Published on March 1, 2014
Collision Center Playbook 2014
Strategy On the following pages you will find a detailed description of a strategy or what can be a simple system designed around lean Manufacturing for the Collision Repair Center. We must look at the definition of both to better prepare our mindset as we work through the design. Lean Manufacturing Definition In light of the above areas of thought, the definition I prefer to use encompasses the fact that when deploying Lean you are in pursuit of waste elimination, cultural change to enforce an improving culture and more output and throughput with less resource. Definition I use is: A Strategy which strives to embed a culture of continuous improvement, whereby everyone seeks to identify and eliminate waste, enabling the business to deliver customer expectations at minimal cost and lead time to achieving the shortest possible cycle time by eliminating waste.
My experience when describing this new Strategy to clients, 99% of the time I get, “Are you crazy” followed by, and I quote “ THAT WONT WORK !” “You don’t understand, that’s not how we do things around here.” “THEY WONT LET US DO THAT! It’s different here” The truth is yes “They” (insurance companies) will. They want you to do it this way. You just don’t know it yet.
Customer Service Team First let’s outline the lay of the land in your front office to better understand how we will setup our new Strategy. Your front office staff Customer Service Team duties: 1 Explain your process 2 Collect admin documentation 3 Establishing communication method 4 Qualifying the severity of the repair 5 Scheduling department work load 6 Fact finding / photo check-in 7 Blueprinting Vehicle Related and UPD 8 Data entry in management system 9 Address Up-sell opportunity 10 Status update customer 11 Supplement tracking 12 Final Billing 13 Receipting AR 14 Fielding incoming calls 15 Writing Express and Light sheet metal repairs “only”
Customer Service Team As you will see we really do not need a seasoned estimator. A responsible motivated entry level computer friendly person is a great fit for this position. This is a technology driven position that comes with heavy data entry. I highly recommend a Management system “Summit Software” that allows you to use technology to automate the shared communication , status up, date tracking . I train this position with clearly outlined SOP and strategically crafted word track in place The truth in most shops I find that the estimator that have been in the body business has been programmed to the point they can never get past the “they wont let us do it that way” syndrome. Please read through you’ll find where we will repurpose the estimator and how he or she will take on a new roll . The repair plan team leader or Hub position. • Collect Admin documentation • Establishing communication method • Qualifying the severity of the repair • Data entry in management system • Address Up-sell opportunity • Status update customer •Receipting AR • Fielding incoming calls I know I am not feeling the love yet !
Customer Service Team On drop off or intake of repair work the Csr responsibility will be to do a fact finding and blue print mapping of the vehicle owner and also allows the opportunity for up sell if possible. Again this is a process that is clearly outline and scripted. Training can be a very easy task with the right person in place. Removing the estimator from heavy data entry in coming and out coming calls. This allows for this Csr to take on the roll for all communication with the customer allowing the estimator to focus on the on and done repair plan at the disassembly department for Medium and Heavy repairs. The vehicle mapping serves as a form of visual communication to your disassembly team relaying the fact finding discover surrounding the damage claim. Questions in next slide. • Fact finding / photo check-in • Blueprinting Vehicle Related and UPD • Address Up-sell opportunity
Fact Finding ,Blue Print Mapping & Visual Tools Fact finding , blueprinting and using visual controls play a huge roll in the form of communication . As you walk trough your shop the vehicles are talking to you. Mapping also plays a roll in the warm handoff from department to department. The use of visual controls also holding each person in the process accountable for their part of the business that they are responsible to perform prior to the vehicle moving to the next step in the process. Here are some examples of visual controls we will be using. Blueprinting Window Sticker Communication Flags Department QC X List Digital Scoreboard Due in Paint Calculator
Qualifying the severity of the repair Writing Express and Light sheet metal repairs “only Okay , so your thinking who is going to write estimates ? I hear you ! Your saying this guy is going to tell me that were now going to tell our customers we no longer give free estimates. Right ! No what I am going to tell you is that we are going to explain our process and ask for the sale up front. What we are going to do is Qualifying the severity of the repair , class it as one of four types of repair Express, Light sheet metal, Medium or Heavy Hit. Express and light repair can be written and scheduled into your production for repair. Medium and heavy will be schedule into your disassembly department. The key so success here is very simple when you go out to look at the vehicle. Express repair is a pre order part that can be pre painted repair scheduled for install. Done! Light Repair is a repair that can be clearly written and disassembly is not required. Parts can be pre order repair can be schedule and the repair can go into production with no supplement or delay. This is your opportunity to developed your entry level estimator. Here is a chance shake some of this bad habits you have been bitching under your breath about. By the way this new Strategy reduces supplement by 90 %, cycle time and increases technicians efficacy to new heights. So if your still on the fence shadow your estimator on a drop off or estimate and listen. Are they asking basic fact finding questions and are the writing a complete repair plan. Say Hello to your shops new mantra.
