I've heard a frequent lament among body shop owners that they love fixing cars but can't make a decent profit in the paint shop. This industry is changing and achieving profitability is a challenge. It's not enough to be good at repairing or painting vehicles. You need to know how to run a business, too. A few management tasks include:
-
- measure performance by setting monthly, weekly and daily goals;
-
- develop standard operating procedures (SOPs);
-
- coordinate all departments;
-
- manage parts; and
-
- negotiate with customers, suppliers and third-party payers, such as insurance companies.
Owners and managers also must plan for growth, marketing, recruitment and training. The skill sets needed to operate a body shop go beyond just repairing a vehicle.
The paint department isn't any different from the other parts of the shop when it comes to maintaining a decent profit – although some would argue more can go wrong quickly. Paint shops must be monitored and managed carefully.
There are six stages a vehicle goes through in the refinish department: communication/collaboration, preparation, examination, implementation, inspection and delivery. At each stage there are small steps that add up to larger profits.
Listening and communicating are among the manager's most important skills. By listening to a staff's needs and concerns, a manager can help coordinate a speedy repair of each vehicle as it passes through the shop. By listening to and communicating with staff, a manager helps create a collaborative environment. Employees who feel they have input in their organization are more satisfied and productive workers.
Another good practice is writing things – such as vital information, paint code and location of required repair or replacement parts – on the vehicle (Fig. 2). Different colored markers can be used to indicate different processes so the techs working on the car and supervisor can see quickly that the process is being done correctly. As a part is replaced, the old, marked part is removed so it can be noted that that portion of the job is complete. As a part is prepared and its markings removed, the lead painter can see the progress on each vehicle as he prepares to paint it.
Adapting or streamlining practices other businesses have used can help you succeed. For example, Henry Ford often is given credit for inventing the assembly line. He didn't invent it, but he took the assembly line idea and made it practical and profitable. His assembly line reduced the Model A's cost by 200 percent in three years through efficiency. So take good ideas, make them better and make more profit.
The restaurant industry must be extremely efficient to be profitable. The term mise en place means all ingredients should be in place and any unused portion put away. As the chef receives an order, everything will be where it should be, and the meal can be made efficiently.
Now the implementation can begin. At this point, among collision repair professionals, some surface prep techniques and recent changes are controversial. For example, not all technicians agree on the value of changes such as fine or painter's dual action (DA) sanders, guide coat use, hand vs. power (DA) blocking, and wet vs. dry sanding. Other crucial steps for quality surface preparation – such as washing and cleaning, open bare metal time and bare metal treatment – might not be getting the attention they should.
Because sanding is such a large part of labor cost and prep sanding is such a large part of all sanding, the more efficient a shop becomes will influence its profits.
DAs have changed during the past few years. Originally, DAs had aggressive random orbital sanding patterns of 3/16 of an inch, specifically designed to remove paint coatings with course grit sandpaper (P36) and featheredge with the finest grit paper (P350). They were designed to be used at a 10-degree angle, which, because the entire sanding disk didn't hit the surface, made the tool aggressive. Older tools sold with long handles made them even more aggressive because the technician pressed down while tilting the pad even more than 10 degrees. Because the tool was used in this manner, it gained a reputation of not making the surface flat and straight enough for finish work. The first innovation was the development of a palm DA without the handle, which forced the operator to hold the tool flatter, making the sanded surface flatter and smoother.
There are many small details that shouldn't be forgotten or overlooked to achieve significant decreases in prep time. By honing in on these details, higher profit margins can be achieved, even in the paint department.