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Everything posted by Joe Marconi
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In the northeast, the summer is typically the busiest time of the year for auto repair shops. Many of my fellow shop owners would not allow or limit vacation time during the summer months, stating they need to capitalize on the potential. Having employees on vacation when at their busiest hurts overall production. How do you feel about this. Agree or not?
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Employee Lateness Is Rampant These Days
Joe Marconi replied to Joe Marconi's topic in Human Resources, Employees
Good luck, your story is so common. Do you think other shop owners just tolerate lateness? The loss of productivity adds up, and impacts the bottom line. I don't want to make this all about profits, but it's suppose to be a team. Right? Imagine the 2nd baseman on the Yankees arriving to the stadium 10 minutes late? -
After a recent conversation with a fellow shop owner, I felt this would make a good post. This shop owner had a break-in and his tech's tools were stolen. Quite a sum of money gone. He later finds that his liability insurance does not cover employee tools. Please check your garage keepers insurance policy, make sure you have the right insurance for your specific needs and that you tech's tools are covered too.
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It seems nearly every shop owner I speak to has some sort of issue with employees coming in late. I don't want to sound old, but this is a problem that should not exist. And it goes back to tolerating too much and not setting the right standards. I can tell you that lateness was always an issue for some people, but not to the extent it is now. I am not sure of all the reasons why. Below is how my father explained lateness to me to when I was 15 years old and got my first job: My father starts the conversation, "So, what time do you start work tomorrow? I replied,"9am". My father continues, "What time to plan on being there?" I said, "9am." He then says to me, "So, you plan on being late your first day." That is the difference. My father was a smart man.
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Counterfeit Parts [THA 336]
Joe Marconi replied to carmcapriotto's topic in Podcasts, Webinars & Live Streams
This podcast opened my eyes to more than just counterfeit parts. There is a lot to consider these days regarding technology, programing, and the the future of the DIY market too. A must-listen to podcast. -
Take a Listen To Elite Radio, and Check Out Our First Series - In The Coach's Corner! 🎙️ That's Right - We Started a Podcast! 🎙️ Welcome to Elite Radio, the podcast for repair shop owners, by repair shop owners! The first series we're doing is called "In The Coach's Corner", which highlights the relationships, struggles, and successes of shop owners and their coaches. We just released Episode 1, featuring Elite client Bryan Lagas of SpeedSport Tuning and his coach, Joe Marconi. Check it out now, available wherever you listen to your podcasts! Listen To Podcast!
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Any Advice on how to dispose of Waste Gas?
Joe Marconi replied to Joe Marconi's topic in Expense Management, Rent, Taxes
It's a considerable amount. But, I do know many that do add small amounts with used oil. -
Technician Pay Plans - Is there a Right Choice?
Joe Marconi replied to Joe Marconi's topic in Human Resources, Employees
Makes sense, and I agree. I always say, when you are looking at a production problem, you need to look at the entire process: Estimating, scheduling, shop layout, training, tools & equipment, in-house information systems, service advisor skills, enough staff and great management.- 8 replies
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- tech pay
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Technician Pay Plans - Is there a Right Choice?
Joe Marconi replied to Joe Marconi's topic in Human Resources, Employees
I tend to agree with you. To add to your comments, I do think that there is also a responsibility of the shop owner or manager to ensure that estimates are written properly, and that the correct labor is applied to each job (as best as possible). For example. how often are deals made with the customer to sell the job, and many times the labor to test a complicated driveability problem is waived? Does the tech get the labor time, or does the tech suffer? There are many more examples. Labor hours is not just techs responsibility. It takes a team effort.- 8 replies
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Technician Pay Plans - Is there a Right Choice?
Joe Marconi replied to Joe Marconi's topic in Human Resources, Employees
That is an interesting comment. Can you go into more detail?- 8 replies
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Like so many from my generation, I was a technician-turned shop owner. I was a tech on a Friday at a Ford Dealer, and a Shop Owner the following Monday. While I was technically competent, I had no clue how to run a business. I struggled for years until I understood my role as the business owner. This was a time when there was very little help to understand how to run an auto repair shop. With all the available business training, online resources, consulting services, and coaching companies, is it easier today to start your own business? I would like to hear from those shop owners who recently opened up their businesses. Is it an easy process? Hard? Overwhelming? And what business help, if any, are you getting?
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- new auto repair shop
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Many shop owners believe that paying flat rate is the only way to achieve high labor production. Others say that flat rate promotes the wrong culture. Many technicians are on straight salary. And there are those that prefer a blend of paying hourly plus an incentive bonus if certain billed hours are produced. While there are many pay plans out there, is there one that has worked for you? And produced the results you are looking for?
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Great points, Gerald! Perhaps the most frustrating is that fact that changes and enhancement's come slow and not always in line the requests from the users. There is no one-size-fits all, but I do believe that being able to customize the software is something that should be considered.
