ACtion Magazine - July 2012 - (Page 6)

Outlook Andy Fiffick MACS Chairman Raise the Bar Mobile Air Conditioning Society Worldwide (MACS) Andrew Fiffick Chairman & CEO chairman-macs@macsw.org Elvis Hoffpauir President & Editor-In-Chief elvis@macsw.org Jim Taylor Editor jt@macsw.org Marion Posen VP Sales & Marketing marion@macsw.org Laina Casey Graphics & Design Manager mcasey@macsw.org Corporate Offices Mail To: P.O. Box 88, Lansdale, PA 19446 Ship To: 225 S. Broad St., Lansdale, PA 19446 Phone: (215) 631-7020 Fax: (215) 631-7017 E-mail: membership@macsw.org T his economy has driven every player into a price war. Pricing is on our minds every hour of every day. Foremost, what is wrong with the vehicle, and what kind of diagnostic time is involved to correctly find the root of a given problem? What do the parts cost us; how much should we mark them up? How long will it actually take to install the needed parts (real time, not book time), and what can go wrong to delay the installation? Will we need more diagnostic time once the initial repairs are made? Is the vehicle worth repairing; are we charging too little or too much? What should we charge? Price is involved with everything we do in our shops every day and it is the key to being able to just survive or make enough money to pay your employees and yourself a respectable wage. Price will also determine your ability to buy new equipment, hire the best people, continue training, and grow your business, and hopefully, some day retire. Talking to many of you during conventions and around the industry, it appears that our industry is afraid to make price changes and charge full fare for our services. Many of you tell me “we just can’t raise our prices” however none of you can give me solid evidence why we can’t. We want to be the good old shop down the street that always gives the customer a good deal. We would rather make less money than have the reputation of being pricey. I think many of us got into the business because we love to work on vehicles. We never intended to manage a business and never had any business training. What we fail to realize is the real cost of doing business in today’s high-tech environment and the need to incorporate the costs into our price structure. I believe the real answer to the problem is that we as an industry must change our image and demand more respect. We must start charging more for our services and paying our technicians a wage that is competitive in today’s market place. It’s no wonder we can’t attract bright and intelligent people into our industry. If we don’t make changes soon, we will all be out of business when the current generation of technicians retires. The good news is that there is training available to us. Training is available at your local community colleges and in the aftermarket, often through advertisers in this magazine. You can also check with your own accountant and see what he recommends. I do know that we must charge a shop labor rate and appropriate parts markup according to our (your) own internal costs and needs, not $2.00 less per hour than your competition. Chances are, your competitor doesn’t know what to charge for their services either. I believe that we in the industry must stop trying to beat each other up on price and start charging for our services according to what the market will bear and what our true internal costs are. We could learn a lot from car dealerships, doctors, lawyers and dentists. Additionally we must treat each other with respect and raise the bar for all! ❆ July/August 2012 Volume 12, Number 5 ACTION magazine is published eight times per year by the Mobile Air Conditioning Society (MACS) Worldwide, 225 S. Broad Street, Lansdale, PA 19446. While MACS Worldwide takes reasonable steps to make sure that the information reported in ACTION is accurate, errors can still occur. The accuracy of all information contained in ACTION should therefore be independently evaluated by the reader. Since conditions of its use are outside of the control of MACS Worldwide, MACS Worldwide assumes no liability for the use of such information or any damages incurred through its use or application. Nothing contained in such information is to be construed as contractual or provide some form of warranty on the part of MACS Worldwide. The opinions expressed in guest editorials are not necessarily endorsed by MACS Worldwide. MACS Worldwide is not responsible for any claims made in or by advertisements or press releases published in ACTION. All company names, products and product names, emblems, logos, images, trademarks, service marks and trade dress appearing in this magazine are the property of their respective owners and are protected under federal laws of the United States and international agreements. Unauthorized use is prohibited. The ACTION logo and MACS globe emblem are property of MACS Worldwide. Reproduction of contents without permission is prohibited. Send requests for permission to copy or reprint to Editor@macsw.org or to ACTION Magazine, Box 88, Lansdale, PA 19446. Non-member subscription rates: one year (seven issues) – U.S. $25; Canada/Mexico $40; international surface $45; international air $55. Send subscription mail, including address changes, to ACTION, P.O. Box 88, Lansdale, PA 19446 or editor@macsw.org. For advertising information contact Marion Posen: marion@ macsw.org or 215-631-7020 x304. H.G. Roebuck & Son, Inc. 4987 Mercantile Road Baltimore, MD 21236 Sincerely Andy Andy Fiffick chairman-macs@macsw.org • 440-667-3278 ISBN 1949-3436 2004-12 IAMA Awards Winner 6 ACTION • July/August 2012

Table of Contents for the Digital Edition of ACtion Magazine - July 2012

ACtion Magazine - July 2012
Contents
Outlook
Expansion Valve
Technically RELAY-ted
Under the Southern Cross
Leonard’s Law
Cooling Corner
Virtual View
News & Updates
KME: Where Custom Is the Norm
Five-Alarm Maintenance
ACtion Magazine Staff Win IAMC Awards
Association News
Quick Check
New Products & Services
Last Watch

ACtion Magazine - July 2012