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Collision Advice Estimating Best Practices
May 2015
CCIF 2016 Presented by Mike Anderson
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CCIF 2016
In order for a Business to THRIVE not just SURVIVE They will need to focus on Three Major Areas -
The Three Legged Stool!
Let’s talk about what will impact shops in each of those areas…
Sales & Marketing Production
Finance & HR
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CCIF 2016
The Three Legged Stool
Sales & Marketing
Production
Finance & HR
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CCIF 2016
Sales & Marketing…Virtual Steering I recently attended a Conference where there were several
OEMs present. They said that within two to three years vehicles would notify the OEM when a vehicle was in an
accident as well as to if it were Non Drivable ! The Scenario:…….A consumer is in an accident…
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CCIF 2016
The Future of Automotive Collision Claims
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CCIF 2016
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CCIF 2016
WHY are the OEM’s so interested in Body shops
60% of all consumers who have to return their vehicle to a body shop for a problem will sell or trade their vehicle within one year.
Of that 60%, – 63% will change vehicle brands when they sell
or trade in their vehicle.
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CCIF 2016
Sales & Marketing… Virtual Steering Virtual Steering thru the vehicle ... think OnStar on Steroids Several OEM's said they already have that built into their
vehicles but have to build their vehicle networks first... One of the major insurers was there, and laughed and said good
luck building your network and managing the claims process.. A Major European OEM said , We have been doing it for 3 years
in Europe... Some Major Insurers are already in talks with OEM's to be the "
Certified Carrier for that OEM brand..." … DRP's are NOT going away however, I do believe that we need
to set our customers up to win and this OEM Trend needs to be clearly Considered”
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CCIF 2016
Sales & Marketing…The 3 C’s
CSI
Closing Ratio
Cycle Time
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CCIF 2016
CSI – Kept Informed – Assignment Received to Estimate Upload – On Time Delivery – Vehicle Fixed Right the First Time
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CCIF 2016
Closing Ratio – Sales Scripts – Sales Training – Estimate Follow-up – Corporate Espionage
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CCIF 2016
Cycle Time
– Length of Rental Reporting – Utilizing Enterprise ARMS Report – Focus Needs to be 2 Days better than Market Avg. – It’s all about the DATA and being … Pro Active – Enterprise Forecast Report
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CCIF 2016
The Three Legged Stool
Sales & Marketing
Production Finance & HR
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CCIF 2016
Getting More Production
Labor Gross Profit – Shops will need to retain more GP to offset the cost of Training
and OEM Certification Equipment Requirements 65-70% Labor GP will be required
– This will be accomplished thru bonus based pay plans, team systems, tiered approach, labor rate increases, etc.
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CCIF 2016
Getting More Production Thru Repair vs. Replace… Repair vs. Replace – Opportunities Front and Rear Bumpers & Headlights Nitrogen Welders, Hot Staplers, etc. More training clinics needed…specific roles in shops.
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CCIF 2016
Production Aluminum Help your shops make educated decisions… What OEM certifications to strive for… How many of a specific type of vehicle are in those Market Areas ?
‒ Demographic Studies: i.e. G-MAPS ‒ At a Minimum Shops will need Repair Equipment for straightening
Steel manufacturers are not going to sit around and lose market share… Shops need to stay Educated in Real Time! As a Jobber, EDUCATE YOUR CUSTOMERS Be a CONDUIT of Information!
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CCIF 2016
New Materials - Aluminum
3-14 http://www.drivealuminum.org/
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CCIF 2016
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CCIF 2016
International Magnesium
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CCIF 2016
The Three Legged Stool
Sales & Marketing
Production Finance & HR
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CCIF 2016
Finance & HR
Data is and WILL remain key! Shops need to be on Accrual Accounting,
NOT Cash Shops need to know how to manage cash
flow and determine ROI on investments such as equipment Parts GP will decline or even disappear
– GM no list price will be of interest to watch. If this disappears or shrinks (i.e. price matching) then the GP will need to be made up thru labor GP capturing more not included operations
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CCIF 2016
Finance & HR Shops will need to get people from ZERO to HERO in a shorter
amount of time Training matrix will be important After-hours training clinics The jobber or equipment company will be needed GREATLY!
