so contest 1
TRANSCRIPT
Present Status of Imperial Honda
• Vehicle Population of Honda:4500• Dealerships :3 in Kolkata• Paint Company Working: 2K Asian PPG• Traffic in Service :400 per month• Traffic in B&P:40 per month• Manpower : Skill Level:Moderate
– Painters:2 Head Painter & 3 Helpers– Denters:5Equipments:
1.Spray Guns:Top Coat:2Primer :2
Dry Sanding Machine:2Grinder :1Paint Booth:1Compressor:1 (7.5 HP)
Where we were?
• Vehicles were not delivered in promised time even for a minor dent & paint.
• No service follow-ups to customers.• Irrational Stock Norms• No KPI Data Available for B&P Section.• High Paint to Labour Ratio, Cycle Time & Usage
of Consumables.• Low Score in Honda Audit.• Low Rank in J.D.Power.
The task before usDirect
Identify thrust areas for the B&P Division
+Identify the ideal product mix
(value proposition for the differential offerings)
+Identify loyalty building programmes which will
ensure Quality traffic inflow
Indirect
Make our Customers Brand Advocate for 2K
Provide a Quality Value Added Service
Action Plan
To understand the Bodyshop needs, areas of concern, expectations.
• Seeked Permission to conduct Bodyshop Audit to Identify Grey Areas.
– Audits Conducted:» Process Audit» Knowledge & Skill Audit» Equipment Audit» Commercial Audit» Bodyshop Gradation Audit
What we did?• Gave presentation to the Owner• We kept the Bodyshop in Observation mode & we understood
the huge potential of SMART (Small & Medium Area Repair Techniques) for incremental volume & revenue.
• We extrapolated expected sales and framed a Strategy.• Training Calender Freezed• Rationing of Paint & Consumables done for initial 3 months.• Resource Allocation & Optimization (Manpower Scheduling)• Introduced Stock & order System (both HC & SC)• Introduced Bodyshop Tracker (both HC & SC)• Loss Study (Variance Analysis only SC)• Time Study. (Idle Time & NPA)• Introduced Real Time basis KPI Charts (Only SC)• Monthly Meeting with the Owner & joint Honda Audits
Conducted with ASM of Honda .
Introduced Faster Products to improve efficiency
Steps
Body Shop TrackerBody Shop TrackerImplementedImplemented
Consistent Fast and Courteous
Method of Payment Options
Body Shop TrackerBody Shop TrackerImplementedImplemented
Consistent Fast and Courteous
Method of Payment Options
Stock & Order FormatStock & Order FormatMIS
Vehicle TrackingSystems for managing fleets
Emergency services
Stock & Order FormatStock & Order FormatMIS
Vehicle TrackingSystems for managing fleets
Emergency services
Reduced Cycle TimeReduced Cycle TimeManpower
Equipments
Reduced Cycle TimeReduced Cycle TimeManpower
EquipmentsFast Repair CellFast Repair Cell
ImplementedImplementedAll ROs to be connected
and always onlineCentral monitoring and control
Fast Repair CellFast Repair Cell ImplementedImplemented
All ROs to be connectedand always online
Central monitoring and control
CommuniquéCommuniquéHigh quality and reliable
communicationsat lowest costs
CommuniquéCommuniquéHigh quality and reliable
communicationsat lowest costs
Training CalendarTraining CalendarFreezedFreezed
Fully owned RPL networkTechnology Driven Controls
Training CalendarTraining CalendarFreezedFreezed
Fully owned RPL networkTechnology Driven Controls
Satisfied Imperial Honda
Audits Conducted
To understand the status of the BODYSHOP
Process Audit
Equipment Audit
Knowledge and Skill Audit
• Fade Out Technique – Correct Process.• Colour training to Head Paint Technicians.• Reverse Masking Techniques.• Spraying Parameters to be set.
Infrared Drying Equipment for fast repair required. Dehumidifier (Drier) not available. Improper maintenance of Paint Booth.
