We believe in demystifying the catalytic converter recycling industry and strive to do so by providing useful resources to prospective people looking to sell their catalytic converter, so whether you choose to work with us or not, we can at least provide you with the tools you need to make an informed decision. How Automotive … Read more
“CANI” is a phrase that I hope all my regular readers remember. It’s been over 28 years since I wrote my first article for the Recyclers Power Source magazine. The magazine went to press in 1993, and I started writing articles for the Power Source in 1994. Many years ago, I wrote an article about … Read more
To compete in today’s environment, you’re going to have to learn to do more with less. One of the most important skills you can learn is how to organize better. It’s a complex subject with 100 different opinions about how to do it best, but I will try to hit the hotspots. I encourage you … Read more
My goal for 2022 was to hit the road and participate in State, Regional, and National Conventions and Trade Shows to promote the concept of QC for Cores and Converters. What started as a simple campaign is now a traveling road show for Core related companies. It has been a pleasure to share the stage … Read more
Platinum Group Metals When you recycle your scrap catalytic converters on recovery or assay, you are selling physical metal into the market. It is no different than selling aluminum or copper, it is a commodity. Each catalytic converter contains some or all of three precious metals, called Platinum Group Metals (PGMs): Platinum, Palladium, and Rhodium. … Read more
Let’s face it your single biggest expense is cars. Your second largest expense is labor. It’s important that you have all your people on pay for performance so that you can get more performance with fewer people, and we’ve discussed this point in prior recent articles. I know it’s hard to implement, but it’s imperative … Read more
As I travel the Trade Show circuit throughout the US and Canada, recyclers say that parts sales are off the charts! While the news is very exciting, I’m also hearing that labor availability and labor costs have skyrocketed, while scrap prices have turned in the other direction. Compound the labor situation with record inflation, and … Read more
With the rising costs of fuel and wages, among other things, how do we effectively pass these costs to the customer? First, let’s look at what our true cost to deliver is. Have you thought about, or do you know, what your cost to deliver really is? To find your true cost to deliver, you … Read more
Even though I’m in my mid 70s now, I continue to work in the podcast center two days a week completing podcasts for URG’s “On the Go” as well as four other towing and recycler-related podcasts. If you are wondering what I do with the remaining three days of the week, I’m proud to say … Read more
MANASSAS, VA – The Automotive Recyclers Association (ARA) today announced that professional automotive recycler Shannon Nordstrom of Nordstrom’s Automotive, Inc. in Garretson, South Dakota has been nominated to join the Association Executive Committee as Secretary for 2022-2023. Shannon is the Vice President and General Manager of Nordstrom’s Automotive Inc. He and his wife Tamie are … Read more
I talk to a great many people who are trying to borrow money to start a business or expand their business. Most don’t have a business plan competed. If you’re going to borrow money to try to start or grow a business, you must have a business plan which includes a pro forma financial analysis … Read more
A Happy Customer is a Steady Customer We will talk about Sales, getting orders, fulfilling them, and managing the sale after the sale. So, to start off with, what drives sales? The obvious answer here is having what the customer needs. Once you have taken the order, now the real work begins, which is fulfilling … Read more
I found the phrase “It Makes No Never Mind” in an article printed in “Discover MAINE,” a monthly magazine highlighting the Midcoast Region of the state we lovingly refer to as Vacationland. While not the official state motto, Maine is called Vacationland due to its natural beauty that has lured vacationers for decades as a … Read more
EV Battery Forms and Use There are five main kinds of batteries used in electric cars: lithium-ion, lithium-iron phosphate, nickel-metal hydride, lead-acid, and ultracapacitors. Lithium-ion batteries are the most predominantly used battery in all-electric vehicles (AEV) and plug-in hybrid electric vehicles (PHEV) because of their high power-to-weight ratio, high energy efficiency, and high-temperature performance. They … Read more
My wife, Sheila and I are in our 70’s now but she doesn’t look it. I do. When I meet someone for the first time, I tell them that I served at the last supper. I usually get a laugh or two, but this week I didn’t. We have been helping a neighborhood friend to … Read more
The URG 2022 Educational Conference in New Orleans is now a part of our history as well as the history of everyone that attended. I sincerely believe this was one the best conferences ever! The conference theme, Look Forward, Honor the Past, speaks volumes regarding the need for individuals, companies, and organizations to remember what … Read more
