Ask a group of collision repair centre owners what the goal of their business is, and the majority are likely to say, it’s to repair accident damaged vehicles.
Although that is certainly one of the goals, Greg Tunks, PPG MVP Business Solutions Manager ANZ, argues there is a higher purpose that is essential for the long-term success of the business.
“While repairing vehicles is the function of the business, the ultimate goal of a collision repair business – and any business, for that matter – is to make a profit. Without making a reasonable profit, it’s very difficult to pay staff what they are worth or to make the necessary investments in new facilities, equipment and technology. What’s more, as an owner who is investing and taking the risk of operating a business, you should also expect to reap a reasonable reward. I don’t think owners should be uncomfortable around talking about the need to make a profit. In fact, consistently doing so keeps the doors open and allows you to continue doing what the business is designed for. The question is, how do we ensure the business generates a consistent level of profit? I believe it’s by embracing change and taking advantage of the opportunities that are available to you, particularly in terms of technology, products and processes.”
When PPG’s MVP Business Solutions program was launched locally around 25 years ago, Tunks says the typical collision centre owner was a tradesperson who had transitioned from the workshop floor. Although they generally had good trade skills, their business skills often varied significantly. Today’s collision centre owners are typically a little more business savvy and this helps them recognised opportunities to enhance their business performance, according to Tunks.
“In the early days, the MVP Business Solution team spent a lot of time in coaching owners in business skills such as monitoring the financial numbers to keep it on track to ensure goals and targets are met. Later on, it transitioned to helping repairers understand modern business concepts, such as ‘lean methodology’ and ‘5S principles’, in order to remove waste from the process so you can be more productive and efficient. All this is still relevant today but there is another key factor that is helping to drive improvements in business performance – technology.”
“Two key examples of that are the PPG LINQ suite of digital technologies, including the DIGIMATCH™ spectro, the VisualizID™ 3D colour visualisation software and MOONWALK® automated dispensing system. On top of that, there are new PPG product technologies that you can begin taking advantage of with no extra investment required. I am talking about the new low energy cure solutions – LVP-565 Air-Dry Primer, LVC-177 Rapid Performance Clearcoat and LVC-131 UHS Clearcoat. Although they were originally developed to combat rapidly rising energy costs, they actually come with the bonus of extra speed and efficiency.”
“How do they do that? If you think of the spray booth (s) as a funnel for the business – in a traditional refinish process, all the jobs need to pass through the funnel. Apart from reducing energy costs and lowering the business’s carbon footprint, the key advantage of these PPG low energy cure solutions is to free up the flow of jobs squeezing into the funnel and make more space so it’s possible to have more booth cycles in a given time. For example, LVP-565 Air-Dry Primer air dries in just 30 minutes @ 20°C. It’s also really quick to apply with a single visit application mode where absolutely no flash-off is required. Best of all, by applying it in a suitable prep bay, it doesn’t impact on the booth cycle at all. Then there are the next generation clearcoats which also offer the ability to reduce pressure on the spray booth funnel. For a start, LVC-177 offers an air-drying mode where it’s dust free and ready to handle in just 20 minutes @ 20°C. As well as that, both clearcoats can operate in short bake modes that shortens the booth cycle.
It will also save money on electricity and gas charges but for many collision centres, reducing the business’s carbon footprint is less interesting than increasing profitability. However, repairers are quickly realising is that these PPG low energy cure solutions are a real win / win because they offer the ability to take the pressure off the booth, speed up workshop processes and reducing greenhouse emissions, while at the same time boosting profits. Some people will say that you can’t have speed and quality together – well, in this case you can and that is a big plus with embracing technology. Some repairers are happy to simply run with these new technologies while others are keen to engage with the MVP Business Solutions team to work with them, one-on-one to refine different aspects of their workshop processes. Either way, the result can be dramatic. When you monitor the results before and after, it’s not uncommon to see a five to 10 per cent increase in production – that is huge in the big scheme of things. In some instances, a shop might see a 20 to 30 per cent increase in bottom line profitability by changing to a process-oriented system.”
“The beauty of choosing PPG is that you have complete choice in how you choose to play it for your business. You can simply decide to embrace the latest technology and enjoy the advantage. Alternatively, as part of the PPG support package, you can get assistance from the MVP Business Solutions team to streamline your products and processes. Best of all, you can choose the level of support from the MVP Business Solutions team – from a business health check to a full-on one-on-one support program, it’s up to you. At the end of the day, the objective of every business is to make money and that means technology, products and processes to cycle production through as efficiently as possible.”
PPG’s MVP Business Solutions program is available as part of PPG’s comprehensive support package to help customers improve performance across the full spectrum of business activities, to enhance profitability.
Enquire at mvp.anz@ppg.com or contact your PPG Representative or PPG’s Customer Service Hotline 13 24 24 (Aust) or 0800 320 320 (NZ).