Quality of Final Finish to be improved. Inadequate Infrastructure : Body Aligner/Dent
Master/Drier/IR Lamp/Orbital Sanders,etc. Stock & Order format - Not maintained.
Wet Sanding of Putty & Primer. Hack Saw Blades & files used by the Dent
Beaters. Non application of Guide Coat.
Gradation of the Body Shop Audit
Initiatives Taken• Formed a Core Team for SMART Cell:-
– Surveyor 1– Fast Repair Paint Technicians 2– Denter 1(on Adhoc Basis)Service Advisors Training :
All the service advisors training were imparted training on Basics of Painting & 2K process.
• Training being imparted to stores personnel & fast Repair Zone Coordinator - Mr.Balmiki on 2K painting process.
• Taught Paint Technicians various Control Measures.• Taught the basics of SMART to the core team.• Arranged for dry sanding of primer training by 3M.• Product Stewardship Training – Safety • Our team Camped there for 5 days to perform similar roles and
guided them throughout the Process till they became confident of doing it themselves.
Post Implementation of Body Shop Improvement PlanResults
Quality AuditQuality Audit
Commercial AuditCommercial Audit
Target CustomerTarget Customer
Insurance Companies
Fleet or Leasing
CompaniesB & P Repair
Customer Types
Vehicle Owner/Private Customer
New Car Scratch Repair in
Short Turnaround
Time
Original EstimateOriginal Estimate
Labour Estimate
Labour Estimate
Paint Estimate
Paint Estimate
PrepareLetter
PrepareLetter
Job File Job File FolderFolder
Other Document
Other Document
Picture
Provide The Invoice
Provide The Invoice
• Convincing TGT Customers • Same Day Delivery• Discount on Paint Cost• No Documentation• Free Polishing Coupons• Payment term – Cash• Doorstep Delivery• Linkage Schemes from Ganges Ford on Washing
• Convincing TGT Customers • Same Day Delivery• Discount on Paint Cost• No Documentation• Free Polishing Coupons• Payment term – Cash• Doorstep Delivery• Linkage Schemes from Ganges Ford on Washing
Telecalling for Scratch RepairTelecalling for Scratch Repair
FRC is a Concept of doing up the Minor B&P damages n Service Vehicles along with its Periodic Maintenance Service, backed by the latest Technology and Process.
• Faster repairs compared to conventional techniques.
• Same day repair
• Low consumable and labour costs.
• Accurate and Quality work finish.
• High turnover and profit.
SMART - Fast Repair Cell BENIFITs
WHAT IS SMART?Small & Medium Area Repair Technique
SMART Training Input SMART Training Input ResultsResults
Customers also prefer FRC for Quick, Efficient & Relatively Inexpensive solution to keep his car spunky.
• SMART repair provides a balance between high revenue medium/large repairs and quick turnover of smaller repairs. This in turn create an ideal scenario for the bottom-line.
Customers also prefer FRC for Quick, Efficient & Relatively Inexpensive solution to keep his car spunky.
• SMART repair provides a balance between high revenue medium/large repairs and quick turnover of smaller repairs. This in turn create an ideal scenario for the bottom-line.
Scope of SMART RepairScope of SMART Repair
Understanding of Minor repair concepts.Understanding of Minor repair Cost Estimation.Identify & Categories Different repair types.Make sound Product Choices to deliver vehicle in time.Learn Techniques that allow high quality minor repair in time.
