My Technicians Won’t Go To Training: Why Not? [RR 875]
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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
Academic chairs Dave Macholz and Vinnie Laverdi, discuss automotive training at the college level. Both work in the State University of New York system at community colleges. They cover the importance of soft skills in the industry, the role of mentors, and the need for industry professionals to engage with educational institutions. The episode emphasizes the sophistication of the automotive industry, the potential for growth and advancement in automotive careers and the need to incorporate electric vehicle technology into the curriculum. Vinnie Laverdi's previous episodes HERE. Dave Macholz's previous episodes HERE.
Show Notes:
Frustration with the perception of the automotive aftermarket as "mom and pop" businesses Topics to be discussed: enrollment, working with high schools, A.S. degrees versus I.O.S. degrees, Co-op programs at community colleges and their benefits Process of changing the curriculum to incorporate electric vehicle (EV) technology Importance of industry support and advisory panels in curriculum changes Building relationships with high school teachers and partnerships with High School centers Difference between AAS and AOS degrees Importance of soft skills. Dave has a portfolio Class Thanks to our Partner, Dorman Training. Training technicians today for the challenges of tomorrow! https://www.dormantraininglive.com/
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
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Recorded Live at ASTE 2023, Seth Thorson shares insights on owning a Tesla, including the availability of parts, diagnostics, and his experiences with long-distance driving in a Tesla. He addresses misconceptions about EV charging stations and the topic of EV fires. Seth's expertise and passion for Tesla and EVs are truly inspiring and informative. Seth Thorson, Eurotech Auto Service and LMV Bavarian. Listen to Seth’s previous episodes HERE. Show Notes
Watch Full Video The availability of Tesla parts (00:02:19) Discussion on how Tesla parts are now available. Working on Teslas and aftermarket parts (00:03:10) Explanation of the current approach to pricing and margins for Tesla parts, the availability of aftermarket parts, and the goal of capturing market share. Updates and features of Tesla vehicles (00:06:03) Information on the upgrade process for Tesla vehicles, the meaning of MCU (multimedia control unit), and the different features available in different versions of the car. Tesla Toolbox Training (00:07:27) Discussion on how to use Tesla Toolbox diagnostic and reframing the concept of a scan tool for Tesla vehicles. Tesla Drivetrain Theory and Diagnostic (00:07:27) Explanation of the drivetrain theory and diagnostic for Tesla vehicles, including the issue of bearing failures in large drive units. Cooling Systems in Tesla Vehicles (00:08:27) Description of the cooling system in Tesla vehicles, including temperature, components, and fluids used. Discussion on the potential involvement of HVAC companies in working on EV cooling systems. The range and charging process (00:15:37) Seth Thorson explains how he adds 180 to 200 miles of charge in 15 to 20 minutes. Effect of cold weather on Tesla vehicles (00:16:39) Seth Thorson discusses how the early Tesla models with resistive heaters lose 20-30% of range on cold days, while the newer models with heat pumps are more efficient. Future of EVs and alternative fuels (00:19:55) Seth Thorson talks about following the money and how he believes EVs are the future, while alternative fuels like hydrogen and e-fuels may be stopgap solutions. The lifestyle of owning an EV (00:22:36) Discussion about how owning an EV requires planning and knowing where to stop for charging. Charging and payment systems for EVs (00:22:57) Explanation of how Tesla and other companies have systems that can transfer VIN data and tie it to credit card information for easy billing. The future of EV companies (00:23:36) Discussion on the survival of EV companies and the ease of developing EV technology compared to traditional combustion engines. Thanks to our Partners, AAPEX and NAPA TRACS Set your sights on Las Vegas in 2024. Mark your calendar now … November 5th-7th, 2024. AAPEX - Now more than ever. And don’t miss the next free AAPEX webinar. Register now at http://AAPEXSHOW.COM/WEBINAR NAPA TRACS will move your shop into the SMS fast lane with onsite training and six days a week of support and local representation. Find NAPA TRACS on the Web at http://napatracs.com/ 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 -Visit the Website: https://remarkableresults.biz/ -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
Recorded Live at AAPEX 2023, Greg Bunch and Matt Fanslow discuss the impact of the current economy on the automotive aftermarket industry. They explore various aspects of business such as margins, marketing, training, hiring, labor rates. The conversation also covers the potential loss of independent repair shops, and the need for better communication with customers. Greg Bunch, Aspen Auto Clinic, Transformers Institute. Listen to Greg’s previous episodes HERE. Matt Fanslow, Riverside Automotive, Red Wing, MN, Diagnosing the Aftermarket A to Z Podcast
