New Jersey Automotive September 2016

THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org) AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org)

September 2016 $595

Raw Data,

REAL FEEDBACK: www.grecopublishing.com

The 2016 NJA Industry Survey

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P.O. Box 734 Neptune, NJ 07753 EXECUTIVE DI­REC­TOR Charles Bryant 732-922-8909 / setlit4u@msn.com 2015 - 2017 OFFICERS PRESIDENT Jeff McDowell, Leslie’s Auto Body 732-738-1948 / chacki@aol.com COLLISION CHAIRMAN Jerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / ultimatecollision@att.net MECHANICAL CHAIRMAN Keith Krehel, Krehel Automotive Repair, Inc. 973-546-2828 / krehelauto@aol.com

VOLUME 46, NUMBER 9 | September 2016

CONTENTS 10 OUT OF BODY (AND MECHANICAL) EXPERIENCES 12 PRESIDENT’S MESSAGE 16 EXECUTIVE DIRECTOR’S MESSAGE

22 I-CAR CALENDAR 23 COLLISION CHAIRMAN’S MESSAGE 66 NJA ADVERTISERS’ INDEX

TREASURER Tom Elder, Compact Kars, Inc. 609-259-6373 / compactkars@aol.com SECRETARY Thomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / thomas@grecopublishing.com BOARD Dennis Cataldo, Jr., D&M Auto Body 732-251-4313 / jr@dnmautobody.com Dave Laganella, Peters Body and Fender 201-337-1200 / petersbandf@gmail.com Sam Mikhail, Prestige Auto Body 908-789-2020 / mikhail@goldcar.com Ted Rainer, Ocean Bay Auto Body 732-899-7900 / ted@oceanbayautobody.com Anthony Sauta, East Coast Auto Body 732-869-9999 / ecabofnj@aol.com Randy Scoras, Holmdel Auto Body 732-946-8388 / randy@holmdelautobody.com Anthony Trama, Bloomfield Auto Body 973-748-2608 / anthony@bloomfieldautobody.com BOARD ALLIED Joe Amato, The Amato Agency 732-530-6740 / joesr@amatoagency.com Mike Kaufmann, Advantage Dealer Services 973-332-7014 / mkaufmann@advantageds.com PAST PRESIDENT ATTENDING Tom Elder, Compact Kars 609-259-6373 / compactkars@aol.com

VENDOR SPOTLIGHT by Joel Gausten 24 Perfect Parts: Clinton Acura & Phillipsburg-Easton Honda Deliver NATIONAL NEWS 28 SCRS to Host OEM Collision Repair Technology Summit in Las Vegas 32 I-CAR and ASE Announce New Collaborative Effort LEGAL PERSPECTIVE by Mitchell H. Portnoi, Esq. 36 Auto/Motorcycle Insurance and the Uninsured Motorist

41 COVER STORY by Chloe Durante

RAW DATA, REAL FEEDBACK: The 2016 NJA Industry Survey

PUBLISHER Thomas Greco (thomas@grecopublishing.com) SALES DIRECTOR Alicia Figurelli (alicia@grecopublishing.com) EDITORIAL DIRECTOR Joel Gausten (joel@grecopublishing.com) CREATIVE DIRECTOR Lea Velocci (lea@grecopublishing.com)

NO BRAKES by Ron Ananian 59 The Other Side of the Fender AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY 63 Wharton Insurance Briefs

EDITORIAL ASSISTANT Chloe Durante (chloe@grecopublishing.com) OFFICE MANAGER Donna Greco (donna@grecopublishing.com) CONTRIBUTING EDITORS Charles Bryant • Mario DeFilippis • Jeff McDowell Mitch Portnoi • Ron Ananian • Keith Krehel Jerry McNee Published by: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963

NEW JERSEY AUTOMOTIVE is published monthly and is sent to AASP/NJ and ARANJ members free of charge. Subscriptions are $24 per year. NEW JERSEY AUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of NEW JERSEY AUTOMOTIVE are copyright © 2016 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission from the publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Cover and Stock Images courtesy of www.istockphoto.com.

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OUT OF BODY (AND MECHANICAL) EXPERIENCES

THE MALL

by THOMAS GRECO, PUBLISHER

For many people who grew up in New Jersey over the last 50 years, going to the mall was a rite of passage that became a way of life. I can still remember the first time my sister Gloria dragged me along with her to the Garden State Plaza in Paramus. I couldn’t have been more than nine years old. For me, it was like the moment in The Wizard of Oz when Dorothy opens the door and the world turns from black and white to color. So many stores, so little time! Quite a step up from riding the escalators at Two Guys.

Back then, the Garden State Plaza was the only mall I was aware of. But over the last half-decade, there seems to be a new mall built every couple of years. I bet there are at least 20 full-size malls within a half hour of my house these days. And I’ve probably been to every one!

A few weeks ago, I needed to go to the Apple Store for some computer repair, and I headed up the Parkway to Garden State. All of a sudden, a few strange thoughts started

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to creep into my mind. You see, this just happened to be the day there was a terrorist attack on a mall in Germany. Maybe it wasn’t so strange that I started to get a little worried about going to the mall. I began thinking about the fact that there is really no way to prevent someone from walking into a mall with a bomb or a gun. There is little security and certainly no metal detectors. I started to feel a little nervous and angry at the same time. How did we ever get to a point in time when something as harmless as going to the mall became scary?

How did we get to a point where I found myself looking very closely at every person who might look a little different and wondering if they had a bomb vest or a gun under their clothes?

As f’d up as that is, I did what I usually do when these things come to mind. I said to myself, “If anything happens, there’s nothing you can do about it. Wrong place, wrong time.” So I turned up the music and pulled into the parking

lot. I soon found many more reasons why I should have stayed home.

It’s no secret that the Internet is hurting malls. Shopping on sites like Amazon from the comfort of your home is fast, easy and convenient. But I am still old school in that, for me, there is nothing like seeing, feeling and holding what I’m going to purchase in my hands. For people like me, who still choose to venture out from behind their computer screens, you would think malls and the stores inside them would make an extra effort to be as helpful as they can. You would be wrong.

Some get it. Like the Apple Store – I was in and out of there in minutes. But then, I decided to look for some clothes while I was at the mall. The one thing I dislike immensely about shopping online is that the clothes sizes are never, ever accurate. I end up sending back four out of five shirts because for some reason, XXL now actually means XL. So as much as I hate to do it, I now have to actually try on clothes in order to make sure they fit.

Keep in mind I am not a small man by any means. And because of the inaccurate sizing nowadays, I have to search for shirts that are minimum 3X to get them to fit me the way I want (you know, like someone from Goodfellas in a Hawaiian shirt). Unfortunately for me, mall stores are apparently perfectly happy to conspire against those of us who are of the “not small” body type. I swear to you, I went into six stores and not one of them had a shirt over 2X (which, as I said, is equivalent to a step above a large these days).

Talk about discrimination. Where is the ACLU when I need them????

Eventually, I found a very nice woman at an information booth and asked her if there were any stores in the mall that had clothes for fat people. She laughed and said that JCPenney had a Big & Tall section (mall code words for fat and geeky). I thanked her and headed over to the store.

