Executing a plan

 

When the collision center opened, Fogle put his staff to work right away. "The guys had work on the day of our Open House, May 10. And we haven't stopped since. We turned a profit in our second month." That was a plan, not just a lucky break, as Fogle had begun planning his business long before he made any financial commitments. He started by asking his many contacts in the insurance claims community exactly where they needed new shops in Houston. Assured that if he built the business "they would come," he sought help from a real estate developer friend in securing financing and getting his building under way. He planned for a 30,000 sq ft facility, large enough to include a completely "drive-through" shop and a 3,000 sq ft office/reception area, including an office for Enterprise Car Rental. The shop is well lit by large skylights and is positioned to take advantage of the prevailing breeze from the Gulf which blows in through the numerous overhead doors.

 

But what equipment to put in the shop? "The biggest challenge in the business is to get qualified technicians," said Fogle. "These are intelligent guys today, not the Bondo-spreaders of old. They won't work for you without good equipment. They need it to be efficient, and 'efficient' is how you make money in this business."

 

Garmat spray booths

With efficiency in mind, the paint shop got two Garmat down-drafts and one side draft booth, purchased from Bob Schwartz at Astro Services in Houston. "They're number one for a reason, and it's not because they're the cheapest," remarked Fogle. The mixing room was also installed by Garmat.

PPG - no compromise

The paint sprayed is PPG. "I've been affiliated with PPG for 12-15 years. There's no paint product in this shop that's not PPG." Fogle noted that it's the work done in the spray booth that his customers see first, and "I'm not going to compromise on the paint."

Chisum Signature® frame racks

His choice in frame equipment was a little less predictable. "I've always used Chief, and had every intention of going with Chief. But I saw the ads with Lavel Chisum, the guy who designed the first Chief. When I looked at the Chisum racks, I thought they had certain refinements that I liked, and when combined with the lower price, I decided to go with them. They've turned out to be awesome machines."

Staffing for today, and tomorrow

Fogle was fortunate in being able to staff his new shop with many men who had worked for him before. "I have people with ten or more years of experience. In fact, we became an I-CAR Gold Class shop only six weeks after opening." Still, he sees staffing the yet-to-be-built shops as a major challenge. "Like I said, you have to give them the tools to make money, for themselves and the business. When you do that, word gets around."

Each body tech has six stalls, "so he can keep moving," explained Fogle. The body techs don't, however, have helpers. "We're looking at a helper or apprentice program down the road." Techs are paid on commission, and the most efficient body man can earn more than $80,000 annually. "The commission system makes them better managers of their own time."

In the paint shop, the lead painter, who will be able to earn over $100,000, has two helpers. The goal is for the shop to have two paint teams, one for each downdraft booth. Reaching that goal depends, to a large extent, on the people in the front office bringing in the business. There are presently two estimators and an office staff managed by Lisa Korenek. Fogle's wife, Mary Kay, handles the payroll and payables duties. "She has some banking experience that has proven very useful here," said Fogle.

When the front office staff is bringing them in and the shop, managed by Steve Fuller, is getting them out, Fogle expects sales to grow to $750,000 a month. Reaching that volume will require pleasing not only customers but, in the case of this DRP shop, keeping the insurance partners satisfied.

Highly rated by Progressive

Despite only being open since May, Fogle says his shop was number one in Texas for Progressive Insurance last month and has been first in Houston for the past three months, based on that insurer's grading system. "That's based on shops doing over 40 units," noted Fogle, who attributes the success to his strict quality control procedures and a constant eye on cycle time. "They want it done fast, and done right. We've had only two rechecks (come-backs) since May."

Keystone comes through

 

Progressive is a big user of non-OEM parts, but Fogle says this is not the problem it once was. "The last two years, maybe three, we've seen a dramatic improvement in those (non-OEM) parts. Keystone, in particular, has come a long way in increasing its quality. You get the same service as you do from dealers, returns are never a problem... we do a lot of business with Keystone."

 

Fogle pointed out, however, that all aftermarket parts are not of the same quality. "I define quality in sheet metal one way - 'no extra effort.' If we can get it on the vehicle and paint it with no extra effort versus an OEM part, then I have no problem with it. If we can't, then I don't want it."

Never on Saturday

If you want to talk to Fogle, don't call him on Saturday - the shop's closed. There it is again, that five day work week that attracted him to collision repair in the first place. "If I can't get it done in five days, I won't get it done in six. Look, I've got two young sons (Billy 8 and Blake 3 years old) that need me, too. You need priorities." Spoken like a manager.