March / April - Automotive Recyclers Association ARA

Transcription

Automotive
Recycling
March-April 2014
™
Official Publication of the Automotive Recycles Association
Partnerships in
Automotive Repair
®
Working Together to Maximize
Successful Business Models
and Meet Consumer Needs
®
Automotive
Recycling
™
www.facebook.com/AutomotiveRecycling
www.AutomotiveRecycling-Ezine.com
March-April 2014 | Volume 34 Number 2
®
Co l u m n s
President’s Comments | 4
• Ed MacDonald
Editor’s Notes | 6
• Caryn Smith
International
Auto Recycling | 68
• Andy Latham
Final Thoughts | 74
• Michael Wilson
SPECIAL REPORT ON
RECYCLERS & REPAIRERS
q
Partnerships in Automotive Repair / 28
Working together to maximize successful business models
and meet consumer needs
q
Getting the Part: Connecting Automotive
Recyclers and Repairers / 30
q
Your Online
Reputation and
Your Bottom Line / 44
They are more connected
than you think.
By Dusty Dunkle
An Interview with Dan Risley
q
A Repairer’s View on
Auto Parts Recycling Relationships / 32
De p a r t m e nt s
Plugged In | 7
ARA Action | 8
Insure This | 14
• Bill Velin
Safety Matters | 16
That’s My Opinion | 18
• Ron Sturgeon
Tech Knowledge | 20
Marketing 101 | 22
• Mike French
Tomorrow’s Workforce | 24
By Darrell Amberson
q
Connecting Partners in the Repair Process / 33
By Rick Poor
q
Auto Recyclers in the NASTF Conversation / 34
By Skip Potter
q
Improve Your Business by Maximizing Sales
to the Collision Repair Industry / 36
By Bob Jabjiniak
q
Maximizing the Direct Repair Relationship / 38
q
Lessons Learned | 25
A Self-Service Automotive Recycler’s Perspective:
Flexibility, Adaptability and Trust are the Keys / 40
• Ginny Whelan
ISO 9001 | 26
• Mary McDonald
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65
69
72
73
73
Automotive Recyclers Association
9113 Church Street, Manassas, VA 20110-5456 USA
(571) 208-0428 / (888) 385-1005 / www.a-r-a.org
SPOTLIGHT
q
Central Auto Parts / 48
Five things have kept this
family-owned business thriving.
By Lynn Novelli
By Amber Elenbaas
• Pat O’Connor
Certified News
Capitol Connection
Crossword Puzzle
Industry Calendar
Advertiser’s Index
ONLINE
REPUTATION
By Jordan Madorsk, Jay Brosten, and Larry Brosten
q
Changing is Expected / 41
SCHOLARSHIP
q
2013-2014
ARA Scholarship
Foundation
Recipients / 62
By Jeff Schroder
q
Progressive Automotive Recyclers Lead Consumers,
Repairers, and Insurers to “Re-think Re-cycled” / 42
By Stacy Bartnik
EXPOSITION
q
2013 Convention Sponsor
Recognition / 68
AUTOMOTIVE RECYCLING (ISSN 1058-9376) is published bi-monthly by the Automotive Recyclers Association, 9113 Church Street, Manassas, VA 20110-5456 USA, (571) 2080428 / (888) 385-1005, Fax: (571) 208-0430, Internet: www.a-r-a.org. Periodicals postage at Manassas, VA, and additional mailing offices. Additional member subscription
are $15/year. Non-member subscriptions are $40/year U.S. Non-U.S. mailing address subscriptions are USD$55/year surface mail or USD$85/year airmail. $20 libraries and nonprofits. Copyright © 2014 ARA. All rights reserved. Materials may not be reproduced in any form without written permission from the publisher. Statements of fact and opinion are the responsibility of the authors alone and do not necessarily imply any opinion on the part of the officers, directors, staff, or the members of the Automotive Recyclers
Association. Postmaster: Send change of address to Automotive Recycling magazine, 9113 Church Street, Manassas, VA 20110-5456 USA.
March-April 2014 | Automotive Recycling 3
President’s
Comments
By Ed MacDonald, ARA President
ARA Officers
PR E S I D E N T
Ed MacDonald
Maritime Auto Salvage, Ltd.
Truro, NS Canada
[email protected]
FIRST VICE PRESIDENT
Leading within Change
T
he frequently heard quote “change is the only constant,” first uttered by Greek philosophers, is increasingly dominating today’s marketplace. Professional automotive recyclers
know firsthand that it is those who learn to harness the power of change who will lead businesses to new heights of success. In fact, this constant state of change provides the blueprint
for action that guides both successful automotive recycling businesses and our ever-increasing interconnected industry partners. Industries that provide insurance, explore new vehicle technologies, define how products are presented in the marketplace, and establish market
parameters, are experiencing unprecedented rates of growth and change, which in turn
prompts professional automotive recyclers to be an integral part of each and every one of
these “change” industries.
As I peruse the many different trade magazines that bombard our office inboxes daily, it
is obvious that today’s business owner is being challenged daily to respond to never-ending
emerging changes. Just consider the titles of a few of the many leading articles demanding
our attention... “Are you credible?,” “Are you a change leader?,” “How safe are our jobs?,”
and “Will collision avoidance systems ruin our industry?” One article that particularly
intrigued me was a discussion on the effects that collision avoidance systems may have on
insurance companies. The article queried that if such systems resulted in no accidents, would
auto insurance be necessary and, in turn, would the collision repair and parts supplier industries be rendered moot?
Readers in the affected industries could, at first, react in panic. But the true entrepreneurs
and business experts would see more opportunity than threat in these words and conjure
up ideas that grow into new paths of discovery and innovation. And I know that the professional automotive recycler is just that creative sort, who will find something of value in
every new idea and work with industry partners to create opportunities. Many more future
article headlines will capture our collective spirit of entrepreneurship. I challenge you to act
on these ideas and help position professional automotive recyclers with industry partners
to chart new destinations.
Leadership, productive business relationships, strong values and a forward thinking management team are the qualities that will propel the automotive recycling business into the
future. Now, more than ever, it is the product quality, professional service, and dedication
to your client that will be the defining factors of success in your business.
ARA is here to help make you be a leader in today and tomorrow’s marketplace. To this
end, it is my honor to be leading your staff in efforts to bring to you a standard certification
program that is widely recognized throughout the automotive parts supply industries; to identify sources of inventory and provide programs through which you can access this inventory; and as addressed in this issue’s special report, to develop the template for partnerships
with industry partners to grow markets for OE recycled automotive parts. Indeed it is through
tools, such as the ARA University, ARA’s business and communication initiatives, as well as
its strong advocacy and public policy efforts, that your interests are being protected and promoted daily in the boardrooms of business and at the roundtables of policy. Autonomous
vehicles, complexity of components, types of construction and methods of delivery are just
a few of the challenges that only we as a collective group can make into opportunities to
grow our industry.
In conclusion, never stop reading, learning, discussing, and, above all, challenging the
future! And count on your ARA to provide the resources and tools to help you transform
challenge into opportunity.
I look forward to continuing this discussion with many of you during my 2014 Spring Tour
to your state association meetings.
Sincerely,
Ed MacDonald
ARA President 2013-2014
4 Automotive Recycling | March-April 2014
Ricky Young
Young’s Auto Center & Salvage/Car Crushers
Benson, NC
[email protected]
S E C O N D V I C E P R E S I D E N T/ T R E A S u R E R
Mike Swift
Trails End Auto and Truck Salvage
Des Moines, IA
[email protected]
S E C R E TA R Y
RD Hopper
Sonny's Auto Salvage
Jacksonville, AR
[email protected]
I M M E D I AT E PA S T P R E S I D E N T
Chris Wright
Capital Auto Parts
Thomasville, GA
[email protected]
ARA Executive Staff & Contractors
ARA Headquarters • (571) 208-0428
CHIEF EXECuTIVE OFFICER & PuBLISHER
Michael E. Wilson
[email protected] Ext. 14
DIRECTOR OF MEMBER SERVICES
Kelly Badillo
DIRECTOR OF POLICY AND EXTERNAL
A F FA I R S & E- C A R C E N T E R
Betsy Beckwith
D I R E C T O R O F S TAT E & G R A S S R O O T S
A F FA I R S
Jessica T. Andrews
D I R E C T O R O F P O L I C Y & P O L I T I C A L A F FA I R S
Delanne Bernier
MEETING & EXPOSITION PL ANNER
Kimberly Glasscock
(615) 476-4501
[email protected]
A D M I N I S T R AT I V E A S S I S TA N T
Maria Miller
A C C O u N TA N T
John Caponiti
G O L D S E A L P R O G R A M , C O N S u LTA N T
Ginny Whelan
(239) 362-1283
[email protected]
AuTOMOTIVE RECYCLING MAGAZINE &
WWW.AuTOMOTIVERECYCLING-EZINE.COM
Caryn Suko Smith
(239) 225-6137
[email protected]
For advertising, editorial, or production information,
e-mail [email protected] or call (239) 225-6137.
www.a-r-a.org
Editor’s Notes
By Caryn Smith
[email protected]
Colliding into Longterm Success
I
t’s been a long, hard winter for many,
with stories of dangerous conditions
dominating the headlines. With bad
weather comes a rise in auto collisions.
Just the other day there was a report of a
100-vehicle pile up on the Pennsylvania
Turnpike. Thankfully no one was killed
in the black ice road conditions,
(although 30 were injured) that left 8
miles of traffic stranded for hours.
In the world of cars, what causes a terrible inconvenience to those car owners
creates an opportunity for the auto recycler and collision repairer. From that one
mega accident will come 100 insurance
reports citing recommendations for vehicle repair or total salvage loss, with vehicles carted off to auction.
Of those that land on the repair side of
the list, auto recyclers in the Philadelphia
area should be getting calls, e-mails, faxes
and messages for green recycled auto
parts from their local repair shop partners – that is, if they have developed that
kind of relationship.
This issue is dedicated to harnessing the
power of synergetic relationships with the
collision repair industry. Professional
automotive recyclers, especially ARA
members, and those in the elite CAR and
Gold Seal Programs, should be top of
mind to its sister industry when creating
purchase orders for car repairs. When
auto recyclers have this relationship with
their key collision repairers, business is a
win-win for both, ultimately with the con-
sumer also winning through cost-effective
solutions to car repair and environmental stewardship by recycling.
In this issue, you’ll hear from the cutting edge leaders on how to leverage better relationships and build a business that
benefits both industries.
With the rise of collision avoidance systems awareness and implementation, it is
critical that we join forces to ensure that
any consumer who is in need of repairs is
able to get what they need, still at an
affordable price.
Also in this issue, you’ll learn the ins
and outs of managing your online reputation, and being proactive to protect it.
Share your thoughts on this issue by
emailing [email protected]. ■
Plugged In
ASSOCIATE MEMBER
By Caryn Smith
UniFirst is Your Uniform Provider
O
ne perk of ARA membership is the
significant discounts you receive
on many things that are used daily in
your business, such as uniforms. The
ARA Marketplace offers a key service
through UniFirst – a leading supplier of
uniforms, workwear, and related products to businesses of all types and sizes.
UniFirst offers ARA member a 20% discount, and more. If you’re considering
a change to your company uniform,
they will even provide a free uniform
consultation.
Since 1936, UniFirst has been a trusted supplier of traditional uniforms,
industrial wear, specialty and protective
clothing, corporate casual, and executive
attire. They also offer floorcare and restroom services items such as mats, mops,
soaps, air fresheners, and paper products. Serving customers from more than
200 local facilities throughout the United
States and Canada, UniFirst outfits more
than 1.5 million workers at 240,000 customer locations with work apparel each
and every business day through valuebased rental, lease, and purchase programs.
What makes this company unique is,
although they operate nationwide and
beyond, they still enlist the family values
and culture that founder Aldo Croatti
started back in 1936. UniFirst was founded upon three Core Business Values for
all employees to follow: (1) a customer
focus, (2) a respect for others, and (3) a
commitment to quality. With this strong
focus, they were named to Forbes Magazine’s Platinum 400 List as one of
“America’s Best Companies.”
So what’s the real secret to
UniFirst’s success?
“It’s our people, or as we call them our
team partners, and their highly focused
customer service disciplines that call for
developing ‘Customers for Life,’” says
UniFirst President and CEO Ron Croatti.
“Others can try to copy our uniform
products and services, but they cannot
replicate the customer-oriented family
culture we nurture corporately and at
each of our 225 service sites nationwide.
As a result, competitors struggle to
achieve the customer service and satisfaction levels we maintain, and this is
often evidenced in the bottom line.”
UniFirst’s corporate mission is to be
recognized as the quality leader in their
industry. They have a careful focus on
serving each Customer’s special needs
and providing total satisfaction that
enables them to grow, to provide an equitable return on investment, and to create
opportunities for all of employee-team
partners.
New to UniFirst
Beyond being made for unimpeded
performance, all UniFirst apparel is
designed to project a more professional
business image thanks to such premium
design features as double-needle stitching, banded collars with permanent stays,
and wider belt loops. This includes their
latest offering of Wrangler Workwear™ in
their uniform rental program.
Something for auto recycling businesses to consider, “Wrangler Workwear™ is
built totally with a worker’s comfort and
mobility in mind so they can perform
their best each and every day,” says Chris
Holcombe, VP, GM Wrangler Workwear™.
Thinking about a
Uniform Change?
What does the color say about your
company? Research has repeatedly
shown the colors you select to brand your
business can be among the most effective
ways to attract and keep customers.
Color preferences seem to be deeply
rooted emotional responses that lack any
rational basis, says Dr. R. Douglas Fields,
a senior investigator at the National
Institutes of Health. In an article written
to Psychology Today, Dr. Fields says,
“Color rules our choices in everything.”
He also notes people like to think of
themselves as rational, but in fact they are
often unknowingly ruled by the “mysterious” power of color.
“Utilizing the psychology of colors can
most definitely help reinforce a soughtafter business image or message, such as
technical proficiency or reliability. And
customers often subliminally take such
‘uniform’ messaging more seriously
because it’s being worn by a real person,
someone who embodies the brand and
makes the brand more tangible to them,”
says Adam Soreff, Director of Marketing
at UniFirst Corp.
Here are some widely recognized attributes of colors:
• White: pure, clean (worn by doctors and
nurses to imply sterility)
• Black: power, authority (helps project
knowledgeable expertise)
• Green: calming, growth and fertility
(favored by landscapers/garden centers)
• Purple: royal, dignified (helps suggest
“premium” products and services)
• Orange: warm, vibrant (used to create
a playful business environment)
• Silver: prestige, scientific (often the
choice of high-tech companies)
• Red: excitement, confidence (tends to
be used to distinguish employees in expansive business setting)
• Blue: Trust, belonging (the most popular color used in all businesses)
• Yellow: Warmth, happiness (used to promote a general sense of well-being)
• Gold: Elite, prestige (fosters a sense of
the very best)
Contact UniFirst with your uniform
needs through the ARA Marketplace,
ara.bizunite.com. ■
Caryn Smith is the editor of Automotive Recycling magazine.
ARA Action
Latest News and Reports from ARA
Colorado Auto Recyclers
Convene for Annual Meeting
ARA Submits Comments to EPA on Electronic Reporting
Under Stormwater Program
M
A
embers of the Colorado Automotive Recyclers Association assembled in downtown Denver on January 18
for the association’s Annual Meeting.
ARA CEO, Michael Wilson, along with
Governmental Affairs Committee Chairman and ARA Past President, Norman
Wright, were among those in attendance.
Members heard from industry favorite
Jim Counts, Counts Consulting, about
ways to use brokering and warranty sales
to increase profits. Tim Salam, Brock
Supply, spoke about aftermarket parts,
Roger Ross, QRP and a representative of
the Clear the Air Foundation, also presented. Wilson provided an update on
ARA activities and priorities for 2014, and
shared details of the association’s popular
online marketplace. Important information related to the Affordable Care Act, a
legislative update, and election of 2014
CAR officers also took place.
RA submitted comments to the Environmental Protection Agency (EPA) supporting the Agency’s suggestion that there be a separate discussion/rulemaking
on the governance of facility-specific stormwater data that will soon be required to be
reported electronically to the permitting authority. In its comments, ARA acknowledged
that current law provides for public access to this data – most of which is already being
submitted in paper form. ARA asserted, however, that moving from written to electronic
reporting will make this data that much more accessible and vulnerable to misinterpretation and misuse unless it is appropriately governed.
ARA formally stated its concern that unless the access to and use of the increased
data available from electronic reporting is carefully governed, the success of the stormwater program will be in jeopardy and industries such as professionally automotive recycling could be subject to devastating legal costs. In its comments, ARA suggested that
there be a process implemented through which a formal request for data by non-regulators be subject to a board review to ensure that the user’s intent was reasonable and
with basis. ARA requested that this process be defined by relevant stakeholders including representatives of the professional automotive recycling industry.
Excerpts Reprinted from Autobody News
Virginia-Based Automotive
Recycling Association Does
More Than Green the Industry
By Chasidy Rae Sisk
Federal StormWater Association
Submits Comments on 2013
Multi-Sector General Permit
O
n behalf of ARA and other like
industries, the Federal StormWater
Association (FSWA) submitted comments
on EPA’s proposed 2013 Multi-Sector
General Permit (MSGP). ARA is a member of the Association.
The comments noted that even though
the MSGP is limited in geographic scope
as it only covers those states/territories
where EPA is the permitting authority
(ID, MA, NH and NM), it is considered
a model for most states when determining their own directions for stormwater
permit programs. It strongly argued that
there is no longer any need or justification for benchmark monitoring. The
Association opposed EPA’s proposal to
require that a permittee’s current stormwater pollution prevention plan must be
posted on a publically accessible website.
E
nvironmental concerns have become
a major priority in the collision repair
industry along with removal and reutilization of recyclable material. The
Automotive Recyclers Association (ARA)
is playing an increasing role in this effort.
Since it was established in 1943, ARA
has been the only trade association representing the automotive recycling industry. It is dedicated to efficiently removing
and reutilizing automotive parts as well as
seeing to the safe disposal of inoperable
motor vehicles.
ARA CEO Michael Wilson explains
their mission: ARA aims to further services and programs to increase public awareness of conserving the future through
automotive recycling and to promote the
industry’s value to the automotive consumer. ARA encourages aggressive environmental management programs to
assist member facilities in maintaining
proper management techniques for fluid
and solid waste materials generated from
the disposal of motor vehicles.
ARA offers many benefits to their members, such as networking opportunities,
legislative representation, marketing tools,
and even discounts on liability insurance,
and training through ARA University.
Their website features resources for members, and ARA publishes a weekly electronic newsletter and a bi-monthly magazine, Automotive Recycling, to provide members with needed information on the latest industry trends, training, and technological updates.
According to Wilson, ARA serves members by offering a broad spectrum of programs and benefits for all sizes of
automotive recycling operations: “Business models for professional automotive
recyclers include both full- and self-service
platforms, and their clients range from doit-your-selfers to independent repair shops
to large insurance based collision repair
facilities.”
ARA also maintains two foundations for
the benefit of their members and the
industry at-large. Their Educational
Foundation hosts a library of industry-spe-
ARA Action
cific training courses which are available
through the ARA University. ARA’s
Scholarship Foundation promotes continuing education by awarding scholarship grants – $48,000 in 2013 – to the
children of their members’ employees.
Discussing the challenges ARA faces to
maintain operations, Wilson lists branding, consolidation within the industry, the
exportation of salvage vehicles out of the
country, the unlevel playing field at salvage
auctions and with unlicensed or illegally
operating entities, and advancements in
technology. He says the industry needs to
overcome the competition and barriers
erected by auto manufacturers seeking to
protect their market share.
Wilson explains their current focus:
“The professional automotive recycling
industry is not immune to the effects of
the type of seismic events that have transformed the American automotive sector
over the past few years. Our members
must be equipped to adapt to the effects
of this change in order to meet emerging
markets in new and creative ways. We are
also focused on providing our members
with the skills and knowledge to meet the
challenges that new, more complex motor
vehicles bring to our facilities.
“A recent Polk report detailed that the
number of vehicles older than 12 years has
increased by more than 20 percent, and
that percentage is expected to continue to
rise for at least the next five years,” Wilson
says. “These numbers predict a significant
wave of inoperable motor vehicles that will
be arriving soon at automotive recycling
facilities throughout the United States. As
an industry, we must seize the opportunities these increasing inventories create for
the proper and efficient removal and
reuse of ’green’ automotive parts.”
ARA leadership held a strategic planning retreat in 2013, the purpose of which
was, “to articulate a future that realizes the
full potential of members’ businesses.
ARA is working continually to engage
industry partners that want to help
advance the automotive recycling profession and, at the same time, try to bridge
gaps between us and those entities that
have minimal interest in supporting policies that promote the utilization of OE
recycled parts.”
ARA has partnered with CIECA in
order “to leverage expertise and implementation tools of both parties, develop
standards and advance new business platforms. CIECA develops technology electronic communication standards that
allow better connectivity within the industry. This partnership is increasing parts
sales and reducing risk.”
Other pending projects include
ARA9001, a quality control system specifically tailored to the automotive recycling
industry that is based on elements of the
association’s current Gold Seal program
and continued recognition and utilization
of the Green Recycled Parts trademark.
The association also recently released ARA
Direct, an online auction platform where
members can purchase vehicles from various insurance companies, wholesalers,
fleets, franchise dealers and others in a
manner that significantly changes the
means by which members’ vehicle acquisition demands are met and increases
their inventory.