Explain your process Now for the transformation to take place we must have a new Mantra Miss Smith, let me take a moment to explain our estimating process. 75% of the vehicles that come into our facility require disassembly in order to properly identify all of the damaged parts or labor necessary to correctly repair the vehicle. Will you be leaving your vehicle with us now?
The Estimator Estimator, Insurance appraiser, Guess·ti·mator,. It all the same ! Your only paying him or her a lot of money to guess what it is going to take to repair a severely damaged vehicle. Definition - es·ti·mate 1-The act of evaluating or appraising 2-A statement of the approximate cost of work to be done, such as a car repairs. Got your Attention NOW ! Definition - guess·ti·mate 1- an estimate based on a mixture of guesswork and calculation. 2 - an estimate arrived at by guesswork
Estimator / Disassembly Team Leader Understand how we will setup our new Strategy. Allow me to give you the vision of what the disassembly team will be. Your estimator Will work with a technician that will disassembly the damage vehicle “together” in a organized fashion. Identifying the damage parts and labor necessary to repair the vehicle. As the disassembly takes place. Your team will map with a auto writer the damage parts ,organize and stow parts on a cart and bins in a way that will be easy communicate to a insurance staff member for him or her to document your repair plan. Disassembly Team Duties: 1: Understand what damage aria needs to be disassembled 2: Review damage and UPD mapping on vehicle 3: Methodically disassemble a vehicle with disassembly teammate 4: Label parts and labor of damaged aria 5: Map all damaged parts, sublet and repair items 6 :Validate parts prices and availability with parts manager 7: Bubble wrapped all good int. /ext. parts and put in the proper location 8: Stowed and organized on the parts cart all broken parts removed 9: Audit the repair plan that it has been accurately written 10: Warm hand off Repair plan to Parts Manager and Csr for communication to customer, part venders insurance co. and production schedule. 11: Flag and tag vehicle by installing visual communication tool.
Repurpose the Estimator I told you we will repurpose the estimator and become the super star they really are allow him or her to shine. We will be able to schedule into disassembly department the medium and heavy work. Giving estimator “Wink, Wink” the time to write a true one and done repair plan. We will use the mapping process to create a visual of the repair and allow this to be a audit process for the repair plan & clean the money off the table. Image real document validating the true repair ! Don’t get excited yet let me trough you the curveball. I really don’t do copy over's of the insurance estimates. Sorry. Why would you? They’re junk for the for most. What I do is give the insurance staff a true repair plan with parts invoices or parts quotes and a complete mapped vehicle and a well organized cart of damaged parts to be replaced. A repair plan a highlighter pen and ask them to do their job correctly. In a nice way. In the DRP world it is really easy, In the non DRP I have made it easy as cake. If there is any concession to the repair plan we make them in the management system. No need to lock and relock in the estimating system.
Parts Persons Role on Repair Plan Team Understand how we will setup our new Strategy. The Part’s Person plays a important role in the disassembly process and is part of the disassembly Team. Once the repair plan has been completed by the disassembly team The disassembly team will hand the parts list off to the parts person. The parts person will fax or e mail the list to the appropriate vender for part cost validation. The parts person will ask the vender to fax a invoice or quote with the proper list and cost back. Are expectation from the vender will be to have the validation of cost invoice returned with in 15 minutes. The parts person or disassembly estimator will make any necessary PPC to the repair plan . By following this process and doing the work up front there will be no need to supplement parts price changes. Parts Disassembly Team Duties: 1: Fax or e mail the parts list to the appropriate vender for part quote validation list and cost. 2: The parts person or disassembly estimator will make any necessary PPC to the repair plan. 3: Parts person will establish when all critical parts will be available for delivery 5: Set a do in production date with in production schedule. 4: Receive parts enter data into management system 5: Mirror match parts for accuracy. 6 :Manage part returns 7:Merge new parts on disassembly parts cart for production (Kit the repair) 8 : Establish just in time parts delivery. Mirror match parts for accuracy
Technician Assigned Work Load Lets try something before we go any deeper into scheduling of work load. As you may know I use the Summit Management system. Summit offers a opportunity to better understand department status, job class and filter tech assigned labor . In this example I would like you to print a list of jobs you have assigned to one of your techs and look at what he has assigned and picture in your mine what his work load would look like in your shop at this time. This is a typical example of what you may find. Is this guy really working on all these cars at one time ?
Scheduling Work Load I am not going to give the farm away at this time. But if you have not taken the time to really look at scheduling and work load. There is some techniques that we can develop to better schedule work load to your shops capacity. I would like to help you develop one that fits your shops size and model. Next slide gives you some insight on what we can do and how it maybe achieved.
Scheduling Department Work Load Now that we have segregated the job’s by class we have to types of scheduling that need to take place. 1 Scheduling into production. 2 Scheduling into disassembly prior to production. 3 Establish a manageable work load. Allow me to frame this in more detail. Each of the departments have a capacity. We need to understand what your capacity is. Once we know what the capacity is we can build the schedule. I use a car count by severity of the repair. This allow you to bring in a balance work load and a achievable goal for your team to complete in their department or flow line. I set up and use either a coaching board or a shared excel format. Typically the parts manager schedules the production work load . Parts hold the keys to critical parts. Therefore why wouldn’t the parts department be tied to scheduling.
