DOCUMENT RESUME

ED 379 480 CE 068 304

AUTHOR Denys, Jan; And Others TITLE Training in the Motor VehicleRepair and Sales Sector in . Report for theFORCE Programme. First Edition. INSTITUTION European Centre or the Development of Vocational Training, Berlin (Germany). REPORT NO ISBN-92-826-8345-1 PUB DATE 94 NOTE 77p.; For reportson other countries, see CE 068 305-308. Cover title varies, AVAILABLE FROMUNIPUB, 4661-F Assembly Drive,Lanham, MD 20706-4391 (Catalogue No. HX-83-94-886-EN-C:8 European Currency Units). PUB TYPE Reports Research/Technical (143)

EDRS PRICE 11F01/PC04 Plus Postage. DESCRIPTORS Auto Body Repairers; *Auto Mechanics;Case Studies; Corporate Education; EducationalImprovement; Educational Needs; EducationalTrends; *Education Work Relationship; EmploymentPatterns; Employment Projections; Employment Qualifications;Foreign Countries; *Job Training; LaborMarket; Personnel Management; Postsecowiary Education;Private Sector; Recruitment; *Sales Workers;Secondary Education; Tables (Data); *Trade and IndustrialEducation; *Training Methods; TrainingObjectives; Trend Analysis IDENTIFIERS *Belgium

ABSTRACT An international team of researchersstudied the following aspects of training inBelgium's motor vehicle repairand sales sector: structure and characteristics;institutional and social context; relationship to Belgium'soverall labor market; changing structural, economic, and organizationalconditions; and training and recruitment and relationship to Belgium'seducation system. Datawere obtained from a review of governmentsocial and labor/employment statistics and from case studies ofthe four firms: Peugeot Talbot, Volvo, Ford, and Mercedes. Eachcase study included a general profile of the company, its personnel management and vocational policies,and its provisions for continuing/ongoingtraining. Belgium's educational system was found to contain at leastfour different channels by which individuals can prepare for jobs inthe sector. Most public-private collaborative ';raining effortswere focused on at-risk groups. In total training activities withinthe sector, the initiatives takenby motor vehicle manufacturers playedthe most important role. Training initiatives and policies varied widelyby company. Collaborations between different manufacturersappeared to represent a very important option for the futureand self-study was increasing in importance. Most manufacturers investedin their own training infrastructures; however, trainingwas also contracted out. (Fifteen tables are included). (MN) Oo pe) CE FORMATION CONTINUE EN EUROPE European Commission 00ce Lu co ce MOTOR VEHICLE REPAIR AND SALES SECTOR

OF EDUCATION U.S. DEPARTMENTReseaton end improvement Office of 2clucattooal INFORMATION EDUCATIONAL RESOURCES CENTER (ERIC) as \94his document has been reproduced received from the personor organization originating it. been made to Minor changes have quality improve reproduction

stated in this Points of view or opinions document do notnecessarily represent or policy. official OERI position

"PERMISSION TO REPRODUCETHIS MATERIAL HAS BEENGRANTED BY

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tj r, -0 g g 4 E > xl >. lL o.0 4, SESTCOPY AMU MOTOR VEHICLE REPAIR AND SALES SECTOR TRAINING IN THE MOTOR VEHICLE REPAIR AND SALES SECTOR IN BELGIUM REPORT FOR THE FORCE PROGRAMME

drawn up by Jan Denys HI Hoger Instituut voor de Arbeid (HIVA) Peter Arryn, Hendrik Delagrange Research Instituut voor Arbeid en Tewerkstelling (RIAT)

1992

First edition, Berlin 1994 Published by: CEDEFOP European Centre for the Development of Vocational Training, Jean Monnet House, Bundesallee 22, D-10717 Berlin Fax 49-30 + 88 41 22 22 Tel. 49-30 + 88 41 20 Telex 18 41 63 eucen d The Centre was established by Regulation (EEC) No 337/75 of the Council of the European Communities Cataloguing data can be found at the end of this publication.

Luxembourg: Office for Official Publications of the European Communities, 1994

ISBN 92-826-8345-1

© ECSC-EC-EAEC, BrusselsLuxembourg, 1994

Reproduction is authorized, except for commercial purposes, provided)e source is acknowledged.

Printed in the United Kingdom

1 FORCE

Formasicn continue en Europe Commission of the European Communities TASK FORCE Human Resources, Education, Training and Youth Rue de la Loi, 200; B-1049 Bruxelles

THE IDEA FORCE The future economic strength and the potential for socialprogress of the European Community depends on a consistent impovement in the competence and qualifications of its 132.000.000 labour force. Better continuing vocational training is one of the essential conditions for thesuccess of the Single Market 1993. The European Commission is determined to support and give fresh impetus to the efforts whichcom- panies throughout the Community are making to improve continuing training. FORCE is the European Community's action orogrammE. for the development of continuing vocational training. It is focussed on companies, especially on small and medium-sized companies. It involves train- ers and training bodies, employer and union representatives- everyone concerned with improving the competence of the labour force.

WHAT DOES FORCE OFFER? FORCE promotes working partnerships in continuing training between companies, training bodies, public authorities and social partners. These will include: supporting continuing training innovation througha European transnational net- work, an exchange programme, transnational and transfrontier pilot projects and projects concerned with the evolution of qualifications; assuring closer policy co-operation between Member States by evolving a common statistical means of analysing what is being done in terms of continuing training, through regular analysis of relevant contractual policy and collective agreements, and through enquir- ies into sectoral needs; supporting the establishment of regional consortia and transnational continuing training partnerships which specialise in transferring exemplary good practi-7e to economically weak regions. JOINING You can take part in the FORCE network and apply for financial assistance to join its innovation and transfer exchanges and projects if you are: a large, medium-sized or small company, a training body working with industry or commerce, an employer or trade union body, a training or human resource expert or manager. Through FORCE you can help improve continuing training in yourcompany, sector or local labour market. At the same time you can help to contribute to the improvement and availability of continuing training - and thus to shaping the European Community. CEDEFOP

European Centre for the Development of Vocational Training Jean Monnet House, Bundesallee 22, D-10717 Berlin

Institutior..al status

CEDEFOP is an autonomous body, independent of the departments of the Commission of the European Communities, but its task and activities are closely integrated with those of the Commission, to which the Centre contributes its technical and scientific expertise.

Working guidelines for the Centre are laid down by its Management Board, whose members repres- ent the EC Commission (3), trade unions (12) employers' organizations (12) and governments (12). The Management Board decides on the Work Programme, draws up and approves budgets and adopts the Annual Report.

The members of the Management Board are appointed by the organizations they represent and remain in office for two years. The chairmanship of the Board changes each year. institutional tasks Information: In the field of vocational training, information is one of the Centre's vital tasks. Its documentation service and a constantly updated bibliographical database receive information from a network of national correspondents, and the information is then made available to a very wide audience, in part via highly sophisticated computerized channels.Its carefully planned publishing policy also ensure. that the Centre's voice is heard on major issues in the field of vocational troining. It produces its own regular publications (» vocational Training«, »CEDEFOP flash« and »CEDE OP flash special«) and occasional publications such as research reports, monographs and manuals.

Research: CEDEFOP, as a centre for the promotion and coordination of research within the Community, provides support in the form of information, expertise and encouragement for the planning and implementation of vocational training initiatives in Member States. In so doing it serves as a focus for innovation.

Consultation: CEDEFOP, as an organization supporting the Commission, has the task of promoting a concerted approach to vocational training problems. It takes every opportunity to promote and encourage train- ing.

5 ACKNOWLEDGEMENTS

This study was carried out in the framework of the Theprojectteam wouldliketothankthe European motor vehicle repair and sales sector, companies who gave access for research, and within the EC FORCE programme and conducted whose staff provided the information and help by a central team made up of: which enabled us to write the case studies. We very much appreciate the time and effort invested Kaj Olesen and Bruno Clematide, DTI- Denmark so generously. Oriol Horns, CIREM - Barcelona Georg Spottl, ITB - Bremen We would alsoliketo thank the employers' with the participation of Skevos Papaioannou,organizations and trade unions, and their repre- INE - Greece sentatives, who contributed to the research by making suggestions for case studies, attending under the responsibility of Felix Rauner, ITB- meetings and commenting on the draft report. Bremen and inclose collaboration with Tina Bertzeletou, CEDEFOP.

7 CONTENTS

PART 1 - SECTORAL CONTEXT

1.Definition and scope of the sector 11 2.Structure and characteristics of the sector 12 3.Institutional and social context 14 4.Employment and labour 15 4.1 The wage-earning working population in the study sector (social statistics) 15 4.2The total working population in the sectors considered (derived statistics) 15 4.3Evolution in the number of blue and white-collar workers (1982-1991) 17 5.Changing conditions and their consequences 19 6.Training and recruitment 20 6.1 Training 20 6.1.1 The Belgian education system and the motor vehicle repair and sales sector 20 6.1.2The training path 22 6.1.3 The sectoral training initiatives 23 6.1.4Manufacturers' initiatives 24 6.2 Recruitment 24 7.Appendices 25

PART 2 - CASE STUDIES 1.PEUGEOT TALBOT 33 1. Basic information 33 2. Personnel management and vocational training 33 3. Continuing vocational training 34 3.1 Actual situation 34 3.2 The Peugeot Talbot "School" Belgium (PTB) 36 3.2.1 Training programmes in Ukkel 36. 3.2.2Training programmes in Niivel 39

2. VOLVO 43 1. General description of the case study 43 2. General description of the company 43 2.1 Some important details 43 2.2 Brief history and company strategy 43 2.3 Structure of the company 43 2.4 Personnel 43 3. Ongoing training 44 3.1 Current situation 44 3.2.1 Training at Accinauto (Glasurit) 44 3.2.2Training at Volvo 45 4. The company's training policy 47 5 Evaluation of course designs 48 5 1 Evolution of the staff sheets 48 6 Conclusions 48

3.FORD 51 1. Description of the case study 51 2. Brief history of the company 51 3. Current situation 51 4 Staff 52 4.1 Number of employees 52 4.2Initial qualifications and recruitment criteria 52 4.3 Employment contract and working conditions 53 4.4 Trade union 53 5. Continuing training policy 53 5.1 The AKZO Group 53 5.1.1 Club Akoad Selected 53 5.1.2 The consultancy service 54 5.1.3 Technical training courses 54. 5.1.4 Management training courses 54 5.1.5 Projects 54 5.2Bodywork repair shop D 54 6. Conclusion and evaluation 56 6.1 By the company 56 6.2By the workforce 56

4. MERCEDES 61 1. General description of the case study 61 2. General description of the company 61 2.1 General characteristics of the company 61 2.2 History, strategy and development 61 2.3 Company structure 62 2.4 Staff 63 3. Continuing vocational training centres 63 3.1 The centre for technical training 64 3.2The centre for sales and management training 64 4. Company training policy 64 4.1 Training schemes and concepts 64 4.2 Analysis of prerequisites 64 4.3 Target group 64 4.4Continuing training policy 65 4.5Cost of the training 67 4.6 Evaluation of the costs 67 5. Evaluation of the training policy 67 5.1 Technical centre training projects 68 6. Conclusion 68

PART 3 - TRENDS CONCLUSIONS 73

So PART 1:

ft*********1

. Definition and scope of the sector

2.Structure and characteristics of the sector

3.Institutional awl social context

4.Employment and labour

5.Changing conditions and their consequences

6.Training and recruitment

7.Appendices

10 1. DEFINITION AND SCOPE OF THE SECTOR

The economic activities listed under codes 50.1 to classified under their own code, i.e. 651.2. The 50.3 of the CITI classification correspond to theNACE classificationisused as abasisfor NACE classifications 614.7651.1671.1 and calculatingthestatisticalemployment figures 671.2, as used in Belgium. The following sectors which are published periodically by the National are covered by these codes: Institute for Health and Disability Insurance (RIZIV- INAMI) cnd the National Social Security Depart- 614.7: wholesale dealing in vehicles and vehicle ment (RSZ-ONSS). These statistics are used in the parts and accessories; chapter on employment and labour. 651.1: retailing of motor vehicles (other than motorcycles), new and second-hand and The area of authority of the employers' organiza- parts and accessories thereof; tions and the trade union organizations extend 671 :repair of motor vehicles and bicycles beyond the sectors described above. This means the statistics distributed by these organizations It should be noted that dealing in second-hand are, therefore, less relevant. Where c.,ternative tears is included in its entirety. It isunclear under to these statistics exists it is clearly stated. nich NACE code leasing agents are classified. Petrol stations are not included under these codes, No statistics are available regarding the size of but are listed under codes 652.0 and 654.9. the companies; the only data available relates to Similarly, motorcycles and cycles do not come the average size of three of the four subsectors. under the above codes: these subsectors, too, are We shall return to this in the following chapter.

,4

11 2. STRUCTURE AND CHARACTERISTICS OF THE SECTOR

The development of the sector is obviously closely Table 1 Numbers and market share of the sales and service related to the continuous growth of motor vehicle points in the sector (19901 sales.In 1962 there were approximately one million motor vehicles in Belgium. Within six Number of years this figure had doubled, and 13 years later sales and service points had trebled. In 1987 the number of motor vehicles passed the four million mark, and this figure rose Car dealers (including again to almost 4.L, million motor vehicles in importers' sales points) 3,617 24.5 1991), of which 3.8 million were cars. A record Agents and recognized repair number of new cars (473,000) were registered shops 2.409 16.3 that year. The market fell back slightly (down 2%) Independent dealerships, in 1991, though in this respect Belgium fared second-hand car dealers and better than other EC Member States, where service stations 4,445 30.1 (excluding Germany) a fall of 9% was recorded. Tyre specialists 568 3.8 The situation is expected to stabilize in 1992. The Body repair shops 1,624 11.0 British Euromotor Bureau predicts that the number Importers, distributors and of new cars sold in the year 2010 will be the same retailers of car components as in 1990. However, it forecasts that the number and accessories, tools and of private cars will increase from 3.8 million to no repair shop equipment 1,678 11 4 less than 5.2 millicir wills by 2010. Technical specialists electric systems, brakes, diesel, ex- Despite the increase in the number of vehicles the hausts 277 1.9 fact remains that for a considerable time the motor Engine specialists 85 0.6 vehicle market has been a replacement market: Sales and service points of the market for second-hand cars and motor large sales companies 60 0.4 vehicles for combined use accounts for approxi- mately two thirds of all sales. The ratio of new to 14,763 second-hand cars is also important. Before 1980, 100.0 one used car was sold for every new vehicle. After this date the balance shifted in favour of used Ifpetrolstations,car washes, car breakers, vehicles, and experts predict that in the near future technical testing stations and driving schools are this ratio, or coefficient, will reach 1.3 in favour of included there are a total of 17,441 companies. In second-hand cars.This figureis very low incomparison, in 1981 these companies totalled comparison with Belgium's neighbours France 13,290. Categories in this list were removed from and Germany, where the coefficientis2. The the original table because they do not belong to reason for this is the much heavier tax on used car the sector which is the subject of this study. A strict sales in Belgium. comparison with the year 1981is not possible because different categories were used at that The majority of vehicles sold are obviously private time. However, we can state with some certainty cars and this category accounts for no less than that the number of sales and service points in the 87% of all vehicles (motorcycles excluded) sold; categories listed in table 1 has increased. The 8% are lorries and 3% farm tractors. Othernumber of petrol stations has halved over ten categories have a market share of less than1 %. years. We can also illustrate a number of other The number of lorries and tractors has grown developments. There has been a notable increase significantly over the last five years compared toin the number of independent repair shops, while the number of private cars (growth of more than the number of dealers and agents and recognized 20% against only 16% for private cars). The only repair shops has remained remarkably constant. category to show a fall over the last five years isThe number of body repair shops rose rapidly at buses. The prospects for the sole of lorriesin the start of the 1980s, but thereafter fell again Belgium up to the year 2000 appear to be fairlyequally quickly. This is undoubtedly due in part to good; the number of new lorries sold in 1991 was the requirement imposed by importers that dealers 40,000, and this figure is expected to increase to should provide a bodywork service. 50,000 by the year 2000, although high interest rates, tax on diesel, road tax and the difficult jobAn important historical trend is the emergence of market for lorry drivers are all uncertain factors. 'autocentres', comprising a few large sales and Dive: gent trends can be observed within Europe in specialist companies selling specific spare parts or this respect. In Germany and Austria truck salesitems of equipment which are quick to fit tyres, have risen steeply, while severe setbacks were shock absorbers, brakes, exhausts, car radios, suffered in the UK and Sweden. Table 1 sum- etc. Although this categoryisstillenioying a marizes the current structure of the sector. certain amount of growth, the pace is beginning to

The term "motor vehicles" includes private cars, motor coaches, lorries andvans, tractor units, farm tractors and 12 specialist vehicles slacken off. There is a noticeable trend towardsmore than 2,000 models of private cars and cars internationalization by the specialist companies for combined use were available. This requires (QuickFit,Midas, Speedy, Halferds, Brezan). great effort from the service sector (e.g. stocking Despite thefactthat car manufacturers have small quantities of large numbers of spare parts). responded to this development by setting up theirOpal has the largest market _hare with 11.2%, own specialist companies, the car dealers andfollowed by Ford,Renault,Peugeot, Citroen, agents, ir'dependent repair shops and bodyshopsToyota, Nissan, Mazda and Audi. Fierce compe- have managed to retain the largest share of the tition means that sector profitability is low. This is market. one of the reasons why employment prospects are not particularly attractive.In addition, the Other important factors are 'do-it-yourself' activ- sectoristypically represented by very small ities and undeclared work. In the most recent companies.Evenifone-man businessesare Economic and Social Report (Autotechnica Times omitted, the average level of employment in the 1991) it is estimated that these activities accountretail sector is 3.8. The motor vehicle and cycle for 15 to 20% of the total turnover volume in therepair sector employs an average of 5.5 staff per sector. However, this figure is difficult to interpret. company, while the figure for body repair shops In the first place, it is the result of a combination of falls to 3.5. two totally different activities and it is unclear which share is accounted for by undeclared work andThe sector generated 2.14% of GNP in 1988. do-it-yourself activities, respectively. On the basis This figure has remained stablesince1980. of a number of developments (including techno-Although Belgium does not manufacture its own logical), there are strong reasons for suspecting makes of car, it is the largest car manufacturer in that do-it-yourself activities have reached theirthe world per capita of the population, producing maximum market share and are likely to decline in 12 cars per 100 inhabitants compared with only 8 the future. Another problem is the lack of any in Japan and 7 in Germany. More than 98% of comparable figures with other sectors. At all private cars made in Belgium are destined for events, discussions with several people involved export, making Belgium highly sensitive to inter- in the sector revealed that spare-time work is not a national car sales. Developments in the markets in problem in the sector in tie sense of distortingGermany (34% of exports), France (17%) and competition (as is the casE, for example, in the Britain (11%) are of particular importance. construction and hairdress,.tg sectors). 1,138,000 cars were assembled in Belgium in The main feature of the Belgian market is its open 1991, a drop of 2.3% compared to 1990. Table 2 character, with all the major European, American shows the key figures for the Belgian car assembly and Japanese car makers re,_resented. In 1990 industry. The figures are for 1990.

fable 2 Key figures on the car assembly industry in Belgium (1990)

Name Model Production Turnover Current Staff level (in units) (x Bfr billion) pre-tax result (in units) (x Bfr million)

Ford Werke AG' Sierra 311,803 130.80 191 12,999 GM Continental Kadett, Vectra 389,237 60.10 4,885 10,146 VW Brussel Passat, Golf 204,300 71.00 3,589 7,044 Renault Industries Belgique R5, Clio, R21 171,935 42.40 427 3,885 Volvo Cars Europe Industry 740,940 83,122 49.50 1,462 3,058

Total 1,160,397 353.80 11,554 37,132

I Ford also produces the Transit in Belgium

Source: FEBIAC Balanscentrale

The appendices also include a table with the total car sales figures by manufacturers' make.

13 3. INSTITUTIONAL AND SOCIAL CONTEXT

FourJointCommittees (JCs) regulatesocial Educational leave is also worthy of note. All full- relations in the sectors concerned. These Commit-time employees in the private sector can take tees are as follows: advantage of this scheme. Under certain condi- tions, they can claim paid leave in order to follow JC 112: Joint Committee for the motor vehicle training courses. This training may - though this is industry (dealers, agents, car-washes, not essential be related to their current job. The car rental, tyre specialists, (filling) and extent to which this right is exercised in the sector service sector); under study is not known. JC 149.2: Joint Committee for bodywork compa- nies; Access to the occupation is subject to statutory JC 149.4: Joint Committee for the metal trade regulations for motor vehicle business owners, sector (all sales companies). repairers, coach-builders and used vehicle deal- JC 218: Supplementary Joint Committee forers (Royal Decrees of 24 January 1974, 10 white-collar workers (ANPKB) March 1982, 20 December 1974). In practice, however,the conditions appear to be fairly It should be noted that the powers of JC 112,minimal. The environmental regulations are im- 149.4 and 218 extend beyond the sectors dealt portant:o'lcompanies which are considered with in this study. hazardous to humans and the environment must apply for an environmental licence each time they The average working week for both manual and start up or make a change to their business white-collar workers is generally 38 hours, with operation. The majority of companies in the :,.udy the exception of bodywork companies where the sectorfallintothiscategoryofpotentially average is 39 hours per week. However, a good hazardous companies. The powers to draw up deal of overtime is worked, some of which is environmental regulations are regionally based, undeclared. In addition, many people in the sector which means thatpotentiallythere may be are self-employed, and for these individuals the discrepancies between the regulations in Flanders average working week obviously does not apply. and Wallonia. In practice, however, there is little difference. There are in fact no rules concerning vocational training. The only existing regulation is the 0.25%The most recent programme agreement for new provision (whereby 0.25% of the payroll of each private cars which has been agreed between the sector must be spent on providing training and Minister of Economic Affairs and the vehicle employment opportunities for the so-called risk importers is also worth noting. This 1987 agree- groups). Itis up to the Joint Committee in each mentimposesstandardsalesconditionsas sector to work out a programme for implementing regards delivery date or term, price, delivery, this measure on the basis of the Collective Labour payment, guarantees, liability, financing, etc. In Agreement. Joint Committees which take no action addition, importers are offered the opportunity of in this respect are required to pay the whole of the adopting a somewhat more flexible pricing policy. 0.25% into the National Employment Fund. The employers' organizations have also nego- tiatedan agreement concerning thesaleof However, a Collective Labour Agreement has second-hand cars; this contract was drawn up in been agreed within the sector, the most important collaborationwiththe consumer organization consequence of which was the setting up of a 'Testaankoop'.However,itisnot a binding jointly managed foundation. In addition to en- agreement. couraging professional training for low-opportu- nity groups (incollaboration with the FlemishRelationships between importers, on the one Employment and Training Service), the foundationhand, and dealers and agents on the other, are also represents the sectors with regard to the regulated by EEC Regulation number 123/85. education system. We shall return to this Regulation in the final chapter.