I have to admit, JCPenney did have a decent-sized section for us largites. Of course, I had to go through an obstacle course to find it. But once I did, I was able to pick up some shirts and shorts. As I went to pay, I looked around and didn’t see any cashier stands. I asked a salesperson, and she gave me directions to the nearest one, which seemed to be about a mile away. (Maybe they feel us fatties need the exercise, so they put the cashier as far away from the chubby, I mean Big & Tall, section as possible.)

As I huffed and puffed towards the stand, I noticed that there was quite a line of people waiting to pay. They had four registers open, so I figured by the time I got there (50 minutes later), the wait wouldn’t be long. But as I got closer, it was like a movie. One by one, the cashiers disappeared.

(Maybe it was their dinner break?) When I finally arrived from my four-mile walk across the store, there was one cashier and a line of 10 people waiting. I thought about just dropping the clothes and leaving, but after a couple of hours and 20 pounds of water weight loss, I got in line. Thirty minutes later, I had moved about five steps. One lady had clothes that continued on page 62

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PRESIDENT’S MESSAGE

TIME IS SHORT!

As I write this month’s message, it isn’t even 11am on this mid-August day, and the temperature is dangerously close to 100 degrees already.

But a quick look at the calendar is all I need to snap back to the reality that the summer is coming to a close. By the time this issue hits the streets, it will be early September, the kids will be back in school, the days will begin to grow shorter and you will have only a couple weeks left to renew your NJ Auto Body License. My point is that I hope you make the most of the final days of the season, whether that’s going out on a boat, hitting the beach for a day or simply just hanging out in your backyard listening to the crickets chirp on a warm night. Too many of us

take our time away from the shop for granted; for many of us, there barely is any time away from the shop. Make it a point before the summer is officially over to focus on something other than your business, just for a little while your family, your friends, your home and yourself. Time is short, and it passes in the blink of an eye.

In other news, this month’s issue of NJA features our annual Industry Survey. I’d like to take this time to thank all who participated in answering our questions this year, but also ask those who didn’t why they chose not to send in their responses. The NJA Industry Survey helps provide an annual snapshot of the industry, and while of course we appreciate the many quality

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by JEFF MCDOWELL

responses that were received, the more people who let the magazine into their shops, so to speak, the better. To everyone who took the few minutes to answer this year’s Survey questions, we appreciate your feedback and hope you enjoy what your fellow repairers had to say about the state of the repair industry in 2016. If you did not participate in this year’s Survey, we’d love to hear from you in the future. Please email Editorial Director Joel Gausten (joel@ grecopublishing.com) with the words “NJA Survey” in the subject head to be added to our contact list for next year.

NJA

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EXECUTIVE DIRECTOR’S MESSAGE

WE HAVE TO GIVE CREDIT WHERE IT’S DUE – BUT ENOUGH IS ENOUGH!

by CHARLES BRYANT

Whether those of us in the collision industry like to admit it or not, the insurance industry is brilliant. Years ago, they set up a systematic method of shortchanging their insureds on auto property damage claims and the shops that make the repairs. Even I must admit that the system is almost foolproof. The insurance industry has all their bases covered. I am referring to things like Labor Rates; reimbursement for the cost of paint and materials; limitation or elimination of mark-up on certain sublet repairs; the type of parts that will be used and the profit level that will be paid on those parts; and limited payment for towing, storage and almost every service that members of the collision industry provide. Anyone who is realistic has to admit that it took brilliant thinking to figure out how to control all of these aspects at once. The question is, how did they do it?

Well, the collision industry has been trying to figure that out for years.

However, until recently, no one has really even come close to being able to answer that question. The fact is, no one has really been willing to put the amount of effort necessary into investigating this. Instead, the collision industry has simply come up with creative ways in dealing with the restrictions forced on them by

the insurance industry. For example, take a look at the issue of Labor Rates. Insurers across the country are paying much less for collision repairs than mechanical repairs. The lesser payment for collision repairs compared to mechanical repairs is not because it costs less to produce the collision repairs. Labor Rates being paid by insurers across the country are much less than what it takes to actually

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perform the repairs and make a fair and reasonable profit. Right away, the argument becomes, “If that is the case, how are the collision shops able to survive and stay in business?” The answer is actually quite simple.

Rather than the collision industry addressing the problem, they figured out a way to circumvent it and still survive. Can anyone say, “Funny Time”?

That’s right – the collision industry is just as guilty as the insurers for the continued artificially suppressed Labor Rate issue. I can’t tell you how many times I have heard a collision shop owner say, “We do not agree with the Labor Rate that an insurer pays, but we are able to work it out by playing with the hours.” In other words (and I know that no one wants to talk about this, but it needs to be said), the only reason insurers are able to reach agreed prices to repair vehicles with collision shops is because the appraisers are told to throw in a couple hours here and there when necessary. This is nothing new.

This has been happening for years and years; however, as long as this type of conduct goes on, the Labor Rate issue will continue.

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EXECUTIVE DIRECTOR’S MESSAGE

Next, let’s take a look at the issue of the lack of proper payment for paint and materials. Many years ago, when the collision industry started complaining about not getting paid for this, the insurance industry came up with the well-known formula of a dollar figure per paint hour to compensate

collision shops. I have been told that when it first started, the rate was only a dollar or so per paint hour. In reality, the dollar figure had no relevance to the cost of the paint and materials.

Nonetheless, the collision industry once again blindly looked the other way rather than address the real issue

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and demand an accurate method of determining the real cost of paint and materials.

The point of this story is to help people understand just how clever insurers can be at controlling costs, which translates to profits in their pockets when they can get repairs done for much less than it would normally cost without their involvement in the negotiation process.

Now, don’t get me wrong! Over the years, shop owner after shop owner has taken a stand against insurers to force them to pay fair and reasonable Labor Rates and pay for paint and materials based on a realistic method of cost; however, when a shop owner starts to take a strong stand, he or she better be prepared for the steering that will result. That’s right; the practice of steering is well known in the collision industry and has actually ruined many collision shops across the country. Once again, it is just another clever method of forcing auto body shops to continue to accept the low and unreasonable Labor Rates. The ridiculous method of determining how much shops will be paid for paint and materials (and performing procedures for free or for a fraction of what they deserve) needs to come to an end.

Any collision shop that has felt the wrath of an insurance company’s aggressive steering understands just how devastating it can be and how it has the tendency to stop the shop from fighting too hard. In other words, it becomes easier to get in line and figure out a way to work within the guidelines laid out by insurers than to attempt to fight the might of them all.

I can’t tell you how many shops have

told me (confidentially) that they joined an insurer’s DRP just to stop the insurer from steering work away from the shop.

When one looks at the whole picture of how the insurance industry is able to manipulate the collision industry and force them to repair damaged vehicles for unreasonable Labor Rates, often accept a fraction of the actual cost of paint and materials and get paid based on that fraction, one would have to admit that the insurers must be brilliant.

The problem is that the industry has changed so drastically (and the greed has become so big) that we have no choice but to address the unfair issues that have been tolerated for so long. Certain repair procedures on the newer-model vehicles can no longer be ignored. The gap between what insurers are willing to voluntarily pay and what collision shops need to be paid in order to perform the repairs has grown too wide. The cost of paint and materials has skyrocketed to the point that shops can no longer accept a fraction of the cost. Many shops across the country are now very well aware that these issues must finally be addressed, and they are aware that agencies like state Departments of Insurance are not the answer. They have finally come to understand that the insurers are so strong that, in many states, they control the departments.