Though these matters are more than
enough to keep ARA occupied, they work
in the regulatory and legislative sphere as
well. In addition to working with the EPA
to make storm water permitting appropriate and effective for professional automotive facilities plus regularly educating
members on OSHA standards, ARA has
been working with the Department of
Justice to increase compliance and enforcement of the National Motor Vehicle
Title Information System. Their work with
Department of Transportation to combat
the use of counterfeit airbags has led to
ARA’s involvement in legislation on this
topic to educate consumers about recycled
OEM airbags. Wilson believes this legislation “benefits body shop owners because
they will be able to better identify counterfeit airbags and also understand the
cost-effective option of using non-deployed
recycled OEM airbags in repairs.”
Additionally, ARA has taken an interest in
metal anti-theft legislation to prevent
duplicative mandates on auto recyclers.
ARA also supports evaluations on the
need for and cost of new regulations while
keeping an eye on how these changes
impact jobs which benefits collision repair
shops. The current motor vehicle safety
recall legislation under consideration in
the Senate applies to rental fleets, “but
ARA is taking the opportunity to educate
policymakers on the need to include
recall data into third party inventory management systems so recyclers can identify
through their electronic inventory searches whether a particular part has been
recalled; this benefits body shop owners
because this would guarantee that the
recycler wouldn’t unknowingly sell a
recalled part to a repairer,” says Wilson.
Wilson also believes that OEMs need to
embrace parts reutilization at the design
stage. “Technological advances are eliminating past barriers to foster robust international commerce. Access to parts data
that only automotive manufacturers can
provide is crucial to enable the auto body
industry as well as automotive recyclers to
compete in emerging technologies and
business platforms; this is a need both our
industries share. Only with this important
data can the automotive recycling profession efficiently and accurately identify
OE recycled part matches for repairs and
total loss determination calculations.”
ARA is monitoring initiatives related to
Right to Repair, “ARA has long argued
that car owners and independent repair
shops need full access to the information,
parts and tools necessary to accurately
diagnose, repair and re-program vehicles.” ■
ARA Action
ARA STRATEGIC PLAN IN FOCUS:
Be Recognized as the Depository and Processor of End-of-Life Vehicles
It has been one year since the ARA Board of Directors adopted a new Strategic Plan to guide the current and future work of the association. Many
weeks of discussion focused on identifying future opportunities and challenges, how best to promote members’ businesses, and continue to successfully serve association membership in the future. From it arose a new Strategic Plan, formally adopted by the Board on March 13, 2013.
The foundation of the Strategic Plan is the Association’s mission: To advance the automotive recycling industry and promote its beneficial effects
on society, and its vision to be the voice of the automotive recycling industry. The Plan articulates a future that acknowledges the full potential of
members’ businesses. It is comprised of five initiatives that are the means through which ARA plans to translate this vision into practice.
Automotive Recycling will examine each of the five strategic initiatives in more detail, which includes an update on how ARA is committing
its resources and measuring its success.
Recognition
H
ow many times have you been
asked, “So what exactly is an automotive recycler?” Throughout the
course of discussions about the challenges and opportunities facing the
industry, ARA leaders coalesced around
the critical need for professional automotive recyclers to be recognized as the
depository and processor of end-of-life
vehicles (ELVs). For ARA member businesses to succeed and the profession to
advance, automotive recyclers must be
recognized as the place to go for the
proper handling, processing and recycling of vehicles that are no longer
roadworthy.
The vital role played by auto recyclers must be recognized not only
within the automotive parts supply
chain, but in the broader automotive
sector, among the OEMs, in local,
state and governmental agencies, with
consumers, and around the globe.
Achieving this measure of recognition
will help to enable and equip ARA to put
its mission to advance the industry, promote its beneficial effects on society, and
fulfill its vision to be the voice of the automotive recycling industry, into practice.
Into Action
With the strategic initiative to be recognized as the depository and processor
of ELVs identified, the discussion
focused on developing strategies for
achieving this recognition within the
three-year timeframe of the Strategic
Plan. Four implementation strategies
are outlined in the Plan:
• Capture Comprehensive Industry
Data and Distribute to Relevant
Stakeholders;
• Maximize the Utilization of
Recycled, OEM Parts;
• Develop a Comprehensive Internal
Communications Plan; and
• Develop a Comprehensive
External Communications Plan.
Capturing Industry Data
Having a clearer picture of the players
operating in the automotive recycling
and automotive parts marketplace will
better inform ARA leaders and staff as
they represent the interests of the profession to the outside world.
To that end, one of the goals ARA pursued in 2013 in efforts to capture industry data was to request of the Department of Justice’s NMVTIS Advisory
Board information on the various entities
who were reporting salvage vehicles into
the NMVTIS system and exactly what they
were reporting.
You may have also noticed an additional question on your membership
renewal application this year regarding
your business model: full-service, selfservice, or both. This information,
along with other data such as number
of employees, gives ARA insight into
the industry and is valuable quantitative
data that ARA can leverage with interacting with potential strategic partners.
Simply put, it strengthens ARA’s position
as the voice of the industry.
Utilization of Recycled Parts
Association efforts to maximize utilization of recycled OEM parts are underway
in many forms. An outreach plan was
developed to connect with insurers,
repairers, and consumers and educate
them about the benefits of recycled OEM
ARA leaders coalesced around the critical need for professional automotive recyclers
to be recognized as the depository and processor of end-of-life vehicles (ELVs).
parts. In addition to staff outreach on the
association-to-association level, several of
your fellow recyclers have taken steps to
inform key stakeholders about the industry. Technical Advisory Committee Chair,
Andrew MacDonald, Maritime Auto
Parts, Glenholme, Nova Scotia, attended
the 2013 SAE Hybrid and Electric Vehicle
Technologies Symposium.
The Committee also sent Slater Shroyer,
Shroyer Auto Parts, Lansing, Michigan, to
a forum sponsored by the U.S. Advanced
Battery Consortium (USABC) and the
Vehicle Recycling Partnership (VRP) to
participate in discussions on guidelines
for the design of large platform batteries
to increase their recyclability.
The integration of CEICA terminology
into a newly updated version of the ARA
recycled parts guide software provides a
direct link to the collision repair industry.
Ginny Whelan, Executive Director of the
ARA Educational Foundation, presented
at the CEICA Conference in September.
The software will soon be available for use.
Let's Talk!
You may have noticed an increased
ARA presence on social media in the past
few months -- all part of the new internal
and external communications plans.
Watch for industry news, information,
and other resources from ARA to be
delivered via social media this year, in
addition to your e-mail inbox.
“Like” us on Facebook and follow us on
Twitter to truly engage with your automotive recycling colleagues and your association.
Take ARA press releases, position statements, industry publications, codes and
standards, and use them as tools to further the association’s messages to external
audiences that you are connected with.
Educate others about the automotive
recycling industry. Be an active player! ■
You can be a part of the bigger picture.
To receive a copy of the Strategic Plan
goals for ARA, please contact ARA staff
at (571) 208-0428 or [email protected].
Insure This
By Bill Velin
[email protected]
Small Companies and Data Breaches
D
ue to the recent retail data breaches, this is a good time to reiterate
that auto recyclers both on the wholesale
and retail level are not immune from this
exposure. Data breaches are happening
every day, and small businesses have
always been an interesting target for hackers due to the volume of information in
their systems, including credit card data,
employee data, and other information.
You may think this is an insignificant
risk compared to other exposures, but
you might be surprised to learn that data
privacy breaches occur at a much higher
frequency than you might think, and
cause significant financial harm beyond
what you would expect. The reputational harm alone can be catastrophic.
The primary exposures we see in data
breaches are:
• Unauthorized access to or use of
computer systems
• Black boxes and skimming devices
• Unsecured wireless networks
• Theft of proprietary information
• Data or network sabotage
• Corruption of digital assets
• Theft or loss of portable media
devices such as iPhones, back-up
drives, thumb drives, etc.
• Identity theft
Ins and Outs of Data Breaches
Retail operations collect an abundance
of sensitive information and, in many
cases, it is kept for years. A breach of any
of this information exposes your firm to litigation, regulatory scrutiny, and public
humiliation. The lawsuits from these data
breaches come from many sources including victims, issuing banks, the Payment
Card Industry (PCI), and local and federal
regulators. If a retailer is alleged to be in
violation of a privacy breach law, it can be
subjected to several notification requirements, a complicated, expensive process
that creates civil liability if timely, proper
notification is not made.
Most of the states have notification laws
which were written to protect their residents. In addition to the states, the
Federal Trade Commission and other
federal entities have the ability to bring
investigative actions against you and
impose fines and penalties as well.
Owners, directors and officers are also
at risk. Some have been sued for failure
to provide adequate network security to
prevent breaches or for failing to provide
their company with sufficient resources or
insurance to manage this risk.
Five Myths to Forget
There are five myths out there that you
cannot afford to believe:
1. Data Security and privacy is not a
problem for small retailers. Not true!
Bad things happen to retailers of all sizes.
Rogue employees, data thieves, and
unscrupulous business associates are
always looking for opportunities to take
advantage of even the slightest weakness.
2. We can afford to self-insure this risk.
As a questionable economy continues, we
tend to spend less on optional expenses.
Many small companies believe that if
something happens to their data, they can
afford to cover the costs. Far from true! A
recent study by the Ponemon Institute
puts the average cost of a small breach of
1,000 records at $200,000. And, of course,
most of those funds need to be liquid.
3. Coverage is expensive and hard to
get. Again, not true! Competition and a
large pool of buyers have made network
security and privacy liability more costeffective and easier to obtain.
4. Our general liability policy will
cover us. No! GL policies cover bodily
injury and property damage. Courts have
consistently held that data is NOT property and it is considered intangible.
5. We have vendors that handle our
credit card transactions and if they have
a breach, it is their problem not ours.
Again, this is generally not true! The data
owner who collects the information has
usually been found to be ultimately
responsible for what happens to that data.
There are many reasons why retailers
are targets for breaches that are, more
often than not, successful because proactive preventative measures are lacking.
Small retail firms must have strict policies
and procedures in place as well as a comprehensive plan for incident response.
• Have you adequately educated your
employees about their responsibility to
protect private information?
• Have you implemented procedures
for the access to and use of private data,
and is access to it limited to a “need to
know” basis?
• Do you restrict and/or encrypt data
that is stored on mobile devices, including back-up tapes?
• Do you have procedures managing
your contracts with business associates
including indemnification, insurance,
and significant limitations of liability?
• Do you follow encryption standards?
• Do you have a written policy regarding the dissemination of personal information on public and social media sites?
• How often do you monitor networks,
websites, and data bases to detect potential issues?
• What will you do if a potential issue is
identified?
• Do you have adequate reserves or
insurance protection to manage the
financial impact of a breach?
It is advisable to have a ready-to-use incident response plan, and on-call forensics
expert, and a privacy attorney on retainer. Then when a potential issue is identified, your firm is ready to mitigate the
effects of the breach and deter any
potential litigation. ■
For more information on how Wells Fargo Insurance Services can benefit your business,
contact Bill Velin at 800-328-6311, ext. 3039,
direct 952-830-3039, or by e-mail bill.velin
@wellsfargo.com.
Safety Matters
From the ARA Safety Committee
Safety Information Direct to Safety Managers
A
RA’s Safety Committee continues to
explore different communication
methods to reach the individuals at automotive recyclers’ facilities who would
benefit from the safety resources that the
committee has developed. In addition to
sending safety news and materials to the
larger ARA member universe via e-mail
blast, the committee has created a safety
brief newsletter targeted for safety supervisors and sent directly to their e-mail
addresses.
If you have not gotten your e-newsletter, or would like to add your safety manager to the e-blast, please contact Betsy at
[email protected].
Following is a copy of the newsletter’s
first edition.
WorkPlace Safety –
ARA News for Safety
Supervisors
OSHA NEWS ... Click, Print, and
Post: Don’t forget to post your
OSHA Form 300A. It was due by
February 1.
OSHA requires that employers
who have more than 10 employees must
post their facility’s injury and illness log
(Form 300A) of the year prior by
February 1st.
Go to www.bls.gov/respondents/iif/
forms/oshaforms.pdf, print and post
your copy of Form 300A. Also see www.
osha.gov/recordkeeping/new-osha300
form1-1-04.pdf for instructions on how
to fill out Form 300A.
Go to www.arauniversity.org to learn
more about the many ARAU safety
courses offered. Also visit to www.arauni
versity.org/courses/globally-harmonizedsystem (as seen above) to see an example of an ARAU safety course on the new
global harmonized hazard communication system.
Online sales
of industrial markers
for auto salvage and auction
• Permanent paint markers from $1.30 each
• Steel tip pressurized markers for wet and oily metals
• Removable markers for auto repair and dealerships
Free Shipping for orders over $25
We accept Visa, MasterCard, and American Express
Order online or toll free at 888-396-3848
Do You Have Your
ARA Safety Posters up?
Call the ARA office to
order yours today!
Contact ARA today to order your
safety posters in English and Spanish
at (888) 385-1005 or e-mail [email protected].
ARA Provides Members
with Safety Posters
ARA Safety’s Committee provides
members with safety tips on how to avoid
problems with OSHA on issues related to
gas cans, fire extinguishers, electrical
panels/wiring, hazard communications,
forklifts, automotive lifts, airbags and
lock-out/tagout mechanisms.
The posters are available to order in
English or Spanish from the ARA office.
Questions or comments? Send an email to [email protected]
ARA’s Safety Committee is chaired by
ARA Past President Doug Reinert, and is
supported by ARA staff liaison Betsy
Beckwith. If you would like to serve on or
have suggestions for this active committee
that assists the efforts of ARA members to
maintain a safe working environment,
please contact Doug at dougchucks@aim.
com or Betsy at [email protected]. ■
March-April | Automotive Recycling 17
That’s My Opinion
By Ron Sturgeon
[email protected]
What Your Web Designer Doesn’t Know Costs You
M
ost web designers have a basic idea
about business, but they don’t know
much about your business. They don’t
know what’s important to your customers.
If your site is going to be successful, you
need to make sure that the people building it understand your business and know
exactly why people come to your site.
Why Are You Here?
Check out a few auto recyclers’ websites. Why do you think visitors came to
these sites? To buy a part, right? How
prominent is the search-for-parts box on
the home page? Is it even on the homepage? Too often I have had to click
around looking for the tool that 98% of
people visiting the site have come to use.
If you don’t make it simple for potential customers to do what they came to do,
they will click to the next site. Money that
should have been yours is gone forever
because your designer didn’t think hard
enough about why people come to your
site and what they need to do there.
Connecting Site Design
and Business Goals
Going beyond the basics, the smartest
web designers will think about how the
business works and what could be on the
site to make transactions happen.
All recyclers sell used parts on their websites. Right now, however, the smartest
auto recyclers are using their websites to
buy cars. Just by putting the offer to buy
on the site, they get the occasional juicy
bit of inventory at a bargain price. Your
web designer likely won’t even think
about strategies like that one unless he or
she takes the time to understand your
business.
Getting the Most from
Your Business Website
I don’t design or sell web design services, but I frequently host calls with entrepreneurs and their web designers and
developers to set clear expectations for
web design projects, reconcile the unique
selling proposition with the website, and
verify Search Engine Optimization (SEO)
capabilities of the designer.
Because I have been through the web
design process for many of my ventures,
I can help you get the best work from
your web design team and increase your
chances of getting a site that uses SEO
best practices and contributes substantially to your bottom line.
If your website could produce more
sales, e-mail me your URL and I will give
you a free report showing your site’s SEO
score and give you some specific ways to
make your site work harder for your business.
So, Does Your Web Designer
Know SEO?
SEO is an ongoing effort to secure
rankings for the words that searchers use
to find businesses like yours in Google,
Bing, and Yahoo.
As you contemplate building a website
or revamping an existing one, you need
to work with a web designer that knows
how search engines work, so that he or
she designs yours properly.
Most web designers understand a little
SEO, but their task of keeping up with
general design doesn’t leave them time to
learn SEO at a meaningful level.
If you are planning on getting traffic
from search engines without pay-per-click,
you will need good optimization to show
up on page one of the search results for
your keywords. The more competitive
your niche, the more likely you will need
to optimize to get good placement.
If your designer knows SEO, they will:
1. Have asked you for the terms/words
you think your customers use when they
search for businesses like yours.
2. Have then furnished you a list of
those keywords and associated terms, an
estimate of the number of times those
terms were searched last month, and
where your site ranks for each of those
keywords.
3. Have shared tactics needed to
improve performance for those terms and
asked you to budget for ongoing SEO
work or set aside time to do that work
yourself
4. Have given you monthly reports
showing you where you are ranked for
each of your tracked terms as of a given
date, so you know whether you are making progress toward bringing more potential customers to your site
5. Have given you a Google analytics
report (or equivalent) so that you know
how many people visited your site, what
keywords they used to get to your site,
where they came from, and what they
looked at.
6. Meet with you at least quarterly to
review the performance of the site, propose budgets and targets, and work with
you to meet those goals.
If you are not getting this basic information from your web professional, you
are not in a position to measure the
results of your effort to grow your business
using the Internet.
Unless you are measuring them, your
web marketing results are likely weak.
There is an old business adage: You get
more of what you measure. Just starting
to measure your web results will focus you
on improving them.
Remember only you can make business
great! Contact Ron at (817) 834-3625, or
e-mail at [email protected]. ■
Ron Sturgeon, an author and founder of Mr.
Mission Possible small business consulting,
www.autosalvageconsultant.com, combines
over 35 years of entrepreneurship with extensive experience in consulting, speaking, and
business writing. Ron shares his expertise in strategic planning, capitalization, compensation, growing market share
providing field-proven, high-profit best practices.
Tech Knowledge
From the ARA Technical Advisory Committee
ARA's Technical Advisory Committee Reconvenes Workgroup on Hybrid Batteries
T
he ARA Technical Advisory Committee (TAC) spent considerable time
and resources during in 2011 and 2012
producing the Hybrid Vehicle Dismantling
Guide. It is indeed a compilation of material on “all things hybrid” for use by recyclers. During the Guide’s development,
however the Committee quickly realized
there would be a need for follow-up for
a specific chapter on the management of
hybrid batteries.
To this end, the TAC recently appointed a workgroup to research and draft a
document that will serve as a supplement
to the Guide that will focus on the following issues:
• Component
identification
and Depowering;
• Dismantling Safety and Procedures;
• Handling and Storage;
• Quality Control/Buyer Market
(Core vs Re-use standards);
and,
• Shipping and Handling.
The committee is fortunate to have
recyclers who are expert in the management of hybrid batteries recovered from
end of life vehicles who have agreed to
serve as consultants to this project on an
as needed basis.
ARA member and Colorado Automo-
tive Recycler member Eric Sumpter is
one of those consultants. His facility,
Adopt-A-Part, is dedicated to the recovery
of hybrid batteries. He brings to the table
a unique perspective as Adopt-a-Part, is
working with Toyota Group companies to
serve as a Rocky Mountain Regional collection and consolidation center for high
voltage battery recovery.
The workgroup also
intends to reconnect with
other resources in the battery recycling industry who
contributed their expertise
to the Guide and who will
hopefully agree to contribute their valuable
expertise to the development of this
chapter. Also, ARAU (seen above) has
offered its extensive training resources
and platform to help bring a quality
product to the industry.
Lastly, the Committee will take into consideration the extensive ongoing research
taking place at the U.S. Department of
Energy’s Vehicle Technologies Office by
its hybrid vehicle research team as well as
the activities of the U.S. Environmental
Protection Agency’s Office of Transportation and Air Quality in this research
area. ■
Find this form at http://a-r-a.org/files/Hybrid-Manual-Form.pdf and order yours today!
Marketing 101
By Mike French
[email protected]
iStock.com/Nihat Dursun
30 Ways to Make Your Advertising More Productive and Effective
W
hen I was a kid I loved to watch the
old Ma and Pa Kettle movies about
a backwoods family with 16 children. The
father, Pa, was a slow-talking fellow who
never seemed to fix anything no matter
how urgent. If the roof sprung a leak, or
the fence railing gave way, he would simply scratch his head and say, “I’m gonna
fix that one of these days.”
Of course, he never actually got around
to fixing anything, although his intentions
seem to be sincere. I think his problem
was that he had so many kids and so much
going on all around him that he was just
distracted and overwhelmed by it all. He
didn’t know what to do or where to start.
Many auto recyclers feel the same as Pa
Kettle when it comes to their advertising –
they’re “gonna fix it one of these days.”
But, like Pa Kettle, they only have good
intentions, which are not enough!
Getting Around To It
Some recyclers tell me they don’t get
their advertising done because they simply
feel overwhelmed by it all – they don’t
know what to do and where to start.
Besides all the traditional advertising
methods, there’s all the new electronic
stuff including the many kinds of social
media. But I think they are making it too
hard.
Here are a few things you can do.
1. Schedule uninterruptible time to plan
your advertising. You will get more done
and accomplish more advertising projects
if you do. Do your planning away from the
distractions of your normal work. One
person I know goes to the public library
and he leaves his phone in the car.
2. Make all your advertising methods
trackable and accountable to results. Only
do advertising projects you can measure.
This will help you spend your valuable
advertising dollars the most wisely.
3. Learn and do ONLY direct response
type advertising methods. All advertising
methods fall into two categories, Image
and Direct Response.
Simply put, Image (non-selling) adver-
tising doesn’t ask the customer or
prospect to do anything. There is no offer
presented and it cannot be measured or
held accountable for results. Direct
Response (selling) includes specifics
about products/services and tells
where/when/how to get them, and
results are measurable.
4. Brainstorm with your sales staff for
new ideas. You will benefit from taking
advantage of their valuable observations
and experience. Involving them will also
create good will and enthusiasm by staff
towards your marketing campaigns.