14 4. EMPLOYMENT AND LABOUR

Two types of statistics are available from which ployees. Intheretailsector,thereisan data on employment is derived. First, there are the above-average level of part-time working. social statistics. The purpose of these statistics is not to create a profile of the working population; Compared to the total working population in in essence, these statistics deal with the areas the private sector, the sectors considered here covered by social security legislation. Separate employ on average more blue-collar workers, statistics are published for wage-earners and the more men and more employees with a full-time self-employed. However, the statistics published employment contract. As regards age, the for the self-employed are insufficiently detailed to sector does not deviate greatly from the picture provide information about the sectors concerned. for the total working population, although the Moreover, a different classification is used. We sectors considered do employ slightly more are therefore forced to restrict ourselves to wage- young people under the age of 25 (18.4% earners. compared with 15.6% in the private sector as a whole). In addition to these statistics, there are the derived statistics. In principle, these are prepared on the4.2 The total working population in the basis of secondary sources. A number of statistics sectors considered (derived statistics) are available from the employers' federations. The advantage of these is that they cover both wage- Table 4 Number of wage-earners and self-employed in the earners and the self-employed. The disadvantage sectors considered is that a number of subsectors are also included which do not form part of our study. Moreover, Wage and Self- Total salary-earners detailed comparisons are difficult due to changing employed categories over a period of time. 1983 59,872 13,283 73,155

4.1 The wage-earning working 1987 55,962 14,870 70,832 population in the study sector (social statistics) 1990 55,698 16,173 71,871 Here we look at two types of statistics, those published by the National Social Security Depart- ment and those produced by the National InstituteWithatotalemploymentlevelof71,871 for Health and Disability Insurance. The first set of(includingtheself-employed),thesectorsin statistics enables us to make the comparison in questionaccountfor2.6% oftheworking time requested by the commissioners of this study. populationemployed in theprivatesector The second set of statistics provides information on (2,792,863). full-time and part-time working and the ages of the employees. The two sets of statistics differ in The difference in the number of wage and salary- that the areas of application of the social security earners between table 3 and table 4 i, due to the legislationarenot complereiyidentical,thus following reasons. Table 4 includes apprentices, making comparison between the statistics impos-and a number of subsectors are also included sible. which do not fit into the four subsectors in table 3 (e.g. petrol stations, car washes). The figures in The sector which forms the subject of this studytable 4 are therefore undoubtedly an overesti- was restricted to the (NACE) subsectors 614.7 mate. 651.1 671.1 671.2. We shall first look at a number of identificationcharacteristicsof theThe main observation is that the number of self- employee population such as gender, employ-employed persons has grown in recent years (this ment contract, status and age. The results reflect corresponds to the increased number of sales and the position as at 30 June 1990. service points). Moreover, there are indications (see table 3, page 16) that this increase has not token place in sectors which do not actually form part of the subject of The main conclusions are as follows: this studyon the contrary, the number of petrol stations has halved over thelast nine years. In 1990, 44,303 people were employed in the Nonetheless, the total number of self-employed sector under review. This represented 1.9% of people has grown by 3,000. Alfirst glance, the total number of jobs in the private sector. table 4 appears to show a fall in the number of wage and salary-earners. This may be because, 61% of the working population is made up ofin the first place, there has been a large drop in blue-collar workers: 84% are male and 91 % the number of wage and salary-earners employed areemployeeswithafull-timecontract. at petrol stations, a development which has been Naturally,there are also other differencesaccompanied by a sharp fall in the number of between the various subsectors. Thus in the apprentices. We shall return to this later in this body repair shops, for example, we find more report. There are reasons to assume, then, that the blue collarworkers, men and young em- number of wage and salary-earners employed in 15 TableNoce 3 - Sales and repair of cars. number of wage-earners in terms of status,-gender, employment contract and age (absolute figures and percentages) Blue-collar White-collar Male Female Full-time Part-time -24 yr. 25- 34 yr. 35 - 44 yr. + 45 yr. 61410C ' = 11 026 4,142workers37 6% workers62.4%6,884 78.0%8,599 2,42722.0% 93 10,3247% 6.3%700 13.5%1,503 36.3%3,999 2.96426.9% 23.2%2,560 651 00°C = 2,480 1 56.9°.1,410 43 1,0701% 2,03081 9°. 45018.1% 85%2,108 37215% 20%495 37926 3% 24604 4% 45518.3% 671 1 18,999 8,912 23,862 4,04Q 23,215 2,689 5,314 9,920 7,347 5,330 671100", 21000° = 27,911 =, 2.886 68 897%2,5901% 29631,9%103% 92.2%2,66285 5% 7.8%22414.5% 88.0%2,53990.4% 9.6%34612.0% 28.4%81919% 38.5%35.5%1,111 56726.3%19.6% 38913.5% 1.1% TotalSector.100°- = 44,303 6127,141 3% 38.70017,162 8337,153 9% 7,150161% 90.7%40,186 9.3%4,107 8,13118.4% 36.0%15,956 25.9%11,482 8,73419.7% 614Private100'0 7 Wholesale sector = 2.300,880 trade in vehicles and accessoites 50 1,149,3220% 50.0%1,151,558 59.7°.1,374,537 926,34340.3% 79.9%1,838,941 20.1%461,939 358,93715.6% 37.4%860,529 26.8%616,638 464,77820.2% 671651671 1- Retail2 trade in cars and components, including second-hand1 cars MotorBody vehtcle repair and shops cyr in repairs P FsT COPY AVAILABLE 1? the sectors we have considered has not fallen, but There is an above average increase in employ- may well have risen. The National Social Security ment among female blue-collar workers and Department statistics provide more information on white-collar workers, and also in the retail and this matter. body repair shop sectors.

In spite of these increases, however, the number of apprentices has fallen sharply (from 4.325 in 4.3 Evolution in the number of blue and 1982 to 2,790 in 1991). This means that the white-collar workers (1982-1991) traditional apprenticeship systemis now being Table 5 summarizes the data in this category. used to a lesser extent as an initialtraining channel for new employees in the sector.Itis This table shows that the number of wage-earners likely that the traditional appenticeship system has indeed increased, particularly since 1987. haslost groundtovocational and technical This increase runs more or less parallel with the secondary education. We are not aware of why increase in car sales. From 1981 to 1986 there isthis should be so, though the expansion of higher relativelylittlemovement, following which the secondary vocationaleducationcouldbe a increase resumes, averaging out at around 3%. significant factor here. The average rise between 1982 and 1991 is 14%. Table 6 indicates whether this increase wasWe were unable to collect certain data requested. stronger in particular sectors or groups of employ-For example, we have no information regarding ees. the type of companies in which employment has increased (small or large). We also have no data regarding the career structure and employment of migrant and handicapped people. Table 5 Relative increase in the number of employees between 1982 and 1991 in the car sales and repair sectors, in % The employment prospects for the future are not particularly favourable. A study carric..d out to Blue-collar workers 16 assess the future prospects for Belgian industry White-collar workers 12 and services places both the retail and repair of Male 12 motor vehicles and cycles, as well as the body Female 30 repair shop sector, among thelessfavoured Male blue-collar workers 13 tertiary sectors (Gos, 1992). Female blue-collar workers 64 Male white-collar workers 8 Finally, we would point out that statistical data Female white-collar workers 22 must always be viewedwiththenecessary Wholesale trading in vehicles caution.Thus,forexample,atradeunion and accessories 16 representative points out that some companies in Retail trading in cars and components, the car assembly sector have contracted out including second-hand cars 48 certain activities to the repair sector. This leads Motor vehicle and cycle repair 8 to a shift in the employment between these two Body repair shops 61 sectors, and means that we can no longer speak of a true growth in employment in one sector.It is Total 14 unclear, however, how many jobs are involved in this specific case.

18 Table 5 - Evolution of the level of employment in the car sales and repair sectors (1982-1991) 1982 1987Male Blue - collar1991 workers 1982 Female 1987 1991 1982 Mole1987 White-collar workers1991 1982 Female 1987 1991 RetailWholesalesecondhand trade trade in cars carsin vehiclesand components, and accessories including 18,5573,4251,030 18,3713,8311,034 19,8453,9681,498 640367 64 743392 61 1,095 496112 4,888 568 5,427 614 5,504 836 1,813 251 1,997 281 2,203 388 MotorBody vehicle repair and shops cycle repair 04,954 1,942 25,579 2,343 28,318 3,007 1,100 29 1,247 51 1,805 102 11,953 6,378 119 11,9385,75i 146 12,9536,400 213 5,0702,927 79 5,1732,796 99 6,1963,433 172 Aggregate total 19911982.1987 49,272 43,93743,077 (.52,062(47,614(47,602 including apprentices) 19 BEST COPY AVAILABLE 5. CHANGING CONDITIONS AND THEIR CONSEQUENCES

Historically, car assembly has set the pace in the these materials are related to weight, bodywork development and implementation of new technol-durability, easy mouldability, economic produc- ogies. This has obviously had major consequences tion and better resistance. The various materials for the car repair and sales sector. The most used have widely differing properties, and this has relevantinnovationsaresummarizedbelow major consequences for the recycling of plastic (source: Vocational Training Foundation for thecomponents, since not all these components are Automotive Sector, undated). This is of course not systematically replaced in the event of problems. the place to look at these developments in detail. New information systems: The breakthrough of electronics: repair estimates; valuation of second-hand cars; In the first phase of the electronics innovation, at technical service information systems; the end of the 1960s, simple mechanical and new information systemsAudatex electro-mechanical components, (e.g. indicators, distributor) were replaced by electronic compo-The latter innovationisdirectly related to the nents. increased need for training. The Audatex data- bank (based in Minden, Germany) contains data During the second phase, entirely new functionson 25 makes of car, 220 models and 2,100 types were createdusingelectronics,such asfuel in 11,000 versions. This information is updated injection,electronicignition,anti-lock braking daily. Via a specially designed terminal network, systems (ABS). this data can be retrieved and processed to produce, for example, a detailed damage assess- In the third phase, electronics have become an ment report. The advantages are obvious: employ- irregral part of the new designs for engine and ees can improve their training in a flexible way at drivesystemmanagement,e.g.transmission the workplrce, and are able to set their own management, engine management, chassis man- learning pace. agement. Further developments will be inthe direction of optimizing the interplay between the As far as we are aware, no informationis vehicle and traffic, using electronically controlled available regarding the extent to which these systems for traffic management and information. innovations have penetrated the sector in Belgium. However, since all technologically advanced cars At the moment, the development of auto-electron- are also found on the Belgian market, we feel that ics is in the transitional phase from 2 to 3. the Belgian situation does not differ significantly from that in neighbouring countries. The knowl- Modern test and diagnostic techniques: edge and skills required to keep pace with the technological innovations are often passed on to Inthe many and varied tests and diagnostic dealers and agents by the manufacturers them- operations carried out in the automotive industry, selves via training courses arranged in their own microprocessor-controlledtestingapparatusis centres. We shall return to this in the chapter on being used to an increasing extent for engine training. diagnosis and for testing electronic automotive systems. To what extent structural, economic and organi- zational changes affect the required qualifications Modern lubricant technologies. is not entirely clear. The fierce competition forces dealers to provide high quality at low prices. The New materials: resultant low profitability can act as a brake on expensive technological innovations. Since we The quantity of synthetic materials used in carare dealing here with small companies,itis constructionisincreasing. The advantages ofpossible that technological changes are limited.

19 21 6. TRAINING AND RECRUITMENT

In this section we shall first discuss the various 'national'legislation which wasinexistence training systems which are relevant for the sector. before the division of Belgium into autonomous These areexclusivelytrainingcourses which communities (1971: type I and 1957: type II) was specifically prepare the way to technical jobs; recently replaced in the by a these are not courses in the education programme new decree on secondary education. For this which prepare candidates for administrative or reason, type I and type II schools are now only commercial posts in the sector. foundinthe French-language and German- language regions of the country. First we shalllookinsome depth at school education. Almost all relevant courses are taught We do not consider that much purpose would be at secondary education level, similar courses are servedinthecontextofthisreport by re- found throughout the different types of school. examining the whole area of secondary educa- tioninBelgium's threeIcing'. -ge communities. We shallthen look at what are termed the Information on this is provided in the appendices. intermediary training structures: Social Advance- ment Education,thePublic Employment and If we limit ourselves to that area of state education Training Service and Small Business Training. In which is relevant to the sector,itis immediately principle,thecoursesofferedare aimed at apparent that there are certain disciplines in both different target groups and have different objec-secondary and higher education which prepare tives; in practice, however, there are overlaps. We candidates explicitly for a job within that particu- shall then look at the sectoral training initiative. lar discipline. We shall discuss this separately for This does not involvetheprovisionof extra Flanders and Wallonia. We will not discuss the training, but rather a sectoral traininginstitute intermediarystructures,thesectoraltraining which aims to analyze the training needs in the initiative or the manufacturers' training courses various sectors concerned, and to devise suitable for Flanders and Wallonia separately, though we solutions. Among other things, these solutions can do state which data relate to Flanders and which be foundincollaboration with one or moreto Wallonia. intermediary training structures. We would also mention the fact that the foundation participates in Flanders a FORCE project whose aim is to investigate what knowledge of vehicle engineering is required ofThe majority of disciplines which prepare candi- various employees. dates for employment in the sector concerned are found in vocational secondary education. The Finally,there are themanufacturers'training following areas can be mentioned: car technol- initiatives. These occupy an important place inogy, bodywork/panel-beating, lorry driver, cy- thesector,though unfortunately lack of time cles/motor cycles and light combustion engines. prevented us from obtaining complete information In addition, there are six different specialization about them.Inaddition,thereisa lack ofyears (the seventh year), with the 1Ilowing range information about the job profile of employees in of options: special bodywork techniques, special the sectors concerned, and a similar lack of spraying techniques, auto-electrics, commercial information on training efforts in the sector as a vehicles,diesel and LPG engines and engine whole. We do not know what percentage of the maintenance. payroll is invested in training; nor do we know how many companiesinthesectorprovide In technical secondary education we find only nne trainingfortheir employees,let alone whichcourle in car technology and one specialization employees follow which training courses. year in applied car technriigy.

6.1 Training Part-time vocational secondary education offers two courses,in motor vehicle technology and 6.1.1 The Belgian education system bodywork. and the motor vehicle repair and sales sector The possibility of organizing the industrial appren- On 20 June 1983 a law affecting all Belgians came ticeship system (motor vehicle engineering and into force which, in the first instance, extended the bodywork) is also under consideration. minimum school-leaving age to 16 years (full-time education) and subsequently to 18 years (full-time Inthesmallbusinessapprenticeshipsystem or part-time). Prior to that time, schooling had been (apprenticeship agreements and apprenticeship compulsory between the ages of six and fourteen contracts inthe small business sector), young years. The entire secondary education system now people can train to be a manager/owner, car formspartofcompulsoryeducation,giving mechanic, body repairer and in car radiator Belgium a unique position in Europe. building and repair. On 31 December 1990 there were no less than 402 agreements in force The state education structures have developedfor the profession of body repairer and 826 for 20 differently in the separate regions of Belgium. Theowners. Of the 6,714 agreements and contracts 0 involving male apprentices, one in five therefore ic, motor vehicle mechanic, maintenance engi- relates to a trade connected to the sector underneering, engine mechanic, assembly and main- review. As stated earlier, however, the number oftenance engineering, light engineering, agreements in Belgium in the sectors in question maintenance, repair, motor vehicle electro-engi- has fallen by no less than 14% in recent years. neering, car electrics and electronics, bodywork repair and painting, bodywork, car bodywork, In the higher education sector we find only one bodywork painting, bodywork repair. course, in car mechanics. This is a training course of the shorter type. in technical secondary education we find courses for assistant car mechanic/repairer, car mechan- Clearly, then, there is a wide choice of training ic/repairer,car mechanic, engine mechanic, courses on offer for young people wishing to work diesel engines, petrol engines, bodywork paint- in this sector. Additionally, employers have a wide ing and bodywork repair. choice from the young people completing the various types of study. The trainee placements in In the specialization years we find one course in full-time education and the practical components technical secondary education: car electrics and of the apprenticeship schemes are other instru-three courses in vocational secondary education: ments which enable employers to pass on specific motor mechanic, car bodywork and bodywork skills and to screen potential future employees. It is repair. In part-time vocational education there are not clear whether the various types of study are in courses for bodywork repair and repair shop competition with each other or whether a system mechanic. of market segmentsisinplayinwhich,for example, the small business apprenticeship sys- In the small business apprenticeship system we tem focuses on independent businesses while thefind courses for owners,electricity, bodywork vocational and technical education sector aims at repair and car accessories dealer. larger dealerships attached to certain manufac- turers. What isclear,however,isthat,seen On 31 December 1990 no less than 1,522 young historically,thesmallbusiness apprenticeshippeople were following courses leading to these system is no longer geared towards the children occupations.In spiteofthislargenumber, of self-employed workers, who later take over thehowever, we would repeat that the number of business. This appeals to be less and less the case, apprenticeship agreements and apprenticeship and may be one of the reasons for the large fall in contracts has fallen sharply in recent years, and the number of apprenticeship agreementsin thatthis has occurredinspiteof increasing recent years. employment in the sector. Whether thisfallis more pronounced in Wallonia than in Flanders, or Research results are available on the employment vice versa,is not clear, but the fact thatitis achievements of those who have completed a occurring points to a weakening of the market training course. position of the traditional apprenticeship scheme as a training system leading to employment in this We can say with some certain'that, until recently, sector. there was a very smooth transition to the labour market.Irrespectiveofthetypeoftraining We have no data for Wallonia concerning the followed, work was found fairly quickly in a job through-flow to the jobs market, though given the which matched the training (Denys, 1990; Denys, much higher level of unemployment in Wallonia 1991). We suspect that the recent economic we suspect that this is a more difficult process. downspring will have an adverse effect on this Beyond this, the same comments which applied to through-flow in the future. We would also repeat Flanders also apply to Wallonia. that the employment prospects for this sector are rather uncertain. As regards state education, both in Flanders and Wallonia, there ore two important comments to be Wallonia made with regards to this sector. In the first place, the number of institutions offering training courses One difference to Flanders is that more courses in is much too large. Belgium has some 270 schools Wallonia are organized at technical secondaryoffering similar training courses in vocational and level. Thereisalso a more varied range oftechnical secondary education, compared with courses. This has to do with the organization ofbarely 125 inthe Netherlands. These schools the educational system, which allows more scope have toolittlefinancial strength to be able to for specialization. However, financial constraints satisfactorilyfollowthedevelopment of new could mean that the wide variety of options may technologiesIn fact, this cpplies to the majority be cut back in the next academic year. of sectors. Although industry often offers assis- t(Ice in this area,it often remains a make-do- In the vocational secondary education sector we and-mend solution. The only real solution is likely find the following courses: assistant car mechan-to come from a major reduction in the number of 21 ic/repairer, car mechanic/repairer, car mechan- schools. 023 In addition this sector,in common with others, At present this modular course unit system does not complains of a lack of interest among young exist in Wallonia but it is implemented in the state people inthe relevant education. One reason education system. There are three different train- suggested forthisisthe competition from a ing coursesinthe vocational secondary and number of sectors where wage levels are higher technical secondary educational sectors. (such as car assembly). According to the employ- ers, on the other hand, higher wages are only It is difficult at this moment in time to estimate what possible if the price of the service to the client were function these training courses fulfil. We have no alsotoincrease. We wouldpointoutthat figures for Wallonia, while for Flanders the study graduates in the disciplines described above are carried out by Struyven shows that two major also much in demand on labour market as factors play a role (Struyven, 1991). regards qualifications, due to the versatile nature of the pretraining (both mechanics and electronics). For a large group, the free-time factor plays a decisive role. Trainees follow the training courses 6.1.2 The training path to enable them to tinker with their own car (or that There are three main bodies in the training pathof a neighbour) in their spare time. providing courses: Social Advancement Educa- tion, the Public Employment and Training Service, For another group, the qualification is the most thePublic Employment Office and the Small important factor; trainees follow the course with a Business Training Scheme. As its name suggests,view to obtaining the certiPs:ate. What they intend the Social Advancement Education system (SAE) is to do with the certificate is less clear, but itis closely interlinked with the existing state education possible that trainees wish to use it on the job system and is often attached to full-time education market. institutions. Historically, it developed as "second- chance education", which offered an opportunity The present occupation of the trainees has virtually for people who had left state education without a no significance. From this we can deduce that the diploma to obtain one in later life outside working SAE is not used at the moment as a continuing hours. The system also functions as a furthertrainingchannelforthesector,thoughthe training channel, and many people also useit possibility that employees from the sector who forleist.-etraining. The Social Advancement have no diploma or certificate, and who hope to Education systemis without doubt the largest obtain this via the SAE, cannot be ruled out. body providing trainingin the so-called inter- mediary circuit.In1989, 135,000 persons in The Flemish Employment and Training Servi in Flanders were following a course provided by this addition to its work placement task, also has a system; the figure in Wallonia was 124,000. trainingfunction.Obviously,job-seekersare trained so that they are able to obtain skilled In Flanders, the SAE operates two systems. The employment. In recent years training courses have traditional system is based on the pattern of a also been developed for thosein work. The linear education system with a strict division into philosophy behind this is that those in work need subjects and years. In order to complete a course to update th. it training in order to maintain their successfully, the traineeisusually required to jobs. In general, these training courses are very followallsubjects on the course for a few positively evaluated by employers. evenings per week over a period of three years. In higher vocational secondary education, thisThere are currently ten basic training courses for system offers a choice of nine training courses. careers in the study sector. In addition to this, there Two courses are offeredinhighertechnical are five specialist training courses. These can be secondary education. followed by people who have successfully com- pleted a basic training course, but are also open In addition to the traditional system, a modular to those in work who wish to update their training. course unit system has been in existence for a In this case, it is usually the employer who takes number of years.There are no consecutive the initiative. The following figures illustrate the academic years in this system. Each vocational results of some training courses. Six months after training courseisdividedinto a number offinishing a particular training course, 56% of the modules which forty useful,oherent fields of formerly unemployed people had a full-time job, knowledge at a given level and which are buili up 3% worked part-time, 12% followed a new from a number of career-orientedunits.This training course and 29% were still unemployed. makes the modular system much more flexible This result is comparable to the general results for and closely adapted to the needs and require-all the training courses. mentsofpresent-dayemployers.Thereare currently two training courses in this new system In Wallonia, the Employment and Training Service in Flanders. Experts feel that the system will have offers two training courses, butitisnot clear t. be developed along more flexible lines in the whether these are basic or specialist courses. future. 22 24 An extremely important factor in the context of this be paid to those involved in training programmes study is the agreement which has been reached in the context of Royal Decree 495 (alternating between the Flemish and Walloon Employmentemployment and education for young people and Training Services and the sector, regarding aged between 18 and 25). the so-called 0.18-0.25% funds. The 1989- 1990 interprofessional agreement contained a The third major provider of training courses is the commitment that the private sector should provide Flemish institute for Self-Employed Businessmen 0.18% of the gross wages paid to employees to (VIZO).In Wallonia thisinstituteis known as support employment-promoting initiatives for risk 'I'Institut de Formation Permanente des Classes groups. Moyennes'. These institutes supervise the tradi- tional apprenticeship schemes discussed earlier in In the most recent interprofessional agreementthis report. They also provide training courses (1991-1992) this contribution was raisedto designed to update skills. The most important of 0.25%. The declared intention was that at least these is the course in running a small business. This 0.10% would be spent on the most vulnerablecourse covers both aspects of running a business groups on the labour market. These contributionsand subject knowledge. Language courses are are collected by the National Social Security optional. In principle, only those with the relevant Department and then paidinto the National practical experience are permitted to follow this Employment Fund. course, though exceptions to this rule are possible.

