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1. More information: www.emm.com
Nitrile
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Safety
Goggles
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BodyShop
Australian
NEWS.net
The Industry Leader
SUMMERNATS 27, 2014
EMM CONFERENCE, SYDNEY
FEATURE: POWER AND HAND TOOLS
February 2014 – VOL XV NO 139
SCAN ME
BodyShop
News
online
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3. Articles
08 MANHEIM AUST. APPOINTED BY SUNCORP
Suncorp’s contract for the disposal of damaged vehicles is one of the largest of its type in Australia – and Manheim Australia got it.
We find out more.
12 MOTORING IN MOTION, 2014
As part of the Top Gear Festival, Sydney, Motoring In Motion will offer manufacturers the chance to showcase their brands and
products in a dynamic fashion. And test drives, too! Be there.
14 MTA ENDORSES STRUCTURAL CHANGE
Members of the MTA have endorsed a significant structural change that may well polarise option amongst repair members and
other industry bodies.
20 SUMMERNATS 27
The rev-head extravaganza that’s now an institution in Australian culture, the quality of the paint work on some of the top street
machines and show cars there had to be checked out. Yum!
26 EMM CONFERENCE, SYDNEY
They don’t happen every year, so when they do it’s big news. Dutch company EMM sent its top people for this year’s national
Australian Conference. We checked it out.
28 FEATURE: POWER AND HAND TOOLS
BodyShop News editor Fabian Cotter chatted to some of the top people making power and hand tools for our industry and the
one glaring fact was that quality counts. We take a squiz at a few.
Regulars
5 His Turn
6 My Turn
8 News and Views
14 International News
17 Diary
18 New Car Watch
34 Business
36 Products in Review
38 Directory and Classifieds
Columns
13 DICK CROSS: The Science Of Performance
16 KRISTEN FELDER: Three Things You Need To Know For 2014
COVER
EMM International BV
P.O. Box 531
Pennants Hills NSW 1715
T: +61 (0) 401 918 501
Web: www.emm.com More information: www.emm.com
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BodyShop
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NEWS.net
The Industry Leader
SUMMERNATS 27, 2014
EMM CONFERENCE, SYDNEY
FEATURE: POWER AND HAND TOOLS
February 2014 – VOL XV NO 139
SCAN ME
BodyShop
News
online
Contents February 2014 – Vol XV No 139
218 27
BodyShop
Australian
NEWS.net
The Industry Leader
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BodyShopNews.net | February 2014 3
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5. N
ews takes many forms and
bombards us every day about all
sorts of stuff in so many ways –
covering the good, the bad and really ugly.
Much of it we’ll pay attention to if we must
– like a potential life-destroying asteroid
heading Earth’s way might be worth
knowing about – while other stuff about
which royal family’s cousin’s aunt’s
neighbour’s cat just had kittens we
probably could do without. Yet between
that is some really interesting stuff –
techie stuff that will affect people’s lives
in general and in turn industries like the
collision-repair world.
You hear things from one source and
think, ‘no problem, thanks for that’. From
another? ‘Yeah, have heard something
about it, I’m on it.’ By the time of the third
and fourth sources you start to appreciate
the emergence of a ‘trend’ – and driverless
cars is going to be one of them.
Even long before the time Germany’s
Gottlieb Daimler, Wilhelm Maybach,
Nikolaus Otto and coincidentally Karl Benz
essentially fore-fathered the concept of
the internal combustion engine in the
late 1800s, mankind was getting around
on horseback and all the while saying
weird things like ‘Whoa!’, ‘Giddy up!’ and
steering their trusted steeds left, right and
centre by pulling on the reins – though
Looney Tunes cartoon character Yosemite
Sam took things a little to the extreme
hitting his high-speed camel over the head
with the butt of a shotgun to get him to
stop in the infamous ‘Camel, when I say
whoa I mean whoa!’ scene, it must be
said. The point is humans have always had
some sort of hands-on ‘control’ over their
chosen mode of transport.
This, if news reports from the technical
geeky types are to be believed, is inevitably
about to change as semi-driverless first
and then, ultimately, fully driverless
vehicles hit our roads over the next 10-30
years. And few would doubt it given the
rapid advancements in all sorts of wireless
and telecommunications technology we
see these days. Heck, we can control
satellites hurtling at near light-speed
millions of miles away in outer space
from some young kid’s pizza box and
beer bottle-littered room probably, so a
few million ‘computer and GPS controlled’
vehicles on the world’s roads transporting
people from A to their B while they kick
back and relax inside should be a cinch.
Indeed, it would seem the visions of
future road transport as seen in Hollywood
movies like Tom Cruise’s Minority Report
are very much like a Pantene shampoo TV
ad – in that ‘it won’t happen overnight, but
it will happen’.
The up-shot of driverless cars for our
industry? Well, you don’t have to be
Scooby-Doo to figure out that the objective
is to eliminate crashes altogether to
reduce passenger injuries and save lives.
A noble cause, but by-product of that is
obviously no crashes and accidents.
That, ladies and gents, is pretty scary
stuff for those of us who earn our living
from that very activity, to whatever
capacity a ‘collision’ involves. Or is it?
Is it the end or just the start of a new
way in which the collision-repair industry
will exist? Will body shops merely just
adjust and evolve with the change? And
potentially profitably so...
I’m not convinced it’s all doom and
gloom yet and I’m even more convinced
the time frames these ‘experts’ are touting
as the moment driverless vehicles rule the
world is even further away than they think.