5. Monitor auto recycler advertising.
Especially know what kind of advertising
is currently being used in your area. Get
on lists so you will receive their mail-outs.
How do you do this? Buy something from
them, or get a family member or friend to
do so and then give you what they receive.
Look at what they are doing with a critical eye and use what you learn to make
yours better than theirs.
6. Do advertising projects more often
than your competitors do. This will give
you an edge. For instance, if they send a
company newsletter once a month, send
yours every three weeks. If they drop
something into the mail twice a year, do
yours three times a year.
7. Use bounce-back offers to instantly
sell again to those who have just made a
purchase from you. This works because
people who have just bought something
from you are now predisposed to do so
again. Prepare some small flyers featuring
some specials to use for this purpose. Place
them in your statement envelopes to ride
along with customer receipts. Include one
with every shipment and even to be hand
delivered by your delivery drivers. Have
your sales staff give one to each person
they make a sale to at your store.
8. Up-Sell. Studies have shown that people will generally say yes to an up-sell
opportunity up to 20% above the cost of
their original purchase. If they just spent
$100 with you, you can easily add another $20 to the sale by offering them at the
point of purchase something else they
need. Put up-sell products into place and
train your sales staff how and when to present them to customers.
For instance, if a customer just purchased an engine, the salesperson would
say, “Do you need oil, seals, and belts to go
with that?” Yes! You should sell things like
fluids, belts, and specialized tools needed
to help with the install. By making only five
up-sell purchases of $25 per day, at the
end of their year you have increased sales
by $32,500!
9. Read at least one good advertising
book a month. This will help you stay
abreast of new and exciting advertising
trends and methods.
10. Attend an advertising/marketing
class or conference at least once a year.
11. Become “the” automotive recycling
expert in your marketplace. This will
make you the go-to-person by the media.
When anything newsworthy happens they
will seek you out and interview you about
it. To become the local expert you simply
proclaim that you are “the” expert and you
add the title to all your advertising, “John
Doe, The (city/county/state) Top Expert
in Automotive Recycling!”
By the way, there can be only one so
called top “expert” in any field per community and the title goes to the first one
to proclaim it, no matter how young or
old. Anyone else who tries to self proclaim
after the fact will fall flat as a Johnny-comelately, or an “also ran.” Be first!
12. Use social media. There is
Facebook, Twitter, and LinkedIn, just to
name three of many. Learn and do one
social media method at a time until you
master it. There are many how-to books
available to teach you that you can find
online. There are also systems that post to
all your social media with one click.
13. Hitch-hike your ads along with a noncompetitor business who sells to your
same marketplace. You may find some
new clients among their customers and
contacts that you have not reached. If they
have a newsletter or do direct mail, ask to
include an ad in it about your products
and services. Contribute to the costs and
you both save money.
14. Phone your customers. This has
proven to increase sales up to 35% in one
month. Call five of them per day and ask
how they are doing and to check to see if
they need anything. You will catch some
at their point of need and they will order
something on the spot.
15. Send thank you notes to those who
have made purchases from you. Include
a coupon to use on their next purchase.
16. Ask for referrals from your best customers. Contact referrals immediately
and introduce yourself, mentioning who
referred you. Ask if they need anything.
17. Call old customers who haven’t
bought from you for a while and tell them
you miss them. This will help you discover and fix problems that may have caused
them to leave.
18. Do a mailing beyond where you are
currently doing business. Include moneysaving coupons to attract new business.
19. Update your mailing list often. Buy
a fresh mailing list from a list supplier
twice a year rather than to get a list and
use it for the entire year like most companies do. This is so that you get the new
startup businesses more often than your
competitors do. You will be able to advertise to them months before your competitors do.
20. Collect e-mail addresses from customers and send special offers to them.
Have a place on your website where customers can sign up. Give them a reason to
sign up with enticements of special offers
and savings on offers just for them.
21. Make it possible for customers to
order parts directly from your website
24/7. Even though this may seem like an
expensive thing to do, it is really not.
Customers will be able to order anytime
online and it’s like having another salesman, for free. Besides, more and more
folks prefer buying this way.
22. Write a column for your newspaper
and/or your state association newsletter.
Most papers are looking for freelance articles. This will give you free publicity.
23. Upgrade or improve your business
signage and delivery truck look. Make
sure your business name, parts slogan,
phone number, and website are prominently seen.
24. Use QR (quick response) codes
everywhere and on everything. It’s the
new way for people to instantly access your
website or watch a YouTube video on their
smart phone about your business.
25. Create YouTube videos. Use them
to introduce new products, to introduce
your staff, or even to explain how to do
proper installs. Get creative with them.
Post them on your website and social
media to let people know they are there.
26. Broadcast a list via e-mail of your
new arrival vehicles each week to your customers. This will act as a reminder to them
that you are in business and may even get
you some part orders.
27. Accept competitor coupons. Turn
their coupon campaigns to your advantage. Sweeten the deal by adding, “PLUS,
5% or 10% MORE!” Advertise that you
accept competitor’s coupons by posting it
on your website and elsewhere. If you
include coupons on your advertising
materials make one that says, “We Accept
Competitor’s Coupons PLUS 5%!”
28. Utilize secondary offers and freebies. Use a headline on your marketing
materials that says, “Wait! There’s more!”
to make fence sitters respond positively
and immediately to your offers. Use nice
t-shirts, ball caps, and other items for this.
There are thousands of possibilities.
29. Utilize unsold advertising space.
Save money on your ads by always asking
for “unsold” advertising space in publications that go to your marketplace. You can
save up to half the normal ad cost by
doing this. Have ads created and ready to
use for this purpose. Ask publications to
let you know just before they go to press
that unsold space is available, then submit
your ready to go ads to go into the space.
30. Use Craigslist. It’s a way to get almost
instant results for free.
You may not be able to use all of the
above ideas but you should be able to use
some of them to get, and stay ahead of,
your competition. Finally, regarding your
advertising, don’t ever be like Pa Kettle
and say, “I’m gonna fix that one of these
days,” but instead, do something now! ■
Mike French, president of Mike French &
Company, Inc., can be reached toll-free at
(800) 238-3934, or visit his company’s Web site
at www.MikeFrench.com.
Tomorrow’s Workforce
By Pat O’Connor [email protected]
The Customer-Focused Approach
T
he breakdown of our economy in
2008 and the realization of our
dependency on foreign oil has set a new
area of automobile into motion. The race
is on to improve gas mileage, lower our
carbon footprint and increase safety. Not
since the creation of Silicon Valley in the
70’s have we seen such explosive growth
in innovation. Along with this new technology entering the mainstream will come
a need for change in our labor force.
Today’s automotive technician must
endure many hours of education and
training to handle the challenges they will
face when working on today’s vehicles. No
matter if they are repair technicians, auto
body technicians, or auto recycling dismantlers, understanding the advanced
technology that is incorporated into
today’s vehicles is crucial to producing
quality and productive work. But producing accuracy and quality is sometimes not
enough to win over the customers needed to build a successful business.
Beyond Technical
Every customer is unique in that each
one has their own point of view of what
they expect when they are looking to buy
parts or to have their vehicle repaired.
Satisfying as many of these customers as
possible, if not all, is the true focus of every
auto repair and parts business.
The automobile can be challenging to
repair or dismantle but the solution is usually black and white; either it is fixed or it
isn’t. Customers, on the other hand, tend
to be more challenging.
A tried and true adage that has endured
for generations and helped put distraught
minds at ease: “We can please some of the
people some of the time but not everyone
all of the time.” For myself, as an experienced auto repair technician, this anecdote only worked some of the time.
Yet, when business is down and sales are
grim “pleasing whomever you can”
becomes the phrase that pays. An associ24 Automotive Recycling | March-April 2014
With new technology
entering the mainstream
will come a need for
change in our labor force.
ates degree in automotive technology and
over 400 hours of manufacturer training
allowed me to understand and diagnose
every problem that passed through my
work bay during my career as an automotive technician. But some customers
were still not happy.
“You win some and you lose some” is
what one service manager advised me.
Technical training, diagnostic strategy,
and vehicle knowledge are all needed to
insure that repairs are completed accurately. But could it be that what the
trained technician sees or hears is different than what the customer is saying?
Hearing Beyond Words
Here at Waubonsee Community
College, our Automotive Technology program and Automotive Recycling Program
assures that participating students will
learn all of the skills needed to perform
accurate repairs and dismantle vehicles in
a systematic and efficient manner. These
skills are a necessity for all auto technicians
and dismantlers, but they are only the
foundation to a more complete approach
to satisfying customers’ needs.
A “customer focused” approach to
problem solving is what students are challenged to explore as they learn. Rather
than focus strictly on the fault that lies
within the vehicle, they are taught to start
with the customer’s point of view. By doing
this they are able to better understand
what the customer’s problem is rather
than just looking to repair an ailing vehicle. Through this approach the customer’s needs are attended to first.
Whether it be something as simple as
explaining the proper procedure on how
to operate the vehicle or as sophisticated
as diagnosing an on-board computer
communication fault, the customer’s
wants and needs are the focus.
This also applies to auto recycling, as
well. Waubonsee’s auto recycling course
students are challenged to view the need
of vehicle parts from a customer’s point of
view. Seeing the end result of what will be
made available to a customer helps a student find better ways to improve quality in
the parts that are removed and inventoried, as well as explore new and creative
ways to market used parts to customers. If
the customer is not figured into the repair
and recycling process, then what they are
looking for will be overlooked.
Solving Customer’s Problems
Automotive recycling, automotive repair
and auto body repair all service different
areas of the automotive field, but share
one commonalty; they are in the business
of solving customers’ problems. The parts,
the painting and the repairs are all part of
the actions that are needed to achieve this
goal, and pleasing a customer may simply
only require a better explanation of
repairs, a more user-friendly parts ordering
system or better packaging.
But what is paramount to the success of
the entire automotive recycling and repair
industry is the understanding that the
automotive recycling, automotive repair
and auto body repair industries will need
to come together and understand the
needs of one another to better achieve
this goal. ■
Pat O’Connor developed and instructs the Automotive Recycling Program at Waubonsee
Community College. Over the past year, he
leveraged relationships with local auto recycling businesses and associations, such as the
Auto & Truck Recyclers of Illinois and the Automotive Recyclers Association, to develop one of the first recycling
programs of its kind. He has an associates degree from Triton College in Automotive Technology, multiple industry
certifications, and worked as a professional Master Automotive Technician for over 22 years.
Lessons Learned
By Ginny Whelan
[email protected]
Connect with People Through a Unique Customer Experience
Everyone
ow! text
What an unbelievable amount
text of activity taking place all around
us – in our businesses and the automotive
endit.
recycling
■
industry. When we grasp
the full scope of it, it’s a different industry now, and we need to be a different
green recycled auto parts supplier.
Public companies, trading partners,
and independents – it doesn’t matter
what type of automotive recycling parts
supplier – the industry is more competitive than ever. Vehicles are more complex, maintenance periods are longer,
and attrition (life of the vehicle) has
extended. Recyclers need to adjust.
Survival in today’s auto parts industry will
come down to one word: VALUE.
There are hundreds of issues that turn
customers away from our businesses
instead of toward it. There is an alternate
way to look at this negative activity and
allow us to turn it back into higher levels
of customer commitment. There are
hundreds of new opportunities to connect with people to grow business.
W
Negatives to Positives
The concept is simple – we want the
customer to understand the value of a
green recycled OE part. Auto recyclers
have always had a more customer centric
mindset. We need to new find ways for
customers to better see it.
“The battle we have before us is with
ourselves. As an industry we are disjointed. Behind every stereotype, there is
some reality. The Automotive Recyclers
Association has gone to great lengths to
develop standards and best practices, but
has had limited success in implementing
those standards and practices throughout
the industry. Some of it comes from lack
of membership, but most of it comes from
a lack of desire to change the stereotype.
I think that if we all took the opportunity
to become more ‘customer centric,’ even
with each other, it would do a lot to
change the stigma we have created,” says
Survival in today’s auto parts industry will
come down to one word: VALuE.
Eric Schulz, AAA Auto Salvage, and Chair
of the ARA Gold Seal committee.
During a recent ARA University training webcast focused on customer interaction, emphasizing understanding and
building a customer centric connection,
the false reality that all customers are
focused only on price was replaced with
the customer knowing they’re getting
great value for that price.
Now, it’s all about communicating and
creating that company environment, with
the added push to display and discuss the
certifications ARA CAR and Gold Seal as
a value for customers. When your team
grasps the full scope of activity taking
place for the customer experience, a true
relationship that fulfils a customer’s expectation evolves.
Combining these efforts with a wellkept and sustainable business environment is what makes the CAR/Gold Seal
automotive recycled parts supplier customer centric, focusing entirely on the
value it can provide to the customer.
Are You Left Behind?
The expectation of the customer and
the bar of the industry has been raised in
the last few years. The life span of a vehicle has lengthened. This is not the same
industry and we can’t operate the same
way. We must work to never turn a customer away. It’s really hard, but in the end
you have to do it. If you say no or make
them wait, they aren’t going to come back.
Customers are different today because
they do their homework on the Internet.
They expect you to get it right the first
time and in less time than in the past. It’s
all about customer perception. They don’t
care what goes on in the dismantling area,
warehouse, or storage area. All they see is
the final part, the invoice and the interaction with your staff. There’s always
going to be someone with a cheaper price.
So what are you going to do to make
your business stand out? What is your
company distinction? Have you trained
your sales associates to be advisors? Like it
or not, customers tend to have a negative
perception of recycled auto parts. By helping customers understand that the part is
original equipment (OE) built for their
car to meet their repair needs, you are
advising them on proper part selection.
Consistency is the Edge
Do you keep the communication with
your customers consistently? Do you train
and practice with your staff a consistent
company message so they are all on the
same page? Do you adjust to the work flow
to build buy-in and performance?
All these questions can be answered
with the development of your company
value proposition for your customers. Start
by identifying your target customers and
the repair problem and how your recycled
OE part provides the solution. What differentiates you from the competition?
Next develop your company service
statement for each target customer (repairers, recyclers and direct customers).
Package your business with services, tools,
practices and training that enables operational excellence that delivers improved
performance as measured by customers
while increasing profitability.
In the end, companies that think like
this will stay ahead in the game. ■
Ginny Whelan, an ARA Past President, is Managing Director of the ARA Educational Foundation and founder of the ARA University, the
leading Web-based training resource in auto recycling education. Visit www.arauniversity.org.
ISO 9001
By Mary McDonald [email protected]
Building Trust In A Partnership to Improve Market Share
N
Contreibw
and Col utor
umn!
ll good partnerships are built on
mutual respect and trust. Looking at
automotive partnerships, we find that
partners gain something in the partnership that makes the relationship worthwhile to both. When both companies find
something of value in the deal, it makes
it worth pursuing. The question becomes
– how to build up that trust?
Thankfully there are relevant partnerships from recent history that pave the
way for today’s new relationships. For
example, New United Motor Manufacturing, Inc., or NUMMI, started as a 1984
partnership between GM and Toyota,
established to produce cars for both manufacturers. Through this partnership,
GM was able to learn “lean” techniques
(to eliminate waste) from Toyota and
Toyota built the first North American
manufacturing facility and learned how
to implement their production system in
a U.S. facility. The site was a former GM
factory, and well-suited for production.
Much can be learned from this partnering between two manufacturing legends who competed for similar markets
while at the same time partnering in specific areas for mutual benefit. It was
indeed a partnership built with trust and
confidence in each partner’s reputation
and product line.
Fast-Forward to Your World
In the automotive recyclers’ world, one
may choose to partner with a variety of
groups in order to build his business:
• partners who help him/her manage
their business;
• partners who band together to form
alliances;
• partners who they purchase their
inventory from; and,
• partners who buy their inventory.
These partnerships allow a recycler to
focus on building a brand, getting recognition for delivering quality OEM recycled automotive parts on time at a fair
iStock.com/D_BANK
A
price, and working more efficiently.
The question then becomes – how do
you know who to trust? How do you know
how much you can trust them?
Trust is like a bank account – you have
to deposit before you can withdraw. You
need to start building trust before you can
ask for trust. This is done in a variety of
ways, but the most often done by:
• saying what you will do,
• doing it,
• acknowledging and apologizing when
you fall short, then
• fixing it.
Accountability Helps
Back in the 1980s, with the growth of
international markets, companies in a
wide variety of industries discovered that
they had barriers to business when trying
to sell their products outside their local
industry. Consumers’ attitudes were, “I
don’t know you, so how do I know that
the product you made is any good?”
To combat this lack of accountability,
the International Organization for Standardization developed the ISO 9001
Standard, which was based heavily on the
U.S. Military’s standard for quality. This
ISO 9001 Standard has been updated several times since then, but is still based on
the following original principles:
• Understanding and meeting requirements,
• Considering processes in terms of
added value,
• Obtaining results of process effectiveness, and
• Continual improvement of the process based on measurement.
Wait – doesn’t this list look like the list
outlined above for building trust in the
automotive recycling industry? It appears
that the standard writers understood that
the standard should support businesses,
not the other way around.
So how does this standard work? It
ensures that management is involved in
the business – that there is someone who
is steering the ship. It ensures that there
are adequate resources available – both
in terms of headcount, equipment, and
physical space – to do the job you are contracted to do. It looks at how you do what
you do to ensure that it’s repeatable; and
it relies on measurement and checking to
ensure that you are doing what you said
you were going to do.
Now imagine a potential partner came
to you and said, “I’d like us to work
together. Here’s what I bring to the table,
with my existing partners – I have a good
relationship with my supplier – I’ve always
gotten what he said I was going to get. My
people are trained, and we’re efficient, so
our pass-through costs are well within the
industry standard – I have the data available to show you that. We package the
part so it arrives in the same condition
that it left us, and we have photos of the
part I can show you. And, when we do get
a customer complaint, or a return, we
work to make it right, and have the data
to back that up also. So, would you like to
do business together?”
How much confidence would you have
in them? How likely are you to trust
them?
Let’s take it one step further – potential
partners may have data, but how do you
know it’s good data? How do you know it
wasn’t just manufactured on the PC for
this one time purpose?
You would know that the potential partner had much to offer if his facility held
a recognized certification earned through
an independent audit – you would know
the quality of his offer if he were ISO 9001
certified.
Certified the Best
ISO 9001 requires that an independent
group, called a registrar, independently
audits the facility – not just the data, but
the entire facility. During the audit, the
registrar will ask questions of management, employees, review data, and inspect
customer complaints and returns. A
pass/fail assessment will be made and a
certificate awarded if the facility earns a
pass rating.
The benefit of the ISO Standard is also
flexibility – it allows you to do things the
way that make sense to you.
Let’s look at an example:
You’ve decided to build trust by getting
independently audited in preparation for
being certified. You have to keep data on
customer returns and complaints, as
we’ve talked about.
The ISO standard doesn’t care how you
keep those records; only that you keep
them. If you write them all down on the
back of your grocery receipts, and put
them in an envelope marked “Customer
complaints,” that’s fine; if you have them
logged into a computer, sortable by type
of complaint, cost of the return, etc; that’s
fine also. ISO lets you develop your system
so long as it meets the requirements.
Are there tools out there that will help
you do this easier? Absolutely. Are there
modules on your estimatic programs that
meet these requirements already? Yes. But
do you have to have a specific program to
meet the standard requirements? No.
What works for you and meets the standard is fine.
Trust is built up over time and provides
the basis for productive partnerships.
Becoming ISO certified will help you
build trust with industry partners to help
improve markets for recycled OEM automotive parts. ■
Mary McDonald is the CEO/CTO of The McDonald Consulting Group since 1995, working to help clients improve
processes to positively affect the bottom line. She is a Certified Quality Auditor and a RABQSA Certified Lead Auditor in several standards, as well as an author and speaker
on systems integration and strategic business planning.
Partnerships
IN
Automotive
Working Together to
Maximize Successful
Business Models and
Meet Consumer Needs
T
Repair
he publication of ARA’s Special
Report: Partnerships in Automotive
Repair comes as all stakeholders
in the automotive sector continue to adapt to the effects of seismic change that have taken place over the past few
years. As the average age of vehicles on the road
continues to rise, many auto manufacturers have
rebounded and technological advances in vehicle
design, structure and electrical components are in
the headlines seemingly every week.
The professional automotive recycling industry is
not immune from this dramatic transformation and
challenges us to meet emerging markets in new and
creative ways. Strengthening existing partnerships
and building new ones is one such way that automotive recyclers are working with other industry stakeholders to ensure an efficient vehicle repair process
for the consumer and continuing to build successful
business models for the future of our industry.
Professional automotive recyclers are just one of
the various players in the vehicle repair process.
Because the industry is so vast and interconnected,
ARA is working continually to engage those partners
that want to help advance the automotive recycling
profession. In this Special Report, readers will hear
from a robust collection of industry representatives
offering unique perspectives on the role that recycled OEM parts play in the vehicle repair process as
well as potential opportunities for partnership.
With new vehicle design, I can foresee that
recycled parts would be more at the forefront
in our minds on how they will be used.
I would suggest that auto recyclers continue
their education on dismantling these unique parts.
– Dan Risley, Automotive Service Association
iStock.com Illustration: Adelevin; Parts: Lazarev; Box: Bibigon; Icons: missbobbit
®
®
Getting the Part:
Connecting Automotive
Recyclers and Repairers
An Interview with Dan Risley,
Automotive Service Association (ASA)
RELATIONSHIPS ARE A KEY PRIORITY FOR DAN RISLEY,
Executive Director and President of the Automotive
Service Association (ASA). His organization advances
professionalism and excellence in the automotive
repair industry through education, representation,
and member services, serving owners and managers
of automotive service businesses that strive to deliver
excellence in service and repairs to consumers.