The agreement also provided an alternative way In Flanders, courses provided include training for of spending the contribution. Individual sectors or a career as a bodywork repairer, company companies can obtain exE motion from the Minis- owner and used car dealer. In 1990 more than try of Employment and I Jf-xoui. on condition that 1,000 trainees followed courses in these occupa- they reach a commiimain in Collective Labour tions.Approximately oneintwelvetrainees Agreement to make at least equal efforts on behalf follows one of these courses for a career in the of risk groups. In this case, the contributions are sector concerned. paid into the accounts of jointly managed funds or a non-profit organization. These sectoral fundsIn addition to these small business courses, there have takena range ofinitiatives aimed at arealsocompletioncourses and advanced rehabilitating risk groups into the labour market, courses.The completioncoursescontainno including the granting of employment subsidies. activities which relate to this sector. Advanced courses are organized for bodywork repairers Many sectors and companies have made use ofand electricians. this facility,sinceit enables them to keep the financial resources within their own sector or In Wallonia, training programmes have been set company.Inaddition, they are then able toup for the jobs of repair shop mechanic, body determine themselves what training and employ. repairer, accessories dealer and auto-electrician. ment initiatives will be implemented. In 1990 there were 784 trainees on these courses.

Several sectors have opted to set up an institute to As regards further training, there is also a business regulate thesematters. The majority of thesemanager section, with places for one hundred institutes have in turn elected to work together trainees. with the Flemish Employment and Training Service oritsWalloniancounterpart,FOREM.This 6.1.3 The sectoral training initiatives collaboration is not exclusive, in that it does notWe mentioned earlier the collaboration agree- rule out initiatives with other training bodies. We ment betweentheFlemishEmployment and shall return to the sectoral training institute later. Training Service, its Walloon counterpart and the What we can .ayisthatthecollaboration sector. The 0.18% and 0.25% funds have set up agreement withthe Flemish Employment and oninstituteinthe sector(the Foundationfor Training Service and the Employment and Train- Vocational Trainingin the Automotive Sector), ing Servicein Wallonia ledto 198 training whose first priority is to ensure that this money is courses in 1991, tailored to six different jobs. usefully spent. As stated above, the target group of the 0.18%-0.25% contributions are the so-called Itis noteworthy that these training courses arerisk groups people with low qualifications and followed by a training placement in a 'guardian'the long-term unemployed although the total company, and that successful completion of a sphereofactivity ismuch wider.Thus,for training course guarantees a job. example, the foundation acts as a voice for the sector in contacts with state education - vocational It is also striking that in the sector studied, the full and technical secondary education,part-time 0.18% and 0.25% contribution was spent on education, the industrial apprenticeship scheme training, which was certainly not the case in all and the traditionalapprenticeshipscheme. sectors. The sector did make use of the National Through representation on sector committees, the 23 Employment Fund to enable an adequate wage to foundationisable toexert influence on the 25 curricula of those areas of state education relating number of . ourses on offerso many in fact that to the sector. there are calls for rationalization (particularly as regards thestate education sector). The most In view of the large number of training courses important developments are the sharp decline in provided in the intermediary circuit, the founda- the traditional apprenticeship scheme as a pro- tion has a natural coordinating role to play here. vider of future employees in the sector, and the The need for efficient use of scarce funds makes it emergence of the foundationa jointly managed necessary to arrange a division of tasks between body whose most important objective is to balance the vat ous major training bodies. On the other supply and demand on the training market. hand, it is by no means certain that some form of regulated competition is necessarily a bad thing. The foundation could have another important role 6.2 Recruitment inmonitoringthequality of trainingcourses Virtually nothing is known about the recruitment offered. Finally, the foundation must constantly sector.Thus,for example, we do not know review the field, monitor new developments and whether the various trainingprovidersinthe closely analyze training needs. educational sector are in competition with each other, or whether the market is segmented. We mention finally an initiative for commercial employees. CEVORA, a traininginstitute con-The question of whether qualifications and diplo- nected to the Supplementary Joint Committee formas play an important roleinrecruitmentis white-collar workers (see Chapter 3. Institutional another factor which is difficult to ascertain on and social context), organizes a training course for the basis of scientific data, though we suspect that commercial employees. The purpose of the course only a few people are still able to find work in the is to provide women seeking employment with the sector without any kind of diploma or training. We opportunity to enter the labour market by follow- do know from our own research that in some cases ing a car saleswoman training course. The ideapeople who have followed training courses in for this course started in France based on thedifferent disciplines (e.g. timber) find work in the discovery that car saleswomen achieved bettersector. Of those who have completed courses in results than their male counterparts. the relevant disciplinesintheregular school education sector, we know that the vast majority 6.1.4 Manufacturers' initiatives find employment in a job which is related to their As stated earlier, Belgium has an open motor training. This applies both to those coming from vehicle market, in which c he major European, full-time education and from the apprenticeship American and Japanese manufacturers are repre- system. sented. Almost every manufacturer has its own( training infrastructure in which technicians andThose involved in the sector are concerned about commercial staff,in particular, are required to the low level of attroction which the sector exerts follow regular training. This is particularly the case on young people. In the first place this is attributed when new models and new, sophisticated tech- to the better wages paid in competing industrial nologies are introduced. We are not aware of any sectors and to the unattractive areas in which data showing how many employees follow such people are sometimes required to work. In order to training courses annually and whether different put this into perspective, we would mention that strategies are adopted in this respect by different this is a problem which is being experienced by all manufacturers. What is certain is that the manu- industrial sectorsas well as by the construction facturers' training initiatives form an essential part industry. It is therefore in no way a factor which is of the total training efforts in the sector. It is also sriecific to this sector. unclear whether the employers' organizations have any control over training courses of this Finally, we would note that certainimporters type. The case studies look in more detail at these exercise strict control over recruitment at dealers specific training courses. and agents. For some makes of car, the selection (even of administrative staff) is carried out by the Belgium's central locat;on in Europe has led a importer. number of manufacturers (e.g. Toyota and Maz- da) to set up their European Training Centre here. We would repeat once again thot we have no data on the overall qualification level of the sector, Conclusion let alone regardin i any developments over time. Itisno simple mattertodef'ne thetraining Although it is certain that the average qualification initiatives in this sector. Both in the state education level of employees isrising, we do not know sector and the training paths there are a large whether this rise is relatively strong or not.

24 26 47. APPENDICES

Appendix 1: The new general tradition of the school and the socio-economic framework for secondary education in environment in which it is situated. the Flemish Community As the coexistence of two different structures in In the second year all pupils follow a basic course secondary education caused quite a number of of at least 24 periods per week, consisting of the complicatedorganizational, budgetary and followingsubjects:religionor non-denomina- psychological problems, the Flemish Community tionalethics,Dutch,French,English,mathe- decided to replace the two forms typeI and matics, history, geography, science, art educa- type II with a new general framework fortion, tecnnological education, physical education. secondary education. As a result of this decision, At least 24 out of 24 periods are followed by all

from 1 September, 1989 all Flemish secondary pupils. Special arrangements exist for pupils who schools progressively adopted the new organiza- follow vocational education from the second year. tional form, from thefirst year of secondary They study the same subjects provided in the basic education onwards. course, except for French and English, but do so in a separate group. Apart from the basic course, 8 In accordance with the decree dated 31 July,to 10 periods are available for each school to 1990 the new framework for secondary education develop itsindividual character.In the second in the Flemish Community is composed of three year of vocational education the basic course is stages of two years each comprising four differentlimited to 16 periods. Two groups of subjects (a forms: total of 16 periods) are added to this package. Each of these groups provides an introduction to general academic education; the and practice of the main occupational technical education; sectors. arts education; vocational education. From the third year up to and including the sixth year, the four forms of education are organized Each stage consists of two years of study and separately,with a common and an optional forms a complete unit. At the end of the third stage package. The common part consists of the basic of general academic, technical and arts second.course; optional subjects are either fundamental ary education,pupils may be awarded the (depending on further choices) or complementary. certificate of higher secondary education giving access to higher education. At the end of general Basic training from the third to the sixth year academic education,itispossible to take a consists of the following subjects: religion or non- seventh year of preparation for higher euuca- denominational ethics,Dutch, second modern tion. On completion of the special seventh year of language, mathematics history, geography, vocational education, pupils may also obtain the science and physical education. General aca- officially recognized certificate of higher second-demic education also includes a third modern ary education. The po.sibility of taking a seventh language. Invocational educationthebasic year ofspecialization and/or completionoftraining from the third up to and including the training exists in technical, arts and vocational sixthyear consistsof thefollowingsubjects: secondaryducation. religionor non-denominationalethics,Dutch, history and geography (the last two subjects may The four forms of education are not organized be replaced by an integrated social education separately in the first stage. However, there is course) and physical education. one exception: vocational education is organized from the second year onwards. From the second A wide range of subjects are offeredinthe stage on, the four forms are organized sepa- optional section to supplement the basic course. rately. This does not rule out the possibility of organizing a certain number of common courses. Although in principle each school may emphasize In vocational education a fifth year of specializa-certain aspects through the organization of the tion may be organized as a short cut to entering periods available outside the compulsory basic employment. educationprogramme, thispresupposesthat arrangements are made within the various educa- In the first year, all pupils follow a common basictional networks and that common programmes be educationofatleast 27 periods per week developed. consisting of the following subjects; religion or non - denominational ethics, Dutch, French, mathe- Part-time education matics, history, geography, science, arts educa- tion,technicaleducation,physicaleducation The law of 29 June, 1983 relating to compulsory (English may also be included). In addition, fiveeducation provided for the creation of part-time periods a week are left to each school to fill as secondary education, whichis called reduced they wish within a defined and legally fixed timetable education. The Royal Decree dated 16 framework. This allows the school to assertits July, 1984 established this form of education for 25 own character as regards,for example, he an experimental period of two years. With the addition of some necessary modifications, new Appendix 2: Secondary education in the decrees prolonged this experimental stage for the French- and German-speaking following years. Communities

Decrees emanating from the various Community Type I education Councils will provide a definite form to this type of education which,inprinciple,isfollowed by In accordance with the law dated 19 July, 1971, pupils under the age of 18 who are not required type I (reformed) secondary educationis com- to follow full-time education. However, it has been posedofthreestagesof two yearseach: extended to incl,ide young people between the observation(1stlevel),orientation (2nd level) ages of18 a id25 who have signed an and determination (3rd level). apprenticeship contract in industry, or a work- training agreement, and to those who, before theIt is organized in four separate forms: age of 18, were already attending a part-time education centre. general acader .c education; technical education; In the Flemish Community, part-time vocational arts education; secondary education was given legal status in the vocational training. decree dated 31 July, 1990, which confirms the existing experimental structure. It is organized in two I. ajor study channels.

Part-time secondary education is provided for 40 the transition stream for general academic weeks a year with 15 weekly periods of 50 education and part technical education.Its minutes (8 periods of vocational training and 7 main aimisto prepare pupilsfor higher periods of general academic education). education whilst leaving them the option of choosing to enter working life instead; It is provided by Centre voor Deeltijds Onderwijs (CDO/Centres d'Enseignement a Horaire Reduit the qualification stream, short-term at the end (CEHR) (Centres for Part-time Education), of which of the fourth year, long-term at the end of the there are 48 in the Flemish Community, 40 in the sixth year, the main aim of which is to prepare French-speaking community and 2 in the German- pupils for entry into a career by obtaining a speaking Community. qualification certificate whilst allowing them the option of continuing their studies in higher Itisthuspossibletoobtain aqualification education. certificate equivalent to the one awarded on completion of short -term or long-term vocationalThe purpose of the first level is to provide a broad education. general basic education; it allows the teachers to observe pupils in order to discover their main Practical periods incompanies and otheraptitudes; in principle, the curriculum is the same establishments - for apprentices from full-timefor all pupils in the first year A and includes a secondary education common syllabuswithcompulsory'trial'or optional activities, supplementary and reinforce- Practicalperiodsarebecomingincreasingly ment classes and, if necessary, extra courses for important aspects of the curricula in a number of pupils who encounter difficulties. study areas in technical and vocational training. These are incorporated in the weekly training The curriculumforthe second common year plans. The quality of thesepracticaltraining consists of a basic syllabus and an optional periods varies greatly but in general they dosyllabus to Ix chosen freely by each pupil, and make training more effective. consisting of four or six periods (Latin, economics, science, art, music and technical subjects). The schools can decide oneitherblockor alternating practicals. Block practicals take place For those pupils who encountered difficulties in the at a variety of training centres both in the country course of their primary education and who cannot and abroad. The alternating procticals are inter- successfully complete it or cannot do so within the rupted by set periods of theoretical learning. prescribed time limits, a modified syllabusis provided in a first year B (the so-called introduc- In the second and third year of the 3rd level of tory year). In the second common year, a second BSO, preference is given to occupational-oriented year of vocational trainingis provided with a practicals which can be brought forward to the different syllabus in which pupils are introduced to first year of the 3rd level of BSO and take the at least two occupational fields. form of "participant practicals" or "commissioned practicals". The first stage should enable pupils to be oriented' in the most suitable way towards the different 26 courses available in the second stage. 28 Table 1 - The general system of secondary education in the Flemish Community

I- . I*. I 3rd year1 I 3rd year 3rd year 3rd year I VHO I I specialization 1 1 specialization year/VHO specialization year/DSO i

r- 1 -1 2nd year 2nd year I 2nd year 2nd yeor

ASO ISO I KSO BSO

1 _1-

1 1 1st year 1 r1st year 1st year 1st year 3rd level 1 ASO ISO KSO BSO 1 I

3rd year advanced BSO

i 2nd year 2nd year 2nd year 2nd year i i BSO I ASO ! ISO KSO I I 1

I

1st year 1st yeor ist year 1st year 2nd level ASO ISO KSO BSO

BVL 2nd year IL L_

1 T 1st year B 1st year 1st level [(1st year B - alternative)

ASO: Algemeen Secundair Onderwijs -General secondary education TSO: Technisch Secunda:. Onderwijs - Technical secondary education KSO: Kunstsecundai Onderwijs - Secondary education (arts) BSO: Beroepssecudair Onderwijs - Vocational secondary education VHO: Voorbereidend )oar op Hager Onderwijs - Higher education preparatory year 1350. 3de jaar BSO om het diploma secundair onderwijs to behalen - 3rd year BSO with diploma in secondary education BVL: Beroepsvoorbereidend leerjaar - Pre-vocational year

The second stage offers different syllabuses, both favour of the optional part which constitutes the in the transitional section (general, technical or study orientation. arts education), and in the qualification section (technical,artsorvocationaltraining).The At the end of the third stage, several years are common training is reduced, whilst the optional organized, such as: part (single or grouped basic options, comple- mentary options) is increased. a preparatory year for pupils going on to higher education (a special year of mathe- At the end of the second stage the following matics, science, modern languages); options are available: proficiencyorspecializationyearsinthe qualification streams; a proficiency or specialization year inthe a year leading to a higher secondary educa- qualificationstreams(veryreducedbasic tion certificate in vocational training. syllabus); a reorientation year for pupils who wish toThroughout the first two stages and to a lesser change to a different section in the third stage. extent in the third stage, there is the possibility of transferring from one form of education to another, At the outset of the third stage pupils make their as well as 'bridges' from vocational education to choice from the study orientations available to other types of education. them. The basic syllabus is reduced still further in 27 kcr BEST COPY AVAILABLE The structure of Type 1 (comprehensive) secondary At the beginning of the lower cycle pupils may 1. education represents a clear move forward withchoose between sevensections:Latin-Greek, regard to equal opportunities, but the number of Latin-mathematics and Latin-science(classics), pupils repeating a year and falling behind or scientific A or higher mathematics, scientific B or abandoning their studies, as well as the number mathematics and science, economics and human changing to another form of education following a sciences (modern humanities). failure may give rise to doubt as to its qualitative effectiveness; inequalities inherent in social back- In technical secondary schools there is a common ground weigh heavily on the choice of stream and first year, referred to as the 'orientation year', this choiceisoften conditioned by failurein priortothedifferentiationintoseveralstudy primary education or in a form of secondarychannels which occurs from the second year education whichoffersgreater prospectsfor onwards; this first cycle, beginning after the first entering higher education or entering work in thecommon orientation year, lasts three years and future. leads to an initial qualification. Pupils who are judged to have the required ability may embark upon the higher cycle, which also lasts three Type II educational path years. Technical schools also provide vocational train.ig, which has the same structure as technical Type II secondary education consists of six yearseducation. divided into two cycles of three years each. The structure of type II education (with channels or From the first year of type II secondary education, streams) implies that the study streams are clearly a differentiation is made between general second- chosen at the end of primary education and that a ary schools and technical secondary schools. selection is made between pupils who wish to practise a trade and others who wish to follow Th:-.eisalso a difference from thefirst yeartraining as a preparation to higher education and depending on whether or not pupils take Latin. Ashigher social functions; in most cases, the initial early as the lower cycle another differentiation is orientation determines the pupil's school career, in made between pupils who choose to follow Greek spite of the possibility, in theory, of changing over courses and pupils who do not. from one stream to another.

28 30 Table 2The structure of type I secondary education 1 1. Higher education 1 -. Progression Qualification LK A + T + K T + K B ---1

I Preparatory I 1 year for higher ; 7th V/S4 j 7th V/S3 4 I t education , L______! 4 L 4 4 I

: I 6th year I 3 I rthyearl 3 4 6th year4 l i I L I L L 4 4 t- t . . 1

1

I 1 1 3rd level i 1 5th year 5th year 5th year 1 1 L I L__ I 4 1t 1 r

I I

KK . . . T + K

5th V/S4 5th V/S4 i______1 i ., I . , 1 I E----- 1------1

4th year . I 4th year i 1 4th year 1

L_ . . ---[L__.4- _t__ I r-- ' ---, I2nd level! I 3rd year/ ! : 3rd year' Hrdyear t [ 2nd joint year : , Pre-vocational I

year ,

4 1

[ i sr year A5 1 1st year B5 I 1 i i I t t t

1st level 6th year basic education

A Algemeen secund,;r Onderwijs - General secondary education T. Technisch secundair onderwijs - Technical secondary education K: Kunst secundair onderwijs - Secondary education (arts) B: Beroepssecundair onderwijs - Vocational secondary education V/S: vervolmaking en/of specialisatie - advanced and/or specialized KK Korte kwalificatie - shortpath qualification LK- Lange kwalificatie - long-path qualification

I Getuigschrift basisonderwijs - certificate of secondary education 2 Getuigschrift lager secundair - rtificate of lower secondary education 3 Getuigschrift hogei secundair - certificatef higher secondary education 4 Kwalifictiegetuigschrift - certificate 5 Bekwaamheidsdiploma diploma

BEST COPY AVAILABLE

it 29 Table 3 - The structure of type II secondary education

Organization of standard secondary education T Lower cycle Upper cycle General sections General sections Humanities Humanities

Latin-Greek

Latin-Greek ri(4) (5) (6)

r(2) (3) 1 LatinSciences (1) [Latin Mathematics L (4) (5) (6) (2) (3) I.Latin-Mathematics (4) (5) (6)

Humanities Humanities

Scientific A General Training (4) (5) (6) Higher (1) (2) (3) Scientific B education (4) (5) (6) Commei- Home economics Economics Primary (5) (6) education 1-(1) (2) (3) (4) (4) (5) (6) -I Humanities (4) (5) (6)

Arts (1) (2) (3)------l-

Technical sections I Technical sections

(1) (2) (3) r (4) (5) (6)

I F SA S A

(4) (7)

Vocational sections Vocational sections -.1- (2) (3) (4) (5) (6)

LFSA Complementary (4) (5) (1) (2)

L._ I The technical and occupational sections have not been broken down on account of their diversity. F = Final S = Specialization A = Advanced

REST COPY AVAILABLE

30 Appendix 3: Car sales in Belgium in 1990 and 1991 by car make

Car sales in Belgium in 1990 and 1991

1990 9a 1991

1. Opel 51,696 11.2 57,160 12.1

2. Volkswagen 48,538 10.5 57,619 12.2

3. Ford 43,406 9.4 41,596 8.8

4. Renault 41,848 9.1 49,226 10.4

5. Peugeot 38,039 8.2 39,325 8.3

6. Citroen 29,490 6.4 29,902 6.3

7. Toyota 28,851 6.2 29,806 6.3

8. Nissan 28,442 6.2 22,442 4.7

9. Audi 18,182 3.9 17,884 3.8

10. Mazda 17,808 3.9 15,050 3.2

11. Fiat 17,582 3.8 16,464 3.5

12. BMW 12,765 2.8 i 1,053 2.3

13 Mercedes 12,275 2.7 11,978 2.5

14. Mitsubishi 9,032 2 0 9,108 1.9

15. Volvo 8,419 1.8 9,327 2.0

16. Vaz Lada 7,561 1.6 8,645 1.6

17. Honda 6,368 1.4 6,953 1.5

18. Seat 6,318 1.4 7,510 1.6

19. Suzuki 5,516 1.2 4,779 1.0

20. Alfa Romeo 4,753 1.0 4,602 1.0

21. Lancia 3,983 0.9 3,080 0.7

22 Daihatsu 3,749 0.8 3,647 0.8

23. Rover 3,294 0 7 3,568 0.8

24 Subaru 3,020 0 7 2,788 0.6

25. Chrysler 1,849 04 1,773 0.4

26. Skoda 1,763 04 1,090 0.2

27. Saab 1,720 04 1,503 0.3

28. Hyundai 1,032 0 2 847 0.2

29. Chevrolet 747 0.2 625 0.1

30 Pontiac 679 0.1 559 01

31 Land Rover 589 0 1 627 0 1

32 Jeep 519 01 587 01

33 Jaguar 517 0.1 588 0.1

34 Porsche 500 01 530 0.1

35Buick 275 0.1 158 0.0

Source FEBIAC PART 2:

1.Peugeot Talbot

2.Volvo

3.Ford

4.Mercedes

3.4 1. PEUGEOT TALBOT

Size of company: V people. Ciac Service Ghent has 66 employees and is the subject of this case study. Make: Peugeot Talbot Thirty-fivepeople are employedinthe Ciac Category of motor vehicle: A Service Ghent repair shop. This is divided into a service repair shop and a car body repair shop. In Type of company: C the car body repair shop, one woman is working as a salaried employee. Three administrative 1. Basic information employees are linked to the repair shop. Nine The first case we selected is Ciac Service, an people are employed in the warehouse (7 workers independent, private limited company, which is aand 2 employees, one of whom is a manager). recognized sales and repair shop (dealership). The company is located in the centre of Ghent. The sales manager's department consists of a sales secretary, 4 female employees, 5 sales people As a dealership, the company supplies cars to and 1receptionist. There is also an employee in localdealers and directlytocustomers. The charge of second hand cars and 6 workers who company also provides maintenance and repair prepare cars for delivery. services for the cars that they sell. Local dealers also make use of the infrastructure or know-how ofA typical feature of the company is that they recruit the repair shop. frompeople leavingschool.However, older employees with alotof experience are also The company is one of the largest in the sector in employed in the company. The company used to the Ghent region, and also in the Flemish part of recruit mainly low-skilled or unskilled people. Belgium. The repair shop and the related service Now recruitment is directed at low-skilled and and administration has a staff of 47. 19 people skilled persons on the labour market. All new are employed in sales and distribution. employees begin at the bottom, doing very simple tasks. The company is also obliged to employ The company deals mainly in family cars up to apeople with a "practical contract". Furthermore, maximum of 3.5 tonnes. The brand names are the company alsohasstudentsdoingtheir mainly Peugeot and, to a lesser extent, Talbot. Due practical period (practice). So the age structure to its size, the company specializes in all parts: of the company is somewhat polarized between electronic, automatic transmission, engine, injec-younger people (under 30 years) and older tion and ignition, suspension systems, exhaustpeople (above 40 years). This polarized age system, car body, air conditioning. In addition, itstructure causes some problemsinpersonnel specializes in alarm and mobile-phone systems. management. Some people are clearly finishing their career by "tuning down" and have difficulties Vocational training usually takes place externally,following new developments in the sector. mostly at the car importer's centre(cfr.infra). Training also occurs in the company, especially There are three employees of foreignorigin training by suppliers. (Moroccan and Algerian),but theyallhcie Belgian nationality. The company estimates that an employee attends on average of three to five days' training a year. Recruitment qualification levels differ, depending The main part of the trainingis technical (the on the various functions. For salesmen, there are company estimates ±95%), and 5% is manage- very few qualification requirements. Candidates ment and marketing training. must be of good "character". During the past two years,people withpost-secondary education 2. Personnel management and qualifications have applied, but the company is vocational training not especially seeking to recruit at thislevel. Ciac Service Ghent is part of a holding company Recently, someone with a marketing qualification comprising: Ciac Service(dividedinto Ciac joined the staff. It is possible for people in the sales Service Ghent and Ciac Service Aalst); Ciac Rentdepartment to continue their career in another and Ovac. Ovac distributes Nissan cars. functionwithinthe company, butthisrarely happens. Thereis a large labour market for All logistic support (accounting, personnel, admin-salesmen. There are also a lot of applicants for istration, repair shop and warehouse) is provided sales positions, with wide experience in other by Ciac,Service Ghent. sectors where their job involved spending a lot of time in other countries. After some time, these The holding company has no employees,itis people begin to search for a job, closer to the purely a financial structure. The companies in the"family structure" and less "time-intensive". They holding company employ approximately 100want to have more time for their families. One of people. Ciac Service Aalst employs 15 people. the main problems for the sector is tiara they cannot Ciac Rent and Ovac together employ about 19 offer these people acceptable wages. 33 35 The employees in the repair shop generally have a in continuing vocational training programmes are "mechanics A2" certificate(higher secondary updating technical knowledge and skills. Career technical education). Foremen have a certificate planning within a car company is not an objective "A 1 (higher education), but someoe with a of vocational training. An employee in the body "A 1 " certificate is not necessarily a/good fore- work department remains there for the rest of his man. At present, there are two foremen in the career. A mechanic can, in some cases, reach the company. This is linked to the workforce organiza- level of foreman. tion. Foremen need specific qualifications: they have to make decisionswhether a part has to be In past years, the volume of training programmes replaced or not; they must also be able to allocate has increased steadily. This trend is also antici- the work efficiently.It was noticed that there are pated in the future, as the car becomes more specific problems in the recruitment of workers. complex (micro-electronics) and new parts are The average wages in the sector are Bfr 10,000 to introduced (mobile phones, catalytic converters). 15,000 (ECU 200-300) lower than the average wages in the motor vehicle sector. Therefore, it isA second reason why vocational trainingwill often difficult to retain a well-qualified mechanic. increase, is the development of work intervals and Inthe Ghent region,thereisan important work volume. Some years ago, a car needed to be competitor,i.e. the Volvo truck assembly com- serviced every 1,500 km and this meant half a pany. day's work for one person. A more extended service involved a mechanic for a whole day. This Availabili;y of bodywork mechanics and spray has now changed to servicing every 3,000 or painters has improved. Some two years ago, it5,000 km,withatendencytowardsevery was impossible to find suitably qualified people. 10,000 km, where the work is done in an hour Since employment in general is falling, there is no and an extended service is completed in 2-3 longer a shortage of bodywork mecI.anics and hours. The volume of work is decreasing while the spray painters and the level of recruitment has work interval has shortened. become higher. No exact information on training programmes is A specialized office is involved in the recruitment available, but the company estimates that training procedure,andinitialselectioninvolvesthe programmes take place once a year in line with a personnel service selecting CVs or inviting somecar model change (2 days) or the introduction of a people for interview. They pay special attention to new model (3-4 days). The minimum number of the ability to make contacts and social attitudes. A employeesthatparticipateinthesetraining crud, l question seems to be whether someone fits programmes are the technical adviser of the in the company. company and the more highly skilled mechanics. Every two or three years there is also a training The workforce is organized in two shift systems programme fort lectricians. The technical adviser and the company is open 44 hours per week, and sometimes the foremen also participate in this while the working week is 36.5 hours. One shift, programme. Training programmes for bodywork led by one of the foremen, works from Monday toare decreasing. There is a tendency to commission Thursday. The other shift works from Tuesday to manufacturers of paint work materials to organize Friday. In this shift system, each shift has a long these training programmes. For bodywork, the weekend every two weeks This makes it neces-company is seeking suppliers who also provide sary to have two foremen, but problems often training programmes.These "training pro- occur due to absence(continuingvocational grammes" are often "demonstrations". training,illness,leave) anditisnot always possible to have a foreman in the repair shop. Employees from the sales department also partici- pate in training programmes on technical aspects of the different models. They need to have an up- 3. Continuing vocational training to-date view of technical developments in order to perform their sales function well. Moreover, they 3.1 Actual situation participateintrainingprogrammesinwhich Staff generally participate in training programmes information is given on other brand names. So organized by the car importer. These trainingthey know the exact differences between the programmes are organized in line with: products theysellandthosesoldbytheir competitors. Salesmen need to have some techni- changes in a model; cal information on the competing brand names. introduction of a new model. There are also specific training programmes in sales techniques. These training programmes go Although the participation level of the company is beyond general sales techniques, by focusing on rather high, staff remain employed in the same "car sales techniques". Target groups are new function,evenifthey follow severaltraining salesmen as well as experienced salesmen. This programmes. A career in a car repair shop or intraining programme is organized by an external car sales is a very flat career. The main objectives institute. Furthermore, the company has some company- think that consulting information was an indication specific initiatives. Sometimes staff participate in that they were insufficiently qualified. Nowadays, training programmes offered by the Vlerich School attitudes are changing. The car is becoming more for Management (related to the University of and more complex, and it is necessary to refer to Ghent). It involves training programmes such as information. If the company stores all available management, marketing, sales, accounting, ad-information in an easily accessible system it can ministration, value added tax, fiscal policy, infor- be rapidly consulted. matics. Staff members are also permitted to attend training programme courses run by the Flemish Thisseems tobe one oftheproblemsfor Employment Service (VDAB, Vlaamse Dienst voor independent and small dealers. They have no Arbeidsbemiddeling en Beroepsopleiding), such as time to organize all the available information; they MS DOS, administration. There are also follow-up do not want to make time for it or they do not colloquia and seminars to discuss specific items consider it important. When they have a technical such as the environment, licences. problem for which they have no solution and for which they cannot find information, they contact Company policy is such that every employee can thelarger dealers(dealerships)fortechnical draw attention to vocational training needs. For support. Some interviewees clearly mentioned example if someone notices the announcement ofthat this is an indication that they never consult particular training programmes that could be of documents. general interest to the company, or if someone wants to participate in a training programme, this An important development in the repair shop is can be discussed with the personnel department. that machines are becoming more expensive and more sophisticated. So machine-oriented training In several areas, there is a tendency to use training programmes are becoming more important (e.g. programmes offered by suppliers. Potential suppli- diagnostic equipment). ers are always asked to demonstrate their product. They are also askedifthey provide specific The decision as to who can participate in which training programmes. An example is the system training programme is taken by the after-sales the company used to find a supplier of spray director, who supervises the management of the cabins. New spray cabins not only imply a new repair shop, maintains contacts with the importer, way of working, the production technique also ensures the circulation of technical documentation needs to be adapted to environmental regulations. and the management of guarantee files. He makes Thus supplierwho offer training programmes decisions concerning trainingin relation to the have a greater chance of being selected by the needs of the company. These "needs" are in terms company. of training in electrics, electronics, and diagnos- tics. When employees are selected to attend a Thisstrategy was also employed whenthe training programme, they are informed by the company started to specialize in the irstaIIationafter-sales director. Thereisno discussion or of mobile phones.Inthe past,this was sub- consultation. There is also no tradition in involving contracted, generally to mobile phone manufac-trade unions in consultations concerning voca- turers. This was the most obvious strategy, because tional trainingat company level.Consultation there was not a great demand for mobile phones. between social partners at company level (com- However,recentlythe company management pany works committee, safety and health commit- noticed that the demand for mobile phones was tee, union delegation) in practice never concerns increasing. At that time, the management decidedvocational training. During the interviews, it was to train their employees to install mobile phonesstated that sometimes employees did not under- without sub-contracting. Some suppliers of mobilestand why they were selected to attend a training phones were contacted, to explain the installation programme, but they did not look on it as an procedures and the company now installs the obligation. Mostly they are satisfied with selection mobile phonesitself,which has considerably toparticipate in trainingprogrammes.The reduced the customers' waiting time. employees interviewed were convinced that every- one, according to their function, had sufficient An important factor in recent developments seems opportunitiestoparticipateintrainingpro- to be self-tuition. This was not only very clearlygrammes. However, they agreed that there are mentioned by people responsible for training, but not enough training opportunities. also by workers interviewed. Car producer- often produce technical brochures, containing ir,:orma-The main work in a car repair shop is currently tion on different models. In addition circulars, e. g I diagnostics. This implies technicalinsight and how a particular part has to be repaired or some intelligence. All other tasks are rather simple restored, are a widely-used information channel. jobs, e.g. oil change, replacing tyres and wheels, The company stores this information systemati- dismantling and assembling(e.g.theclutch), cally, and it can be consulted by anyone who replacing the brakes, replacement of the accel- needs it. Previously, the mechanics never consulted erator cable, customer reception. These are jobs literature or written information. They seemed to for which no special qualifications are necessary. 35 31 On the other hand, we have diagnostics. Once a (NOx) have to be measured. Finally, there is the L. 1t is establishe_:, the other jobs are relatively example of ignition and injectio? systems. These simple: diagnostics indicate which part is mal- used to be two separate parts, but recently the functioning, and if a part has to be replaced or systems were integrated. Thus, diagnosis and repaired. We may, for example, look at the repai)f this part has become c more complex development of servicing. Some years ago, this task. was a major part of the work that had to be done. The car spent some hours in the service station and The requirements that are expected of a mechanic it could take up to an hour for the mechanic to have become higher. This is also reflected in the reset the valves. The easiest work, the oil change, way training programmes are established. Some- wcs the most important part of the job. So the one who has just left school, is not accepted as a mech:nic who could complete this work quickerproficient mechanic. He has to learn lot of things than other employees was seen as one of the best during his first years, and he has to be brought into employees. He was an important figure in thethe company'strainingsystem.Thetraining production process. Now, an oil change takes systems have, according to those in charge of about 20 minutes. So, if someone is a little bit trainingprogrammes, changedfrom"rather faster than someone else, itis not so important. theoretical" instruction to allowing course partici- The important part of the production pr-zess is the pants to become practically involved, e.g. fault work that is done by the mechanic. The mechanic detection. Simulation techniques are used for this who is able to establish a correct diagnosis is the purpose.Faults are simulatedinseveral car pivot in the production process. However, working models for detection via diagnosis. According to with diagnostic equipment requires training. Notemployees interviewed,thereisstilltoolittle everyone is able to work with diagnostic equip-practice in the training policy. The most significant ment. One has to learn to reason and to interpret. omissionis that there are few opportunities to Car manufacturers are currently researching new practice the things learned in a tru.ning session in inte::,ctive diagnostic equipment. Also, standard- the company itself. ized systems are increasingly being usedin training programmes, e.g. if the tension between 3.2 The Peugeot Talbot "School", point a and b is less than K, measure the tension Belgium (PTB) between b and c. This tension must be y. The most important form of training which staff members of Ciac Service Ghent participate in is Establishing a correct diagnosis, even for complexorganized by the Peugeot Talbot Belgium schools and rare problems, is an important competitive in Ukkel and Nijvel (region of Brussels). Currently, advantage. This is one of the reasons why thethe Ukkel department formulates the technical companyisinvestingso muchinemployee training programmes, while the Nijvel department training. They need to have an up-to-date knowl- formulates commercial training programmes. Both edge of all aspects of repair shop activities. If the departmentswilleventuallyuniteinNijvel, company ceased training activities for oma year, it because the infrastructure in Ukkel is becoming would have little effect, but 5 or 6 years withouttoo small. trainingfor employees would mean that the company could no longer be competitive.Itis 3.2.1 Training programmes in Ukkel possible that investing so much in training forThe basic criterion that is used to establish training employees increases the costs for clients, com- programmes is"satisfying the customers". The pared to other repair shops (e.g. wage-costs), but work does not stop when a carissold. The equally, fault diagnosis and repair times are kept customer also wants to know how his car can be to a minimum, especially for complex and rarerepaired, how he can be helped, etc. If the "after- problems. So,this means that the customer's sales" department does no' function, the sales invoice could be higher if a repair shop did notdepartment will have problems. This is the logic invest in training. thatisusedinestablishing technical training programmes. In any case, itis easier to keep a With the example of servicing,ithas been customer than to make or search for new clients. illustrated how the amount of work inrepair Customers have to be kept by providing them with shops has decreased. Another example is micro- a good service. electronics.Micro-electroniccomponentsare rarelyrepaired mostlytheyhavetobe The training programme content depends on the replaced. However, the remaining work is becom- nature of the product. There are changes in a ing more complex. Measurement equipment used model that do not require additional training (e.g. toberelativelysimple(voltage,numberof restyling). Other changes may require additional revolutions),butundertheinfluenceof,for training. The introduction of the catalytic converter example, environmental norms, more complex is a good example, this kind of training is more of measurement equipment isbeingintroduced, an "information session". The content is fixed, the e.g. the catalytic converter. Analyzing the car question of what information should or should not exhaust not only involves measuring the grade of be given is not relevant. For other initiatives, such 36 CO, equally unburned HC and nitrogen oxidesas elementary product knowledge, this question is relevant, because the training manager deter- tors, and two technical assistants. At present, the minesthecontent of atraining progrcmmetraining programmes have startedin Belgium, himself. organized by these five people.

The provision of training programmes is not justWe will now look at the most important develop- determined by the car manufacturer, e.g. when a mentinthePeugeot Talbot Belgium training new model is introduced. Training programmes programmes since 1987. The carburettor training can be established because certain needs are programme has been superseded by the increas- detected, e.g., when companies mention specific ing importance of injection systems. The training training needs or when technical inspectors detect programme "injection systems" lasted one day, certainneeds.Technicalinspectorsarestaff but it has increased to three days. A completely members who are "on the road". They are the new trainingprogrammeisdiagnostics.This direct contact with the dealerships and the deal- training programme covers "learning to handle ers. Mostly there is an interaction between both specific Peugeot Talbot diagnostic equipment" systems (direct request for training programmes by (machine oriented training programme). Sliding dealers and visits of technical inspectors). When a roof adjustment and adjustmentoftherear need for certain training programmes is detected, suspension are also new training programmes. there isstill a possibility of a systematic ques- The training course on gear box changing is now tionnaire to dealerships and dealers to ask if they less important. It used to be 3 days, but is now are interested, how many people would they send, only two days because the number of types of etc. The offer of training opportunities is, in other gear boxes has decreased. ABS-systems and 4x4 words, tuned to the needs of the network ofdrive are also new training programmes. Diag- dealers and dealerships. nostics scheme-reading and electronic applica- tions are new training programmes that have to The table below contains alist of the training be interpreted against the conk- t of the increasing programmes available: importance of the diagnostic and technical insight of the mechanic. The dynamo training programme Training programme Duration has decreased from two days to one day. A training programme was set up on air-condition- Product knowledge 2 days ing installed after production by specialized repair How to use documentation 1 day shops. Today dealerships and dealers are con- Carburettor 2 days fronted with carsin which air-conditioningis Injection systems 3 days already installed. Diagnostics 1 day Diesel engines 2 days The training programmes are,ingeneral, a Sliding rook acli.stment 1/2 day combination of theory and practice. The practice Adjustment of rear suspension 72 day is, as mentioned above, a very important part, the Alignment (wheels) 1 day Changing gear box 2 days aim being to learn how to detect faults by practical ABS systems 2 days experience. Defect simulators are used during the 4 - 4 traction 1 day training programmes. These are car models that Electronic measurement techniques 2 days ore installed on a panel and different switches can Electronics (basics) 2 days be operated to generate defects. Cars that are no Diagnosis - scheme-reading 2 days longer roadworthy are also used for training Electronic applications 2 days purposes. Alte,nator 1 day Air conditioning 2 days Didactic materials or simulation materials are developed together with a technical school (e.g. aHigherTechnicalInstitute).Peugeot Talbot Training programmes at the manufacturer's main Belgiumsuppliesthematerial(e.g.cables, training school in France are available to every-different brake systems, etc.), and the technical one but, in practice, this is seldom followed up. school uses this material to develop a simulation Examples of training programmes organized in model for use in the school. France,are:strategy,management ofdaily activities,repair shop management, invoicing, Peugeot Talbot Belgium's participation in voca- guarantee and customer service, customer recep-tional training is encouraged by a system devel- tion, commercial attitudes, car body, etc. oped by its French Headquarters called "chal- lenge", which has been in existence for the past For some training programmes, prompted by 10years.Theprincipleissimple.Itis a changes in a model or the introduction of a newcompetition between dealers and dealerships. model, some people attend the central trainingThose who achievehighscoresintraining school in France, following which they circulate participation,motivation and presentation can this information in Belgium. For changes in thewin a prize. The value of prizes has increased 1993 models for example, five people went to over the years (e.g. trips to Florida). The prizes to France: the training school manager, two instruc. be won are announced at the start of a campaign 37 3q and itis up to the dealers or the dealerships ti ence in what they had learned during training 2. make the necessary effort. At the end of the year sessions. To obtain this experience they need to be there is also a premium for the dealers, linked to supervised by the technical advisor or a foreman. the challenge system. The technical advisor has another important role. The costs borne by dealers and dealerships when Once every three months there is a meeting of all their employees attend Peugeot Talbot Belgium technical advisors, where all the problems that training courses are limited to their staff's wages, occur with the different models are discussed, e.g. travel and subsistence costs. when Ciac Service Ghent has clients that repeat- edly complain about the same defects, this can Peugeot Talbot Belgium has a very good relation-then be discussed at the meeting. This "down- ship with Ciac Service Ghent. The company has a stream" information flow is used to determine the reputationof being aware ofitsvocational content of training programmes, or to determine training needs, and for allowing a high propor- the content of circulars or other written documents. tion of its staff to attend training courses. A special Durieg these meetings, problems are discussed characteristic of the case is that the company itselfand possible solutions sought. takes care of the mailing (invitation to participate invocationaltraining). As mentioned at the When future policies have to be established, some beginning ofthisstudy,Ciac Service Ghentfactors are of particular importance. Firstly, there supplies cars to several dealers in the region. is the fact that the work volume is decreasing. This These dealers often have problems which they is mentioned several timesinthisstudy.Itis refer to Ciac Service Ghent. To prevent this system important thatthe decreaseinwork volume being abused, and to encourage the dealers to induces a polarization between simple tasks and participate in vocational training, Ciac Service tasks for which insight, reasoning and interpreta- Ghent has established a mailing list for training tion capacities are very important. courses to enable the company to invite its dealers to participate, for example, in a training course on A second major trendisthe importance and injection systems. Dealers who do not attend, may development of diagnostics.Thisis and will then be criticized if they continually seek advicebecome the nucleus of the 'after-sales' depart- on systems etc. ment. Diagnosis is the critical factor, other matters are either simple or administrative. For the future Invitations or mailshots regarding training organ- we have to take into account the rise of interactive ized by Peugeot Talbot Belgium are less person- diagnostic systems. This implies a certain standard- alized and less compulsory. Vocational training is ization in the way of working imposed by the car compulsory, but in practice, there are no sanc- manufacturers. The advantage of the interactive tions. Sanctions can only be taken against one diagnostic systems is that more people will be able person: the technical advisor of a company. The to work with it, but this will require the presence of technical advisor has to be recognized by the more highly skilled employees in the rept. shop. central training school, usually on the recommen- Standardization does not mean that low-skilled or dation of thedirector of the Peugeot Talbot unskilled workers will be able to make an efficient Belgium school.This adviceisbased on an diagnosis. evaluation by the director. In practice, everyone is free to establish a personnel and vocationalThe developmentofnewmaterialsincars training policy. Only the technical advisor must(recycling problems) does not imply new prolo, have attained a certain level, and is appointed on lems for the car repair sector. There will be a that basis. Once recognized, the technical advisor greater effect on the car demolition sector which must attend training courses to be 100% up-to will have to be reorganized. In the car repair date. To assess the level of a technical advisor for sector it will mean that work will become more a a company, the number and degree of complexity question of replacement rather than repair as of repairs in a company are taken into account. If electronic components and the new materials are a company is small, a technical advisor must be not subject to the same wear and tear. more versatile. A fallin the number of establishmentsis also A basic print ipleisthat the technical advisor expected. There are two reasons for this. Firstly imparts knowledge within the company, but this isthere is the phenomenon of family companies, seldom established in companies. This aspect was which nowadays are "third generation compa- mentioned spontaneously during the employee nies". After the Second World War, the family interviews. When employees attend, for example, founded a company, this was a growth period. a training course that might involve additionalThe second generation hadto manage the skills, they need active support from the technical company efficiently,butthisdidnot happen advisor to gain experience after the course. This everywhere. In a lot of cases the second genera. support structure is either too weak or insufficiently tion rested on the laurels of the first generation. developed. Employees stressed that there were too Thus problems are arising for the third generation: 38 few opportunities in the company to gain experi- financial reserves ore gone, the know-how of the 4c employeesisout of date,thereis noreal customer retention. Salesmen are therefore trained development policy, etc. A great number of these inhow to manage customerfiles.Fartoo third generation companies will disappear, be-frequently salesmen areunfamiliarwiththeir cause they are not preparedfortheactual customers. There is not enough follow-up etc., so challenges. A second reasonforthefalling it is easy for customers to change to other brand number of companies is due to environmental names. standards regulations. Car repair companies have to invest in new equipment, etc. This applies not "Product knowledge" is another training course only to the repair shop (e.g. exhaust measurementdirected at salesmen. Duringthis programme equipment), but also to the actual location of the (twice a year for 1 day), information is provided company. Car repair companies in city centres not only on own models, but also about the must comply for example, with new standards "products" of competitors. A salesman has to concerning the spraying of cars, likewise gas and know about the advantages and disadvantages of noise emissions have to meet the regulations or the the product he or she sells, and how the product company will be forced to close down. Petrol can be compared with competitors' products. stations are not the subject of this study, but it should be noted that a lot of dealerships andThe most important new training programme dealers have a petrolstation and new, strict, introduced since 1987 is a training programme regulations mean that a lot of companies will have of five days' duration aimed at new salesmen. The to curtail these activities. content of the training programme is:

The case studied is a large, efficiently managed presentation of the group or company. The aim company. Therefore the company has been able is to encourage new salesmen, by making clear to implement allthe necessary changes. The that they are nci in an isolated position. A planned renewal of thespray cabinsisan salesman is not a stand alone individual; he or example. The company has already made plans she is part of a larger structure with a lot of to train its employees on the new equipment. logistic support

knowledge of the poduct (2 days) 3.2.2 Training programmes in Niivel In 1987, Peugeot Talbot Belgium had about 83 how to establish a good presentation of the dealerships and 400 agents or dealers. Not all product (in the showroom, during a trial run, these companies are profitable points of sale and etc.) so the basic philosophy of vocational training offered to salesmen and managers is "working basic skills: attitude, knowledge of languages, efficiently". This aim does not mean that less psychology profitable companies will be made more efficient, but less profitable points of sale will gradually be problemsofpart-exchangeofcars when closed. Since 1991, there has been stagnation in sellingnew ones.whichfactorsmust be car sales statistics. There is,thus, no point in assessed to offer a price; how high can the aiming to achieve higher sales figuresinless value of a car be estimated, etc. profitable forms. handling commercial documents ('/2 day), The success of the network is followed up by e.g. contracts, manuals, registration documen- Peugeot Talbot Belgium via training courses on tation. profitability and investment. The aim of these training programmes is to establish an efficientThe importance of this training programme for network of about 100 dealerships and 283 agents new salesmen isrelatedtotherecruitment or dealers. The investment programme deals, for problems that exist in relation to the position of example, with themes such as "providing a better salesmen. The sales function has a bad image. service", "the company image", "location of theYears ago, people who could not find a job company", ar ; "showroom". elsewhere, often found a job as a salesman in the sector. This is the reason why this function has such Thereisalso a specifictraining programme a bad image. However, in the interim, a lot of entitled "working efficiently". This training pro- things have changed but the poor image of the gramme takes 21/2 days. During this period, post remains. Thus, at present, there is a lack of employeesaretaughttoidentifyproblems, young people who are willing to do this job. analyze the problem and, finally, to find a solution to the problem. However, there is also a high rate of turnover in this position. The main problem is, therefore, to Since car sales are stagnating, a lot of attention is find young people, to encourage them and create paid tothetraining programme "loyalty andloyalty to the company, by giving them amongst satisfaction". The aim of this training programme other things, good basic and continuing voca- isto encourage salesmen to pay attentionto tional training. 39 4" The school in Nijvel also organizes telephoneThe sales function also needs reorientation. Not training programmes, and they are busy develop-only the quantity but also the qualify of sales is ing a training programme for managers. important. This will be the subject of new training programmes. In ..he future, salesmen will have to An external institute is in olved in some training be able to give more and better service, to better programmes. The choice :s made by Peugeot organize customer reception in line with custom- Talbot Belgium. The fact that they can chooseers' wishes, especially since manufacturers are freely from external companies to organize and practically able to make cars to measure (small execute training programmes has advantages, series, flexible production organization). e.g. for some programmes another institute was selected because Peugeot Talbot Belgium felt thatA shortage in the availability of training pro- the existing training programme was outdated grammes requiring more attention is a training and needed reviewing. Therefore a new external programme for "dealers' successors". Reference institute was sought. Examples of training pro-should be made also to the above-mentioned grammes that are organized by external institutes problemof"thirdgenerationrepairshops". are "sales techniques" (6 days over a period ofConsideration needs to be given to vocational 4-6 months), "how to close a contract" (3 days), trainingina "pre-dealer situation".Ifinitial "marketing" and "telemarketing". trainingisonly organized at the time when someone becomes a dealer, then problems are To conclude this section, mention should be made likely to occur concerning the basic philosophy of of the views of the researchers regarding futureworking efficiently. issues concerning vocational training. The sales function clearly needs to be reviewed. This could An important challenge for thefutureisthe be achieved by higher remuneration, by introduc- question of whether different brand names have ing better incentives, but especially by changing tofunctionseparatelyinterms of vocational the company's publicity policy. The usual way oftraining. Joining together to finance and organize advertising is based on budgets designated forvocational training, is a matter which is currently publicity, promotion, participation in exhibitions, being discussed by some manufacturers.Ifthis open door activities, etc. By using these strategies, initiative could be established, then larger budgets the profit margins are dwindling and the sales might be available to organize vocational training budget becomes too small to reward salesmen at a activities. This would improve professionalism and reasonable level. However, this can be viewed it should be possible to maintain brand-related from another angle. The salesman can be seen as methods of organization. For example, in the a focus for the image of the company. Agood Netherlands,atraininginstituteexists which salesman (good service, an agreeable service for organizes training programmes for employees the customers etc.) can be a better "advertising (amongothersalesmen)ofdifferentbrand strategy" than what is being used, i.e. spending names.Through cooperation,training pro- money without a real policy. Reference should grammes,for example "showroom", can be alsobe madetothedifferencesbetween organizedsuccessivelyfordifferentmanufac- European and Japanese personnelpolicy.In turers. The necessary cars can be supplied by Europe, employees are seen as a "necessary the participating manufacturers. This cooperation evil", whilst in Japan the "human aspect" has means that training quality can be improved, and been developed. every manufacturer can benefit.

40 42 Appendix Personal information: worker D Age: 27 years Personal information: worker A Length of service: 3 years Age: 41 years Education: Lower secondary vocational educa- Length of service: 24 years tion (A4) Education: (no documents in file) Apprenticeshipcontract carrepair Position in company: Electrician shop (4 years) monitored by small Vocational training: Several sessions Peugeot Tal- business centre (1981-1985) bot, Belgium: Position in company: electrics and electronics (5 Vocational training: "changes in model" days) dynamo (2 days, 5 years Personal information: worker E ago) Age: 31 years "changes in model" Length of service: 14 years Education: Lower secondary technical education Personal information: worker B (A3) Age: 39 years 1 year specialization petrol engines Length of service: 22 years 1 year specialization diesel engines Education: Lower secondary technical education Position in company: Mechanic (A3) Vocational training: diesel engines and injection 1 year specialization petrol engine pumps (PTB, 2x2 days) 1 year specialization diesel engine how touseBIP and TEP Positionin company: Mechanic (specialist en- (= diagnosis equipment) (2 gines) days) Vocational training: Yearly PTB "changes in model" yearly "changes in model" 1979: diesel (PTB) (2+3 days) Persona! information: worker F 1980: general car tech- Age: 55 years niques 114 days) Length of service: 34 years Education: 3 years training car mechanic Personal information worker C 3 yearseveningcraining car Age: 35 years mechanic B2 Length of service: 12 years 4yearseveningtraining car Education: Lower secondary technical education mechanic B1 (no certificate) (A3) Position in company: Receptionist and foreman Higher secondary technical education (part-time) (A2) Vocational training: until 1988 yearly "changes Position in company: Foreman in model" Technical advisor Peugeot between 1970 and 1980 Specialist diagnosis several training programmes Vocational training: PTB regulartrainingas injection systems, diesel en- "technical advisor" gines (PTB 2 days) yearly "changes in model" PTB electrics (2 days) and Personal information: worker G electronics (2 days) Age: 53 years 1979: general car tech- Length of service: 35 years niques (PTB, 14 days) Education: (no information in file) Position in company: Mechanic (specialist gear- box and rolling parts) Vocational training: from 1975 to 1985: several PTB training programmes: general mechanics and gear- box yearly "changes in model"

41

4,3 2. VOLVO

1. General description of the case studya very small part of the total business, and the The second case study in Flanders looked at theproprietor is the only person involved in sales. company Van De Peer n. v. in Zandhoven. This is Most cars are sold to customers who have their an independent limited company, but it is also a servicing done at Van De Peer's and want to buy a recognized Volvo repair centre, concentrating onnew car from him; so he only sells to meet his repairs and bodywork, with a limited amount of customers'remitements.Becausesalesonly sales activity. Van De Peer works with two training represent a smell part of the overall activity and centres: Accinauto training centre and Volvo Cars because he is not bound to any quota, he only Belgium training centre. Accinauto is the importerneeds a very small showroom (2 cars), and he ofGlosuritcarpaint,anddistributespaintdoes not have to offer any reductions in the price accessories such as spraying cabins, pistols etc. of cars (it is better not to sell than to sell without making o profit, but large dealers cannot always 2. General description of the company putthisphilosophyintopractice).There are currently 6 people(includingtheproprietor) 2.1 Some important, details working for the company There is only limited Van De Peer is a SME (small and medium-sized use of modern technology, although of course enterprise) which carries out the maintenance of there is modern technology in the cars themselves, Volvo cars. The company is a Volvo service point. so appropriate diagnostic equipment is necessary. It also sells and maintains Mercedes delivery vans, There is also modern technology in the bodywork and in an emergency it will look at a Volvo lorry as department: a modern spraying cabin is being well. The company is located on the built industrial estate in the commune of Zandhoven. This company provides total car maintenance, 2.2 Brief history and company strategy from lubrication to repairs to very serious damage. The proprietor started out some ten years ago as a During the period of the study, the bodywork mechanic in a Volvo garage. The garage was department was being reorganized. In order to suffering from the proprietors' family problems, conform with future environmental regulations the which meant that in reality Mr. Van De Peer ran itspraying cabin had to be equipped with a number single-honded. When the garage finally closed he of appliances, so spraying was being subcon- started his own business, mainly repairing Volvos, tracted out for the time being. Apart from this, in a shed on a piece of land belonging to hiswhen he moved the garage-owner took: the family. The business grew rapidly.It could not possible future regulations in every conceivable expand into the surroundingresidential area, area into account, so as to avoid any unpleasant because there was not enough space and it was surprises later. impossible to keep within the local environmental restrictions. Van de Peer moved his business to theThe garage-owner considers that the main keys to Boutersem industrial estate, just outside the centre the business are the impeccable quality of his of Zandhoven. service and work, flexible opening hours (open until 20.00) and well-trained employees. Priorto this Volvo had already contacted the garage, because they had heard that Van de Peer 2.3 Structure of the company was running a good business. He was offered a There are six people working in the company. The dealership contract, but he chose not to accept it. proprietor is responsible for sales and personnel A dealership contract imposes quite strict rules, management, and whenever necessary he also e.g. concerning soles2, but he wanted to concen-works in the repair shop. trate mainly on service. Van de Peer succeeded in getting a contract from Volvo as a 'recognized His wife does the administrative work such as maintenance point'. This means that he sells or invoicing, but the bookkeeping is subcontracted uses original Volvo parts, that he stocks and uses aout. There is also a foreman. sufficient number of spare parts, that he subscribes tothetechnical documentation andthathis 2.4 Personnel employees are properly trained. Apart from the proprietor and his wife there are four employees: three men and a woman. He maintains good relations with a tyre centre and a Mercedes garage, because Volvo do not makeThere are two mechanics who carry out all the any delivery vans. Van de Peer's major customers maintenance work on thecars,right upto buy Mercedes delivery vans from him, and he also preparing the carfor bodywork or spraying sells Volvos. The cars which are sold are ordered One of the mechanics is the foreman, and work from an authorised dealer, but sales only represent is discussed with him at the beginning and end of

Dealers always have to sell 120 cars per year Volvo keeps back 3`,. of the margin from every sale, and if the quota is reached this percentage is paid backotherwise they keep it They also have to find a sales area which conforms to a number of conditions in terms of both size and design. 43 the working day. There is a bodywork mechanic among the workers, and between them and the 2. who is responsible for all bodywork and can also customers. Also a clean, open repair shop is more carry out minor servicing or simple repairsif likely to inspire trust. necessary. Finally, there is a female employee who takes care of maintaining the repair shop, keeping The foreman-mechanic has completed an A3 it clean and tidy, cleaning the cars and taking cars motor mechanics course, and has a great deal to the vehicle inspection service if required. Thisof experience with other types of cars. The other female employee does not do any work asso-mechanic has had similar training. The cleaning ciated with motor mechanics. We will refer to herlady has attended domestic science school. It was here as the female employee in charge of repairconsciously decided not to recruit a car mechanic shop maintenance. for repair shop maintenance work, in order to avoid over-qualification and any arguments or All employees are under 35 years of age. There discord. Requirements for the post were a 'B' type are no fOreign employees. driving licence and an honest character: after all the job does include driving other peoples' cars The repair shop maintenance female employee around. works part-time, and the other employees work full-time on a 39 hour week basis. The garage is The company prefers to recruit a candidate only usually open from 09.00until20.00, andafter he/she has held a holiday jobinthe operates from 09.00 to 17.00 and on Saturday company, which gives them a chance to see if mornings. For the last three hours in the evening he or she fits in with the spirit of the company. the repair shop is always manned by one of theSpontaneous applications which come in from three mechanics. For this purpose the bodywork time to time are often used in the recruitment mechanic can also carry out basic repairs, so the process. There is no shortage in the labour market, three men can work with maximum flexibility. certainly not for bodywork mechanics, but good Employees are always paid forthis overtime. workers are difficult to find. One of the main Apart from this there is also normal overtime when problems here is that many workers are insuffi- there is a heavy workload, and time off in lieu isciently motivated. They come to 'put in their hours' given informally for this. and they go when the time is up, not when the work isfinished. Another important factorin Since there are no car assembly or manufacturing recruitment is the candidate's willingness to attend companies in the area around Zandhoven, there is courses. The proprietor makes independent deci- virtually no risk of the company losing good sions about recruitment and selection. workers to the firms offering much higher wages in the manufacturing or assembly sector. Also a small company like this has the relative advantage of a 3. Ongoing training pleasant atmosphere and the pleasure of seeing clear results from the work: transforming a badly 3.1 Current situation damaged car into one that looks as good as new. Van de Peer does not undertake training himself, In addition to their wages, the workers also expect this is always 'subcontracted out'. tips which are sometimes as high as Bfr 500, and they also get free cars: within the company it can 3.2.1 Training at Accinauto (Glasurit) happen that one of the employees is given a Accinauto is an independent distributor of Glasurit 'crashed' car and allowed to do it up in the repaircar paint and accessories such as spraying shop in his free time. Spare parts from cars which cabins, pistols,filters, etc. The accessories can have been written off are also sometimes given to also be used for different paints othc,. than Glasurit employees to repair their own cars. They also earn car paint. The training courses are given by the additional money working on their friends' carsAccinauto training centre, which is a more or less during their time off in lieu. independent part of the importer Accinauto, but it has recently expanded to become the main At the moment the employee who was recruited subsidiary activity. most recently, the female employee in charge of repair shop maintenance, is proving to be a heavy The courses which are given by Glasurit are not financial burden on the company. However, Van professionalcourses or management courses. De Peer takes the line thatitisbette.to haveAccinauto does not impose any obligation whatso- manpower in reserve all the time, rather than ever to take these courses they are taken on a having to recruit a new employee in a mad rush completely voluntary basis. An exception must be when there is a busy period. A second reason for made herefor.ourses whichmanufacturers recruiting this female employee is that customerscommission from Accinauto for their dealers (see regularly come and follow the work being done in below) but this is not the case for Van De Peer. The the repair shop. attendees' knowledge is not tested beforehand. If it is found that someone cannot keep up properly, Bringing customers into the repair shop is part of a they are given special attention. According to 44 strategy to create a friendly atmosphere both those in charge of the courses, many teachers from 1-5 schools and professional training centres also take The training packages are put together on the their courses. Thereisno specialpolicyfor basis of a form of constant questioning of the minorities, such as women and immigrants: theyparticipants and companies visited by the repre- are neither encouraged nor refused. This is directly sentatives. After a course or during a visit by a linked with the open and completely voluntary representative, it is possible to evaluate the course nature of the courses. and make suggestions for other courses. Other courses are then set up on the basis of these The courses at Accinauto are specialized courses suggestions. These might deal with a more general covering the use of a certain paint or a certain problem rather than being specifically associated accessory. They are intended for people in the with a new product. In this way Accinauto keeps trade who already have considerable technicalits finger constantly on the pulse of the needs knowledge. which exist. Courses are also set up when new products come out, such as a specialized spraying This can be illustrated using a few examples. There cabin or a new kind of dryer, or new product is a one-day course on painting plastics, a one- groups, such as water-based paints for example. day course on touching-uplightly damaged In the last case, the course might include products metallic bodywork, a two-day course on fast or equipment which are only indirectly linked, for repairs and subsequent correction of faults. Some- example if a particular paint requires a certain times there are even longer courses, for example kind of drying equipment. covering the use of a spraying cabin. Developments since 1987 can only be understood The courses always begin with a brief theoretical in the light of the questions which participants cnd explanation (about two hours).Afterthisthe companies are asked. During this period there trainees are taken to the repair shop. Here they have been constant changes inthe range of are shown what they will be learning to do, and courses on offer, but in the last five years there has then trainees are able to practice themselves, not been very much expansioninterms of using several 'models'. The courses are limited to numbers. An estimated 1,500 people are trained groups of ten persons on average, and they areeach year. given at the Koolmijnenkaai/Quai des Charbon- nages in Brussels. Courses are completely free,The course design is not altered tofitin with and there is not even a charge for the materials modern technology. The changes have not been used or the meal which is provided. drastic enough: new types of paint still have to be sprayed, and evenin a high-tech cabin the The course packages find their way to customers spraying is still done with a pistol. in two ways.

The first of these, which is the most common, is that 3.2.2 Training at Volvo candidate participants (usually Glasurit customersAt Volvo Cars Belgium, training comes under the but also users of other brands) are informed about 'Sales & Dealers' department. Besides Sales & the courses through the network of representatives Dealers there are also marketing and adminis- who regularly visit bodywork repair shops and trative departments. Volvo Cars Belgium imports present the packages. The bodywork repairers are Volvo passenger cars. then completely free to take them up or not, and there is no pressure of any kind. Those who are There are two kinds of courses given at Volvo: interested are given a list of forthcoming courses management courses and technical courses. available. They can pass this on to their col- leaguesifthey wish. The representatives visit The management training courses are intended for regularly enough so that customers will not miss the dealers themselves. There is a need for training any courses. among these people, because they are often owners whose business has grown into an SME Another channel is the car importers. Now and and who have themselves moved up into the job of again they organize courses at Glasurit (assuming managing director. Many of them have not kept that their cars are sprayed with Glasurit paint) up with the times, and they are not trained to do a which are then more or less compulsory for the manager's job. They are provided with training in dealersoragents.This is partofthecar human resources techniques and principles and in manufacturers' strategy to get as much bodywork marketing etc. A training cycle of this kindis done by dealers as possible. organized once a year.

The official aim of the training coursesisto A junior programme is also provided for those provide the bodywork repairers with up-to-dateabout to take over SME's and family companies. knowledge and acquaint them with new productsThis course is also provided once a year. and techniques at regular intervals. However, it is not difficult to see that this is inevitably part of their For Volvo, the dealer is the core of the training sales strategy. programme: without a good dealer there is not much point intraining workers. The companyproducts are compulsory. The bonus which is 2. follows a kind of top-down principle, although it is sometimes awarded at the end of the sales year notreferredtointhisway.Knowledge is (actually a kind of reimbursement) depends on the distributed first to the top, and then lower down. sales figures, meeting the organizational condi- tions and taking product training courses. In this These dealers do not always have a good trainingway there is a 'gentle pressure' to take some of the background. According to information from Volvo, courses. 20% of dealers are completely set in their ways and are not willing to open their minds to new We can find a good example of this'gentle ideas. 60% of the dealers are prepared to takepressure' when a dealer recruits a new salesman. courses, provided they are given some motivation, When a dealer decidestorecruit an extra and g .,od results are obtained with this group. salesman, Volvo may sometimes pay that sales- About 20% of the dealers do not really need any man's salary for six months if Volvo considers it training, and it is possible to work with them very necessary to stimulate sales in a certain region, easily. and provided two conditions are fulfilled. The first of these is that the salesman takes a basic sales The dealers attend the training course voluntarily, course at Volvo. The second is that Volvo Cars but once they have started the course they do have Belgium has some sayinthe recruitment.In to commit themselves to follow it through to thepractice the dealer is given a standard advertise- end. The training courses are organized in a very ment, and he makes minor changes and publishes practical way: they run in three blocks of three itin the newspaper. He sends the responses to days, with a 2-day break in between in which theVolvo, where an initial selection is made. Volvo dealers can test the information they have been thenpresentsthedealerwithaboutseven given in the real-life situation of their own garage. candidates, who then makes the final choice. The training days themselves are also oriented towards the practical side, and they work on the Besides the management training courses there is repair shop principle. one more kind of training which is not directly linked with motor mechanics, namely the after- For Volvo's purposes Belgium is divided into three sales service course. This is a technical-adminis- districts, with a district manager and a technical trative course which introduces people to Volvo's controller for each district. Both of these regularly computerized administration system. Volvo has a visit all the dealers, and they know their dealers software package which it uses with all its dealers very well. The district managers have some say in (Volvo Data System) and which allows direct the design of the training courses. Volvo Cars communicationwithVolvo CarsBelgiumby Belgium draws up a course programme, and once modem and processes alladministration. This this begins to take shape itis discussed with the course is given when the system is installed. For districtmanagers. When theprogrammeis garages with a service contract, it is not necessary completed, the dealers are invited on the basis to purchase this system: contact with Volvo Cars ofthedistrictmanager'sevaluationofthe Belgium takes place through the dealer or agent importance and design of the course, and theon which that service point is dependent. need which exists among various dealers. These district managers sometimes give individual train-Besides management and sales courses there are ing courses if a dealer has specific problems. also technical courses.

The courses described above are not for garage- There are compulsory courses twice a year, where owners like Van De Peer who have maintenancethe new items in the product range are presented. contracts. These courses are free.

