If you thought the world of collision repair changed dramatically with the advent of advanced safety systems and repair methods over the past few years, that is nothing compared to the changes in our industry in the last six months.

Never have we seen such rapid re-invention of how we do business, serve customers and repair vehicles. Never have we had to completely re-think our entire approach. With that, we have an opportunity to re-craft how we deliver safe, high-quality, cost-effective collision repairs for consumers.

When you look at the collision repair shops around North America, you see some that are navigating the current climate and rebuilding for the future. Others are retrenching and working just to survive. Some may decide that now is the time to exit the business or sell to a consolidator. If you are considering the first two options, now is the ideal time to make the changes needed to prepare for the next decade.

The major MSOs, the regional repair networks and the independent shop owners who will succeed in the years ahead are working hard today to leverage their resources and experience to improve their businesses and embrace a new way of life.

I’ve been talking with industry leaders and thinking about how we can chart a path forward that will not only address the needs created by the current pandemic, but will provide us a roadmap long term success. There are really three critical elements on this path – process, people and profitability.

First -- the process. We’ve all learned what “no-touch” vehicle drop-off and delivery mean, how to sanitize vehicles and create safe work environments with proper PPE. This trend will only continue, and it’s up to collision repair business owners and managers to look at how to deliver services virtually and more efficiently at the facility.

Now is the time to evaluate process improvements, from the layout of the shop to the efficiency of moving vehicles through the repair process to how parts and supplies are inventoried and stored. Creating a new inventory system can help better track the parts you need specifically for each job, reducing your cycle time and ensuring you have the right parts for each repair. Revamping the flow of vehicles through the facility, incorporating a stop in the sanitization station, can reduce the amount of time team members spend moving vehicles versus prepping and repairing them. It’s also an ideal time to evaluate major equipment purchases, such as paint booths, advanced materials repair booths and clean sanding systems. All of these elements can work together to greatly improve the efficiency and throughput in the shop.

Consider whether you have the technology and tools to provide virtual estimates, manage customer communication digitally and allow some team members to work remotely yet still be effective? This technology platform is also critical when you consider advanced “smart” equipment in the shop that can communicate virtually with thousands of databases to diagnose repair needs, prescribe proper repair procedures and confirm vehicles are correctly repaired. Without robust bandwith and a modern technology infrastructure, the “smart” equipment can’t fulfill its potential.

Second are the people. Some collision repair shop owners and managers may have had to let team members go during the pandemic, and some of those employees are choosing to not return to the industry. Now is the opportunity to strengthen your core team of retained employees with training and certifications in advanced repair processes and OEM repair standards. And, it’s a great time to recruit new team members who may bring other valuable skill sets from manufacturing, technology and operations positions. Through VeriFacts Automotive, we help train and validate thousands of collision repair shop teams on their repair standards and processes. As vehicle and repair technology is changing so rapidly, these new skills will be essential going forward.

The final is profitability. With process improvement comes the potential for profitability growth. A strategic evaluation of your business – the kinds of repairs you are doing, the types of vehicles you see and the amount of insurance work versus self-pay work can all guide your future planning. Also, understanding where there are opportunities, like fleet services, electric vehicle repairs, truck and specialty repairs, can also create new profit centers.

This strategic evaluation should have an eye on the materials and labor costs, and where you can improve your profit here through efficiencies and waste reduction, more thorough estimating to capture all repair costs, and efficient staff deployment to keep team members focused on billable, productive tasks.

Our VeriFacts Automotive coaches work hand-in-hand, both virtually and in person, to help collision repair shops improve their profitability through more efficient repair methods and processes. Simple changes can deliver significant savings, so no process should be overlooked.

As we look to put 2020 behind us and begin to focus on planning for the year ahead, there has never been a more perfect time to cast a critical eye on the collision repair industry. We have an opportunity now to create a new world of collision repair, one that is more efficient, aligns the needs of the collision repair shops, insurance carriers and OEMs, and ultimately delivers a safer repair for the consumer customer.