INSTITUTE OF THE MOTOR INDUSTRY JUNE 2017 £5.60

PLANNING FOR DRIVING AUTONOMY THET LOGISTICS OF GOING AUTONOMOUS THE GREAT DIESEL DEBATE ASKING IF MEDIA SPECULATION IS AFFECTING POLICY MAKING FROM CARD TO CLOUD ON WORKSHOP MANAGEMENT TECHNOLOGY

Is the industry mis-selling motor finance?

FROM THE CEO AN IMBALANCED ACT

Why the sensationalised media coverage of two current industry issues does little for anyone

n this edition of IMI Magazine we cover value. The risk then is that this leads to calls two issues which currently account for a for inappropriate or disproportionate actions to significant amount of the media coverage that address the situation. our industry attracts. They are the ongoing I Most rules and regulations we encounter, debate about diesel vehicles and the more whether in the workplace or out in the wider recent intense attention that the whole subject world, are designed to manage the actions of car finance has attracted. and behaviours of the small minority who The key thing about both of these issues is might otherwise act inappropriately – yet these that the media coverage is often sensationalised rules and regulations affect everyone. This is and therefore fails to present a balanced view the broad-brush approach that we absolutely of the facts. So, on face value, they present a have to avoid being applied in respect of both view that all diesel vehicles, regardless of age, how we address the environmental impact of are an environmental disaster and we should be diesel vehicles and how we ensure that the ashamed to drive them; and that car finance is actions of a small minority of potentially rogue the new sub-prime bubble and is a grave threat lenders in the car finance business are not to our economy! seen as representative of the sector as a whole, leading to Of course neither of these “Most rules and unnecessary and unwanted pictures are accurate and, regulations we encounter, restrictions on otherwise good whilst not exactly what whether in the workplace and very sound operators. President Trump likes to or out in the wider world, call “fake news”, both create Hopefully you will find the distorted perceptions which are designed to manage arguments put forward in many – including politicians the actions and behaviours this issue both balanced and – will simply accept on face of the small minority” informative...

WWW.THEIMI.ORG.UK I 3 20 THIS ISSUE... 40 REGULARS 3 Welcome 6 IMI in action 8 Analysis 10 Round-up 12 Frontline Is the industry mis-selling motor finance? 14 Motorcycles 16 Commercial vehicles 39

BUSINESS 24 Independent 25 Legal 34 27 Insurance PLANNING FOR 28 Recruitment DRIVING AUTONOMY The logistics of going autonomous

FEATURES STARTS PAGE 45 30 The great diesel debate Asking if media speculation is affecting policy making 40 Alive and kicking 32 From card to cloud The effervescent classic car MY IMI On workshop management technology repair market 51 Around the IMI 39 Audi partners 43 Give me Morelli 52 Member events How apprenticeships are What's on the cards for the paint changing lives distributor in its sixtieth year? 53 Upcoming courses

IMI MAGAZINE DESIGN: www.zedpublishing.co.uk claims made by manufacturers, Fanshaws, Brickendon, PRINT: Linney Print contributors, advertisers or readers. Hertford, SG13 8PQ ©2013 Institute of the Motor Industry Annual subscription (10 issues): UK and Europe Tel: 01992 511521 ISSN: 1742 5204 £45; overseas surface mail £50; overseas air Fax: 01992 511548 IMI Magazine is printed on paper taken from mail £62. To subscribe call 01992 511521 EDITOR: Tim Kiek sustainable forests. Opinions expressed in or visit www.theimi.org.uk [email protected] articles do not necessarily represent those ABC – Members of the Audit Bureau ADVERTISING: Wendy Hennessy, of the Institute of the Motor Industry. The of Circulation. Average Net Circulation [email protected] publishers cannot accept responsibility for 1 July 2015 to 30 June 2016: 12,631

4 I IMI MAGAZINE I JUNE 2017 FROM THE EDITOR NOW THAT’S IRONIC

Picking out two current examples of life’s many ironies

nlike when seeking buried treasure, you This is not to say that there isn’t a problem with don’t need a detector and endless diesel vehicles – but the problem is with pre-Euro 5 supplies of patience to find examples of iterations which aren’t obliged to have DPFs or the life’s ironies. Indeed, if detectors were AdBlue treatment which make diesel vehicles able to divine irony then, such would be just as clean, if not cleaner, than their petrol Uthe global spread of high pitched bleeping sounds, counterparts. Diesel has, quite frankly, fallen victim they would precipitate something akin to a pandemic to the crudest of kangaroo courts and what an irony outbreak of tinnitus. it is that a Labour government in the first part of this century incentivised vehicle manufacturers and the Without wishing to sound boastful I believe my own public to make and buy diesel vehicles when they inbuilt ‘irony detector’ is a pretty finely tuned piece were bad for the environment, and now a Tory of equipment; it certainly found the irony in ‘campaign government is effectively suffocating diesel sales mode’ Theresa May’s “strong and when diesel vehicles are stable leadership” incantation. suffocating us no longer. All of Given Mrs May has executed more “Diesel has, quite the above proving that when out U-turns in a year in office than the frankly, fallen victim irony detecting, Westminster military has achieved in nearly 400 provides endlessly fertile ground years of Trooping the Colour, her to the crudest of upon which to start! boasts of strength and stability are so ironic they would give even the kangaroo courts” IMI CEO Steve Nash injects some most rusty of detectors paroxysms. much needed common sense into the diesel debate in a special Of course, as you read this, Theresa may well be feature on pages 30-31 which also includes celebrating victory in the general election and, comment from other leading industry figures. if so, it wouldn’t surprise me if swinging between I am sure you will find it a feature of the greatest chandeliers becomes her preferred mode of entry strength and stability – as too my special into the House of Commons – a fitting physical investigation into the industry’s selling of PCPs – metaphor for her iconic/ironic catchphrase. and I say this without even a trace of irony! “Strong and stable” hasn’t been the only thing to get my detector twitching in recent weeks; another has been the establishment’s demonisation of diesel. Last issue I talked of how perceptions are everything and it is clear that when it comes to the diesel debate the vast preponderance of the population has decided Tim Kiek, IMI Magazine Editor that diesel is the worst thing since unsliced bread. [email protected] @IMIeditor

To join the debate on any of the issues raised in the magazine you can email me at [email protected], tweet me @IMIeditor or join the IMI’s LinkedIn group discussion page. I look forward to hearing from you.

WWW.THEIMI.ORG.UK I 5 THE LATEST NEWS FROM THE INSTITUTE IMI IN ACTION

HOW TO...

HOW TO LOG YOUR CPD IN FIVE EASY STEPS

1. Log in to theimi.org.uk at the top of the page 2. Click on the ‘CPD icon’ in the TRAINING pop-up page 3. Click on the ‘Log CPD’ button 4. Choose the relevant activity ALL SYSTEMS GO type to log 5. Fill in the title, date completed, time spent and a short description – then click save e all know in today’s modern garage On pages 32-33 of this issue there is a full PICPIC environment it is vitally important report on today’s garage management system That’s it! You have now logged LR?LR? Wthat vehicle technicians continue to landscape including a contribution from Neil your CPD. develop the knowledge and skills which are Stewart, Managing Director of Garage Data The team are here to help required to effectively carry out maintenance Systems. Neil is a busy man this month as and repairs to today’s complex vehicle systems. he has also announced that his company you log your CPD. It is also crucial that all employees have a good is teaming up with the IMI to provide colleges Call +44 (0)1992 519025 or understanding of the requirements of the and training providers with the GDS garage email [email protected] profitability of the business as a whole. Indeed, management system – free-of-charge. employers have highlighted this very point in Speaking of the decision Neil said: “We the new Level 3 Light Vehicle Service and are very lucky in the UK to have the training CPD STAR OF THE MONTH Maintenance Technician Trailblazer which facilities that mould and shape tomorrow’s requiring technicians to develop a 'commercial technicians. However, once qualified, these Tim Milsom MIMI, awareness' as part of their apprenticeship. trainees may decide to venture into Motor Trade Lead Officer, Garage management systems are not new management. I myself graduated from the Trading Standards Institute by any means. However, in today’s competitive workshop floor to management 40-odd years market place it’s important that workshop staff ago and have been fortunate to have earned a "Having not logged much CPD understand the purpose of these systems as they good living from the industry. I believe people I was concerned that the are one of the keys to a successful operation. in positions such as mine should try give a process would be long-winded little something back and so I am happy to and time consuming – nothing donate our software to any official seat of could have been further from learning. This will enable better education for the truthtruth.. The online portal waswas trainees and arm them with expert knowledge easy-to-followy-to-follow and the steps of how the back office actually works. and eexplanationsxplanations made it BENEFITS OF A GOOD WORKSHOP Garage Data Systems is a leading provider reallyly simsimple.ple. I did, MANAGEMENT SYSTEM INCLUDE: of workshop management software for however,ever, spend a • Storage of all supplier, the independent sector and our program few minutesminutes in customer and vehicle details is simple-to-use and can only add value to preparationparation • Storage of job sheets, estimates 3the training cycle.” and sales invoices organisinganising mymy CPD • Purchase of invoices and stock control certificatesificates so I Diary and bookings planner couldd upuploadload • If you are a college or training provider and MOT and service reminders themm easily."easily." • want more information on accessing this offer DVLA VRM lookups • then contact Neil Stewart via email at SMS text messaging • [email protected] or phone on 07960 870446 • E mail invoices, estimates and statements • Vehicle repair times, service 6 I IMIschedules MAGAZINE and I parts JUNE lookup2017 eLearning course list available at theimi.org.uk/ courses-and-events

VIDEO IMI TO LAUNCH ONLINE VIDEO CHANNEL

he latest research shows in-house that will be creating and Newman that 78% of adults watch, delivering exciting and entertaining said: Tdownload and share video content for our members every “Engagement content online. It’s a major week. I’m extremely excited by with the film was growth area of media this innovation.” amazing. Some fifteen consumption; from viral ads To prepare for the launch of the thousand people viewed to infomercials, messages are channel the IMI has been testing the posts on Facebook over being delivered in short packets new programme formats on the the four days of the exhibition. to the channel to receive regular of information that are easily YouTube account. For the recent It drove a lot of traffic to our news and entertainment. digested by the audience. London Motor Show a virtual website and enabled thousands The programmes will feature Responding to this trend the reality film was posted. Titled of conversations with the public technical support, industry IMI is to launch an online video 'Vision for the Future', it treated and motor industry professionals. innovations, expert analysis, channel. It’s a step up from the viewers to a 360-degree view of The IMI will be using the careers promotions, job ads, current YouTube offering of a 1930s Rolls Royce Phantom II channel to communicate with and the latest news and views information films that attract and a top of the range Mitsibushi a membership community from the industry. 100,000 views per year, to a Outlander PHEV while promoting bolstered by its recently inducted The channel will go live in more focused, presenter-led the IMI campaign for a licence to student members and set to be the autumn 2017. programming schedule. practise for technicians working further augmented by the IMI CEO Steve Nash said: ”Video on electric vehicles. holders of an IMI Accreditation. To view the IMI's 'Vision for is a great way to inform and share. IMI Head of Marketing The audience of around 100,000 the Future' film go to: We have a very experienced team and Communications Nick will be offered free subscription theimi.org.uk/vision

AFTERMARKET and diverse mix of representative bodies, all COMING TOGETHER of which have important roles to play in looking after the The Automotive Aftermarket Europe on matters such as interests of their respective Liaison Group (AALG), positioned autonomous vehicles, the members. But when there are to lobby on European issues connected car and access important issues of mutual that affect the aftermarket in to technical information. interest, such as the proposed a post-Brexit Britain, had its At the launch, the figureheads changes to the first MOT test, official launch at Silverstone of associations that form the it makes absolute sense to race track in late May. AALG presented the future work together to form a The AALG is a coalition of the group to the industry, larger and more powerful of trade associations in the IMI CEO Steve Nash lobbying group with a automotive aftermarket – commented: “The AALG is a common goal and including the IMI – and its great example of the automotive a single voice. members are the largest industry working together for The Automotive representative bodies the common good. With such a Aftersales Lobbying in their individual sectors. This sophisticated and multi-faceted Group (AALG) was united lobbying position will business as automotive it is not formed to do influence governments across surprising that we have a large exactly this.”

WWW.THEIMI.ORG.UK I 7 NEWS BY ARTHUR WAY ANALYSIS

FINANCEAMAZON POISED TO POUNCE

In a move likely to send shivers down the spine of the retail motor industry, the looming of Amazon Vehicles into the UK foreshadows the potential for considerable commotion in car distribution. Reports indicate that a recruitment drive has started and consultants have been hired to recce the market. This comes less than a year since the August 2016 lift-off of Amazon Vehicles in the US where the venture has become a respected and widely used NEW CAR SALES hub for prospective new car buyers seeking images, information and reviews. So far the venture’s tentacles have not extended PESSIMISM UNFOUNDED into car selling, but this is the next logical step and the only possible reason for establishing Amazon Vehicles Given the record monthly This is not to deny the negatives in the first place. After all, Amazon has established a level of new car sales in March, on the horizon. These include it was always to be expected that rising inflation, a dip in consumer commanding position in a variety of sectors including April’s market would be a dud. sentiment with ramifications for food, music, television streaming and, of course, The rush by consumers to ‘large ticket’ purchases, the online retailing. As a growing band of tech-savvy purchase in March before the possibility of political turbulence, younger consumers require car distributors to new VED regime took effect at dealer reports of flagging footfall increase their dalliance with online selling, the start of April clearly brought in showrooms and, perhaps, the Amazon’s expertise will ensure a head start and forward a chunk of sales, while off-putting publicity surrounding forceful standing in the marketplace. transactions were also affected PCPs. In contrast, the positives Even without Amazon, though, it’s clear that online include high employment levels, adversely by the impact of a late car selling is primed to become the biggest disrupter Easter which reduced the low interest rates, the failure of to traditional car distribution for several decades. number of selling days during Brexit to scupper consumer the month. confidence, high fleet sales, a A recent report from the Centre for Economics and Even so, the weighty propensity for buyers to continue Business Research has suggested that 27,000 selling decline of 20% appears to have favouring finance deals and, jobs will be lost in UK car retailing within the next ten spooked some industry players maybe, the prospect of a diesel years by the rise of online buying which, by then, will and led to concerns that the scrappage scheme. account for 20% of the market. This is all the more market’s long mooted decline On balance, the widely probable as manufacturers seek to attack the 25% of has started with a vengeance. heralded slowdown in the new the showroom price associated with the distribution However, this would be a car market seems on its way due process. It’s telling that newcomers – like Tesla and misinterpretation for several largely to some challenging Chinese-based Lynk which is targeting entry of the reasons. For a start, there is monthly comparatives with last UK car market next year – are shunning conventional scant evidence to-date that year, but it is questionable that delivery channels in favour of direct selling in which new car demand is on the slide. the reversal will be anything like Unit sales during the first four the meltdown inferred by the online will fulfil a central role. months of the year are 1% April outturn. The SMMT has higher compared with the recently become more optimistic corresponding period of 2016 over the current year’s prospects and, despite April’s nosedive, by revising its 2017 forecast from combined sales in March and a 5% drop to one of 2.6%, which April also show a 1% advance seems a sensible interpretation over the previous year. of the current position. "On balance, the widely heralded slowdown in the new car market seems on its way due largely to some challenging monthly comparatives with last year"

8 I IMI MAGAZINE I JUNE 2017 forecast drop in new car sales in 2017 according 2.6% to the SMMT

AFTERMARKET BOOSTING SHARE

A couple of recent happenings underscore the ambitions and attendant initiatives of vehicle manufacturers as they seek to capture a growing portion of aftermarket business and secure a boost to their own profits. After a successful trial in Greater London, Ford has announced the nationwide launch of a mobile servicing facility. This scheme was proposed a year ago as a means of reducing the economic penalties of vehicle downtime LONDON MOTOR SHOW for fleet operators by handling servicing and repair work onsite. Ford has signalled that mobile servicing is also likely to be offered to retail customers in due course, QUALITY OVER QUANTITY? which holds the potential for substantial cost savings on workshop space. Compared with the size and scope, to be released, but last year’s show Meanwhile, Peugeot has shaken up parts distribution to glitz and glamour of Frankfurt, attracted around 25,000 – about its franchised dealers through the establishment of 30 Geneva and Paris, the London 3% of the typical attendance at distribution hubs which have replaced the previous single Motor Show is but a shadow. Europe’s biggest motor Coventry-based warehouse. One of the topmost aims is The latest four-day exhibition, extravaganzas and quite a bit to boost the speed and frequency of deliveries to dealer held in early May, attracted none of lower than Goodwood’s one-day workshops from a single drop previously to three times the top level global executives who Moving Motor Show. daily. Numerous advantages are envisaged, not least the swarm around the international On the other hand, something chance of higher parts sales by reducing the need for shows, none of the world debuts seems to be clicking since 2017 franchised workshops to purchase from motor factors in of pacesetting models, and represented the event’s second order to complete servicing schedules. generated none of the frissons successive year – and a further of excitement which accompany one has been arranged for next Both of these developments are directed towards improving the unveiling of concept cars and year. As marketing spend comes efficiency and customer satisfaction but, above all, taking new technologies. under ever closer scrutiny, maybe costs out of the parts distribution task. The imperative of Instead, manufacturers relied manufacturers’ decisions on franchised networks to reduce costs by whatever means on dealers to display products and whether or not to attend motor has been emphasised yet again by a survey which compares some marques were conspicuous shows will be determined more hourly labour rates in the servicing and repair workshops by their absence. The attendance and more by the quality of the of franchised dealers and independent garages. Whereas figure for the current year has yet audience rather than the quantity. the former charge an average hourly labour rate of £99, the latter is 43% lower at £56.