Collision shops are now finally turning to large consulting and law firms that are just as brilliant as the insurers to address these issues. Finally, I feel that I can say with confidence that change is on the way. Stay tuned for more on this interesting subject. NJA

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September 15 Aluminum Exterior Panel Repair & Replacement Holiday Inn & Suites, Parsippany

CALENDAR

Corrosion Protection LKQ Corp., Kearny

September 20 Adhesive Bonding

Reliable Automotive Equipment, Belford September 21 Advanced Steering & Suspension Systems Damage Analysis

Allstate Insurance, Wall Township

Understanding the Cycle Time Process

CollisionMax of Pennsauken, Pennsauken Color Theory, Mixing Toners & Tinting

Reliable Automotive Equipment, Belford September 22 Corrosion Protection

MGM Auto Body Supply, Hawthorne

Understanding the Cycle Time Process LKQ Corp., Kearny

Plastic & Composite Repair

Holiday Inn & Suites, Parsippany September 1

September 27

Structural Straightening Steel

Understanding the Cycle Time Process

LKQ Corp., Kearny

Comfort Suites, Mahwah

September 7

September 28

Understand the Cycle Time Process

Advanced Steering & Suspension Systems Damage

Reliable Automotive Equipment, Belford

Analysis

September 8

Full-Frame Partial Replacement

Color Theory, Mixing Tones & Tints LKQ Corp., Kearny

September 13 Aluminum Exterior Panel Repair Replacement

CollisionMax of Pennsauken, Pennsauken Compact Kars Inc., Clarksburg September 29 Steering & Suspension Damage Analysis LKQ Corp., Kearny

Comfort Suites, Mahwah September 14

Alternative Fuel Vehicle Damage Analysis & Safety Reliable Automotive Equipment, Belford

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For more information, visit i-car.com NJA

COLLISION CHAIRMAN’S MESSAGE

STOP WORKING HARDER START WORKING SMARTER

How do you know what to fix if you don’t know what’s broken?

The other night, I went out to dinner with a shop owner friend of mine. We had barely put our orders in when he started in with the same litany I’ve heard so many times from so many people: “We have to figure out a way to start making more money…

The insurance companies are bleeding us dry…The Labor Rate is too low…

DRPs are killing the industry…” You get the picture. I didn’t speak up at the time because I didn’t feel like ruining the night, but what I really wanted to

by JERRY MCNEE

ask was, when are we as an industry going to stop blaming everybody but ourselves for the state we’re in?

Maybe I’m beginning to sound like a broken record, but it is truly pathetic how many shop owners out there have no handle at all on the numbers associated with their business. Key Performance Indicators (KPIs) are just that; these numbers will tell you without question how much profit you are (or are not) making. Only after scrutinizing every facet of your business will you be able to truly see whether you’re actually turning a profit. So many shops out

there go through their days and weeks with a good flow of work. They’re busy, so they think all is well. Then the end of the month comes and there’s an awful lot of red ink in the books. Why? It’s not the insurance company’s fault.

It’s not because you’re a DRP shop (or because you’re not). And of course, the Labor Rate could be higher, but that’s not even the main problem. The issue is a failure to realize what you’re putting into your business in order to get the most out of it. continued on page 61

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VENDOR SPOTLIGHT by Joel Gausten

PERFECT PARTS:

Clinton Acura & Phillipsburg-Easton Honda Deliver

A parts dealer with great prices is a dream, but a parts department with great prices but zero customer service is a disaster.

To truly thrive in the wholesale world, a parts operation needs to balance competitive pricing with dependability and a personal touch. At Clinton Acura and sister location Phillipsburg-Easton Honda, earning business means providing an experience that repair facilities can’t get anywhere else.

Currently serving a 50-mile radius with the help of three delivery trucks, Clinton Acura has built a name for itself throughout the region for prompt care and high-quality collision and mechanical parts.

“As long as we get the order in that day and it comes out of our local warehouse, we tell our customers they can expect to see it the next day,” explains Parts Manager Joe Simpson, a 25-year parts industry veteran who has been with Clinton Acura for the past decade. “You have to be very proactive when it comes to somebody’s needs, whether they’re at the service counter or are my wholesale customers.”

Body shops that utilize Clinton Acura’s services receive competitive pricing on OEM parts, allowing repairers to bring the cars back to pre-accident condition using original equipment manufacturer products. Additionally, the dealership has stepped up its customer service expertise even more in recent months by actively working to address vehicle owners’ needs during the Takata airbag recall.

Front row (left to right): Phillipsburg-Easton Honda Parts Manager Jack Paieda and Operations Manager Erin Watson. Rear row (left to right): Chris Hudanich, Alex Cichowski, Mike Vallese, Ethan Sherman and Assistant Manager Scott Sobon

Left to right: Clinton Acura driver Joe Pierro, driver Jeb Bielanski, Parts Advisor Jonathan Blue and Parts Manager Joe Simpson

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“Between the parts department and our service department, we have a really good process in place,” Simpson says. “These airbags are not supposed to sit; you have to be very proactive. The customers are called within two hours of the airbag hitting the ground. The airbags are ordered by VIN; you can’t just order a lot of 20 and give them to the first 20 people to walk through the door. Everything is very specific.”

Looking ahead, Clinton Acura’s parts department will soon offer Web-based accessory ordering through a major online retailer. Of course, Clinton Acura customers will always be able to reach out and work with Simpson and his department through traditional methods. If you’re new to what Clinton Acura offers its parts customers, now is the time to see what you’ve been missing. This includes a parts team willing to go above and beyond in helping shops through as many steps in the repair process as possible.

“If a shop is having a problem with a car’s warning light being on after they’ve completed the repair, we try to help them out and steer them in the right direction,” Simpson says.

Delivering parts to a 40-mile radius that encompasses New Jersey to Eastern Pennsylvania, Phillipsburg-Easton Honda’s parts department is currently comprised of four counterpeople and two drivers.

For the past two years, the wholesale operation has been overseen by Parts Operations Manager Erin Watson, who has devoted his 30-year parts career to getting quality mechanical and collision products to repairers quickly and professionally.

“With Honda, if we don’t have it in stock but it’s in our local warehouse, we can receive it and get it out the very next day,” he says.

With the use of aftermarket parts a growing concern for OEMs and professional repairers alike, the dealership works hard to provide customers with the pricing necessary to use the best products for every job.

“We give the customer an option,” explains Watson. “If it’s price point, we try to discount down as far as we can to make the deal. If it’s quality, we know we can beat that, so it’s basically a negotiation thing.”

In an age when buying groups are outpricing the competition and putting 15 vans on the road, PhillipsburgEaston Honda earns customers the old-fashioned way – by getting out there and starting true relationships.

“We try to capture body shops close to us that we can service twice, maybe three or four times a day with great service and great pricing. What you receive here is a level of service that you can’t get from any big group trying to rush you off the phone to get to the next order. We’re not going to rush you off the phone.”

In New Jersey’s fiercely competitive wholesale parts market, Watson and the rest of the Phillipsburg-Easton Honda parts team succeed thanks to an unbeatable commitment to offering hands-on interaction that makes every customer feel like much more than just a number and a parts order.

“You have to go out on the road.

You have to get out and talk to your customers, shake hands and meet the people you talk to on the phone – just nurture that business.”