ASA has 5,000 members and an additional 2,000
through affiliation. Our member’s business goals are
pretty simple as it relates to recycled parts. “Utilize
readily available, cost effective, high quality parts that
help keep repair costs and cycle times down,” says
Risley. As for the use of recycled auto parts in repairs,
Risley has a positive view of the role professional automotive recyclers play in their industry.
“Over the last 15 years, I have seen a very genuine
and positive outreach from auto recyclers who want to
bridge the gap to work effectively with repairers,” says
Risley. “Recycled auto parts are an essential part of the
supply chain from all perspectives – from insurance,
collision repair and mechanical.”
Risley understands the chain of commerce in a
unique way, a result of his vast experience in the automotive sector. Growing up, he worked in a familyowned body shop before working in sales and service
for BASF, and later as a project manager for CCC
Information Systems. He spent eight years as the executive director of another collision repair association
and had a five-year segue as a market claims manager
at Allstate Insurance before joining ASA.
A Theme of Education
“Working in the insurance industry was an invaluable educational experience for me,” says Risley. “I
had oversight of the Allstate Direct Repair Program
for half of the United States, where we relied on
alternative parts. During my time at Allstate, I saw
the technical and research side of insurance through
Tech-Cor.”
He believes the automotive recycling community
has done some great work to better their partnership
with insurance companies, collision repairers, and
mechanical shops.
“The ARA Damage Codes are making a big difference to the process, as is the ongoing education by
auto recyclers on unique items, like recycled airbags,
under the ARA Airbag Protocol. Educating themselves
on the challenges and possibilities of selling certain
recycled parts is key. For instance, recycled assemblies
are not as cut and dry to estimate on an insurance
claim, and reaching out to educate all industry segments on how these parts can and cannot be used will
drive usage,” he says.
“Using recycled parts is not an issue for repairers.
How specific parts are used in the future is a concern.
As cars continue to change in design, I can foresee a
reduction in the parts that are available to repairers. I
would suggest that auto recyclers continue their education on dismantling these unique parts and assemblies.”
Progressive Partnerships
While salvage vehicle availability is not a top concern,
ASA acknowledges that there are potential ramifications to their industry. With the growth of global
online salvage vehicle sales, drawing from reports of
the online salvage auction companies, one can estimate that approximately 30 percent of the 3.5 million
“total loss” vehicles are going overseas.
“While we have not legislatively spent time on this
issue, we know that the availability of salvage parts is
key to maintaining repair costs. We would be very
interested in exploring partnerships and opportunities
to protect our mutual interests,” says Risley.
“There are many ways ARA and ASA can support
each other,” says Risley. ASA’s strong affiliate state
chapters are where he suggests partnerships could be
most effective. “Our state affiliates are the foundation
of the national organization. We are only as strong as
our affiliates.”
“Some of our affiliates have 100 to 300+ members.
These shops could lend a favorable voice to a shared
legislative issue,” he continues. “We have a lobbyist on
Capitol Hill who can be of assistance on the national
level.” Another way the two associations could collaborate could be some level of participation at ARA and
ASA annual meetings and Hill Days, he suggested.
Industry Trends
Another interest that both industries share is the
availability of critical automotive parts data, such as
manufacturers’ RPO codes. Like ARA, ASA applauds
the recent Memorandum of Understanding (MOU)
between the Alliance of Automobile Manufacturers,
the Association of Global Automakers, the Automotive Aftermarket Industry Association, and the
Coalition for Automotive Repair Equality, regarding
motor vehicle owners Right to Repair. “We were very
happy to see this; it further supports their MOU that
was initiated with ASA years ago. Any time organizations work within a voluntary agreement, outside of
a legislative mandate, is a positive step,” says Risley.
In terms of available repair information, ASA has a
good relationship with I-CAR and the National
Automotive Service Task Force (NASTF). “We have
a Board position for I-CAR at ASA and are aware of
their activities,” says Risley. “As for NASTF, we have a
contract with the Vehicle Security Professional (VSP)
Registry, a service created from the NASTF Secure
Data Release Model (SDRM), and an ASA employee
manages the program. For both of these initiatives,
we have not seen anything that dispels the idea that
gaps in repair information will be addressed through
these two entities.”
Automotive Recyclers and Repairers
In Risley’s opinion, there is no mystery on how automotive recyclers can increase the utilization of recycled
parts by repair and mechanical shops and get more
support for recycled OE parts from the insurance
claims community. “Continual evolution on part quality, delivery, and part descriptions is the key,” he says.
Overall, the ASA and ARA have the same ultimate
goal, to benefit the consumer with excellent customer
service, quality work and product, reduced costs, and
quick turnaround. The more communication and
education that can be created, both recycler to repairer, and organization to organization, the more both
industries will advance into the future successfully.
Learn more about ASA at www.asashop.org. ■
Caryn Smith is the editor of Automotive Recycling magazine.
A Repairer’s View on
Auto Parts Recycling
Relationships
By Darrell Amberson, Automotive
Service Association (ASA)
I
’VE BEEN BLESSED TO SERVE IN OUR INDUSTRY FOR OVER
40 years in a few different roles, but always as a
repairer (with the exception of a couple of years
as a professional drag racer, but that’s a different
story). I am currently Vice President of Operations
for LaMettry’s Collision and also the chairman of the
Automotive Service Association (ASA).
I think of the automotive parts recycling industry
as a partner to the repair industry in a similar way
that I think of the individual salvage recycled parts
businesses and people as partners with me and the
companies I’ve worked for. While we have different
roles, we essentially all “play in the same sandbox.”
The roles we play cause us to be, in many ways, inseparable. We are dependent upon each other.
As an estimator in the past I knew that insurers
would expect me to consider recycled parts and
often offer proof that I researched the opportunities.
Beyond that, I knew that in many situations it simply
made sense to utilize such parts.
Cost, convenience, and efficiency were always the
considerations. I had the benefit of forming relationships with a number of recycled parts business
owners and their teams. For those with whom I
could develop a high level of trust, I became reliant
on their input and, in fact, often on their advice.
In today’s world, the need for the relationship is
similar. Of course we need to embrace new forms of
technology that improve our speed, sophistication,
and communication. Of course we need to increase
the level of knowledge of the condition and availability of recycled parts. Of course we must have competitive pricing and service. But beyond that, we need a
level of trust and dependability that causes us to not
only “need” to work with each other, but instead
causes us to “want” to work with each other.
Many of us are diligently and persistently working
on improving our shop flow and process to continue
to be a trustworthy and dependable shop to the
insurance companies and the consumer.
Excelling in the measurements or key performance
indicators (KPI’s) that the insurers judge us by is an
incredible motivator. I foresee a time when con-
While we have different roles,
we essentially all “play in the same
sandbox.” The roles we play cause us
to be, in many ways, inseparable.
We are dependent upon each other.
sumers judge us in a similar fashion. We are striving
to create high levels of efficiency in time and costcontainment. A key to accomplishing our goals is to
provide an unprecedented level of predictability. We
need to promptly disassemble damaged vehicles,
identify ALL damaged components, accurately determine repair methodology and estimate costs (often
referred to as “blueprinting”), promptly obtain parts
that arrive within the predicted time and in the
expected condition, perform the actual repair, and
deliver the car as promised.
We need to be able to provide consumers and
insurers with accurate costs of repairs and dependable completion times immediately after the blueprint process. For those who are able to excel in
providing this level of predictability and efficiency,
there is great opportunity for success in the future.
Some shops won’t be inclined or able to make the
necessary investments. Similarly, there is opportunity
for those recycled parts vendors who will and can
provide the levels of dependability and efficiency for
shops to obtain the desired levels of repair predictability.
Through trust, communication, and mutual
respect, we can work together to propel our industry
into the future. When we behave as business partners
and work together for the common good we can
accomplish great things. This principle should be
the key to our relationship. ■
Darrell Amberson, currently Vice President of Operations of LaMettry’s Collision, serves as Chairman, Automotive Service Association since 2013, and
a member of the ASA Board of Directors since 2004. He serves on Government Affairs and Insurer/Repairer Relations Committees, CIC; is a Collision
Industry Hall of Eagles inductee in 2009; Chairman, NACE, 2007-2008, and
among other committees.
Connecting Partners
in the Repair Process
By Rick Poor, Mitchell International
R
ECYCLED PARTS HAVE LONG BEEN RECOGNIZED
as a cost effective alternative to OE New
and with today’s heightened focus on
being “green,” utilization of recycled
parts in the collision repair process makes
more sense than ever.
For auto recyclers who want to have their inventory
of parts made accessible to the estimator, Mitchell’s
Quality Recycled Parts program (QRP™) is an excellent solution.
• QRP data is processed and made available to
insurance, independent appraiser, and repair
facility estimators on a daily basis.
• Fully integrated with Mitchell
Estimating, QRP provides easy
access to recycled parts during
the estimate writing process.
• When selected as an alternative to OE New parts, the
part price, recycler contact
information, part details (damage codes, notes, etc.) are automatically included in the
estimate to repair.
QRP utilizes a data feed from CarPart.com as its primary source of recyclers and their inventory. Once a recycler
becomes part of Car-Part’s network, they would
send their inventory updates to Car-Part in accordance with Car-Part’s process and procedures. CarPart in turn sends data updates to Mitchell daily.
Mitchell then processes the data to filter out parts
that do not correspond to items in Mitchell’s Collision
Estimating database or do not adhere to data format
rules (zero prices, etc.). Once processed, the data is
staged and ready to be downloaded by QRP.
Mitchell Estimating/QRP users typically configure
the software to download and update the local database every morning. Once the data is in QRP, it is
accessible by Mitchell Estimating. When the estimator selects “recycled” as a part type for a particular
repair line in Mitchell Estimating, a screen displays
a list of substitute recycled parts and provider con-
When the estimator selects
“recycled” as a part type for a particular
repair line in Mitchell Estimating,
a screen displays a list of substitute
recycled parts and provider contact
information from the QRP database.
tact information from the QRP database. The estimator then selects the recycled part and provider of
their choosing.
Another option for repairers is the
RepairCenter™ ToolStore. Mitchell
International has partnered with
Car-Part.com to create two-way
integration through the
RepairCenter ToolStore, making it possible for body shops
to search for green parts in
the Car-Part Pro marketplace
directly from the RepairCenter
Workspace.
Similar to the process described
above for QRP, once a recycler
becomes part of Car-Part’s network,
they would send their inventory updates
to Car-Part in accordance with Car-Part’s process
and procedures. Car-Part then includes the data in
their database making it possible for body shops to
search for green parts in the Car-Part Pro marketplace
directly from the RepairCenter Workspace.
Mitchell International continues to explore innovative ways to connect the partners in the repair process
through more seamless and efficient interfaces to
assist each stakeholder in maximizing profits, containing costs, maintaining quality, and reducing cycle
time.
For more information on QRP, RepairCenter, or
additional emerging interfaces for parts providers,
visit www.mitchell.com. ■
Richard Poor is Mitchell’s Director, Product Management, Auto Physical
Damage Solutions.
Auto Recyclers in the
NASTF Conversation
By Skip Potter, National Automotive
Service Task Force (NASTF)
M
Y 49-YEAR-CAREER IN THE AUTOMOTIVE
industry means I have seen considerable change (improvement) in the
automotive recycling industry. Growing up on the aftermarket parts-side
of the industry, “junk yard” parts and the businesses
that sold them were considered by some in the supplier family to be the black sheep or stepchildren back
then. The customer, however – both DIY consumer
and garage, especially the body shops – held such
parts and people in much higher regard.
Ultimately, it is unselfish, wise, and productive for
any national conversation on the topic of automotive
service to include all viewpoints – in the channel
from manufacturer to shop – and across all segments
from retail to aftermarket and recycling, as well.
Before the 1990s, most automotive parts organizations explicitly forbid “used auto parts” businesses
from their trade associations. As old-time junk yards
evolved into the state of the art salvage yards, the used
auto parts business, along with the role of the professional automotive recycler, has gained, for the most
part, local and national acceptance in most automotive communities. An industry as diverse as automotive
has many functions and segments and it is the customer, not the supplier, who defines an industry.
While I spent much of my career as a parts sales-
The NASTF Mission
The National Automotive Service Task Force (NASTF) is a notfor-profit organization established to facilitate the identification
and correction of gaps in the availability and accessibility of automotive service information, service training, diagnostic tools and
equipment, and communications for the benefit of automotive
service professionals. NASTF is a cooperative effort among the
automotive service industry, the equipment and tool industry and
automotive manufacturers.
There is no cost to participate in NASTF, which is open to professional auto service technicians, shop owners, their service writers, OEM service employees or any other automotive industry
professional supporting the mission of NASTF.
If you believe in the NASTF mission, indicate your support by
joining online at www.nastf.org/GetNASTF.
Auto recyclers, too, should be sitting at
the NASTF table where OEMs,
independent shops, dealers, and parts
suppliers are all there representing.
man, I fondly remember the old days. Whether
working part time in a body shop or gas station, caring for my own vehicles, or building my hobby-stock
race cars, I spent a fair share of that life walking isles
of cars of auto recycling yards, searching for parts I
needed. Comparatively, the customers of today’s
ARA professional automotive recycler member are
pampered with the online parts networks, parts
racks, and store front inventories.
It was an unimaginable alliance when the OEM/
automakers sat down with independent repair shop
owners in Las Vegas in 2000 and proclaimed cooperation under the voluntary conversation referred to as
the National Automotive Service Task Force (NASTF).
One of the OEM representatives at the table in those
days later recalled that while the automaker had built
for independents what it thought was a robust path to
service information and the independents had, at the
same time, developed separate means to tap into
OEM resources through dealership connections, the
result was incomplete and inefficient. “It’s like we had
built two half-bridges” [attempting to connect the
OEM resources with the independent service technician], said Steve Douglas, a regulatory affairs staff
member of the Alliance of Automobile Manufacturers,
“but our bridges never met in the middle.”
NASTF was a chance to start over and get it right.
As the NASTF discussion broadened from emission
service information to include concerns of locksmiths,
collision shops, and aftermarket educators, it should
be clear today that recyclers, too, should be sitting at
the NASTF table where OEMs, independent shops,
dealers, parts suppliers, the technical press and educators are all there representing the segments of
mechanical/drivability service, security and collision.
From NASTF, welcome ARA and its members. ■
Skip Potter is the Executive Director of NASTF.
Improve Your Business by
Maximizing Sales to the
Collision Repair Industry
By Bob Jabjiniak, CCC Information
Services
A
QUESTION RECYCLERS OFTEN ASK ME IS
“How can I sell more parts to collision
repairers?” My answer: Make it easier
for your customers to do their job well.
Most of us need to do more with less
these days, so working smart and helping your customers work efficiently have become critical to a
company’s success. Are you doing the things that
make your customer’s job easier or more difficult?
How well do you understand your customers’ job?
When car accidents happen, a majority of collision
repairers use technology to manage and improve
the repair process – from estimating repair costs,
managing the repair itself, communicating repair
status with the insurance company and the consumer,
and measuring performance. Parts procurement is
an integral step in this process and one that can
impact a collision repairer’s key performance metrics,
including costs and cycle time.
Many parts suppliers know the import role they
can play in a collision repairer’s workday, which is
why in the past year, recyclers have joined with CCC
to create the industry’s only free data network that
directly connects recyclers with collision repairers.
Recyclers that are making the most of this network
are seeing their efforts translate to improved sales –
typically in the 20-50 percent range.
How It Works
CCC ONE™ Estimating, the
industry’s most widely used estimating solution and its broadly
adopted shop management
solution, allows recyclers to
embed part inventories into
its system putting available
parts directly in the path of
purchase for thousands of
collision repairers who use
CCC ONE every day. Your connection to CCC also means
important information on recycled
OEM parts are available to collision
repairers as they write estimates and repair decisions
are made.
What can you do to help make life easier for your
customers? Some of the most impactful things being
done by some recyclers today include:
• Getting Connected and
Staying Connected
Make sure your parts inventory
management system is connected to CCC ONE Estimating,
and communicating available
parts inventory. If your data
isn’t in front of insurers and
collision repairers when they
write estimates, it can create
more work for anyone who
wants to use your parts, requiring potential customers to call
or look up information in other
disconnected tools.
ARA standards for grading
and pricing parts are critical
for customers to identify
your available parts.
• Improving Data Quality
ARA standards for grading and pricing parts are
critical for customers to identify your available parts.
You are not making your customers’ life easier if they
are trying to write estimates and need to call you to
understand the part condition, applicability, or price.
Also be sure to review your own part descriptions
for obvious conflicts with how you’ve inventoried or
graded the part. Customers can become frustrated
with recyclers that have confusing or inaccurate data
since it takes valuable time to locate what they are
looking for. Prolonging the parts selection process
or selecting the wrong part can negatively impact
repairer performance metrics. Don’t give them a
reason to remove you from their preferred supplier
lists.
• Participating in Recycler Groups
United Recyclers Group (URG) has developed
unique programs such as data-tiering and a certification program. The data certification program allows
insurers and collision repairers to quickly know
which recyclers will make their jobs easier simply
through improved data quality. URG helps by reviewing recycler data for adherence to guidelines based
on the top data quality issues experienced by collision
repairers.
What’s Next?
Helping recyclers sell more parts by making their
customers’ lives easier is important, and CCC is committed to helping you do just that. Look for more
innovations later this year as CCC continues to work
with professional auto recyclers and the ARA to better
integrate recyclers with the collision repair industry. If
you have ideas on how CCC can help, we’d love to
hear from you. My email is [email protected]. ■
Bob Jabjiniak is Vice President Product and Technology, CCC Information
Services Inc. Bob leads the company’s supply chain transformation efforts
and is working closely with industry parts suppliers.
Maximizing the
Direct Repair
Relationship
By Amber Elenbaas,
American Auto Parts
T
ECHNOLOGY HAS INFILTRATED THE
automotive recycling industry so
completely that when the Internet goes
down it’s difficult for most people to function. You can argue we rely on it too much,
that this program or that device is bad for our
business in one way or another, but I have chosen to
embrace any technology that I believe is the way of
the future. This includes both automated and manually entered parts procurement services and programs, like PartsTrader. While others complain about
PartsTrader, I’m using it as a tool to increase my sales.
I first saw its value during my participation on the
PartsTrader Advisory Board. Here are ways I use it to
benefit my business activity.
First off, you can grow your customer base. When
you get quote requests from shops you don’t normally
do business with, pursue those customers! Visit those
shops with marketing materials or doughnuts, find
out why they use your competitors, and convince
them to give you a try.
When shops ask for quotes all the time but never
buy your parts, reach out to them and turn those
leads into sales. I discovered several shops that had a
bad experience with my company over a decade ago
that were not buying parts due to a problem so
ancient no one could even remember the details.
PartsTrader puts you in contact with shops you
don’t normally deal with and gives you a chance to
earn (or earn back) their business. You still have to
earn it, but now you have great leads – leads repairing
vehicles not just for State Farm clients but many customer-pay and other insurance company jobs, too.
In addition to expanding your customer base, you
can expand the part types you are selling. PartsTrader
shows you every part on the estimate, and you have
the ability to sell miscellaneous parts that would normally have ended up in the crusher, for a healthy percentage of the dealer’s list price. My sales of trinket
parts like horns, sun visors, console covers, and seat
belts have skyrocketed. Not only can you increase your
parts per invoice for sales to customers using PartsTrader, it will open the eyes of your salespeople to all
In order to succeed in the
technological age, we must leverage
technology resources, but we must
also make a concerted effort to
keep building relationships.
the parts they have to offer EVERY customer
repairing a vehicle. You can expand your sales
by asking customers if they need those parts!
Before PartsTrader, if we got a call on a fender, we
would sell the fender. Now if we get a call on a fender,
we try to sell them the fender, the liner, the antenna,
the headlamp, the plastic bracket behind the headlamp, and the list goes on and on. Augmenting your
orders with add-on parts will add to your bottom line.
Perhaps most importantly, you can use PartsTrader
to develop better relationships. We’ve built our businesses around relationships, and the degree of success
enjoyed by our salespeople is usually directly tied to
their ability to build and sustain relationships. So how
do we maintain and grow our business when we
replace the human contact with technology? I strongly
believe that we don’t. In order to succeed in the technological age, we must leverage technology resources,
but we must also make a concerted effort to keep
building relationships.
While PartsTrader reduces customers calling you,
there’s no one stopping you from picking up that
phone. Instead of only calling shops when there is a
problem, you change the relationship and make it so
that they get positive calls from you. Follow up on your
orders; make sure they got their parts on time and
that they are happy. If over half of the time you call,
they say “everything is great” and hang up, psychologically they are going to start to prefer you. When you
call them just to say hello and make sure they are
happy, or if their kid is still playing football, or how
their golf game is stacking up -– then your customers
really know you care. That’s a relationship! And that’s
how we will continue to grow our businesses.
PartsTrader can boost your sales – if you capitalize
on all it has to offer – while maintaining the human
aspect. Almost anything can be a tool for growth when
you decide to put it to work in your business. ■
Amber Elenbaas is a third-generation auto recycler, beginning her career
at the family business, Pete's Auto & Truck Parts, Jenison, MI. Starting in
May, she will become the General Manager of H&H Auto Parts in Loveland,
Colorado. For the past year and a half, Amber has led the team at American
Auto Parts, in Omaha, Nebraska, where she’s ramped up sales and profits,
and put in place good structures so growth will continue.
