742 160 Mindy Roberts 0407 528 869 Ben Doughty 0418 548 812 Helen Aird +64 211 765 943
Dents R Us Training Academy Laury Chibnall Tel: 0438 383 555
PPG Training www.ppgrefinish.com.au/training VIC/TAS: (03) 8586 0000 NSW/ACT: (02) 9854 6600 QLD/NT: (07) 3823 8000 SA: 0412 832 919 WA: 0437 902 125
iBodyshop E: email@example.com Tel: (03) 9548 7400
I-CAR Australia Dan Dobrin Tel: (07) 3219 9088
BASF Australia Ltd James Green Tel: 0402 110 378
Mipa Australia Pty Ltd Tel: (03) 9793 8800 LORD (Fusor and Farecla) Tel: (03) 9560 6060 Protec Tel: 1800 076 466 SAPE Automotive Training Academy Tel: (02) 9772 9000 sia Abrasives Tel: 1300 742 123 Thatcham-Escribe www.thatchamescribe.com.au 1300 769 348 U-pol Tel: 0400 366 483 Valspar Automotive Tel: (02) 4368 4054
The National Collision Repairer – 4 3
- - - - - - - - - - - - - S T A T E W I T H
J O H N
S I D E - - - - - - - - - - - - Y O S W I C K
OEM procedures and ADAS calibrations ONCE AGAIN, WE DISCUSS THE CHALLENGES IN CORRECTLY EVALUATING AND CALIBRATING THE ADAS TECHNOLOGY WHEN THERE IS A DEARTH OF UNDERSTANDING OF THE IMPORTANCE OF ITS INTER-CONNECTIVITY. George Lesniak, director of sales and training for Autel, said one of the biggest challenges for shops working to follow OEM collision repair procedures, in particular the steps necessary for calibration of ADAS, is the variation among the manufacturers. “There’s a complete lack of consistency across the different OEMs when it comes to their service information: where that information is located, where you find the procedures and specifications,” Lesniak said during a recent conference in the US. But some of the challenges that shops encounter in following OEM procedures, he said, has little to do with that inconsistency in how the information is organised. “The one thing that I’ve found to be very consistent is technicians’ ability to skip steps,” Lesniak said. “The key skill required to do calibrations is the ability to read, interpret and follow complex instructions and make detailed measurements. Knowing how to use a metric tape measure is absolutely foreign to most US technicians. We’ve found easily 50 percent of calibration failures come down to missing or skipping steps in those preliminary instructions.” Those steps, he said, include having the required space with the right environmental conditions, such as proper lighting, and ensuring that nothing is interfering with the “field of view” of any sensors. “I actually got called out by a customer who couldn’t get this vehicle calibrated. He had tried multiple times,” Lesniak said. “They sent me out to
4 4 – STATESIDE
trouble-shoot, and there was what looked like a grasshopper splattered right in the middle of the camera on the windshield. Step No. 1 in the instructions is to make sure the windshield is clean, especially in front of the camera. They skipped the basic steps.”
HIS COMPANY WON’T RELEASE A CAR UNTIL CALIBRATIONS ARE COMPLETED; IN ONE CASE, THAT EVEN MEANT NOT TAKING IN A PARTICULAR JOB. Lesniak was just one of several speakers discussing OEM procedures and ADAS calibrations during the conference. Sean Guthrie, director of operations for a seven-shop US collision repair company, said one thing
ADAS Calibration Equpiment.