How so? Well, I’m no guru mind you –
though I don’t mind the odd butter chicken
curry – but a gut instinct tells me as so
many other innovations and technologies
have emerged, only to spend an additional
X amount of years for the bugs to be
ironed out or even newer technologies to
ironically cancel them out, no time frame
can be set in stone. It could take anywhere
from about another 30 years on top of
what they predict. See, theory is one
thing, but ‘practice’ is another.
There’ll still be human error in the roll-
out of this new form of vehicle ‘control’;
passengers will still need to be ‘protected’
by the vehicles; and those of us with our
custom and modified-car enthusiasm
aren’t going to give up valuable project
cars in a hurry, with decent paint jobs
being key to it all.
And with such technology being inter-
connected computer and web based, no
hacker or hacking organisation worth their
salt isn’t going to have a crack at bringing
thousands of self-controlled cars and
trucks and buses under their control. Be it
for fun or something even more sinister –
there’s Sci-Fi movie plot in all this I’m sure.
Speaking of which...Before I leave you
with the thought that 1980s hit movie Back
To The Future had a time machine headed
for the year 2015, where skateboards are
replaced by ‘hover boards’ etc, it’s 2014
now and much of that film’s fancy stuff
is nowhere near being commonplace in
today’s reality.
So driverless cars? Hmm remember
that people have a passion for cars and
the thrill of driving them. Be it a teen’s first
independent drive, an adult needing one
for a work commute, or long wind-in-the-
what’s-left-of-the-hair retirement holiday
driving – the link between mankind and
the physical control of their car is not to
be underestimated.
Yep, there’s much life left in the collision-
repair industry yet.
Fabian Cotter
Editor
If No News Is Good News, Are Reports
Of Future Driverless Cars All Bad For Smash
Repairs? Perhaps Not.
His Turn BY FABIAN COTTER
BodyShopNews.net | February 2014 5
6. My Turn BY MICHEL A MALIK
The Right To Repair
WWW.BODYSHOPNEWS.NET
Publisher:
Michel A. Malik
Email: michel@bodyshopnews.net
Tel: (02) 9826 7777
Editor:
Fabian Cotter
Email: editor@bodyshopnews.net
Tel: (02) 9826 7777
Editor-at-large:
Ann McAllister
Email: ann@bodyshopnews.net
Motoring Editor:
Albert Malik
Email: albert@bodyshopnews.net
Tel: (02) 9826 7777
European Correspondent:
Heather Grant
Email: heatherg@bback.com
Accounts Enquiries:
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Art Director:
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Australian BodyShop News is published by
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Mail: P.O. Box 505, Casula Mall,
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I
t seems like the ‘Americans’ got their
act together when it came to the ‘right
to repair’ debate and preserving the
consumer’s choice. Four of the largest
groups across the USA have agreed to
work together and stop bickering against
one another. The Alliance of Automobile
Manufacturers (Alliance), the Association of
Global Automakers (Global), the Automotive
Aftermarket Industry Association (AAIA)
and the Coalition for Automotive Repair
Equality (CARE) last month announced
their collective acceptance of a national
agreement to ensure consumer choice in
post-warranty automotive repair, decisively
ending the long-standing “Right to Repair”
debate within the industry. They did this
to prevent further state and perhaps
federal legislation that would have been
modelled along a law passed in the state
of Massachusetts that would have forced
the parties to do so legally and would
have opened a Pandora’s Box benefiting
only lawyers. Let’s hope manufacturers
and repairers in Australia see the light and
come to some sort of agreement also.
T
he year is well up and running and
the economy seems to be ticking
at a reasonable pace. I recall 12
months ago in ‘My Turn’ the then PM
Julia Gillard had just called an election
that was to have lasted eight months.
Alas, Ms Gillard’s tenure as PM didn’t
go the distance and the rest is history.
Our dollar has dropped from its dizzying
heights of more than one US dollar and
is now trading around the $0.87 mark,
which equates to around 15 per cent fall
in real value thus effecting everything
we purchase and making equipment and
imported goods dearer. The idea is to try
and get that great deal now, while some
importers still have stock purchased when
the dollar was stronger.
F
or those of you who like to travel
and check out new equipment and
tools, Auto Maintenance and Repair
– AMR 2014 – is on in Beijing, China, at
the end of the month and is one of many
other fairs throughout this year, including
the big one, Automechanika in Frankfurt
(September), as well as a revamped
NACE that has moved from its traditional
October/November time to the end of
July/beginning of August and this time will
be held in Detroit (diary is on page 17).
I
n this issue we learn that Manheim
has been appointed by Suncorp as
the sole contractor for the disposal
of damaged vehicles. The whole team at
ABN descended on the nation’s capital
for the annual rev-head’s utopia days and
EMM International brought its big guns
for the National Distributors Conference
at the Sydney Hilton. Editor Fabian Cotter
looks at the variety of power and hand
tools in our monthly feature and Collision
Hub’s Kristen Felder tells us about the
three things we need to know for 2014.
In his second-last editorial Dick Cross
talks about the ‘science of performance’...
And, as usual, there is plenty of news and
products for you to read about.
Happy reading,
Michel Malik
Publisher
6 BodyShopNews.net | February 2014
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8. News and Views
Manheim Australia Appointed By SuncorpThe Suncorp Group has confirmed
the appointment of automotive
auctioneering company Manheim as its
sole supplier to dispose of it’s written-
off vehicles.