A Self-Service Automotive Recycler's
Perspective: Flexibility, Adaptability,
and Trust are the Keys
By Jordan Madorsky, Jay Brosten, and Larry Brosten, Auto Parts City
W
Photo by Jordan Madorsky
ITHIN THE AUTO RECYCLING INDUSTRY,
the prominent role late-model auto
recyclers play in relation to insurance companies and repair shops is
understood. However, self-service
auto recyclers who specialize in buying older vehicles
have built strong relationships with repair shops, too.
“Most of the end-of-life vehicles we’re buying these
days are between 10 and 15-years-old,” said Jay
Brosten, who along with his brother, Larry Brosten,
owns Auto Parts City, Gurnee, IL. “And if you consider the average age of vehicles still on the road is
more than 11 years, then used parts offer a viable
repair alternative in a lot of instances -- even for traditional repair shops.”
Brosten said that meeting the needs of all customers, be they do-it-your-selfers or repair shops,
requires Auto Parts City to be flexible in the range of
services it provides. Although Auto Parts City markets
itself as a self-service used parts recycler, the staff will
pull parts for customers, especially shops. They also
warehouse a selection of used engines and transmissions.
For repair-shop owners, adapting their service to
meet the needs of their customers is also the key.
“It really comes down to the expense of the repair
required and the age of the vehicle,” Bob Stone,
A partnership forged: Auto Parts City Co-Owner Jay Brosten (left) and Motorcade Unlimited
Owner Bob Stone look over used engines.
Like all businesses, knowledge empowers
professionals to make smart choices,
balance risk with reward and build
strong, ongoing business relationships.
owner of Motorcade Unlimited in nearby Grayslake,
IL said. “If an older vehicle needs something expensive like an engine, I’m comfortable buying it used
from a reputable auto recycler like Auto Parts City
because I know I can trust them. The last thing I
want to do is install a used engine for a customer and
find out it’s not any good.”
Describing the difference between a repair shop
and a do-it-your-selfer, Stone said it doesn’t make
sense for his shop to take chances on less expensive
items like starters and alternators or parts with a lot
of moving plastic components in them like window
regulators because the likelihood of used-part failure
is too great in relation to after-market parts availability
and pricing.
“While I know Auto Parts City will guarantee the
parts they sell, my customers understand that it’s still
a used part being installed” Stone said. “If it doesn’t
work and I have to remove and reinstall another part
I have to charge for it. I’m also very aware of what
parts typically go bad on different makes, years and
models, so I tend to avoid salvaged parts in categories
that have a history of failure. Customers depend on
me to tell them when it’s worth considering a used
part.”
Like all businesses, knowledge empowers professionals to make smart choices, balance risk with
reward and build strong, ongoing business relationships. So when Stone needed a housing for a customer’s 1997 Chevy Blazer he turned to Auto Parts
City for a used one. The decision turned out to be
the right one for all concerned. Auto Parts City sold
a recycled part. Motorcade Unlimited fixed a customer’s vehicle for an affordable price, and a satisfied
motorist got back on the road safely and reliably. ■
Jay Brosten and Larry Brosten are the owners of Auto Parts City.
Changing is Expected
By Jeff Schroder, Car-Part.com
“In a world ... changing really quickly, the only strategy ...
guaranteed to fail is not taking risks” -Mark Zuckerberg
To paraphrase: the only strategy guaranteed to fail is not changing.
T
HE COLLISION REPAIR INDUSTRY IS CHANGING
very quickly, with top insurers spending hundreds of millions of dollars per year on
advertising to gain market share. There is a
related focus to not lose customers during
the claims process, which is when customers are most
likely to switch insurance companies if they are
unhappy with their service. A JD Powers study showed
that the customer satisfaction index (CSI) is directly
related to how quickly the customer gets their car back.
The result is an intense focus on driving out inefficiencies and delays in the repair process. Tolerance
levels are getting very low for delayed part orders,
incorrectly described damage, and overall uncertainty
about parts. These changes have a big impact on auto
recyclers. Our traditional strength of being the lowestcost supplier is good, but it is not sufficient to serve
our customers in this environment. Our delivery services need to be reliable and competitive with OE and
aftermarket companies so that shop cycle time doesn’t
suffer when customers buy a recycled part. It also
means our ARA part grading must be accurate so that
a shop doesn’t have to return a part because it wasn’t
delivered as described.
Many parts are being located in online marketplaces
– Car-Part.com and Car-Part Pro serve $2.9 billion in
part requests per month, including both mechanical
and collision parts. On Car-Part Pro, repairers and
insurers can customize their default search parameters
with profiles to filter out parts and services that don’t
meet their criteria. We set up many profiles on behalf
of buyers, and we consistently hear that they want A
grade parts with deliveries in three days or less.
Car-Part.com provides a daily part grading inconsistency report to let you know which parts have been
ungraded due to inconsistent damage information.
These ungraded parts are filtered out by many buyers
to simplify their process. Insurers and shops also need
to know if they are purchasing a recycled part or an
aftermarket part because requirements, pricing, and
procedures are different for each part type.
Quality parts, services, and information are critical
to compete in today’s marketplace. Together, we are
Tolerance levels are getting very low
for delayed part orders, incorrectly
described damage, and overall
uncertainty about parts.
raising the bar to supply the collision and mechanical
repair industry with the parts, services, and information
they need to easily and confidently locate and purchase
recycled auto parts. In the less than the two short years
since Car-Part Pro went live, over 18,000 repairers
have joined. Thousands of recyclers are providing
enhanced service information to shops and insurers
with Car-Part Pro including delivery times, extended
warranties, and certifications.
Our strong North American supply chains (commonly referred to as brokering) enhance physical
inventory and are now linked together on Car-Part Pro
with the correct delivery times to ensure this increased
part availability is visible to repairers and insurers. Our
4,900 traditional part provider locations are supplemented with an additional 5,100 supply chain locations
(recycled, aftermarket, and discount OE) providing a
total of 10,000, effectively doubling availability.
Over 1,000 recyclers have been Car-Part Certified
(or 5,000 equivalent locations, when including supply
chains) and are committing to minimum Service
Level Agreements (SLAs) to provide confidence to
repairers and insurers. Recently, a top five U.S. insurance carrier who purchases over $500 million a year in
parts set up all their company profiles to only see parts
from Car-Part Certified recyclers.
More than 1,000 recyclers are providing repairers
the ability to order parts online (or 3,000 equivalent
locations when including supply chains). Together,
our changes are enhancing the image of our industry,
increasing our competitiveness, and making it easier
for our customers to buy our parts and services. ■
Jeff Schroder is founding CEO of Car-Part.com. Under Jeff's creative leadership,
Car-Part.com went live in 1998 and revolutionized the purchasing of recycled
parts. Car-Part’s latest innovation is Car-Part Pro, a marketplace designed to expand the use of recycled parts in the Collision and Mechanical repair industries.
Car-Part also provides recyclers with integrated software for vehicle buying, inventory management, cores, production, and delivery.
Progressive Automotive Recyclers
Lead Consumers, Repairers, and
Insurers to “Re-think Re-cycled”
By Stacy Bartnik, Team PRP
M
AKING THE MOVE FROM THE COLLISION
side to the auto recycling side of the
industry has been a very interesting
experience. Even after spending
more than 25 years in the collision
industry and having dealt with recyclers throughout
my career, I was amazed by how much I did not know
about the recycling side of things.
Further, having been involved with the National
Auto Body Council (NABC) for many years, and dealing with how people perceive repairers, I never
expected anything but professionalism within the
recycling industry. And professional is what I found as
I began my new career with Team PRP.
With the present day demands that the repairer
faces, and their need to satisfy the insurers in the DRP
environment, I was very pleased to see the approach
that Team PRP has taken to address those concerns
and be a top provider to those shops.
I believe that most repairers and insurers would be
very surprised if they visited any progressive professional auto recycler operating today. They would witness how technology now plays an enormous part in
how we run our businesses – in purchasing vehicles,
managing inventory control, locating parts, selling,
and more. In Team PRP, they would see consistent
processes and procedures in place within our network
to which we hold all our partners accountable.
As a team of over 130 member locations, we can
meet the needs of both our partners and customers –
and even help reduce stress – in the parts procurement
process with our collective inventory of over five
ABOUT TEAM PRP
Team PRP is the largest national network of independent auto
recyclers united in supplying premium recycled parts, exceptional
warranties, and personal service to the mechanical repair and
collision industries. With nearly five million parts in inventory, a
Team PRP member can offer their customers the best warranties,
quote guarantees and delivery guarantees available. Each member
remains independent, ensuring exceptional personal service and
competitive pricing. For more information, visit www.teamprp.com.
million parts. This is further enhanced by the ability to
get parts where needed with our efficient intranetwork transportation system.
The warranty, such as the one Team PRP offers, virtually removes any liability for the repairers when
using recycled parts. Additionally, the offer of extended
warranties is commonly available for anyone who
finds they need something over and above a standard
warranty. Team PRP, as well as other professional auto
recyclers, extends a no-hassle return policy to customers, so if the repairer no longer needs the part, or
has ordered a wrong part, the part can be returned
and a credit issued, no questions asked.
At Team PRP, if for any reason we have not met our
delivery time, or we provided an incorrect part resulting in a delay causing the need to provide a rental car,
our warranty provides a rental car allowance. This is
just another advantage that helps to put customers –
both insurers and repairers – at ease.
Team PRP partners are truly just that – partners. All
locations work very closely together in a number of
ways, such as by sitting on our board, or being
involved in one of our many committees. Our partners
are pleased to share ideas and, together, develop the
best-in-class processes to meet the needs of the customers that we service. And as we do this, we also
make it our goal to help educate the end user on the
many benefits of using recycled parts.
Not only do we partner with each other, we also
partner with the repairers and insurers that buy and
use our parts. We are tremendously committed to
building positive and helpful relationships with our
customers to not only provide them with a quality
part, but also demonstrate the beneficial value of a
partnership with Team PRP.
Team PRP’s growing number of partners continue
to make it their priority to do what is best for their customers to ensure that all are truly 100% satisfied. As
our slogan states, “It’s time to re-think re-cycled!” ■
Stacy Bartnik is Executive Director for Team PRP, representing over 135 Automotive
Recyclers. Prior to joining Team PRP Stacy Bartnik was CARSTAR’s Vice President
of Operations. Ms. Bartnik has worked in many segments of the collision industry,
including Shop Estimator, General Manager, Insurance Adjuster, Trainer and Consultant. Ms Bartnik was inducted into the Collision Industry Hall of Eagles in 2010.
JUNE 18-20, 2014
HYATT REGENCY WASHINGTON
WASHINGTON, DC
PLAN TO ATTEND!
Join ARA as we meet with your representa
?
tives on Capitol Hill, to ensure? they under
stand
your business, your challenges, and the
position you want them to take
? on im
portant legislation coming before them.
When you talk,
they listen!
ONLINE REPUTATION
iStock.com/Alex Belomlinsky
Your Online
Reputation
And Your
Bottom Line
They are more connected than you think.
BY DUSTY DUNKLE
B
y now, you’ve realized that your business is on full display – 24/7 – online.
Forward-thinking businesses capitalize on increased revenue from a positive
online reputation. Who’s peeking in your large online storefront window,
and how much does this really impact your bottom line?
Over 150 million people are
now familiar with musician
Dave Carroll’s story. As his touring band was on a layover in
Chicago, he actually saw the baggage handlers roughing up the luggage, including his $2,500 guitar. Sure
enough, they broke his guitar to pieces. The fact that
United Airlines would not compensate him for his
broken guitar, after nearly a year of trying, is where
this story really takes off.
Dave promised the last representative he spoke
with that he and his band would tell the world about
his experience. Soon Dave fulfilled his promise and
his song -- “United Breaks Guitars” – went viral on
YouTube. By the end of the first week, the video was
up to 2.5 million views. In the first four days, the
stock price of United dropped 10%, costing shareholders $180 million. This video now has over 13.5
million views. In addition, Dave’s added two more
videos, wrote his first book, and is currently speaking
globally.
The book is titled The Power of One Voice in the Age of
Social Media, and that sums it up nicely.
Dave’s story is one of the best examples of how one
individual’s voice can be louder than an actual brand
(a very large brand at that). This was, and still is, an
ugly situation for United. However, consumers are
not going to completely abandon this airline as a
result of Dave’s story. It takes a series of similar incidents, in most cases, to affect a brand permanently.
Marshall Goldsmith, business author and speaker,
says it well: “Reputations are formed by a sequence of
actions that resemble one another. When other people see a pattern of resemblance in your behavior,
that’s when they start formulating your reputation. A
negative reputation is rarely formed due to a onetime catastrophic event.”
It’s never been more important to keep customers
satisfied and to address any problems as soon as they
occur. You’ve seen the statistics on how one upset customer tells a certain number of others of their dissatisfaction. Harvard Business Review took this a step
further.
According to their study, when a customer is dissatisfied and nothing is done to resolve their problem,
that person tells 14 people, on average, how unhappy
ONLINE REPUTATION
iStock.com/iconeer
Millennials value the opinions of
others. They feel that a company’s
expression is muted by the assumption
of self-interest and marketing intent.
An individual’s rant carries
far more power.
he or she is. If the business just listens to the
problem without taking any action to resolve it,
they will only tell 7 people of their dissatisfaction. If
the business listens and unsuccessfully attempts to
solve the problem, they tell no one of their dissatisfaction. And finally, if the business listens and actively
solves the customer's problem, they will tell 5 people
how effective they were. This compares favorably
even with the clients who never had a problem in the
first place, who only tell 3 people on average how
happy they are with a good service experience!
This is all great information, but the study results
were published before the age of social media. These
numbers should now be multiplied several times
over. Today, “the ants have megaphones.” Through
Dave’s story, we learned that one customer has the
ability to tell millions of people of their dissatisfaction,
in a very short period of time.
Word-of-mouth has taken on a completely different
meaning (think “word of mouse”). The exponential
growth and impact of social media is nothing short of
stunning. Take a look at these statistics:
• There are over 1 trillion Google searches per year
• 6 billion hours of YouTube are watched each
month (50% more than last year)
• 100 hours of video are uploaded to YouTube
every minute
• YouTube is the second largest search engine in
the world
• There are over 1 billion
Facebook users (the
average user has 200
friends)
• There are over 225
million LinkedIn
users (a new user
joins every second)
• There are over 200
million blogs
• 1 billion Tweets are
sent every 5 days
(the average user
has 30 followers)
• 55 million Twitter users log
in from their phone every
month
Disclaimer: these facts will be completely
outdated within days of this publication.
The experience you deliver to your customers
every day, through every transaction, either
builds value for your brand or destroys it.
We no longer control our own brand, we
share our brand with customers.
I’ve been in my business for 22 years,
and it does seem like things used to
be a heck of a lot easier. We didn’t
need to worry about customers
doing what Dave Carroll did. WE
controlled our brand and what
was said about our brand. Who’s behind this madness?
Enter Generation Y.
Who are these “Millennials”? They are Justin Bieber,
who has over 46 million Twitter followers. They are
Lady Gaga, who has over 60 million Facebook likes.
Did I mention madness? Gen Y is 80 million members
strong, and they value transparency. They were born
into the digital age and are experts at deflecting the
thousands of marketing messages that strike us daily.
Unfortunately, they are often not buying into what we
are selling.
Only 14% of consumers trust advertising, according
to a study conducted by National Automobile Dealers
Association (NADA) University. The same study
found what they do trust (at 78%), is recommendations from their peers.
As business owners, we’re all marketing the fact
that we’re the best.
Unfortunately, the Millennials don’t really care to
hear what we have to say. They don’t learn about our
business through the traditional process. Instead,
they value the opinions of others. They feel that a
company’s expression is muted by the assumption of
self-interest and marketing intent. An individual’s
rant carries far more power.
According to Alterian (a supplier of content management systems):
• 54% of consumers sampled felt that “companies
are only interested in selling products and services
to me, not necessarily the product or service that
is right for me.”
• Only 10% trust companies to “always act in [my]
best interest.”
• Only 6% trust “what the company says about
itself.”
According to Nielsen (a global information and
measurement company):
• Online consumer reviews are the second most
trusted form of advertising at 70% trusting the
platform, an increase of 15% in 4 years. (The
most trusted form of advertising, at 92%, is recommendations from friends and family.)
• Only 58% of global online consumers trust
“owned media,” such as messages on company
websites.
The emerging Generation Y wants “earned media”
and they will get it. They want ratings and reviews.
This is why online ratings and reviews are everywhere,
and they will continue to trend up in popularity. Did
you know that 92% of your potential customers
research businesses online before actually going to
the business (BIGresearch)? That 65% of shoppers
use reviews “always” or “most of the time” before
making a decision to buy (The E-Tailing Group,
Inc.)? There’s more!
• 84% of Americans say online evaluations have an
influence on their decision to purchase a product
or service (Opinion Research Corporation).
• 80% of consumers have changed their minds
about purchasing a recommended product or
service based solely on negative information they
found online (Cone Inc.).
• 10.3% are less likely to purchase from a business
with no reviews (emarketer.com).
We know that consumers are seeking ratings and
reviews, and this information plays a large role in
influencing purchasing decisions.
So what’s your reputation?
Let’s start with the Google Search Engine Results
Page (SERP). Google is by far the most frequently
used search engine, accounting for over 65% of all
online search. Yahoo and Bing each account for
approximately 15%.
When you Google the name of your business, do
you like what you see? Consumers rarely look past
the first page of search results. Do you look great on
this first page? How many review sites are there?
What are their star ratings?
Diving deeper, analyze “Google Suggest.” This is
Google’s attempt at completing your search phrase,
as you type it. It’s a great tool that provides insight as
to what people are looking for online. Type the
name of your business one letter at a time, and see
how Google Suggest completes your phrase. We’ve
recognized over years of watching closely that more
and more consumers are specifically searching for
reviews on specific businesses (e.g., ABC Auto Parts
Reviews).
Next, type your business name along with “reviews”
at the end in order to capture more review sites on
your business. Do you like what you see? Keep in
mind that an impression is created before anyone
even reads an actual review. The images of the
Google stars jump off the page and often create the
decision moment-of-truth for your prospects.
Understand that having no online reputation – no
reviews – is a negative. This makes your business look
small, and does not give consumers the information
and security they need to engage with you. It’s easy
for them to find another business with a good reputation.
Online reputation impacts nearly all businesses.
Certain businesses in the automotive industry, like
franchised auto dealers, put a large amount of
emphasis on online reputation and social media
strategies. Collision centers and service centers are
moving in that direction nicely. The industry leaders
make these strategies a fundamental part of their
day-to-day operations. Other industries are just getting started, and everyone will be there soon.
I’ve referred to online reputation often, but understand that today your “online” reputation IS your
reputation. Not participating doesn’t make people
stop talking about you. It just means you aren’t part
of the conversation. ■
Stay tuned for another article on Online Reputation in
the next issue of Automotive Recycling.
Dusty Dunkle is President of Customer Research, Inc. (CRI),
and is the co-founder and Vice-President of SureCritic. Dusty
graduated from Washington State University, and then joined
CRI in 1992. He evolved CRI, a regional company with a single
service offering, into an international multi-channel marketing company specializing in customer loyalty and customer satisfaction
measurement services. CRI currently serves thousands of clients. Dusty
also co-founded SureCritic, a corporation that offers a comprehensive reputation enhancement and social sharing platform, by applying this knowledge and experience in the current social media space. SureCritic currently
serves over 3000 automotive businesses.
To learn more about CRI and SureCritic services, contact Dusty Dunkle at
800-886-3472 X502, by email at [email protected], or visit
www.CustomerResearch.com.
SPOTLIGHT ON EXCELLENCE
Central Auto Parts
Five Basic
Practices
Five things have kept
this family-owned
business thriving.
B Y LY N N N O V E L L I
The Central Auto support team. Front row, left to right: Jacob Hall, Geoff Hall, Cathy Simon, and Paul Simon. Back
row, left to right: James Walton, Josh Tysco, and Phil Vescio.
S
tay static and you’re doomed” is a business philosophy that has
taken Central Auto Recycling, Syracuse, N.Y., from a 1930s-era
junkyard to a 21st century, state-of-the-art, Certified Auto
Recycler (CAR), ARA Gold Seal automotive recycling facility.
The family-owned business has seen its share of changes over
the years, says Central Auto President, Joe Simon. The Eden
network, the establishment of trading partnerships, the IT revolution in
automotive recycling, the rise of e-Bay and online auctions are all part
of Central Auto’s history that shaped it into the business it is today. Joe
says, “Being early adopters of new technology and advances in the [auto
recycling] industry has been key to how we grew.”
The business was established in the early 1930s as
Central City Used Parts, an early auto recycler serving local retail customers and garages. With two locations, including one situated in what grew to be
Syracuse’s downtown, Central City Used Auto Parts
was in business for almost 50 years.
Raised in Detroit, Michigan. where their father was
stationed as an FBI agent, Joe, his brother, Paul, and
sister, Cathy, grew up surrounded by cars and
immersed in the auto industry. When their father was
selected as Special Agent in charge at the Syracuse
FBI station, the family relocated. Joe graduated from
LeMoyne College with a degree in labor relations
and went to work for Central City Used Auto Parts
in 1980.
“Growing up in Detroit, we all loved cars, and my
father and I would tinker with our own cars. When
we moved to Syracuse, we would go to Central City
for parts,” Simon recalls. “Going to work in the [recycling] industry was a logical step that I took and
never looked back.”
Three years later, in 1983, owners were consolidating and divested the downtown branch to a local
business entrepreneur who renamed the business,
Central Auto Recycling, Inc. In 1987, the Simon
family and Joe’s wife’s family purchased the business
from him. They have been working together now
for 27 years, and are still happy with their decision.