– Practice during practice and play during the GAME!
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CCIF 2016
Recent Visit with a Major Insurer can
Speed
Accuracy Service
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CCIF 2016
Service Extraordinary Customer Service – Kept Informed
– Updating customers – phone updates, text updates, email updates
– 63% preferred text updates but that is demographic driven Using Technology to communicate Greeting the Customer Delivering the Vehicle How about After Hours Emergency Answering machine “Good Nuff” is not acceptable!!! Uniforms, Office appearance IT is CRITICAL
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CCIF 2016
Speed
LOR – Length of Rental 9 Days or less Goal 2 days below Market Average
Assignment Received to Estimate Upload – New KPI Heavily Weighted.. ….
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CCIF 2016
Top MSO-LOR Comparison
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CCIF 2016
Accuracy
On Time Delivery Minimal Supplements
No Comebacks
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Collision Advice Estimating Best Practices
You Don’t Know, What You Don’t Know
February 2, 2016
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CCIF 2016
Did You Know…
You need to perform a zero-point calibration on a Toyota after completing collision repairs?
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CCIF 2016
Did You Know…
You need to perform an ODS unit operation check on a Honda after completing collision repairs?
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CCIF 2016
Did You Know…
You have to perform an ODS unit operation check on a Hyundai after completing collision repairs?
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CCIF 2016
Did You Know…
You have to perform an ODS unit operation check on a Kia after completing collision repairs?
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CCIF 2016
Did You Know… You can have problems with the Mazda CX7 Blind Spot
Monitoring (BSM) control module if the rear bumper is repaired with putty applications?
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CCIF 2016
Did You Know… On the 2012 Chrysler 300, the BSM/Lane Departure sensors may
become misaligned in a collision even if the bumper fascia is not damaged?
NOTE: If the vehicle has experienced any trauma in the outboard area at each end of the rear fascia behind the rear wheel openings where the sensors are located, even if the fascia is not
damaged, the radar sensor may have become misaligned. A misaligned radar sensor will result in the BSM system not operating properly.
2012 Chrysler 300 BSM Statement Blind Spot Monitoring/Lane Departure
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CCIF 2016
Did You Know…
If alignment work is performed or there is front end damage, the 2012 BMW 328i Adaptive Cruise control will need adjustment?
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CCIF 2016
Did You Know… 2014 Jeep Grand Cherokee Blind Spot Monitor
If the vehicle has experienced any trauma in the outboard area at each end of the rear fascia
behind the rear wheel openings where the sensors are located, even if the fascia is not damaged, the
radar sensor may have become misaligned. A misaligned radar sensor will result in the BSM
system not operating properly. The blind spot sensors and control circuitry
cannot be adjusted or repaired. If a sensor is damaged or ineffective, it must be replaced
with a new unit. The sensor module software is flash programmable. The mounting
bracket for each sensor is serviced only as a unit with the rear bumper fascia.
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CCIF 2016
Did You Know… 2014 Ford Fusion Blind Spot Monitor and Cross Traffic Alert
NOTE: There should be no bumper stickers or body filler material used on the rear side bumper cover in the vicinity of
the SODL (side obstacle detection control module LH)
or SODR (side obstacle detection control module RH).
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CCIF 2016
Did You Know… 2016 Honda Pilot Blind Spot Monitor
BLIND SPOT INFORMATION (BSI) SYSTEM Models equipped with this system can be identified by
this BSI Alert indicator, located on both front doors near the outside rearview mirror.
• The system uses two radar units, one mounted on each side of the vehicle under the rear bumper.