Visual Coaching Tools For more information contact Randy Ferrese Sr Randy@bodyshopinabox.net 609 576 4244 BodyShopinabox.net Scripts and step by step guides are available for each job description
Express Repairs DISASSEMBLY IS NOT NEEDED TO WRITE THE REPAIR PLAN. Express Repairs are jobs that require bolted-on parts replacement and refinishing only. 1 Express vehicle parts must be pre-ordered . 2 Express vehicle refinishing can typically be completed prior to the vehicles arrival for repairs Express vehicles can not require any panel straightening. Express vehicles can not require any structural repair at all. Express vehicles can not require the replacement of any welded on panel(s). Express vehicles can not require any sublet work. Bumper covers Mirror covers Express vehicles Express vehicles must be able to be placed directly into the Production Line without interruption. •Damage Appraiser must be confident that they have identified 100% of the damage at the point of sale. •This requires placing the vehicle on a lift to inspect under the bumper cover area and removing splash shields etc to see “hidden” damage.
Light Repairs DISASSEMBLY IS NOT NEEDED TO WRITE THE REPAIR PLAN. Light Repair Express - are jobs that require 8 hours or less tech Labor only repair and / or refinishing only. 1 Light Repair vehicle parts must be pre-ordered . 2 Light Repair vehicle typically go right the rapid repair team or paint prep. Express vehicles will have 8 hrs of tech repair straightening and or refinish panel. Express vehicles can not require any structural repair at all. Express vehicles can not require the replacement of any welded on panel(s). Express vehicles can not require any sublet work. Average labor hrs 8 – 16 + • Light repairs must be able to be placed directly into the Production Line without interruption. •Damage Appraiser must be confident that they have identified 100% of the damage at the point of sale.
Medium Repair Medium vehicles Require full Dismantling & Blue Printing procedures in order to write a complete repair plan. 1 Medium vehicles will require limited build down and or build up. 2 Medium vehicles may require a combination of floor pulling and/or repairing of structural damage . 3 Medium vehicles may require panel straightening time. 4 Medium vehicles may require one panel replacement of welded on radiator support, tie bar, baffles, apron extension, door skin, or body panel. 5 Medium vehicles may require minor suspension parts replacement such as a lower control arm, and/or strut assembles. Average labor hrs 20 - 40 6 Medium vehicles sublet repairs must not exceed alignments, glass, or indicator lights turn off . • Parts orders should take place after complete dismantling and documented repair plan is completed. • Complete overhaul of one suspension assembly or multiple suspension areas ,multiple welded on panels, frame rails, or full aprons, replacement requires reclassification to Heavy Repair.
Heavy Repair Heavy vehicles Require full Dismantling & Blue Printing procedures in order to write a complete repair plan. 1 Heavy vehicles will require Engineering builddown and/or build up. 2 Heavy vehicles may require a combination of pulling and/or repairing of structural damage. 3 Heavy vehicles may require multiple structural welded on panels or replacement of radiator support, apron extensions, complete apron less frame rail, frame rail outer sectioning only, or body panel with one quarter panel. 4 Heavy vehicles may require multiple panel straightening time. 5 Heavy vehicles may require suspension and/or frame cradle replacement. 7 Heavy vehicles may require moderate sublet work however; the vendor must be able to complete the work with-in twenty four hours maximum in order for us to meet our cycle time goal. Average labor hrs 40 – 90 + • Parts orders should take place after complete dismantling and documented repair plan is completed. • Complete frame rail, floor section, or multiple quarter panel replacement require.
BODYSHOPINABOX.NET Vehicle Movement & Communication Standard Red Flag •Install Red Flag D/A Disassembly TCSR Yellow Flag •Install Yellow Flag I/H Insurance Hold ADVISORS Black Flag •Install Black Flag Vehicle Ready for Repair ADVISORS
BODYSHOPINABOX.NET Vehicle Mapping Process Mapping Symbols: X = Replace RI = Remove & Install R = Repair T = Re –Tape BL = Blend RG = Rope Glass UPD = Unrelated Prior Damage S = Sublet OH = Overhaul P = Polish / Buff TU = Touch Up X = Replace RG = ROPE GLASS Damage to be Repaired Use Yellow Auto Writer pen for damage to be repaired Use Pink Damage Auto Writer pens used for writing on vehicle. Pink Auto Writer pen for prior damage O = Remove & Install UPD = Unrelated Prior Damage T= Re-Tape #># = Repair S = Sublet OH = Overhaul
Randy Ferrese Training consultant and has more than 20 years of experience in the Auto body industry. For more information contact Randy Ferrese Sr Randy@bodyshopinabox.net 609 576 4244 BodyShopinabox.net
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