Damage must be within 10 cmComplete Repair area is not more Than A4 size paperRepair should be completed Within 90 minsCost of repair should not be More than Rs.7000/-
Minor body Repairs
Tinkering Spot Repair and Painting
( Supported by latest Dent Pulling Equipments)
( Supported by ICI Paints)
Reception
Damage Inspection/Estimation
Part Disassembly Frame Repair
Paint Mixing
Panel Repair
Surfacer
Final Painting Drying
Polishing
Reassembly
Final Inspection
Washing
Delivery
Putty shaping
Masking
B&P Shop FlowB&P Shop Flow
Reception and
Estimation
Waiting for Service
Conduct B & P Repair
Final Inspection
Heavy Damage Parking
Damage InspectionWashing
Space
Smooth OperationSmooth Operation
Waiting for
Delivery
Customer arrival/Estimation
Waiting for customer/ Insurance approval
Inspection by Insurance company
Appraisal Paint Scheduling
Appointment in B&P ShopAppointment in B&P Shop
Parts availability
Production L/T
Technician availability
Major process of appointment in B&P Shop is to :
‘’ Manage the B&P repair units after estimation approval’’
An incoming customer survey was conducted on all the service vehicles for minor dents or kissing scratches
Reception and Damage Reception and Damage InspectionInspection
Provide estimation Based on Honda Standard
Remove customer Doubt of “tricky repair”
On be-half of customerNegotiate with the Insurance company
Remove customer image of “hard to
repair”
Offer free estimationand follow up
Maintain communicationand updated database
During Reception Merit
Offer courtesy carIncrease customer
satisfaction
Incoming Customer survey Results Showed that………
Days Day1 Day Day3 Day4 Day5
Day6
Total No of Service veh
50 43 36 45 44 43
No of Damages
35 37 30 34 33 36
• Total no of Vehicles for service – 261
• Total no of minor damages noticed – 205
The Incoming Customer survey revealed that…….• About 80% of service vehicles comes with minor dents or
kissing scratches!
• No Body is bothered on small repairs and concentrate only on large accidental repair.
• A massive 90% market potential was Found left untapped.
• Customers perceive High Cost & duration of Repair.
• Insurance Claim Hassels
• No Claim Bonus
• Compulsory Excess
Task at hand• All customers must be Educated to do up
minor repairs and Keep the Car in its Pristine Condition.
• Fast and Quality Repair Job and Ensure same day delivery.
• Offer Affordable Prices to the Customer.
• Develop an alternative method for Quick repairs.
• Still make it profitable also.
Process Audit – ObservationsNon Recommendations :
• Hack saw blades & files used by the dent beaters.
• Wet sanding of Bare Metal.• Wet sanding of Polyester Putty.• Usage of non recommended Hand Blocs• Usage of N.C Putty over Polyester Putty.• 1K Acrylic filler used with N.C Thinner• No Application of guide coat
Contd.
EstimationEstimation
Quarter Panel Replacement
Labor Cost : Labor Cost : Total time valueTotal time value x Labor x Labor
raterate
Paint type : 2P (2 Coat Pearl)
Extra : Body sealant and
rustproof wax
Observations
• Improper Baking Time given.
• Proper Fade out process not followed• Anti static cleaner / Flexible additives not used during
Plastic Painting.• Sanding of Putty / Primer done near the paint booth.• Mixing scales not being used.• SAFETY GADGETS –
GOGGLES,MASKS,UNIFORM,SHOES,NITRILE
GLOVES not used.
Paint Cost : Paint Cost : ((Total time valueTotal time value
x x Labor rateLabor rate) + ) + Material CostMaterial Cost
EstimationEstimation
EstimationEstimation
Overall Estimation Process (Conduct by B&P Shop Estimator/Surveyor)
Verifying vehicle details
Conduct Paint Audit at
Inspection bay
Preparing Estimate
Assessing Damage
Taking Photograph
Determining repair method
Calculate total repair cost
Estimate sheet
CorrectionCheck the items
on estimation sheet
All customers were educated to do up minor repairs and keep their car in pristine condition.
Customers were also made aware of the fast and low cost repair procedure for minor damages.
- The General service advisors educated the customers on this when they arrived for periodic maintenance of their
vehicles.
2K Team organized specific Training Programs for Service Advisors
All customers were educated to do up minor repairs and keep their car in pristine condition.