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- shop management
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I read just about everything I could on the auto repair industry. It seems many repair shops are doing great, some, not so great. Plus, working with repair shops as an Elite Business Coach, I see areas around the country that are having banner years, and other areas where business has slowed up a bit. It's hard to get a handle on the state of the industry. How is your auto repair shop doing, compared to the past few years? Do you feel the we are headed into good times or not so good signs. I know that this is not an exact science or a formal survey. But I think it would be interesting to get first-hand information from our members.
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There is new technology coming out that will enhance the online scheduling process. Should auto repair shops invest in more technology to increase online scheduling? There is also some merit to the fact that many people would rather not call their auto repair shop, and simply book an appointment from their phone or computer. Are you using online scheduling? If so, what's your process and how is it working?
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- online scheduling
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Featured in Ratchet and Wrench Magazine - June 2023 Steve Jobs may have been best known as the co-founder of Apple Computer and a great entrepreneur, but his style of leadership and management was highly controversial. Jobs would schedule meetings with his team, then randomly point to someone and ask, “Tell me what’s not working at this company?” After that person gave their opinion, he would then turn to the group and ask for everyone’s feedback. Then he would point to another person, and say, “Tell me what is working?” While his technique may appear divisive, Jobs placed a high value on getting valuable feedback. Which meant that he had to know the truth, no matter how ugly it might be. For most people, it’s difficult to receive critical feedback. No one enjoys learning that we dropped the ball, or that something isn’t going right. And how often does an employee walk up to you, and pull you aside to inform you of bad news? Not very often, right? While receiving praise and recognition does motivate us, growth opportunities also exist when things go wrong. How we deal with adversity and bounce back from failure tells us a lot about our mental toughness. Great success is never dependent on everything going right all the time. That’s not reality. Look at it this way: getting only good news all the time is mostly useless. On the contrary, bad news can be good news. And we should accept and welcome it. If employees are reluctant to bring you bad news, it’s an indication that they may fear confronting you. As the shop owner, you need to do a little self-reflection to ensure that you are a leader that is approachable, and not on the defensive when an employee wants to sit down and discuss things. Be mindful of how you interact with others too. Your body language and the tone of your voice will either draw people to you or push them away. If you truly want to grow as a business owner and as a leader, you need to allow others to voice their opinions and let you know that your company, at times, may not be the paradise you believe it is. The question is how do you create an environment that gives people the confidence and willingness to confront you with critical issues? Make it known that you want to create a work environment where feedback, especially when things go wrong, is accepted and welcomed. Remember, if people fear bringing you bad news or only tell you the good things, you may not have an open environment where people feel they can discuss all issues, good and bad. It’s also important to realize that to give critical feedback to others, you must be open and willing to receive critical feedback. At the start of any team meeting, let your employees know that you will be asking for everyone’s opinions on ways to improve. Emphasize that you want to hear not only what’s going right, but also where the company is failing. People’s opinions may not be shared by everyone, but one’s perspective is their reality. We need to listen to all voices. Be transparent and let everyone know that you will listen to everyone and do your best to act on everyone’s feedback. Another thing to be aware of; don’t allow an atmosphere that encourages gossip or venting. This will promote negativity and bring down morale. You need honest, healthy feedback that everyone can accept and learn from. The bottom line? The next time someone brings you bad news, look them straight in the eye, smile, and say, “Thank you!” View full article
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You are spot on, Carm. Tom has a remarkable, but not uncommon story. You know the expression, "When the student is ready, the teacher will appear." I had to fail miserably at the age of 35, before I knew that I needed help with my business. But, once I changed my mindset, my world changed for the better. Carm, your podcasts are changing the industry, and in a very positive way. I also enjoy listening to the Aftermarket Radio Network. Thanks for all you do for our industry!
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I was taught a valuable lesson in pricing back in the 1980s by a fellow shop owner. Tom (not his real name) owned a five-bay independent auto repair shop. We met in a training class and became instant friends. The discussion of labor rates and pricing came up often, and his opinion was spot on. He would tell me, “Joe, we will never get paid what we deserve until we put a higher value on what we do.” This leads me to the reason for this blog: The mindset that auto repair shops should price themselves lower than new car dealerships, is a myth. Tom would emphasize, “Look at your expenses, your payroll, the benefits you give to your customers, and don’t forget your payroll and company profit. Then, do the math and set your prices.” What influenced me was not only his forward-thinking but the fact that he would call the local dealers, to make sure his labor rate was ABOVE theirs! Positioning your prices lower than the dealer just because you are an independent auto repair shop is selling yourself short. Your labor rate and prices should be determined by you, factoring in your overhead operating expenses, payroll, financial goals, the amount of net profit you desire, and the value you provide to your customers. Another thing: don’t be everything to everyone. Understand your key profile customers and build your marketing plan around them. Cater to those who are loyal to you. Here’s the bottom line with pricing: sell value, not parts and labor. When the value increases, the price fades as an issue.