Besides these management courses, sales training There is a second series of courses which mainly courses are also provided. There is an introductorycover technical innovations to the cars of a kind package for new dealers, which lasts a few dayswhich do not immediately entail a change in the and is organized according to demand. As far as Vo'vo range. Often training courses of this kind possiblethistriestotakeintoaccountthe an given in collaboration with suppliers (e.g. tyre requirements expressed by the dealers. There is suppliers) and even with the VDAB professional also an advanced sales training coursea kind of course (mainly for car electrical systems). Techni- finishing course which follows the introductory cal innovations include not only innovations in the package. It takes a few days and is organized cars themselves, but also in parts or accessories. once per year. Finally there is an annual course in fleetsales.Allthe courses which have been For example courses were given recently about the mentioned so far are free and voluntary, apart new computer-operated diagnostic equipment. from the fleet sales course (Bfr 1,500) and theThese courses arevery thorough and very introductory course (compulsory). As far as the extensive. The employee has to be able to think management course is concerned, it is the dealers along the same lines as the computer. Van De Peer 46 who request it. Only the presentations of newused an example toillustratethis. When a 47 diagnosis shows up afaultinseven cables Training courses cost Volvo Cars Belgium Bfr 16 to operatingparts which are not connected to- 17 million per year. Volvo does not consider this gether, it could be that these faults are generated very much compared with its other costs. Never- by a faulty connection to an earth cable linked to theless a very great deal of attention is given to all seven cables. The diagnostics computer does training, and in difficult times like the present the not recognize faults of this kind, so the mechanic training budget is never reduced. A well-trained must be able to think logically and interpret the body of dealers and mechanics is an important faults reported by the computer. Another example condition for sales. of a course is the one which covers a modern method for attaching the windscreen, using a Itis also clear that some Volvo mechanics and certain kind of adhesive rather than rubber strips. dealers are currently having difficulty keeping up Since the windscreenisso important for the with technical developments. For this reason the rigidity of the bodywork, the course was about length of the courses given when new models are more than just adhesives. presented has been increased from two to three days. This was done for the first time with the 850 These courses are very specialized. They last five model, which is known as one huge high-tech tosix days and arefree.The courses are gadget on wheels. This year a basic course in compulsory, and one to three people must be electrics is being considered for the first time. present from each agency (dealer plus dependent service points). The technical inspector from Volvo Van De Peer has a very high opinion of the Volvo Cars Belgium regularly visits all dealers, monitors courses. The only criticism on his side is that there attendance at technical courses and checks that is sometimes too much hype associated with the every garage has access to sufficient technical presentation of new cars, "When you explain to a knowledge about all parts. mechanic how beautifullyadecorativestrip enhances the attractive profile of a car, he will Invitations to these training courses are sent out to just ask if it might fall off, and if it does, how he has agencies, who in turn have to inform the service to stick it on again". If possible Van De Peer tries to points. There is no analysis of the. mechanics' prior send his mechanics on courses together so that knowledge. The technical inspector and the agentthese interfere with work as little as possible. with his service points know the people they work with and can judge independently which of themVolvo's courses are usually given in Brussels, and are best suited for a technical course. There is a sometimes in Ghent. The dealers/concessionaries certain order or cycle which has to be respected in are given a calendar with the training courses taking these courses, and the technical inspector which are planner'. keeps records for this purpose. 4. The company's training policy Technical courses are all designed at Volvo Cars This company attaches a great deal of importance Belgium. There is no systematic means of ques- to training, and hence also to a willingness to be tioning mechanics or dealers for this purpose. trained. One example of this is the case of the Courses are set up when innovations are intro- bodywork mechanic/sprayer. duced. However, in practice the iechnical inspec- tors are consulted about any shortcomings, but The bodywork mechanic originally worked on an there is no room in the budget for the provision of English army LK:se, but after they withdrew he took more general training courses. There is a pro-a VDAB course (in Herentals), with a period of cedure for on-the-job adjustments, whenever there work experience in this company. His employer is a need for it. These courses are free. was particularly satisfied with both his knowledge and hisattitudetothe work. The bodywork Besides the two basic packages and on-the-job mechanic in question regularly came out with adjustments, a basic course is also provided for "trade secrets" which it would have been virtually new mechanics. There is no provision to cover impossible to pick up spontaneously. For example wage expenses,asisthecasewithsales he had learned how to deal with a pointed dent personnel. (e.g. from a stone strike), not by knocking it out with a hammer and then polishing and painting it During the last five years more and more courses again, but by applying a torch to the dent from the have been given by Volvo. Volvo Cars Belgiuminside in a particular way so that it sprang back has a standard imposed on it from Sweden, which intoshape as though byitself,leavingthe requires five days of training per employee per paintwork almost intact.In a garage a 'knack' year, but this is difficult to achieve if the quality has like that can save a lot of expensive marl-hours to be guaranteed as well. For this reason Volvo and materials, which finally results in a lower cost prefers to give courses in small groups according for the customer to the repair shop principle. This means that less people can be trained than would be possible on The mechanics, the bodywork mechanic and the mass courses. It would be very easy to meet the proprietor all regularly go on courses, each of Volvo standards using mass courses. them for an average of ten days per year. The 47 zkg proprietor also goes on courses in order to keep attachesmajorimportancetotraining.The up to date with technical developments, sothat he number of sheets was fairly limited,so there can continue to follow and keep an eye onthe seems to be little point in carrying out acomplete activities in the repair shop, but also so that he can analysis. put in some work himself, which he does regularly. Courses are taken at Volvo and Accinauto. Van De Peer fits into the normal practice concept (see below under 6). The courses at Accinauto and Volvo are free, but the employee still has to be paid. Due to the small Thereisstilla need for trainingin customer scale of the business, a training course almost relations: in recent years the group of customers never leads to promotion. No cost-benefitanalysis has changed a great deal and become more of the courses has ever been produced: the heterogeneous.It has therefore become difficult company is too small for that. MoreoverVolvo for the mechanics to assess the customers and their makes the courses more or less compulsory, and attitude towards cars. Finally the customers come they are necessary in order to be able to repair into the repair shop quite often to follow the work today's cars. being done to the car, so there is frequently direct contact between the mechanic and the customer. In a subsidiary way this company's training policy A general course in electronics would also be is thus defined by the supplier's training centres: welcome. Van De Peer follows the programmes at these centres. The courses which are taken by employ- ees depend on the policy of the twosuppliers. 6. Conclusions This case clearly reflects the structae of the car The proprietor has been attending management sector. Van De Peer, as a servicepoint,is courses from time to time for aboutfive years. dependent on an agent, who in turn is dependent on the importer. This dependence is contractual in 5. Evaluation of course designs nature, but there is also a dependence in terms of Van De Peer tries to send his personnel on as many gaining knowledge. The importer keeps in contact courses as possible, so as to keepthem wellwith the field in a specific way, through repre- qualified and allow them to become acquaintedsentatives or inspectors, and develops a range of with new products. This is part of a strategy tocourses on this basis. The only activity at company maintain a good position with regard to Volvo, so level is consumption. that customers can always be given excellent quality (this is the company's strength) and so as to Van De Peer is an example of a normal practice keep up with the market. company. He does take a lot of courses, but only the ones which are offered to him - he does not 5.1 Evaluation of the staff sheets take any initiative himself. On the other hand there Three sheets were filled in and sent back. are a few aspects of this case whichmake it interesting. The bodywork mechanic has only taken the VDAB course, and he was recruited onthis basis. The For a small company, the proprietor and workers foreman has been in service the longest (8 years) at Van De Peer take a particularly large number of and during that time he has taken quite a fewcourses. The proprietor has a very good ideaof courses: he refers to 8, all at Volvo, some very his personnel's needs: a mechanic does not only extensive (max. 20 days for an electronics courseneed technical knowledge, but he must also have and a few one-day courses). In the long term,social skills, both for customer relations and for theory and practice turn out to be about equallyteamwork. important. He has not taken any courses at Accinauto. The third employee is a mechanic, Van De Peer strives to achieve a very high level of and he has only been working at Van De Peer forquality in his work he wants to offer a 100% a year. He has only taken one course,and that service. Doubtless this concern is also a reason for was at Volvo. taking courses frequently.

Apart from the foreman, the number of coursesVan De Peerfollowsa number ofhealthy reported on the sheets was lower than expected. principlesinhis company management and This probably has something to do with the personnelpolicy.Thisresultsinhighquality workers' short periods in service. The bodyworkwork, carried out by a motivated body of employ. mechanic will probably attend his first Accinauto ees who can be deployed in a flexible way. course when the new spraying cabin isinstalled. If the direction and regularity of the foreman'sAnswers to questions training is projected into the future for the workers 1. There is an ad hoc approach to designing who have just been recruited, it can be expected training courses, both at company level and on that they will follow a similar pattern after a few the level of the importers who provide the 48 years. It is clear from the sheetsthat the employer courses. Courses are set up as a result of a 40 certain event, usually the introduction of a new continue to function well and keep up to date product. Nevertheless there is a noticeable with technological developments. dynamic between the needs at the base and the programming at the top. Both importers 5. The courses are paid for by those who provide keep in constant touch with the dealers and them, in this case the importers. The only cost mechanics, one of them clearly in a more to the employer isstaff wages during the structured way than the other. However, even course. inthis context they still wait for a specific event, namely for a need to arise. 6. No cost-benefit analysis has been carried out. This is doubtless due to the structure of the 2. No analysis of the demand for knowledge is sector. For owners it is more or less compulsory carried out at any level. to take courses, and it is necessary in any case if they want to stay in the market. Importers 3. There is no target group policy at any level. have toprovide informationso they can guarantee a proper after-sales service. For 4. The content of the courses is aimed towards the thesupplierof carpaint and bodywork application of knowledge. The aim is always accessories, the provision of training courses to increase knowledge so the trainee can is obviously a useful sales tool.

5,4 49 3. FORD

Size of company: II companies are seldom aware of their obligations concerning the environment. Many of them are Make: Ford (sub-contractor) also working without operating permits. There is littletosuggestthat commonruleswillbe Category of motor vehicle: A implemented,exceptpossiblyifrequiredto comply with European regulations. Type of company: F The bodywork repair industry realises that in a few years time it will have to cope with some major 1. Description of the case study changes and expects substantial changes in the Carroserie Dendeux SA is located in Tubize, a industry due to increased costs and restrictions, small town in the Walloon region of Brabant, particularlyin connection with water and air about 20 km from Brussels. The company employs pollution caused by industrial and liquid waste. two repair staff (type 2) and carries out bodywork repairs for cars and small commercial vehicles.The smaller bodywork repair companies, who Continuingvocationaltraining is undertaken make up the bulk of the industry, are likely to externally within the framework of the courses disappear in the very near future. offered by AKZO. It is currently estimated that there are some 5,500 2. Brief history of the company bodywork repair companies in Belgium, but the The company was set up by Mr. D. who left in majority only operate as bodywork repcir firms 1980 to enter the teaching profession. on an occasional basis (any mechanic is, by law, allowed to call himself a bodywork repairer). Since 1980 the company has been run by his wife, Mrs. H. The introduction of water-based paints on to the market, which is anticipated to happen around the The couple divorced in 1985 and Mrs. H. tookyear 2000, is an example of the changes likely to over the bodywork company which became a affect the industry. In this case bodywork repair public limited company in 1990. companies will need to make substantial invest- ments both in terms of finance (booths, application Mrs. H. is the cnly female managing director of a and drying facilities, etc.) and training. However, bodywork repair company in Belgium. due to the uncertainty that exists no steps have been taken at present.

3. Current situation Company D has worked as a sub-contractor for The company's capitalis Bfr 1,250,000 (ECU the town's Ford dealership for the past 15 years. It 31,250) with a turnover of Bfr 20,000 (ECU is not concerned about competition from body- 50,000) which is five times the figure for 1985. work repair firms linked to particular makes of car The company repairs 800 vehicles per year and since none of the dealers or agents in the area this figure is constantly rising. sells a sufficient number of cars to warrant setting up their own bodywork repair shop. Mrs. H. sees If the company continues to prosper, as expected the future of the company in sub-contracting and by Mrs. H.,itwill need to relocate to largeralso undertakes mechanical work on a sub- premises. contract basis.

In the event of the anti-pollution rules which have Bodywork repair company D is linked to a large been introduced in Flanders (Vlaren1 1) being number of insurance companies. Following agree- implemented nationwide, moving to an industrial ments concluded between insurance companies estate would not present a problemforthe and various bodywork repair companies, in the company. Under these laws new bodywork repairevent of a claim the insurance company recom- companies will be required to set up their repair mends to the owner of the damaged vehicle that shops on industrial estates and existing bodywork he hove the repairs carried out by a bodywork companies, whose operatingpermits are ap-repair company on a list of accredited companies. proaching their expiry dates, will be granted a transition period. In this case the owner does not have to pay for the repair work whichisinvoiced directly to the It shouldbe borneinmindthatsincethe insurance company and frequentlyas is the case decentralization of Belgium, environmental mat- with company D a replacement vehicle is offered ters are the responsibility of the regions. Each whilst the repair work is being carried out. region(Walloon,Brussels and Flemish)have separate legislation which has undergone fre-From the insurance company's point of view, this quent modifications in recent years. These con-has the advantage of guaranteed professional s:ant changes and the proliferation of decision- competence at a reasonable price (clear tariffs, making bodies have meant that bodywork repairoriginal parts, repairs carried out promptly). P 5 ( Company D, in common with 740 other bodywork 2 full-time paintshop workers, including 2. repair companies andrelatedbusinessesin Mrs. H.'s son who isalso the repair shop Belgium, has adopted the new computerized manager; Audatex-Informex methodofcalculatingesti- 2 work preparation operatives;

mates which is used by the insurance companies. 1 part-time worker who putsthefinishing touches to cars for a few hours each week Audatex (Auto Data Expertise) is a system which according to requirements; allows the extent of the damage to be assessed 2 apprentices sponsored by the Ministry for according to standard criteria. Small Businesses.

A central computer, at Minden in Germany, stores White collar workers: data on some 25 makes of car, 220 models and Mrs. H.'s daughter, who is employed full-time

2,100 versions in 11,000 specifications. For each 1 part-time employee model thisinformation includesallthe types, numbers and prices of components and all the 4.2 Initial qualifications and possible repair times for dismantling, assembling recruitment criteria and painting. Apart from Mrs. H.'s son, who is a qualified A2

bodywork repairer and has attended a 1 year These millions of data items are supplied by the course in advanced painting, all the other blue- manufacturers and/or importers and are updated collarworkers have beenrecruitedviathe daily by Audatex. apprenticeship scheme sponsored by the Ministry for Small Businesses. The following parties are involved with the system: insurers,assessors, consumer associations,the After a 3-year apprenticeship, the best appren- manufacturing and repair industry and importers' tices are taken on as blue-collar workers. The associations. recruitment criteria are ability, motivation, appli- cation and, aboveall,a desireto continue For each vehicle model Audatex has a specific improving their skills. form (the Audatex Expertise form). All the relevant parts of the damaged vehicle are listed on this Mrs. H. does not plan to take on any new workers form and any additional information is transmitted unless the company moves to large premises since on additional pre-printed documents. the company is currently operating at maximum capacity. For the purposes of ascertaining the extent of the damage, the relevant parts are listed together with The apprenticeship contract sponsored by the the necessary steps to undertake the repairs. ByMinistry for Small Businesses is primarily aimed meansofthisdocumenttheinformation is at young people who do not wish to continue in processed by the central computer which pro- full-time education after the age of 16. duces a detailed assessment of the damage. The training comprises a 3-year day release Following the adoption of this system, Mrs. H and scheme, organized by the continuing training a female member of staff attended a training institute of the Ministry for Small Businesses. course,organizedin1991, by the Belgian FederationofBodyworkRepairCompanies During the first year the apprentice has 28 hours (FEBEL-CAR). per week of on-the-job training at the company increasing to 32 hours per week during the last 4. Staff two years.

4.1 Number of employees General and technical training is carried our at a When the company was first set up, the owner continuing training centre for a total of 360 hours worked with 2 apprentices sponsored by theper year during the first year and 250 hours per MinistryforSmallBusinesses.In 1980the year during the following years. company employed2full-timerepairers, 2 apprentices spur ..red by the Ministry for Small The apprentice is classed as a student and draws Businesses and 1part-time worker (a few hours a an apprenticeship allowance, paid by the com- week according to requirements). pany, of Bfr 4,600 per month during the first year rising to Bfr 8,940 per month during the third year. By 1992, there were 6 full-time repairers, 2 . apprenticessponsored by the Ministry for Small In order to enter an apprenticeship, the student Businesses, 1 part-time worker, 1full-time member must either be 15 years old and have completed

of staff, 1 part-time employee and a manager. (i.e. without necessarily obtaining a certificate) the -first 2 years of secondary education or else be 16 Blue collar workers: years old and have obtained an elementary 52 2 full-time bodywork mechanics, certificate issued at the end of the 6th year of 2nd preparation primary education. operative Bfr 256.02 gross per hour Finishing operative Bfr 292.90 gross per hour Mrs.H.'ssoniscurrentlyincharge of the apprentices as well as the trainees who come There are no social benefits. from the local technical and vocational training colleges. 4.4 Trade union As the company employs less than 50 people Company D is having some difficulty in recruiting there is no trade union representation. "suitable" apprentices, i.e. who are interested in the job and keen to undertake training, at present. 5. Continuing training policy The managing director and her son share theThe company has been affiliated to the AKZO opinion of a large number of employers that basic group for the past 15 years.Inaddition to education is becoming increasingly inadequate supplying information the group offers vocational with regard to practical training aspects and training courses to its members. would like to see less general courses (current affairs, French, etc.) which reduce the number of5.1 The AKZO Group hours available for practical training during the AKZO is the supplier of Sikken motor vehicle first years of secondary education. industry paints and belongs to a multi-national chemical sectorcompanyemploying some They are also critical of the fact that too many68,000 people. Its parent company is located in schools offer the mechanics and bodywork option the Netherlands. and would prefer to see fewer schools which are properly equipped. In fact, in the Belgian educa- Following complaints, 20 years ago, from body- tion system, it is by no means rare for teachers towork repair companies about thequality of be giving instruction in totally obsolete techniques paintwork AKZO conducted a survey and con- due to the inadequate continuingtrainingof cluded that the problems were frequently caused teaching staff and out-dated equipment. by poor preparation techniques.

In addition, employment in the bodywork repair They, therefore, decided to organize continuing sector, or in fact the repair sector in general, has training courses for bodywork repair companies littleattraction for young people who,if theyand, 15 years ago, the training body was set up. choose the motor vehicle industry, would prefer to work in car manufacturing where the pay levels5.1.1 Club Akoad Selected are higher. AKZO made a study of the Belgian bodywork repair sector and issued an invitation to a select 4.3 Employment contracts and workinggroup of independent bodywork repair compa- conditions nies to become members of its club. All the staff have permanent employment contracts and staff turnover is minimal (no resignations sinceThe selection was deliberately elitist since AKZO Mrs. H. took over the company). The staff age believes that changes in this sector enable only the range is from 25 to 30. fittest to survive.

Recruitment islocal. Two of the workforce are Accordingly, Mrs. I-i. was contacted 15 years ago Italian and the remainder are Belgian. They workand willingly agreed to become a member. a 39 hour week, 7 hours on Monday and 8 hours per day during the rest of the week. There are 3 Club Akoad Selected currently has 90 members in weeks holiday in the summer and 1 week in Belgium and any potential members are subject to winter. a thorough investigation before acceptance.

The company closes for 1 week during August and An annual subscription of Bfr 20,000 (ECU 500) 1 week between Christmas and New Year. is payable (likely to be increased next year).

There is no overtime and wages are in line with the All the club members are entitled to two free bodywork repair recto training courses in the Netherlands.

2 panel beaters Bfr 359.25 gross per hour Each training course lasts for 2-3 days and covers Paintshop worker Bfr 318.29 gross per hour technical subjects(e.g. colour shading/colour Repair shop manager matching) and ni inagement. In the Netherlands (Mrs. H.'s son) Bfr 425.39 gross per hour there are 2 full-time instructors and in Belgium 2

1 st preparation fulland 1 part-timeinstructorsmonitorthe operative Bfr 309.47 gross per hour projects. 53 53 Regionalinformation evenings are organizedThe purpose of this course is to develop good 2. several times a year. painting practice, to make the paintshop worker realise thatitisnot enough tojust read the An annual training schedule is drawn up and each manufacturer's instructions to obtain an excellent member issent an invitation to these training result because colour varies from one vehicle to programmes. another. This recently introduced course is free of charge They are frequently reminded, by telephone, of the and is designed to motivate workers to attend dates and importance of the training courses for other training courses. which they have registered. 5.1.3.2 Other courses directly related With regard to practical courses, the ;lumber ofto painting participants is limited to ±5 people and to 10These 1 day courses are free of charge. people for theoretical courses. There are approximately 12 courses concerning The courses are organized in modules and include applicationtechniquesforallexistingpaint a great deal of practical work. At the end of a systems as well as courses for specific types of course the participants are set a form of "home- painting, e.g. for lorries. work" and are visited at a later stage by an AKZO representative who "checks" to see whether the These courses areintendedforindependent homework has been completed, whether thebodywork repair companies,dealers,agents training has brought positive results to the repair and independent distributors (paint products are shop and provides follow-up and encouragement. sold through a network of independent distribu- tors). 5.1.2 The consultancy service Approximately 3 years ago, AKZO set up a The principle underlying the training is always the training service which is accessible to all body- same, i.e. one-third of the course is theoretical work repair companies who are not club mem- and two-thirds is spent on practical instruction. bers. At the end of each course participants receive These courses are fee paying (t Bfr 15,000 for a 2 copies of technical notes and reports. day course) and are held at the AKZO technical centre in Vilvorde on the outskirts of Brussels. Organization of courses

It was not possible to obtain details of training Thedistributors'salesreprebentativescollect budgets and expenditure because of the numberapplications from bodywork repair companies of departments involved. and these are sent in by the distributor.

The director of the technical centre draws up a 5.1.3 Technical training courses training programme in relation to the applications received. 5.1.3.1 Colour matching/shading training courses 5.1.4 Management training courses A number of management training courses are Course A offered: banking techniques, accountancy, man- agement of a bodywork repair company, organi- Duration 3 days zation of work in the repair shop, etc. Basic theory: 1.5 days Practical training: 1.5 days As well as organizing training AKZO will, on request, undertake studies on the efficient running Course B of a bodywork repair shop (starting a company, optimal organization of a repair shop, company After a few months the participants from course A plans, increasing productivity, etc.). progress to course B (3 days) whichis more practically oriented. 5.1.5 Projects As stated previously, the industry is waiting to see Course C what changes occur in the market before acting because there are too many unknown factors, This course covers new developments in paintsparticularly with regard to environmental policy and pigments. and the future "ecological" paints.

Course D 5.2 Bodywork repair company D Company D attends all the training coursesit 54 Duration: '/. day considers to be relevant. These courses are attended principally by the other companiesincludethesalariesof the owner, as far as company management courses trainingdepartmentstaff and sometimes the 2. are concerned, and by her son, the repair shop salaries of course participants. manager, for training courses relating to painting. Regarding paidtrainingleave,this was first Following training the son acts as an instructor for introduced in 1985 (replacing the law on paid the other workers. Other employees are sent on day release courses [Loi sur les credits d'heures)), training courses as required. these are vocational or general training courses attended by the employee either during working The company does not operate a fully-fledged hours or in the evening. training strategy but tends to undertake training on an ad hoc basis according to need and the Under the law on paid training leave, any full-time courses on offer. worker inthe private sector who wishes may attend a general training course for a maximum of I. thisrespect the company studied can be 160 hours, paid for infull by the state, or a regarded as highly representativein terms of vocational training course for a maximum of 240 training provision in the motor vehicle sector and hours, half of which is paid by the state and the possibly throughout industry as a whole in Belgium other half by the employer. where there is no real tradition of training. The courses chosen do not necessarily have to be Until the inter-occupational agreement of 1991 directly related to the work carried out in the 1992, a statutory training requirement did not company. exist in Belgium. Although this type of training is widely used by Continuing vocational training depended on theemployees, less than 10% of the students have initiative of the employer or on the employee'sapplied for paid training leave as such, others own initiative, mainly via paid training leave. attend evening courses without notifyingtheir employer, which highlights the attitude to voca- There is a widely held view that training is the tional training in Belgium. answer to unemployment although hardly any figures on companies' vocational training existThe inter-occupational agreement of 1991-1992 since there is no formal requirement for employers to systematically record their training activities. This agreement follows on from the inter-occupa- tional agreement of 1989-1990 which stipulated Similarly, even when training takes place it is very that 0.18% of the total payroll should be used to difficulttoascertainfigures which allow theassist the integration of job seekers from risk training effort to be assessed. groups, these measures were accompanied by a training programme. According to a survey carried out by Claire De Brier3 almost half the companies which organize The money is paid into an employment fund set up training do not finance it from a specific trainingby the Ministry of Employment. In line with the budget. recommendations issued by the social partners this fund is used to support training and employment In some cases the costs of training are entered schemes. under the overheads of the various departments and in other cases under the operating expensesThe contribution was waivedinthe case of of the personnel department. industries and companies which, by means of new provisions in collective agreements or by Only 1 out of 2 training officers wa., able to extending provisionsincollective agreements, provide an estimate of the amount spent onhad taken in 1989-1990 what the Ministry of training over a one-year period. Even then, the Employment considered to be equivalent measures figures provided cannot be used for comparisondirected at risk groups. purposes since the situation described varies from ompany to company. However, the employers were not particularly interested in integrating risk groups (e.g. long- For instance, some companies regard training term unemployed, poorly-educated unemployed). expenses as comprising only the fees paid to an A total of Bfr1 5 billion (ECU 37.5 million) was outsideconsultant,whilstothersincludethe paid into the employment fund, virtually none of operating expenses of the training department, which has been used.