SSANGYONG

from every participating dealership. opposition in terms of comfort and driving TESTING TIMES By launching this programme enjoyment, as well as pinpointing the full SsangYong is revealing both the strength range of flaws and attributes. SsangYong has joined the exclusive and weakness of its present standing in Meanwhile, SsangYong’s weakness is and slowly growing ranks of marques the marketplace. With regard to the represented by the urgent need to raise its offering extended test drives. Prospective former, the marque must be confident profile and move more front and centre in customers are being given the opportunity that the Tivoli has the credentials to win the consciousness of consumers. Data to to try the Tivoli SUV model for 48 hours, over prospective customers. After all, for the end of April shows that the marque’s unit along with additional goodies including a most drivers a couple of days will be long sales are level-pegging with the previous £10 M&S voucher for taking a test drive and enough to decide whether a model suits year and account for a rather trifling market the chance to win the use of a car for a year their requirements and matches up to the share of 0.2%.

WWW.THEIMI.ORG.UK I 9 NEWS BY TIM KIEK INDUSTRY ROUND-UP

FINANCE INDUSTRY UNDER ATTACK

MotoNovo Finance has called on the motor The more obviously typical ‘moderate’ interest industry to stand up for itself in the face rate on a £10,000 loan over 48 months is a of what it sees as a series of misleading typical APR of 12.1% – almost a third more stories in mainstream media focusing upon expensive than the dealers criticised! dealer finance. The latest has come from MotoNovo’s Motor Division CEO Karl Confused.com which recently accused the Werner commented: “The Confused.com used car industry of a “£1.4bn a year campaign may position itself as PREMISES rip-off” – a figure based upon an average championing the consumer but the reality, 9.4% APR finance rate established from their based upon the median APR banding research at 100 used car dealers. This rate, available for customers, is very different. BRANCH it claimed, was ‘almost three times higher It seems disingenuous for Confused.com than the 3.2% best price available online.’ to criticise the motor industry for what it The 3.2% APR rate claim is potentially feels are high finance APRs when the OPENINGS misleading, being highly selective and typical customer, based on Confused. based upon the ‘low APR example’ of a com’s online calculator, will often be Two state-of-the-art new dealerships have three tier representative APR table on its charged a higher rate with them and been opened in the last few weeks. website. The other tiers being ‘moderate’ not benefit from the higher level of has strengthened its relationship and ‘high’. At best, this APR structure consumer protection available on with prestige brand Audi with the grand stretches compliance requirements. secured dealer finance.” opening of its newest luxury retail site in Sunderland. The launch of Wearside Audi represents a £5.7mn investment by Lookers CAR SALES and sets a high standard for the industry, with features including a 13 new car showroom, The UK’s Top 10 a 55 used car display and, as a show of Fastest Selling commitment to its repair and maintenance customers, a 15 ramp workshop. Used Cars in April* Peter Brookes, Head of Sales Operations at Audi UK, who was also in attendance, said: AAverageverage Days AAverageverage AveraAveragege Rank Description “This really is a fantastic facility and sets a to Sell Price Position Retail Price benchmark for the rest of the industry. 2017 is 2014 Toyota Prius Hatchback a huge year for Audi, with a number of exciting 1 14 101.10% £15,423 Electric Hybrid Automatic models launched into the market, so it’s the perfect time to open a facility like this.” 2016 Mercedes-Benz GLA Class 2 15 95.08% £21,800 Heading over the border Peter Vardy SUV Diesel Manual Group has launched the Dundee CarStore 2016 Ford Mondeo Hatchback 3 16 98.44% £19,479 on the Dunsinane Industrial Estate. The new Petrol Automatic custom built venue – one of the largest 2016 Ford Galaxy 4 17 102.36% £25,801 dealerships in Scotland and the group’s twelfth MPV Diesel Automatic site in the country – will be a 70,000 sq ft 2014 Hyundai ix35 Estate Petrol heated showroom, larger than the group’s 5 19 98.05% £10,867 Manual flagship outlet, the Peter Vardy Hillington CarStore on the periphery of Glasgow. 2012 Toyota Yaris Hatchback 6 19 97.49% £7,194 Chief Executive Peter Vardy said: “The Petrol Automatic CarStore Dundee builds on the success of 2014 Kia Sportage 7 20 99.83% £12,989 our Hillington venue and is designed to be a SUV Petrol Manual destination dealership. My vision has been 2016 Ford Kuga 8 20 98.75% £18,343 to make it a comfortable space where people SUV Petrol Manual can relax and choose the car of their dreams. 2014 Fiat 500 Hatchback Petrol “When the doors open I look forward to 9 20 98.47% £7,749 Automatic welcoming the people of Tayside to a new way 2015 Ford Fiesta Hatchback and, I think, the best way to buy their next car.” 10 20 99.51% £10,038 Petrol Automatic *Courtesy of Auto Trader

10 I IMI MAGAZINE I JUNE 2017

CYBER SECURITY IN BRIEF

ON THE BREACHCH Stratstone Amersham has becomebe a premium pre-owned vehicle Following last month’s global data securitycurity thatthat receives security updatesupdates specialist,sp increasing the retailer’s breach National Body Repair Associationtion • Have effective patch management that potentialpo to offer quality cars to the (NBRA) Director Jason Moseley was swift to deploys security updates to PCs and area. The accreditation means the reassure the sector: “The NBRA has been other critical parts of infrastructure in retailer can now bid on all vehicles that heavily focusing on protecting members’ a timely manner fall into the premium/sport category. interests related to data security within • Run anti-malware software and ensure it bodyshops over the past 12 months,” he said. regularly receives malware signature updates Growing volumes of online enquiries contributed to an overall “In our latest move, following last week’s • Implement a disaster recovery plan that 16% year-on-year increase in leads for massive ransomware cyber-attack, the includes backing-up and restoring data new and used cars in the first quarter NBRA has communicated some critical IT from devices that are kept offline of 2017, according to new analysis from security advice to our members to protect Jason concluded: “We are in a new Dealerweb. The 21% rise in web their businesses.” era of cyber criminality and as a trade enquiries – far outpacing walk-in The relayed advice included the following: association we have a duty of care to assist leads, which remained at the same • Use an actively supported operating system our members to secure their businesses.” level as 2016 – suggests more consumers than ever are completing more elements of the car buying MOT journey online.

The shortlist for the HR Excellence THE POWER OF THREE Awards 2017 HR Director of the Year has been announced and a familiar British motorists have put their support the first test for cars from three to four years face has made the cut: Sytner firmly behind keeping the first MOT test for is not what consumers or industry want Director of HR Melvin Rogers. cars at three years, according to the results given the serious risk posed to road safety The award is for someone with of new research published by the SMMT. In a and vehicles’ environmental performance. exceptional skills at putting people YouGov survey, when told about government The latest vehicles are equipped with top of their agenda; someone the plans to change the date of a car’s first MOT, advanced safety systems but it is still critical world of HR should look up to as an more than three quarters (76%) of car that wear and tear items such as tyres and example of excellence. Melvin will owners said the test should continue to take brakes are checked regularly and replaced. find out if he has won at a ceremony place when the vehicle is three years old. We urge government to scrap its plans to in London this month. Mike Hawes, SMMT Chief Executive, said: change a test system that has played a vital “The MOT is an essential check on the safety role in making the UK's roads among the The Parts Alliance member BBC and roadworthiness of vehicles. Extending safest in the world." Superfactors has moved premises just a year after first opening in Preston. The new building boasts double the footprint at 10,000 sq ft and has a full mezzanine too, boosting APPOINTMENTS storage capacity of around 20,000 sq ft. The prime aim is simply to increase the Nigel Unsworth AMIMI has been appointed as a technical trainer for motor factor behemoth Andrew Page. Working with the Andrew Page depth and range of available stock in technical team, the move represents an exciting challenge for Nigel order to meet rapidly growing demand who has recently taken his IMI Accreditation Light Vehicle Maintenance from an ever-increasing customer base & Repair. Having worked in the motor trade for some 40 years he is now of local garages and workshops. looking forward to "putting something back". Repairers can now view key Subaru is pleased to announce that William Brown has been appointed to the position of Advanced Driver Assistance System Operations Director with immediate effect. William is currently Operations Director for Isuzu (ADAS) fitment information before they UK, and the new position will add responsibility for Subaru’s sales strategy to his existing role. undertake any repairs to a vehicle. This follows a pioneering update to Tony Campbell is to become Chief Executive Officer of the Motorcycle Industry Association (MCIA) Methods Direct within the escribe portal, from September 2017. A spokesperson for the MCIA Board said: “Tony Campbell is an excellent Thatcham Research’s industry-leading choice to lead the MCIA and one which the Board of Directors is very excited about. Tony has extensive commercial experience in our industry, both from a manufacturing and retail repair methods solution. perspective, and has an unparalleled understanding of the association’s structure and focus."

WWW.THEIMI.ORG.UK I 11 NEWS BY TRISTAN YOUNG FRONTLINE

THE SUB SUB-WAY On Seat’s decision to add a second tier to its fleet offering

ub-networks for fleet-specialist retailers “We’ve had a local business development plan per year to support with the costs associated within a brand’s dealer network are a for a few years now and that has 25 dealers with fleet management, administration and Stried and tested thing but now Seat has involved. They are in the major conurbations systems support. added a second tier to its fleet specialist and have dedicated people constantly working To be eligible for the programme dealerships retailers. A ‘sub sub-network’ if you will. on small fleet business, usually using VW will have to sell more than 100 units a year to Franchised retailer selling to fleet has never Financial Services contract hire packages. fleets of 40 or more vehicles. There must also been the simplest process; there are several That programme works – we may grow it be at least two people in each dealership trained reasons for the complexity but the main one is in future, but it’s right for today.” on Seat’s direct invoicing system to leasing customer identification. The customer could be “For fleets that aren’t small we have an companies and fleet customers – the aim the person doing the driving that’s just walked agency system where the retailers are simply being to encourage a more streamlined and into your showroom, a fleet manager that the paid a handling fee per car. All retailers can sell transparent customer journey. salesman only hears about from the driver, to large or small fleets and can use the group Retailers on the programme will also have or a leasing company that will only deal with financial services contract hire packages. to meet certain standards to ensure fleet the brand’s national sales company. However, the top 15-20 retailers selling to customers are receiving an agreed level Identifying who’s holding the purse strings is larger fleets have higher costs than others, of service. This includes accurate vehicle what can lead to poor experiences. If the retailer that’s what the Fleet Excellence programme forecasting, transaction accuracy, and excellent doesn’t believe they are dealing with the person is for.” McDonald also said that whilst there scores in the company car handover experience. with the authority to sign on the dotted line will be some overlap with the 25 local business McDonald added: “The £12,000 payment is then there’s no reward for time spent offering retailers it’s not total. There will be some in the pro-rata over the year. There isn’t really a high test drives and explaining the model range. new Fleet Excellence system that are not local set-up cost, but the retailers have already been This is why fleet specialist networks exist; business dealers, and vice versa. selling these cars and have administration costs they allow retailers and manufacturers to and other ongoing costs. We aim to subsidise invest in solving these issues. IDENTIFYING EXCELLENCE this and help the retailers. All 15 of the retailers Of the 40 or so franchised networks in “We already have the data to track which in the Fleet Excellence network are in the top the UK, 17 have a specialist fleet or business retailers we expect to be the Fleet Excellence 100 dealer groups so have already set this up. sub-network according to the 2017 Franchising dealers,” McDonald continued.ontinued. ““ThereThere “The“The local fleetr retailers handle the sub-40 Report published by Auto Retail Network – are two qualifying factors.tors. FirstlFirstlyy fleetsfleets w hilwhilee th thesees handle the 40+ fleets so it’s by no-means the norm. And having a it’s volume and secondlydly there are and operate oonn a handling margin. Test two-tier offering, as Seat does, is rarer still. a host of standards thatat theythey have drivesdrives can be a difficult area for company to achieve.” carcar drivers.drivers. RRathera than incentivise the IT TAKES TWO Dealerships that aree eligible for retailersretailers to testtes drive, we have a four-day Peter McDonald, Seat’s Head of Fleet Sales, the Fleet Excellence programmerogramme will test drivedrive ppropositionrop for fleet customers explained why it has two sub-networks. be funded with an additionalditional £12,000 that’s organiseorganisedd centrally by us and the

12 I IMI MAGAZINE I JUNE 2017 Seat’s fleet sales as a percentage of 53% the brand’s total

cars come centrally from us, then the contacts are sent on to the local business development retailers,” he said. HOW TO SELL IT: SALES INCREASING VOLVO V90 CROSS COUNTRY McDonald reported that local business development retailers are “gently becoming a IMPORTANT BECAUSE… ON THE ROAD… larger proportion of sales” as it takes a long time The high-riding 4x4 version of The V90 was already one of the to generate a pool of small business customers. the V70, latterly called XC70, which best riding cars available. With the Year-to-date, fleet has accounted for 11,000 added go-anywhere capability to V90 Cross Country the raised ride registrations, with retail at 9,700 for Seat. Fleet Volvo’s large estate car had an height means the car feels fractionally splits into ‘true fleet’, Motability, rental and exceedingly loyal following. The V90 softer than the standard estate, yet demo. “True fleet accounts for 5,000,” he said. Cross Country replaces that car with the car still feels totally stable on “The Ateca has really helped us with true one that’s even better looking and more twisty roads even if it’s not fleet and opened doors for deals on our other even more capable than before. quite as nimble. Refinement and cars. We’ve just had our best first quarter for relaxation are watchwords for the both the Leon and Ibiza. However, the initiative WHY WOULD SOMEONE BUY IT… V90 Cross Country. isn’t about volumes but about supporting our Besides the off-road capability retailers, improving customer standards, and from the raised ride height and ALSO ON THE LIST… improving their experience. One way we’re all-wheel drive, the V90 Cross There are few exact rivals for doing this is to improve our invoicing accuracy Country is now a very elegant large the Cross Country version of the V90. and another is to improve our forecasting estate car with plenty of boot space, The closest is the Audi A6 Allroad. accuracy – the accuracy of the timing of our a luxury interior, and it’s laden with However, Mercedes is launching a deliveries. I’m sure it will help to grow sales, the latest technology including Pilot pumped up E-class later this year, but there’s no target figure behind it. We want Assist that adds self-steering to called the All-Terrain, plus some to help our retailers with this business. adaptive cruise control. SUVs will also be on the shopping “Fleet customers rightfully expect a good lists of buyers. handover and service but, by supporting WHO WOULD BUY IT… dealers with the necessary incentives and The V90 appeals to families who PRICE AND FINANCE… infrastructure, we can improve that level want a big estate car but, more than The V90 Cross Country starts of service even more,” concluded McDonald. that, want a stylish estate. The Cross from £40,605 for the D4 version Country element means these buyers without options, rising to £44,405 for will also either live in more rural the quicker D5. Volvo is currently areas or have active lives and need offering the D4 on a three-year PCP to get to these more rural areas. deal at 2.52% with a £3,000 deposit On the frontline for £590 a month. BEST TO GLOSS OVER… MARK LAVERY, CEO, The V90 Cross Country may be UP-SELL OPPORTUNITIES… CAMBRIA AUTOMOBILES seen as a large estate car and Volvo has long been an advocate externally it is right up there with rivals of option packs and there are some (1,200 associates, 11,000 new such as the Mercedes E-class and near essentials such as the Family vehicles per year, 15,000 used BMW 5-series, but the boot is a little Pack (£450) and Winter Pack (£525) vehicles per year) smaller in volume at 560L (the E-class that all buyers should be selecting. How long in your current job? comes in at 640L). However, this is For those with more to spend, then mainly down to the sleek design and the Pro (£3,500) or Pro with Family Eleven years. many will be happy with the pay-off. (£3,775) packs are very appealing. What was your first job? Trainee service receptionist. If you could change one thing about your job, what would it be and why? Beingng listed on the stock mmarketmark g f g f brings a lot of time pressure which can be a little distracting sometimes. What one piece of advice about selling cars would you give to a new starter? Treat thee consumer as yyyou g g would a guest coming into your own home and you will be very successful. What do you wish you could do better? Be a little more understanding – which I’m working on.