Phillipsburg-Easton Honda offers several ways to place your order, including phone, fax, email, PartsTrader and – coming soon – CollisionLink. They also provide technical help with service bulletins, SRS and check engine lights and even radio codes. NJA

Clinton Acura’s wholesale parts department is open 7am-6pm Monday through Friday and 7am-4pm on Saturday. For more information, call (908) 735-5557.

The Phillipsburg-Easton Honda parts department is open 7am to 8pm Monday through Friday and Saturday from 7am to 5pm. For more information, email erinw@pehonda. com or call (908) 859-0954.

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NATIONAL NEWS

SCRS to Host OEM Collision Repair Technology Summit in Las Vegas

The Society of Collision Repair Specialists (SCRS) has announced details on the three sessions making up the third year of the highly lauded OEM Collision Repair Technology Summit. The Summit, to be held Thursday, November 3 during the 2016 SEMA Show in Las Vegas, will continue to focus on emerging trends in vehicle construction and technology and how those aspects influence vehicle repairability. The program is designed to put SEMA Show attendees in a room with innovators in automotive structural design and technology, providing one of the most unique networking and learning opportunities available to the collision repair industry.

Attendees can register to attend three different segments, which can be selected individually or collectively as part of the RDE Full Series Pass.

Registration options can be found at scrs.com/rde. The Summit will include these sessions: Restoring Vehicle Functionality through Electronic Technology and Diagnostics

This session will feature two distinguished panels. The first will be comprised of automakers with documented positions outlining the necessity to perform preand post-repair scans as part of the repair process. The conversation will cover the technological developments that are precipitating the need for a more systematic approach to identifying, documenting and correcting Diagnostic Trouble Codes.

The second panel will feature diagnostic equipment and service providers that have developed technological solutions for the industry. The conversation will identify the mechanisms available to the collision repair community and address unique challenges associated with each. Repairers in attendance will leave with a better understanding of options available to their business.

Advanced Vehicle Materials, Construction and Repair Considerations

Mark Voss of General Motors Co. will lead an exploratory discussion on the role composites will play in advanced vehicle construction. The presentation will explore current and future cases of advanced composite materials, the process and advantages the materials present to automakers, how they are and can be used and repair considerations for these items. This session will also include a separate presentation from Frank V. Billotto of Dow Automotive Systems, who will to discuss “Trends in Vehicle Body Design and Assembly.”

MEET THE TRAINER: A candid discussion with individuals responsible for manufacturer training and curriculum development for technical staff and industry outreach

This session will include collision repairer-moderated panels that will feature training instructors and curriculum developers from some of the most prestigious automaker training academies to discuss the programs available to the industry, both at a technical level as well as an industry awareness level. In-person trainers have a unique insight into the existing challenges our technical staff have as they enter the training room door and the skills they acquire after they leave. The conversation will address proficiency expectations and preparatory steps collision repair facilities can take in order to achieve better results with technicians. In addition to exploring the technical staff training and testing processes, the discussion will also look at training targeted to raise awareness beyond the repair shop floor. The panel discussion will provide interactive opportunities for audience members to participate in the discussion. NJA 28 | New Jersey Automotive | September 2016

Attendees are encouraged to register early, as space will be limited for each of these sessions.

Go to scrs.com/rde for the SEMA Show and the SCRS Repairer Driven Education (RDE) series, including the OEM Collision Repair Technology Summit.

The 2016 OEM Collision Repair Technology Summit is currently made possible with support from PPG Automotive Refinish; Audatex, AkzoNobel, CCC Information Services Inc. and BASF. For more information about SCRS, please visit scrs.com.

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NATIONAL NEWS

I-CAR and ASE Announce New Collaborative Effort

I-CAR (the Inter-Industry Conference on Auto Collision Repair) and ASE (the National Institute for Automotive Service Excellence) have announced a collaboration that aligns and builds on I-CAR’s training and curriculum plus ASE’s testing and certification program.

I-CAR and ASE have been working closely for more than a year and a half on a set of high-impact joint initiatives for the benefit of technicians, students, schools and the industry.

I-CAR CEO & President John Van Alstyne and ASE President & CEO Tim Zilke made the announcement at the Collision Industry Conference meeting at the Anaheim Marriott Convention Center.

The organizations worked to collaborate to better recognize investments made in I-CAR training, related industry work experience and ASE certification testing accomplishments. To that end, ASE will now recognize I-CAR ProLevel 2 or 3 Platinum status to satisfy the requirements for ASE collision repair and refinish work experience.

I-CAR will now grant two credit hours toward Platinum annual training requirements for technicians who hold an ASE Collision Repair certification.

This collaboration will eliminate redundancy for technicians who seek to earn both designations, reduce the total training time and lower the time required to earn those designations.

A second important need for the organizations was to better collaborate in relation to curriculum and accreditation for career technical school collision repair programs. The collision repair industry defines training standards for these programs through NATEF (the National Automotive Technicians Education Foundation), which accredits those programs that meet the standards. In 2012, I-CAR launched the Professional Education Program - Education Edition (PDP-

ASE President & CEO Tim Zilke (left) and I-CAR CEO & President John Van Alstyne announce their organizations’ new joint effort during the Collision Industry Conference in Anaheim on August 10.

EE) to align the collision repair training delivered by schools with the training I-CAR provides every day to the rest of the industry.

A careful review by both organizations confirmed that I-CAR’s Professional Development Program - Education Edition curriculum aligns with NATEF’s Collision Repair and Refinishing Standards task list. The newly updated “Official I-CAR CTE Curriculum Crosswalk to the NATEF Collision Repair and Refinishing Standards task list” documents this alignment, and the Crosswalk will be available from both I-CAR and NATEF. With this collaboration between I-CAR and NATEF, schools that are using (or wish to use) the PDP-EE curriculum will find it easier to match the NATEF task list. This will benefit collision repair and refinishing programs, instructors and students. It will improve these programs and encourage them to use the I-CAR PDP-EE ProLevel 1 curriculum and become NATEFaccredited.

Students will now be able to graduate from NATEF-accredited programs with I-CAR’s Platinum recognition and the ASE Collision Repair and Refinishing Student

32 | New Jersey Automotive | September 2016

Certifications.

“It’s important to know that through these collaborations, one doesn’t replace the other,” said Van Alstyne. “Rather, I-CAR and ASE programs work together synergistically.”

Zilke added, “The combination of I-CAR training, NATEF program accreditation and ASE certification bring our industry full circle for finding and creating world-class collision repair and refinishing technicians.”

Additionally, I-CAR is offering training classes at the ASE Industry Education Alliance Instructor Training Conference every year and will present the first-ever I-CAR Collision Repair/ Refinishing Technician of the Year Award at the ASE Fall Board Meeting.

This partnership approach to aligning and building training and curriculum will help advance the role of education and knowledge across the collision repair industry, and elevate the impact of recognition for technicians who have earned both I-CAR and ASE designations.

(Source: I-CAR/ASE press release) NJA

New Jersey Automotive | September 2016 | 33

Audi dealers strive to make you an Aud

•

Audi dealers are supported by a nation-wide network of parts distribution centers to help ensure that non-stocked parts are delivered the next day.

•

Audi dealers are continuously increasing their parts inventories to better meet your business demands.

•

The availability of Audi Genuine Parts is rated among the highest in the industry, helping to speed up your repair process.

