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Coaches Lab: When Will Shops Stop Doing Work That They Don’t Get Paid For? [THA 363]


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It's time to find the hidden costs of 'busyness' in auto repair shops. It's not just about the work you do; it's about the work you're actually getting paid for. Measuring technician productivity is crucial - because if you're not measuring it, you can't manage it. It's a wake-up call for shops everywhere to stop leaving money on the table. Bill Haas, Haas Performance Consulting, Bill’s previous episodes HERE. Murray Voth, RPM Training. Listen to Murray’s previous episodes HERE Maylan Newton, ESI- Educational Seminars Institute. Maylan’s previous Episodes HERE
Show Notes:
  • The Importance of Shop Productivity (00:01:41) Discussion on the significance of measuring productivity and ensuring work is paid for.
  • Challenges in Understanding Business Numbers (00:05:39) Discussion on the lack of understanding of business numbers and pricing strategies in the automotive industry.
  • Implementing Time Clock Management (00:09:12) The importance of implementing time clock management and its impact on shop productivity.
  • Setting Expectations and Accountability (00:11:14) The need for setting expectations and holding employees accountable for their performance.
  • Challenges in Coaching and Accountability (00:12:25) The difficulty in coaching individuals who resist change and accountability in their business practices.
  • Labor Rates and Coaching (00:18:40) Discussion on the impact of labor rates and the value of coaching in the automotive industry.
  • Comparing Labor Rates (00:20:17) Debate on the practice of comparing labor rates and the importance of charging enough to pay employees.
  • Technician Interviews and Billing (00:21:50) Perspective on technician interviews and billing practices, including misconceptions and lack of understanding.
  • Business Education and Financial Planning (00:26:01) Importance of business education, financial planning, and understanding where the money goes in an automotive shop.
  • Year-End Spending and Tax Strategies (00:27:16) Discussion on year-end spending, tax strategies, and the significance of paying fair taxes.
  • The value of pricing (00:35:42) Discussion on the importance of presenting value over price in a competitive marketplace.
  • The market for different pricing strategies (00:39:18) Highlighting the existence of markets for both top-tier pricing and lowest cost options, with a comparison to the tool market.
  • The challenge of selling value (00:40:10) Debating the myth of offering better value and emphasizing the importance of growth and selling maintenance services.
  • Defining fair pricing and value (00:40:40) Challenging the concept of fair pricing and discussing the perception of value in the eye of the beholder.
  • Improving customer communication and value presentation (00:41:07) Emphasizing the importance of showcasing the quality of services, such as brake jobs, and the value they provide to customers.
  • Challenges in selling diagnostic services (00:43:00) Discussion on the difficulties in selling diagnostic services and the need to shift from focusing on hours to tangible products and value.
  • Efficiency in customer interactions and value communication (00:46:12) Emphasizing the need for efficient information gathering and value communication to customers during the intake process.
  • The need to change industry mindset (00:52:07) Encouraging a shift in mindset within the automotive repair industry to drive change and success.
  • The shop's transformation (00:54:08) Discussion on the positive changes and experiences after implementing changes in the shop.
  • Clientele shift (00:55:00) The impact of changes on the clientele and the feedback received from customers.
  • The value of preaching (00:56:06) Exploring the significance of preaching and the positive outcomes it brings in terms of leadership and company growth.
  • Reward and challenges (00:57:00) Acknowledging the challenges and rewards of making significant changes in the business.

Thanks to our Partner, NAPA TRACS 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/

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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    • By carmcapriotto
      Thank you to our friends at RepairPal for providing you this episode. As shop owners we were part of RepairPal’s Certified network and you can learn more at RepairPal.com/shops.
      Show Notes
      Reasons Google will suspend your GBP Adding Keywords to Your Business Name Using PO boxes or virtual office addresses Using your home address for a service area business - mobile mechanics Making major changes to your information - name, address, phone number Adding Reviews - Talk about RV Masters Recent experience Spam Reviews Two businesses sharing an address - same with phone number A competitor reported you  Dandy Review Removal: Negative review removal using AI They had to rebrand from ReviewVio because of all the negative reviews and complaints that they received. They over charge and under deliver. It is a 12 month contract - not monthly Writer’s Hand: WriterHand.com's Review Generator AI employs state-of-the-art natural language processing algorithms to produce high-quality reviews in a matter of seconds. The tool is designed to cater to the needs of both individual writers and businesses seeking to enhance their online presence. By simply inputting a few key details about a product, service, or experience, users can obtain well-crafted reviews that reflect a genuine customer's perspective. Embed Social: Use AI tools to help you collect more reviews, reply to reviews faster and make your reviews widget designs. New AI Optimization services: Boost Ninja:  Speak on Accurate Automotive GBP Listing being suspended after adding this company to their listing - Supposed to be a Google Maps ranking system by boosting local rankings by targeting top keywords and AI Optimization to your Google listing Problem is when you talk to client’s who have hired companies like this and ask what they are actually doing - the answer is the same: “I have know idea”  
      How To Get In Touch
       
      Group - Auto Repair Marketing Mastermind
      Website - shopmarketingpros.com 
      Facebook - facebook.com/shopmarketingpros 
      Get the Book - shopmarketingpros.com/book
      Instagram - @shopmarketingpros 
      Questions/Ideas - [email protected]
      Click to go to the Podcast on Remarkable Results Radio


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