Best Practices

Beyond Paperwork

How Administration Drives Profit in Collision Repair

Administration: More Than Just Paperwork

Managing a collision repair facility goes beyond just fixing cars. Meeting insurer requirements and handling paperwork are essential to getting paid, but the real challenge is to see a profit at month's end. If you're unsure about your monthly profits, it might be time to reevaluate your administrative processes.


The Admin-Profit Connection: It's Closer Than You Think

Within 30 seconds can you tell how many repairs and hours are currently on-site? If not, keep reading. By simply entering three or four essential Repair Order (RO) dates, you can get that answer quickly. Here's how:

Arrival Date: As soon as a repair arrives, log it into your Body Shop Management System (BSMS) ; now it’s included in your Work in Process (WIP) metric.

Target Delivery Date: Once the repair plan is ready, enter a target delivery date; now you have a visible target of when the repair will be done.

Actual Delivery Date: When the repair is finished and delivered, log this date to remove that job from WIP.

Target Arrival Date: If you're scheduling future repairs, use this date to manage intake levels.

These simple, quick entries give a clear picture of incoming, on-site, and outgoing repairs and hours. But what's the real benefit?


The Power of Visibility

Finance: Predicting financial outcomes is crucial; with daily tracking you can act before results become history. A small administrative task like entering dates reveals potential sales areas like repairs that are delivered but not yet closed or overdue deliveries.



Production: Knowing your current WIP and its ratio offers insights into daily tasks; it helps optimize capacity.



Admin Oversight: Repair dates provide operational insights when they are recorded diligently but sometimes they get missed. By highlighting missing dates or non-compliant repairs, the front office team stays connected to the workflow. Once regular auditing becomes a habit, you'll see benefits without effort.

Administrative processes aren't just about month-end paperwork. They're vital for operational efficiency and lead directly to increased profit. A few seconds spent on BSMS date entries for each repair are definitely worth the effort!

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