he thinks may slow the expected reduction in claims count based on ADAS is whether consumers are buying vehicles equipped with such systems. He said he and his wife were recently in the market for a new car and found no dealer in their region with the model vehicle they wanted that included all the ADAS features the automaker makes available for that vehicle. “It wasn’t just a matter of finding one in the trim model we wanted,” Guthrie said. “From the base model to the top tier, there wasn’t one available with the full ADAS suite. I asked the dealer, ‘why is it that your cars are among the safest out there, with the most available technology, yet you don’t have one on the lot with that technology?’ They said, ‘It’s simple, Sean: we don’t sell them. And if we do sell them, the customer wants us
- - - - - - - - - - - - - S T A T E
to turn it all off. So why would we have a car on the lot that’s $6,000 more for something that someone is just going to turn off?’” Guthrie thinks it may just be that consumers aren’t seeking out ADAS because it’s not something that is being marketed to them. Regardless, Guthrie said his company is working to do more ADAS calibrations inhouse, in part because dealerships often aren’t prepared to do so. He believes that even shops subletting the work should still research the calibration procedures to know what needs to be done. “It’s disappointing how often when you tell dealerships, ‘We removed and reinstalled all these things, and replaced these things, so this is what we need calibrated,’ they look at you and say, ‘But it drives fine and there are no codes or dash lights,’” said Guthrie. “This is from a dealership that sells and services that make and model. Unfortunately, more than once we’ve had an argument with a dealership about what needs to be done. We couldn’t have that argument unless we knew the OEM repair procedures.” He said subletting the work also doesn’t relieve a shop from the liability that ADAS calibrations were done fully and properly. The only way to ensure that has happened is to road-test the vehicles, something his company does even if a dealer did the calibration work on a sublet basis and should
S I D E - - - - - - - - - - - - -
have done its own road test. “We’ve picked up many cars after they get done at the dealership and had to turn right back around and take it back because they’re not calibrated correctly,” said Guthrie. “You have to test drive the car to know that. And you need to test every system, not just the ones you affected during repairs because they all work together. If you affect one, you may have affected five.” Guthrie said that although it varies by make and model, dynamic system calibrations and postcalibration road tests often require two people. “You’ve got somebody who needs to be manning the scan tool while the other person is driving safely,” he said. “There are some cars that you can put into test mode and then drive and confirm that it worked. But for the most part, two people makes it much safer.” Guthrie was asked what happens to a vehicle his company has repaired if neither his shop nor a local dealer is equipped and prepared to calibrate the ADAS. “The car sits,” Guthrie said, comparing it to a car not being released if an airbag hasn’t been installed. “We had a Subaru for which we didn’t have the calibration equipment. The dealership had the equipment but had never set it up or used it. So that car wasn’t safe to be back on the road. It took almost two months. We ended up helping the dealer to get the equipment
set up and get it done.” Another speaker at the conference concurred. Darrell Amberson, whose company operates nine collision shops and two standalone mechanical shops, has developed ADAS calibration stations at two of its locations. He said that like Guthrie, his company won’t release a car until calibrations are completed; in one case, that even meant not taking in a particular job. “It was a Toyota van that was a handicap conversion,” Amberson said. “They had put in heavy-duty springs in the back of the vehicle. There was no data from Toyota in terms of how we should calibrate it. We reached out to the conversion company, and they admitted they just performed the conversion and didn’t do anything about the ADAS. We found that situation scary and just stepped aside and didn’t perform the repairs because there was no way we could know how to properly calibrate that vehicle. It was probably fixed by someone who probably didn’t do anything with the ADAS systems.” John is a freelance writer based in the United States who has been writing about the automotive industry since 1988, he is also the editor of the weekly Crash Network www.CrashNetwork.com
The National Collision Repairer – 4 5
- - - - - - - - - P R O D U C T
S H O W C A S E - - - - - - - -
SATA special lets you spray with love and peace Commemorating the 50th anniversary of the Woodstock Music Festival, SATA has created a special edition spray gun called the SATAjet X 5500 “Hippie”. Even if you are not one of the hippie generation, chances are you could well be a child or grandchild of it. Back in 1969, the hippie counterculture was at its height when a massive crowd of more than 400,000 people descended on a dairy farm in Bethel, New York (not far from a little place called Woodstock), “for three days of peace and music”. Fifty years on, the SATAjet X 5500 Hippie special edition has been created to recognise the cultural impact of the legendary Woodstock Music Festival. The SATAjet X 5500 Hippie takes its cues from the classic images of that era when “peace, love and music” was the motto of the “summer of
love”. Wild and colourful paisley motifs and flower power art, including peace symbols and a bright multicoloured VW Kombi, have been reproduced as a unique, high quality surface coating finish. Best of all, the “Hippie” is a fully functional spray gun that is based on SATA’s latest premium model, the SATAjet X 5500, so the awesome artwork comes with all the groundbreaking features of this revolutionary gun. It’s also available in all the current nozzle sizes, along with the choice of HVLP and RP technology and in non-digital and digital format. Naturally, being a special edition means this is a time-limited promotion available from your SATA distributor only while stocks last. Whether you plan to use it every day in the spray booth or add it to your gun collection
display cabinet as a piece of awesome artwork, you had better move quickly to reserve your SATAjet X 5500 Hippie in order to avoid disappointment.