WWW.THEIMI.ORG.UK I 13 NEWS BY IAN KERR MBE MOTORCYCLES

Some of the happiest respondents in our survey were ones who were able to walk to work – giving themselves the shortest commute possible.” Fully aware of the ‘interpretative’ nature of such surveys, this one had calculated that Brits commute an average of seven miles to work and back each day, which tallies up to an incredible 171,080 miles over their working life – enough to circle the globe more than six times each – and equating to £48,708.92 being spent on that commute distance. Nearly half of respondents admitted to being late at least once a week, arriving an average of 10 minutes behind schedule each time. The most common cause was bad traffic, followed by a lack of sleep leading to too many taps of the snooze button. 62% of commuters said that if their trip to work was particularly stressful or DON’T FORGET annoying it made the rest of their day worse, and an unlucky 30% of train travellers said they had had their face stuck up next to someone’s stinky armpit more than once! ABOUT US! Goodson said: “One of the best ways to make your commute happier is to cut down Explaining the folly of ignoring PTWs in the quest how long it is. Motorbikes and scooters are a convenient way to bring down your to reduce both commuter stress and pollution levels commuting time as they can beat traffic so easily.”

MAKING THE SWITCH he Easter bank holiday traffic provided COMMUTER WOES The MCIA has already pointed out to the a useful excuse to stay in and catch up According to a recent study by PTW insurer government that just swapping a small T on a few magazine articles and press Lexham Insurance, the average British percentage of cars with PTWs will drastically releases I had been meaning to read. commuter will spend in excess of £48,000 reduce congestion and result in greater What was strange is that although they and more than one year of their lives safety for all, as shown with the Belgian all came from vastly different sources travelling to work over a 47-year career, study on Brussels congestion. a certain theme came through: motorcycles, with 68% driving, 11% taking the train, and But, when turning my attention to the or the PTW, are largely ignored by everybody 8% making their journeys on two wheels. new vehicle excise tax rates for cars, to try – particularly the government. This seems a The research also revealed that commuting and get a handle on how this works you gross inequity given, as constantly reiterated on two wheels is the least stressful way to get realise that bikes are still lumped into the in these pages, the motorcycle industry’s to work. Asked which methods of commuting same capacity rates they always have been. contribution to employment and UK GDP they thought were the most stressful, No benefits (apart from electric) for a fuel is hugely significant. respondents voted the car at 41%, bus at efficient PTW, yet the manufacturers are I am, of course, well aware that the MCIA 37%, train at 35%, metro/underground being squeezed to comply with Euro 4 to cut as a body employs lobbyists to work behind 26%, bicycle 8%, and motorcycle 6%. emissions – despite many PTWs beating even the scenes in the corridors of power to Lexham’s Sales and Marketing Director the cleanest car. ensure the industry viewpoint is put to those Andy Goodson said: “Whilst many Moving on from this I turned my attention making legislation. In addition, the two commuters think their journeys to and from to taxation rates for company car drivers main groups representing the actual riders work are barely worth considering, the which do not even consider that somebody – the Motorcycle Action Group (MAG) and amount of time we spend on them shows we may like to use a PTW for work purposes. the British Motorcyclist Federation (BMF) – should give them a bit more thought. With No wonder, then, that only Yamaha and also represent riders’ rights at both local and an average commute time of almost an hour Honda bothered to attend the recent Fleet national level, including dealing with road a day, for many Brits this is time wasted Show – both firms having realised that there safety issues. as they’re stuck behind the wheel in traffic. is good money to be made out of fleet sales.

14 I IMI MAGAZINE I JUNE 2017 drop in PTW registrations in the plate-change 12.6% month of March

GOVERNMENT IGNORANCE However when you talk to Andy Pumfrey, who heads up Yamaha’s New Business operation, he reveals the hoops that IN BRIEF government makes you jump through to be able to trade with the authorities An announcement by are highly expensive and offer very little Yamaha in Japan that one of return; he believes the government its most charismatic senior doesn’t seem to have a PTW strategy managers, Andrew Smith, at all. would be retiring certainly This view was corroborated when I FallingFlli Registrations R it ti opened the next press release from the rocked the motorcycle government stating it had just published After a 12.6% drop in registrations in the world, both within and its £1.2bn long-term plan to make cycling plate-change month of March, the NMDA outside the brand. After and walking the natural choice for shorter is questioning whether the market is nearly 40 years of journeys. Transport Minister Andrew shrinking or just affected by a surfeit association with Yamaha – Jones said: “As the days are becoming of pre-reg bikes? including 35 years working longer and warmer we want to encourage “This is a huge drop of 2103 machines directly for the company – people to make cycling and walking the compared with what went on the road in Smith retired at the end natural choice for shorter journeys – of April. improving people’s health, reducing travel March of last year,” notes NMDA Chief costs, cutting congestion and cleaning up Executive Steve Latham. “The sectors the environment in the process.” taking the biggest hit in volume terms After being officially Nobody can argue with the ethos or were scooters and supersport – the wound-up on 5 April this the aims, but as we have already seen in same sectors that dominated the Euro 3 year it now appears a buyer London, making the roads safer for pedal pre-registrations in December.” may have been found to cycles has increased the crashes for PTWs keep the British exhaust as small physical objects (known as manufacturer Motad and its Armadillos) used to section off cycle lanes many products alive. can cause the PTW rider to come off. Larger cycle lanes have also increased It seems the all the major congestion and therefore pollution. HARLEY IN TROUBLE Also, such aims are great in towns and American biking behemoth Harley players in the Italian bike cities but what of the rural community? Davidson’s first-quarter results to industry get offered for Not everybody wants to emulate TV star 31 March were not good to say the sale every few years. Now, Guy Martin and cycle sixty miles each way least, with motorcycle revenue alone according to global business to work! The PTW is the obvious halfway 16.5% down to £863.6mn. Add in the information providers house between the car and the pedal cycle parts and accessories business and Reuters and Bloomberg, and retains the flexibility in areas where the combined revenue fell by 15.7% the Volkswagen Group is public transport does not cater for shift to £1.04bn – and virtually all areas soliciting buyers for its work, or work in general. showed a similar decline. subsidiary. Bearing all this in mind one might This was followed-up with the news Ducati conclude all the lobbying is not working. that Harley-Davidson was moving all Or, maybe, when the powers that be its Softail cruiser production from its The Indian-owned Royal actually look towards the industry they historic assembly plant in York, Enfield brand’s old UK HQ are bombarded with images of sports and Pennsylvania, to Kansas City in is finally being redeveloped adventure bikes aimed at the enthusiast Missouri. As a result, 110 hourly-paid into a ‘Royal Enfield and not reasonably priced fuel efficient and eight salaried employees at York Business Park’ by machines aimed at the commuter and so will be made redundant. Worcestershire-based switch off? speculator EDR It certainly seems time to look back in Developments, with 11 history when the British bike industry was alive in the fifties providing relatively industrial units up for grabs. cheap, sensible, unexciting machines that The company says it will did sterling service as transport. Okay bring jobs and improve the they were sometimes unreliable, but that looks of the site. would not be a problem today!

WWW.THEIMI.ORG.UK I 15 NEWS BY STEVE BANNER COMMERCIAL VEHICLES

ALL STATIONS GO On Iveco’s aim to create a European truck station network

n a bid to provide better support to is available to all Iveco service points hauliers on long-haul work, Iveco is with many non-truck stations having I setting up a pan-European network this training in place too. of 250 truck stations which should “So far as diagnostics tools are all be in place by the end of this year. concerned, the reality is that the “They will be positioned along the main requirement for them is set at the same transport corridors,” says Iveco Brand level for all Iveco service points no President Pierre Lahutte. matter whether they are truck stations Subject to annual accreditation or not,” Harris continues. “That said, by Iveco, each truck station will be the truck stations carry higher levels established at an Iveco dealership on of Iveco special tools.” or close to a major trunk road. Around Truck stations have to keep a 200 have already been appointed, substantial stock of parts. Walton including 25 on this side of the Summit holds £1mn worth, although Channel. The manufacturer is especially this encompasses items for the Fiat keen to aid operators who run its new Professional vans it also sells. Stralis heavy truck and has geared truck The amount also includes a list of stations to meet their requirements. essential parts for Stralis, including some Because Stralis users may be running slow-movers that Iveco dealers would their vehicles round-the-clock, truck not normally hold. The first-pick rate for station workshops are obliged to start Iveco spares at Walton Summit is 92%. ASSISTANCE AT HAND early and close late. They have to be As well as truck washing facilities a “Running a truck Iveco also runs ‘Assistance Non-Stop open for at least 95 hours a week as truck station needs to have arrangements dealership 24/7’ – an emergency roadside rescue a minimum requirement, says Iveco in place to fix practically anything that – especially one service which mobile technicians Network Director Adam Harris. might go wrong with a truck or trailer. that has to meet from truck stations and the Preston-based Walton Summit truck This might involve putting a refrigeration truck station manufacturer’s other dealerships station exceeds this minimum by a unit or a tail-lift right, as well as standards – means play a key role in. “Walton Summit considerable margin. The first station diagnosing a particularly complex fault that substantial covers all of Lancashire and some to be accredited in the UK and a few on an engine. Walton Summit works investment is of Cumbria so far as Assistance minutes from the M6, its workshop closely with third party specialists – required from Non-Stop is concerned,” says Sales functions round-the-clock from refrigeration engineers, tail-lift time to time” Director Geoff Ward. “The dealership Monday to 4pm on a Saturday, and engineers and so on – who can be called attended 144 call-outs during the opens on Sundays too by request. in as and when needed. first four months of this year.” Drivers can contact a truck station FULLY-SKILLED by using the Assistance Non-Stop Of course, a workshop serves little freephone number, the Iveco Non-Stop purpose if it doesn’t have a full mobile app, or through the truck’s complement of skilled mechanics. on-board telematics system. “All truck stations must have an Directions to the nearest truck station Iveco-certified heavy truck diagnostics can be delivered via a smartphone or and technical specialist along with tablet using Iveco’s dealer locator heavy truck electrical, engine and which identifies the driver’s current hydraulic specialists,” explains Harris. position and gives directions through “Furthermore, we are currently its navigation function. training technicians at each truck The upgraded network is station on compressed and liquefied intertwined with the manufacturer’s natural gas with the new gas-powered Uptime Guarantee which promises Stralis NP in mind. All this training that if a new Stralis has a fault that

16 I IMI MAGAZINE I JUNE 2017 sole traders depend on vans for their livelihoods according to 1.8mn figures from the SMMT

IN BRIEF DAF says that revisions to its CF and XF range of trucks should cut fuel consumption by up to 7%. Changes have been made to their engines, drivelines and aerodynamics.

Toyota is rolling out its Trade Plus programme of approved light commercial conversions. So far the line-up includes a Hilux Extra Cab tipper and a refrigerated Proace van.

Ford has unveiled Transits and Transit Customs with six-speed automatic gearboxes in the UK. Also new are Sport Van versions of Custom and Transit Courier.

Mercedes has come up with a prototype 4x2 urban tractor unit derived from the low-entry Econic rigid. A deep panoramic windscreen, a full-height glazed passenger door, and a low seating position mean that the driver can make direct eye contact with vulnerable road users in city traffic.

Body builder Ingimex has developed a 1,000kg-payload tipper on a 3.2 tonne-gross means it cannot go any further then it accommodate trucks and trailers. chassis cab. will be fixed within 24 hours of being Some more has gone on implementing taken to a truck station. Once there it the distinctive truck station Tiger Trailers is investing £22mn in a new will be put in a priority lane. If it is not corporate identity, with attractive factory in Cheshire creating over 270 new jobs. back on the highway and ready to roll in silver-coloured cladding for the It will allow the firm to boost production capacity time then the haulier will be provided buildings and new exterior signage. to 65 trailers a week. with either a replacement truck as a Internally, the site’s offices have temporary measure or daily financial undergone a total makeover with a Rochdale-based Mellor Coachcraft has compensation for every 24 hours the new service and parts reception, and launched what it says is the world’s first Stralis is stranded in the workshop. a new area has been created for fully-low-floor all-electric bus. Able to carry 16 The compensation scheme pays out drivers to wait in while their trucks passengers, the 5.0-tonne-gross Orion E is said to for up to four days, by which time the are being serviced or repaired. have a 100-mile range between battery recharges. problem should have been resolved. All Iveco truck stations are obliged to provide the latter, with free wi-fi, Isuzu has given the latest D-Max pick-up its INVEST FOR SUCCESS a TV, a drinks machine, and access to UKUK premiere.premiere. It boasts a 1.9L1.9L 164hp diesel engine Running a truck dealership – especially a shower. Local hotel accommodation whichwhich cacann meetmeet EuroEuro 6 eexhaustxhaust eemissionmission one that has to meet truck station must be arranged for the driver if a requirementsrequirements withoutwithout the need to pour iinn AdBlueAdBlue.. standards – means that substantial truck ends up in the workshop investment is required from time overnight because the fault cannot be to time. fixed immediately. Somebody also has Walton Summit has recently to take the individual to the hotel and pumped getting on for £500,000 into collect them the following day. a two-phase programme to upgrade Walton Summit is certainly reaping its 2.5 acre site, says Commercial the benefits of its truck station status, Director Nigel Perplus. Part of this testament to which being its 98% went towards the purchase of extra first-time truck MoT pass rate. “It’s land next door – previously a council going to benefit customers no end,” car park – to create more space to Perplus concludes.

WWW.THEIMI.ORG.UKWWW.THEIMI.ORG.UK I 17 18 I IMI MAGAZINE I JUNE 2017 ADVERTORIAL

CASE STUDY

Using digital media and apps to drive retailers’ enthusiasm

Client: Toyota (GB)

Product: ‘Explore C-HR’ mobile app

The Challenge: Toyota wanted to get Are you wasting money on its sales team fully on-board with the launch of its new crossover model so they would be fired up about the your dealership launch event? vehicle and pass that enthusiasm on to customers. Dealer launch events – we’ve all been there, done that and got The Solution: A launch event backed-up the t-shirt. As cars (and vans and trucks and bikes) become more by a learning and development app focused on technology it makes sense to use technology to its which would not only educate the retail teams, but engage them and keep the best effect at events – but does technology add value? momentum going after the arrival of the vehicle.