As Australia’s largest general insurer,
Suncorp’s contract for the disposal of
damaged vehicles is one of the largest of
its type in the country.
The five-year contract will see Manheim
sell Suncorp’s written-off vehicles through
a combination of online sales and physical
auctions across Australia.
Manheim’s CEO, Tim Hudson, was
clearly delighted by the appointment.
The decision by Suncorp to appoint
Manheim as their sole supplier sends
a clear signal to the market about
our credibility and our capability. We
understand the local market and by
listening to Suncorp’s requirements, we
were able to tailor a national solution
that fully caters to their needs. Our highly
innovative approach combined with our
ease to do business with and our ability
to maximise their returns was clearly an
appealing proposition.”
With the transition to the sole supplier
model commencing on January 1, 2014,
Manheim is encouraging buyers to register
their interest for more information about
the sale of Suncorp’s damaged vehicles,
by becoming a member online at www.
manheim.com.au.
Manheim specialises in the sale of
vehicles to trade and private buyers,
selling on behalf of customers such as
insurance companies, leasing and finance
companies, local government and vehicle
manufacturers and dealers.
VF Commodore Collision Repair
Awareness Guide VideoHolden has produced a short video
outlining VF Commodore repair
considerations.
The video titled “VF Commodore
Collision Repair Awareness Guide”
contains all the key points presented by
CEO of Manheim, Tim Hudson.
Holden engineers at the VF Commodore
Collision Repair Forums, which took place
late 2013.
The video features engineering manager
of Body Structure and Accessories Mark
Hickson and Safety Integration manager
Steve Curtis. Both of these engineers
have a history working at Holden and both
played a pivotal role in developing the VF
Commodore.
The video is broken up into three
sections, which include safety, body
structure and aluminium usage. It gives
an overview of collision avoidance
technology, outlines repair considerations
and also features computer-aided
engineering designs of the VF body
structure.
Whilst the information presented in the
video is not intended to replace Holden-
authorised collision repair procedures
or industry training, it is useful as
supplementary material which gives
repairers the basics of what to be aware
of when repairing a VF Commodore.
Should you wish to access repair
procedures please visit: www.acdelcotds.
com
The video can be accessed via the
Holden YouTube page at: http://youtu.
be/z-NJ5SllJZ0
For more information please email
Dominique at holden.repairinfo@gm.com
‘Yellow Pages’ Scam Strikes Again
AUTO PARTS GROUP has again been
targeted by a ‘Yellow Pages’ directory
scam now demanding payment and
threatening legal action for recovery of
monies.
If your business has received a fax claiming
to be from ‘Yellow Page Australia’ and
‘Open Business Directory Ltd’ please be on
alert and do not reply with any information
or contact details, the organisation warns.
Nigel Bishop, stakeholder relations of
Auto Parts Group said: “We have seen these
scams surface regularly and in particular
this one claiming to be affiliated with the
Sensis brand. Now it is apparent that they
are on the hunt again for unsuspecting
business owners so we urge everyone in
the auto industry to be vigilant and to report
any scam emails, faxes or phone calls to the
relevant authorities.”
SCAMwatch urges small businesses to
be alert and follow these three key rules:
If you receive a ‘Yellow Pages’ fax or email
and want to confirm if it is authentic, call
Sensis on 13 23 78.
If you receive a threatening call, email
or fax demanding payment, ignore it and
report it.
Spread the word – make sure your staff
are alert to how this scam works and how
to protect your business.
Don’t let scammers slip under your
business’s radar – stop and think twice
before you respond to any unexpected
offers, tax invoices or demands for payment.
For more information on how these scams
work please visit: http://bit.ly/1aCdG7f
8 BodyShopNews.net | February 2014
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10. Motoring In Motion, 2014
Motoring in Motion – to be held at the
Top Gear Festival Sydney in March 2014 –
will offer manufacturers the opportunity
to showcase their brands and products
in a dynamic fashion and offer visitors
of the show the chance to test drive the
latest vehicles and participate in exciting
activations across the Festival site.
Jaguar, Holden, Toyota, Subaru and Volvo
have already signed up to be involved in
Motoring in Motion at the Festival which
takes place at Sydney Motorsport Park on
8-9 March 2014.
Event director Chris Secker is excited
by the prospect of creating an event
that allows vehicle manufacturers the
opportunity to show their wares in a more
interactive format.
“We have spent time meeting with
manufacturers to try and understand the
best way to offer a new and outstanding
experiential opportunity at Top Gear
Festival Sydney.
“The creation of Motoring in Motion is
significant as it will offer manufacturers
greater integration into the event than
previously. There are so many different
opportunities now at the Festival for
vehicle manufacturers, from on-track
content inclusions to car launches and test
drives.”
Jaguar is one of the brands taking
advantage of live content opportunities,
creating a special procession featuring a
ballad song while being whisked through
the gears in a Toyota 86 on the skidpan.
Brad Cramb, divisional manager
marketing for Toyota said, “Motoring
in Motion offers us the opportunity to
showcase our range of cars in a dynamic
fashion. We’re particularly excited to have
our 86 sports cars available to provide
passenger hot laps on the custom made 86
race track. This will add a new dimension
to the term ‘Waku-Doki’, or in other words,
heart-stopping excitement.”
The event will also host the launch of
Subaru’s new WRX with knuckle-whitening
rides available for visitors on the Figure
of Eight Circuit. Andrew Caie, general
manager marketing for Subaru, is looking
forward to launching the new WRX as part
of the inaugural Motoring in Motion.