“Working together as a family has more ups than
downs,” Simon notes. “It’s a good situation – you
have your own way of looking at an issue or problem and another person in the family sees it a different way. That’s a positive when you are making
decisions.”
Today, in addition to Joe, the full-time staff incudes his sister, Cathy; his brother, Paul; Joe’s son, Joey
and Joe’s father, Norm. Now 87, Norm still comes
in every day to hang out.
Central Auto’s customer base has shifted over the
years, and the company is now primarily wholesale.
As cars increased in complexity and the retail business decreased, professional repair shops in the area
that kept up with technology became Central
Auto’s customers, contributing to the recycler’s early
growth. Through every expansion, the Simon family has stayed focused on five basic principles.
Invest in Your Business
Urban renewal in downtown Syracuse forced the
business to relocate in 1988. Central Auto moved to
its present 1.5 acre location, site of a former truck
service and salvage operation. The Simons outfitted
their warehouse with pallet shelving purchased from
a furniture company that had folded.
Simon recalls being unsure at the time about sinking that much money into shelving, but his father
persuaded him. “He told me I would never regret
Central Auto’s IT guy,
Joey Simon, chief
making that investment in the business, and he was
information officer.
right,“ Simon says. Those original racks are still in
use.
Investing in the EDEN network when it was introholds Bachelor’s and Master’s degrees in informaduced in the early 1990s was another big step for
tion management, but “having people who are willCentral Auto. “I remember wondering if it was worth
ing to embrace new technology is essential,” he
the investment,” he recalls.
stresses.
The family quickly realized that the answer to that
question was yes. EDEN opened previously unSet Your Standards High
tapped markets for Central Auto, Simon says, proFrom their first day in the auto recycling business,
pelling the business from the
the Simon family has been
regional market to a national
focused on quality in every
“Being early adopters of new
one.
aspect of their operation. The
Central Auto was one of the
technology and advances in the company has established a
first yards to adopt computerreputation regionally and
[auto recycling] industry has
ized inventory, add eBay as a
nationally for high quality
been key to how we grew.”
marketing channel and –
products at a fair price, Simon
most recently – transition to a
says.
primarily wireless infrastrucThat reputation is built one
ture that covers the yard and all buildings. It helps
vehicle and one part at a time by careful attention to
that Simon’s chief information officer, his son Joey,
every detail. “We have one of our team looking at
every part every step of the way,” Simon explains. All
parts must comply with ARA Gold Seal standards, and
if a discrepancy is identified, the Central Auto rep calls
the customer immediately.
Listen to Your Customers
Central Auto’s Best Practices
www.centralautorecycling.com
• Be an early adopter.
• Invest in your business where it will ease the burdens of
time and cost.
• Set high standards and hold people accountable.
• Listen to what your customers are saying.
• Hire smart.
• Participate in state and national trade associations.
“The shops we work with know us and trust us and give us good referrals.
That’s worth its weight in gold.”
Cultivating positive customer relationships, based
on meeting expectations such as on-time deliveries;
complete, correct orders and prompt, accurate
invoicing, is another tactic for maintaining a quality product, Simon says. “The garages we work with
give us their feedback and we pass tips back and
forth with them,” he says. Those information
exchanges become an informal quality control program.
This guiding principal touches on virtually every
aspect of Central Auto’s business, from purchasing to
hiring. Simon takes every encounter with customers as
an opportunity to learn, teach or do both, he says.
“They have a need and you are helping them meet it
while you are learning more about them,” he explains.
“The exchange of information is critical to your success. You miss out if you don’t listen.”
Central Auto relies on its yard management
reports to plan salvage purchases. “But the most
important question in making a buying decision is
whether what we buy will meet our customers’’
needs,” Simon notes. The only way to know that or
sure is to listen to them, he adds.
Hire Smart
Ultimately, the automotive recycling business is all
about relationships, Simon believes. With customers,
employees, other recyclers, dealerships – build solid
relationships and you’ll build your business. For
example, Simons says, “The shops we work with
know us and trust us and give us good referrals.
That’s worth its weight in gold.”
With five family members in a company with a total
of nine employees, Simon doesn’t have to do a lot
of hiring, but when he does he is selective. “We can
teach people job skills,” he explains. “What’s more
important is finding someone with the right attitude.” That includes someone who is flexible, a team
“The connections you make through
[your state and national trade]
organizations are invaluable.”
effective. “We have been fortunate in finding good
people and enjoy watching them grow,” Simon says.
His top tip for hiring: “Hire people who are
smarter than you are, and it will improve your game.”
Participate in Your Trade Organizations
player who also can work independently, dedicated
to quality and willing to work hard.
He prefers to find people through networking
rather than running an ad online or posted on a
local bulletin board, and so far this strategy has been
A long-time member of the Automotive Recyclers
Association of New York (ARANY) and ARA, Central
Auto has benefitted tremendously from actively participating in both, Simon says. In 2011 he was ARANY
president and currently is chair of the state association’s
Workers’ Comp Captive Insurance Program.
Through ARA, Central Auto has achieved ARA
Gold Seal certification and is recognized through
the association’s CAR program, two distinctions that
let customers know that Central Auto’s focus is on
quality.
“I always bring something worthwhile away from state
or national association meeting,” Simon says. Fellow
recyclers are friends, not competitors, who are willing
to share their best practices. “The connections you
make through these organizations are invaluable.” ■
Lynn Novelli is a freelance writer based in Ohio.
THANK YOU
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ARA SCHOLARSHIPS
Academic Year
2013-2014
ARA Scholarship
Foundation Recipients
T
he ARA Scholarship Foundation, Inc. is
a non-profit organization whose
purpose is to promote education
through the awarding of scholarships.
Monies are available to ARA members’
employee’s children for post-high
school educational pursuits. These
scholarships are funded through contributions from
people like you, who care about the future of our
children, as well as money raised at events.
Each year, many generous contributors help the
Foundation achieve its goals. The funds help more
students achieve their dream – gaining a college
education. We appreciate all of you who generously
contributed to this effort.
Now, how can you help? Why not send a donation
today? You can even sponsor a named scholarship!
Those wanting to make a donation of $1,000 at one
time may name a scholarship for one year. For
$10,000 a permanent scholarship may be named.
A donor may name such scholarships in honor or
memory of anyone they wish. Contributions are
tax-deductible and may be made by cash, check,
MasterCard, Visa, or American Express.
The deadline to apply for a scholarship for
the next academic year is drawing near. Eligible
applicants, who must be a child of an employee
of a direct ARA member company, need to complete
and submit a scholarship application by March 15,
2014. The scholarships are awarded based on
scholastic achievement.
Download an application from the ARA Web site
at www.a-r-a.org or contact Kelly Badillo directly at
(571) 208-0428 or [email protected] to receive an
application by mail or e-mail.
G.M. VENEKLASEN MEMORIAL
SCHOLARSHIP
Brad Bartels, Grand Valley State
University, Allendale, MI
Member: LKQ Veneklasen Auto Parts,
Holland, MI
Parent: Brian Bartels
AL-JON SCHOLARSHIP
Makayla Braaten, University of
South Dakota, Vermillion, SD
Member: Nordstom's Automotive, Inc.,
Garretson, SD
Parent: Tim Braaten
CLAUDE A. MILLER, JR. MEMORIAL
SCHOLARSHIP
Casey Carpenter, University of
Missouri, Columbia, MO
Member: LKQ Mid-America Auto
Parts, Topeka, KS
Parent: Kevin Carpenter
FRANK NICASTRI MEMORIAL
SCHOLARSHIP
Harley Dissinger, Wayne Community
College, Goldsboro, NC
Member: Wayne Auto Salvage,
Goldsboro, NC
Parent: Greg Dissinger
KATIE & ALEX LIEBERMAN FAMILY
MEMORIAL SCHOLARSHIP
Nicole Dutton, Western New England
University, Springfield, MA
Member: Sylvia's Auto Parts, Inc.,
South Dartmouth, MA
Parent: Sharon Dutton
LKQ CORP. SCHOLARSHIP
Daniel Eckel, University of Illinois at
Urbana-Champaign, Champaign, IL
Member: LKQ Corporation, Chicago, IL
Parent: Stephen Eckel
JOSEPH ALTFATER MEMORIAL
SCHOLARSHIP
Sarah Eich, Dakota State University,
Madison, SD
Member: Vander Haag's, Inc.,
Sioux Falls, SD
Parent: Jerry Schroeder
WANDA LINDEMAN MEMORIAL
SCHOLARSHIP
Logan Carroll, Blackhawk Technical
School, Janesville, WI
Member: LKQ Star Auto Parts,
Janesville, WI
Parent: Matt Carroll
SANDY ANDERSEN MEMORIAL
SCHOLARSHIP
Joseph Fenoglio, Kansas State
University, Manhattan, KS
Member: LKQ Colorado, Denver, CO
Parent: Shawn Fenoglio
DAVID AUTRY MEMORIAL
SCHOLARSHIP
Kasey Content, University of
Tennessee, Knoxville, TN
Member: LKQ Corporation,
LaVergne, TN
Parent: Anne Bailey
HARRY RUBIN MEMORIAL
SCHOLARSHIP
Daniel Folino, Central Connecticut
State University, New Britain, CT
Manchester, CT
Parent: Paul Folino
DON COWELL HONORIAL
SCHOLARSHIP
Danielle Gaw, Columbia College,
Columbia, MO
Member: JC Auto & Truck Parts,
Monroe City, MO
Parent: Brian Dean
NAN TODER MEMORIAL
SCHOLARSHIP
Nikole Komand, Alvernia University,
Reading, PA
Member: Chuck's Auto Salvage, Inc.,
Douglasville, PA
Parent: James Komand
JOHN VANDER HAAG HONORIAL
SCHOLARSHIP
Alyssa Gee, University of
South Dakota, Vermillion, SD
Member: Vander Haag's, Inc.,
Spencer, IA
Parent: Tricia Gee
DON & CAROL PHELPS HONORIAL
SCHOLARSHIP
Ashley LaFrance, Eastern Washington
University, Cheney, WA
Member: Spalding Auto Parts,
Spokane, WA
Parent: Glen LaFrance
ELVIS MUNTZ MEMORIAL
SCHOLARSHIP
Austin Harrell, University of Arkansas
Community College, Morrilton, AR
Member: LKQ Preferred Auto Parts,
Conway, AR
Parent: Michael Harrell
SKIP WELLER HONORIAL
SCHOLARSHIP
Justin Louck, Muskegon Community
College, Muskegon, MI
Member: Weller Auto Parts,
Grand Rapids, MI
Parent: Roger Louck
STEVE WATERBURY MEMORIAL
SCHOLARSHIP
Emily Heuver, University of Maryland,
College Park, MD
Member: LKQ Potomac German Auto,
Frederick, MD
Parent: Marcel Heuver
CAROL PHELPS MEMORIAL
SCHOLARSHIP
Harlen McKennett, North Idaho
College, Coeur d'Alene, ID
Member: Spalding Auto Parts,
Spokane, WA
Parent: Patrick McKennett
ASHLEY GEIGER MEMORIAL
SCHOLARSHIP
Jessica Johnson, Eastern Illinois
University, Charleston, Il
Member: Mack’s Auto Recycling,
Urbana, IL
Parent: Sherri Johnson
DONALD E. & BERNICE L. BEAGELL
Amanda Meade, Rochester Institute of
Technology, Rochester, NY
Member: Don's Automotive Mall, Inc.,
Binghamton, NY
Parent: Brian Meade
BO WROTEN HONORIAL
SCHOLARSHIP
Christian Jones, Southeastern
University, Lakeland, FL
Member: Brandon Auto Salvage,
Valrico, FL
Parent: Thomas Ross
MARK T. SPEARS HONORIAL
SCHOLARSHIP
Samantha Miller, Anna Maria College,
Paxton, MA
Member: LKQ Route 16 Used Auto
Parts, Webster, MA
Parent: Ronnie Miller
JOHN ANSPACH MEMORIAL
SCHOLARSHIP
Melissa Komand, Albright College,
Reading, PA
Member: Chuck's Auto Salvage, Inc.,
Douglasville, PA
Parent: James Komand
SUSAN WEAVER HONORIAL
SCHOLARSHIP
Victoria Morrone, Georgia Southern
University, Statesboro, GA
Member: Weaver Automotive,
Carnesville, GA
Parent: Joseph Morrone
CAR-PART.COM
Rachel Murrin, University of Louisville,
Louisville, KY
Member: Bessler Import Auto Sales,
Wilder, KY
Parent: Thomas Murrin
RICHARD J. CASSIDY MEMORIAL
SCHOLARSHIP
Brittany Nampel, University of
Wisconsin-Platteville, Platteville, WI
Member: LKQ Smart Parts, Inc.,
Hustisford, WI
Parent: Russell Nampel
LINDA PITMAN HONORIAL
SCHOLARSHIP
Vanessa Nguyen, University of Central
Florida, Orlando, FL
Member: Green Star Auto Recyclers,
Orlando, FL
Parent: Bic Vu
SOL & LIN TODER HONORIAL
SCHOLARSHIP
Mariah Odom, University of South
Carolina - Upstate, Spartanburg, SC
Member: LKQ A&R Auto Parts,
Duncan, SC
Parent: Michael Odom
BRANDY MASON MEMORIAL
SCHOLARSHIP
Garrett Patterson, Ohio State
University, Columbus, OH
Nashville, TN
Parent: Jack Patterson
GERALD C. SHEFTEL MEMORIAL
SCHOLARSHIP
Jordan Rackley, Valdosta State
University, Valdosta, GA
Member: Capital Auto Parts, Inc.,
Thomasville, GA
Parent: Mark Rackley
TERRY GRAY HONORIAL
SCHOLARSHIP
Breeanna Ramirez, Pepperdine
University, Malibu, CA
Santa Fe Springs, CA
Parent: Veronica Ramirez
MARY BUESSING & ROSE KELLY
Geoffrey Riggs, Jr., Arizona State
University, Tempe, AZ
Member: LKQ All Models Corporation,
Phoenix, AZ
Parent: Geoffrey Riggs
DICK & DOROTHY MERRELL
HONORIAL SCHOLARSHIP
Taylor Rondeau, University of New
England, Biddeford, ME
Member: Nationwide Auto Recycling,
Lancaster, MA
Parent: Kevin Rondeau
STUART SPITZ HONORIAL
SCHOLARSHIP
Meredith Rudasill, University of South
Carolina-Upstate, Spartanburg, SC
Member: LKQ A&R Auto Parts,
Duncan, SC
Parent: Tamela Rudasill
NORMAN DULANEY MEMORIAL
SCHOLARSHIP
Jonathan Shockey, Lone Star College,
Woodlands, TX
Member: LKQ Auto Parts of South
Texas, Houston, TX
Parent: Jeffrey Shockey
MARK T. SPEARS HONORIAL
SCHOLARSHIP
Alex Smith, Minnesota State
University, Mankato, Mankato, MN
Member: LKQ John's Auto Parts,
Blaine, MN
Parent: William Smith
NEW YORK ASSN. OF AUTO
DISMANTLERS SCHOLARSHIP
Justice Spear, Syracuse University,
Syracuse, NY
Member: Jerry Brown's Auto Parts,
Queensbury, NY
Parent: Lawrence Spear
KEN VONHOF MEMORIAL
SCHOLARSHIP
Renee Stone, University of Central
Missouri, Warrensburg, MO
Member: JC Auto & Truck Parts,
Monroe City, MO
Parent: Ricky Stone
DONALD ROUSE HONORIAL
SCHOLARSHIP
Shaina Streeter, Northwestern
Michigan College, Traverse City, MI
Member: East Bay Auto Parts,
Interlochen, MI
Parent: Kimberly Streeter
RUBY GRIGGERS MEMORIAL
SCHOLARSHIP
Joseph Thomas, University of Georgia,
Athens, GA
Member: Weaver Automotive,
Carnesville, GA
Parent: Mickey Thomas
BILL WEAVER HONORIAL
SCHOLARSHIP
Caleb Swinson, Appalachian State
University, Boone, NC
Member: Foil's Automotive Recycling,
Harrisburg, NC
Parent: Timothy Swinson
SOUTHERN ONTARIO AUTO
RECYCLERS ASSOCIATION (SOAR)
Alanna Ticknor, Royal Canadian
College of Massage Therapy,
Toronto, ON Canada
Member: Standard Auto Wreckers,
Scarborough, ON Canada
Parent: Ian Ticknor
KENNY HUBBARD HONORIAL
SCHOLARSHIP
Amber Swogger, St. Louis College of
Pharmacy, St. Louis, MO
Member: LKQ Metro #560,
Caseyville, IL
Parent: Malcolm Swogger
HARRY M. WELLER HONORIAL
SCHOLARSHIP
Alyssa Taylor, University of Central
Missouri, Warrensburg, MO
Member: County Line Auto Parts,
Kingsville, MO
Parent: Gary Taylor
VIRGINIA WHELAN HONORIAL
SCHOLARSHIP
Stephanie Venditto, Syracuse
University, Syracuse, NY
Member: Saw Mill Auto Wreckers,
Yonkers, NY
Parent: Michael Venditto
EDYTH CLELAND MEMORIAL
SCHOLARSHIP
Lori Waters, University of South
Carolina, Columbia, SC
Member: Blue & Gold Auto Storage,
Goose Creek, SC
Parent: Barbara Waters
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Certified News
Approved Gold Seal Participants
A & P Auto Parts, Inc.
A-1 Auto Recyclers
AAA Auto Salvage, Inc.
ABC Auto Parts & Sales, Inc.
Albuquerque Foreign Auto Parts
Algar, Inc. dba Grade A Auto Parts
All Auto Parts Co.
All Foreign & Domestic Used Auto Parts, Inc.
Al’s Auto Parts, Inc.
American and Import Auto Parts
American Auto Recycling
Automotive Parts Solutions
B & B Auto Parts & Salvage, Inc.
B & B Auto Salvage, Inc. - PRP
B & M Auto Sales & Parts, Inc.
B & R Auto Wrecking
B Auto Parts
Badger Motors
Baird’s Auto Parts, Inc.
Bay Auto Parts
Bessler Auto Parts
Bionic Auto Parts & Sales, Inc.
Bishop’s Used Auto Parts, Inc.
Blenkhorn’s Auto Recyclers, Ltd.
Bow Auto Salvage, Inc.
Brothers Auto Salvage Yard, Inc.
Brown’s Auto Salvage
Butler Auto Recycling, Inc.
BW Auto Dismantlers, Inc.
C & H Salvage Corp.
Calumet Auto Salvage, Inc.
Carcone’s Auto Recycling
Central Auto Recycling, Inc.
Centre De Recyclage Universel (1981) Ltee.
Chuck’s Auto Salvage, Inc.
Cocoa Auto Salvage, Inc.
Columbia Auto Parts
County Line Auto Parts
Cousineau Auto Parts, Inc.
D. A. Auto Parts, Ltd.
Decatur Auto Parts, Inc.
Denton County Auto Salvage
Diamond Auto Parts
Don’s Automotive Mall, Inc.
Eiss Brothers Auto Parts, Inc.
Elmer’s Auto, Inc.
Erie Vo-Vo, Inc.
Foreign Auto Salvage
Fox Auto Parts, Inc.
G & R Auto Parts, Inc.
Goyette’s, Inc.
Grassy Auto Parts, Inc.
Grimes Truck & Auto Parts, LLC
H & H Auto Parts & Salvage, Inc.
Hanser’s Automotive & Wrecker Company
Hickman Motors, Inc.
Highway 54 Salvage, Inc.
J & R Truck Parts
J.C. Auto & Truck Parts
Jantz’s Yard 4 Automotive, Inc.
Jerry Brown Auto Parts Center, Ltd.
Jerry Carney & Sons, Inc.
Junior Sinn Auto Parts, LLC
Kadinger’s II
Kadinger’s, Inc.
Kadinger’s, Inc.
Kelly Auto Parts
Kirchhayn Auto Salvage, Inc.
Kosiski Auto Parts, Inc.
Lacy Auto Parts, Inc.
LKQ Advanced Auto Recycling
Cicero
Rapid City
Rosemount
Riverdale
Albuquerque
Louisville
Fontana
Columbus
Trevose
Sterling Heights
Gilbert
St. Cloud
Oklahoma City
Rapid City
Waukesha
Corvallis
East St. Louis
Wisconsin Rapids
Fairdale
Green Bay
Wilder
Chicago
Middletown
Brookside
Bow
Indianapolis
Bomoseen
Pensacola
Roseville
Campbell Hall
Milwaukee
Aurora
Syracuse
Val D’Or
Douglassville
Cocoa
W. Columbia
Kingsville
Weston
Dumfries,
Decatur
Denton
Fond Du Lac
Binghamton
Watertown
Fountain City
Whitesboro
Ft. Wright
Belleville
Oklahoma City
New Bedford
West Liberty
Grand Prairie
Sussex
Billings
Hickman
Trenton
Cedar Springs
Monroe City
Kenosha
Queensbury
Ames
Cape Girardeau
Barron
Cadott
Downing
Faribault
Cedarburg
Omaha
Charles City
Cumberland
NY
SD
MN
IL
NM
KY
CA
OH
PA
MI
AZ
MN
OK
SD
WI
OR
IL
WI
KY
WI
KY
IL
CT
NS, CAN
NH
IN
VT
FL
CA
NY
WI
ON, CAN
NY
QC, CAN
PA
FL
SC
MO
WI
GBR
IL
TX
WI
NY
NY
WI
NY
KY
MI
OK
MA
KY
TX
WI
MT
KY
TN
MI
MO
WI
NY
IA
MO
WI
WI
WI
MN
WI
NE
VA
RI
LKQ Auto Parts of Central Texas
LKQ Auto Parts of North Texas, LP
LKQ Auto Parts of South Texas
LKQ Canadian Auto Parts Inc. - Ste. Sophie
LKQ Four States
LKQ John’s Auto Parts
LKQ Midwest Auto Parts
LKQ of Michigan, Inc.