Whenever you are wondering whether you should continue to run an advertisement or whether your last mailer was worth the cost, you need to consider customer acquisition costs. Customer acquisition cost is not hard to understand, but few businesses do the math required to evaluate their advertising efforts. I first learned about calculating customer acquisition … Read more
Our Founder Ted Eckstein knew he had something special in 1972. Ted was always an automotive enthusiast, and in the early 60’s, he started a small scrap company. One day, a friend of Ted’s told him that he could use some Starters and Generators for rebuilding purposes. That was the beginning of the transition from … Read more
We all focus on sales and growth, but with current events, inflation, and the overall cost of doing business, we have to say to ourselves, “is more really more?” Since the pandemic, if you are an auto recycler and you haven’t seen a dramatic increase in sales, you need to take a serious look at … Read more
It’s only been a few weeks at the podcast center that we had our guest, Paul D’Adamo. My phone rang when it should have been on silent, but I answered it anyway. Since the sound was on ‘speaker mode’, Chuck Camp the producer of URG “On the Go” podcast was also listening. When the person … Read more
We have all stockpiled cats in order to get a huge ‘payday’. However, we all seem to get spend-happy when that large payment arrives. A simple change is our spending mindset can change the growth trajectory of our businesses—it did for me. There are three types of things you can spend money on: Appreciable, Depreciables, … Read more
Three old men are at dinner. They have a splendid meal, but they have a problem. They have only one set of teeth. It’s going to take them a while to eat. I’ll let you imagine whether they share a little at a time or one finishes before passing the teeth on. Gross, I know. … Read more
So Much To Celebrate! Let’s all take a moment this month to celebrate these two monumental days in our industry. Earth Day and Reman Day represent the best of what our Industry stands for; companies who don’t just talk the talk of environmental action, but recyclers who by definition “walk the walk” in a profit … Read more
Following up on part 1, Responsible Sourcing is a natural conclusion to the present converter theft issues. Starting from a place that for the time being there are no national guidelines on how best to deter and prevent converter theft it is up to us as recyclers to be the front line of ensuring that … Read more
The auto recycling business is unique. What I mean by that is that I tell people that it takes a certain breed to work and remain in this industry. It takes long hours, dedication and pride in what you do. It, by no means is a simple business to run or work in. Some individuals … Read more
Come One!! Come All!! After years and decades of service to recyclers, we are proud to announce that Automotive Recyclers of Michigan will be celebrating their 50th Anniversary on May 20 – 21st, 2022. What an accomplishment! This big event will be the ARM Road Show and Business Networking Conference and will probably be the … Read more
A few years ago, I shared this overview of how exhaust systems and converter loadings are changing. Peter Duncan, General Manager of Market Research for Johnson Matthey, had shown us how the exhaust systems were changing to include more and complex catalytic converters that have different loadings and functions—some converters not even containing precious metals. … Read more
When asked about some of the fundamentals that I’ve written about — offering extended warranties, taking steps to reduce dismantling costs, or putting salespersons on commission — none has been done. My response is generally the same: You just need to be a little better to beat your competition. Even more encouraging: Once you make … Read more
Education is Not a Cost In a recent URG on the Go podcast, DJ Harrington asked me about weighing the costs of training versus the benefits. My answer was, “There are no costs to education.” Plain and simple, all education is an investment and, if monetized properly, should be considered a profit center. Without employees … Read more
Montreal, Feb 2022 – Cliff Hope, Sr. Account Manager PMR INC. It seems for quite some time now that Catalytic Converter theft has been a hot news item. For those of us in the scrap/recycling industry we are a little more likely to be keyed into these headlines. Even worse, is if someone knows you … Read more
Managing Customers and Accounts in the “New Normal.” I think everyone can agree that dealing with customers, and furthermore, extending credit to customers can be a difficult process in regards to customer management. What I mean by this is that you or your account manager have to be proficient in the art of knowing your … Read more
During the pandemic I’m sure that we all have had the unsettling thoughts of what am I going to do, will I have shops to sell to, can I buy cars for parts, will I be able to keep my employees. What I have noticed is that we got busier during the pandemic. It was … Read more
This year’s line-up of speakers at URG are the best of the best. If I was picking and choosing speakers at the URG convention, I wouldn’t miss seeing the first two keynote speakers. Eric Maddox is the Army Interrogator who found Saddam Hussein. That session would be a must see for me because Eric is … Read more
