Forget the Past: Focus on the Future [THA 310]
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By Joe Marconi in Joe's Blog13 commentsMost 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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By carmcapriotto
Recorded Live at the 2023 Institute Summit, shop owner turned coach Jennifer Hulbert discusses the value of joining a coaching group. Find out what it's like to be in a coaching group with the Institute, and why she is passionate about celebrating other people's accomplishments.
Jennifer Hulbert, Service Plus Automotive, Calcium, NY. Facilitator for the Institute for Automotive Business Excellence.
Show Notes
Has 3 coaching clients- discovering finances, gross profit, structuring segments of business, increasing billable hours, and implementing a parts matrix. Facilitating- a group usually consists of 18 to 20 shop owners. They are assigned a partner, they have an individual accountability partner along with access to their facilitator coach. Have three in-person meetings a year. Part of those in-person meetings is to evaluate the whole shop. Go in, do a full evaluation of the shop, and give the owner feedback on areas for improvement. The other time is spent with training, and reviewing financial numbers, because if you don't know your numbers, you're never going to grow your business. In between, they have a couple of Zoom meetings as an entire group, and then the facilitator does reach out individually once a month. Never be the smartest person in the room If you’re not learning, you’re not growing Celebrate other people's accomplishments Joining a coaching company- understand profits, understand the structure of a business, understand your numbers, and structure your finances to make a profit. “Mama Bear of the Team”- Jennifer wants to see individual employees and their families succeed. Ensuring whatever decision you are making about the company is going to benefit your employees Women can do anything that a man can do Read the book “Traction: Get a Grip on Your Business”- communicate clear goals, build a leadership team, and hold each other accountable. Increased sales by 38%
Thanks to our Partner, NAPA AUTO CARE Learn more about NAPA AUTO CARE and the benefits of being part of the NAPA family by visiting www.NAPAAutoCare.com Connect with the Podcast: -Join our Insider List: https://remarkableresults.biz/insider -All books mentioned on our podcasts: https://remarkableresults.biz/books -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom -Buy Me a Coffee: https://www.buymeacoffee.com/carm -The Aftermarket Radio Network: https://aftermarketradionetwork.com -Special episode collections: https://remarkableresults.biz/collections
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
During Today's episode #105 Brent and I Talk About:
Brent’s Favorite Super Hero Brent’s Shop Brent’s Coaching Style Brent’s Ideal Client
This episode is sponsored by AutoLeap. AutoLeap is a cloud-based all-in-one automotive invoice software that helps you supercharge your mechanic shop. Their customers have experienced:
30% increase in revenue by improving transparency and trust 50% reduction in time spent researching and ordering parts 10% increase in profit margins through robust reporting
Click here to learn more about AutoLeap and schedule a demo: http://bit.ly/3GRgO88
Don't forget to rate and review us!
Connect with Chris:
[email protected]
940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/AutoFixAutoShopCoaching
Youtube: https://bit.ly/3ClX0ae
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
During Today's episode #104 The crew from SMP and I Talk About:
What is a Chicken Flicker? Behind-the-scenes dirt on Kim & Brian from SMP What's the best part of your work day? What's the difference between a successful client and one that isn't? What would your advice be for a shop starting out that isn't able to hire someone like SMP? How cute is Dutton? Favorite Cartoon Character? What did you want to be when you grew up? What book are you reading now, if any?
This episode is sponsored by AutoLeap. AutoLeap is a cloud-based all-in-one automotive invoice software that helps you supercharge your mechanic shop. Their customers have experienced:
30% increase in revenue by improving transparency and trust 50% reduction in time spent researching and ordering parts 10% increase in profit margins through robust reporting
Click here to learn more about AutoLeap and schedule a demo: http://bit.ly/3GRgO88
Don't forget to rate and review us!
Connect with Chris:
[email protected]
940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/AutoFixAutoShopCoaching
Youtube: https://bit.ly/3ClX0ae
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Will diagnostic work overtake remove and replace work? How will you position and present your shop as a technologically advanced repair center? What training will our employees need? How will artificial intelligence impact our industry? Will we be prepared? Join Jake Sorensen, Chris Chesney and Derek Kaufman as they discuss the shop of the future. Jake Sorensen, 2019 NAPA ASE Technician of the Year and 2019 Ratchet + Wrench All-Star technician of the year. Shop manager and diagnostic technician at McNeil’s Auto Care in Sandy, UT Listen to Jake’s previous episodes HERE
Chris Chesney, Training and Organizational Development, Repairify. Chris’ previous episodes HERE
Derek Kaufman, Managing Partner, Schwartz Advisors, President of C3 Network. Listen to Derek’s previous episodes HERE
Show Notes:
Looking up and reading service procedures is already a must, but even more so as technology advances. Example: ADAS systems now require calibrations when performing repairs like an alignment or bumper cover removal. If you change a headlight assembly that requires bumper R&R, you may need to perform a radar calibration. The only way to know for sure is to read service information. Reading technical information/technical reading skills- much different than reading newspaper or Facebook posts, a book etc. Evelyn Wood speed reading course- reading with purpose An explosion of information- computing power for all industries 2022 captures over a trillion data points that will be aggregated to provide insights AI- mining data for trends Diffusion of innovation curve- 17+ years for EV’s We have expected Technicians to be masters of everything. Many better diagnostic technicians are inefficient at R&R and do not enjoy it. Shift mindset to a technology industry Even today, electric vehicles account for 18% of new vehicles sold, and those won't be in our bays tomorrow. By 2030 the population of vehicles in operations, over 300 million, and only 8% will be electrified. Get ready, or some other service industry will beat you to the punch How are you presenting your shop to the public?
Thanks to our Partners Shop-Ware and Delphi Technologies Shop-Ware: More Time. More Profit. Shop-Ware Shop Management getshopware.com Delphi Technologies: Keeping current on the latest vehicle systems and how to repair them is a must for today’s technicians. DelphiAftermarket.com
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