•

Audi Genuine Parts meet Audi standards for quality, fit and performance.

Installing Audi Genuine Parts from an Audi dealer is priceless to your reputation and your customer Flemington Audi 213 Route 202/31 Flemington, NJ 08822 Toll Free: 800.216.5124 Fax: 908.782.9397 email: rmuir@flemington.com www.flemington.com

Classic Audi 655 North Macquesten Pky. Mount Vernon, NY 10552 914.663.2870 Fax: 914.663.2878 email: parts@westchesteraudi.com www.westchesteraudi.com

Audi Turnersville 3400 Route 42 Turnersville , NJ 08012 856.649.7560 Fax: 856.649.7565 www.turnersvilleautomall.com

Audi Eatontown 270 Highway 36 West Long Branch, NJ 07764 732.389.1743 Fax: 732.935.7585 www.eatontownaudi.com

DCH Millburn Audi 2211 Millburn Ave Maplewood, NJ 07040 Toll Free: 800.553.9250 Direct: 973.762.0262 Fax: 973.821.2040 www.millburnaudi.com

Paul Miller Audi 179 Route 46 East Parsippany, NJ 07054 Toll Free: 800.35.MILLER Parts Direct: 973.575.7793 Fax: 973.575.5911 www.paulmiller.com

Palisades Audi 127 Route 59 Nyack, NY 10960 Toll Free: 888-349-6075 Parts Line: 845-353-4870 Parts Fax: 845-358-5959 AudiParts@ThePremierCollection.com

34 | New Jersey Automotive | September 2016

di Genuine Parts fan.

Is your shop experiencing insurance company demands, impatient customers and more complex repairs?

r’s peace of mind. Order Audi Genuine Parts from these select dealers.

Town Motors Audi 400 South Dean Street Englewood, NJ 07631 201.227.6506/6536 Fax: 201.541.0314 www.townmotors.com

Cherry Hill Audi 2261 Marlton Pike West Cherry Hill, NJ 08002 Wholesale: 856.665.5660 Fax: 856.665.4645 email: parts@cherryhillimports.com www.cherryhillaudi.com

Audi Brooklyn 211 63rd Street Brooklyn, NY 11220 Phone: 718.492.6400 Fax: 718.492.8899 rmerchant@audibrooklyn.com www.audibrooklyn.com

Audi Manhattan 800 11th Avenue New York, NY 10019 212.515.8200 Wholesale Direct: 212.515.8275 www.audimanhattan.com

Bell Audi 782 Route 1, Edison, NJ 08817 732.396.9360 Fax: 732.396.9090 www.bellaudi.com

New Jersey Automotive | September 2016 | 35

LEGAL PERSPECTIVE by Mitchell Portnoi, Esq.

Auto/Motorcycle Insurance and the Uninsured Motorist Coverage (UIM), which covers you in the event that the vehicle that causes injury to you or damage to your vehicle is underinsured compared to the coverage that you have. That is why it is so important to have the maximum vehicle coverage that you can reasonably afford. It is simply because you are very practically covering yourself every bit as much as you are covering the person or persons you may injure.

UM/UIM coverage is available to you under both your auto policies as well as any motorcycle policy. Your UM/UIM policy cannot be any higher

All standard (as opposed to “basic”) than your liability limits, and it should motor vehicle policies in New Jersey, under no circumstances be lower including those for motorcycles, provide than those limits. As an example, if uninsured motorist (UM) coverage for a person carrying a $500,000 UIM injuries in the event of an accident with policy gets hurt by the negligent acts an uninsured or “hit-and-run” driver. of a person who is only carrying a Such coverage should always be in an $15,000 liability policy, he or she would amount equal to any liability coverage get to access the difference between that you have. Closely associated with the two policies, or in this case an ‘UM” coverage is Underinsured Motorist additional $485,000. This is, of course,

36 | New Jersey Automotive | September 2016

assuming that the injuries warrant an award of the full $500,000. Similarly, if a motorist (covered by a UM policy of $500,000) is injured by a vehicle that hits him and then drives away without being identified, he can access his UM Coverage to the full extent of his coverage (in this case, $500,000).

It is so very important that consumers understand the impact of their own choices of motor vehicle insurance coverage. The failure to make the correct policy choices can have a profound effect should the insured be involved in a collision and not have the appropriate coverage. Obviously, once the collision has occurred, it is then too late to get the correct coverage.

While answers to many questions can be obtained online or in consultation with an informed insurance agent, I am available to consult with anyone about the appropriate coverage to get at the outset. Please do not hesitate to contact me at (973) 228-9900. NJA

New Jersey Automotive | September 2016 | 37

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For Genuine Subaru Body Parts, contact these Authorized Subaru Dealers.

Flemington Subaru 167 Route 31 Flemington, NJ 08822 Toll Free: 800-218-1432 Phone: 908-782-6831 Fax: 908-782-9701 bstratton@flemington.com www.flemingtonsubaru.net

Subaru of Morristown 175 Ridgedale Avenue Morristown, NJ 07960 Toll Free: 800-541-1127 973-292-0872 wholesale@subaruofmorristown.com

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Glanzmann Subaru 95 Old York Road Jenkintown, PA 19046 Parts Direct: 800-440-0130 Parts 24-hr. Fax: 267-287-0034 parts@glanzmann.com www.getsubaru.com

Liberty Subaru 55 Kinderkamack Road Emerson, NJ 07630 Phone: 201-261-7495 Fax: 201-261-3261 Toll Free: 888-782-9493 parts@libertysubaru.com

New Jersey Automotive | September 2016 | 39

40 | New Jersey Automotive | September 2016

Raw Data,

REAL FEEDBACK: The 2016 NJA Industry Survey

by Chloe Durante

As an industry publication, New Jersey Automotive works to keep the Garden State automotive industry informed and up to date on current trends, issues and statistics.

NJA covers everything from national news to what’s going on in the local shops down the street. That is why you all must take a moment to read the 2016 NJA Industry Survey, which will allow you to get a sense of what is really going on. To those of you who took the time to offer such helpful feedback, NJA thanks you. We hope this Survey is able to offer valuable information on the current state of the auto body and mechanical service fields.

New Jersey Automotive | September 2016 | 41

SURVEY DEMOGRAPHICS COVER STORY

53%

What best describes your primary business?

Collision & Mechanical Repair: 28%

38%

Collision Repair: 72%

Mechanical Shops:

Are you a Private Yes: 11% Inspection Facility? No: 89%

9% WHERE IS YOUR SHOP LOCATED?

On a scale of 1-10, how would you rate your current state of business?

18%

One

Two

Three

Four

Five

Six

26%

Seven

12%

Eight

74% This year, 74% of shops rate their businesses

as above average.

42 | New Jersey Automotive | September 2016

8%

Nine

10%

Ten

What training have you and/or your employees received over the past year?

Collision Shops:

I-CAR

58%

Are you a DRP?

73% YES 27% NO

AASP/NJ

32% OEM

7% OTHER

3%

While a majority of shops utilize AASP/NJ and I-CAR as their go-to training forums, very few shops mentioned having any OEM certifications.

There was a single facility that reported holding Mercedes-Benz, Volkswagen and Acura certifications. In addition, a number of shops stated they have held painting and welding training courses for their employees, with one facility holding such classes multiple times.

How many employees do you have, including yourself?

