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
Over the last 20 years, I have consulted for and watched as my friends and myself sold out to the consolidators. At this year’s ARA convention in Dallas on November 12th, I spoke on “Succession, Sales and Yard Valuation.” Here’s a summary of my presentation: All of us are getting older and eventually, it will … Read more
On Friday, November 12, at the 78th Annual ARA Convention & Expo, in Dallas, TX, we assembled an expert panel to discuss what “electrification” will mean for automotive recycling. Dirk Spiers, Founder of Spiers New Technologies, and Lea Malloy, Head of EV Battery Solutions of Cox Automotive Mobility, now partners, provided an update on what … Read more
Create an area that is well lit and install some racking to stage your cores. Do You “Pull and Pack” Your Cores There is an inherent issue with packing your core box as parts are being pulled. It may not be obvious as you have probably “always done it this way,” but light-duty cores often … Read more
As many know, I am about to assume the role of President of ARA. While this is an honor, and I am truly humbled, it got me thinking about our Association and the industry, with its past, present, and the future. One thing I always keep in mind is to “always remember your roots, never … Read more
Before I die, yes, all of us will die sometime. Whether sooner or later, it’s all in God’s time. According to the aging process put into place by our Creator, my time might be closer than yours. So, please read this article as it comes from my heart. For a while now, I have been … Read more
Thinking Like The Big Boys I have had the good fortune to work for large billion dollar companies and small family-owned enterprises, including my own and RAS. One thing that sticks out to me is the need for Professionalizing people and functions. From the old days, small, family-run businesses didn’t like titles because they felt … Read more
In a recent trade publication Amber Kendrick, owner of Pete’s Auto Parts in Michigan was honored as one of the woment leaders in our industry. I was also glad to see Janice Schroder, the VP of Marketing at Car-part.com. She is a fantastic person and leader. All of us can be proud of what Janice … Read more
One of the first steps in being successful is not only knowing your numbers, but what drives them. The people that concentrate on the drivers usually stay ahead of the curve. What drives sales? The obvious answers are: inventory, purchasing, and your process. The best success is made by having the ability to identify trends. … Read more
As a road course race driver, instructor, and high-performance driving coach, I have had the opportunity to work with all types of drivers at various talent levels. Over the years, I have learned many of the same lessons from the racetrack can be applied to an automotive recycler getting the most for recycling scrap catalytic … Read more
I often hear theories about why pay for performance doesn’t work in the auto recycling business. In my 25+ years of consulting, I’ve heard more reasons than I can count. In that same 25 years, I can honestly say that I haven’t seen any yard do it that didn’t get large increases in both sales … Read more
For many years, I have attended the URG Annual Conferences. During my first time there, I spent lots of time in the Car-part booth. However, it wasn’t until this year’s annual conference that it hit me on the head. I really didn’t know how many recyclers also own an independent car lot where they sell … Read more
Life Lesson. My wife and I recently moved from Massachusetts to New Hampshire. After 34 years in the same house, you accumulate a wealth of personal belongings. Priority #1 was to eliminate non-essentials so as not to bog down the moving process. Priority #2 was to ensure that the good stuff gets there in one … Read more
What We Can do to Prepare and Position Ourselves for the Next Year After eighteen months, we are now entering what we hope will be the post-COVID world. So, I want to talk about what we have experienced in the past eighteen months, what the future holds in store for us, what we should expect, … Read more
As automotive recyclers come together to reconnect, retool and recharge at the 78th Annual ARA Convention & Expo, they’ll evaluate the impact of industry changes and work together for success. Automotive recyclers are good at many things auto related, but one thing the industry excels at has nothing to do with vehicles. It has to … Read more
I believe trouble comes in bunches. There’s no such thing as luck, good or bad. We all have storms in our life. Some weather the storms better than others. By working hard and being honest, you’ll find that when a storm comes your way, you will always have the money, friends, and resources to see … Read more
Organization and Process are the keys to an Effective Core Program Introducing Marie Kondo Have you heard of Marie Kondo, founder of konmari.com? Take some time this month and google search personal organizing. I think you will be impressed at the empire she has built, helping regular folks organize their lives. Why? When we organize, … Read more
Five years ago, converter apps weren’t even a thing, whereas now, converter pricing apps are as common as muck and trust us when we say, some are just that…muck. Truth be told, not all apps are built equally and to understand the real issue would mean understanding the golden rule of converter assaying: the only way … Read more
On August 5th- 7th, URG held their premier Annual Conference in Dallas, Texas. It was a solid, packed training conference with over 50 classes being taught by industry experts. At the House of Blues, Friday night’s portion, URG kicked off their scholarship foundation auction which was sponsored by CCC Intelligent Solutions and eBay Motors. Larry … Read more
At United Catalyst Corporation, we are on a mission. Getting the Most from Your Converters with A Process You Can Trust. For those of us that work at United Catalyst, and for the recyclers we serve, it is as simple as four Ps: A Process you can trust A Program you can trust A Partner … Read more
When my partners and I bought Ford’s auto recycling subsidiary, it was losing huge buckets of money. As we prepared our financial forecast on the turnaround, the asset-based lender and venture capital firm that were our stakeholders wanted to understand exactly how we were going to increase sales and reduce expenses. The stakeholders required us … Read more