SEM Products heading Downunder PPG’s acquisition of SEM Products is set to give local repairers access to the enhanced speed, efficiency and quality of this industry-leading range of collision repair consumables. Although it’s a relatively small company, SEM Products has made a big name for itself, particularly in the brand’s home market of North America. With its long history of developing innovative, customer-focused solutions, SEM Products was an ideal fit with PPG, resulting in the 2018 acquisition. This is great news for Australian and New Zealand collision repairers because they are now one of the first regions to get access to a large, high quality, market proven range of consumables. Basically, the SEM Products portfolio consists of specialised adhesives, fillers and sealers designed to achieve an OEM style finish on automotive repair and refinish jobs. Building close partnerships with its customer base has allowed the SEM Products R&D team to react very quickly to any changes or needs in the market, whether it’s developing new technologies or refining an existing product. When a new repair trend or technique emerges, “outside the box” thinking has been used to develop
4 6 – P R O D U C T S H OW C A S E
creative and effective solutions for technicians in both the panel shop and the paint shop. For example, the SEM Products team introduced its “Built Better” motto, which highlights its ongoing commitment to develop high quality products that boost repair speed and end finish quality while minimising labour time. A strong focus on training makes it particularly easy to understand exactly how to get the best from each item in the SEM Products range, whether you are a regular or a first-time user. The backbone is an SEM Products YouTube channel packed with instructional videos covering a wide selection of products. Clear step-by-step instructions are backed by helpful tips and techniques to simplify each task. It’s super convenient to watch on your phone or other mobile device to brush up before tackling a live job. With such a large and diverse product range, local launches are scheduled to take place in stages. Leading the first wave is SEM Products’ market leading range of 1K seam sealer materials, comprising a regular version and a sprayable option. A choice of colours (white, grey, beige and black)
helps match the original OEM sealer. They are paintable immediately and they will remain flexible, without shrinking or cracking. This is backed by a wide selection of applicators, tips and accessories to make it easier to mimic virtually any OEM style finish and quickly produce a professional appearance. What they all hae in common is superior SEM Products design, which delivers increased process speed and efficiency.
- - - - - - - - - P R O D U C T
S H O W C A S E - - - - - - - -
Polish up your act with Mirka Efficient de-nibbing and polishing is a key to minimising job labour costs, and the newly updated PPG “Paint Rectification Process” chart provides everything you need. When it comes to maximising workshop efficiency, best practice processes are the way to go, which is why the local PPG team originally developed the Paint Rectification Process chart. Not only is it free, it has also been thoroughly tested in local market conditions and features easy to follow step-by-step instructions with demonstration photos, along with a list of all the recommended products. Recently, the Paint Rectification Process chart came in for several revamps and refinements to take into account the latest products and techniques that have arrived on the market. Once again, it’s based on a range of advanced Mirka products that are combined with a highperformance process tailored to the particular job type. Rather than “one size fits all”, it lets the user choose options that keep each job as small and fast as possible. This latest revamp includes new
Mirka products such as revised lambswool pads and the Polarshine M35 Polish. The latter is a coarser grade of compound which, when used with the correct pad combination, is perfect for surface finishing harder, mar and scratch resistant clearcoats used by some vehicle OEMs. The PPG team has also taken the opportunity to add a variety of useful tips. For example, regularly cleaning the buff pads – typically, at the end of the week – to ensure the pads continue to work effectively and to help prolong their lifespan. Getting your own copy of the Paint Rectification Process chart is as easy as asking your Mirka distributor or a PPG, Protec or Commercial Performance Coatings Territory Manager. It comes as an A3 size chart, which is perfect for displaying in a place where it can conveniently be referred to by staff whenever required. When new staff join, it also makes it easier for them to learn the correct polishing process and stick to it. You can even access specialised training to help upskill staff on the paint rectification process!
Are you using the correct adhesive? OEM requirements can change by make, model, year and procedure. While it’s difficult to understand what the correct adhesive is, 3M is referenced more often in OEM repair procedures for panel bonding and impact-resistant structural adhesive applications than any other adhesive supplier. Now available in Australia, 3M’s 8116 Panel Bonding Adhesive complements its existing range of two-part epoxy adhesives and is recommended for use on specific Fiat, Chrysler, General Motors and Volvo models as endorsed by the manufacturer. Always check the manufacturer’s requirements to ensure that you’re using the correct adhesive in order to manage your repair’s crash energy and help protect occupants. For further information, please contact your authorised 3M Distributor or call 3M direct on Tel: 136 136.