Show Notes:
The state of the economy and its impact on the automotive aftermarket industry (00:00:01) Discussion about the current state of the economy, including worldwide conflicts, division, interest rates, and inflation, and how it may affect the automotive aftermarket industry. The importance of customer loyalty and salesmanship (00:03:51) Exploration of the significance of customer loyalty and salesmanship in retaining customers and attracting new ones, with a focus on providing a frictionless experience. Improving business operations and paying attention to every area (00:05:52) Discussion on the need to run automotive businesses more efficiently, including honing sales skills, improving phone skills, enhancing customer service, and reducing friction in customer interactions. The customer journey (00:09:50) Discussion about the concept of a customer journey and its importance in the automotive repair industry. Engineering touchpoints (00:11:41) The importance of considering and engineering each touchpoint of the customer journey to create positive feelings and experiences for the customer. The Bear TV show (00:16:07) A discussion about the TV show "The Bear" and its relevance to the automotive repair industry, particularly in relation to providing the best customer experience. The importance of customer experience and communication (00:19:25) Discussion on the significance of providing a frictionless experience for customers and improving communication in auto repair shops. The impact on 'mom and pop' shops (00:33:17) Discussion about the challenges faced by smaller independent repair shops in keeping up with technology and training. The misconception about dealerships and independent shops (00:35:46) Exploration of the false narrative that dealerships are better equipped to handle newer cars, while independent shops are only suitable for older vehicles. The future of shops and the role of technology (00:39:45) Debate on the potential impact of technology, such as remote programming and diagnostic tools, on the survival and success of automotive repair shops. The challenges of the current economy (00:42:20) Discussion about the impact of the economy on the automotive aftermarket industry and the challenges faced by businesses. Thanks to our Partners Shop-Ware and Delphi Technologies Shop-Ware: More Time. More Profit. Shop-Ware Shop Management https://getshopware.com/ Delphi Technologies: Keeping current on the latest vehicle systems and how to repair them is a must for today’s technicians. http://DelphiAftermarket.com 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
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Recently, Matt and his wife, Danielle, embarked on a kitchen renovation journey. Danielle, like many customers, feared being taken advantage of during the process. These concerns may seem illogical to some, but the fear of not getting our money's worth is real and relatable.
While listening to Danielle's worries, Matt was reminded of the movie "My Fair Lady." The character is willing to pay a shilling to learn how to speak eloquently. While a shilling may be insignificant to some, it represents a significant portion of the character's financial worth. It's all about understanding what services or products mean to different individuals.
This extends to the automotive industry - empathy and understanding toward customers' financial situations is crucial. Clear communication and setting realistic expectations are key. As professionals, let's strive to not just under-promise and over-deliver, but align expectations with the actual outcome.
Show Notes
Professionalism and the Kitchen Renovation (00:00:11) The topic of professionalism and shares his wife, Danielle, has anxiety and fear about their kitchen renovation project. Issues with Cabinet Alignment (00:02:14) A gap in the cabinet alignment caused by the placement of the microwave and how they addressed the issue with the company. Anxiety about the Garbage Receptacle (00:05:32) Danielle's worry about not receiving the garbage cans with the sliding garbage receptacle and her fear of not getting value for the money spent. The shilling is a high percentage of her worth (00:08:51) Discussion about the value of a shilling to different individuals and the importance of understanding financial worth with reference to "My Fair Lady." Setting realistic expectations in kitchen renovations and vehicle repairs (00:11:00) The importance of setting realistic expectations in both kitchen renovations and vehicle repairs, and the potential challenges that may arise. Lack of Professionalism and Empathy (00:26:21) Exploring the importance of being empathetic towards customers and delivering a professional level of service. Building Reputation and Demonstrating Quality (00:27:18) Highlighting the significance of small gestures, such as returning the vehicle in good condition, building a positive reputation, and demonstrating the quality of service provided.
Thanks to our Partner, NAPA Autotech napaautotech.com
Email Matt: [email protected]
Diagnosing the Aftermarket A - Z YouTube Channel HERE
Aftermarket Radio Network: https://aftermarketradionetwork.com/
Click to go to the Podcast on Remarkable Results Radio
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