31%

1-5 employees

42%

6-10

12%

11-20

15%

20+ 0

10%

20%

30%

40%

50%

continued on page 46 New Jersey Automotive | September 2016 | 43

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Mazda of Lodi 130 Route 46 East Lodi, NJ 07644 Phone: 866-716-0511 Fax: 973-594-4933 www.mazdaoflodi.com

New Jersey Automotive | September 2016 | 45

COVER STORY Over the past year, do you feel insurers have been more willing or less willing to distribute paint and materials reimbursement based off a cost accounting system?

% g: 58

g: willin More

42%

willin Less

What investments have you made into the repair of advanced materials, including training, certification, tools and equipment?

The majority of shops acknowledge that proper reimbursement for paint and materials continues to be a complicated issue impacting their ongoing success.

“First, they tell you they don’t pay, then they pay [without] mark-up; they tell you materials are not included. It is a constant battle – much valuable time wasted,” observed a Rockaway-based Survey participant. “They often say, ‘That’s the cost of doing business.’”

While insurance companies do negotiate costs and eventually pay what they feel is owed, few (if any) shops are ever completely satisfied with the outcome.

“All insurance companies acknowledge the use of [a cost accounting system], but only about 50% will actually pay. The others make excuse after excuse, and we never actually see the money,” claimed a shop in Asbury Park.

73% on tools and equipment 27% on training and certifications

This year, 39% of participants’ tools and equipment purchases went towards welders.

Approximately what percentage of OEM parts do you use during your repairs?

6% surveyed

25 percent

What do you think is the most pressing issue affecting repair shops today?

Not surprisingly, 47% of individuals identified insurance company interference as the most pressing issue affecting their businesses.

“Insurance companies overreach into our Standard Operating Procedures [SOPs],” stated a Roxbury shop. Whether it be through DRP shops, the overwhelming use of steering or the forced use of aftermarket parts, insurance company interference is always at the forefront of shops’ minds. Not too far behind, 37% of respondents mentioned the low Labor Rates as the most distressing topic of concern. While many of those who took the Survey simply wrote “Labor Rates” in the comment box, a number of shops blamed insurance companies for the low rates and felt the interference – in all aspects – has a trickle-down effect.

“Insurance companies dictate rates and what they consider their dollar amounts to be for everything,” said an East Hanover shop owner.

“Insurance companies try to set a cap on what we make on the parts; 25% on used parts is not enough,” commented one shop in Hazlet. “They locate the used parts, and then there is no room to negotiate with the salvage yard because the insurance company has already beaten them down.”

46 | New Jersey Automotive | September 2016

OEM 71% surveyed

75 percent

23% surveyed

50 percent

In what instances do you use aftermarket parts?

All respondents in this Survey admitted to using aftermarket parts due to insurance pressures and mandates; however, roughly 50% also suggested that most customers request the cheapest possible estimate (especially on older vehicles) and are made fully aware of the risks of using these alternative parts. Most respondents shared the feeling that while customers were saving money in the beginning, they were losing it in the long term.

“Using OEM parts is the safest bet. We shouldn’t even be risking it by using aftermarket,” offered a shop owner down in Long Branch.

How has steering affected your business?

Throughout the past year, steering has remained one of the most prominent issues in maintaining a successful auto repair shop. While a small percentage of shops seem to have the attitude of “you win some, you lose some,” others don’t share the same carefree idea. The majority of shops feel they are losing business – and fast. One Rutherford shop owner felt it has always been a problem for his business because insurers get the calls first.

“They don’t suffer the loss – we do,” he said.

Because most consumers lack insight on steering, when they are told by their

What is your current Labor Rate? $50 or less

31%

What do you think your Labor Rate should be?

More than $56

58%

More than $85

53%

insurance company to go to a specific shop, they believe blindly that they must have their vehicle repaired there. One Brick Township shop owner suggested that insurance companies bully their customers.

“Vehicles have been in my shop with signed authorizations for repairs, and then the insurance company will intimidate the vehicle owner and that vehicle is removed. ” With only 16% of respondents stating that steering has had little to no impact on their businesses, it is safe to say that the other 84% feels they are being affected in a negative way.

Approximately how much money do you spend on parts annually? $101K-$500K: 63% $501K-$1 Million: 11% $1 Million and up: 26%

$65 - $80

47%

$50 - $55

11%

Where do you look to hire new employees?

Over the past several years, it has become abundantly clear that there is an overwhelming lack of potential technicians and repairers on the market. Not only are auto repair vocational programs being cut left and right across the country, but a majority of young people have a misconception that the collision repair industry is far from booming.

So where do employees look for new talent? Well, a surprising 37% of Survey respondents stated that Craigslist was their go-to site engine, while 21% said they rely on good oldfashioned word of mouth. The remaining 42% liked to “keep it in the family” and utilize the AASP/NJ Labor Pool to find new employees. That being said, most respondents made sure to mention just how difficult it is these days to find good repairers. Many of them “take what they can get.” continued on page 52

New Jersey Automotive | September 2016 | 47

IF OFFERING ONLY ORIGINAL MINI PARTS IS A CRIME...

THEN YEAH, WE’RE GUILTY. At your local MINI dealer, we believe that using Original MINI collision replacement parts will speed your repairs and increase your profitability. Original MINI parts assure an absolute perfect fit and function.

For Original MINI parts, contact any of these authorized MINI dealers.

Princeton MINI 3466 US Highway 1 Princeton, NJ 08540 609-452-9400 fax: 609-945-1010 PRINCETONMINI.COM

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MINI of Manhattan 793 11th Avenue at 55th Street New York, NY 10019 212-246-7375 Fax: 212-315-9560 MININYC.COM FACEBOOK.COM/MINIOFMANHATTAN

© 2016 MINI USA, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks.

New Jersey Automotive | September 2016 | 49

No ruff roads.

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50 | New Jersey Automotive | September 2016

New Jersey Automotive | September 2016 | 51

OFFICIAL AUTOMOTIVE PAINT OF

Do you typically perform scans before and/or after a repair?

EXPERT ASSISTANCE WHEN AND WHERE YOU NEED IT.

Yes: 63% No: 37% If you answered “yes” to the previous question (you perform pre- and post-repair scanning), which do you typically do?

Scan in-house using a 3rd-party vendor: 64% Scan in-house using an OEM scanner: 29% Hire a 3rd-party vendor to perform scanning services: 7%

Have you completed the National Auto Body Research Variable Rate System Survey?

Yes: 63% No: 37%

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Which industry trade shows have you attended in the last 12 months?

ideas:

ive.com

®

AASP/NJ’s NORTHEAST Show: 79% SEMA Show: 11% AAPEX: 7% NACE: 3%

52 | New Jersey Automotive | September 2016

FINAL THOUGHTS Clearly, the automotive repair industry is riddled with injustices and afflicted with issues of uncertainty and inequity.

“There is a complete lack of knowledge in the mom-and-pop shops. The insurance companies take full advantage of these untrained shops,” said one AASP/NJ member.

“Many insurance companies have increased the Labor Rate and feel it is sufficient—it’s not,” offered a Clifton shop owner.

“You have to fight for your right to be paid every single time,” added another.

“I have lost a lot of jobs to DRP shops,” answered one facility owner in Hamilton.

