EV Fire Safety: Exploring Risks and Solutions [RR 869]
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By Joe Marconi in Joe's Blog0 commentsAuto shop owners are always looking for ways to improve production levels. They focus their attention on their technicians and require certain expectations of performance in billable labor hours. While technicians must know what is expected of them, they have a limited amount of control over production levels. When all factors are considered, the only thing a well-trained technician has control over is his or her actual efficiency.
As a review, technician efficiency is the amount of labor time it takes a technician to complete a job compared to the labor time being billed to the customer. Productivity is the time the technician is billing labor hours compared to the time the technician is physically at the shop. The reality is that a technician can be very efficient, but not productive if the technician has a lot of downtime waiting for parts, waiting too long between jobs, or poor workflow systems.
But let’s go deeper into what affects production in the typical auto repair shop. As a business coach, one of the biggest reasons for low shop production is not charging the correct labor time. Labor for extensive jobs is often not being billed accurately. Rust, seized bolts, and wrong published labor times are just a few reasons for lost labor dollars.
Another common problem is not understanding how to bill for jobs that require extensive diagnostic testing, and complicated procedures to arrive at the root cause for an onboard computer problem, electrical issue, or drivability issue. These jobs usually take time to analyze, using sophisticated tools, and by the shop’s top technician. Typically, these jobs are billed at a standard menu labor charge, instead of at a higher labor rate. This results in less billed labor hours than the actual labor time spent. The amount of lost labor hours here can cripple a shop’s overall profit.
Many shop owners do a great job at calculating their labor rate but may not understand what their true effective labor is, which is their labor sales divided by the total labor hours sold. In many cases, I have seen a shop that has a shop labor rate of over $150.00 per hour, but the actual effective labor rate is around $100. Not good.
Lastly, technician production can suffer when the service advisors are too busy or not motivated to build relationships with customers, which results in a low sales closing ratio. And let’s not forget that to be productive, a shop needs to have the right systems, the right tools and equipment, an extensive information system, and of course, great leadership.
The bottom line is this; many factors need to be considered when looking to increase production levels. While it does start with the technician, it doesn’t end there. Consider all the factors above when looking for ways to improve your shop’s labor production.
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By carmcapriotto
Meg Lewis, BJ’s Automotive Diagnostic Center, Belfast, ME, NAPA Auto Care Technician of the Year 2022. Carm and Meg discuss the shop's transition to a four-day workweek to promote work-life balance, the challenges of finding and retaining skilled technicians. Meg shares her experience as a female technician. They also discuss the need to change the perception of the automotive industry and attract more women. The episode concludes with a discussion on succession planning and the shop's community involvement
The decision to move to a four-day workweek (00:03:14) Meg discusses the idea of transitioning to a four-day workweek and the process of deciding which day to take off. The role of a diagnostician as a technology specialist (00:07:55) Carm suggests renaming the role of a diagnostician to a technology specialist, highlighting the importance of technology in automotive diagnostics. The collaboration between a technology specialist and a mechanical specialist (00:08:48) Carm and Meg discuss the complementary roles of a technology specialist and a mechanical specialist in automotive repair and the importance of their collaboration. Challenges with staffing during COVID-19 (00:10:02) The impact of COVID-19 on staffing, including layoffs, struggles to find new technicians, and the use of apprenticeship programs. The decision to pursue automotive technology (00:17:36) Meg discusses her early interest in working with cars and her decision to pursue automotive technology in high school and college. The importance of attracting more women to the automotive industry (00:18:09) Carm suggests changing the perception of the industry and highlights the unique traits that women can bring to the workplace. Overcoming physical challenges as a female technician (00:19:31) Meg talks about how she adapts and finds creative solutions to overcome physical challenges in her work as a female technician. Importance of communication in internal succession (00:27:14) The significance of regular and effective communication between the owner and the successor in a business's internal succession process. Thanks to our Partner, Dorman Products.
Dorman gives people greater freedom to fix vehicles by constantly developing new repair solutions that put owners and technicians first. Take the Dorman Virtual Tour at www.DormanProducts.com/Tour
Connect with the Podcast:
-Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Follow on LinkedIn: https://www.linkedin.com/in/carmcapriotto/ -Follow on Instagram: https://www.instagram.com/remarkableresultsradiopodcast/ -Follow on Twitter: https://twitter.com/RResultsBiz
-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
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By carmcapriotto
This week on Business by the Numbers, Hunt explores if EVs are transport's future or a subsidized industry.
Manufacturers' stance: e.g., Toyota's hybrid focus and a breakdown of the 2023 credit rules: Differences in dates, base vs max credits, and the significance of kilowatt hours, as well as insight into the business strategies of major players like Rivian and Tesla. Shift from kWh focus to U.S. sourced minerals & battery components, with clarifications on "Made in America" vs. "Final Assembly in America.” Hunt also explores vehicle eligibility criteria, credit restrictions, income & MSRP limits, and unique rules for used vehicles. Hunt talks about 2024 changes, such as the immediate benefits and strategic considerations if you’re thinking of buying EV. He also talks about the importance of doing your own research & where go to do it!