Companies of all sizes and in all industries, including automotive recycling, can benefit from knowing their customer or supplier and avoid working with untrustworthy or illegal companies. Educating yourself is important so that you can never be taken advantage of when it comes to selling scrap catalytic converters. With the increase in precious metals prices … Read more
I recently lost an accounting person who had been with me a few years. When I went to replace her, I found that I had to pay considerably more than I was paying her. These are unprecedented times we are in, and labor markets are certainly not acting normally. Most of your employees, and likely … Read more
Are Your Shelves Overflowing With Parts? Are They Overstocks or Just Old? When was the last time your Inventory Person ran a report on your loose parts inventory? This report should be run at least twice a year, and old or overstock inventory turned into cash, either for scrapping or Core Value. I just ran … Read more
Oh Yes! I will see you in New Orleans. Recently, I did a short video message for URG on the upcoming annual conference. When I said that I will see you, I will. However, I will let Rob Rainwater, Ryan Falco, Bill Stevens and Scott Robertson tell you why it will be a good one. … Read more
It is hard to imagine our lives without high tech devices. Everything we touch or drive seems to have an electronic brain. Just try to order a new vehicle during the semiconductor chip shortage. Roughly 60,000 to 70,000 unfinished vehicles are now sitting in storage lots around assembly plants waiting for chips and related components. What … Read more
Succeeding in automotive recycling involves understanding the status of many industry aspects, many of which were discussed in sessions and hallways at the 78th Annual Convention & Expo in November 2021, held in Dallas, Texas. Facility efficiency, understanding the future of artificial intelligence in insurance estimating, electric vehicle safety, end-of-life utilization of the electric battery, … Read more
Sellick Equipment Limited is happy to announce the appointment of Colin Sellick as President of the company. Colin, a third generation of the family, has a wealth of knowledge as he has worked in most areas of the company including assembly, parts, product support, sales and implementation of the EPR system. Dan Rankin, CPA, CA … Read more
Did You Think The Takata Recall Was Over? I’ve talked with Recyclers recently about whether the Takata Recall was over. With recalled auto parts, the more parts that are repaired and/or destroyed, the fewer VIN’s available for repair/destruction. While 2019 was the pinnacle for the Auto Recycling Industry for recovered airbags, we are still recovering … Read more
Auto Recyclers have two main sources of revenue: mechanical (driveline suspension), and collision parts (body parts and sheet metal). Let’s look at the challenges and opportunities of selling crash parts, and how we can improve it. There has been a-lot of talk about “selling deeper” into the car. I say “let’s try to sell better … Read more
From all the students that have received a scholarship from URG, there’s a big “THANK YOU.” Last year, URG gave away $40,000 to help our children and fellow employees go to college and vocational schools across this great country. To discover more about URG’s generosity to its own, go to their “URG On-The-Go” podcast episode … Read more
This can be a confusing business on many levels. Do you sell your converters by-the-piece for a “fair market value?” Do you sell them on assay or precious metals recovery for the “intrinsic” value less processing and refining charges? Who are you selling to exactly? What is the difference between converter recycling companies? Who is … Read more
SELLICK’S RETIRE! After 53 years at the helm of Sellick Equipment Limited, co-founders Howard and David Sellick have decided to retire. Howard and David co-founded the company with their late father Walter Sellick in 1968. Together the trio took the company from a converted Ford tractor and built the Harrow, Ontario based company into a … Read more
You should surround yourself with people who are smarter than you are. Being successful in business takes brains. No doubt that you are smarter than some of the people who work for you. However, if you are always the smartest on in the room, you need to do a better job hiring. The person in … Read more
Will Santa Bring you Quality in a Box for Christmas? We won’t know for sure whether you are on the Naughty or Nice list this year, but the reality is Quality is not a gift that comes wrapped neatly in a box under your Christmas tree. It requires a great deal of effort on your … Read more
First of all, let me say this: how you compensate your employees, whether it is salary, hourly, commission, or a combination thereof, in itself is not going to make your company run well. The unique thing about this industry is that we have many ways to do the same thing differently. There is no right … Read more
Well, it’s here already! Out with the old and in with the new, right? I knew it was coming but so many things happened in 2021 that made me think planning for the 2022 would be my biggest challenge yet. Listening to the news these days, you’ll hear about doom and gloom everywhere. Covid still … Read more
You finally made the switch from selling your converters by the piece to selling them on assay. And you have found, like most of us have, that it is totally worth it. Your average cat sale is up 5-45% depending on how you were being treated by your buyer. So, with assay, what could possibly … Read more