Customers were also made aware of the fast and low cost repair procedure for minor damages.
- The General service advisors educated the customers on this when they arrived for periodic maintenance of their
vehicles.
2K Team organized specific Training Programs for Service Advisors
CustomerCustomerEducationEducation
Affordable Affordable PricePrice
Fast and Fast and Quality JobQuality Job
Higher Higher Revenue and Revenue and ProfitProfit
Initiatives undertaken at Ganges Ford
CustomerCustomerEducationEducation
Affordable Affordable PricePrice
Fast and Fast and Quality JobQuality Job
Higher Higher Revenue and Revenue and ProfitProfit
Faster repairs made possible
• Using the spot repair concept normally the work was completed in 60% less time than by the conventional method!
• Vehicles could be delivered on the same day
• In the case of insurance claims it takes more than 3 days!
2K Team carried out rigorous Training and rendered on job technical support
60% less
CustomerCustomerEducationEducation
Affordable Affordable PricePrice
Fast and Fast and Quality JobQuality Job
Higher Higher Revenue and Revenue and ProfitProfit
Drastic Reduction in the input Paint Cost
0.310.27
0.290.3
0.27
0.31
0.29
0.32
0.490.59
0.6
0.48
0.5
0.31
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7C
on
su
ma
ble
/Sp
ot
rati
o
Effect of Modified Paint Process Implementation by ICI
The consumables cost to spot labour ratio is decreased by 54% after Implementation.
BEFORE
AFTER
Conventional method- Painting the entire door
Flow chart (Activities) Cost Time
1. Paint stripping 60/- 15 m
2. Removal of door pad 40/- 10 m
3. Tinkering process (Hammer and set) 120/- 30 m
4. Applying Body filler (50g) 40/- 5 m
5. Dry sanding process 65/- 15 m
6. Surface preparation (putty 75g, primer 60 ml ) 135/- 120 m
7. Spray painting and drying process ( 75 ml) 165/- 50 m
Total 625 4 Hrs
• A Comparison is made for a dent (4’’*4’’) on the ft door with conventional and spot painting methods
Spot Repairing Method- Repairing only the spot
Flow chart (Activities) Cost Time
1. Paint stripping and dry sanding process 30 15 m
2. Dent removal process (with dent pulling machine)
40 10 m
3. Surface preparation (putty 30g, primer 25 ml )
75 90 m
4. Spot painting and drying process (50ml) 110 50 m
Total 255 2hrs 45 mins
60% of cost and 38% of time is saved by the process without considering insurance time !
CustomerCustomerEducationEducation
Affordable Affordable PricePrice
Fast and Fast and Quality JobQuality Job
Higher Higher Revenue and Revenue and ProfitProfit
4.29
3.84
4.75.48
6.94
7.1
7.71
8.3
9.39.4
7.6
7.85
1.89
1.22
1.552.36
4.23
4.26
4.85
5.06
6.05
5.83 4.94
4.95
0
2
4
6
8
10
Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec
MonthsQRC Labour(in lacs)
Profit (in lacs)
BEFORE
AFTER
Impressive growth in Revenue and Profits
The results of rejuvenated Ganges Ford…
• The concept is now contributing to a profit of 50 to 60 thousand by its own every month !
• Customer retention and more importantly employee retention increased to the maximum.
• Quality Traffic inflow increased for B&P.
• A/c size grew by 40% in a span of One year
Retaining the Body shop without any Investment for 14 Months
• Excellent Service• Implementation of Fast Repair Cell• Successful implementation of Stock & order System• Successful implementation of Body shop Tracker• Monthly Meeting with the Owner & Quarterly meeting
with the Ford Officials for BIP which is a way of life in Ganges Ford.
• Hence BIP is a process ..it has a beginning ,a middle,but never an end,for it is a process.You improve it ,perfect it,change it,even pause it.But we can’t stop it completely.But we can win & retain a Bodyshop which becomes a special achivement for us.