How To Find Us Automotive Service Association Houston Chapter PO Box 925007 Houston, TX 77292-5007 Need info about ASA? Call one of the board members on page 3 or contact Nancy Adkins, ASA Administrator [email protected]Fax: 713-862-7654 Volume 31 No. 3 March 2016 ON THE INSIDE Page 3 President’s Corner Officers and Board February Meeting Recap Page 4 Joe Blow’s Garage Page 5 Upcoming Training February Raffle Winners Page 6 ASA Associate Members Page 7 The Future Is Bringing Change to Our Business Dinner: 6:30 p.m. Meeting: 7:00 p.m. $10 member $15 non-member Monthly Meeting Monthly Meeting Monthly Meeting Tuesday, March 8, 2016 A Publication of the Automotive Service Association – Houston, Texas www.asahoustontexas.com ‘EDUCATE, OFFER & ASK” ‘EDUCATE, OFFER & ASK” ‘EDUCATE, OFFER & ASK” Fratelli's Ristorante 1330 Wirt Road • Houston, TX 77055 Presented by Konrad DeLong & Dan Butler Do you ask for what you want? Do you ask for what is needed? Do we take responsibility to care for our customers' cars like they are a family member? Why not? When you follow the circle of retention, you have earned the right to treat customers like family. Our presentation will present the circle of retention, what parts can be expected to fail over time, and why we should serve our customers like family.
Transcript
How To Find Us
Automotive Service AssociationHouston ChapterPO Box 925007
Houston, TX 77292-5007
Need info about ASA?Call one of the board members on page 3
Board MembersJohn Ferrata, NLine AutomotiveRobert Gruener, Autotechtronics By RobertCyndi Herzing, Accurate Auto CenterChris Newhouse, Ray's Auto ElectricMario Rodriquez, Mario's AutomotiveKevin Spencer, A&B Auto Electric, Inc.Chuck Stasny, Houston AAMCO Car CareRay White, S & S Auto Service
PRESIDENT'S CORNER
A VISIT TO SAN JACINTO COLLEGERECAP OF FEBRUARY ASA MEETING
March 2016
hank you to the member shops who participated in Car Pros for Kids! A Tcommunity spirit seems to be a common thread in successful small service businesses. I wonder what the list would look like if we
compiled all the “Good Deeds” done by our members each year. I doubt that list will happen because many of us feel that somehow it would lessen the charitable spirit of the act or be considered bragging if we talked about the random acts of kindness we do through our businesses or personally. I do think that the underlying sense of gratitude for our success and responsibility to our community is one of the things that draws us together.
The next few months promise to be very interesting for ASA Houston! March's meeting will be sponsored by BG Products and they always bring a great topic and good speaker. That will be followed by M&D Distributing in April and Chastang Ford in May. In the past both have brought valuable information to the members.
In May the State Association is planning a training class in Houston. It will be to first joint venture with the State in many years. As of this writing (and subject to change) the topic will be system communications and U-Codes. We all need more help with that!
That will be followed in October by another big event in town as we work with ASA National to put on a vehicle safety inspection meeting. This will be their third annual meeting to focus attention on the need for vehicle safety inspections. The trend lately is for states across the country to cut back or eliminate these inspections. ASA considers that to be a dangerous path and is drawing attention to the need for periodic inspections through these sessions.
In May our Chapter will have to begin the process of picking the board for the next year. If you are interested in helping ASA Houston to grow and better serve its members please let us know. If you are not sure if you can be of service I suggest you attend one of our monthly board meetings to see how things work. It is not nearly as intimidating as you might think. We meet the first Tuesday of each month at the I-HOP at the corner of I-10 and Washington Ave. This month, March, we will not have a board meeting as many of our members are working at the polls on Election Day. Another example of our member's involvement in the community.
Your Editor and Friend,John Miller, Freedom Automotive / ASA Houston Chapter President
ast month's ASA meeting was held at the San LJacinto College in Deer Park, home to the largest, and most modern automotive school in Texas. Mark
Deschner, an instructor who has been with San Jacinto since the new facility was opened, was this month's presenter and tour guide.
Not only does this modern facility offer internship programs to 6 manufacturers, including Chrysler, Ford, and BMW, they also have a training program designed for
independent repair shops too. Combining both programs, the student enrollment can exceed 500 students who are working on their two year degree with nearly 50% participating in the FAST program. By the way, FAST is an acronym for Future Automotive Service Technicians.