“Top Gear Festival Sydney and Motoring
in Motion is a great way for us to show
the next generation WRX to real car lovers
in a way that allows them to experience
the car and understand how and why it is
designed to get the pulse racing,” Mr Caie
said.
Secker said another drawcard of the
event is the ability to facilitate dedicated
track time for vehicle test drives.
With over 50,000 visitors expected at
the Festival, it promises to be a packed
weekend for all involved. More information
on Motoring in Motion and the opportunity
to register for test drives can be found on the
website: www.motoringinmotion.com.au
selection of their vehicles.
Mark Eedle, brand manager at
Jaguar said, “We are always looking for
opportunities to engage with customers
and show just how great the range of
vehicles is, Motoring in Motion and Top
Gear Festival Sydney allow Jaguar to do
that in an engaging fashion.”
Manufacturers also have the opportunity
to create brand activations across the
Festival site, providing visitors with
exciting activities to participate in free-of-
charge. Ticket-holders will have the chance
to experience the Toyota Landcruiser Off
Road Challenge where they will be fitted
with heart monitors and sent out for rides
on a custom built off-road course.
Festival-goers can also get involved at
the Toyota 86 Playground where they will
attempt to sing a chorus of a classic power
BodyShop News
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News and Views
10 BodyShopNews.net | February 2014
11.
12. VACC Promotes New Opportunities
For The Retail Automotive IndustryVACC has called on state and
federal governments to support new
opportunities in the automotive industry.
VACC, the peak automotive industry
body, attended today’s automotive
industry roundtable, convened by
Premier, Dr Denis Napthine, following
Holden’s decision to cease car making
in Australia in 2017. VACC urged the
Victorian Government to continue
to support the automotive industry,
including the repair, service and retail
sector and to consider a new initiative
which would reinvigorate the LPG
vehicle industry.
“We have to fill the void that’ll be left by
Ford and Holden when they stop making
cars in Australia. There’ll be opportunities
and we must be ready to take them,” VACC
executive director, David Purchase, said.
While speaking at the 2014 automotive
industry roundtable, hosted by Victorian
Premier, Denis Napthine, VACC urged
Australia to continue to support
automotive manufacturing. Purchase said
it was important for the nation to continue
to produce locally made vehicles.
“The Federal Government has made it
plain that it will not provide piecemeal
hand outs and subsidies to ailing
businesses, but we are glad to hear they
will make grants available to existing and
new businesses that establish or expand
manufacturing operations in Victoria and
South Australia.
“VACC welcomes this, but we also want
the repair, service and retail sector of the
automotive industry to be considered in
all discussions, be they funding or future
planning. Many of our 5000 small business
members in the repair, service and retail
sector of the automotive industry will be
affected by Ford and Holden’s decisions to
cease making cars in Australia; they must
not be overlooked,” Purchase said.
MTA Endorses Structural Change
After recent policy discussions and
forums, members of the MTA have
endorsed a significant structural change
that may well polarise option amongst
repair members and other industry
bodies.
The new MTA Body Repair Division
Policy now sees members:
1. Opposed to tendering and two-quote
systems used by some insurers
– Two-quote systems are used to win jobs,
not to repair vehicles correctly;
– Insurers can manipulate results by using
such means as “quote incomplete” or
“labour excessive”;
– Not all damage is visible until dismantling
of the vehicle has been carried out;
– The repairer may change the method of
repair after the job has been awarded.
2. Opposed to insurer recommended
repairer programmes
– Where cost of repair is the primary
determinant for recommended status;
– Fixed price or average price does not
allow for each vehicle to be assessed on
merit;
– Quality of repair and customer service
are not given due consideration;
– Scoring of repairers is not always
objective and can be misleading;
– Recognition is not afforded to non-
recommended repairers;
– Repairers’ goodwill in their business is
removed with recommended programmes;
– Customers should be able to choose
who repairs their property;
– Specialisation is not recognised.
3. Opposed to insurers operating or
having financial interest in a repair
business
– There is a conflict of interest when the
repairer is also the estimator and assessor.
4. In agreement that structural repairs
and welded panel replacement
– Require documented repair procedures;
– Should only be performed by suitably
trained and equipped repairers;
– Apprentices must be closely supervised;
– Customer safety must be guaranteed.
5. Strongly in support of realistic times,
rates and allowances to be used in
quotes/estimates
– Quotes/estimates should clearly indicate
the work to be carried out (comprehensive);
– Methods of repair should be warrantable,
if not it should be highlighted;
– Methods of repair require documented
repair procedures;
– Fixed pricing is opposed, it does not
guarantee quality and is unfair to ‘at fault
drivers’.
6. In strong support of workshop
presentation reflecting professionalism
– Office and workshop should be clean
and tidy;
– Customer parking and deliveries should
be accessible and safe;
– Staff should be dressed appropriately for
their position.
News and Views
12 BodyShopNews.net | February 2014
13. The Science Of Performance
From the Desk of DICK CROSS
Dick Cross is the founder and managing principal of The Cross Partnership III, a 20-year-
old, Boston-based, “hands-on” consulting and turn-around firm focused on improving
the operating and financial performance of businesses. Dick has served as an interim
president/CEO, leading successful business transitions in eight companies over the past
12 years. Dick started at CARSTAR in late 2004, becoming chairman of the CARSTAR Board
of Directors and assuming the role of CEO. After three years of record earnings and growth
to 400 franchisees, he recapitalised the Company at a valuation of 10 times earnings and
agreed to continue in his post through a transition period.