3 Claire de BrierLes pratiques de formation dans les entreprises beiges (Training practices in Belgian companies), ICHEC, 1990 55 Under the 1991-1992 agreement, the percent-entered into the general overheads and Mrs. H. is age has been increased to 0.25% (Bfr 3 billion for not aware of the amount spent on training. Wa !Ionia) and the definition of risk groups has been widened to include older workers, workers Similarly, no list of the training courses attended with few skills and those having to work with new exists in the company although the courses found technologies, which is more closely tailored to theto be interesting are remembered. The sole source companies' needs. of information has thus been the collective memory of the workforce (cf. individual notes). Asaconsequence,Bfr 120million(ECU 28,714.4 million) has already been paid intoThe repair shop manager instructs the apprentices the employment fund. The bulk of the funds sponsored by the Ministry of Small Businesses as collected has been retained within the industrieswell as the trainees and bodywork repair students or companies concerned and there are indications from local technical and vocational colleges. that the next inter-occupational agreement will follow the some approach. The company considersthat AKZO provides sufficient training in paintwork techniques and is 0.10% of this figure must still be used for the most not seeking training elsewhere in this area. vulnerable category of workers. Positive action in favour of women is the second objective of theHowever, the company does require training in 0.25% scheme. The social partners play a more bodywork but this is unavailable. At the present active role in the Employment Fund. time the only training of this type is provided by the motor vehicle manufacturers to their dealers As regards the bodywork repairsector,this and agents and this is not accessible to independ- 0.25% will be used exclusively for the trainingent firms. of risk groups in the strict sense of the term, i.e. unemployed, youngpeople on dayrelease Company D has, therefore, been forced to rely on courses and immigrants). technical booklets and Tips magazine, which is published by the Vocational Training Foundation In the motor vehicle sector the funds are adminis- for the Motor Vehicle Industry. This magazine tered by a vocational training foundation, thereports on technical problems encountered by its FPPA (Fondation pour la Formation Professionnelle members as well as solutions to these problems. dans le secteur de ('Automobile). Company D, together with a large number of This foundation was set up jointly by the industrySMEs, wouldliketosee the motor vehicle and the social partners in October 1989 to carry manufacturers organizing 1 day training courses out an accurate assessment of the needs of thewhich are accessible to independent companies different sectors (studies in progress). whenever a new model is introduced.

It provides vocational training for the unemployed 6. Conclusion and evaluation in conjunction with FOREM ('Office Communau- taire et Regional de la Formation Professionnelle et 6.1 By the company de l'Emploi (Community and regional office for Against the criteria of the company's success, the vocational training and employment) and, some-company considersthetrainingprovided by times,throughnon-profit associationsforthe AKZO to be excellent. underqualified. 6.2 By the workforce There is no vocational training budget in the sector The workforce's evaluation is also a positive one. for low-skilled workers despite the fact that all the In particular, they mention the self -confiderwe the signs indicate a reduction in the number of jobs training has given them as a result of meeting up held by unskilled or semi-skilled workers. with other workers and the high standard of the facilities made availableto them(quality of Company D, unlike many other SMEs, is keen to premises, meals, accommodation, etc.). undertoke training on a regular basis and does not consider vocational training to be a waste of time One preparatory worker was promoted to paint- for the company but, on the contrary, a highly shop worker following a training course but, in profitable investment. Despite this, no record isgeneral. thereis no relation between training kept of training courses attended. courses attended and promotion.

Mrs. H. pays an annual subscription of Bfr 20,000 The company considers it normal to want to adapt (ECU 500) to AKZO, which provides access to all to new technology, standards, etc., and indeed the Club Akoad Selected courses, some of whichthis is one of the criteria taken into account at the are free of charge. All the costs incurred are time of recruitment. Appendices

Personal data of employees in the repair and sales Name: D. D. sector Age: 25 years Length of employment: 3 years Education: Apprentice sponsored by the Min- Name: V. S. istry of Small Businesses Age: 31 years Position held: Preparation worker Length of employment: 14 years Education: Apprentice sponsored by the Min- istry of Small Businesses Name: V. G. Training to become a manager Age: 18 years Position held: Bodywork technician Length of employment: 1 year Education: Apprentice sponsored by the Min- istry of Small Businesses Name: A. L. Position held: Age: 41 years Length of employment: 22 years Education: Occupational secondary Name: V. C. Position held: Finishing operative Age: 18 years Length of employment: 1 year Education: Apprentice sponsored by the Min- Name: R. P. istry of Small Businesses Age: 29 years Position held: Length of employment: 13 years Education: Apprentice sponsored by the Min- istry of Small Businesses Name: D. Pa. Position held: Bodywork technician Age: 25 years Length of employment: 3 years Education: General secondary education, con- Name: D. P. servatory of dramatic art, Age: 27 years 2nd year car assessment Length of employment: 5 years Position held: Administration Education: Apprentice sponsored by the Min- istry of Small Businesses Position held: Paintshop worker Name: B. B. Age: 22 years Length of employment: 1 year Name. D. A. Education: Technical secondary (commercial) Age: 30 years Position held: Employee Length of employment: 8 years

Education: A2 bodywork repairer + 1 year course in advanced painting Name: Mrs. H. Position held: Repair shop manager and paint-Age: 49 years shop worker Length of employment: 22 years Education: Technical secondary (commercial) Position held: Managing director

57 table 1 Por.icipation in continuing vocational training courses (1987-1992) Nome Course content (duration)Year of course MethodologyPractical workshop Theoretical ht-Institute company training External course (levelCertificate attained) Private study RP ColouringSpray gun 3 days3 days 75%75°. 25% SelectedClubIdem Akoad Certificate DP ColourColourTechnical preparation course management A 34 days3 days 50%75% 25°.50% AKZO CertificateCertificate ColourSpray course gun CB 3 daysI1 daydays 75%75%50% 50%25%25% AKZOAKZO Certificate Mr, H AccountancyCorrespondenceManagement 3 days 25°.50% 50%75% AKZOSelectedClub Akoad Certificate Managementponybodywork repairof the corn. 50°,50`., 50`.- AKZOAKZO AudatextheOrganization bodywork systemorn pan ofrepair ywork it. 1991 - I day 50", FEBELCAR 5 8 Aildatex system 1991 1 day BEST COPY AVAILABLE FEBEICAR Appendix Case study no. 3 As regards other employees: the 2 bodywork technicians have not attended 2. 1.The AKZO training programmes any courses(thefirmisunable tofind a bodywork course), 2.Technical training (item 5.1.3) is provider by the Finishing oF.-erative works a few hours per instructors at the AKZO training centre and is week and does not attend any courses, opentoallbodyworkrepair companies the 2 apprentices do not undertake training whether or not they are members of the Club courses, Akoad Selected, i.e.: Thus,only3employees (1 painter and2 preparation workers) qualify for training. independent bodywork repair companies apprentices sponsored by the Ministry for Since training is organized according to needs it Small Businesses is impossible to establish an average figure. In independent distributors of Sikkens products some years no training is undertaken, in others a course of 3-4 days duration may be followed. Management training (item 5.1.4) is provided by specialist trainers at the AKZO training 4.Evaluation by the researcher centre and is mainly aimed at managers from bodywork repair shops. As far as the training courses are concerneds it is only possible to refer to the company itself, which 3. Number of days training undertaken by the is satisfied with the training provided by AKZO. company's workforce Indeed, the company is well-known at AKZO for its eagerness to atte,-.-1 training courses. There is no answer to this question. As stated in the report there is no written record of the training Itis a pity, however, that most of the training courses attended and the employees refer only tocourses are rather "monopolized" by the com- those courses which they can remember. pany's management. However, the case study deals with a small family company which may The majority of courses are attended by the repair explain the situation, particularly as there is no shop manager and the managing director. legal obligation in respect of training in Belgium.

6' ) 59 4. MERCEDES

Size of company: IV 2.2 History, strategy and development Company L is a family-run company and has Make: Mercedes been a Mercedes dealer since 1952.

Category of motor vehicle: A, B In 1960 the company only employed four people. The company gradually expanded and a few Type of company: A months ago moved totheindustrial area of Wavre, whereitnow occupies an areaof 3,800 sq. m., i.e. three times its former size. Foreword This study tries to follow, as far as possible, the The company is equipped with the latest machin- general structure laid down for the case studies. ery and offers excellent working conditions.

However, this structure bears little relation to the Since 1952 Mercedes has renewed the dealer- actual continuing training schemes under review. ship annually and sets the annual targets to be reached (turnover, number of cars or parts to be If the structure had been followed item by item, the sold, etc.). text would not only have become "indigestible" but, above all,it would have given a distorted With its 9 subsidiaries Mercedes controls 45% of pictureof the actual case,givingtoo much the Belgian Mercedes market, the remaining 55% importance to certain minor aspects and skipping is divided between 56 dealers and 50 authorized over major ones. agents.

Therefore, a number of items were not includedCompany E works with 3 agents coveringits since they did not relate to the actual situation. authorizedterritory.However,thisdoesnot prevent it from occasionally selling cars outside its "territory". In the past, if such a sale took place, 1. General description of the case studythe vendor had to pay a percentage of the sales The study concerns the continuing vocational price to the dealer whose interests had been training schemes organized by the Mercedes "jeopardized ". network. As is the case for all dealers in the Mercedes Mercedes has a technicaltrainingcentreat network, company Esells Mercedes vehicles as well as a management and sales exclusively. training centre at Woluwe. Company turnover is Bfr 400 million (ECU 10 The subsidiaries, dealers and agents "duly accept million) and its capital (including reserves) totals that any member of their staff can follow the Bfr 73,180,114 (ECU 1,829,502.8). training and redeployment courses organized by Mercedes Benz, Belgium". The company sells 250 vehicles per year and currently repairs 28 to 30 vehicles per day which Training courses for new products are compulsory. it considers to be insufficient.

Company E, the subject of the case study follows, However, the economic crisis has apparently also exclusively, training programmes organized by affected Mercedes owners and business at present Mercedes as do allthe other dealers inthe is, therefore, stagnant. Mercedes network. Before the company moved to its new site, a study was made into the possible establishment of a car 2. General description of the company body repair shop. Mercedes was very much in favour of this idea, but the investment cost was 2.1 General characteristics of the considered to be too high and the scheme was company abandoned. Company E,a publiclimited company,isa Mercedes dealership (type B)selling cars andCompany E sub-contracts work to 2 local body- vans.The companysellsapproximately 250 work repairers. The repair shop manager believes vehicles per year and repairs, on average, 30 this to be the best solution since he considers vehicles daily. The company islocatedinthe bodywork and mechanical repairs to be two industrial area of Wavre, a small town approxi- totally different jobs. mately 20 km from Brussels. The extremelystrictenvironmental regulations The company comprises 25 employees (type 4), applied in the Walloon region, notably on waste 16repairmechanics, 1 salesman andthe disposal (oil, batteries, tyres, etc.) are a problem managing director. for the company's management. Until now waste 61 6( was either thrown away or given to localfarmers 2.3.3 Work organization 2. (tyres, wrecks, etc.) Sales policy is based on the cordial reception of customers and impeccable after-sales service. If the company has to assume responsibility for disposal of waste products itself, the cost involved For example, a breakdown service is provided 24 will inevitably be passed on to the customer. hours a day, holidays included, by the various Mercedes repair shops on a rota system. The managing director is concerned that draco- nian legislation was introduced before properCompany E provides this 24-hour service for one solutions had been evolved. He believes it would week per month. be more logical if responsibility for waste products fell on the producers of polluting objects. A mechanic (who is also the caretaker) and a volunteer warehouseman ensure this serviceis 2.2.1 Impact of new technology provided. New technology has mainly had an impact on the level of training required for recruitment and hasThe repair shop also ensures that maintenance led to frequent redeployment for all the staff. jobs are carried out in the shortest possible time, e.g. one ramp is used exclusively for therapid oil Previously the managing director could recruit change service. non-qualified mechanics with adequate profes- sional experience by advertising. Since 1981, in addition to the managing director, one person is employed exclusively in thesales At present all the mechanics are either A2 or A3 department. and are preferably the top of their class. Apart from visiting potential customers (approx. 6 2.2.2 Impact on repairs and sales perday),thesalesmancallsregularlyon The introduction of electronic systems has had a Mercedes owners. Personal contactisindeed dramatic effect on the sector. Since the school one of the keystones of company policy. system does not "produce" electro-mechanics it is up to the company to train youngmechanics. The showroom displays approx. 30 cars although most of the buyers prefer a custom-made car Only the best school leavers are recruited now (colour, accessories, etc.). and training has become much easier. The salesman sometimes accompanies a potential Sales have also been profoundly affected. Custom- customer to the showroom at Zaventem, which has er contacts have become much morepersonalized 52 different models, or takes the potential buyer and occur at a time convenient to the customer, for a demonstration run in the car of his dreams. i.e. no longer in the evenings, which used to be common practice. Once the sale has been concluded, the salesman delivers the car to the customer and a final 2.3 Company structure demonstration is given. 2.3.1 Organization chart As far as the repair shop is concerned,the foreman allocates the day's work depending on the specific Table 1 skills of each mechanic.

All the mechanics are multi-skilled but some are Director Managing director better than others at certain tasks which they are Mr S Mr. S. _.1 then assigned first.

Thus, even though there is no hierarchy among the Repair shop!I Warehouse Soles i 1 Accounts i mechanics, the company has: foreman I foreman

J. a specialistinelectrics-electronics, whois currently training an assistant mechanic; Employee i iEmployee 1 1 a specialist in cylinder heads and injection systems, who isalso training an assistant mechanic; 2.3.2 Workforce

Repair shop: 13 mechanics r specialistinrepairscarriedoutunder Warehouse: 2 warehousemen guarantee; Sales: 1 salesman 62 Reception: 3 staff a specialist in vans, Of sisted by twomechanics. 2.4 Staff relation to the work they do and refer with regret to the days when they had more freedom in fixing 2.4.1 Total workforce wages according to the workers' abilities. In 1992 the company employed 25 people, i.e. 16 blue-collar and 9 white-collar workers. There are no socialbenefits apart from the supplementary holiday after 10 years service. In 1987 the company employed 23 people, i.e. 17 blue-collar and 6 white-collar workers. 2.4.4 Workers' training needs The company does not apply the "Small Busi- 2.4.2 Workforce nesses" training system (cf. sectoral study) since it There are 6 women employed in administration, believesthatitsworkersshouldquicklybe reception and accounts. operational. All the workers' have at least A3 3 women are aged between 30 and 40. (vocational training). 3 women are aged between 40 and 50. The company mainly recruits young school-leavers There are 19 men employed as: mechanic (13 + for whom it provides on-the-job training. the repair shop foreman), warehouseman (2 + warehouse foreman), reception (1) and salesman Company E has no problems in recruiting good (1). mechanics as the repair shop foremanisa member of the assessment panel at the local 10 are under 25 technical school and can, thus, select the best 4 are between 30 and 40, students, either A3 or A2 (technical training). 4 are between 40 and 55 1 is over 55. Contrary to common complaints about the low level of training in certain technical schools, the A large number of mechanics retired recentlycompany is highly satisfied with the level of its which explains the 10 young mechanics. young mechanics. It does have some problems, however, in finding experienced electricians.

1 employee is of foreign nationality (Moroccan) and was engaged after a period of holidayThere are no real internal promotion opportu- employment. The other workers are Belgian andnities; there is only one repair shop foreman per live in the area. company.

All the contracts are permanent full-time contracts. A young mechanic starting in the repair shop is first given minor tasks under the supervision of an 2.4.3 Working conditions experienced mechanic. The, working week is 38 hours, from 8.00 to 12.00 and from 13.00 to17.00 (except forAfter 2 weeks he gradually works unsupervised Friday when the repair shop closes at 15.00). and after 2-3 years he becomes a "semi-skilled" worker. The annual holidays consist of 20 working days + one supplementary day granted to workers withAccording to their interests, the mechanics can 10 years service. subsequently specialize in one particular field, althoughthisdoesnotconstituteanactual Wages are in accordance with the sector wage promotion. scale, i.e.: Bfr 358 gross/hour (ECU 8.95) for skilled workers2.4.5 State of the market - category 1(experienced mechanics), Some 12,000 passenger cars are sold in Belgium Bfr 342 gross/hour (ECU 8.55) for skilled workers each year. - category 2 (mechanics with little work experi- ence). Company Eranks among themedium-sized dealers. The largest dealership sells some 1,000 The young mechanics recruited direct from schoolcars annually, the smallest 60. Three-quarters of areallpaid the basic wage. Pay rises are the companies belonging to the Mercedes network subsequently granted depending on the know-are located in the how of the workers, their work rote, etc. Thus, each employee has individual and, to a certain extent, confidential wages. 3. Continuing vocational training centres The company's managers consider the wages of Company E participates exclusively intraining the young employees to be much too high in schemes organized by Mercedes, considering that

4 Only family members (sons, nephews) followed educational options other than that of mechanic 63 6,3 these schemes meet their training needs more thanThe managingdirectorattends management 2. adequately. training courses for approx. 5 days per year as well as sales training for new products. He also Priorto1988there were 2importersfor participates in comparative tests. Mercedes: IMA for passenger cars and Matinotto for commercial vehicles. Mr. S. is the Chairman of the Dealers Association for the French-speaking part of the country. This In 1980 Benz took over all imports, which led to associationis regularly consulted by Mercedes the merger of the training centres and the creation (5-6 times per year), e.g. when a new advertis- of one training centre at Zaventem (Brussels) for ing campaign is launched. technical training and one centre at Woluwe (Brussels) for sales and management training. 4.2 Analysis of prerequisites The company has complete freedom in respect of There is also a centre at Charleroi (Wallonia) and its personnel and wages policy. one at Anderlecht (Brussels) for bodywork. These centres have a mainly practical orientation. However,itis customary to inform Mercedes whenever a new salesman is recruited and he is Frequently the some people attend the trainingthen invited to the training centre for an assess- courses (there are approx. 30 authorized Mer- ment test. This test involves an interview, psycho- cedes bodywork repair shops). technicaltests, exercises insalesmanship and communication. At present training courses are less frequent since the workers are well trained. Aftersigning a contract and before hisfirst working day, the new salesman receives a few There are also other small training centres, e.g.days basic training. training in computing is provided by the Mercedes computer department;thecentralwarehouse An educational certificate is not required. How- undertakes training in certain fields sinceit has ever, although some salesmen only complete 3 all the Mercedes parts and the personnel depart- years of secondary ortechnicalstudiesthe ment provides management training which doesmajority complete the full 6 years of secondary not involve customer contact. education and many of them have an engineering certificate. 3.1 The centre for technical training This centreispart of the after-sales/logistics less than 5% of the sales force are women. department. The minimum level required for the mechanics is A3 (vocational education) with a marked pre- Director 1 secretary technical training ference for A2 level (technical education).

The training centre establishes the know-how of 2 trainers 2 trainers the new mechanics and aims to establish as soon passenger cars commercial vehicles as possible the technical operations a repair shop in the network can carry out, taking into account the qualification level of its workforce. 3.2 The centre for sales and management training 4.3 Target group 4.3.1 Technical training Director The training schemes are aimed at staff within the sales and management Set rotary training Mercedes network.

However,manyrequestsarereceivedfrom companies who do not belong to the network but 1 trainer 1 trainer passenger cars commercial vehicles own commercial vehicles and carry out repairs themselves. Even though these companies are not members of the network they are allowed to participateintraining courses since they are important customers, some of them with more 4. Company training policy than 200 Mercedes vehicles.

4.1 Training schemes and concepts The centre is currently trying to rationalize the Company E participates exclusively in trainingtraining courses offered and has asked each courses organized by Mercedes, accordinglythe Mercedes repair shop to compile a list of their 64 company has no specific training strategy. workers, detailing each mechanic's main and

ti secondary activities, in order to be able to identify taken by the dealers and agents according to their participants more efficiently. needs. 2. This project has not yet been completed as the 4.4.1.2 The trainers repair shops are often reluctant to provide the Mercedes is planning to employ two new trainers, information and the data is difficult to process. one for passenger cars and one for commercial vehicles. As a result, at present it is still the repair shops who selectthetraining course participants butin In principle the company would like to recruit accordance with a compulsory rota and with atrainers with an Alcertificate(3-year post- quota of participants per training course. secondary education), particularly in view of the development of electronicsystems,but wage The company is no longer free to choose theconditions together with the lack of promotional period when a course takes place which some- opportunities make this impossible. times causes organization problems. Al trainers usually do not stay at the centre for It is mainly the mechanics who attend courses butlong.Thepresenttrainersearnapprox.Bfr Mercedes also organizes 1or 2 days training for 80,000 gross/month (ECU 20,000) and have repair shop foremen. 25 years experience.

Training courses concerning new innovations are Allthe present trainersare former Mercedes compulsory. network mechanics.

Mechanics, on average, attend 4 to 5 training The recruitment of trainers is obviously problem- courses per year. atic since, in addition to the required technical qualifications, they also need to be completely 4.3.2 Sales and management training bilingual and able to run courses in French as well In addition to the basic training given to all new as Dutch. sales staff, a training course for inexperienced salesmen is organized as soon as 6 to 8 people The Mercedes networkismore importantin speaking the same language apply for this type of Flanders than in Wallonia and the Flemish dealers course. make more applications for training than their Walloon counterparts. Thereisalso a training courseinsales and communication for experienced salesmen(i.e. It is not possible at present to have both a French- after 5 years service). In fact, as soon as there is speaking and a Dutch-speaking trainer. a drop in sales in a dealership which is above average the training centre proposes a training Apart from the two national languages, trainers course to the manager of the company concerned also have to understand German since all the (communication, management, etc.). documentsissuedbythetrainingcentrein Stuttgart ("the Factory ") are written in German. Since these courses are no longer free of charge These documents form the basis of the different they are not compulsory. In fact Mercedes expects courses. companies in the network to bear 20% of the actual training costs. Thisisthe only type of4.4.1.3 Training the trainers training which is not free. Training courses forEvery year the Belgian trainers, like all Mercedes products and innovations are free and compul-trainers, spend two periods of one week at the sory. factory.

4.4 Continuing training policy The factory develops training programmes, al- ways written in German, and it is up to the trainers 4.4.1 Technical training from each country to adapt the programme to their "students". 4.4.1.1 Training schemes The Mercedes training centre decides annually on There are no clear pedagogical guidelines. All the the training courses to be held (for further detailstrainers follow their own systems, some making see Appendix 2) slidestomake thesubjectmattereasierto understand etc. If a certain number of specific applications from dealerships are received a training course can beThe trainers have attended some seminars on organized. pedagogical techniques.