The FAST students are available to independent shops. The cost to complete the two year program approaches $5000 but students have access to many grants and scholarships. Mark said a large portion of students take advantage of
Continued on page 4
March 2014ASA Houston - Shop Talk
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March 2016
those programs. Internships are encouraged whereby students can go to class during the day or evenings and still earn a living while gaining valuable experience. Mark described how an ASA member might volunteer for the advisory board which provides insight and access to curriculum, facility and students. This could be an excellent opportunity to grab a bright young student looking for an automotive career.
Mark preceded our tour with a slide show illustrating the latest equipment technology and the very well planned facility which should be very conducive to learning in a shop type atmosphere. Students follow NATEF guided instruction which include hands-on as well as class room training using some of the latest teachings aids.
Special thanks to Mark and San Jacinto for hosting the event and to National Transmission for sponsoring the event and feeding all those hungry members.
A VISIT TO SAN JACINTO COLLEGE Continued from page 3
JOE BLOW'S GARAGE, AND DAY CARE, AND SAVINGS AND LOAN AND SOMETIMES RECOVERY PROGRAM
“Hey Boss, I need to borrow 20 bucks till payday.”
“Hey Boss, my wife is at work and I need to pick the sick kid up from day
care.”
“Hey Boss, the kid broke his arm and I need to borrow a $1000 for the
deductible.”
“Hey Boss, my sponsor said I need to make 90 meeting in 90 days so I need to leave a half hour early every day.”
“Hey Boss, why does he get all the gravy jobs and I get all the crap.”
“Hey Boss” “Hey Boss”“Hey Boss”
If you have been in business any length of time I am sure that you have heard each one of these
comments, at least once and probably many times. One of the real two sided features of owning a small business is that you become close to your employees, and they get to know you pretty well. Well enough that they feel it is ok to ask for such considerations; things they would never ask in a major corporation environment. Of course, most of our employees wouldn't work in a corporate climate and that may be why we like them so much.
Over the years I have become irritated by employees who couldn't manage their money, time,
relationships or personal habits and had to come to me to for advice or money. I have to remind myself that if they had the ambition, long term thinking and self-discipline I do they wouldn't be working for me; they would have their own business.
While in most cases none of these things seem to be much of a problem they can get to be a real pain in the butt and can even lead to legal problems if we are not consistent in our handling of them. Disciplining, terminating or refusing to accommodate one employee for something you allowed another to do could be considered discrimination.
Some shop owners chose to draw a very firm line. They make it policy that there are no loans, no advances on pay, that the employees work from this time to that with no exceptions and that shop has no interest or responsibility for the employee's life outside the shop business hours.
Other owners chose to fly by the seat of their pants. They take each case separately and depending on their mood that day react one way or the other.
The third group of businessmen and women have a written shop policy
manual that outlines how the company will react to each situation. Advances have a limit, loans have a procedure, extra time off has a cap and situations such as arrest, addiction and disability are addressed formally.
Any management coach will tell you that the third group has it right. Written policies and procedures will save a business a lot of grief and possibly a lot of money in a lawsuit.
I would be willing to bet that most of us use the second option. Our
strength is also our weakness. We are successful because we care about people
and that includes our employees. Our customers feel our empathy and sense our real concern to protect their investment and safety. Our employees know that to us they are more than a line item on our financial reports. That is the main reason so many of them, customers and employees, stay with us for years.
If you are interested in getting a shop policy manual and do not want to spend hours writing your own contact Earl Fallen at Lone Star Loss Control our Associate member who does this.
Houston ASA Associate MembersContact your local ASA Houston Associate members for products and services.
Ask about ASA Member only discounts available from these Associate Members.
ASA Houston - Shop Talk
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March 32016
here could be major Ttechnological changes coming to the automotive industry at
large and the aftermarket in particular, according to analysts at Capgemini. The management consulting company released its predictions for 2016, and it appears they anticipate major changes in the way OEMs manufacture vehicles, as well as how consumers purchase, insure and service their vehicles.
For the aftermarket, Capgemini's global automotive lead, Nick Gill, says that Amazon or a similar type of tech company could be a major disruptor. Leveraging real-time data analytics and connected car technology on traditional providers like Amazon could help guide parts purchasing, as well as facilitate online scheduling and the purchase of maintenance and repair services.