“If a vehicle owner is told by their insurance company to go to a certain shop, why wouldn’t they? That is why I am so thankful for my long-term, educated customers,” commented a shop from East Brunswick.

From steering to insurer interference to low Labor Rates, the pressing issues of this industry remain stagnant. The question is, what do we do? Well, one thing is certain: AASP/NJ does not plan on giving up without a fight. Staying involved through industry events, organizations and fundraisers is always a sure way to band together to take a stand. You are not alone, and we hope that you find the responses to this Survey helpful. Now, let’s get industry professionals what they deserve. NJA New Jersey Automotive | September 2016 | 53

WE KNOW WHAT YOU’RE THINKING. YOU WANT TO KNOW IF THE PART’S IN STOCK, HOW MUCH IT COSTS, AND WHEN IT’S GONNA GET THERE. We get it.

You want the best part for a Toyota, but you’ve got to know when and how much.

Well, now you can. In addition to tools that can help you find and order the right VIN-based parts, now you can see if it’s in stock, schedule the delivery, even see your shop’s net price from your participating Toyota Dealer.* Now you’re thinking: “Cool!”

ToyotaPartsAndService.com

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For Toyota Genuine Parts please call one of these authorized local Toyota Dealers: Toyota of Hackensack 278 River Street, Hackensack, NJ 07601 Toll Free: 888-PARTS-28 Direct: 201-488-5756 Fax: 201-487-2618 paulc@toyotaofhackensack.com www.toyotaofhackensack.com

Glen Toyota 23-07 Maple Ave, Fair Lawn, NJ 07410 Toll Free: 800-444-1959 Direct: 201-791-1133 Fax: 201-703-5652 parts@glentoyota.com www.glentoyota.com

54 | New Jersey Automotive | September 2016

Toyota of Morristown 169 Ridgedale Ave, Morristown, NJ 08960 Toll Free: 800-541-1127 Fax: 973-292-0872 www.toyotaofmorristown.com

New Jersey Automotive | September 2016 | 55

56 | New Jersey Automotive | September 2016

New Jersey Automotive | September 2016 | 57

58 | New Jersey Automotive | September 2016

NO BRAKES by Ron Ananian

THE OTHER SIDE OF THE FENDER Do vehicle owners have any idea what it takes to repair the cars of today? They know there is advanced technology at work under the hood, and that technology requires special tools, training and skill. But do they know what it really takes? The behind-the-scenes drama and grit? The days of luck, coordinating parts and people, shuffling paperwork and all that goes with the process are endless and untold. And sometimes the best untold story is – well – a story like this.

A 2005 Honda Civic came into the shop with a check engine light on and a trouble code: P0340, cam sensor circuit fault. The diagnosis was pretty clear; power, ground and signal return tests from the connector to the PCM with a lab scope proved out a bad sensor or trigger wheel. They do have some problems with keyways becoming sloppy for crank and cam sprockets along with the occasional loose timing belt, but that was not the case here. I knew that even the trigger wheel was a long shot since it is part of the cam sprocket; for it to not work, the sprocket had to suffer a catastrophic failure and therefore would not be running. The book time said 1.2 to change the sensor, and like I always say, let the book try it. My diagnosis panned out; after removing the valve cover, power steering pump and reservoir, the upper timing cover was off. Ten pounds of baloney in a five-pound sack? They sure did stuff everything under the hood of this little Civic. It even had ABS! Want to know how I knew? It, too, was in the way of the timing cover and (eventually) the cam sensor.

To remove the cam sensor, the 6mm bolt that holds it down to the side of the cylinder head required removal as well. If the engine was out on the bench or the ABS control

module wasn’t in the way, it would have been a piece-ofcake job. That wasn’t the case here, however, and there was no straight shot at the bolt. Finally, with the right combination of a flex socket and swivels, I built a “bendable” wrench and pulled the bolt loose. Now, fast-forward to the next problem.

How do you remove the bolt from inside the timing belt area that is so crowded your hand does not fit without dropping the bolt inside the engine? Would this require further teardown to retrieve? Enter the idea of thinking for a living...

After stuffing some shop rags into the area as a catch basin, I stood at the fender on the driver’s side, reached in with my left hand (I’m a righty) and slowly twirled the bolt out. When I felt it come to the end of the threads, I stopped, turned while holding it there and used the long magnet in my right hand to capture the top of the bolt before falling. I had successfully removed it. (How do you spell “relief”?) The sensor itself was simple to swap out; it was in and out in seconds. Now, to install the bolt before reassembly. Enter the dum dum — no, not the shop stooge; dum dum, that black tar-like substance we all use to pack around AC evaporators and heater cores (and a thousand other things in the shop).

A little swatch of that inside the socket held the bolt in place;

’Til next time, I’m Ron Ananian, The Car Doctor, reminding you that “Good mechanics aren’t expensive; they’re priceless.”

Ron Ananian, owner of R\A Automotive in Waldwick, NJ (est. 1978), is heard weekly in 140 markets on his nationally syndicated radio talk show. He is a working technician and former AASP/NJ Board member.

Beyond his radio show, Ron writes and speaks for the automotive industry at trade shows and events. Visit The Car Doctor online at www.cardoctorshow.com.

“The Car Doctor” can be heard LIVE in the New York market. Tune in Saturdays, 2-4pm on WRCR AM 1700 for new shows!

New Jersey Automotive | September 2016 | 59

NO BRAKES with a little patience, I was able to guide it around everything the engineers left in my way for a successful installation. All that remained was stuffing everything else back in its place.

THE BOTTOM LINE IS…

Vehicle owners rarely have a clue of what we deal with each and every single day. This repair, while not physically demanding, was mentally challenging. Laying things out in proper order, thinking a few steps ahead to prevent a disaster (like losing the bolt inside the engine) and a hundred other things. The real feather-in-the-cap moment for something like this is just being successful by completing the task at hand.

But there’s more...it’s also a great opportunity to sell the shop even after the fact.

We always let the customers know exactly what we had to deal with in their repair in situations like this. Describing the steps and showing them some cell phone pictures helps make the case. It surely did here, because he got it: “Thanks for taking your time and doing it once and once correctly.”

He went on to point out that if I had lost the bolt inside the engine, he knew I still would have repaired it correctly, found the bolt, etc. But he also pointed out (and I agreed) that taking something apart because of a bad engineering design only increases the chance for something else to go wrong.

60 | New Jersey Automotive | September 2016

They are unnecessary steps in any repair process. This repair would have been much simpler and safer for everyone involved if the engineer had used a 6mm stud with a shank area to rest the nut on during removal.

But then again, what do I know? I’m just a mechanic, right? Maybe that title should change to “Improvement Engineer.” After all, we do make cars better, one piece at a time. NJA

COLLISION CHAIRMAN’S MESSAGE continued from page 23

The business of learning and understanding your KPIs is not easy, nor can you master it overnight. And most importantly, once you think you do have a handle on your numbers, you can’t stop! Odds are that you weren’t a businessman who decided to open a shop. If you’re like me, you’re a “car guy” who wanted to go into business for himself. The numbers part of running a business is not fun, and maybe it takes you away from your true passion of getting your hands dirty and restoring vehicles following a collision. But if you want to be successful, you have to make it a priority to be continuously controlling your costs, analyzing your numbers and focusing on continuous improvement.