His book, Just Run It!, lays out his simple but proven framework for doing the job at the
top, and doing it well. It’s what he’s learned through 30 years of unlocking the greatness in
mid-tier businesses. From the top-down.
Dick Cross writes exclusively for BodyShop News.
I
ncreasingly, the area of neuroscience is
uncovering new fundamentals for how
to drive organisational performance
from our Jobs At The Top. Making
obsolete, mercifully, a lot of what we’ve
been relying on before.
Yet capitalising on these findings
requires courage and enough self
confidence to reconsider the ‘truths’
you’ve ‘grooved’ throughout the years
about leadership and management. To
embrace fresh perspectives that throw
out hubris and step into a cloak of service.
Most simply, science has identified
patterns of brain activity that foster
optimum achievement and the stimuli
from the outside – from you and I – that
either create, or suppress, those patterns.
The big news? It’s not what we’ve
thought.
Fear, the anchor point of our legacy
model for organisational authority, triggers
the limbic section of the brain, which
shuts down creativity – the willingness
to innovate and motivation. Under the
authority of fear most people retreat to
doing only what they know is safe.
Encouragement, conversely, particularly
when it’s tied to an emotionally stimulating
goal, triggers our prefrontal cortex –
the crucible for expansive thinking and
motivation.
In the last instalment I introduced three
traits of character. These were overarching
principles for the spirit with which you
approach your job to create motivation:
patience, kindness and generosity.
Here, we’ll examine three more character
traits – not overarching principles this time,
but rather more specific ways to handle
yourself, every day, to add momentum.
COURTESY
Courtesy in business? You’ve got to be
kidding! Business is combat and I’m a
General under fire!
Recent science proves you wrong. An
atmosphere of courtesy is not just for
parlour games. It’s a lynchpin of culture in
maniacally successful organisations. And
it starts with you.
A great friend describes the difference
between kindness and courtesy. Kindness
is picking up a hitchhiker on a lonely road.
Courtesy is not making him feel in need.
Your role in courtesy is to make people
feel good about themselves. In tiny
ways. By smiling. Opening the door. Not
interrupting. Asking rather than telling.
Focusing on what they are saying.
Knowing about their lives beyond work.
And by comments that make them know
that you appreciate and care about them.
HUMILITY
Gone in my organisations are the
days of executive parking spaces, big
offices and someone else bringing you
coffee. Executives’ only ‘perquisites’ are
those directly related to fulfilling their
responsibilities. Meg Whitman, CEO at
Hewlett Packard, is a great example. Meg
sits in a cubicle and drives herself to work.
What replaces the satisfaction of the ‘old
school’ kinds of benefits for being at the
top? It’s the deeper emotional satisfaction
of service – of coming to work every day to
help others be successful, in helping you
and knowing that the more you are seen
by them as like them then the greater will
be their incentive for making that happen.
Furthermore, no one wants to disappoint
a humble leader. And besides they all
already know you’re the boss.
UNSELFISHNESS
He who takes last, takes the most – when
he’s at the top and does a great job. The
translation? Develop the habit of seeing
yourself last.
Discipline yourself to be the last person
to cross your mind. Expunge, “What does
it mean for me?”...from your thinking
in every circumstance. Particularly in
moments of crisis. Or of opportunity. Get
over any need to be recognised in the
trappings of how you live at work. Be first
to encourage, first to sacrifice. Last to
leave, last to taste the spoils of victory.
Everything you say and everything you
do needs to convey one single, blindingly
clear message: that you care more
about everyone else than you care about
yourself.
Add conscious attentions to courtesy,
humility and unselfishness into your daily
routine, backed up by your overarching
intentions to be patient, kind and
generous of spirit. And you’ll begin seeing
a difference. Where it counts most...
BodyShopNews.net | February 2014 13
14. International News
BMW Strives To Save Drivers From Dings
BMW latest developments – grouped
under the BMW ConnectedDrive banner
– focus on every aspect of the link-up
between the driver, vehicle and outside
world. The company underlined its
position in the vanguard of technology
at the Consumer Electronics Show (CES)
2014 in Las Vegas, recently, it’s claimed.
The BMW Group has created a new
kind of research prototype for highly
automated driving which uses advanced
control technology to demonstrate
maximum safety up to the car’s dynamic
limit. In addition, the prototype vehicle
will highlight the effectiveness of a new
generation of control systems on the
closed-off track. These systems actively
intervene in the direction-changing
decision-making process and ensure the
electronically controlled steering works
in perfect harmony with the brakes and
accelerator. As such they go a crucial step
further than current systems, which react
to the onset of understeer or oversteer
with carefully calculated braking inputs.
Camera-based assistance systems
bring enhanced safety into new vehicle
classes. Advances in camera and video
technology have allowed visual detection
to serve as a basis for modern assistance
systems for some time now. For example,
series-produced cars are already available
with a camera (mounted in the centre
of the windscreen in the base of the
rear-view mirror) which delivers data for
the Lane Departure Warning and traffic
sign recognition systems. The Collision
Warning system and Pedestrian Warning
with city braking function, Traffic Jam
Assistant and camera-based Active
Cruise Control with Stop & Go function
work exclusively on the basis of visual
detection. They dispense with additional
and costly radar technology, but offer
similar functions. These safety systems
can therefore also be extended to vehicle
classes where demand for sophisticated
systems has traditionally been low.