The Results: Nearly 2,500 personnel t RTS Group we help brands get THE RIGHT TOOL FOR THE JOB from the retail network were the most from their learning and We’ve found the most effective tool is downloading and using the app in the A development budgets and work with an iPad or even better getting an app first month of release. them to help focus on the delegate experience. onto the delegate’s own phone – thus We think digital media adds to the mix easy to carry around. Delegates know and believe there are three key aims of how to use it and best of all you can TOYOTA SAYS introducing technology to dealer events: encourage them to take pictures. “The app is the first stage of our If they want to share on their social extended learning programme 1. Engagement: Capturing the imagination media directly from the event then of delegates to engage their attention let them. It is all about engagement. which will include the C-HR In with the wow/fun factor and with Motion live event and a dedicated “I’ve never see that before” being THE RTS EVENT APP in-centre training course. As we the aim. Think motor show and We’ve developed an app that helps progress through the presales and things like 3D cars and holograms our customers achieve all of this but launch phases the app will continue (but also think about your budget). above all it answers the one to evolve, becoming a one-stop-shop question about technology at launch for everything our centre teams need 2. Efficiency: Ensuring that people events: “Will it make the learning to know about this fantastic new car.” know where they’re going, what more effective?” The answer is yes! they’re doing and how they can MALCOLM manage large numbers of people MILLER MORE USEFUL IDEAS effectively. Here we’re thinking POSITION: We can also give you some See oourur MD OF RTS about invitations, arrivals scanning GROUP tried and tested tips to websitewebsite forfor thethe and even the automation of checking increase the effectiveness full case study: LEVEL: FIMI people in and out of cars so you know of your next event: rtsgroup.com/rtsgroup.com/ who was driving what and when. casestudiescasestudies • Focus on the learning output 3. Learning: We believe learningarning is • Don’t pin your hopes on the most important of thesee three just one day aims. If it doesn’t add learninging value • Don’t be frightened to and help make your learningg points measure results stick then is it just a gimmick?ck? • Work with professionals

WWW.THEIMI.ORG.UKWWWWWWW.T.THTTHHEEIEIMIMMII..ORG.RRGG.UUKK I 1919 PCP

As reported by Arthur Way in May’s IMI Magazine, the Financial Conduct Authority (FCA) is set to investigate the UK’s motor finance market, a move largely fuelled by the recent surge in personal contract purchases (PCPs). In light of this development, Tim Kiek investigates whether the industry TIM KIEK IS THE EDITOR OF IMI has a case to answer… MAGAZINE

20 I IMI MAGAZINE I JUNE 2017 COVER STORY

aving determined to begin this And do the hordes of motorists MEDIA MACHINATIONS article with a brief description banging on dealers’ doors to sign up to “Given such a Maybe it is here that we arrive H of the PCP, I became swiftly eye wateringly low monthly payments meteoric rise at another reason for the FCA aware that it’s a task akin to ‘briefly’ actually know what they are getting it was perhaps investigation: sensationalised, blunt outlining the nature of the Byzantine themselves into? inevitable that and rather negative media coverage of Empire: in just a sentence it is simply the industry. As Daksh says, the media PCPs would find impossible to do so. This contrasts FRANCHISED PROFESSIONALISM has access to figures on sales of PCPs rather sharply with the relative Daksh Gupta is in no doubt that those themselves but not to the decline rates. Marshall simplicity of hire purchase and who take out a PCP at a Marshall placed under Motor Group declines around 10% of vehicle leasing and arguably serves dealership, and indeed in the UK the regulatory PCP applicants –indicative again of as a clue as to why the FCA has decided franchised sector writ large, absolutely spotlight” the product being sold fairly. to pop on its deerstalker do. “I really think that the UK Blaming the media is pretty much and start snooping around. franchised model is outstanding in a national pastime and thus seems PCPs first appeared on these shores terms of professionalism and process, a rather hackneyed line to take. in the early 1990s when Ford even more so than its much vaunted However, so much of the opprobrium introduced the original ‘Options’ PCP US counterpart,” he says. “Every directed towards it is fully justified. and they played a relatively minor role customer that is sold a PCP will be And Eddie Flanagan MIMI, an in the motor finance market for several taken through the same rigorous automotive and assets lawyer at years afterwards. However, according approval process and will sign a finance Shakespeare Martineau, is in little to the credit agency Experian, there agreement that spells out the doubt that the whirlwind of press has been a 394% leap in the overall arrangement in the clearest of terms.” speculation since the FCA number of PCPs in the UK in the last “If PCPs actually were being mis-sold announcement has been unhelpful. five years; a leap so vast even Eddie the then you would expect to see this “It doesn’t give the full picture,” he Eagle in his soaring pomp would have reflected in high default rates, yet at argues. “As with any product the PCP struggled to match it. Marshall I have never seen this rise is susceptible to abuse, but dealers and One doesn’t need to search far to above 1%. Indeed, with our biggest finance companies have raised their find a plethora of statistics queueing funder our default rate is a mere 0.6%.” game massively in recent years and up to evidence the pre-eminence of the These miserly default rates are now put treating customers fairly at PCP. “Currently, of the new vehicles we certainly no reason for alarm bells to the heart of everything they do. sell finance on, 84% are PCPs,” jangle and, with renewal rates on PCPs “PCPs work if the salesperson says Daksh Gupta FIMI, Managing in the industry at a reassuringly robust focuses on three things. First is a Director of Marshall Motor Group. 90%, superficially it is hard to see why MEET THE recognition that people are different “A year ago this figure was 71%.” the FCA’s bells are currently jangling in EXPERTS and have different requirements. Furthermore, PCPs’ predominance the industry’s direction. Second is the product itself: the isn’t solely confined to the new car Daksh believes the answer lies not in deposit, the monthly rentals, the APR, market – they are also proliferating the offices of the franchised sector but and the balloon payment at the end of in the used car sector. “Last year our squarely in those of the sub-prime. the contract. Third is the policies, and PCP penetration in the used sector “About 10% of customers have been it is imperative that companies follow shot up to 56%, a 19% increase on going through sub-prime finance for affordability and credit worthiness Daksh Gupta the previous year,” reveals Daksh. PCPs. In the franchised sector APR CEO, MARSHALL checks to the letter and make sure So, assuming you don’t all share rates are typically in single figures MOTOR GROUP that legal documents are crystal clear Benjamin Disraeli’s belief that whereas for sub-prime loans the rates and understood in their entirety by statistics always lie, then it would are significantly higher – meaning the customer. appear they prove PCPs are firmly at default rates are higher too.” “If the regulatory landscape is number one in the UK motor finance If dealer and sub-prime finance are followed in this fashion then the right charts. Indeed, such is the PCP chart being unfairly conflated then surely any product can be given to the right hegemony, it might as well come with FCA investigation will clear this up? “It’s person; if it isn’t fanatically adhered to, a ginger wig, guitar and a whole back hard to predict,” says Daksh, “but if the Eddie Flanagan then this is when problems occur and catalogue of mawkishly trite ballads decision is to further tighten regulation LAWYER, the few rotten apples in the barrel will to boot (a jibe at the ubiquitous Ed then it is something I welcome as it will SHAKESPEARE spoil it for everyone.” MARTINEAU Sheeran, for those fortunate enough increase customer protection and drive As a firm proponent of the PCP not to understand the reference). even more custom to the franchised model and the benefits it can bring, Given such a meteoric rise it was sector. The new car market is buoyant at Daksh Gupta is keen to see this perhaps inevitable that PCPs would the moment and despite the media being outcome avoided. “PCPs are an find themselves placed under the swift to report the fall in sales in April it enabler for the customer to drive a regulatory spotlight. Undoubtedly was less quick to explain why this might new car,” he says, “and this will many in the motor industry take the be or report on the fact that the market mean access to a warranty, service “move on there is nothing to see here” was still 1.1% up from the previous year Michael Ward plan, and a more fuel efficient and F&I SPECIALIST line. But is this actually the case? on total sales – a record.” environmentally-friendly vehicle.

WWW.THEIMI.ORG.UK I 21 PCP

If the PCP landscape has been Abe Smith painted as a rather bucolic Constable CEO, DEALFLO to-date, Michael takes to the canvass, “PCPs are an important part of the car buying process brush intent on invoking a more today. They have helped customers maximise their cash visceral scene. “As a finance company flow and establish a firm foundation for long-term man for 15 years and a ‘business relationships that help retention. The PCP model is manager’ in dealerships for 13 years, certainly sustainable if it is the right product for the I would say this: for dealers and consumer and sold fairly. manufacturers – PCPs every time; “Central to developing a sustainable model that satisfies for customers – conventional hire regulators that PCPs are being sold fairly will be evidence purchase (HP) every time, even over – including a full audit trail showing exactly what the five years if necessary. customer did and saw during the agreement process. “Dealers and manufacturers often In part, it was this lack of compelling evidence that made boast about ‘flexibility’ as being a PPI so toxic. On the other hand, a demonstrably compliant benefit of PCPs; in my opinion they process will protect both the buyer and seller. It seems are anything but flexible. PCPs are inevitable, considering the FCA review, that motor wonderful for the trade because the finance must follow a similar path.” customer feels tied in and has to make an invidious decision at the end of the contract. “One option is for the customer to pay-off the ‘guaranteed future minimum value’ (GFMV) – a lump sum payment due one month after the final “If there is an instalment – and keep the car. A “Today’s consumers are cash-flow conclusion. And regular readers of my issue with PCPs second option is to part-exchange the rich and equity poor and so the trend editor’s welcome will know I am no fan then the devil car for another, in which case the is towards renting – as we do with our of tribalism. Perhaps a slightly more GFMV is the settlement figure to be phones – rather than outright detached perspective is required. If must be in the deducted from the actual value of the ownership. PCPs protect against there is an issue with PCPs then the detail and so a part-exchange. A third and final option vehicle depreciation as all the residual devil must be in the detail and so a devil’s advocate is to return the car and walk away, in value (RV) is underwritten by the devil’s advocate must be found. Step must be found” which case no further payment is due finance sector and asset backed. If RVs forward Michael Ward MIMI who, are high then the PCP works for all between 1994 and 2007, worked as an parties concerned.” F&I specialist predominantly for Ford Eddie concurs: “Most people just Credit. Indeed, Michael joined Ford want to enter into a new contract and Credit just months after Ford have no intention of owning the introduced the aforementioned vehicle. And before the PCP is ‘Options’ PCP. castigated let us cast our minds back to Shaun Harris 2008. Since then a lot of families have SALES DIRECTOR, CODEWEAVERS been able to get their children into “The concerns about PCP finance and affordability new, reliable cars, and there are far for consumers are very interesting to us given our fewer bangers on the road as a result.” expertise and first-hand insights working with OEMs, franchised and independent dealers. A FOREGONE CONCLUSION? “The evidence from 874,028 unique customers creating their own personalised So, that’s it then. A cut and dry case. finance quote using Codeweavers’ finance calculating tools in April is The PCP has been wrongly vilified that consumers have a clear idea of what they can afford to spend on and the FCA investigators, even if their finance. It also indicates that PCPs are a product that almost channelling the collective spirit of the two-thirds see as helping them to make the best use of their budget. Keystone Cops, will exonerate it and “In creating their quote, the average customer makes nearly four the industry of all wrongdoing. After changes to their ideal finance deal. Interestingly, the PCP explanatory video all, with so many people opting for was the most watched. The engaging nature of our tools is great evidence PCPs and then subsequently renewing, that customers like PCPs and that they can, to a large degree, self-serve their and default rates so miniscule, what needs to make an informed decision which is then subject to underwriting. could possibly be the problem? “It seems there has been a change from ownership to usage, much akin to the Yet, somehow, this seems all too mobile phone market. Customers are interested in PCPs as they can own or simplistic. A rather one-sided change car at the contract end and residual value risk sits with the lender.”

22 I IMI MAGAZINE I JUNE 2017 PCP

provided the car is in good condition framework improved to the extent that saying that PCPs are inherently bad. and has not exceeded the maximum the full ramifications of the PCP are And, if residual values of the car mileage permitted under the contract. THE made explicitly clear to the customer? remain high and monthly payments “If the customer chooses the first Does this framework explain that a have been so low the customer has option then a high GFMV is a bad thing PCP high GMFV is only a good thing and been able to save up for a new deposit because they have to pay more to own the IN NUMBERS protects against depreciation if the during the term of the contract, then car. If the second option is chosen then a customer wants low monthly payments maybe customers really can win with high GFMV is again a bad thing because before handing the car back at the end a PCP. However, the argument that the customer has less chance of realising of the term? And does it include the PCP benefits the trade more than any equity from the part-exchange checking if the customer’s intention is it does the customer is hard to rebut. to form a significant deposit towards to exchange the car at the end of the Still, when motorists get their PCPs a new car. If, however, the customer 1993 contract for another vehicle and then through the UK’s sterling franchised chooses the third option, and walks explaining that in this case they would sector, with all the concomitant service away, then a high GFMV has proved be better off paying more in a month and protections this affords them, beneficial to the customer as Ford Options to lower the GMFV thus providing an not to mention the opportunity to it has enabled a low payment over marks PCPs improved chance of getting equity to select from a panoply of intoxicating the term of the contract and the PCP arrival on these act as a deposit for their next PCP? new cars, they really aren’t losing out has protected them against the whims shores If Michael’s contribution that much! of vehicle depreciation” demonstrated one thing, other than Having said this, the FCA could “Given only one of these three the fact he won’t be taking out a PCP still impose a more refined regulatory options end up benefiting the anytime soon, it is that the PCP is an framework. It seems clear that the customer, and not many customers do extraordinarily complex proposal. current evidence-based audit system want to walk away after the contract 394% Maybe I am being too cynical but I is simply not sufficient proof that the elapses, I strongly believe the really doubt that a lot of people with customer has completely understood flexibility of a traditional loan of up PCPs fully understand it, and that a what they are signing up to. One to five years still remains by far the Growth in overall lot of people tasked with selling it possibility is that the FCA could best option,” Michael concludes. PCPs in last five are fully able to convey its inherent introduce a mandatory script which “The customer can still change after years complexities. I am not ashamed to enumerates some of the things I have two or three years but this can be admit that I have struggled to grasp talked about in this article such as the done at their convenience by the labyrinthine nature of the PCP profound downsides of a high balloon requesting a settlement figure from model – and, as a writer, payment for the customer, and that the lender. Alternatively, the car can understanding and transmitting full-blown leasing or hire-purchase be kept indefinitely without the need 84% information is my livelihood. will likely see the customer less out of to pay or refinance a lump sum. The Testament to the assertion PCPs are pocket at the end of the term. To aid only thing you don’t get is the option not being adequately explained came this process I would even advocate the to hand the car back and walk away.” Of new from a friend who told me he doesn’t production of a series of examples of car finance care about the balloon payment how the various options could pan out AN ARBITRATION currently sold by because all he wants is a low monthly financially – including the possibility This analysis of the PCP is significantly Marshall Motor payment. When it comes to settling of negative equity. Time will tell if the at odds with earlier contributions Group are PCPs the contract, I am in no doubt that this FCA has the stomach to do this or and so let’s try and draw together the blasé attitude will swiftly dissipate. whether it will default to toothless, multifarious strands of the debate What’s more, if macro trends are box-ticking mode… and form a nuanced conclusion. towards rental and not ownership, and Arthur Way, in his article on the the average motorist has no intention impending FCA investigation last 90% of owning their vehicle, then surely issue, alluded to rising suspicion that just outright leasing is the best option? that GMFVs are being pitched at an Leasing provides all benefits of the artificially high level to facilitate low PCP without the inconvenient balloon Industry-wide monthly payments. If true, do I think payment at the end. And if the To join the debate on any this is a problem and do I think it renewal rate of motorist does want to own the car at the PCP of the issues raised in the warrants FCA investigation? After the end of the contract then surely magazine you can email much vacillation I am still unsure… it is better, as Michael argues, to go me at [email protected], I am torn because whilst I am down the traditional loan/HP route? tweet me @IMIeditor or join absolutely sure that, as both Daksh and the IMI’s LinkedIn group Eddie argue, dealers and motor finance MUCH TO CHERISH, discussion page. I look companies are operating under a MUCH TO CHANGE forward to hearing from you. greatly improved regulatory Before half the trade starts casting framework, is this regulatory voodoo dolls in my image, I am not

WWW.THEIMI.ORG.UK I 23 INDEPENDENT

Charles Pascoe

Owner, Mid Sussex LRR JUST SAY NO Charles Pascoe explains why he never fits Parts quality parts supplied by the customer – and why you shouldn’t either Not us! The customer would have to pay for us to do the work again. However, the most compelling reason It is fair to say that running a car is more expensive for not fitting parts that the customer purchases is than ever – partly due to increasingly strict emissions that we could be liable as a business if the customer regulations. As a result, in the last three years I have subsequently has a car accident and it is found the noticed a significant increase in customers buying cause was the poor quality parts we fitted. It doesn’t their own parts and then coming to us to fit them. matter that we didn’t buy the parts; we fitted them One such job came to us through an online portal. and thus assume a degree of legal culpability. If that It was for a Fiat Grande Punto and the job description accident resulted in a fatality then, as business read: ‘I am buying myself new brake discs and pads propietor, I could even face jail time! and a new intercooler pipe that is cracked. Please quote As for deciding which parts are on fitment costs’. good, I think it is a question of the My view is that I would not take er components are name behind the brand and how a steak to a restaurant and ask the “Cheap many of these parts are returned chef to cook it, so why should I a total false economy, under warranty. I have several classic not make a very small mark-up – cars that need oil changes a minimum anyway, as they don’t last of every six months. Yet I do the typically 15-20% – on parts? cheap To further the metaphor, when I as longg – look at changes earlier and, because the part go to the dentist I pay for X-rays ” isn’t safety-critical and I know the and fillings – I don’t take my own ball joints for instance risks, I can use a cheap filter as I have and there is no suggestion that I the facilities and time to change it even could. So why is the motor twice a year. Would I fit such a filter to a customer’s industry different? car that is serviced once every 18 months? No, never! I think the answer lies in the ‘bodgers’ out there In conclusion, I don’t know of too many garages whose cars are never complete and in a constant state that decline to fit customer-purchased parts and of disrepair. I call these people the ‘20 minuters’, a perhaps if there were more willing to say “no” then reference to their quick, cheap, botched repairs which the customer might give up asking?! There is so are executed with low cost parts purchased from much work out there and there are always customers certain, unaccountable websites. As a business we willing to pay – like in the old days – for the job to be will not fit such parts and operate on the principle done properly and for the parts to be supplied by you! of only fitting parts that we have procured. Cheaper So, if you fit parts of unknown provenance then stop components are a total false economy, anyway, as – for the sake of you, the customer, and the they don’t last as long – look at cheap ball joints for independent garage sector writ large! instance. Then there is the warranty – who will pay for the part to be dismantled and refitted if it fails?