• The system may malfunction and set DTCs because of damage, improper repairs, or excessive foreign material
on any of the following: − Rear bumper
− Outer side panels − Radar unit mounting locations
SYSTEMS THAT MAY REQUIRE DEALER ASSISTANCE WITH AIMING
Some models may be equipped with one or more of the following systems that require aiming after
collision repairs. Special tools are required to complete the aiming procedures.
Blind Spot Information (BSI) System with Cross-Traffic Alert: The BSI radar units must be re-aimed in these instances: • After replacing or removing and installing one
or both BSI radar units. • After replacing/repairing the body rear outer
side panel(s). • Stored DTCs B18B8 or B1E68 - left or right
side BSI radar unit azimuth off alignment.
If a problem occurs in the BSI system, the amber BSI indicator will light up. A warning message
may also appear
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CCIF 2016
Did You Know…
You have to research to determine what suspension bolts and components are torque to yield fasteners?
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CCIF 2016
Did You Know…
Did you know Nissan’s have single-use parts?
2008 Nissan Versa – Center Pillar Upper Garnish
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CCIF 2016
Did You Know…
How many of you know that you need a factory scan tool to resynchronize the A/C ducts on a Mercedes Benz?
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CCIF 2016
Researching OEM Position Statements / Repair Methods Several ways to research OEM position statements and repair
procedures: – Audatex TechFocus™ – CCC ONE™ Repair Method – Mitchell RepairCenter™ TechAdvisor – OEM websites
Manually Research • Go directly to the manufacturer’s
websites OEMonestop.com • Most are pay-to-use with exception of
domestic manufacturers
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CCIF 2016
ALLDATA – Repairs and Inspections After a Collision
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CCIF 2016
Ford Explorer – Repairs and Inspections
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CCIF 2016
Toyota Tundra – Repairs and Inspections
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CCIF 2016
Vehicle Estimate Lookup Screen
Select The Vehicle That You Are Going To
Review
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CCIF 2016
Service And Repair Information
Estimate Analysis Results
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CCIF 2016
Select Information
Article Is Displayed
View Full Size Images
OEM Articles
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CCIF 2016
Article Is Displayed
Materials Information
Select Information
View Full Size Images
OEM Articles
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CCIF 2016
R&I Front Door Panel
Estimate Analysis Reports
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CCIF 2016
Navigate To Procedures Not On The
Initial Estimate
OEM Articles – Direct Navigation
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CCIF 2016
OEM Articles – Direct Navigation
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CCIF 2016
ALLDATA Estimate Integration
54
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CCIF 2016
Need the Component on the Estimate
The component has to be on the estimate (even if it is included)
for any system to research it!
Insurers rate based on the number of lines on the estimate.
This is an old-school philosophy!
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CCIF 2016
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CCIF 2016
The Dash Light Myth
If there are no warning lights on the dash, does that mean that there are no problems
with the vehicle?
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CCIF 2016
The Dash Light Myth
Remember what dash lights can and cannot tell you: – Dash lights are not diagnostics – Only alert drivers to current emissions,
safety systems or maintenance intervals – May not illuminate until the vehicle is driven
a specified distance – Some self-tests need to fail multiple times before a warning
lamp or driver message is displayed – Some systems and options will be disabled due to a stored
code – Some vehicle systems retain failure records to help you
determine if a condition is accident related
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CCIF 2016
The Dash Light Myth
Here are some examples of problems that DO NOT illuminate a warning light: – Auto / Express Windows – Window Indexing – Mirror Functions – Satellite Radio Reception – Passive Entry – Hands Free Calling – Parking Assist – Object Detection – Auto A/C Blower Functions – Passenger Presence
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Pedestrian Detection Uses camera-based technology to detect and
classify pedestrians Predicts potential pedestrian impact Activates countermeasures to help
mitigate injury
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CCIF 2016
Driver State Assessment Systems (Drowsy Driver Systems) Uses camera-based technology to monitor
eye closures and head position Automatically apply stimuli commensurate
with drowsiness/distraction level using a combination of alerts:
‒ Visual ‒ Audible ‒ Haptic
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We recommend any vehicle that is in a collision – no matter how minor –
should be scanned before and after repairs.
