In the collision repair industry, there has been some confusion and misinterpretations on whose role is what, and without clarity, we are all swimming in mud. Let’s break the components down to a simple understanding.
To begin with, we have the original equipment manufacturer (OEM). This group designs and manufactures vehicles. They spend a great deal of time and money researching and developing ways to make vehicles economical yet safe under the guidelines presented by government legislation. Just the research at the beginning, before a prototype even sees an assembly line, is monumental. For example, the E63/64, or BMW 645i, was first shown to the public at the 2003 Frankfurt Auto Show. BMW invested millions in the design of this vehicle before it ever took on a physical form. The point here is that the OEM does not spend money on frivolity during production. If it is on the vehicle, it serves a purpose.
This is where our procedures begin to set a precedent for repair work. Original equipment manufacturers do not repair the vehicles; they design them, sometimes with repair in mind. The repairer is the collision repair facility and the technicians who physically repair the vehicle.
With education (licence) focused on the repair process and practical wisdom (also known as phronesis), these individuals repair vehicles. In some cases, the technician may be versed in all aspects, including frame or structural alignment, outer panel repair, and refinishing. Some technicians specialize in one area, such as refinishing. Another tech may even avoid prep and apply coatings only. The skill set of these individuals may even be used in the front office for repair planning and administration. These technicians need the cognitive ability to comprehend the procedures outlined by the engineers at the OEM level. Those millions of dollars BMW spent, a lot of that goes into engineering, which in turn is used to create procedures for repair.
So far, we have an OEM that designs, engineers and builds vehicles, but does not repair them. We have technicians who repair vehicles but do not design or engineer them. Both are educated (licences and degrees) and proficient in their field of expertise, and each is aware of the other’s challenges but is not skilled in those challenges. Yet both are expected to provide a finished product of like kind and quality at the end of their tasks. Insurers serve a critical role in the process; they mitigate risk by providing coverage (insurance). The insurer looks at data and assesses the probability of an event that would cause damage and necessitate repair.
You are sitting in the insurance provider’s office, and they ask a series of questions to compile a profile and assess whether you pose a risk of collision. From here, actuaries/underwriters will assign a premium that you pay.
An example: Edna is 58 years old and drives to bingo twice a week and sometimes to the mall. Her premiums will be lower than Bob’s, who has a propensity to speed and drives a lot in the downtown core for multiple reasons, placing him at greater risk of a collision. The business model is a gamble: The idea is that neither one will have a collision, and before they ever do, the premiums are invested for a return, ergo, how they make a profit.
Many of the skilled staff in an insurance office hold a certified insurance personnel (CIP) designation, which is challenging to achieve. With this, you have the skill set to adjust claims, investigate claims, and possibly pursue actuarial roles. If there is a claim, then their wager is called, and they must pay up. Adjusting the loss means finding a way to reduce the payout. This is when discussions arise about parts and service choices.
Still with me? So, OEM designs and manufactures vehicles but does not repair them. Technicians repair vehicles but do not engineer them, and insurers insure against collision damage but do not repair, design, or engineer vehicles. We have now established the playing field. Sometimes the lines blur among these three groups, as even a little perceived knowledge can become a dangerous weapon. Is collision repair an absolute science? No, not even close. The variables are most times insurmountable. The argument of used parts or aftermarket parts? What operations are required to complete the repair? Can I do it this way or that way? Who says what and why?
All of this is the blurred part of communicating in our industry, so let’s clarify some things here. All the parties are looking to make a profit, and that is a fair expectation. Having a proper understanding of each contributor’s role and limitations is key to good communication. Will there be grey areas? Absolutely. Can these areas be managed? Absolutely, with substantiated knowledge, phronesis and facts.
For example, if the procedures specify something, then it must be performed, and the operation must be documented and compensated. If expertise indicates there is a better way and said expertise is supported by documentation, then it needs to be performed and compensated. The biggest challenge in communicating is the misuse of perception. Perception is the means of recognition and interpretation of sensory information, generally driven by attitude, motive and interest (gain) — what we think about something.
Inference is an idea or conclusion that is drawn from evidence and logical reasoning, or what we already know. Regardless of whether you are an insurer, a shop, or a technician, when evidence supporting an operation is presented to you, you need to accept it and move on. Don’t waste time expressing what you think about something that has no merit. No one cares, especially the courts.
In my opinion — and you are entitled to my opinion — obtaining proper supporting documentation for your inference of a grey area has more merit than relying on a perception from a lesser-known source. This works for everyone involved. If the procedures or your agreement say one thing and there is nothing else to support otherwise, then the conversation is over and it’s time to move on — simple, straightforward communication, communication we can care about.