The modern camera-based systems
have advantages over purely radar-based
applications when it comes to recognition
of stationary obstacles; however, camera-
based systems do require certain light
conditions.
New Parking Assistant with longitudinal
and lateral guidance. The new Parking
Assistant with longitudinal and lateral
guidance offers customers significantly
greater comfort and safety, it’s claimed.
Not only – as with existing systems – does
it use ultrasound sensors to find parking
spaces parallel to the road and take over
the parking of the car via the electronically
controlled steering (lateral guidance), the
assistance system now also switches
between the forward and reverse gears
of the automatic gearbox and allows the
car to pull away and brake automatically
(longitudinal guidance). These functions
are underpinned by an interface to the
gearbox and the electronically controlled
accelerator and brake pedal. All the
driver has to do is hold down the button
activating the new assistance system and
monitor the automatic parking procedure.
The functions of systems like the new
Parking Assistant with longitudinal and
lateral guidance and the Traffic Jam
Assistant go much further than existing
assistance functions designed to ease
the strain on drivers at the wheel. With
their range of part-automated functions,
they already lighten the driver’s workload
much more significantly than conventional
systems. Highly automated vehicles,
meanwhile, can take over all the driver’s
tasks at a given time. All the systems
performing these partly automated and
highly automated roles are grouped under
the BMW ActiveAssist.
Women’s Industry Network Calls
For 2014 Board ApplicantsThe Women’s Industry Network (WIN)
is now accepting applications for seats
on the organisation’s Board of Directors.
WIN’s motto of “Driving the Future for
Women in Collision Repair” continues to
be championed by an all-volunteer board
of directors, a growing membership and
the support of outstanding sponsors.
The diverse WIN Board consists of
members who represent various industry
segments including but not limited to:
body shops, distributors, suppliers,
consultants, paint manufacturers,
recyclers, and insurance companies.
Board members work together to
foster an environment that encourages
the education, recruitment, retention
and networking of women in the
collision industry through the annual
WIN Educational Conference and various
national and regional industry events;
the awarding of scholarships to female
secondary and post-secondary collision
repair students; the annual awarding of
Most Influential Women awards and other
supportive endeavours throughout the
year.
“Stepping up to Board service is a
wonderful way not only to contribute to
WIN’s success, but also to hone leadership
skills and build important relationships
within the industry. Volunteering for the
Board is an outstanding opportunity to
have influence within our organisation,
as well as the industry at large. We are
seeking motivated members to apply
for Board seats as we continue to ‘drive’
growth and success in the coming years,”
said Denise Caspersen, chair of the Board
Development/Nominating Committee.
The deadline for applications is February
28, 2014. For application requirements
and further details, go to www.
womensindustrynetwork.com.
14 BodyShopNews.net | February 2014
15. International News
Ford Approves Pro Spot For 2015
F-150 All Aluminium Body TruckFord Motor Company has revealed its
2015 F-150 with an all-aluminium body.
Using military-grade aluminium alloy,
the best-selling pickup truck for 37
years is now 318kg lighter. Pro Spot has
worked very closely with Ford in the
creation of the repair procedures for this
vehicle.
“We are proud to say that Pro Spot
aluminium repair products are their
preferred products for repair on this
vehicle,” said Pro Spot International CEO
Ron Olsson. “Ford has created a Collision
Repair Program to accompany the release
of this vehicle.”
The following Pro Spot products
are approved as “Equipment required
for aluminium repair” per Ford Motor
Company’s Collision Repair Program:
• The Aluminium Weld Station with three
upgrade kits available;
• The SP Smart Mig Series (including the
SP-5 Smart MIG);
Self-driving Cars = No More Collisions?
Scientifically speaking – or otherwise
– most automotive collisions have
some tenuous link, believe it or not,
to human driver error. The proof? Cars
without people in them do not move
by themselves unless up or down a hill
without the handbrake on and in neutral.
Fact! Or somehow an accelerator pedal
gets jammed at the time of the driver
leaving, if we are going to get picky.
So what if cars could drive for themselves
– would they bang into each other just for
the heck of it? Not according to a recent
study by HIS Automotive, driven by Polk,
which predicts there will be 54 million self-
driving cars (SDC) used globally by 2035.
And it won’t just be some sudden
appearance on our roads of cars that do
their own thing; it will be a gradual roll-out
of cars that can still be driver controlled
ushering in the way.
The study, called “Emerging
Technologies: Autonomous Cars – Not If,
But When,” states that total worldwide
sales of self-driving cars will increase
from nearly 230 thousand in 2025 to 11.8
million in 2035 – 7 million SDCs with both
driver control and autonomous control and
4.8 million with only autonomous control.
In total, estimates put it at about 54 million
self-driving cars will be in use by 2035
worldwide.
Most strikingly, nearly all of the vehicles
in use on our roads will probably be self-
driving cars or self-driving commercial
vehicles from around 2050.
“There are several benefits from
self-driving cars to society, drivers
and pedestrians,” said Egil Juliussen,
principal analyst for infotainment and
autonomous driver-assisted systems at
IHS Automotive, who co-wrote the study
with IHS Automotive senior ADAS analyst
Jeremy Carlson.
“Accident rates will plunge to near zero
for SDCs – although other cars will crash
into SDCs, but as the market share of SDCs
on the highway grows, overall accident
rates will decline steadily,” Juliussen said.