24 I IMI MAGAZINE I JUNE 2017 LEGAL LEGAL LINK Tom Draper provides the answers to some recently TOM DRAPER IS HEAD OF EMPLOYMENT LAW encountered employment law questions AT TAYLOR&EMMET

LAST IN, FIRST OUT? CAN I KEEP THE VAN? I have employed For the last seven years I have been provided someone on a 12 month with a company van by my employer that I take fixed-term contract. We home every night. The van is not mentioned in are halfway through my contract of employment and my employer the year and I am going has recently told me they will be taking the van to need to make some away from me. Is there anything I can do? redundancies. Can I dismiss this employee s nothing about the van is mentioned in your contract, if first to avoid making a you want to show that you have the right to continue to permanent employee A use it you will need to argue that this right has developed through custom and practice. redundant? A term can be implied into a contract in this way where something is established practice across an industry or at a lthough an employee is required to have at least two years’ single organisation. The practice must be “reasonable, notorious continuous service to bring an unfair dismissal claim there and certain” for custom and practice to apply. In your case this A are other issues you should consider before taking action here. means that your use of the van must be generally established, If you treat fixed-term workers less favourably than their well known and clear cut. This involves looking at: permanent colleagues due to their fixed-term status this may • The consistency with which you use the van be unlawful if your actions cannot be objectively justified. • Whether your employer is required to provide use of the van This does not make it impossible for you to make this employee as a result of a legal obligation redundant but it would be less risky to enter into a redundancy • What has been communicated to you about your use of the consultation with all the affected employees at the same time, van and your understanding of the situation MY IMI which could include putting the fixed-term employee in • Whether there is anything in your contract which would Legal and Sales a redundancy pool with their permanent colleagues and be inconsistent with your continued use of the van CPD courses, conducting a redundancy scoring exercise. This would Taking a van home for the past seven years is likely to be page 53 minimise the likelihood of allegations of less favourable a sufficient length of time for the necessary consistency to treatment on the grounds of fixed-term status. develop, so long as there were not occasions when you were not If you want to continue with your plan to make this employee permitted to use the van or you have been told that the van is redundant, first you should consider whether you can objectively not a term of your contract. justify this course of action. In order to do this you would need to I would suggest speaking to your employer as you may be show that you have a legitimate aim and that making the employee able to persuade them to change their minds. If this situation redundant is a proportionate way to achieve that aim. For example, cannot be resolved informally you may want to consider a redundancy may be justifiable if the specific project the fixed-term raising a grievance. employee was employed to do has completed early and there are no suitable alternative vacant roles.

HELPLINE MEMBER 08701 20009 BENEFIT Don’t forget... as an IMI member you receive 45 minutes of FREE legal advice and a further 15% discount on any future consultation with Taylor&Emmet.

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FINAANCN E & INSURANCE THE CLAIM GAME Outlining the impact of a new personal injury discount rate for automotive businesses and their insurance premiums

s of the 20 March 2017 “broadly in the right ball park”. different policies. For example, if you businesses who need motor or So how will this impact automotive have a combined motor trade policy A liability insurance to operate businesses as policyholders? Put covering material damage, employer could notice a big increase to their simply, an increase in claims reserves and public liability, and road risk insurance premiums. That’s because for motor and liability policies will cover, could the premium be even the Ministry of Justice has made inevitably lead to increased higher? Many questions remain changes to the ‘Ogden discount rate’ premiums. Whilst it’s too early to unanswered, and the government LEON BOSCH – the framework for calculating IS MANAGING say for certain what the scale of launched a six-week consultation compensation pay-outs for those DIRECTOR OF increase will be, estimates range on 30 March to further discuss the with serious personal injuries who AUTOMOTIVE AT from 5% to 20% – and that’s for change. The best thing businesses can are facing long-term loss of earnings. UK INSURANCE claim-free businesses alone. do for now is to proactively review BROKER ARTHUR The discount rate is a percentage J. GALLAGHER their risk management strategies reduction that insurers apply to UNCERTAINTY ABOUNDS to ensure they do all they can to the lump-sum compensation There is still a lot of uncertainty minimise claims frequency and amount to allow for the estimated around the full impact of this rate severity – both of which have a direct return-on-investment on this sum. change, including how it will affect impact on insurance premiums. Having been set at 2.5% in 2001 the rate has moved to minus 0.75%. Whilst at first glance this may appear a modest percentage movement, Risk management strategy the impact on claim payments will be significant. What this change Review your insurance cover with the your voluntary excess you are sharing the risk essentially means is that those support of a reputable broker who can with the insurer which will bring costs down best advise as to how to mitigate any potential suffering from serious injuries If you have an open driving policy you premium increases without compromising on will receive significantly higher could save money by restricting it to compensation payments than before. important cover named drivers only As a result of the new rate, Don’t be tempted to cut corners to save insurers have been required to make Some motor traders have policies in place money – reducing your policy cover may substantial increases to their current that will cover employees for social, lower costs but could expose your business to claims reserves. The Association of domestic and pleasure use; consider restricting claims that exceed your cover limits. A British Insurers estimates the total this to just managers or those who really need it professional broker can discuss ways to help cost of this change to be as much as you control costs without exposing your balance Shop around to try and get the best £7bn to insurers. Separately, the sheet unnecessarily deal – use an independent broker with government has acknowledged that multiple insurer relationships, or brief a the projected £1bn impact on the NHS There are ways to lower premiums couple of brokers to get you that coverage for higher compensation bills relating without increasing the risk – by increasing of the market to medical negligence claims is

WWW.THEIMI.ORG.UK I 27 RECRUITMENT RECRUITM

THE SECRETS OF THE INTERVIEW LOOKING AT WHAT TO DO AND WHAT NOT TO DO IN THE INTERVIEW PROCESS F cus s I write this the labour market a difficult situation at work” (or lead • What is the expected progression is candidate-led. A skills shortage a project, deal with a delicate personal path for this role? A means professionals with track matter with a subordinate and so on). • What do you/your employees records of high achievement and It’s also a good idea to know: like about the culture here? success in volatile markets are in • Your greatest achievements • How do you define success a strong bargaining position. • Your strengths and weaknesses for this role? But even the best must still • Why someone should hire you! • What are the current and future interview well, and a good interviewee HELEN FLOOR challenges facing this organisation isn’t born, but made. At all levels of IS MANAGING These may seem obvious, but they often that I could help with? DIRECTOR OF 1-1 seniority good interview technique RECRUITMENT stump people in the heat of the moment. • How does the business define success? comes from practice, which means GROUP • What professional training or there are things you can do to increase GOING LIVE education do you offer? your credibility in an interview, as well There are opportunities beyond as some common mistakes to avoid. your CV or portfolio (if relevant) to The Bad... show what you can do. Accountants can The Good... review publicly-available company GETTING LOST! accounts or statements and comment An obvious one this but it’s PRACTICE MAKES PERFECT on them when given the opportunity to worth doing a test run to the site of Practice delivering a concise ask their own questions. Marketers can your interview beforehand, preferably overview of your career, including your audit social media profiles and share at the same time as your interview, education or experiences that had an their insights if appropriate. Be creative to account for traffic. You don’t want impact on your choices. Interviewees about ways you can demonstrate your the stress of being lost or late. who can weave all their experiences and resourcefulness and knowledge. training into a narrative sound very BEING NEGATIVE compelling and have often practised REMEMBER YOUR ABOUT THE PAST doing this. DIGITAL BRAND If things didn’t work out for you in a “Interviewees Questioning techniques come in and Your social media profiles can act previous role it is good practice to be out of fashion, but many firms will use who can weava e as your personal shop window so honest and as positive as you can about competency-based questions at some all their it’s a good idea to act accordingly. the experience. If you can show that point in an interview so it’s a good idea experiences And remember to ensure your CV you’ve learned from it, even better. Take to enlist a friend to test you with some. and training and LinkedIn tell the same story! the learning points from a bad experience. Search for popular competency-based into a narrative questions so you get the hang of sound very HAVE YOUR OWN QUESTIONS NOT FULLY UNDERSTANDING answering them – although by their If all your questions have been THE ROLE/COMPANY compelling nature they often contain a curveball answered in the course of your Avoid embarrassing slips that that will require you to think on your and have often interview, rather than simply saying make it clear you haven’t done your feet so they’re hard to anticipate. They practised that you don’t have any, say so. homework! An agency should ensure are often phrased like this: “Tell me doing this” Meanwhile, here are just a few good you’re well-briefed on both the role about a time when you had to deal with questions to ask: and company.

28 I IMI MAGAZINE I JUNE 2017 RECRUITMENT

and promotions. This should be a to empathise and draw the best from competence-based recruitment and them on the day. selection process designed to create or restore a balanced and diverse INSIDE JOBS workforce with regard to people, Recruiting internally and skills and experience. promotions also need careful consideration and planning. These are ENT FRONTING UP not always as successful as they might This will require upfront work to be because staff may resist being develop accurate and comprehensive job managed by someone who was formerly descriptions and person specifications. part of the team. In addition, new Additional materials should include: managers do not necessarily have the application forms, supporting skills, experience, step-up training or statements and appropriate company support from more senior managers information for candidates, and that they need to assert themselves in guidance materials on reviewing and their new roles. What’s classic in the assessing applications for recruiters. automotive industry is for the most The process would also require work successful sales person or longest to get all managers ‘on-board’ to help serving aftersales advisor to be them implement the process correctly promoted to fill a managerial vacancy FAIL TO and consistently across all departments without any formal competency PREPARE… and locations, and to ensure they are assessment or management clear about the roles (and skills) development programme to ensure EXHORTING THE NEED TO required of candidates. that the new manager flourishes both MOVE AWAY FROM A Training may also be necessary, personally and commercially. TIM ROUTLEDGE dependent on recruiters’ experience, to Creating a more structured and CHAOTIC RECRUITMENT IS CHIEF MODEL AND TOWARDS ONE EXPERIENCE enable them to interview effectively and efficient recruitment process will OFFICER AT test candidates against agreed selection inevitably require time and effort at the THAT IS MORE ORDERED EXPERIENCE criteria. The use of standardised outset. However, once implemented, it INSIGHT questions across all candidates is will ensure more successful recruitment ver the many years that we have essential to counter interviewer bias and, critically, retention of people with been working in the area of and it’s important that interviewers are the qualifications, knowledge, skills, O employee experience within the coached to better understand the experience and personal characteristics motor industry we have observed that, impact of a pressurised interview that an organisation needs – now and in generally, recruitment practices are ad situation on candidates and so be able the future. hoc, informal and inconsistent. This applies both to external recruitment of staff who are new to the business and internal recruitment and promotion of existing staff. This is particularly RECRUITING TOP TIPS apparent when contrasted with the more rigorous practices that are Be clear and specific about Prepare application forms, standard in other industries. what you are looking for in job supporting statements and guidance We have seen much time and money applicants – and ensure all notes for candidates and recruiters, wasted on the recruitment process – advertising reflects this and always provide comprehensive investing in advertising, for example, company and department yet receiving few suitable applicants Ensure recruiters have the background information and even fewer options to choose from “Clearly the skills required to implement – suggesting that candidate information motor industry the process effectively Give careful thought to where and advertising content is unsuitable. needs to develop you advertise for candidates – Think outside the box in terms research any media to ensure We have also observed candidates a more rigorous completing application forms after they of background – might there the readership is really reaching have been offered the job! approach to be benefits in employing from the right audience for you Clearly the motor industry needs to recruitment outside the industry to get develop a more rigorous approach to and selection a different perspective on Always take up references recruitment and selection for all roles for all rooles” the role? and check qualifications – including internal career progressions

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The great DIESEL DEBATE Steve Nash asks if the unchecked furore around diesel is having a detrimental effect on policy making

here is no doubt that the diesel anxiety rather than being based on Now his successor Sadiq Khan has debate is big news for the media. sensible, reasoned thinking. And this proposed everything from increased T The respected newspaper I read is not, by any means, just an issue for congestion charges for diesel vehicles online seems almost daily to find our national government because to a 50% increase in hourly parking some new angle on the issue – devolved administrations have an rates and the yet to be defined whether it’s the effects of NOx on awful lot of power to effect local ‘toxin tax’. everything from public health to crop policies and upwardly influence Let’s be clear: of course we accept yields, the differences between real STEVE NASH central government. Just look at that there are genuine issues that IS CHIEF world emissions and those achieved EXECUTIVE former London Mayor Boris Johnson’s need to be addressed. Emission in official tests, or details about new, OFFICER OF decision to mandate that all London levels in areas of our major cities far reaching proposals to penalise THE IMI black cab’s would go electric by 2020! are at unacceptably high levels. the use of diesel vehicles. Indeed, as I write this column I am looking at a headline which says: “Hidden Dealers and diesel stocking YES NO OTHER diesel fumes kill 38,000 a year!” Courtesy of cap hpi It is unlikely that those behind the 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% study which produced this headline Are you reviewing your stock profile due to recent 45% would make quite such bold and negative media coverage on Diesel engines? 48% direct claims given that they would 7% 18% Will you be investigating or buying AFV/ have to have studied 38,000 autopsy 79% EV vehicles, as a result? results in detail to be certain of cause 4% 51% of death. But you get the picture. Are consumers questioning their purchases or decisions? 47% Diesel has become something of 2% 84% a media feeding frenzy! Are you fully aware/knowledgeable of the fuel debate? 14% In these circumstances there is 2% 63% significant risk that important policy Do you believe a ‘diesel scrappage’ is possible? 33% decisions will be made that pander to 3% this heightened, media-fuelled public