Thanks to our partners, NAPA TRACS and Promotive
Did you know that NAPA TRACS has onsite training plus six days a week support?
It all starts when a local representative meets with you to learn about your business and how you run it. After all, it's your shop, so it's your choice.
Let us prove to you that Tracs is the single best shop management system in the business. Find NAPA TRACS on the Web at NAPATRACS.com
It’s time to hire a superstar for your business; what a grind you have in front of you. Great news, you don’t have to go it alone. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.
Paar Melis and Associates – Accountants Specializing in Automotive Repair
Visit us Online: www.paarmelis.com
Email Hunt: [email protected]
Get a copy of my Book: Download Here
Aftermarket Radio Network
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By carmcapriotto
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
Click here to learn more about Top Tier Marketing by Shop Marketing Pros and schedule a demo:
https://shopmarketingpros.com/chris/
Check out their podcast here:
https://autorepairmarketing.captivate.fm/
If you would like to join their private facebook group go here:
https://www.facebook.com/groups/autorepairmarketingmastermind
In this episode of "The Weekly Blitz," Coach Chris Cotton discusses the transition from being involved in the day-to-day operations of an auto repair shop to becoming a coach and mentor for employees. They emphasize the importance of having a well-established framework of processes and procedures, investing in employee development, and creating a positive work culture. By focusing on coaching and accountability, shop owners can ensure sustainable business growth and leave a legacy of excellence. The episode concludes with a reminder to continue seeking knowledge and improvement.
The transition to coaching employees [00:02:09] Exploring the significance of transitioning from a hands-on owner to a coach, focusing on building a legacy, employee development, and accountability.
Enhancing the business culture [00:04:31] Reinforcing a culture of continuous learning and growth by celebrating achievements and fostering a positive and supportive environment.
Sustainable business growth [00:05:39] Building a self-sustaining model through coaching and accountability, ensuring consistency in the present and laying the foundation for future expansion and growth.
Connect with Chris:
[email protected]
940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/AutoFixAutoShopCoaching
Youtube: https://bit.ly/3ClX0ae
#autofixautoshopcoaching #autofixbeautofixing #autoshopprofits #autoshopprofit #autoshopprofitsfirst #autoshopleadership #autoshopmanagement #autorepairshopcoaching #autorepairshopconsulting #autorepairshoptraining #autorepairshop #autorepair #autoops #onlinebooking #serviceadvisor #serviceadvisorefficiency #autorepairshopmarketing #theweeklyblitz
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By Joe Marconi
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By carmcapriotto
Derek Kaufman, Managing Partner at Schwarz Advisors, discusses the transition to electric vehicles (EVs) and the potential for alternative fuels to coexist with EVs. He explores the recent European Union's mandate to eliminate internal combustion engines by 2035 and the possibility of allowing fuels to keep ICE cars alive. The conversation then shifts to e-fuels, their production process, and the challenges of scaling up renewable electricity for their production. Both Derek and Carm emphasize the importance of finding a balanced approach that considers different solutions to address climate change.
Derek Kaufman, Managing Partner, Schwartz Advisors, President of C3 Network. Listen to Derek’s previous episodes HERE.
Show Notes
The European Union's Mandate and E-Fuels (00:01:19) Discussion about the European Union's mandate to eliminate the sale of internal combustion engines by 2035 and the potential of e-fuels to coexist with electric vehicles. Introduction to E-Fuels (00:02:39) Explanation of what e-fuels are, how they are derived, and their potential to act as a carbon-neutral replacement for gasoline. Challenges and Potential of E-Fuels (00:03:55) Discussion about the complications and costs associated with e-fuels, the need for renewable electricity to produce them, and the efforts to ramp up production through the E-Fuel Alliance. The transition to battery electric vehicles (00:08:50) Discussion on the increasing power demand for battery electric cars by 2050 and the need to transition the power grid to support electric vehicle usage. The potential for alternative fuels (00:10:05) Exploration of the role of low emission or carbon neutral fuels in coexisting with battery electric vehicles, particularly in heavy trucks and industrial equipment. The complementing technologies of batteries and internal combustion engines (00:12:00) Explanation of how batteries and internal combustion engines can work together in different applications, highlighting the importance of both technologies in the future of transportation. The transition to AI in automotive service (00:18:13) Discussion on the potential of AI and machine learning to assist in vehicle service procedures and the importance of having the right talent and training. The importance of human interface in automation (00:20:00) Comparison of two companies' customer service experiences during a power outage, highlighting the value of a personal connection and efficient communication. The future of AI in automotive service (00:22:21) Exploration of the possibility of combining AI solutions with human expertise to enhance customer service and improve efficiency in auto repair shops.
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 https://www.napaonline.com/en/auto-care
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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