“Traffic congestion and air pollution per
car should also decline because SDCs can
be programmed to be more efficient in
their driving patterns.”
Of course, costs to implement such
technology will greatly affect the sticker
price of new cars – that is if we will even
still be calling them that, who knows? It’s
estimated that the premium for the SDC
technology will add $7000-$10,000 to a
car price in 2025, but this should decrease
to about $5000 in 2030 and about $3000 in
2035 – when drivers won’t have any choice
but to sit back, relax and enjoy the ride.
It all won’t be without its hitches,
though; concerns include software
reliability and cyber security (or hacking).
Plus there’s a world of legal implications
and government-enforced regulations that
need to be considered.
Several of the automotive manufacturers
have publically stated they’d have
autonomous cars by 2020, or earlier.
• The Riveter SPR Rivet Gun.
These products join many other Pro
Spot approved products by Ford Motor
Company, including the popular i5 Smart
Welder and the i4 Inverter Resistance Spot
Welder.
BodyShopNews.net | February 2014 15
16. Kristen R. Felder is the
creator and developer
of Collisionhub.com, the
premier networking site for
the collision-repair industry.
I
t’s the last days of 2013 and like many
of you I’m replaying the year looking for
those teaching moments and visioning
how 2014 will be.
This year proved to be one of great
change and movement for my company
and for our industry as well. Some of
you feel like 2013 came and went just a
little too fast and others feel like 2013 is
a foreshadowing of a gloomy 2014. We
saw increased consolidation of repairers,
changes in DRP programmes and the
temperature turned up on the parts
procurement debate.
For me, the hardest part of this time of
year is keeping the focus on what I can
control. It’s easy to review a year and
place some blame outside your circle.
The common excuses are insurance DRP
programmes, steering, lagging economy,
untrained workforce...yada...yada...yada.
When I find myself in this hole of
thinking, I immediately go back to three
core principles. It’s the only things I need
to know and focus on to run a successful
business in the collision repair industry.
Cars Are Worthless,
People Are Priceless:
Like many of you, our small collision repair
shop saw a variety of cars. From classics
needing restoration to daily drivers just
looking to get back on the road. As we
were removed from insurance company
DRP programmes so was our late model
repairs and we began surviving on the
elusive “customer pay”.
However, how cars were repaired
stayed the same. Simply put, there is
only ONE way to fix a car. The RIGHT way.
There were no exceptions in the quality,
procedures, part usage, etc. The car no
matter if it’s brand new or 15 years old is
worthless, the cargo in it is priceless. If
you focus on the inside of the car and not
its book value, you’ll see repairs in a whole
new light.
Too many times I encounter
“questionable” repairs at what I would
consider to be good shops. I’ve seen
full clips, crazy sections and painted
mouldings. It’s hard to hear a shop tell
me about their insurance company woes
with that sore thumb glaring at me behind
them. What I typically hear: “That’s not an
insurance job, that’s a customer pay”.
Does that make it right or worse?
If I walk into your shop, hand you my
gun and say “Shoot me” will the police not
take you to jail because it was a “customer
request”?
At the same time, repairs should not
be compromised because “That’s all the
insurance company would pay for”. Right
is right, wrong is wrong and there is never
an acceptable excuse for wrong.
Here’s a tip: If an adjuster sees it done,
they believe it’s acceptable. It’s up to us to
be the repairers we want to be paid to be.
Your worst repair is the standard by which
you will be judged, not your best.
There’s only one way to fix every car
that enters your shop. Stop estimating to a
car’s value and start estimating for yours.
Character Without
Economy:
There are many definitions of Character,
but the one you hear more often is:
“Character is what you have when no
one is looking”
For my family it was always:
“Character is what you have, even when
you’re broke”
There is no doubt that my father could
have played by insurance company rules,
changed the business model and stayed
on the programmes. It probably would
have resulted in financial gain and we
would not have had to sell the business.
However, that’s not who we are or were.
Dad had business and personal principles
and he was willing to ride them to the top
or to the bottom.
He didn’t blame the insurance company
for changing the game, he blamed the
other repairers in our town for changing
their standards and in return standards for
an entire industry.
16 BodyShopNews.net | February 2014
17. There are many decisions you’ll have to
make in 2014. Some of you are struggling
with staying on DRP’s, investing in
equipment or hiring new employees.
All decisions become simple when you
remove economy and judge solely from
your Character.
Sometimes doing the right thing is not
profitable.
If you do make decisions based on
economy, then don’t complain about
the source of the profit. No one likes a
whiner, much less a shifty whiner with no
Character.
Be The Leader Your Team
Needs You To Be:
As the top of the food chain in your
business it is easy to look down on all
of those who look up to you. For many of
us, as we begin planning 2014, we start to
think of changes needed in departments
and staffing. We’ve all got an employee
not pulling their weight or causing morale
issues. If only they’d do this or stop doing
that we’d be more profitable, happy, etc...
But what if it’s you?
Are you the type of leader who inspires
everyone to pull their weight? Some
employees will perform regardless of
your ability because of their own personal
character, but some will perform as a
direct reflection of what you show them.
It’s your responsibility to go and meet
each and every employee where they are,
not where you want them to be. Once
you get to them, LEAD them where you
want them to go. If you’re not developing,
challenging and growing your employees,
then you’re just a babysitter, not a leader.