30 I IMI MAGAZINE I JUNE 2017 THE INDUSTRY VIEW

Alex Buttle In the same newspaper article which remove 99% of harmful soot, “ DIRECTOR, MOTORWAY.CO.UK I referred to earlier there are details and AdBlue treatments that vastly “We have not seen a major fall of what look like the heritage blue reduce NOx emissions. They also emit in diesel car valuations on our plaques we see on many buildings less CO2 than comparable petrol website just yet, but the surge we denoting that a famous person lived vehicles. On top of this, the stricter have seen in diesel selling suggests the market will there. Except that these are grey EC emissions tests, which will include quickly become saturated. Coupled with falling plaques and in the example shown ‘real world’ on-road testing, are to be demand for ‘dirty diesels’, this means a price drop the legend reads: “Brixton Road introduced this September and will is inevitable. This has already happened in Germany breached its annual air pollution drive even greater advances as well as where similar diesel regulations led to a 19% drop limit on 4 January 2017.” closing down the loopholes that allow in the average price of diesel cars this year.” spurious test results. CALMING THE STORM So, what we need in the first place So we accept the issues, but we are policies which recognise that it Philip Nothard need cool heads to consider ways was successive UK governments that CONSUMER AND to proceed which address the encouraged consumers to adopt diesel RETAIL EDITOR, CAP HPI urgent need to reduce pollution by and supported its proliferation with “In terms of impacts on used targeting the principal causes, and sympathetic policies. The owners of values our forecasts have been not blanket approaches which may the older, most polluting vehicles assuming increased deflation for diesel relative to needlessly affect those who aren’t (particularly pre Euro 5) therefore need petrol, across most vehicle sectors, for some time. significant contributors. We also support to move to cleaner cars, not The trend pre-dates the Volkswagen emissions have to consider what is feasible in punishment. This could take various scandal. We expect to see a different performance the short, medium and long-term forms including such things as the in the long term depending on the vehicle sector. based on available technologies. proposed diesel scrappage scheme. Larger diesel SUVs, upper medium and executive There is little doubt that the The incentives to move cars are likely to continue to be a more attractive VW “dieselgate” scandal brought towards hybrids, EVs and other proposition than their petrol equivalents, in most cases. In the most recent data we’ve produced about a paradigm shift. Manufacturer alternatively-fuelled vehicles need diesel executive cars fared better than their petrol product plans, which most certainly to remain in place and possibly be equivalents by +1.4%.” included alternative drivetrains such strengthened. But, in recognition as hybrid and electric propulsion, of the fact these vehicles do not yet were hurriedly rearranged to bring adequately meet the needs of all these technologies forward. As a consumers, a sensible and supportive Mike Hawes CHIEF EXECUTIVE, SMMT result we are seeing new hybrid and approach needs to be taken with the “We welcome the publication of electric vehicles entering the market latest diesel products. These products the government’s proposals for on a regular basis. However, if heavy must not be grouped together and improving air quality across the handed policies were to force a generally demonised along with older UK… We’re encouraged that plans to improve traffic wholesale shift towards these vehicles, vehicles. This way we can effect an flow and congestion, as well as increase uptake of in the short term we simply wouldn’t orderly transition over to the new electric and hybrid vehicles, will be prioritised in have the electricity generating capacity technologies and not needlessly kill towns and cities. We look forward to working with to cope. Furthermore, the technology part of the industry which directly government to encourage the uptake of the latest, still isn’t yet at a stage whereby these employs many people in the UK – low-emission vehicles, regardless of fuel type.” vehicles come even close to fully particularly given the likes of Jaguar meeting the needs of most drivers – and BMW actually have particularly those who regularly factories building diesel engines here. Sue Robinson cover high mileages. As I write the snap general election DIRECTOR, NFDA Whilst petrol cars may begin to has yet to take place. But once the new “The largest gains in air quality take a larger share of sales than has government is in place we need to will come by encouraging the been the case in recent years, drivers take every opportunity to lobby for uptake of the latest low emission concerned with economy will miss the the kind of balanced policies that I vehicles of all fuel types. It is positive to see that outright fuel consumption benefits have talked about here both at local the government will be consulting on the issue. of a modern diesel, which still delivers and national level. We all want cleaner This needs a consistent and coordinated approach 15-20% better consumption than cities and a better environment but which involves government, manufacturers and petrol on average. we don’t want to carry the can for retailers… A clear timeframe of implementation for the misguided and misinformed clean air zones and new policies must be published BEYOND THE HEADLINES government policies of old. Nor do we to ensure businesses and consumers are aware of The truth is that the latest diesel want local, devolved administrations the changes and able to plan their investments, products which comply with the EURO to see the motorist as a ‘cash-cow’ especially considering that many motorists were previously encouraged to purchase diesel vehicles.” 6 emission standards are not the real and use environmental arguments problem. They have particulate filters to bleed them dry!

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From card TO CLOUD Asking how much workshop management technology independent garages need

ith a vast array of high “Our boards convey a lot of happens if the broadband goes down?’, and low tech systems information at a glance. They’re more but in most places it is pretty stable W available, effective workshop adaptable than a desk diary and provide and you can always use your mobile management is all about finding the a link between the workshop and the 3G or 4G as a backup.” right solutions for your business. person ordering the parts. People that One happy customer is Christian use them love them, and to get to the Cerrone at Knights of Stafford. CARD MEN same place with a digital solution takes “We looked at various systems but T Cards products can be found NEIL KENNETT a lot more effort and expense.” decided on T Cards Online,” he says. IS A FREELANCE in garage receptions across the JOURNALIST AND While extolling the virtues of paper “As a workflow management tool the land. The company is best-known DIRECTOR OF and plastic, Heine is keen to emphasise system is excellent. It has enabled us to for its plastic boards with T-shaped FEATUREBANK. that they also work well in tandem with upgrade from the manual system to one CO.UK cards, hence the name, showing modern technology. So much so that which is easily accessible via PCs in our where each vehicle is in the T Cards has developed its own different departments.” process – from booked-in to cloud-based system, T Cards Online. awaiting collection. “It made sense because we understand GARAGE HEAVEN FROM HULL Sales Manager Philip Heine says: the processes and there’s a lot to be Another workshop management “We saw an internal memo from gained, especially in terms of customer company, Hull-based Garage Data Ford in the 80s suggesting that our management,” he explains. “We offer a Systems (GDS), feature elsewhere in this system would soon become dated, 21-day free trial and a single user issue having recently assisted the IMI but we’re still here because it remains licence only costs £10 a month. The by supplying a workshop programme both effective and cost-effective. most common objection is ‘what free-of-charge to colleges (see pages 6-7).

32 I IMI MAGAZINE I JUNE 2017 WORKSHOP MANAGEMENT SYSTEMS

manufacturer, whereas for my catalogue that can be configured customers the guy operating the “Building up a to reflect a local parts distributor’s keyboard is often the business database is one stock profile.” owner and senior technician. thing; wringing Extra modules are also available, “The keys to our success are notably ‘Enhanced Technical Data’, flexibility and price. The system the business out including vehicle-specific wiring allows you to switch to a different of it is another schematics, and ‘Online MOT screen without closing the one – and that’s Bookings’, so customers can check you’re on. So, for example, you can where customer availability and book appointments. be creating a sales invoice and at the engagement “Working in partnership with same time finding a customer’s phone comes in” respected third parties, including number or printing a job sheet. Bosch, Euro Car Parts and “For customers in rural areas – GROUPAUTO’s AutoCare, it is possible Devon, Cornwall and parts of Wales to include real-time stock availability and Ireland – the broadband isn’t and place orders,” says Sparks. “We great, so the cloud probably isn’t right have a wide range of independent for them. Many of our competitors garage customers, from those with spend a fortune on the most modern a single ramp, up to those operating systems and then charge garages dozens. Regardless of size, Autowork several thousand pounds a year. Online provides significant benefits.” One of our major selling points is Building up a database is one thing; that we can transfer data out of these wringing the business out of it is systems and into ours, and we typically another – and that’s where customer charge around £1,000 a year.” engagement comes in.

STANDING OUT FROM THE CLOUD MAKING THE CALL Pitched as a feature-rich estimate to Shaun Egan, Sales Director at Call invoice solution, MAM Software’s IT Automotive, says: “We manage Autowork Online is one of the UK’s customer journeys for independents, most popular cloud-based garage dealers and OEMs, helping them to management packages. The software cleanse, enrich and make the most operates from a web browser, meaning of their data whatever management that no installation is required, system software they’re using. Around updates are deployed automatically, a quarter of people on a typical and new users can be easily added. independent’s database will no longer A recent update introduced several own the listed vehicle, so our DVLA new features designed to boost checking process ensures we target productivity. For example, the our efforts in the right areas.” Its ‘Workshop Manager’ system has automated text messaging service In terms of prompting a booking been installed in over 1,500 garages can be used to advertise service within a short timescale, Egan reports across the UK and Ireland since 2006. promotions, prompt customers to a 10-12% success rate per email and Pitched as an affordable, easy-to-use complete required work, or remind about the same for SMS, whereas for solution, it handles the journey from them of upcoming appointments. telephone calls it is more like 25%. initial phone call to diary, and “Our aim is to make garages as A further 10-15% will convert over customer arrival to job card; it also efficient and profitable as they can a longer timescale. handles parts needs, labour rates, be,” said Gavin Sparks, Senior Sales “Picking up the telephone is very invoicing and follow-up marketing. Manager at MAM Software. “Our effective but emailing and texting is It is compatible with any Windows ‘Deferred Work’ feature enables cheaper – for loyal customers it might device, can be networked to up to six garages to be more proactive by well be enough,” he says. “It shows PCs, and can upload parts catalogues sending reminders about specific the importance of capturing as from local factors. “We help a whole work which has been identified as many contact details as possible. An range of automotive workshops – cars, necessary in the short-to-medium interesting quirk is that email and text trucks, buses and agricultural – to term. This helps to build trust, work better in large towns and cities.” manage their daily activities and generate revenue opportunities, and In conclusion, if you’re still relying maintain accurate service records,” says provide a more dealer-level service. on a desk diary then investing in Managing Director Neil P. Stewart FIMI. “To make job pricing as simple as workshop management will deliver “The systems used by main dealers possible Autowork Online uses a VRM bottom line benefits. From there it is are more or less reporting systems for look-up, industry standard repair a question of how much is too much. sending information back to the times, and an extensive parts You’ll only find out by testing it.

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Planning for driving AUTONOMY Reporting from ‘CAD 2017’, the inaugural European conference for connected and autonomous vehicles

34 I IMI MAGAZINE I JUNE 2017 AUTONOMOUS VEHICLES

hen automobiles first took development today. “Testing of discussion, and highlight the benefits to the roads of Britain self-driving cars began in Europe in that autonomous technology can bring they were required to the eighties when a German engineer to us all. Wtravel at no more than built a Mercedes van designed to drive 5mph and have a man with a red flag hundreds of motorway miles – an FUTURE OWNERSHIP walking in front of them. Today, incredible achievement with the Throughout the conference one theme vehicle advancements are driving computing power of the time,” he was clear: the future of driving will forward at such a pace that we will commented. “Jump to today and look PHIL CURRY IS be very different to its present. AN EXPERIENCED soon have cars that not only don’t at the Google cars which have travelled AUTOMOTIVE While more people will be able to use require a human escort, but no human more than three million kilometres JOURNALIST AND vehicles, including those unable to input whatsoever. autonomously, can recognise hand FORMER EDITOR drive, the number of cars on the roads OF AFTERMARKET Automotive technology has made signals of traffic police, and think MAGAZINE in urban areas could decrease due to rapid advancements in the last 20 years, faster than any human ever could.” a change in the ownership structure. driven by the need for vehicles to be The European government seems cleaner, more efficient and reliable. LEGISLATIVE BURDEN set on trying to build the shared This has seen the introduction of There is, however, a lot of legislation ownership and sage network, following electronic systems, controlled injection to put in place to ensure that trials of the doctrine that city infrastructure and fewer mechanical components autonomous cars can take place, let can cope better if cars are not privately as manufacturers both strive for alone their sale. “Autonomous and owned but, instead, are ‘booked’ improved sales, less overheads, and to connected driving will not happen for use to get people from A to B. meet regulatory targets. on its own and we need to produce The next step in the journey of the right framework to stimulate evolution is the autonomous vehicle. progress,” Meedas added. “If you have Once a pipe dream of the science 100 million cars that depend on fuel fiction era, today there are hundreds and less than one million electric cars of projects in operation around Europe, on the roads, as we did five years ago, each seeing governments, vehicle there is a big imbalance that highlights manufacturers, component developers, there is more to do in order to drive up telecommunications companies and their adoption and bring more other interested parties coming manufacturers into the technology. together to get these vehicles not only Car manufacturers are in a worldwide off the ground, but onto the roads. race for automation and it is one that A multitude of automotive, Europe needs to win. It is not only for technology and telecoms companies us but for the industries to set the are working together to build a technical and business standards. network that will allow autonomous The regulation of the future will be cars to run on roads around the world, done not just by the politicians but while governments are exploring by us all together.” legislation that can allow such vehicles The legislation conundrum will to work safely within the public also lead to increased talks between domain. The European Commission member states, as vehicles are therefore established ‘CAD 2017’, expected to cross Europe and drive the first conference for connected and in different countries’ road systems. autonomous vehicles. Held in Brussels, The idea of one European legislative it brought together representatives framework was brought up multiple of programs from member states, times during the conference yet, for experts and academics to pool this to happen, countries need to align together thoughts and experiences their programs. Some are at a more as autonomous technology approaches advanced stage, while others are testing a state of commercial viability. in different areas. There also needs to Starting proceedings Carlos Moedas, be further communication and data European Commissioner for Research, sharing between manufacturers and Science and Innovation, told the different technology companies. assembled guests about the history The purpose of the conference was of autonomous driving and its to bring everyone together, create

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Uwe JaItßen, Vice President The impact on jobs was also telecommunications companies to of Innovation and Research at “Throughout the discussed. Millions of people are ensure that fully autonomous vehicles Deutsche Telekom commented: “It is conference one employed to drive vehicles, especially work effectively when required. a possibility that in 20 years there will theme was clear: in the haulage industry. However, While computer components and be fewer cars, and fewer cars owned rather than being worried, Carlos mapping will be deployed, and sensors by individual people, but the cars that the future of Moedas believes that drivers should will keep vehicles in motion, do exist will be more extensively used. driving will embrace the change. He commented: communication must be maintained Manufacturers will still produce cars be very different “Millions of Europeans work in to ensure safe use. to sell but they will retain ownership, to its present” transport in driving roles. The The connected and autonomous and people will be able to book thought of these people becoming vehicle needs to communicate with them as and when they need. As this unemployed through the increased everything around it: from the car happens we will see fewer cars on the use of autonomous vehicles is in front to the traffic light, to road, which reduces pressure on cities frightening, but I do not agree that understand where it is going, when and their transport networks. There this will happen. It is just another it is safe – and any other decision will be no need for parking spaces, example that different types of jobs that is usually made by the driver. less congestion, and less pressure will be created. In 19th century The current mobile communications on management systems.” England farm workers destroyed network is sufficient for trials yet, for Roberto Vavassori, President new machines as they felt they wide scale usage, a 5G network needs of CLEPA, added: “The utilisation were being replaced. Instead, as to be in place, ensuring fast and of the car has to increase. Currently, more machines came, people had reliable communication at all times. a privately owned car is only used to focus on things they couldn’t do. This also needs to be as robust as 5%, so by sharing cars their utilisation We don’t want machines to replace possible, including in rural areas where can improve exponentially.” us, we want them to make us better communications signals can be sparse. This could mean a reduction by at our jobs.” Bob Banks, R&D Program Manager manufacturers in the dealership at Vodafone, addressed the work that model currently in place, as fewer IT’S GOOD TO TALK cellular technology companies are cars in private ownership means What may not be apparent to some putting in when it comes to creating less cars to sell. is the level of investment needed by a communications infrastructure.

36 I IMI MAGAZINE I JUNE 2017 AUTONOMOUS VEHICLES

Carlos Moedas addresses the conference

“Connectivity is being brought into With the connectivity you can trust on-board sensors so these come the data services area, giving drivers deliver a better automated driving first in its decision process, and then and passengers the ability to get live experience and it has to work by itself. it uses information from cellular navigation, stream videos for You cannot build a system where technologies such as 5G. This all comes entertainment and even add a wi-fi everything will fall apart without together and helps it decide how to hotspot in the vehicle – all designed cellular connectivity. drive. If a network is not available it to serve the people within,” he said. “When it comes to malicious will have a functional safety system “Now we are delivering data intent, we have the same concerns where it will go back to a position it services for the vehicle rather than about connected vehicles as other can handle with the information it has, those within. We have moved into industries. However, we also know otherwise it will have to pull over and telematics, vehicle tracking and where we can add extra security rely on the driver, or wait to be picked insurance services. We have now thanks to experience so we can up and taken away.” reached a point where we must take look to secure certain ports and add The rise of autonomous vehicles is the next step, connecting vehicles to layers. Cellular also has a strong no longer the stuff of science fiction. lots of different things, including identification layer. Software must Governments across the world are “Governments themselves, in what we may start also add layers of security as we move opening the doors for the legislation, calling ‘the internet of vehicles’.” across the world away from firewall fencing and start mediation and development of what Hakan Anderson, Director of are opening the to look at each individual component will be a big step forward in the Industry Alliances at Ericsson, doors for the as needing a security mechanism.” automotive world, each eager to be discussed the possible ramifications legislation, the first to display that they have of a vehicle finding itself outside a mediation and KNOWLEDGE IS POWER produced the right infrastructure coverage area: “You have to design development of Teodor Buburuzan, Leading for self-driving deployment. This is a system that is not dependent on Communication Engineer at a global space race and Europe wants what will be a big connectivity 100% as you may drive Volkswagen AG added: “Automated to lead it! The impact is yet to be out of range or have a modem failure step forward in driving is designed so that the car seen but there can be no question on the vehicle,” he commented. the automotive must make a judgement by itself. that it is now a case of when, not if, “Vehicles undertaking autonomous world” The more information it gets, the we will be sharing the roads with driving must also rely on sensors. better the decision. It knows it can driverless vehicles.