Join a performance group. Attend trainings like those presented annually by myself and John Niechwiadowicz at AASP/NJ’s NORTHEAST® Automotive Services Show. And become a part of associations like AASP/NJ that are working on behalf of bettering the industry as a whole.

The keys to success are in knowing exactly what makes your business operate in a profitable way, inside and out. Stop working harder; start working smarter. NJA New Jersey Automotive | September 2016 | 61

OUT OF BODY (AND MECHANICAL) EXPERIENCES continued from page 11 had no label. One lady couldn’t speak English. Two teenagers who were taking 30 minutes to pay for a pair of sneakers turned and yelled across the store to their father, “Dad, do you have a quarter?”

I tried very hard not to be that guy who can’t hide his anger while waiting in line, but the stupidity of the customers and the lack of concern of the store’s employees was making my blood boil. I kept thinking to myself, “THIS is why people shop online.”

I finally made it to the counter, paid and was out of there as soon as possible. It took me maybe 90 seconds to do so. How the hell did it take so long to get through the line???

Of course, there was one last incident to (literally) leave the bad mall taste in my mouth. On the way out, I noticed a new stand that only sold French fries. The menu looked pretty awesome. Straight fries, curly fries, all types of toppings. I stopped and asked the guy behind the counter if the curly fries were the normal spicy kind. He looked at me like I was the woman from JCPenney who couldn’t speak English. He grunted to the girl behind the register (the one with the 18-inch nails who couldn’t possibly hit the correct keys on the register). She told me with no lack of annoyance, “They are curly fries.”

“I can see that, but are they spicy?”

“They are curly fries.”

Ugh.

Being the sucker I am, I ordered the fries and paid for them, then moved down to the pick-up station. It was there that I noticed the ovens they were shoving the fries into. Not fryers, ovens.

You know, the kind they have in movie theaters that make the fries taste like soggy cardboard? That’s exactly what they tasted like. When I asked about that, nail woman pointed to the salt and ketchup packets on the counter.

Self-help fries station, anyone?

Coincidentally, this morning Macy’s announced they are closing 100 stores, most of which are located in malls.

I wonder why. NJA 62 | New Jersey Automotive | September 2016

ARANJ 2016 Officers President Bob Dirkes Dirkes Used Auto Parts (609) 625-1718 dirkesauto@gmail.com 1st Vice President Ian Szoboszlay Ocean County Auto (732) 349-0332 ian@cosmosautoparts.com 2nd Vice President Darryl Carmen Lentini Auto Salvage (908) 782-6838 darryl@las-parts.com 3rd Vice President Joe Goodman Leesville Auto (732) 388-0783 joeg@leesvilleauto.com Executive Director Brian Snyder Auto Recyclers of NJ (609) 714-2339 brian@aranj.org

ARANJ 2016 Board of Directors Mike Ronayne Tilghmans Auto Parts (609) 723-7469 tilghmans@snip.net Mike Yeager EL & M Auto (609) 561-2266 elandmauto@aol.com Rodney Krawczyk Ace Auto Wreckers (732) 254-9816 aceautonj@comcast.net Mike Caputo Lacey Used Auto Parts, Inc. (609) 693-0898 laceyautomike@aol.com Bert Witcraft Auto Express (856) 728-8367 Ed Silipena American II Autos (609) 965-6700 esilipena@yahoo.com Harry Shover Porchtown Auto (856) 694-1555 Norm Vachon Port Murray Auto (908) 689-3152 portmurrayauto@yahoo.com

ARANJ The Automotive Recyclers Association of New Jersey

Wharton Insurance Briefs An ARA Member

Recently, we have received a number of problems with workers’ compensation annual audits.

There are several classifications of insurance that can apply to your operations, such as Auto Dismantling, Scrap Dealer, Clerical, Sales, Auto Repair and Store Auto Part Sales/Counterperson. It is very important that you have each employee classified properly and understand the workers’ compensation guidelines. The area that has been the biggest problem is the classification of a Counterperson versus a Clerical person. Technically, if there is no physical separation between the Counterperson and a Clerical person (Internet sales, bookkeeper, etc.), they will classify the Clerical person ($0.28 rate) as a Counterperson ($5.72) rate, which is an extremely higher rate.

Proper classification, physical separation and understanding the guidelines are all important items to have prepared prior to your appointment with the insurance company’s auditor. You should contact your insurance agent prior to your audit and review the job duties of each of your employees for proper classification.

If you have any questions, please contact me. NJA Mario DeFilippis, AAI, Vice President (800) 221-0003 (ext. 1320) (908) 513-8588 (cell) mdefilippis@whartoninsurance.com

New Jersey Automotive | September 2016 | 63

64 | New Jersey Automotive | September 2016

New Jersey Automotive | September 2016 | 65

ADVERTISERS’ INDEX Access Commercial Capital...................... 63

Future Cure.............................................. 25

Polyvance................................................. 48

Acme Nissan.............................................. 4

Grand Prix Subaru.................................... 57

Post Polak Goodsell & Strauchler............. 36

Action Nissan of Flemington..................... 10

Glen Toyota...........................................OBC

PPG........................................................... 3

Amato Agency.......................................... 58

Hyundai Group......................................... 37

Princeton BMW........................................ 51

Audi Group..........................................34-35

JMK Saab/Fiat of Springfield.................... 11

Princeton MINI.......................................... 60

Axalta Coating Systems.............................. 6

Klean Frame............................................. 62

Sherwin-Williams................................ 40, 53

BMW Group........................................26-27

Levittown Ford.......................................... 57

Subaru Group........................................... 39

BMW of Springfield................................... 13

Lynnes Nissan East.................................. 60

Subaru of Morristown............................... 50

Bridgewater Acura.................................... 55

Maxon Mazda........................................... 38

Town Motors............................................ 44

Cadillac of Mahwah.................................. 29

Maxon Hyundai........................................ 20

Toyota Group............................................ 54

Classic Audi.............................................. 18

Mazda Group........................................... 45

Toyota of Hackensack.............................IFC

Collision Equipment Company.................. 17

Mike Kaufmann Dealer Group................... 12

Toyota of Morristown................................ 50

Clinton Acura.......................................... IBC

Mini Group................................................ 49

Tri-State Luxury Collection.......................8-9

Dover Dodge Chrysler Jeep...................... 66

Mitsubishi Group...................................... 64

USI of North America................................ 63

Empire Auto Parts.................................... 62

Mopar Group............................................ 23

Valtek....................................................... 61

Fenix Parts............................................... 19

NUCAR...............................................14-15

VIP Honda................................................ 55

Flemington Audi.......................................... 5

Paul Miller Audi......................................... 33

VW Group................................................ 65

Flemington Group..................................... 30

Phillipsburg-Easton Honda..................... IBC

Westbury Jeep Chrysler Dodge Ram SRT.56

Fred Beans Parts...................................... 21

Porsche Group......................................... 31

Wheel Collision Center.............................. 61

66 | New Jersey Automotive | September 2016

Clinton Acura

1756 Route 31 North | Clinton, NJ 08809 FAX: 908.735.0380 www.clintonacura.com | ClintonAcura@gmail.com

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Phillipsburg-Easton Honda 400 County Road 519 | Phillipsburg, NJ 08865 TOLL FREE: 877.505.6939 FAX: 908.859.6493 www.pehonda.com | erinw@pehonda.com

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WHOLESALE SPECIALIST HOTLINE: 908.859.0954