Transformative Growth – Maximum Collision
Dive into this compelling case study to understand how the team at Maximum enhanced financials, minimized work in progress (WIP), and achieved operational excellence.
Name: Maximum Collision - White Rock (2 location MSO)
Owners: Warren Jensen
Manager: Kyle Nimmo
Affiliations: Quality Assured / CARSTAR Canada
Annual Sales: $5 million +
OEM Certifications: Kia, Hyundai, Honda and Toyota
Introduction
For three decades, Maximum Collision in White Rock BC has served the local community. Maximum Collision Group is a two-store MSO with a sister operation in Abbotsford BC, is a family-owned business led by Warren Jensen and the White Rock location is managed by son Kyle.
The Challenge
Maximum struggled with exerting control over daily operations which increased the level of stress for all team members. Kyle knew the business was successful but not really under control: “Knowing where we stood as far as month to date numbers or where we’d close wasn’t feasible. Lack of visibility into scheduling, parts management and closing of ROs contributed to the chaos. We were reacting to issues as they appeared vs proactively steering the business to where we wanted it to go.”
Kyle wanted to do better. “I was lucky, I had Paul McFarlane (Executive Director of Quality Assured) to act as my personal mentor. Both in understanding what to look for, and growing as a more effective manager and leader.”
The Approach
The turning point came with the implementation of generis and with McFarlane connecting the operational KPIs to the impact on the business results. The initial task was to get the administrative processes cleaned up; once we had proper date compliance in our BSMS we could see what was going on in the business. We could then dial in on the key areas that influence results, WIP Ratio, Touch Time and RO Closing Lag $. “It just started making sense and all coming together, and something just clicked. We could start seeing the results and monthly sales was the most obvious gain.
Kyle realized the value of the WIP Ratio metric: “We used to have a WIP Ratio of 14 or 15:1 and our target now is around 8:1. We’ve managed to engage the team with the numbers and they’ve bought in. Everyone is aware of what we’re trying to achieve. We’ve grown sales and fixed fewer cars, with less chaos.”
The Numbers
“I believe we were still one of the top performers in our area which made us complacent and a little comfortable. Seeing our daily operations from a new perspective uncovers more opportunity that we probably imagined.”
Kyle Jensen
Closing Thoughts
Transformative change takes place when a willingness to learn, the right mentor, and the right tools collide. With proven results and a culture of engagement established, under Kyle’s leadership I believe this is just the tip of the iceberg. We’re confident there is more to come!
Discover how Terminal Auto Body transformed their business by embracing a data-driven mindset. Learn how they improved financials, reduced WIP, and achieved operational excellence.