Assured Performance visits Denver for clinic on ‘paradigm shift’ for collision shops
Denver—Collision repair shop owners and managers recently learned about elements and business practices that represent a “paradigm shift” in business performance beyond those of traditional body shops during a recent Assured Performance clinic at the Westin Downtown Denver.
“It’s an indoctrination to a new business model for collision repair shops,” said Scott Biggs, Assured Performance CEO, during his team’s presentation, “20/20 Vision — The Operating Model for a Certified Collision Care Provider.” The clinic focused on the intricacies of Assured Performance’s business model referred to as the Certified Collision Care Business Operating Model.
Assured Performance works with OEMs to identify, certify, and promote repair businesses that join its network through one joint effort to certify shops for numerous OEM certifications.
“When you get certified by Assured Performance, you can get certified by multiple OEMs — and you only have to meet the requirements once without having to go through multiple platforms requiring separate certifications and the resources to support them,” said Kelly Stalcup, Assured Performance’s director of OEM Relations and Strategic Accounts.
Aside from the immediate benefits of eliminating redundant costs and duplication between OEM programs that are becoming increasingly prevalent in today’s collision industry, the program has additional advantages, Biggs added.
Certifications add value to collision shops. “Consumers choose certified shops three times more often than non-certified shops,” he said. “Certified shops don’t charge their customers or insurance companies more than other shops, so when a consumer has a choice, a certified shop should be their first choice to have it repaired by properly trained technicians with the proper equipment. Consumers who want a safely repaired vehicle will choose a certified shop.”
Biggs said only one in 10 repair shops will qualify for certification, and more than 2,500 shops are participating in the OEM Certified through Assured Performance program, which has OEM partners FCA, Ford, Nissan, Infiniti, Hyundai and others. “They represent over 64 percent of vehicles in operation,” and, he added, “member shops have earned more than $20 million in rebates throughout the past 10 years.”
A collision repair shop’s asset value is greater when it’s certified, he said. “When consolidators are looking to acquire shops, they’re primarily looking for certified shops. A certified shop has already made the investment in tools and equipment, promotes their company name and has community goodwill.”
As a certified shop, the business also realizes benefits of a sense of employee pride for where they work. “It builds a culture of needing to ‘get the repair right the first time,’” Biggs said.
Shops cannot afford to have staff that is not trained to repair today’s cars because they will be responsible for the quality of workmanship of their technicians, he said. “Shops will have to make sure that techs document that they’ve followed repair procedures to mitigate liability concerns, so it’s very important to have systems in place to ensure those procedures are followed. Systems should manage the people, and management should manage the systems.
“A process-driven collision care provider, which is certified, gives shops a new way forward that’s much better than the DRP model that’s been followed for years. It’s good for everyone — from insurers, technicians and consumers to OEMs and dealers.”