The National Collision Repairer – 4 7
- - - - - - - - - P R O D U C T
S H O W C A S E - - - - - - - -
Car-O-Liner’s WorkShop Solutions Car-O-Liner’s latest WorkShop Solutions mean that you can configure the workshop as you wish to enhance efficiency and productivity. WorkShop Solutions provide organised inventory control solutions such as tool boards, wall sections and separators that allow you to configure unique work bay designs to meet your collision repair workshop’s space requirements. Trolleys on wheels can easily be moved to where they are most needed, thus increasing efficiency and cycle times. With WorkShop Solutions, you can increase your profitability by ensuring that your workshop is well organised and planned. Parts silhouettes on the tool boards ensure that repairs can be completed more quickly and efficiently as tools and equipment are always in their correct places – no need for the technician to waste time finding what is needed to complete the job.
complete repairs faster. • The attractive and organised workshop increases customer confidence. • High quality, sturdy construction holds multiple parts, giving a long life with low maintenance costs. • Space saving design maximises the use of wall or wagon space. • The product range is flexible and matches multiple global car manufacturers’ parts designs. • LEAN production practices. • Easy to attach/detach and move the wall panels and shelves from walls to tool wagons. The working environment of
a collision repair workshop plays a crucial role in the overall quality of the customer experience. It is here that the customers form their image of your workshop and your brand, just as it is here that each employee’s sense of belonging, pride and personal responsibility is created. The combination of environment and employees that exudes competence and security offers such a professional impression to both customers and insurance companies alike. For more information, contact www.car-o-liner.com.au or call Car-O-Liner Australia on Tel: (02) 4271 6287.
Features and benefits • Parts silhouettes ensure tools are returned to the proper location, leading to effective inventory control. • Ergonomic layout ensures technicians can find tools and
Cam Bear Gold Premium Body Filler The SAPE group is proud to present a brand-new premium body filler designed especially for Australian conditions. Warren and Paul McMartin have been searching the world for a manufacturer to help their father Ray McMartin invent the perfect premium body filler for the Australian market. Australia has many unique environments that are not seen in the USA, where most of the premium body fillers come from. So, when they looked for an Australian or overseas manufacturer to help SAPE make a new body filler, they had to have Australian knowledge, have been in this country for a good length of time, and flexible with their wants and needs. With lots of testing and experimenting, Cam Bear Gold
4 8 – P R O D U C T S H OW C A S E
Premium Body Filler was born. This 2K, self-levelling, lightweight body filler will adhere to bare metal, stainless steel, galvanized and aluminium surfaces and has new advanced mechanical properties that help the filler spread smoothly, giving a pinhole-free finish that is very easy to sand. This is the Premium Body Filler the SAPE group has been looking to bring to the Australian market for at least 20 years. This product is so good, SAPE is offering, for a limited time, BUY 1 and get 1 FREE to the entire Australian market. I can’t recall a body filler importer or manufacturer ever doing this before in Australia and the fact that SAPE is offering this to distribution and body shops Australia wide means they know they have cracked the perfect premium
body filler formula once and for all. For further information, contact the SAPE Group on (02) 9772 9000 or visit shop.sape.com.au
The Car-O-Tronic Vision Measuring System can be adapted to almost every bench on the market! ADVANCED SYSTEM FOR UPPER AND LOWER BODY MEASURING Experience Car-O-Tronic Vision2 – the fastest, most accurate and easiest to use electronic measuring system on the market today! The sensor-equipped measuring slide delivers real-time data three times per second to the advanced and easy-to-use software. Car-O-Data, the world's most comprehensive vehicle measurement database allows you to accurately and quickly target measuring points.
TRADE-IN DEAL: The ‘Trade-in along with Special Deals’ promotion on Car-O-Tronic Measuring Systems is back on ... so that means we will trade any type of measuring system regardless of age or condition ... also there are some great deals available!
Head Office: Unit 1, 25 Industrial Road, Unanderra, NSW 2526 Ph: (02) 4271 6287 ▲ Fax: (02) 4271 7899 Website: www.car-o-liner.com.au ▲ Email: firstname.lastname@example.org
▲ NSW & Tas: Fritz Pfeffer – Ph: 0412 559 208 ▲ NT & Vic: Lindsay Batten – Ph: 0412 372 988 ▲ Qld & SA: Liam Hugo – Ph 0403 455 914
Car-O-Tronic Vision 2 X 3
ITâ€™S Mutual Protection provided through Capricorn Risk Services is custom made for auto trades.
Get the right cover for the right price. See how youâ€™re better off with mutual protection from Capricorn Risk Services. 1800 007 022 | email@example.com | capricornrisk.com Products sold through Capricorn Risk Services Pty Ltd (ABN 93 111 632 789) are: (i) discretionary risk protection products issued by Capricorn Mutual Ltd; and (ii) general insurance products issued by a range of insurers and brokered through Capricorn Insurance Services Pty Ltd. Before deciding to acquire any product you should consider the Product Disclosure Statement available from Capricorn Risk Services Pty Ltd to see if the product is appropriate for you. Capricorn Risk Services Pty Ltd is a Corporate Authorised Representative (No. 460893) of Capricorn Mutual Ltd (AFSL 230038) and Capricorn Insurance Services Pty Ltd (AFSL 435197).
The National Collision Repairer November 2019