LKQ of Nevada, Inc.
LKQ of New Mexico
LKQ of Southern California
LKQ Pick Your Part/Car World
LKQ Potomac German Auto
LKQ Preferred
LKQ Smart Parts, Inc.
LKQ Star Auto Parts, Inc.
LKQ Triplett ASAP, Inc.
LKQ Viking Auto Salvage
LKQ West Michigan
Logel’s Auto Parts
M & M Auto Parts, Inc.
Metro Auto Recyclers
Midway Auto Parts, Inc.
Miller’s Auto Recycling (1992), Ltd.
Mitchells Auto Parts dba
Chuck & Eddies Used Auto Parts
Morris Rose Auto Parts, Inc.
Morrisons Auto, Inc.
Mott Auto, Inc.
Mr. R’s Auto Salvage
Nordstrom’s Automotive, Inc.
Northwest Auto Parts
Olston’s Auto Recyclers
Pam’s Auto, Inc.
Parts Unlimited, Inc.
Peacock Auto Salvage, Inc.
Pete’s Auto & Truck Parts, Inc.
Remington Auto Salvage, Inc.
Rhine Auto, Inc.
Rhodes Auto S/S/S, Inc.
Ridge Road Auto Parts
Riteway Auto Parts, Inc.
Robertson’s Auto Salvage, Inc.
Rockford Auto Parts, Inc.
Sandhill Auto Salvage, LLC
Schram Auto Parts
Sharp Auto Parts, LLC
Shroyer’s Auto Parts
Snyder’s Recycled Auto and Truck Parts
Sonshine Auto Parts
Spalding Auto Parts, Inc.
Speedway Auto, Ltd.
St. James Auto & Truck Parts, LLC
Stadium Auto & Truck Parts, Inc.
Stafford’s, Inc.
Standard Auto Wreckers
Stoystown Auto Wreckers
Stricker Brothers, Inc.
Tolpa’s Auto Parts
Tom’s Foreign Auto Parts
Toomer Enterprises, LLC dba Doggett Auto Parts
Trails End Auto and Truck Salvage, Inc.
Walt’s Auto, Inc.
Waterloo Auto Parts, Inc.
Wayne Auto Salvage, Inc.
Weller Auto Parts, Inc.
West Side Auto Parts, Inc.
Wilbert’s, Inc.
Woodfin Honda / Pick and Save
Yancey Auto Salvage
Y-Yard Auto & Truck, Inc.
New Braunfels
Hutchins
Houston
Ste. Sophie
Joplin
Blaine
Omaha
Wayne
North Las Vegas
Albuquerque
Santa Fe Springs
Candia
Frederick
Conway
Hustisford
Janesville
Akron
Northfield
Holland
Kitchener
Stafford
Valparaiso
Kansas City
Fort Erie
TX
TX
TX
QC, CAN
MO
MN
NE
MI
NV
NM
CA
NH
MD
AR
WI
WI
OH
MN
MI
ON, CAN
VA
IN
MO
ON, CAN
Plantsville
Kalamazoo
Edgerton
Lebanon
Buffalo
Garretson
Anchorage
Lincoln
St. Cloud
Pearland
Macon
Jenison
Eau Claire
Plymouth
Streator
Cleveland
Phoenix
Wareham
Rockford
Tama
Waterford
Stillwater
Lansing
Holland
Cumberland
Spokane
Joliet
St. James
Denver
Montgomery
Toronto
Stoystown
Batavia
Remsen
Waterbury
Bryan
Des Moines
Springfield
Waterloo
Goldsboro
Grand Rapids
Laurel
Webster
Midlothian
Perry
Effingham
CT
MI
WI
MO
WY
SD
AK
NE
MN
TX
GA
MI
WI
WI
IL
OH
AZ
MA
IL
IA
MI
MN
MI
TX
ON, CAN
WA
IL
MO
CO
IL
ON, CAN
PA
OH
NY
CT
TX
IA
OH
IA
NC
MI
DE
NY
VA
MO
IL
Certified News
Approved CAR Participants
43 Auto Salvage
A & A Auto and Truck Parts, Inc
A & A Auto and Truck Parts, Inc. (North)
A & C Auto Parts & Wrecking Co.
A & L Auto Recyclers, Inc.
AAAACO Auto Parts, Inc.
AADCO Auto Parts
Aadlen Bros Auto Wrecking
Ace Auto Recyclers, Inc.
Action Auto Parts, Inc.
All Car & Truck Recycling
All Foreign Used Auto Parts, Inc.
Alliance Auto Parts
Allwest Auto Parts, Inc.
Alvin’s Automotive Recycling
American Auto Parts
Arnprior and Ottawa Auto Parts
Auto Parts City, Inc.
B & B Towing & Auto Recycling
B & M Cars & Salvage
Bauer’s Auto Wrecking
Bell City Auto Center, Inc.
Bill’s Used Parts, Inc.
Black Gold Import Auto Parts
Borges Foreign Auto Parts, Inc.
Bowie Used Auto Parts, Inc.
Brandywine Auto Parts, Inc.
Brandywine Truck Parts
Brandywine Two, Inc.
Brooks Auto Sales, Inc.
Bruce Auto Parts, Inc.
Cambridge Auto Parts and Wreckers Company, Ltd.
Camp Auto Salvage
Canadian Auto Recycling
Cash n Carry Pull-Your-Part
Central Small Car Salvage
Central Truxx
Clayton Auto Parts & Wrecking, Inc.
Colorado Auto & Parts, Inc.
Compact Auto Parts
Cookstown Auto Centre, Ltd.
Cosmos Ocean County Recycled Auto Parts
Cosner Brothers Auto Parts, Inc.
Counselman Automotive Recycling, LLC
Cousineau Auto, Inc.
Covey’s Auto Recyclers, Ltd.
Danny’s Auto Salvage, Inc.
Denison Auto Parts, Inc.
D-N-J Auto Parts
Dom’s Auto Parts Co., Ltd.
Don Scharf Automotive, Inc.
Doug’s Auto Recyclers, Inc.
Dulaney Auto and Truck Parts of Amarillo, Inc.
Duval Auto Parts
East Bay Auto Parts, Inc.
Economy Auto Parts
Eden Used Auto Parts, Inc.
Ed’s Auto Salvage, Ltd.
Elgin Super Auto Parts and Sales, Inc.
Fireside’s U-Pull It Auto Parts
Foreign Car Parts, Inc.
Gary’s U-Pull-It, Inc.
Geiger Truck Parts, Inc.
Glenn’s Auto & Truck Parts
H & H Auto Parts, LLC
Harry’s Auto Wrecking
Higgins Auto Parts
Hillsboro Auto Wrecking
Hilltop Auto Wreckers, Ltd.
Joplin
Topeka
Topeka
Cleveland
Comber
Lorton
Brampton
Sun Valley
Iowa City
Marshalltown
Anderson
Fredericksburg
Woodside
Edmonton
Oakland
Omaha
Arnprior
Gurnee
Englishtown
Sulphur Springs
Fresno
Brantford
Christiansburg
Nisku
Dighton
Bowie
Brandywine
Brandywine
Brandywine
Oilville
Mechanicsville
Cambridge
Barberton
Mount Pearl
Savannah
Brandywine
North Bay
Clayton
Englewood
Brandywine
Cookstown
Bayville
Troy
Mobile
Antigo
Blandford
Tulsa
Cleveland
Owensboro
Courtice
Eagle River
Coldwater
Amarillo
Forest
Interlochen
Tulsa
Eden
Westlock
Elgin
Sandusky
Upper Marlboro
Binghamton
Watseka
Houston
Cozad
Grande Prairie
Bakersfield
Hillsboro
Richmond Hill
MO
KS
KS
OH
ON, CAN
VA
ON, CAN
CA
IA
IA
CA
VA
NY
AB, CAN
CA
NE
ON, CAN
IL
NJ
TX
CA
ON, CAN
VA
AB, CAN
MA
MD
MD
MD
MD
VA
VA
ON, CAN
OH
NF, CAN
GA
MD
ON, CAN
OH
CO
MD
ON, CAN
NJ
VA
AL
WI
NS, CAN
OK
OH
KY
ON, CAN
WI
MI
TX
VA
MI
OK
MD
AB, CAN
IL
OH
MD
NY
IL
TX
NE
AB, CAN
CA
OR
ON, CAN
Hi-way Auto Parts
Hi-Way Auto, Inc.
Horsehead’s Automotive Recycling
Hovis Inc. dba Patterson Auto Wrecking
I-55 Auto Salvage
J & J Auto Wrecking, Inc.
Jeff Smid Auto, Inc.
Jerry’s Auto Salvage, Inc.
Keiffer Auto Recyclers
Keith Auto Recyclers LLC dba KARS
Kenny U-Pull
Knox Auto Parts & Rebuildable Wrecks
Leesville Auto Wreckers, Inc.
Lems Auto Recyclers, Inc.
Lentini Auto Salvage, Inc.
Lewisville Motor Company, Inc.
Linder’s, Inc.
LKQ - Barber’s Auto Sales
LKQ 250 Auto, Inc.
LKQ A & R Auto Parts, Inc.
LKQ A Reliable U Pull It South
LKQ Arizona (aka: LKQ All Models Corp.)
LKQ Atlanta, LP
LKQ Barger Auto Parts Nampa
LKQ Birmingham, Inc.
LKQ Brad’s Auto & Truck Parts, Inc.
LKQ Broadway Auto Parts, Inc.
LKQ Copher Self Service Auto Parts - Bradenton, Inc.
LKQ Copher Self Service Auto Parts - Clearwater, Inc.
LKQ Copher Self Service Auto Parts - St. Petersburg, Inc.
LKQ Copher Self Service Auto Parts - Tampa, Inc.
LKQ Crystal River, Inc.
LKQ Dominion Auto Recycling, Inc.
LKQ Foster Auto Parts of Salem
LKQ Foster Auto Parts, Inc.
LKQ Gorham Auto Parts Corp.
LKQ GreenLeaf - Dallas
LKQ GreenLeaf - Fort Worth
LKQ GreenLeaf - Kennedale
LKQ GreenLeaf - Seguin
LKQ Hunts Point Auto Parts Corp.
LKQ M. Robert, Inc.
LKQ Melbourne
LKQ Mid-America Auto Parts, Inc.
LKQ Minnesota, Inc.
LKQ Northern California (Redding)
LKQ of Central California
LKQ of Ft. Myers
LKQ of Indiana, Inc.
LKQ of Northwest Arkansas dba LKQ Mid-America
LKQ of Tennessee
LKQ Penn-Mar, Inc.
LKQ Pick Your Part Anaheim
LKQ Pick Your Part Bakersfield
LKQ Pick Your Part Chula Vista
LKQ Pick Your Part Gainesville
LKQ Pick Your Part Help Your Self
LKQ Pick Your Part Stanton
LKQ Pick Your Part Sun Valley
LKQ Pick Your Part Wilmington
LKQ Pintendre Autos, Inc.
LKQ Potomac German
LKQ Pull n Save Auto Parts of Aurora, LLC
LKQ Route 16 Used Auto Parts
LKQ Salisbury, Inc.
LKQ Savannah, Inc.
LKQ Self Service Auto Parts - Holland
LKQ Self Service Auto Parts - Kalamazoo, Inc.
LKQ Self Service Daytona
Tyler
Brownwood
Elmira
Cochranton
Channahon
Marshallville
Davenport
Big Lake
Canton
Pontotoc
Laval
Knoxville
Rahway
Doon
Ringoes
Winston-Salem
Worcester
Ardmore
Harrisville
Duncan
Blue Island
Phoenix
Jenkinsburg
Nampa
Traffon
Redmond
Stuyvesant
Bradenton
Clearwater
St. Petersburg
Tampa
Crystal River
Stoney Creek
Salem
Portland
Gorham
Dallas
Haltom City
Kennedale
Seguin
Bronx
Sainte-Madeleine
Melbourne
Topeka
Albert Lea
Redding
Bakersfield
Ft. Myers
Plainfield
Fayetteville
Manchester
York Haven
Anaheim
Bakersfield
Chula Vista
Gainesville
Wilmington
Stanton
Sun Valley
Wilmington
Pintendre
Orlando
Aurora
Webster
Salisbury
Savannah
Holland
Kalamazoo
Daytona Beach
TX
TX
NY
PA
IL
OH
IA
MN
OH
MS
QC, CAN
TN
NJ
IA
NJ
NC
MA
AL
OH
SC
IL
AZ
GA
ID
AL
OR
NY
FL
FL
FL
FL
FL
ON, CAN
OR
OR
ME
TX
TX
TX
TX
NY
QC, CAN
FL
KS
MN
CA
CA
FL
IN
AR
TN
PA
CA
CA
CA
FL
CA
CA
CA
CA
QC, CAN
FL
CO
MA
NC
GA
MI
MI
FL
LKQ Self Service Memphis
LKQ Utah
Manuel’s Auto Wrecking
Marco Auto Recycling, Inc.
Maritime Auto Salvage, Ltd.
Marshall Auto Wreckers, Ltd.
Massey’s Auto Parts, Inc.
McDill Auto Wrecking, Inc.
Metro Auto Salvage, Inc.
Mid Island Auto Wreckers, Inc.
Middleton Auto Parts
Milliron Auto Parts, Inc.
Misgen Auto Parts, Inc.
Newton Auto Salvage, Inc.
Newville Auto Salvage, Inc.
Nicklin Auto Parts and Recyclers
Niks Auto Parts, Inc.
Nissenbaum’s Auto Parts, Inc.
North Verde Auto Salvage
Novak Auto Parts, Inc.
Ole South Auto Salvage, Inc.
P & C Auto Wrecking, Inc.
Pacific Auto Salvage, Inc.
Pat’s Auto Salvage, LLC
Pick-n-Pull - Cumberland
Pick-n-Pull Auto Dismantlers - Calgary
Pick-n-Pull Auto Dismantlers - Edmonton
Pick-n-Pull Auto Dismantlers - Kelowna
Poell’s Enterprises, Inc.
Popow & Sons Body Shop, Ltd.
Premier Auto & Truck Parts, Inc.
Pull-A-Part Akron
Pull-A-Part Atlanta East
Pull-A-Part Atlanta North
Pull-A-Part Atlanta South
Pull-A-Part Augusta
Pull-A-Part Baton Rouge
Pull-A-Part Birmingham
Pull-A-Part Canton
Pull-A-Part Charlotte
Pull-A-Part Cleveland I (East)
Pull-A-Part Cleveland II (West)
Memphis
Salt Lake City
Merced
Red Wing
Truro
Lethbridge
Millington
Stevens Point
Lakeville
Deer Park
Fraser
Mansfield
Ellendale
Covington
Edgerton
Guelph
Neenah
Somerville
Ontario
New Brighton
Lake Placid
Milpitas
American Canyon
Waterloo
Cumberland
Calgary
Edmonton
Kelowna
Dewitt
Lacombe
Cedar Springs
Akron
Lithonia
Norcross
Conley
Augusta
Baton Rouge
Birmingham
Canton
Charlotte
Cleveland
Cleveland
TN
UT
CA
MN
NS, CAN
AB, CAN
TN
WI
MN
NY
MI
OH
MN
GA
WI
ON, CAN
WI
MA
OR
PA
FL
CA
CA
IA
RI
AB, CAN
AB, CAN
BC, CAN
IA
AB, CAN
MI
OH
GA
GA
GA
GA
LA
AL
OH
NC
OH
OH
Pull-A-Part Columbia
Pull-A-Part Indianapolis
Pull-A-Part Jackson
Pull-A-Part Knoxville
Pull-A-Part Lafayette
Pull-A-Part Louisville
Pull-A-Part Memphis
Pull-A-Part Mobile
Pull-A-Part Montgomery
Pull-A-Part Nashville
Pull-A-Part New Orleans West
Pull-A-Part Winston-Salem
Ransom Motors, Inc.
Reitman Auto Parts & Sales, Inc.
Rhinelander Auto Salvage
Ripple’s Service, Inc.
Robert’s Engines, Inc.
Roberts Salvage, Inc.
Rock & Roll Auto Recycling
Rusty Acres Automotive, Inc.
Salvage GM Parts of South Georgia, Inc.
School Street Light Truck Parts
Schram Auto & Truck Parts Lansing, Inc.
Scotty’s Auto Parts
SGI Salvage Moose Jaw
SGI Salvage North Battleford
SGI Salvage Regina
SGI Salvage Saskatoon
SGI Salvage Yorkton
Shipman Auto Parts, Inc.
Smith Auto & Truck Parts, Inc.
Smith Auto Parts & Sales, Inc.
Snyder Auto Body & Paint
Southern Maryland Used Auto Parts
Sunscape Enterprises, Inc. dba Ace Auto Wreckers
Swift’s Auto Salvage, Inc.
Tri State Auto Parts
Van Horn Auto Parts, Inc.
Vander Haag’s, Inc.
Vander Haag’s, Inc.
West Auto Wreckers, Ltd.
Columbia
Indianapolis
Jackson
Knoxville
Lafayette
Louisville
Memphis
Mobile
Montgomery
Nashville
New Orleans
Winston-Salem
Brandywine
Melbourne
Rhinelander
Upper Marlboro
Lucama
Moffett
Pleasanton
Jacksonville
Valdosta
Lowell
Mason
Virginia
Moose Jaw
North Battleford
Regina
Saskatoon
Yorkton
Brainerd
Garden City
Fairfield
Clarinda
Mechanicsville
E. Brunswick
Des Moines
Walls
Mason City
Des Moines
Spencer
Chula Vista
SC
IN
MS
TN
LA
KY
TN
AL
AL
TN
LA
NC
MD
KY
WI
MD
NC
OK
CA
FL
GA
MA
MI
IL
SK, CAN
SK, CAN
SK, CAN
SK, CAN
SK, CAN
MN
KS
IA
IA
MD
NJ
IA
MS
IA
IA
IA
CA
New CAR Application Process
t is with much excitement that we announce the hot-off-the-press,
Here’s how the new system will work for CAR member facilities:
updated, and streamlined CAR application.
The facility contact can opt to access the new application
I
Building on the CAR program’s past successes, it includes an audit
and guidance manual on ARA’s website or receive the documents
that is based on a point system under which a facility will be evaluated
via e-mail. The contact should save the new application form to
using a point value for each familiar CAR standard. The standards have
the facility’s computing platform. It is hoped that a facility representa-
been reorganized to more closely follow the auditors’ facility inspection
tive will treat this form as a living document – opening it frequently
sequence, but no new standards have been added.
to assign points to standards and to insert the required photos/
The ARA CAR Committee, with the approval of the ARA Executive
Committee, has been working on this new format and system refocus for
documents.
By October 1, the facility contact will complete the audit form, at-
over a year with considerable input from those involved in the certifica-
testing that the facility meets at least 70% of the CAR Program stan-
tion pipeline including professional automotive recyclers, program audi-
dards, and submit it to ARA.
tors and those who are expert in the certification field.
This new point system will allow for an audit that will benefit facilities
involved in the program by identifying best management practices, promoting continuous improvement as well as recognizing regulatory/juris-
Included in the application will be an invoice for the CAR facility’s
$100 annual renewal fee. You will be able to either submit your payment
with the application or ARA will send you a separate invoice.
ARA and its CAR Committee look forward to working with you to
dictional deficiencies. No significant long term increase of time or effort
making the CAR program state of the art, electronic, interactive, user-
to fulfill the requirements is expected as a result of these changes.
friendly and value-oriented.
International Auto Recycling
Standards are Universal
By Andy Latham
A
s a pediatric nurse, my wife knows all
about standards. When you are dealing with premature babies, it is essential
to record everything you do – it is necessary to have controls in place to make
certain that important tasks like feeding
or administering drugs are completed
on time and accurately – actions that go
a long way towards giving these babies
the opportunity to grow, develop and
have a long and fulfilling life.
I know that automotive recycling is not
the same as a neonatal intensive care
ward, however standards should be at
the forefront of everything that we do,
and I have recently had the pleasure of
being involved in the setting of standards
for the automotive recycling industry.
It took almost a year, a few flights
between Japan and the UK, some video
conferencing at crazy hours and lots of
hard work and effort, to produce a specification for the qualification and labeling
of used automotive engines and any
related transmission units.
Sponsored by Kaiho Sangyo Co., Ltd.,
supported by Sun Partners Co., Ltd. and
facilitated by the British Standards
Institute, PAS777 (Publicly Available
Specification) was recently released.
Designed to provide a standard for
qualification and labeling of used automotive engines and related transmission
units, PAS777 gives sellers of these transmissions a robust, auditable procedure
that can be used throughout the world.
The PAS sets out a process for inspection of the relevant engine and related
transmission unit, collation and recording
of data and presentation of that data to
potential customers.
A number of factors are recorded,
these include:
• Vehicle Make, Model and Model
Code
• Date of Registration
• Distance travelled
(Miles/Kilometers/Hours)
• Engine Number
• Fuel Type
• Physical Description; and much
more.
One outcome of the PAS is a matrix
that qualifies the engine and related
transmission unit on a scale of 0-5 in a
number of areas. This gives a visual representation of information that will allow
very effective comparison between available units when examined together.