NEW “QC Counts” Seminar Debuts at URG 2021 What does Quality Control (QC) have to do with Cores and Catalytic Converters? QC has everything to do with Cores and Catalytic Converters as these are substantial revenue streams. Our #1 priority of this Seminar is to change the way you think of these products. Without a … Read more
Just in case you’re wondering if I will be speaking at URG, the answer is Yes, but I’m not alone. We have some great industry icons like: Bill Stevens, Dan Snyder, Rob Rainwater, Ryan Falco, Paul D’Adamo, Chad Counts, J.C. Cahill, John Bessler, Theresa Colbert, Tom Bessler, Mike Kunkel, Lee Worman, Tim Wall, Jen Wilson, … Read more
My comments here are very philosophical and general in nature, but because I get so many inquiries on this topic, I thought it might be good to discuss it. Most, if not all of the principles here, apply to most any business, not just recycling businesses. I have been hired many times to help determine … Read more
Who Doesn’t Look At Google Reviews? Now that I have your attention, let’s talk about Google Reviews this month. I travel for RAS, so I use Google Maps to look for different services; hotels, restaurants, etc., and, yes, Auto Recycling facilities. I can’t help myself. I love this industry and want all businesses to prosper … Read more
Will the world’s governments and automakers meet their climate-control-driven mandates to discontinue sales of diesel and gasoline cars in favor of zero emission vehicles by 2030? And what does the electrification movement mean for the supply and demand of precious metals predominantly used in automotive catalyst to control emissions? The “Group of Seven (G7) nations … Read more
As life and business continue to happen, sometimes at breakneck speed, things in the business start to take on identities. It is often said that the identity or tone is set from the top down. Everyone knows that good leadership is required for any organization to prosper. There are many business management books that discuss … Read more
Before I start, let me say this. The resume isn’t the operative tool for getting looked at. Imagine how many resumes the employer is seeing! What really gets you in the door is the cover letter. Research the company where you are applying. Exhibit passion for the job… discuss your qualifications in the framework of … Read more
A lot of things have taken a back seat due to COVID-19. In some cases, Recyclers have pushed the removal of Takata Airbags to the back burner as they work through staffing issues. We are trying to communicate this month because these lethal airbags are still in circulation, as witnessed by the news of another … Read more
In talking with other Recyclers and business owners, there seems to be a common problem. That is: they need additional employees but cannot seem to find them. If you look at the beginning of the pandemic, there were massive layoffs and business closures. Most of these people wanted to work, but could not. As this … Read more
Yesterday, I completed a podcast with Jay Robie, the President and CEO of Phoenix Automotive Cores. What I discovered was not really a surprise. Jay is a gifted, articulate, and smart guy! During our podcast, Jay described change we need and why so many people fight change. Jay stated, “Change is needed in today’s recycling … Read more
Are you in control of your converter sales? Or are you at the mercy of your buyer? How much insight do you have into the actual value of your scrap catalytic converters? Do you sell your units by-the-piece for a “fair market value” or are you selling on recovery by a process called assay? We … Read more
We recently started holding some Profit Team Peer Groups with people in attendance. We are fortunate enough to hold a number of our meetings in Fort Worth, Texas which has opened to the point of small social and business gatherings are permissible. One of the best parts of the peer group meetings in the interaction … Read more
There are a number of owner’s out there who are experiencing a nice run of sales and profits. Business is not without challenges, especially around buying, but sales have not been a much of a concern. That has had a tendency for management to ease off of sales managing. The theory being if it isn’t … Read more
Chapter 2 of my book, How to Salvage Millions from Your Small Business, discusses making a plan and understanding your customer. It’s funny how we wave our arms in the air (figuratively speaking) and talk about what we are going to do, but never get around to putting the plan on paper. Equally humorous is … Read more
Let’s take a look at Commission/Pay for Performance. I will first touch on the Pros and Cons of this model. For the owners, on the surface this looks like a good idea. After all, if business is slow, payroll will be lower. In theory, this sounds great, right? So now, let’s take a look at … Read more
Saying that 2020 was a tough year is putting it mildly. When Don Porter of URG took my advice about doing a podcast to promote his upcoming 2021 conference, here is what happened. For over 10 years, I had been using the TV studios located in Dallas, Georgia. Without fail upon my arrival there, I … 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
It looks like we are turning the corner from Winter and the Pandemic. How do I know? Airbag shipments have been increasing. However, I have been getting calls from Recyclers saying that someone new has taken over the airbag program. In many cases, the new folks are not getting the full training experience. Our Software … Read more
Road buyers drive the market for stolen catalytic converters, enticing criminals to steal catalytic converters from your vehicles. This blog will explain who these road buyers are and who enables this criminal activity. These roaming road buyers play a large role in contributing to the theft of catalytic converters. These buyers travel city to city … Read more
Autonomous Driving, Connectivity, Electrification of Vehicles, and Shared Mobility (ACES) Tesla is now the fifth-most-valuable company in the S&P 500, overtaking Facebook at that position. Cars that connect to each other and the road are here to stay. Connected features like navigation, internet, apps, driving controls are no longer luxury items, but standard features. Models … Read more