Scan EVERY Vehicle Before and After Repairs
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CCIF 2016
Why Scan EVERY Vehicle Before Repairs? Performing a vehicle scan before repairs begin will
answer these questions: ‒ What areas need to be inspected? ‒ When (date/time/mileage/key cycles) did the fault occur?
Benefits:
‒ Know what is accident-related damage and what is not related ‒ Discover 100% of the damage before the repair process begins ‒ Improved cycle time ‒ Improved profitability ‒ Better customer and insurer relationships
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Example: Before Scan BMW E90
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Example: Before Scan Ford Fusion
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Example: Before Scan Honda Civic
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Example:
Before Scan Mercedes Benz
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Example:
Before Scan Toyota Matrix
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CCIF 2016
2007 Audi Q7 122,204 Miles No lights on dashboard Navigation unit not working. Impact to right rear of car. WITHOUT Scan Tool: ‒ Shop is a unable to handle customer’s concern on Navigation error. ‒ Vehicle would have to go to the dealer for diagnostic inspection. ‒ Dealer found navigation MMI (Multi-Media Interface) unit located in right rear of vehicle had no
communication. ‒ Dealership would have likely replaced the module for no communication error and would have no
reason to analyze freeze frame data. ‒ High probability insurance carrier pays for unknown electrical failure in control module, because of
close proximity to vehicle impact zone.
Scan results found lost communication with Navigation MMI unit. Further inspection found open TSB for sunroof leak.
WITH Scan Tool: ‒ Scan identifies the navigation faults on the first day of the repair. ‒ Scan found in the freeze frame data that navigation faults were recorded 8,954 miles and 7 months
prior to date of loss. ‒ Scan also found Audi has an open TSB for this exact problem on the Q7 model range. ‒ Savings to insurance carrier over $1500.00
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CCIF 2016
Why Scan EVERY Vehicle After Repairs? Performing a vehicle scan after repairs are performed
will answer these questions: ‒ Were any fault codes created due to the repair process? ‒ Are all systems working correctly?
Benefits: ‒ Limit comebacks ‒ Improved cycle time ‒ Improved profitability ‒ Better customer and insurer relationships
LIABILITY!
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CCIF 2016
Toyota Camry In a minor accident Replaced:
‒ Front Bumper Cover ‒ Grille ‒ Grille Emblem
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Example:
Before Scan Dodge Nitro
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Example:
After Scan Dodge Nitro
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DLC Port
The DLC port will always be located within 18” of the
ignition switch below the dash!
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CCIF 2016
Two Main Reasons to SCAN POST REPAIR Accident – Collision Avoidance Systems - Autonomous Brakes - Adaptive Cruise Control - Lane Departure Warning Systems - Adaptive Headlights Comfort Features - Blue Tooth for Phones - Air Scarf System - Heated Steering Wheels - Interior LED’s
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WHY DID THE SPACE SHUTTLE CRASH?
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SPACE SHUTTLE
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They focused on ….
SAFETY should always trump these!!!
ARE YOU CONNECTED?
What is YOUR CULTURE?
Launch date
Cycle Time
Budget Severity
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To accept personal responsibility!
What is your role?
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Questions & Answers
Thank you for your time and attention!
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You Don’t Know What You Don’t Know
For more information on Collision Advice consulting services or speaking engagements, please contact:
Mike Anderson
[email protected] Cell 301-535-3333
Tiffany Driggers
[email protected] Cell 703-898-0715
Check out Mike’s New Consulting Calendar on our website!
www.collisionadvice.com
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CCIF 2016 Enter question text... How relevant was this topic to the CCIF mandate and your business?
Mike Anderson: Collision Advice You Don’t Know, What you Don’t Know !!
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