WWW.THEIMI.ORG.UK I 37 38 I IMI MAGAZINE I JUNE 2017 APPRENTICESHIPS AUDI PARTNERS On two lives being transformed by Autotech Recruit’s Bedford Audi IMI apprenticeship programme

or 20 year old Lee McIntrye Lee McIntrye Jake Bartlett university was unappealing. F The idea of big debts and a hard time getting a job to pay them off made little sense to him. But, when it came to finding an alternative to higher education, the pathways were not particularly clear. With a lifelong interest in motorcycles and cars Lee kept close tabs on apprenticeship programmes and, when an apprenticeship opportunity arose at Bedford Audi, he applied. In 2015 Autotech Recruit, under its newly launched apprenticeship division, developed the specific recruitment and training plan as a pilot for Bedford Audi’s IMI apprenticeship programme. Under the programme Autotech Recruit which have been delegated to them the Audi brand name, the chance to pledged to sponsor two vehicle by the workshop controller. Under earn money while learning valuable apprentices for three years and, their keen-eyed mentors both Jake skills and gaining a globally following a series of interviews, and Lee carry out their work which, recognised qualification at the end the two positions were filled by both admit, teaches them more than of the programme was equally Lee and 21 year old Jake Bartlett. college ever could. “College is good,” appealing – as was the rapidly The apprenticeship programme not comments Lee, “but you learn so much changing landscape of the industry. only offers a hands-on learning more from the workplace.” “Cars are getting more and more experience but culminates in a highly advanced and keeping up with the recognised IMI qualification. Now in HIGH-TECH LEARNING technology could be a struggle, their second year of the programme College is, in fact, Audi’s dedicated particularly if you are a technician both Lee and Jake, who will become high-tech National Learning Centre in who has left the trade for several fully-qualified service technicians at Milton Keynes. “It’s a fantastic facility years,” says Jake. “Cars today are the end of the three year course, are and we get to work on brand new incredibly precise and technical and keen to emphasise the full breadth cars,” comments Lee. “Everyone goes it is a constant learning process. We of learning that they are undertaking. there to learn about new software keep up-to-date by using the most “Every day is varied,” comments and vehicles; it’s a constant learning advanced technology, for instance Jake. “I like the fact that I get to work process for everyone in the group.” “The Audi Cams where we record what we at all ends of the spectrum, from So what does the future hold apprenticeship are doing for the customer. You need changing a turbo temperature sensor, following the three years Jake and Lee programme not a mix of both mechanical and IT skills to an oil service, or even carrying out are sponsored by Autotech Recruit? only offers a to work within this industry! The an entire engine swap.” As Lee explains: “Once I have passed hands-on environment is great and with all the Assigned to the apprentices from my IMI exams I will be a service learning new cars coming in, like hybrids and day one their mentors provide integral technician and, following that, experience but electric cars, it’s constantly changing. hands-on learning and, according to a qualified technician. From there I culminates in a With electric cars we have to manage Jake, act as life guidance coaches can move on to be a master technician highly recognised the voltage which could be dangerous to their protégés too! Each day the or even go into management.” IMI qualification” – but adding a bit of danger to your apprentices check their rack for jobs Whilst the main draw to both was working day is exciting!”

WWW.THEIMI.ORG.UK I 39 RESTORATION Alive and KICKING Profiling the effervescent classic car restoration market

n industry worth £5.5bn per These may be marque specialists who privately-owned Series 1s. Jaguar annum to the UK economy? also indulge in modern work for bread similarly responded to demand with Strange that classic car and butter cashflow. Also in this market £1mn examples of six lightweight E-types Aownership is widely regarded you will find the keen amateur, prepared and nine Continuation XKSS models, as a genteel leisure pursuit, dominated and able to get stuck into projects with both drawing on marque heritage and by men of a certain age talking no immediate intention of making a OE credentials. grommets and trunnions while supping profit; the genuine enthusiast with Most decent sports cars from the GARY STRETTON beer with innuendo-laden names such IS THE FORMER limited funds or time, doing it for love. 60s and 70s now command strong as Firkin Differential. The reality, away EDITOR OF The new and second tier is the blank money for the best examples. from regurgitated features about MGBs CLASSICS cheque market. This has been propelled Traditionally these would be low MONTHLY and E-types, has shifted smoothly in the MAGAZINE AND in recent years by numerous high-profile mileage original vehicles, but demand past five years, as the investment side of RUNS HIS OWN restorations of famous vehicles and has meant restored vehicles often reach the industry in particular has propelled CLASSIC CAR vehicles with broad, universal investor and surpass such values. Key to vehicles BUSINESS IN appeal such as E-type, Jaguar XK150 values and desires into the mainstream SOMERSET achieving such premiums is both the and the UK’s living rooms. When and Ferrari. The daft days of barn-find restorer’s skill and parts availability. terrestrial TV channels are prepared overkill seem to have passed, When the Far East became the new to air classic vehicle-based shows at thankfully, and smarter investors have manufacturing hub for repro parts it primetime then the popular cast a wider net to see what else has was typically at the expense of quality; breakthrough has occurred. But why? strong appeal. This has led to price a race to the bottom meant cheap The perfect storm has been a heady increases across ranges, not just models, components attracted unsuspecting mixture of romanticised barn finds of the same vehicle – such as 1960s owners hoping to motor on a budget, (accompanied by good PR), a dwindling Lancias. Where an entry-level British albeit with greater profits for the pool of affordable bona fide classics, and marque project car once fetched under distributor. It has to be remembered investors weary of financial suicide in £1000 online, the norm is at least 50% that such items are manufactured to these uncertain, austerity-shackled higher than five years ago. To see this in a price – a price determined by the times. Blossoming interest from affluent action, think of the most humble classic company selling them to trade and international investors has helped you can imagine and then try to find retail customers. If an inferior spec create a classic sector that looks and one for less than £2000 not requiring is requested it is not necessarily the feels very different to the one I became the same amount spent on it to be truly manufacturer’s fault. If, however, the involved in upon finishing a vehicle roadworthy and useable. manufacturer changes the spec without restoration course in the mid-nineties. telling its customer that’s a different I’d argue there are two restoration GOLDEN OLDIES matter. I have tested numerous items markets offering distinctly different But perhaps the strongest indicator for motoring publications over the past services to their clients. of how far restoration has come is the decade and it’s obvious how many use The UK has in the region of 3800 “I’d argue services offered by original manufacturers the same basic casting but deviate on businesses related to classic vehicle there are two for vehicles produced decades ago. Land internal components according to restoration, employing 35,000 people, restoration Rover launched its Reborn programme in budget, hobby or professional use. with 54% of those businesses expecting markets offering 2016, providing owners with direct access A trolley jack is a good example of future growth. The original market is distinctly to OE parts and skills, meaning a perfect such an item. populated by the nation’s local garages different services Series 1 could be yours for £60k-£80k. More critically, a rotor arm that and specialists who have some – if not to their clients” This was an initial batch of 25, with the lasts only 1000 miles may take two all – of the skills for a full restoration. programme rolling out to cater for years to achieve such a mileage in

40 I IMI MAGAZINE I JUNE 2017 RESTORATION

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a classic, so the sting is numbed remain key issues. 40% of businesses somewhat and oblivious owners currently struggle to find staff with the take such irritations on the chin. necessary skills for working on historic Regular users, however, notice such vehicles. The flip side of this is that inferiority and experience teaches them motivated young enthusiasts wanting to pay a few pounds more not to be a lucrative career in an industry stranded miles from home due to poorly dependent on learnt and developed specified materials and shoddy skills can avoid the whole debacle manufacturing. And so the pendulum that is student debt and become high swings back the other way as top earners relatively quickly. Assuming, end restorations demand quality of course, they can find a placement off-the-shelf components. offering such a bridge to their future. The Federation of British Historic EXPANDING SUPPLY Vehicle Clubs (FBHVC) has fought this Midlands-based specialist David corner in recent years and continues Manners Group (DMG) is one of to highlight the need for industry-led several key parts suppliers in the UK. training, particularly in relation to As Sales Manager Simon Oughtibridge the historic sector’s needs, via its explains, knowing what the sector apprenticeship scheme. needs has been key to DMG’s success. The UK’s classic restoration sector “The classic car market has changed is currently in rude health. I and fellow significantly in my 35 years at DMG. restorers now have work booked in In the early days the only parts we for months on end, much through supplied were for Daimler Darts. Now word-of-mouth recommendations. A lot we cater for at least 50 different of this work is from genuine enthusiasts Jaguar models and supply parts for wanting to invest money and lifestyle in MG, Triumph, , Morris Minor and a pursuit they can touch, feel and derive MX5 cars, too. We realised a long time huge satisfaction from. This essential ago that most people don’t want fact is what makes the industry cheap, inferior parts and would much cohesive. At the blank cheque end, if rather pay that little bit extra for the major restorers cough due to market reassurance of a quality, genuine part. forces, other restorers will catch the Therefore we have a system of offering DIGITAL CHANGE same cold. The big money paid for OE parts, where available, and then One thing that wasn’t a factor in the “My advice is expensive restorations always runs the what we call a # part which comes market twenty years ago was the don’t sell your risk of drying up if world markets take direct from the manufacturer. We also internet and the willingness to buy reputation on a pounding and values fall off a cliff. stock parts from aftermarket blind, not over the counter. Equally, cheap parts in A flood of liquidated top end, restored cars onto the market is a worst case suppliers. This enables us to set up the benefits and ruthlessness of social anonymous price banding to cater for different media cannot be ignored. A company scenario, but one worth being wary of. budgets and levels of restoration work. name may be up in lights outside the white boxes” If the same scenario happened at “Our customers have certainly building, while its reputation is being grassroots level the effects are likely to helped improve the quality of the hauled through the mud backwards be less dramatic, but adapting quickly parts we source as poorly finished online, with the company blissfully to market forces would be equally or ill-fitting parts aren’t tolerated unaware. If you sell or source parts essential. Successful restoration is a the way they used to be and so we’ve for customers your reputation is as simple equation easily undermined by had to work hard to ensure we find vulnerable as those cheap rotor arms. the weakest link in these key factors – the best suppliers, or produce the My advice is don’t sell your reputation skills, reputation, quality, suppliers. parts ourselves. on cheap parts in anonymous white They coexist and depend on each other “We do sell copy products, but boxes – insist on knowing the more than ever and, more importantly, only if they are of acceptable quality manufacturer as much as understanding the survival of the vehicles keeping the following rigorous testing before we your customer. Online myths persist industry afloat relies upon it. stock them. I remember parts made and get repeated and embellished by in the Far East having a terrible keyboard warriors with an axe to grind, reputation in the past, but that was when a phone call could readily solve a long time ago. These days that is the problem. For information on the IMI’s Level 2 not always the case. At DMG we are I have no crystal ball to predict the and 3 diplomas in classic vehicle passionate about buying British, shape of the UK’s restoration sector in restoration principles please visit and try to source products within the a post-Brexit world. Before and beyond theimi.org.uk/awarding UK before looking further afield.” that, skills retention and training

42 I IMI MAGAZINE I JUNE 2017 BODYSHOP

Give me Morelli Interviewing Andrew Moring, Marketing Director at paint distributor and IMI Skill Auto partner, The Morelli Group

TELL US ABOUT THE MORELLI GROUP? in the present. Our board of directors WHY DID YOU GET INVOLVED Morelli & Co. was established in May 1957 now contains non-family members which WITH IMI SKILL AUTO? by my grandfather Slim Moring who was is important as we are outsourcing skills Our involvement with Skill Auto began in a disgruntled bodyshop owner fed up with rather than just adapting a family member 2010 and then we supported Worldskills poor service from his paint distributor. to fit a role – which may have happened London in 2011. Our desire was to give His general feeling was ‘I can do this better’ in the past. something back to an industry that we had and after securing sole trading rights for Our customer-base has evolved too. We been involved with for over 50 years and Valentine paints in North London and Essex now have a lot of larger bodyshops while that support carries on today into our he backed himself with the slogan ‘your stock retaining the many one- or two-man shops 60th year. It has been very exciting to be is at the end of your telephone’. 60 years later which we supply directly or through our sub involved with students and to see their this still rings true, even if the method of stockists. Many of the midsize bodyshops enthusiasm for the skills events and some ordering may vary. have disappeared, leaving an overcapacity of these students are working for our of work in many areas. We work closely customers today! HOW HAS THE INDUSTRY CHANGED with a lot of our group customers and OVER THE YEARS YOU HAVE BEEN manufacturer-approved bodyshops to WHAT IS THE COMPANY LOOKING IN OPERATION? improve productivity and to control FORWARD TO IN THE COMING MONTHS? Morelli as a company has seen many changes costs through our Quantum programme. Our training centre continues to be on the paint side – from cellulose to two pack This continues to evolve and we can see a big focus and remains unique as a to the water-based products we have today. some exciting developments for this distributor-owned facility. We have Consumables have also changed programme in the future. developed our own detailing course with considerably. From wet or dry hand sanding IMI certification; it is the only certificated to dry sanding with sanders, we continue to WHAT ARE YOUR THOUGHTS ON THE course that we know of its type and attracts adapt and evolve our stockholding to supply NEW APPRENTICESHIP FRAMEWORK? customers from the UK and overseas. the products that our customers want to use As a company we are an IMI Approved It is an exciting time to be involved in for the best and most efficient finished job. Centre and are committed to skills and bodyshop supply and we have never seen apprenticeships. We believe there is our customers more driven to get involved WHAT ARE THE MOST PRESSING no one-size-fits-all option and are backing with apprenticeships for the future of CHALLENGES YOU FACE? apprenticeship programmes that their businesses. Every year brings new challenges for will help to bring talent into our industry. Morelli. We have progressed to a third We work with individual customers to generation family owned company and produce training programmes to support For an update on this year’s IMI Skill we continue to look at the future of the their needs and will continue to work with Auto heats please turn to page 51 business whilst making sure we remain the IMI and support its programmes.

