Principles of Estimating: Mechanical Parts

Jan. 1, 2020
Quick, which of these are mechanical parts? Radiator hose, cooling fan, air cleaner, engine belt, thermostat, battery, battery cable. Similar to structural parts, if there is no difference in your sheet metal and mechanical rates, it really makes no

Quick, which of these are mechanical parts? Radiator hose, cooling fan, air cleaner, engine belt, thermostat, battery, battery cable. Similar to structural parts, if there is no difference in your sheet metal and mechanical rates, it really makes no difference how these parts are defined. If there is a difference in your rates, a mechanical designation becomes significant.

What makes a part mechanical? The information providers define their mechanical designation as a guide only.

MOTORS: When a component is identified by the letter “m,” it indicates this part is generally considered a mechanical component. CLASSIFICATION INDICATORS ARE PROVIDED FOR YOUR CONVENIENCE AND MUST ONLY BE CONSIDERED A HELPFUL GUIDE.

“Indicators are not intended to determine the degree of difficulty of component repair or replacement, the technician skill level required, labor rates charged, or to be inclusive of all types of operations. In certain applications, additional components may be considered structural or mechanical. Any additional component classification(s) should be determined after an on-the-spot evaluation of required repair procedures.

“Motor Information Systems’ position on part/component classification is not intended as a classification for rates, the purpose is to classify part/component physical properties. The labor classification is to be determined depending on the repair process.”

MITCHELL: “The labor times shown in the Guide fall into various categories (for example: body, frame, mechanical) as determined by the repair facility’s operating procedures. As a guide, components for which R&I and R&R is commonly considered to be a mechanical operation when performed in a collision repair environment are designated with the letter ‘m’ in the text. These designations are only a guide. They are not necessarily all inclusive, nor do they suggest the application of a labor rate.”

ADP: Doesn’t define it, but does pre-store some parts with a mechanical rate designation.

How do the information providers determine which parts to designate mechanical? Each has its own list, created according to their own interpretation and experience. Using this same list across all vehicles helps to keep their estimating systems consistent. However, they don’t necessarily all agree. One may designate a part as mechanical while another does not. Neither may be wrong, depending on your situation. Each part listed at the top of this column is designated differently among the three major information providers. Here are a few more: engine mount, exhaust pipe, fuel tank, fuel filler neck and fuel pump.

Mitchell states that rate categories are determined by the repair facilities’ operating procedures and MOTORS says the labor classification is to be determined depending on the repair process. This says mechanical part designation depends on how you do repairs. Assuming your repair procedures are consistent, you could develop your own list of mechanical parts and apply it consistently to each repair. Develop your own list first and then compare it to your estimating system. That way, you know where to change any prestored rates that don’t agree with your operating procedures. Now, do you know how the other systems call it? Watch those “other” estimates coming in the door and see if their mechanical designations fit your list.

How can I get paid a mechanical rate? One of the usual complaints here is that payers (generally insurance companies) seem to approve any rate when the work is done by a sublet mechanical shop. However, they may not be that generous when you do the work in-house.

If the same body technician in the same stall is replacing an engine belt at the same time as all the sheet metal parts, it would be difficult to argue for a different labor rate. Replacing an exhaust pipe, using a different technician, a full-lift hoist, and some special tools, may be a good reason for a mechanical rate. Answering a few questions may help make that decision clear.

Do you have a dedicated area or department for mechanical repairs? Do you have dedicated mechanical repair technicians? Do you have the tools and equipment specifically needed for mechanical repairs? Do you have a significant investment in modern testing or diagnostic equipment and keep it updated as needed? Do you pay for “information access” and need to recover those costs? Can you demonstrate recent up-to-date training? Do your technicians have current mechanical repair certifications? Addressing these questions will go a long way to answering your need for a mechanical rate differentiation.

About the Author

Bruce Burrow

Bruce Burrow has been in the automotive repair business for more than 30 years, and he has been ASE certified since 1974, currently with ASE master certification in collision repair. He has worked as a technician, shop manager and dealership service director. Burrow was a senior trainer for one of the information providers, and he is currently a certified I-CAR instructor. In addition to running an esti-mating seminar for the Automotive Management Institute (AMi), he is a freelance consultant for the automotive repair industry.

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