Creating thinking and a pro-active approach are essential for dealing with one of the biggest shop bottlenecks.
One of the biggest challenges many collision centres faced during the COVID-19 era was parts shortages. Even when work volumes began to improve, supply chain disruptions impacted cycle times, length of rental and a whole host of other KPIs. It got to a point where shops were turning away work simply because there was no guarantee on timelines when it came to replacement parts deliveries. Today, as a legacy of that time, many collision centres have changed the way they approach repairs.
A different approach
Mike Cherneta, from CARSTAR MGM Group in Ontario, which operates CARSTAR Mississauga 401, CARSTAR Georgetown, CARSTAR Milton and CARSTAR Brampton, says that at his locations, “it’s how we look at parts today, that matters.”
Cherneta says that in many cases, shops need to be far more pro-active than in the past. “Pre-ordering parts and taking a good look at whether you can repair a part or not, is something we must consider today so we can avoid any delays. Backordered parts are becoming more and more of an excuse,” he states.
John Ascheman, Senior Application Engineer, 3M Automotive Aftermarket, says that today, across North America, the issue of parts shortages tends to be very market [and vehicle] specific. “I’ve heard everything from parts are back and people are not having problems to still having the same shortages we had three years ago. It is very dependent on the vehicle make and model, and the type of repair.”
That being said, Ascheman is overall, optimistic about the situation improving. “I do see that things are trending better within the industry and hopefully we can get back to pre-pandemic parts availability soon.”
Repair first
During the pandemic, as parts delays grew and collision centres looked for ways to maintain and boost profitability, the concept of a repair first strategy re-emerged, particularly as new technology and techniques such as Nitrogen-Plastic welding, enabled proper repair of plastic parts that previously, would have been consigned to the bin.
Even today, the advantages of a repair first strategy seem obvious. “You should always consider a repair first approach,” says Reg See, Regional Performance Director for Fix Network Canada work. “Faster cycle time, smaller repair area, lower severity, fewer process steps, higher Gross Profit are some of the benefits,” he explains.
See does note however, that while this strategy can be favourable, there are some things to consider. Firstly, that with late-model vehicles, there are often, fewer options for repairing versus replacing parts. With that said, See believes that collision centres should “still focus on repairing parts whenever possible and harness the power of new techniques and technologies such as nitrogen plastic welding and bonding to improve repair opportunities.” See says that coordinating with a shop’s vendor partners so that both sides are up-to-date on repair capability is essential to optimizing a repair-first strategy in today’s environment.
ADAS related parts
A particular challenge faced by many collision centres today, concerns ADAS related parts on late-model vehicles. The proliferation of these systems, not just on luxury vehicles but also mainstream ones has changed the situation regarding repairs and parts for many collision centres. In many cases it has presented challenges. “OEMs are calling out more and more replacement parts due to ADAS systems and sensors,” says Ascheman. Today the presence of ADAS related sensors or cameras can make something as simple as a bumper repair become inordinately complex. If a technician tries to repair a bumper cover, they can run into all kinds of issues, such as the impact of filler and sanding dust on sensor operation, masking, the actual way the repair is performed and even the paint used during the refinish process. In fact, the situation has become acute enough that OEMs and refinish suppliers are looking at ways in which they can facilitate more repairs versus replacing parts. “Some OEMs are looking into new technologies and the possibility of moving sensors into other locations to provide more repairability to their vehicles,” says Ascheman. “As those technologies become more popular and we find better locations for sensors, hopefully we can reduce the complexity of the repairs and provide more options for repair versus replace.”
Today however, it is paramount that OEM repair procedures are followed when it comes to ADAS related parts, since the liability risk for not performing procedures properly and potential failure of these components in future collisions is far too great.
Yet, depending on the market in which the shop operates and the type of vehicle it is fixing, it is paramount that these parts are available prior to repair. If they are not and when the shop tries to order these parts and they are on indefinite back order, “you have to work with OEMs or work with local dealers to figure out a solution for that—and on a per claim basis,” explains Mike Cherneta.