There are two types of training: training in respect A German trainer comes to Belgium for a fortnight 65 of new products (compulsory) and basic training whenever Mercedes launches a new product. 5 In the first week he prepares the new courses thatparticipantshavedifficultyinmastering together with the trainers and during the second certain items of the programme. week two pilot courses are given to the staff of the after-sales department, the technical foremen, the This module is run at the centre since Mercedes technical inspectors and staff from the guarantee likes to know itssales staff personally and to department. acquaint them as quickly as possible with the staff of the different departments they will be working On receipt of an application from the training with. centre, the factory sends a guest trainer and the centre determines the theme of the training. AtThis "product" training is also given to staff from present the number of participants is limited (e.g. the various Mercedes departments. 12participants for the "bus" training). To date some300people have taken the course. 4.4.1.4 Scope of the training On average a trainer provides 84 hours of The market is explained by a trainer. training per year. The organization describes the history of the infact the centre provides as many training company, the different departments, the an- courses as it can handle. cillary products (e.g. different finance schemes) as well as the different services provided by the In 1991 there were208training courses involving importer and to which the salesman can have 1,884workers. recourse.

4.4.1.5 Development of training At the end of the course the salesman receives all strategy since 1987 the documents used during the course as well as a There has been no actual development, rather an syllabus for personal study. adjustment to new techniques. Trainingforinexperiencedsalesmen(2-3 4.4.2 Sales and management training days) Sales and communication training for experi- 4.4.2.1 Training programme ence salesmen(2-3days) A training programme is planned annually but a New product training great deal of flexibility exists in order to meet market changes ortheintroductionof newThe content of these courses reflects the most products. recent developments at Mercedes. The courses are organizedassoonasanew product is The centre works in close collaboration with the announced. marketing department. Seminars are also organized involving competitor Basic training comparison. Some 160 people,i.e.allthe salesmen and sales managers, tryout, under This training lasts on average 3 days, sometimes identicalcircumstances,other makes ofcars more, depending on the individual salesman. (vehicles kindly lent by competitors). After each test an assessment is made. The course consists of various modules, notably: the product, the market, the Mercedes organiza- Quality and customer service training tion. This course is int,Nided for all those who come into There is little turnover among the Mercedes sales direct contact with the customer (receptionists, force and as aresultthisbasictrainingis cashiers, repair shop foremen, etc.). sometimes given to just one salesman. Management training Given the high cost involved, the centre intro- duced an interactive computer programme for the These courses are intended for company man- products 5 years ago. agers and are often run by external consultants. They concern specific themes and last 1 or2days. Georges (the computer), assisted by a video givingavisualpresentationofthedifferent Management trainingnotinvolvingcustomer products, familiarizes the future salesman with a contact is provided by the personnel department. series of catalogues and teaches him how to trace information rapidly in the various documents. 4.4.2.2 The trainers The programmeis,ofcourse,continuously The director of the centre coordinates allthe 66 updated and can be modified if the trainers find courses and provides training in communications, customer service and certain types of manage- As far as sales training is concerned, only training ment. for experienced sales staff is invoiced, at 20% of its actual cost, but as yet the company has not had Product training is given by two trainers. to resort to this form of training.

Trainingfor passenger cars and trainingfor commercialvehiclesarecompletelyseparate 4.6 Evaluation of the costs since the customer approach is entirely different. 4.6.1 The centre for technical training 4.4.2.3 Training of trainers The budget earmarked for training cannot be The qualification level of the trainers is higher than estimated since it is divided between different items. that of the technical trainers since the courses are developed at the centre and are continuouslyThe centre's staff budget includes: updated (one single programme may be used 5 times at,most). Bfr 600,000/year (ECU 15,000) for accommodation expenses (meals, coffee), Qualifications of the trainers: Bfr 150,000/year (ECU 3,750) engineerpost-university pedagogical training for teaching material, economist Bfr 300,000/year (ECU 7,500) German language specialist post-university for specific Mercedes equipment, marketing training Bfr 150,000/year (ECU 3,750) for basic equipment. 4.4.2.4 Scope of training in 1992 Basic training: 30 days Inaddition to the annual budget other minor Training of inexperienced salesmen: 10 days expenses are incurred,e.g.smallarticlesof Training of experienced salesmen: 10 days furniture. Product training: 60 days Customer service/quality training: 50 days Management training: 8 days 4.6.2 The centre for sales and management training 4.4.2.5 Development of training The budget is determined on an annual basis. strategy since 1987 There has been no actual development but rather In 1993 it will, for the first time, be reduced (as a an adjustmenttonew products and market consequence of the economic climate) but this will changes. only involve logistic expenses (meals, etc.).

it was not possibie to obtain detailed information 4.4.3 Impact of training on employees' about the budget but it is somewhere between Bfr careers 5 and 10 million (ECU 125,000 to 250,000). Since all employees have to undertake training thereisno real impact on their occupational This budget includes: careers. external consultants, meals: 80% of the courses are held at the If, as a result of training, an employee's know-how centre, 20% are held at a hotel, increases, the manager can award a pay rise. teaching material, translation fees for documents from Germany.

4.4.4 Social partners Thefactoryusedtoprovidedocumentation, Since trades unions are not represented in small teachingmaterial,the services of a German and medium-sized companies and in addition consultant etc., free of charge. there are no legal obligations in respect of training in Belgium (cf. sectoral study) the social partners Atpresent, each country contributes towards do not play a role. expenses, co-financing films, etc.

4.5 Cost of the training 5. Evaluation of the training policy All technical training courses are provided free, By the training centre during working hours. As far as technical training is concerned, there is The only cost company E has to bear is the hours no real evaluation since the feedback is not really lost in production. These hours are not accounted measurable. for, but the company appears to be under the impression that training is expensive, although it is Of-ten too much time elapses between training and fully aware of the need for vocational training. the opportunity to put the new know-how to practical use. This sometimes entails a certain losswhenever problems arise.Inmost cases this 2. of knowledge. proves to be an effective way of working.

In this event the company contacts the trainers atSome workers would like the centre to organize the centre to ask for information, which it can do more intensive training sessions, e.g. lasting one whenever it fails to solve a problem. week where subjects can be covered in greater detail. At the end of each year companies in the network receive an evaluation of their work in various When employees return from a training course fields, including training (participation, quality of they discuss it in the repair shop and circulate the participants, etc.). technical information they receive.

By company E 5.1 Technical centre training projects In addition to the standard courses, which are The staff frequently attend training courses and the regularly reviewed to cover new technical devel- company considers the training provided to be opments (cf. Appendix 2), the centre has plans to adequate. train "diagnostic mechanics" (who already exist in Switzerland) in 1993 who will become assistants The company does not draw up a list of courses to the repair shop foreman. attended anditis consequently the collective memory of the employees that is the sole sourceThis new function has become necessary due to of information. the complexity of the electronic equipment inte- grated in new cars. However, since the training courses are exclu- sively of a technical nature, few employees have The centre has new testers (diagnostic equipment) been able to indicate the content of the courseswhich will be delivered to the network following taken, even those taken in 1992. All the employ- training. ees had, somewhere, a certificate of attendance which they had received at the end of training ... Thistrainingwillcoverthebasicsof each

but where . ? electronic system to enable a diagnosis to be made. At the end of each course participants have to complete a questionnaire concerning any prob-4 to 5 days training are planned for each system. lems encountered. The training will be staggered over several years

If the same type of problem occurs several times, since 106 participants are expected, i.e. 1 per Mercedes organizes a training course on that dealership. topic. 6. Conclusion In general the employees do not consider that it is In general, staff and management are satisfied possible to predict the type of training required. with the training offered by Mercedes and there is They think it is preferable to work in relation to the consequently no need to develop hypotheses on jobs encountered, calling a trainer at the centre the ideal types of training.

68 C 1 1 Appendix 1

Name: R. L. Name: P. C. Age: 51 Age: 43 Length of service: 36 years Length of service: 26 years Initial training: 2 years technical studies Initial training: A4 mechanics Position held:Repair shop foreman Position held:Mechanic Training: 6-8 courses per year, goes to Training: 3-4 x year - 50% theory

Germany for 1 week where he Training taken when new models receives update launched, e.g. electronics, injec- information and visits factories tion, MB100 (van), All the courses concern cars, new commercial vehicles, carburettor. technology...but he is unable to Duration: 2 x 1 day give further details. Courses comprise 90% theory Name: Claude D. and 10% practical(thetrainer Age: 30 demonstrating how touse the Length of service: 7 years equipment). Initial training: Lower and higher secondary + Duration: In general, 2 x1 day evening. (filing, account- ing, mechanics) Name: Guy Position held: Receptionist Age: 36 Training: 3-4 x year, often 2x 1 day Length of service: 14 yea's Examples of courses taken: ac- Initial training: A2, mechanics option counting, technical course (cars) Position held:Mechanic-electrician Training: Average of 6-7 courses per year Nome: Biron which he evaluates as interesting. Age: 38 Duration: The most recent one (petrol en-Length of service: 18 years gin.; M11 and M104 with HFM Initial training: Technical secondary (mechanics) injection system) + 2 years specialization 2x1 day. Position held:Warehouse foreman Training: Examples of courses taken: - customer reception Name: Bruno - sales techniques Age: 26 - microfiche

Length of service 1 year - computer science (regularly for Initial training: A3 (electro-mechanics) 4 years) + specialization After following a training course Polon held:Mechanic-electrician he acted as instructor for the 2 Training: 1992 2x 1 day general training young warehousemen. (different types of model and how The otter are due to attend train- to distinguish them) ing at the centre within a year.

Name: A. C. Name: Didier D. Age: 22 Age: 35 Length of service: 4 months Length of service: 17 years Initial training: Motor vehicle mechanic A3, 7th Initial training: Lower secondary + typewriting Position held: specialization year Receptionist Training: 1 Position held:Mechanic 15 day informatics when Training: No training at present but he will Mercedes introduced the Nixdorf system in 1987/1988 participate in 1993.

Name: JL. V. Name: Pierre S. Age: 38 Age: 25 Length of service: 12 years Length of service: 4 years Initial training: 3 years general secondary Initial training: Higher secondary education + Position held:Salesman (prior to working for 2 years marketing (not completed) company E he worked as a sales- Position held:Mechanic man in companies selling competi- Training: 5-6 x 4 years average approx. tors' makes.) 2.year e.g. basic principlesTraining: On average10 courses/year (petrol/diesel engine mechanics) and 1residential seminar 1 t1 day. (2-3 days) each year. 100% theory. He considers theses He also goes to Germany to courses are interesting for new- attend conferences, visit factories. comers. Example of training course taken: how tocontact customers by telephone. 69 .

%. Appendix 2

Table 1,- Annual training programme for passenger cars

Passenger cars Survey

Training course no. Subject Place Duration (days)

1000 Maintenance Zaventem 3 1001 Modifications and new products 1-2 1002 All-terrain vehicles 2 1071 Diesel engines - 4/5/6 cyl. (turbo) 1 1073 Petrol engines - injection/ignition 4/6 cyl. - 6/8 cyl. multi-valve 1-2 1260 Mechanical gearbox (4/5 gears) 1 1270 Automatic gearbox (4/5 gears) 1 1280 Automatic blocking differential (ASD) Automatic 4-wheel drive (4-MATIC) 2 1320 Level corrector Hydropneumatic suspension (HPF) Adaptive damping system (ADS) 2

1400 Position of rear and front axles 1 1420 Anti-lock braking system (ABS) Anti-skid control (ASR) 2 1540 Options and systems 1-2 1600 Bodywork repairs MB Bel Charleroi 4 1810 Bodywork equipment Zaventem 2 1820 Basic principles of electricity 2 1980 Diagnosis of paintwork 1 1981 Paintwork:pair MB Bel Charleroi 4

Table 2

Passenger cars Training no. 1280

Subject Automatic blocking differential (ASD) Automatic 4-wheel drive (4-MATIC)

Target group Technical staff: mechanic-electrician

Objective Understand composition and function Undertake maintenance, inspection, adjustment and repair work Correct anomalies

Description Composition and functioning: - of the automatic blocking differential (ASD) - of the automatic 4-wheel drive (4-MATIC) Maintenance, inspection, adjustment and repair work Guidelines for measuring electric variables (tension, amperage, resistance) by means of a multimeter Testing of knowledge acquired

Duration 2 days

70 7 0 Table 3 Annual training programme for commercial vehicles

Commercial vehicles Survey

Training course no. Subject Place Duration (days)

3000 Maintenance Zaventem 2 3001 Modifications and new products 1-2 3070 Diesel engines - 300 series 2 Diesel engines - 400 series 2 3260 Mechanical gearbox 2 MB G 125/155/180 Automatic gearboxes 2 3320 Pneumatic suspension 2

3420 Pnewinatic brakes level 1 2

3421 Pneumatic brakes level 2 1 3540 Systems

EPS 1 ABS/ASR 2

Automatic heating TAKTMATIC 1

Speed limiter 1

Centralized lubrication 1

3820 Reinforced engine brake 1 Basic principles of electricity 2

Table 4

Commercial vehicles Training no. 3320

Subject Pneumatic suspension

Target group Technical staff: mechanic

Objective Carry out c!! inspection, adjustment and repair works, make diagnosis

Description Composition and function: of the pneumatic suspension system of the valves Reading and interpretation of the automatic suspension diagrams Adjustment on the vehicle rear axle vis-a-vis the chassis level spring suspension with retractable axle ALB adjustment diagnosis of breakdowns - correction of anomalies modifications and new products testing of knowledge acquired

Duration 2 days

71 71 2. Appendix 3 1.The training programme 3.Specific target group Company Eparticipatesexclusivelyin training courses organized by Mercedes, There is no specific target group. considering that they adequately meet its training needs. 4. Course content

Mercedes draws up annual training pro- There are 2 types of course: the technical grammes which are subjecttorevision courses (compulsory) for new products and the during the year. They cover new technol- basic courses which are not compulsory. ogies, new products and market changes. The sales courses concern products, communi- cations, customer service, the different depart- 2. Analysis of qualifications ments and services provided by the importer. Although companies in the Mercedes net- work have complete freedom as far as 5.Training costs recruitmentisconcerned, Mercedesas- sesses new salesmen and tests the skills of All Mercedes training courses are free, except new mechanics. forthetrainingintendedtoimprove the performance of salesmen with at least 5 years Mercedes' objective, in the near future is to service,in which case the company bears determine the technical operations a repair approx. 20% of the actual cost of the training. shop can effect taking into consideration the Company E has never had to apply for the qualification levels of its employees. latter type of training.

6. Costs and benefits of training

There is no information on this subject.

72 2 PART 3:

Conclusions

3 CONCLUSIONS

Environmental requirements already exercise a number of dealers and agents, by contrast, has molar impact on this sector (see above). in future, remained constant.Here, too,a decreaseis theimportanceofenvironmental issueswill expected in the future. The case studies show, for undoubtedly become even greater.Increased example, that the future strategy of certain motor pressuretorecyclecarswillpushthecar vehicle manufacturers is aimed at closing down manufacturers to rethink car construction. The the less profitable (and unprofitable) sales points. number of carpartstobe assembledwill Thisislinked to the stagnating market.In a presumably fall. growing market the strategy would be directed at making the less profitable points of sale more The possible revisionof EC Regulation (EEC) profitable. The number of independent repair No. 123/85 in 1995 is a source of concern. If shops rose sharply at first,but in recent years the EC attached more importance to free competi- has been decreasing. tion in the sector, this would lead to a profound transformation of the entire sector. Approximately A second noticeable development is the rise of the 40% of all companies would lose their privilegedsales and service centres and thetechnical position. If the regulation ceased to be applicable, specialists (auto electrical systems, brakes, die- there could be a shift towards the mega-car- sel, exhaust, etc.). Nevertheless the fact is that the centres already familiar in the US, i.e. severaldealers, agents, independent repair shops and geographically grouped companies fromthe bodyshops have managed to retain the greater motor vehicle sector working together, to offer part of the market. The case studies show that the their consumers atthe same timecars anddealers and agents, on the one hand, and the accessories on sale, a car washing plant, leasing independent repair shops and bodyshops on the facilities, repair and maintenance services, etc. other, do not necessarily constitute two separate segments of the market. A great number of Employment perspectives in the sector are rather independent repair shops undertake work con- pessimistic. Low profitability as a result of fiercetracted out from dealers and agents, and by competition is only one of the reasons for this.means of these(informal)networks,through Present-day cars need less maintenance, because participationintraining programmes provided the so-called 'wearing' parts last longer. The total by the importers and manufacturers, they manage work volume has decreased. Identical technical to keep up to date with technological innovations. developments force dealers and agents to make cor ,iderable investments in sophisticateddiag- The sectors under consideration employ 1.9% of nostic equipment. The market seems ready for athe working population in the private sector. There decrease in the number of dealers and agents, on are relatively more labourers, men and employees the one hand (in the same way as the decrease in with a full-time contract in the sector. If we take the the number of petrol stations in the eighties) and total working population as our starting point, formalorinformalcollaborationagreements (thus including the self-employed), then we arrive between dealers for making investments, on theat a share of 2.6%. Both the number of wage- other. Until recently, the growth in the number ofearners and the number of self-employed has risen cars on the road managed to compensatefor the during the past ten years. There has been a above-mentioned developments, but this will be noticeable decrease in the number of apprentices lessthe caseinthefuture. The growth will (by almost 50% in a ten year period). As a undoubtedly be considerably less than in the past. training channel, the apprenticeship agreement or contract with shopkeepers and tradespeople has The structure and characteristics of the sector are undeniably lost ground. The future prospects are strongly related to the growth of the number ofrather bleak. The low average earning power and vehicles in use. In 1962 there were one million the rapid rise in productivity will cause employ- vehicles in use and in 1990 there were no less that ment to fall. 4.5 million, 3.8 million of which were passenger cars. The end of this development isapparently not With respect to new technologies, little is known yet in sight since there are expected to be no less about the factual situation in the sector. In view of than 5.2 million passenger cars on the road in the fact that all high-tech motor vehicles are also Belgium before 2010. The increase in the totalon the market in Belgium, we suspectthat the number of cars, however, has not kept the vehicle situation does not differ appreciably from that in market from turning into a replacement market, as the neighbouring countries. The required knowl- it has already been for some time. In addition the edge and skills which grow out of the technologi- sale of second hand carsisalso growingin cal innovations are in many cases passed on by importance. the car manufacturers themselves viatraining given in their own centres. In the case studies a Over the past ten years we have observed that the polarization with respect to the required qualifica- number of independent repair shops has grown. tions has been observed. The core task appears However, a decrease in this number is anticipated more and more to be the diagnosis of theproblem inthefuturealthoughno one expectsthe with the car. This core task requires technical and 73 independents to disappear from the market. The general insight and the capacity to reason and 7A interpret.Itmust therefore be carried out bythe training programmes are, in fact, compulsory. qualified personnel. Conversely, the actual repair If too few employees are registered during a given or replacement of the defective part is in fact fairlyperiod, the employer risks losing certain bonuses. simple. The car manufacturers are trying to geta In an extreme situation a company can even have better grip on this core task via the development of its dealership withdrawn. With another rnanufac- ir'eractive diagnostic equipment. In this way theturer the training programmes are compulsory diagnosis is becoming more standardized. Work- only for the technical advisers in the companies, ing with this sophisticated and costly diagnostic butparticipation is stimulatedby means of equipment, however, does on the whole requirecompetitions and extra premiums. The agents are more highly skilled personnel. This brings us to the sometimes also brought in here in a subtle manner. problem of qualification. With one particular manufacturer mailing is taken care of by the distributors, who are much closer to In the state educational system there are no less the dealers and agents and therefore havea better than four different channels by means of which overview of possible qualification problems that young people can prepare for a job in the sector.may exist. In this way informal pressure can be At least until recently the flow to the labour market exerted. An important point is that the training was fairly smooth, but there are reasons to assume offered is not determined solely by the manufac- that this will cease to be the case in the future. The turer. The dealers and agents can sometimes point sector has two major complaints regarding the out needs. A key role here is played by the state education system. First they point out the technicalinspectors, who are responsible for excessive number of schools. In addition, theremon!' ring the dealers and the agents. Sometimes appears to be too littleinterest among young there is a more systematic enquiry. people for the training, (a complaint, .by the way, that we note in both industrial sectors and the Certain forms of collaboration between different construction sector). Until recently the sector wasmanufacturers constitute one very importantposs- experiencing competition from the assembly sectorible development for the future. Up to the present due to the higher wages that are paid there. The time each manufacturer has been investing a lot of threemajor contendersinthesecond-track money inits own traininginfrastructure. The education system - Education for Social Promo- recession in the assembly industry, on the one tion, the VDAB (Flemish Employment Service) and hand, and the necessity to keep investingin Trainingforthe Self-Employed-allprovide training, on the other, make this intention more training that is focused specifically on the sector.understandable. Training is also being contracted Incertaincasesthetraining isfocused onout. This applies in particular to training in sales unemployed persons who by means of a proper techniques, marketing and telemarketing. training programme will have a better chance of finding work (VDAB). In other cases the training We also want to mention a few private initiatives offers people a second chance to acquire ain addition to those of the manufacturers. Thus all related diploma, or elseit offers individuals the motor vehicle spraying companies provide train- opportunity to work on their car themselves in theiring programmes (usually free) for their customers. free time (OSP, or Education for Social Promotion). In one case, for example, the installation of a In other cases, the training is focused particularly high-tech spraying cabin includes two-weeks of on those who want to become self-employed intraining. In another case, a multinational in the the sector (Trainingfor the Self-Employed).In chemical sector provides identical training for a addition, there is also training within the frame- selected group of bodyshop companies. The work of collaboration between the VDAB and the condition isthattheyaremembersof an sectors involved. Here, too, it is primarily a matter organization created especially for the occasion. of training that is aimed at risk groups. In practice, the latter term is broadly interpreted. Thus recentlyFinally, there are developments in the companies a training programme called "car sales" was themselves. From the case studies itis apparent introduced for female job-seekers. that self-study is also growing in importance. This is becoming possible through the availability of However extensive these initiatives may be, in the technical informationinthe company, (usually totaltrainingactivitieswithinthesectorthe made available by the manufacturers or the initiatives taken by the manufacturers play thesuppliers), whetherintheformof loose-leaf most important role. Unfortunately enough, itis information sheets or via a computer linkto precisely here that we find the greatest shortage of central data banks (e.g. Audatex data bank). It information. From the case studies it appears thatwas apparent from the case studies that self-study the initiatives taken by the manufacturers differ requires a serious change inattitude by the from one make to another. With one manufacturer employees. CEDEFOP - European Centre for the Development of Vocational Training

Training in the motor vehicle repair and sales sector in Belgium (FORCE programme)

Jan Denys, Peter Arryn, Hendrik Delagrange

Luxembourg: Office for Official Publications of the EuropeanCommunities

1994 - 74 p. 21.0 x 29.7 cm

ISBN 92-826-8345-1

Price (excluding VAT) in Luxembourg: ECU 8

Venta y suscripciones Salg og abonnement Verkaut and Abonnement nwAnacic xai auyopoptc Sales and subscriptions Vente et abonnements Vendita e abbonamenti Verkoop en abonnernenten Venda e assinaturas

BELGIOLIE BELGIC IRELAND SCHWEtZ SU7SSE SollERA ISRAEL

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