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By Joe Marconi in Joe's BlogIt always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
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By Changing The Industry
Episode 170 - The Future of Auto Parts Using Wiretronic's AI-Powered Solutions
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By carmcapriotto
Thanks to our Partner, NAPA Auto Care Murray Voth, owner of RPM Training, discusses the importance of language in the automotive industry, advocating for a shift from "labor rate" to "service rate" to better reflect the value provided. He also dives into financial strategies for shops, emphasizing the significance of setting the right service rate and understanding gross profit to ensure business profitability. Murray Voth, RPM Training. Listen to Murray’s previous episodes HERE. [email protected] Show Notes
The breaks for breasts initiative (00:00:13) Discussion about the initiative started by two shop owners to raise funds for breast cancer research. https://brakesforbreasts.com The rise of the mechanical and technology specialist (00:02:28) A language shift in the industry and the importance of recognizing the rise of mechanical and technology specialists. https://remarkableresults.biz/rise Transitioning from diagnostics to testing (00:03:04) Discussion about the shift in terminology from diagnostics to testing to improve customer perception and willingness to pay. Changing terminology from labor rate to service rate (00:04:09) The importance of changing the terminology from labor rate to service rate and its impact on customer perception. Professionalism and perception in the industry (00:05:26) Discussion about the importance of professionalism and perception in the industry and its impact on customer behavior. Showing the value of service rates (00:13:24) Strategies for showing the value of service rates to customers, beyond just raising prices. Analogies for service rate and cost (00:14:25) Using analogies of fast food restaurants and steakhouses to explain the concept of service rate and cost. NAPA Auto Care Apprentice Program (00:17:05) Information about the NAPA Auto Care apprentice program as a solution to the technician shortage. Financial calculations and analysis (00:19:26) Murray Voth shares calculations and analysis of a shop's financial data, including occupancy costs, labor rates, and profit margins. Determining the right service rate (00:22:05) Discussion on adjusting service rates, parts margin, and other expenses to optimize profitability while considering market competition. Challenges and mindset shift (00:30:14) Exploration of the emotional and intellectual barriers shop owners face when making financial decisions and setting service rates. Wages and effective proficiency (00:33:40) Analysis of technician wages and the impact of selling work properly on the effective service rate, setting goals for improvement. Coaching Gross Profit (00:34:52) Murray discusses coaching gross profit, creating net profit, and making changes to increase revenue. Back-End Sales Impact (00:35:48) The impact of service improvements on parts purchases, revenue, and margin. Behavior Coaching (00:37:09) Murray talks about coaching to behavior, raising inspections, and the 100% rule for vehicle inspections. Facility Service Rate Calculator (00:39:02) Murray offers a facility service rate calculator and discusses how to obtain it. Odd Numbers and Service Rates (00:40:52) Murray explains the significance of odd numbers in service rates and how to use the calculator effectively. Profit in the Estimate (00:44:39) Murray emphasizes the importance of the estimate in generating gross profit and providing value to clients.
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: -Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Join Our Private Facebook Community: https://www.facebook.com/groups/1734687266778976 -Subscribe on YouTube: https://www.youtube.com/carmcapriotto -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 Changing The Industry
Episode 169 - Is OE Software Our Only Option? With Ben Johnson of Repairify
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By carmcapriotto
In this episode, Hunt tackles the pressing issues facing the housing market in 2024, discussing the impact of interest rates and the real affordability of homes.
• Interest Rates Surge: Exploring how doubled interest rates are drastically affecting monthly payments.
• Affordability Crisis: Delving into how rising home prices are outpacing income growth, making home ownership a distant dream for many.
• Economic Insights: Analyzing the mismatch between the growth in home prices and stagnant wage increases.
• Future Risks: Assessing potential market corrections and their consequences on homeowners and the economy.
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
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Auto Parts Quality and Supply Chain Complexities [THA 379]" width="200" data-embed-src="https://www.youtube-nocookie.com/embed/VcoT113y2MI?feature=oembed"> Thanks to our Partner, NAPA TRACS and AutoFix Auto Shop Coaching Industry leaders John Hanighen, CEO of Cloyes, Matt Buchholz, CEO of Motorrad, and Andy Fiffick, CEO of a 10 store franchise chain in Cleveland, dive into the current state of the supply chain within the automotive aftermarket, addressing issues of product availability, quality concerns, and the impact of unpredictable demand. Insights into data-driven forecasting, manufacturer-distributor collaboration, and the importance of communication between suppliers and auto repair shops are also explored to give a holistic view of managing challenges in the aftermarket industry. Andy Fiffick, CEO Rad Air, 10-locations, franchise. Listen to Andy’s other episodes HERE John Hanighen, CEO at Cloyes Gear and Products. Listen to John's other episodes HERE Matt Buchholz, CEO MotoRad
Supply Chain Resilience and Whiplash (00:02:41) Discussion on the unique demand contraction and subsequent supply chain adjustments due to the COVID-19 pandemic. Quality and Fill Rate Issues in the Industry (00:05:44) Reports of decreased quality and high defect rates in automotive parts, as well as challenges related to supply chain disruptions and limited delivery services. Steps to Ensure Proper Installation and Quality Control (00:09:20) Use of QR codes and training videos to ensure proper installation, labor claim reimbursement programs, and the importance of minimizing comebacks through quality control measures. Challenges in Addressing Quality Issues (00:14:29) Discussion on the complexity of the supply chain, the need for quality parts, and the challenges in identifying and addressing part failures and defects. Cataloging and Product Quality (00:15:51) Discussion on the importance of cataloging products correctly and the impact of catalog errors on product performance. Supply Chain Logistics (00:19:26) Challenges and opportunities related to cataloging systems, data accuracy, and supply chain management. Predictive Modeling and Assortments (00:28:29) The use of data for predictive modeling and assortment recommendations at the store and distribution center levels. Data Sharing and Tracking (00:30:41) The challenges and variations in tracking and sharing data across different systems and trading partners. The supply chain management challenge (00:31:38) Discussion on using cross-referencing to identify supply chain gaps and the need for distributor approval. Impact of demand fluctuations (00:32:44) The impact of erratic demand changes and consumer confidence on the automotive industry. Adapting to market changes (00:34:46) Discussion on adapting to demand changes due to weather, election cycles, and marketing strategies. Predictive analytics and supply chain adjustments (00:35:36) Exploring the use of predictive tools and data, including weather, election cycles, and global conflicts, to adjust supply templates. Challenges in supply chain disruptions (00:36:35) The ripple effect of global conflicts and shortages in rubber products affecting supply chain resilience. Industry challenges and solutions (00:37:27) Acknowledging the complexity of the industry and the need for tolerance and collaboration to address challenges. 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/ Thanks to our Partner, Auto-Fix Auto Shop Coaching Proven Auto Shop Coaching with Results. Over 61 Million in ROI with an Average ROI of 9x. Find Coach Chris Cotton at AutoFix Auto Shop Coaching on the Web at https://autoshopcoaching.com/ Connect with the Podcast: -Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Join Our Private Facebook Community: https://www.facebook.com/groups/1734687266778976 -Subscribe on YouTube: https://www.youtube.com/carmcapriotto -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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