The PAS is not intended to signify the
quality of the engine and related transmission unit, but does give any potential
customer enough details for them to
make an informed choice. Use of PAS777
could be the difference between making
or losing a sale, as companies using the
specification could be perceived as more
reliable as competitors not applying the
specification.
It was very interesting to be working
with the British Standards Institute and it
showed how relevant suitable standards
are to a global industry such as automotive recycling.
Presentations on ISO 9001 at the recent
ARA Annual Convention and International Roundtable on Auto Recycling
in Phoenix, reinforced that view. ISO
9001 provides significant value to many
businesses worldwide. It shows that management structures are in place and that
the company can be relied upon to work
at a suitable standard that gives confidence
to potential business partners, customers
or suppliers – and it is especially important
to have recognized standards in your
business when dealing with government
departments or agencies.
Suitable standards can revolutionize
any business. The collision repair industry
in the UK has spent the last four years
raising standards of Vehicle Damage
Assessors, Body Repair Technicians, and
iStock.com/yganko
Reports from Around the World
Workshop Managers and Owners; work
providers know that any work undertaken
in a qualified repair centers are completed quickly, efficiently and correctly, customers are kept informed at all stages,
invoices are accurate and timely, and can
be paid very quickly.
Yes, it has cost the industry, but the
benefits are rapid; fewer errors, less down
time, swifter repair times, and faster payment result in a satisfactory return on
investment.
This is not a do it and forget it process –
it will last a lifetime – constant progress,
improvement and re-training will become
a normal aspect of working life; far better
than the alternative options which will
see competitors who do invest getting
more and more work because they are
trusted, reliable, and favored by customers and work providers. ■
PAS777 can be purchased from the British
Standards Institute http://shop.bsigroup.com/
ProductDetail/?pid=000000000030274125.
Andy Latham is Managing Director of Salvage Wire, a unique
Automotive Recycling and Motor Salvage Consultancy that
focuses on helping clients be Safe, Ethical and Profitable.
Capitol Connection
Latest Legislative Updates from the Hill and Around the Country
National Agreement Signed
Addressing Right to Repair
T
he Alliance of Automobile Manufacturers, the Association of Global Automakers, the Automotive Aftermarket
Industry Association and the Coalition
for Automotive Repair Equality announced recently that they have signed a
Memorandum of Understanding (MOU)
regarding motor vehicle owners Right to
Repair, a significant turning point in the
decades long debate within the industry.
The national agreement is based on a
recent law finalized in the Commonwealth of Massachusetts (Chapter 165 of
the Acts of 2013) reconciling differences
between the 2012 bill and separate ballot
initiative. The signed MOU extends the
essential provisions for all light vehicles
negotiated in the Massachusetts law to all
50 states and impacts all companies and
organizations that are currently members
of the signatory associations.
The four organizations agreed to stand
down in their fight on “Right to Repair”
and work collectively to actively oppose
individual state legislation while working
to implement this MOU.
ARA has long argued that car owners
and independent repair shops need full
access to the information, parts and tools
necessary to accurately diagnose, repair
and re-program vehicles. This national
agreement is an important step and represents many years of hard work to provide consumers and repair shops with
the information they need to make
informed decisions.
ARA continues to analyze the MOU
and its impact on ARA members businesses and recycled parts usage, and
looks forward to continuing to work with
key stakeholders.
ARA Provides Feedback
to AAMVA on NMVTIS
Annual Report Design
T
he American Association of Motor
Vehicle Administrators (AAMVA)
which administers the National Motor
Vehicle Title Information System
(NMVTIS) has requested comments on
the content and design of the 4th Annual
Report for FY 2013. ARA responded and
suggested that for the 2013 report,
AAMVA include statistics and analysis on
the difference in the number of reports
to NMVTIS of vehicles (denoted as VINs)
first sold at salvage pools and the number
of those same VINs being reported to
ARA Participates in Connected Vehicle Stakeholders
Outreach Meeting
A
RA participated in the U.S. Department of Transportation’s (DOT) meeting to
seek stakeholder input on connected vehicle systems. DOT was most interested
in learning about industry needs for guidelines, tools, resources, and policies that will
support the successful implementation and operations of connected vehicle technologies. The primary target audiences for this meeting were state and local
Departments of Transportation, transit operators, other operating agencies, and infrastructure owners who are starting to plan for the deployment and use of connected
vehicle technologies in their area. Other stakeholders in the connected vehicle community, including national associations, were also encouraged to attend.
During the meeting, ARA asked about involvement of automakers in the connected
vehicle policy discussion as well as about privacy and use issues related to the data collected by different elements of the smart vehicle-to-infrastructure (V2i) grid. ARA
urged policymakers to consider how the infrastructure would address the repair and
replacement of malfunctioning smart technologies and if they would be reusable.
This national agreement
is an important step and
represents many years of
hard work to provide
consumers and repair
shops with the information
they need to make
informed decisions.
NMVTIS again, minus the “sold to”
records of entities buying 5 cars or less.
ARA will also be submitting comments
in response to AAMVA’s request for
organizations to submit highlights/
accomplishments, innovations, observations, and testimonials regarding NMVTIS
during the period of Oct 1, 2012 to Sept.
30, 2013.
National Labor Relations
Board Proposes Rule to Simplify
Representation-case Procedures
T
he National Labor Relations Board
(NLRB) has proposed changes to
union elections that would limit employees’ ability to communicate to their
employers during union campaigns by
shortening the period in which a representation election is held; an election
could be held in as few as 10 days. It
would also impose new mandates on
employers, such as forcing them to turn
over employees’ e-mail addresses.
In 2011, the industry fought a similar
rule, which a federal judge overturned
on a technicality. Now, with the NLRB at
full strength, the Board re-proposed the
measure. It passed along party lines, with
the three Democratic members supporting it and two Republican members
opposing it.
ARA will work with its partners to
oppose this rule. Comments to this proposed rule are due on April 7th.
State Issues
T
he 2014 state legislative season is in full swing. ARA and its
Grassroots Network of automotive recyclers across the country, in
coordination with affiliated state chapters, are very busy responding to
any proposed legislation or regulation that could have an impact on
the operation of ARA member businesses. For more information on
how you can get involved in your state, please contact ARA Director of
State Government Affairs, Jessica Thomas, at [email protected] or
(571) 208-0428.
Acquisition of Inoperable Vehicles
Without a Title
Several pieces of legislation have been introduced in an attempt
to address the issue of car theft but in practice would have very negative unintended consequences for the operation of automotive recycling facilities.
In Tennessee, House Bill 1484 and its companion Senate Bill 1729
were introduced in mid-January seeking to remove current statute
that allows for licensed dismantlers and scrap processors to purchase inoperable vehicles without a title provided they are over 12
years old and hold the vehicle for 3 business days. The bills would
instead require that for any vehicles without a title, the seller register for and provide a nonrepairable vehicle certificate to the dismantler or processor. The bills also include new computer system
requirements for dismantlers and harsh penalties for noncompliance. ARA members are working with other interested parties to address the underlying issue of vehicle theft through reporting
requirements to the state instead of eliminating current law.
In Missouri, House Bill 1118 and Senate Bill also target current
state law allowing for the purchase of inoperable vehicles that are at
least 10 model years old without a title, provided the recycler or
scrap processor verify with the state Department of Revenue that the
car is not subject to any lien and obtain bill of sale. Senate Bill 594 in
Missouri would replace the 10 year threshold with 20 years, effectively having the same impact as removing the threshold all together because of the very small number of eligible vehicles for
purchase that would result. ARA is actively working with its affiliate
chapter, the Missouri Auto and Truck Recyclers Association, and
other stakeholders to address law enforcement concerns and build
support for incorporating a NMVTIS and state reporting mechanism.
Salvage Vehicle Laws & Licensing
Members of ARA and the Virginia Automotive Recyclers Association successfully worked with the state Department of Motor Vehicles to introduce legislation strengthening certain requirements and
practices relating to the licensing and activities of vehicle demolishers, rebuilders, salvage dealers, salvage pools, and vehicle removal
operators. House Bill 166 would require that vehicle records be kept
at and license and business hours be displayed at the licensed place
of business; expand the authorization of the DMV to deny, suspend,
or revoke licenses for certain violations; codify a 30-day grace period
for license renewals; and authorize the DMV to impose civil penalties
for violations where a conviction is not sought. The bill is expected to
be signed into law.
Virginia recyclers are also addressing House Bill 441 which pertains motor vehicle insurance policies for salvage vehicles. The bill
would require that no new automobile insurance policy covering a
vehicle known to an insurer to be salvage shall be issued unless a
notice is included in the policy stating that the vehicle is salvage and
in the event of an accident and total loss determination, the insured
will be paid less money than if a salvage title not been issued. ARA
and VARA are assessing the implications of this bill for member
businesses. It has not passed out of the Commerce and Labor Committee
Legislation has been introduced in Iowa that would require
motor vehicle scrappers to have a recyclers license issued by the
state. ARA affiliate chapter the Iowa Auto Recyclers is in support of
the bill, Senate Bill 3018, and working with Department of Transportation officials to strengthen other areas of the statue. A second
bill, Senate Bill 2024, would remove brokers, consignment sellers
and persons conducting an auction from the definition of motor vehicle dealer.
Used Parts
Automotive recyclers in Kentucky successfully amended legislation that sought to require owner consent for the use of any parts
other than new factory parts for vehicle repair while the vehicle is
under manufacturer warranty. House Bill 109 was amended to allow
both new and recycled OEM parts to be used for repairs. The language was further clarified to will apply only to vehicles that are
within their original factory warranty coverage and will not include
extended warranties or drive train warranties dates of coverage.
Counterfeit Airbags
Legislation has been introduced in Alabama addressing the
threat of counterfeit airbags. House Bill 213 and Senate Bill 163
would establish criminal penalties for selling, installing or reinstalling a counterfeit airbag, nonfunctional airbag, or a device which
causes a vehicles diagnostic system to inaccurately indicate that the
vehicle is equipped with a functional airbag. ARA is supportive of the
legislation, which has passed in the Senate.
Used Tires
As expected following an onslaught of activity last year in Florida
and Texas, legislation seeking to regulate the sale of used tires continues to be an issue dominating the legislative agenda this year.
The focus this year has moved to South Carolina, where Senate
Bill 893 was introduced and subsequently referred to Senate Committee on Labor, Commerce and Industry. SB 893 would make it unlawful for a business or individual to sell or install an unsafe used
tire onto a passenger car or light truck. The bill introduces a definition of unsafe used tire, requires the state Department of Health and
Environmental Control to conduct periodic inspections as well as establish a hotline to collect reported tire violations. ARA affiliate
chapter, the South Carolina Auto Recyclers and Dismantlers Association, along with ARA and other stakeholders in the state actively
reached out to the bill sponsor with information about the precautions and quality control procedures professional automotive recyclers take when selling safe, quality, recycled OEM Tires and the
regarding the negative consequences this could have on the ability
of professional auto recyclers to offer used tires to consumers.
SB893 is not expected to move forward.
Continuing Issues
Major ongoing issues carried over from 2013 include salvage ac-
New Automotive Refrigerant
Approved for Use by U.S. EPA
T
he U.S. Environmental Protection
Agency (EPA) recently issued a final
rule that approved automotive air conditioning refrigerant HFO-1234yf to be
sold to consumers so that they can
recharge their vehicle air conditioning
systems. Specifically, the EPA determined
that states could not consider the refrigerant to be a volatile organic chemical
(VOC) and therefore cannot limit its use
for air quality reduction purposes.
HFO-1234yf will likely replace a previously commonly used automotive refrigerant, HFC-134a which has a high global
warming potential (GWP). HFC-134a has
a GWP of 1430 whereas HFO-1234yf has
a GWP of only 4.
EPA had originally issued a significant
new use rule (SNUR) that would have
required anyone to notify EPA at least 90
days prior to the manufacture or processing of 1234yf for consumer use to
recharge a motor vehicle air conditioning
system based on toxicity concerns.
However, concerned organizations filed
suit against the agency claiming that the
studies used to make the toxicity determi-
quisition in Ohio. As expected, legislation was introduced in late February that would eliminate the state’s BID card and open the salvage
auctions to unlicensed buyers. ARA is actively coordinating with its
affiliate chapter the Ohio Auto and Truck Recyclers Association. and
hearings will begin in March.
State legislators in Iowa, Maryland and Michigan introduced legislation that would prohibit an insurance adjuster, appraiser, insurance producer, insurer or employee of an insurer from requiring a
repair facility to use a specific vendor or process for the procurement
of parts or other materials necessary for the repair of a motor vehicle. The introduction of these bills comes as the Automotive Service
Association (ASA) announced earlier this year that is launching a
concerted effort to address issues surrounding insurance parts procurement mandates at the state level. Similar legislation outlawing
insurance company requirements to use a specific vendor or process
for the procurement of parts or materials was introduced in New
York last year. ARA is actively monitoring all bills and soliciting
feedback from ARA members regarding their experience with the
PartsTrader program. ■
Specifically, the EPA
determined that states
could not consider the
refrigerant to be a volatile
organic chemical (VOC)
and therefore cannot limit
its use for air quality
reduction purposes.
nation grossly overstated human exposure
levels. Following a review of the data submitted by these organizations which indicated that there was no adverse health
impact on consumers from recharging
their air conditioner using 1234yf, EPA
decided to reverse its decision. The new
rule took effect at the end of 2013.
More Delays for
Health Care Law
I
n another change to the Affordable
Care Act (ACA), the Obama Administration announced delays in implementation for two categories of employers. Mid-
sized companies will get an additional
year to comply with the employer mandate – pushing that date to 2016. These
companies employ 50 to 99 full-time
employees who work 30 or more hours
per week. Businesses that employ 100 or
more workers will have to begin complying in 2015 but there will be additional
time allowed for full compliance. Seventy
percent of employees will need to be
offered coverage in 2015, versus the originally called for 95 percent. In 2016, 95
percent of employees of large companies
will have to be offered coverage or the
employer will incur fines.
Companies that employ fewer than 50
full time employees are not required to
provide coverage to their workers and no
changes were made to that provision.
The new rule will impact approximately
4 percent of companies according to the
U.S. Department of Treasury. But media
outlets have speculated that those 4 percent employ approximately 72 percent of
U.S. citizens.
These delays follow an announcement
in July that already pushed back the
employer mandate compliance from
January 2014 to January 2015. ■
Crossword Puzzle
By Murray Jackson
Across
Down
1. ‘60s A&W offering (6,7)
8. Audrey Hepburn’s “Roman Holiday” scooter
9. ‘11 Buick crossover
10. Lower a custom’s roof
11. Popular coolant-antifreeze brand
13. Tourist-route description, often
14. Item chained to trucker’s belt
17. Quarter-mile race car
19. Dodge model replaced by Aspen
22. Residential car shelter, sometimes
23. Uplifting service-bay sight
24. ‘30s pickup for a rock group (1,1,1,10)
1. Palindromic Honda
2. Rejuvenate a classic
3. Race-track shape, sometimes
4. ‘11 GMC full-size pickup
5. Person-powered East-Asian taxi
6. State where Knievel jumped Snake River
7. Honda for think-inside-the-box types
12. Engine-hood opening (3,5)
13. Passenger-carrying Harley add-on
15. Alternative to new-car purchase
16. “The Love Bug” star car
18. Suzuki model replaced by SX4
20. Nissan Frontier’s big brother
21. Surname, Jag-driving “Inspector Morse” actor
Advertiser’s Index
Company ............................................................................Website ..........................................Ad Pg. No.
AA Midwest ....................................................................www.aamidwest.com......................................................6
Al-jon Manufacturing ......................................................www.aljon.com ........................................................59
Biz Unite ............................................................................www.bizunite.com ........................................................9
Brock Supply ................................................................www.brocksupply.com ..................................................55
Buddy Automotive Innovations..................................www.buddyai.com ......................................................37
CARS Expo ......................................................................www.cars-expo.com....................................................64
Car-Part.com ..................................................................www.car-part.com ............................................59, C-4
CCC Information Services, Inc.......................................www.cccis.com/ ........................................................59
Connection, The ........................................................www.platinumparts.com ..................................................5
CRUSH/S3 Software Solutions, LLC..............www.s3softwaresolutions.com ..........................................53
Equipment International..............................................www.equipint.com ......................................................13
Hollander, a Solera company..............................www.hollanderparts.com ......................................54, C-3
LKQ Corporation ............................................................www.lkqcorp.com/......................................................58
MarkingPenDepot.com ......................................www.markingpendepot.com ............................................16
Panhandle Converters ......................................www.panhandlecoverters.com....................................16, 56
Pemberton ..................................................................www.pembertoninc.com ................................................31
Phoenix Automotive Cores ........................................www.phxautocores. ....................................................57
Pinnacle Professional ............................................www.actual-systems.com..........................................17, 61
PGM Recovery Systems ..................................www.pgmrecoverysystems.com ........................................27
Pull-A-Part ....................................................................www.pullapart.com/ ....................................................57
Rebuilder’s Auto Suplly..............................................www.coresupply.com..............................................11, 61
SAS Forks ..........................................................................www.sasforks.com ......................................................19
Sellick Equipment Ltd. ........................................www.sellickequipment.com ............................................39
Sierra International Machinery ................................www.sierraintl.com......................................................21
SuperShear ..................................................................www.supershears.com..................................................39
Techemet..........................................................................www.techemet.com ....................................................55
Toyota Tsusho America ..............................................www.taiamerica.com....................................................35
The Pacific Group ....................................................www.pacificgroupinc.com ..............................................77
United Recyclers Group ..................................................www.u-r-g.com................................................61, C-2
Vander Haag’s, Inc.....................................................www.vanderhaags.com..................................................77
Vortex De-Pollution..............................................www.vortexdepollution.com ............................................13
Wells Fargo Business Insurance ..............www.wellsfargo.com/biz/insurance......................................15
2014 Industry
Calendar
SEND US YOUR DATES!
E-mail [email protected]
■ Visit
www.a-r-a.org to view all the
industry’s events and meetings. To
include your event in ARA’s calendar of events, e-mail the complete
listing to [email protected].
Get Ahead in 2014 To advertise, contact Caryn Smith at
(239) 225-6137 or e-mail [email protected].
Puzzle Answers from page 60
Final Thoughts
By Michael E. Wilson, ARA Chief Executive Officer
[email protected]
Data Connections to the Future
R
ecently in March, ARA was privileged to accept an opportunity to
provide a presentation to attendees at
the 14th International Automotive
Recyclers Congress (IARC) in Brussels,
Belgium. ARA used the forum to
emphasize the importance of OEM
automotive parts data and the need for
the automotive manufacturing community to provide professional automotive
recyclers’ access to crucial OEM parts
information.
In this age of electronic commerce, it
is imperative that “all” parties utilize unified parts information and descriptions.
Original Equipment Manufacturers
(OEM) parts information must be made
available to professional automotive recyclers to allow them to seamlessly integrate their electronic part inventories
into estimating and collision repair platforms.
In my remarks, I specifically called on
the automotive manufacturers to release
the crucial “Build Sheet” information to
the professional automotive industry’s
inventory management entities – just as
they have for insurance companies for
years and are now doing for the collision
repair industry. Now more than ever,
automotive manufacturers must work to
become better economic and environmental partners.
Until professional automotive recyclers
have access to OEM “Build Sheet” data,
the market for OEM recycled parts will
be unfairly limited. Historically only
insurance companies have had access to
this data but now a number of estimating companies are incorporating this
“Build Sheet” data into vehicle identification technology which is available to
collision repair shops for the first time.
Regrettably, most auto manufacturers
have fire walls protecting this data so
that it can’t be integrated into profes74 Automotive Recycling | March-April 2014
As the use of technology advances
it is not surprising that databases
are connecting to create pathways
to parts information – pathways
to which professional automotive
recyclers must have access.
sional automotive recyclers’ inventory
management systems.
Data such as the original equipment
guides (OEG) lists and regular production option (RPO) codes are important
to have so that the information can be
integrated into specific industry software
programs. Each vehicle make and model
can have more than one vehicle specific
OEG list. As a result, there are a huge
number of possible combinations and
options that professional automotive
recyclers do not know when procuring
a vehicle and this lack of information
makes inventorying the specific parts of
that vehicle more challenging.
Auto manufacturers are now also providing RPO codes to some industry sectors – again building a market with
inherent disadvantages for recycled
OEM parts. A vehicle without optional
equipment will have RPO codes that
specify important information such as
the engine type and exterior paint color.
For those vehicles with optional equipment, the RPO codes will indicate everything from exterior paint and interior
trim data, vehicle’s make, model, style,
edition, production date, vehicle’s standard equipment, factory-installed
options, along with engine and transmission details.
As the use of technology advances it is
not surprising that databases are connecting to create pathways to parts information – pathways to which professional
automotive recyclers must have access.
In many of the new VIN decoding software programs, an insurance appraiser
or collision repairer simply enters the
17-digit VIN number which then queries
the manufacturer’s vehicle RPO database, where RPO codes are identified
based on the last six digits of the VIN.
Because this VIN decoder integrates
directly a company’s estimating software,
it has the ability to tap into the backbone
of the estimating application which contains information on millions of vehicle
parts and part numbers.
The automotive supply chain market
has changed significantly. The dialogue,
the cooperation, and the access must
also transform to address the most
important factors -- the consumer's economic, environmental and safety choices. This market will provide significantly
fewer repair options for consumers if
professional automotive recyclers are
not given access to OEM parts data. ■
Automotive Recyclers Association
9113 Church Street
Manassas, VA 20110-5456 USA

March / April - Automotive Recyclers Association ARA

Transcription

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