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[Podcast] Industry Terminology: It’s Time to Change it. Can You Get Behind This? [RR 571]


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Chris Cloutier is co-owner of Golden Rule Auto Care in Dallas Texas and CEO of Auto Tex Me. He spent many years in the software industry developing solutions for companies like Southwest Airlines, and Wyndham Intl. He’s worked for companies that understood the marriage of service and software, and have applied it in an effective way. Chris has his ASE C1: Automobile Service Consultant Certification Test (C1). He brings the business side to the business and his brother Pat brings the Braun. Chris is also a musician. Hear Chris’s previous episodes HERE.  Autotex.me website HERE.

Bob Greenwood, AMAM (Accredited Master Automotive Manager) is President and C.E.O. of Automotive Aftermarket E-Learning Centre Ltd. (AAEC). It is a company focused on providing Business Management Resources and Development for the Independent Sector of the aftermarket industry. Its content and technology is recognized as part of the curriculum of the Fixed Operations Diploma and the Aftermarket Degree courses taken at the Automotive Business School of Canada at Georgian College located in Barrie Ontario Canada. This school is the leader and only college in Canada that offers an automotive business education. AAEC is also recognized by the Automotive Management Institute (AMI), located in North Richland Hills, Texas USA, allowing 80 credits for successful completion of the AAEC E-Learning portion of the site towards the 120 credits required to obtain the reputable Accredited Automotive Manager (AAM) designation. Bob’s previous episodes are HERE. AAEC website HERE.

Key Talking Points:

  • Necessary changes to our Industry terminology because of the profession we’ve become
  • We use too many industry terms with our customers such as work order instead of invoice
  • Business Owner - IN vs Shop Owner - OUT Anyone can own a shop, but it takes a certain person to own a business and be a leader.There is also a difference between entrepreneurs and business owners- chasing a dream and ideas vs looking at numbers in business and building people within a business.
  • Work on your business instead of in your business
  • The business owner should elevate to a CEO - Chief Executive Officer
  • Going from a Trade -OUT to a Profession - IN.A change in mindset and discipline to be focused on making net profit. 

 

  • Client strategic business - IN vs Customer-based business - OUT You have a responsibility for clients and have earned trust. Customers come and go.
  • What makes you unique and different? Your value proposition
  • What do you bring to the table that others do not?
  • You don’t sell clients. You council them.
  • Relationships build trust
  • Council not sell- understand vehicle and client. 
  • Changing your mindset using language. If you think of yourself as a CEO vs an owner will change how you approach things as a leaderCEO- IN vs Shop Owner - OUT
  • Service Consultant/Advisor - IN vs Counter salesperson/writer - OUTRelationships built trust
  • Technician- IN vs Mechanic -OUT
  • Invoice - IN vs Work order - OUT 

 

  • The terminology of business software. Acronyms SMS shop management system,
  • DMS (dealer management system) vs POS (point of sale system)
  • Development - IN vs Training - OUTDevelopment classes scheduled for the next year for entire team
  • Attracting younger generation- skill level continues to elevate with the amount of technology within vehicles 

 

  • Business cards for your team members should include their certifications or professional accreditations
  • Change starts with the owner- set expectations and defines the language used within the business You have to understand your people, how to communicate, motivate, and train. 
  • Are you training and developing your technician? Are they certified? Continue to develop your knowledge
  • Every team member should have a business card with certifications
  • Instructors - IN vs Trainers - OUT - instructors have done research priorAnswer all questions
  • Have a thorough investment with their time and always continue to work on presentation skills
  • Having great knowledge does not necessarily help be a great instructor. You need to know how to be a great presenter. Always looking at how to transfer knowledge and engagement with student
  • A language improvement starts with the ownerThe owner has to lead
  • Are you taking the time to make your people feel like technicians or consultant
  • DVI does not mean you are paperlessDigital does create a paper trail

 

  • Pro Market Collaborative - IN vs Independent Aftermarket - OUT
  • VSP - Vehicle Service Professional

 

Resources:

  • Thanks to Bob Greenwood and Chris Cloutier for their contribution to the aftermarket’s premier podcast.
  • Link to the ‘BOOKS‘ page highlighting all books discussed in the podcast library HERE. Leaders are readers.
  • Listen for free on Apple Podcasts, Google Podcasts, Spreaker, iHeart Radio, Spotify, Podchaser and many more. Mobile Listening APP's HERE
  • Find every podcast episode HERE.
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  • Key Word Search HERE.

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NAPA AutoCare’s PROimage program makes it easy for you to make the most of the NAPA brand. A PROimage upgrade lets you maintain your shop’s identity as a reliable, locally-owned business while letting your customers and potential customers know you’re partnering with NAPA, the most recognized and trusted name in the automotive aftermarket. AutoCare Centers that have completed a PROimage exterior upgrade enjoy an average 23 percent sales increase during the first year. You can also choose to go PROimage on the interior and transform your customer waiting area from merely utilitarian to warm and welcoming. You can even get a free look by visting www.NAPAAutoCare.com and clicking on the NAPA PROimage link under the NAPA PROimage tab. Of course, the AutoCare site is also the place to go to find out about all the advantages being part of the NAPA family has to offer.

Learn more about PROimage and the hundreds of other benefits NAPA offers. visit the NAPA Benefits Center, at www.napabenefitscenter.com or call the NAPA Benefits Center at 844-627-2123.

Click to go to the Podcast on Remarkable Results Radio

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  • Have you checked out Joe's Latest Blog?

         13 comments
      Most shop owners would agree that the independent auto repair industry has been too cheap for too long regarding its pricing and labor rates. However, can we keep raising our labor rates and prices until we achieve the profit we desire and need? Is it that simple?
      The first step in achieving your required gross and net profit is understanding your numbers and establishing the correct labor and part margins. The next step is to find your business's inefficiencies that impact high production levels.
      Here are a few things to consider. First, do you have the workflow processes in place that is conducive to high production? What about your shop layout? Do you have all the right tools and equipment? Do you have a continuous training program in place? Are technicians waiting to use a particular scanner or waiting to access information from the shop's workstation computer?
      And lastly, are all the estimates written correctly? Is the labor correct for each job? Are you allowing extra time for rust, older vehicles, labor jobs with no parts included, and the fact that many published labor times are wrong? Let's not forget that perhaps the most significant labor loss is not charging enough labor time for testing, electrical work, and other complicated repairs.  
      Once you have determined the correct labor rate and pricing, review your entire operation. Then, tighten up on all those labor leaks and inefficiencies. Improving production and paying close attention to the labor on each job will add much-needed dollars to your bottom line.
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