The Gap
"The Gap" has been one of those industry indeterminates for as long as I can remember. Where does your body work end? Where does your paint work begin? If those two points are different, you have a "gap." Oh, the work always gets done — we know how to do that. The question is — by whom — and how do we get properly compensated for it?
Back in the days when most work was done by combination technicians, the same person did all the work. The above questions were fairly irrelevant, except for a materials calculation. Labor charged as refinish labor also calculates paint and material charges. Labor defined as body labor does not.
With labor specialties being prevalent today, this is a bigger issue. Individual or team flat rate compensation depends on an accurate division of flagged hours. In addition to proper paint material calculations, "the gap" now affects personal incomes. It has grown more important each year and the industry has finally come together with some definitions.
According to the procedure pages for all three information providers, their refinish labor amounts are defined as beginning with a new, undamaged panel. Being a consistent starting point, this makes sense. The problem comes up when a panel is repaired. Straightening, filling and shaping are all obviously body work. Is that the end of it? Who does the feathering, priming and blocking needed to bring a repaired panel surface to a new, undamaged panel condition?
Visiting several different shops over the past few weeks, I observed body technicians releasing their repair work to the paint department finished to #80 grit, #120 grit, #150 grit, #180 grit and #320 grit. Each shop was consistent, but different. Although each shop can design their workflow differently, it doesn't help define when body work ends. The "gap" issue remains.
Over the last few years, the Estimating Committee of the Collision Industry Conference (CIC) has developed a definition of this gap. CIC is an open meeting and welcomes all people from any segment of the collision repair industry to discuss issues. With input from attendees across several years of meetings, a consensus has been developed to define the gap.
Here is the exact wording: Feather/Prime/Block — Collision Industry Conference, April 2006 — The repair process associated with damaged painted body panels typically involves multiple operations; body repair, feather, prime, block and refinish. The body repair process includes metal finishing and/or the use of body fillers to return the body panel to its undamaged contour. The repaired area is finished to 150 grit and free of surface imperfections. Feather, prime and block are not-included refinish operations that complete the process from 150 grit to the condition of a new undamaged panel and is outlined and documented in printed and/or electronic time guides. The body paint labor and materials necessary to prepare the repaired area from 150 grit to the condition of a new undamaged part is a valid and required step in the process. The labor and material allowance for these operations require an on-the-spot evaluation of the specific vehicle and damage.
With a definition that has general industry support from a variety of industry segments, you can now apply this to the way you do business.
Note that this does not dictate, or even recommend, where you end your body work or start your refinish work. That is still your decision. The industry consensus defines the end of body work at #150 grit. This is a starting point to better compensate and allocate labor and materials. Now we can more accurately reflect repair costs.
Next month, we'll look at decisions you may want to consider in your estimating process.
"If we become increasingly humble about how little we know, we may be more eager to search." — Sir John Templeton
Bruce Burrow, AAM started writing estimates over 30 years ago, has worked for most of the information providers, and, as an independent instructor for the last 10 years, has trained estimators all across North America. He is ASE Master certified and an instructor for the Automotive Management Institute. Send questions, ideas, and comments that you would like to see addressed here to [email protected] and stay tuned.