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MOT TRAINING CLARITY THE IMI’S MOT SPECIALIST DAVE EASTON SEEKS TO CLARIFY SOME INDUSTRY CONFUSION ON THE NEW MOT TRAINING REGIME

t’s been seven months since DVSA required by DVSA. This includes the and qualifications; and to promote introduced the new MOT training regime MOT computer testing service system continuous professional development I and replaced its own suite of courses with part of the demo test, and also includes amongst trainers, assessors and verifiers. new purpose-built qualifications. All have assessment of all units in the qualification. As for those wanting to test, having been developed by DVSA in conjunction with • Knowledge elements assessed through the qualifications is only one part of the the MOT sector and the IMI, and are built an externally set and externally marked equation. The qualifications were never around a set of new occupational standards examination designed to be a substitute for experience. and outcome-based measures of • Additional oral questioning, including The entry requirements to become a tester performance. They were designed to give assessment of component wear and ethics, remain the same (although there is no learners the underpinning knowledge and will also be carried out by the assessor as longer a need to be nominated by a VTS skills they need to competently carry out part of the practical observation. to access the training). Candidates should MOT tests on vehicles. still ensure that they are properly prepared Whilst DVSA has encouraged providers TRAINING REQUIREMENTS for the DVSA demonstration test. DVSA to be creative and innovative in the way Those administering the training must recommends that they prepare by: the qualification is delivered, don’t be have proven competence in the delivery of • Reading the MOT testing manuals fooled into thinking that it has sacrificed motor vehicle skills and have evidence that and special notices standards. There are several very specific they are either current or lapsed MOT • Practising the inspection routine requirements for the MOT tester testers or have gained the award in MOT • Making sure all the necessary documents qualification that DVSA has set out and testing and have successfully passed a DVSA – for example, driving licences – are ready both the IMI and other providers must VT8 assessment. Alternatively, if they have for the DVSA examiner adhere to these. They include: previously delivered MOT tester courses on • Guided learning requirement of no less behalf of DVSA. Then they will be accepted. It really is a case of practice makes perfect! than 24 hours including a minimum of You can rest assured that DVSA and the eight hours of practical training IMI are committed to working in partnership • Direct observation of an entire simulated, to ensure that there is a robust assessment The full list of requirements can be uninterrupted MOT test (with an system that will instil industry confidence found at: gov.uk/become-an-mot- assistant) carried out in the training in the MOT qualifications; to maximise the tester/qualifications environment to the current standard quality assurance arrangements for the units

WWW.THEIMI.ORG.UK I 45 AIR ISSUES VEHICLE COMPONENT AND SYSTEM MANUFACTURER DENSO LOOKS AT WHAT CAN GO WRONG WITH A/C SYSTEMS – AND HOW TO PREVENT IT

ir conditioning systems the system to the engine – which, cylinder and the piston. Any temperature of the exhaust can temper the worst that when failing, is usually preceded change in the oil viscosity can system both before and A commuting and holiday by high shrills from beneath the result in more frictional after the compressor traffic has to throw at us – bonnet. However, this is usually resistance, leading to an increase installation meaning that any drop in only an issue on older vehicles. in compressor temperature and • Check the temperature performance can heavily impact subsequent seizure. of the cables from the on the vehicle occupants’ AN OILY CULPRIT Another oil management issue compressor and the enjoyment of the journey. In fact, the biggest contributors is ensuring that the air condenser. High pressure Reassuringly, they actually enjoy to failure across all types of conditioning system has been should be hot and dry an extremely low warranty ratio automotive air conditioning all fully flushed after servicing or • Check the cleanliness of the and, in 99% of failures that do relate to the system lubrication. replacement of the compressor. condenser and radiator fan. occur, the fault actually lies The use of incorrect oils, such Because the oil is carried with The appearance of moisture within the operation and as universal oils or oil mixtures, the refrigerant it is not possible or frost on the high pressure servicing of the system rather inevitably leads to A/C to drain it and this means that side could mean a blockage than components themselves. compressor damage. This is the entire system needs to be in the flow of refrigerant Many workshops encourage because the universal oils often flushed with refrigerant after • Check the temperature customers to regularly service preferred by garages are mineral major work has been carried out. difference before and after and top up the refrigerant levels PAO-oils with a different viscosity Not flushing the A/C system will the dryer. A difference of in their air conditioning systems. than synthetic PAG-oils. The lead to a possible liquid lock of the more than 3°C indicates too This is good advice, although as a difference between these two new compressor which will result much moisture sealed system there should be no types of oil means that they do in compressor malfunction. • Check the refrigerant flow. significant drop in the level of not mix, leading to poor Ice on any element of the air refrigerant present. When lubrication, damaged seals and SAFETY CHECKS conditioning system is due leakage does occur it is often due increased wear. As well as checking that the A/C to a blockage to consumable items such as If the oil is diluted, the system is properly filled with • Check the tension and condition gaskets or O-rings reaching the lubricant base layer decreases. the correct amount and type of of the compressor belt end of their working lives. This results in the piston rubbing refrigerant and oil, garages and • Check for any unusual Another component for against the cylinder bearing workshops must make several noises from the compressor, replacement at the end of its surface. If the oil is too thick it is other regular checks: expansion valve, fans, blowers working life is the belt connecting unable to ‘squeeze’ between the • Check the pressure and and air-conditioning ducts.

46 I IMI MAGAZINE I JUNE 2017 IN ASSOCIATION WITH

CLEARING THE CLOG THERMAL MANAGEMENT MANUFACTURER NISSENS AUTOMOTIVE LOOKS AT WHAT TO DO WHEN YOU HAVE A CASE OF CLOGGED CONDENSERS Black, carbonized oil will quickly clog the condenser’s inner tubes

he condenser is placed at the front of the car seized, metal chips can break off and cause and is typically attached to other heat clogging in the system. Furthermore, Visible soiling at the T exchangers in the engine compartment. The carbonized oil particles, developed due to the condenser inlet condenser is crucial for AC system operation and compressor overheating, can cause clogging ensures that the refrigerant changes from gas to in the system and must be flushed. liquid form. This is achieved through the condensation process, where the refrigerant heat Wrong use of additives – Incorrect additives, is extracted and exchanged with the ambient air. or improper application of additives, can cause When impurities develop in the system the system contamination. This is often caused by thin channels of the condenser will quickly crystalized leak-stop agents and/or Teflon that clog. This can restrict the refrigerant flow, has peeled off inner parts of the compressor. eventually reducing the unit’s ability to Teflon peeling off can be caused by aggressive exchange heat. In most cases this will and not properly removed cleaning agents. eventually cause overpressure in the system – which is extremely harmful for the compressor Wrong lubricant – A lubricant with a too high Oil drained from a seized and places condensers with micro tube viscosity can easily clog the condenser – compressor. The visible technology especially at risk. While micro especially condensers built with micro tube contaminations are spread in tube technology offers outstanding cooling technology due to the confined flow in the fins. the entire system, including performance, the thin fins are more exposed the condenser to stoppages. As the flow is compressed to Receiver dryer in bad shape – Poor condition a more confined area, fewer impurities are of the receiver dryer means that it will become needed for clogging to occur. less efficient in filtering particles, increasing the risk of impurities flowing through the system. COMMON CAUSES FOR CLOGGING This will eventually lead to clogging of the Here are some likely reasons for the condenser condenser and other components. becoming clogged: MAINTAINING GOOD CONDENSER CONDITION No/Poor flushing – A thorough system flush To keep the condenser in good condition the must always be performed prior to a new receiver dryer must always be replaced during Worn out receiver dryer (or component installation – especially after a a compressor replacement. It must also be desiccant bag cartridge) often results in clogging of compressor seizure. When a compressor has replaced if the circuit has been exposed to the condenser’s inner tube ambient air or the system has run empty due to leakages. If none of these events occur it is “A thorough system recommended to replace the receiver dryer flush must always be every second year. In addition, it is always required to perform a system flush after a performed prior to a new compressor breakdown. Make sure that component installation no flushing agent residues remain in the system after flushing and always use the – especially after a recommended oil and additives. When in compressor seizure” doubt, it is best just to replace the condenser.

WWW.THEIMI.ORG.UK I 47 48 I IMI MAGAZINE I JUNE 2017 IN ASSOCIATION WITH

TROUBLESHOOTER LEADING TECHNICAL INFORMATION SUPPLIER AUTODATA SHARES FIXES TO THREE COMMON PROBLEMS FOUND IN MODERN MOTOR VEHICLES

PEUGEOT 207 KNOCKING NOISE FROM STEERING MECHHANISMM WHEN MANNOEUVRRING OR PARKING 1 Question: A customer of ours with a 2007 Peugeot 207 is complaining of a knocking noise from the steering mechanism when manoeuvring or parking. We have heard the knocking noise and believe it may be coming from the power steering motor or the steering rack. Our customer would be reluctant to replace both components as they are expensive parts. Do you know if there are cheaper repairs available for these components? 2 Answer: Yess, frrom the knocking noiise you haave descrribed we are aware of oone fix for the Peugeot 207 up to 044/022/08 (RPO 11410). ThThe knockiing noise is due to fricction betwween the steering rack and the electtric power steering (EPSS) motor hoousing. Clean the aareaa around the electricc power steeering (EEPS) motor hoousing, thhen loosen the EPS motor mounttingg bolt (1). Turn the stteering to full RH lock. Apply aeerosol greease to mating surfaces of EPPS mmotor housing and thhe steerinng rack foor 3-5 seconds (2). Tigghten the EPS motor mounting bollt too 23 Nm (1). Turn the steering from loock to lock seveeral timees. Carry out manoeuvres in thhe vehicle to confirm that the knocking noise has beeen resolvved.

CITROEN C6 1 INCREASEDD ENNGINE IDLE SPEEDD Question: We are having trouble diagnosing a fault on a 2007 Citroen C6 2,7 HDI with an increased engine idle speed. The vehicle came in with the engine malfunction indicator lamp (MIL) illuminated and several engine management trouble codes stored. We have visually checked the intake system for air leaks but have not found the cause of the fault. Have you come across this increased engine idle speed fault before? Answer: Yess, we are aware of an inccreased enggine idle speed fault annd it affects Citroen C6 models with 22,7 HHDI engine. The incrreased enggine idle speed fault, coomplete with trouble code P0069, is due to the manifold absolutte pressure (MAP) sensor being faulty or contaminated with dirt. Fitt a neew MAP sensor (1). Erase trouuble codes and check enngine idlee speed to ensure the fault has beenn fixed.

BMW Z4 ENGINE OIL LEEAK FROM FRONT OF ENGINE Question: We have a 2011 BMW Z4 2,0 petrol in the workshop with an engine oil leak from the front part of the cylinder head cover. We replaced the cylinder head cover gasket at the last service but there seems to be engine oil in a similar area as before. Are you aware of anything that could be causing this engine oil leak? Answer: Wee aree aware of an engine oil leak in the areaa you describe which affffects several models in the BMW rangge with N20 engine code built 001/03/11-01/10/11. The oil leaak is due to an unsatisfactorry deesign of the timing chhain tensiooner sealling washer. YYou may aalso experience excessive timing chain noise. Check thhe valve timing andd adjust if neccessary. RRemove the timing chain tensionner aand inspect sealing wwasher. Fit modified timing chainn tensioneer sealing washer. Refit het timiing cchain tensioner and ttighten to the correect torque setting. Thorroughly clean the affected area, theen carry out a road teest to confifirm the fault has been rectifiedd.

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LATEST NEWS I EVENTS I CPD COURSE LISTINGS AROUND THE IMI

Bringing the heat Automotive Refinishing Location: 3M Accident Repair Training Centre, Atherstone Date: 7-9 June Task areas: preparation of panels; application of paint products; IMI SKILL AUTO repair of paint damage on different substrates; health & safety; colour matching and mixing THE HEATS ARE ON Automotive Body Repair Location: Babcock Technical The automotive technology heats took place at the Volkswagen Group National Learning Academy, Milton Keynes Centre last month with 29 young people having not only their technical skills and Date: 21-23 June knowledge tested, but also their time management skills and ability to work under Task areas: repair damaged panels; pressure – all attributes necessary to be successful in the automotive sector. replace panels (bolted and welded); welding techniques This month sees a return to long standing online test stages of the competition will supporter of Skill Auto, 3M, for the refinishing be expected to demonstrate high levels of Heavy Vehicle Engineering heats at Atherstone (7-9 June). Some revisions competence in different welding techniques, Location: Volvo Trucks to the tasks this year are designed to really panel repair and panel replacement. Training Academy, test competitor knowledge of paint product The last of the heats is at Volvo Trucks Stephenson College, Coalville selection and application, as well as an Technical Academy in Stephenson College, Date: 5-7 July understanding some of the health and safety Coalville (5-7 July). This new competition Task areas: vehicle mandatory requirements within the refinishing sector. was launched last year and has seen a 100% inspections; diagnostics; engine Babcock Technical Academy in Milton increase in entries for the 2017 cycle from mechanical systems; transmissions; Keynes hosts the body repair heats across all four nations of the country and electrical circuits; braking systems (21-23 June), where those selected from the promises to be an exciting addition.

New Fellows Obituaries (April 2017 Awards) We wish to express our deepest sympathy to the P M GERMAINE family and friends of: AGM NOTICE Technical Team Leader, City of Westminster College, THOMAS CATHRAE The 96th Annual General Meeting London MIMI, Co Durham, aged 51 of the Institute of the Motor D OLIVER MARK PHILLIPS Industry is to take place at 14.00 Manager/Proprietor, FIMI, Worcester, aged 56 on Wednesday 1 November at D Oliver Auto Electrics, Co Durham DOUGLAS SHARP Fanshaws, Brickenddon, FIMI, Hampshire, aged 93 Hertford, SGG13 8PQ G TUCKER Manager, Allianz Worldwide JOHN WOOD Partners, London MIMI, Bristol, aged 68

WWW.THEIMI.ORG.UK I 51 AROUND THE IMI MEMBER EVENTS

MA EVENTS Birmingham MA Sussex MA Tue 13/06/2017, 19:45 for 20:00 start Tue 27/06/2017, 19:00 for 19:45 start AREA ‘IT’S THE MIDDLE PEDAL THAT WINS RACES’ EMERGING POWERTRAIN Speaker: Tim Phillips MIMI, Friction Material TECHNOLOGIES CONTACTS Technical Specialist, Circuit Supplies (UK) Ltd. Speaker: Mike Cranfield, Senior Design All area contacts Venue: South & City College Birmingham, Engineer, Powertrain Technology Ltd. Bordesley Green Campus, Bordesley Green, Venue: Plumpton College, can be found in your Birmingham, B9 5NA Ditchling Road, Ditchling, membership pack RSVP to Paul Jarvis East Sussex, BN7 3AE and online at [email protected] RSVP to Douglas Wragg 07905 276 244 [email protected] theimi.org.uk/ 01444 811 349 MAcontacts South Wales MA Thu 15/06/2017, 18:45 start Mid-Hampshire MA Please direct Wed 28/06/2017, 18:30 for 19:00 start FUCHS LUBRICANTS UK PLC any queries to Speakers: Rob East and Andy Brown, AN INSIGHT INTO LUCAS UK LIMITED Fuchs Lubricants UK Speaker: Alan Povey, Tech Assist Membership Venue: Cardiff and Vale College (CAVC), Main Manager, Lucas UK Community Groups Building 4th Floor, New City Centre Campus, Venue: Highbury College, Room: 3.019, Support Officer, Dumballs Road, Cardiff, CF10 5BF Cosham, Portsmouth, PO6 2SA RSVP to Georgia Foley RSVP to Martin Porter Georgia Foley, at [email protected] [email protected] [email protected] 01992 511 521 02392 328 611

52 I IMI MAGAZINE I JUNE 2017 AROUND THE IMI UPCOMING COURSES

The IMI is able to bring you a range of approved continuing professional development (CPD) courses, delivered by industry specialists, with some exclusive offers for IMI members

HYBRID AND ELECTRIC VEHICLE: COACHING SKILLS ROUTINE MAINTENANCE This course uses examples to HOW TO An essential introduction to safety help the learner understand what critical procedures for Level 2 motivates their team and looks at BOOK technicians. how the way in which they give To purchase a course Date: Please call for dates feedback can affect motivation visit: theimi.org.uk/ CPD Credit Value: 30 and performance. courses-and-events M £378 NM £405 CPD Credit Value: 5 email [email protected] M £70 NM £85 or call +44 (0) 1992 519 025 ESSENTIAL TEST PROCEDURES LEADERSHIP SKILLS M = Discounted price Provides a working knowledge of Leadership is a key skill that for IMI members standard electrical test procedures every manager needs to master. NM = Full price for and how they are applied correctly. This course will help you develop non-members Date: 20-21 Jun 2017 your leadership skills and use them All prices subject to VAT. CPD Credit Value: 17 to provide direction for your team. M £333 NM £370 CPD Credit Value: 6 E-LEARNING:

M £70 NM £85 QUALITY ASSURED PROGRAMME (QAP): AUTOMOTIVE ELECTRONICS ADVANCED: ECU CONTROL THT INKING STRATEGICALLY AND MICROELECTRONICS Learners will discover some Technicians actively engaged in of the key strategic theories, advanced diagnostic procedures and learn how organisations develop electronic repair work on motor vehicles and implement strategy, and try will benefit from attending this course. out the key tools used in strategy Datata e:e: 111-1-13 Jul 20177 analysis and formulation. CPDPDP Creedit Valuue:e 24 CCPDPPD CredittV Value:e 6 M £49999..50 NM £5555 M £700 NM £85

Dates are subject to change and minimum numbers are required on certain courses

WWW.THEIMI.ORG.UK I 53 RECRUITMENT

54 I IMI MAGAZINE I JUNE 2017 RECRUITMENT

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