"Companies like Amazon or new sites that operate like Priceline for auto repair will gain steam and momentum, because they can provide painless, on-demand service," Gill says. "In this case, convenience is more important than having the lowest price possible. We'll see more aggressive and tailored packages for the customer, and more fighting for the service dollar."
According to Gill, there already are some small online startups in Europe that use the Priceline model to sell and schedule vehicle service. Customers input their vehicle make/model and service need, and the website shops for the best price for the work.
"Those types of sites are not huge yet, but they definitely co-exist along side traditional service channels in Europe," Gill says. "When it comes to the U.S. market, it will be interesting to observe how they fair."
3D PRINTED CARS
Capgemini also expects that the industry will see the first design prototype of a car that has more than 50 percent of its parts 3D printed. Local Motors has already 3D-printed several concept cars, and Gill thinks the technology will also provide a way to create on-demand replacement parts.
"Additive manufacturing has been used for many years for prototyping, and many companies are interested in creating certain types of parts that are made mostly of plastics," Gill says. "In the future, this could circumvent the issue of supply and demand, and would be a great solution for certain cases where a part is needed urgently, but it's not on hand."
3D printing could provide rapid solutions for difficult repair problems by allowing companies to print missing parts, or even design and create custom solutions on an ad hoc basis.
GOODBYE TO TRADITIONAL CAR OWNERSHIP?
Another trend that could potentially affect the way consumers service their vehicles is a shift in the ownership model. In urban markets, there has already been a push for more vehicle sharing through services
like Lyft and Uber, and on-demand vehicle rental via companies like Car2Go. Capgemini believes an auto dealer will offer to sell a car on a "driving and data" plan, discounting the base model with the purchase of a contract for driving a set number of miles and using a set amount of data per month.
"There are already experimental car ownership models," Gill says. "For example, there are models where if you live in a high-rise in New York, the building will offer a fleet of vehicles and you pay fractionally for their usage. You don't own them, but you can take them wherever you wish."
Gill expects a large dealer group to start similarly experimenting with the ownership model. "One of the larger mega dealers will likely introduce in the market a non-traditional way of owning the vehicle, where you get insurance and ownership," Gill says. "It might open up opportunities for advertising revenue, but might provide a way for owners to get out of that vehicle and into a new one faster."
That could alter the way drivers service vehicles since they might not keep them past the warranty period. Fleet-based business in some markets would overtake individual vehicle opportunities, meaning both dealerships and aftermarket service providers would be competing for contract business with the fleet owners.
THE FUTURE IS BRINGING CHANGE TO OUR BUSINESS
3D PRINTED CARS, AFTER-MARKET DISRUPTION ARE IN FUTURE, CAPGEMINI SAYS
e all know that change is part of our industry, but what are we doing to prepare for it, and how can we even do that. WThe following article brings home several areas of pending change that could have drastic effects on how we do business, or if we can even remain in business.
By badams02/05/2016
Continued on page 8
ASA Houston - Shop Talk
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March 2016
Providing all of your lubricant needs includingMobil 1, Mobil Super Synthetic, Mobil SuperMobil Special and Motorcraft. We offer thelargest selection of automotive accessoryproducts available to include ATF, antifreeze,filters and brake cleaner. We offer next daydeliveries.
Insurance providers already use telematics for usage based insurance (UBI) applications. Gill expects insurance carriers to take this even father by using real-time analytics to offer highly personalized insurance packages. Drivers could, for example, get a cheaper premium if they drive in safer neighborhoods.
"We'll see predictive modeling based on much more data," Gill says. "Contracts will be based on big data analysis, some of which you would consent to provide through a risk profile. That could provide lower costs or higher value packages from insurance companies, justified by the insights and data they gain from the vehicles."
That data could include information on where the driver is operating the vehicle, traffic patterns, and other information outside of traditional insurance data gathering.
That data gathering will also be critical for autonomous vehicle applications.
“Analytics will be very important in terms of showing where a vehicle was going and who was at fault if there is an accident," Gill says. "As more autonomous vehicles enter the market, insurance companies will need products to meet demand for that technology."
3D PRINTED CARS Continued from page 7
ASA Houston - Shop Talk
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March 2016
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