We should not have a gap in technicians
and skill level if we were leaders in
development. It’s not a tech school’s job
to turn out work-ready employees. Find
the right people willing to commit to a
vision and lead them. They’ll repay you
beyond your wildest dreams.
I’ll share a secret.
In 2012 Collision Hub was broke. I
was down to my last few cents and had
started working on an exit strategy. We
would drive to industry events because
gas (petrol) was cheaper than airfare and
we camped in state parks. When I told you
we were at the “hotel” down the road, we
had pitched a tent and slept clutching our
camera gear.
Collision Hub and Engage Target Media
would not exist without those employees
who were willing to sleep in a tent to
support my dream. I’m thankful every
day for them and the sacrifice they made.
I had nothing to offer and sometimes
no guarantee that the paychecks I was
writing would cash. They stayed, they
suffered, they dug in with me and by mid-
2012 we had turned the corner. Today we
travel comfortably, work with some of the
biggest names in the automotive industry
and TV production. I never imagined we
could be what we are today, but it wasn’t
me – it was a team effort.
Those employees have gone on now
to chase their dreams, but I’m eternally
grateful at the trust they placed in me as
a leader.
Without a paycheck, without security,
how many of your employees would stay
and fight with you? Are you a leader or an
ATM?
Create a vision, create something bigger
than yourself or a logo and then share that
with everyone. Be someone you’d follow,
be someone you would want to work for.
I’d like to think in some way that my Dad
would have wanted to work for me and
the company Collision Hub has become.
He gave me big shoes to fill and an even
bigger legend shadow to live under. But
he also gave me three guiding principles
so that no matter where this industry goes
or how fast it goes there, I’ll always know
what to do.
Happy New Year! I can’t wait to see all
you’ll accomplish in 2014.
Diary
*AMR 2014 Beijing
26 February to 1 March 2014
New China International Exhibition
Centre, Beijing, China
INAPA 2014 JAKARTA
19 to 22 March 2014
JIExpo Kemayoran
Jakarta, Indonesia
Automechanika Istanbul
10 to 13 April 2014
TUYAP Fair, Convention and
Congress Center
Istanbul, Turkey
INDOAUTOMOTIVE
14 to 16 May 2014
JIExpo Kemayoran
Jakarta, Indonesia
Automechanika Dubai
3 to 5 June 2014
Dubai International Convention
& Exhibition Centre
Dubai, UAE
*NACE 2014 Detroit
30 July to 2 August
COBO Center
Detroit, USA
*Automechanika (Frankfurt)
16 to 20 September 2014
Frankfurt Messe,
Frankfurt Am Main, Germany
SEMA Show
4 to 7 November
Las Vegas Convention Center
Las Vegas, USA
* Denotes Highly Recommended
BodyShop News
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18. New Car Watch ALBERT MALIK
The New BMW 2 Series Coupé
B
MW Australia announced details
of its newest performance two-
door model, the BMW 2 Series
Coupé, which has lots of dynamic ability,
aesthetic appeal and emotional allure. The
successor to the popular 1 Series Coupé
improves in all facets by delivering an
even higher level of thrilling dynamics,
improved occupant comfort coupled with
the latest in innovative technology.
Eight-Seater To Join All-New
Honda Odyssey
T
he all-new Honda Odyssey will
hit Australian shores this month.
Celebrating its 20th anniversary,
this new model is not just an evolution:
it’s a revolution in design, features, safety
technology and functionality, according to
Honda Australia Director, Stephen Collins.
The all-new Odyssey will feature a 2.4
litre engine and CVT from Honda’s Earth
Dreams Technology series that have
both been completely redesigned and
reengineered. Fuel economy has been
vastly improved, from just 7.6 litres per
100 kilometres and 178 grams of CO2
per kilometre, a fuel saving of over 14 per
cent.
On the outside, the new Odyssey is
bigger than its predecessor and its exterior
styling is all-new design. It features one-
touch power sliding doors (on selected
models only), daytime running lights and
wide-angle reversing camera.
Priced from $50,500 the entry point BMW
220i Coupé develops 135 kW of power and
270 Nm of peak torque which is delivered
as early as 1,250 rpm. This is enough to
propel the BMW 220i Coupé from 0-100
km/h in 7.0 seconds whilst consuming a
mere 6.0 l/100 km’s on the combined cycle.
The BMW 220d Coupé likewise
produces 135 kW from its four-cylinder
TwinPower turbo diesel engine boasting a
substantial 380 Nm of torque. And whilst
it consumes just 4.4 L/100 km the BMW
220d Coupé sprints from standstill to 100
km/h in 7.1 seconds. The entry diesel
variant is available from $52,500.
$79,900 will get you into BMWs newest
and most powerful petrol powered M
Performance Automobile, the BMW
M235i Coupé. Claiming an extra five kW
of power over the BMW M135i it develops
240 kW and 450 Nm of torque enabling a
4.8 seconds sprint to 100 km/h.
All models come standard with the eight-
speed sports automatic transmission
which includes gear shift paddles and
launch control function, and will be
available in Australian showrooms from
March.
Already renowned for its comfort and
flexibility, the Odyssey will be available as
either a seven or eight seater for the first
time ever. It features a new state-of-the-art
audio system and several new advanced
technologies to ensure peace of mind.
18 BodyShopNews.net | February 2014
19. All-New Mazda3 Arrives In
Australian Showrooms
M
azda’s new Mazda3 has been
launched early this month is
Australia.
Completely new from the ground up
and created with Mazda’s SKYACTIV
Technology and ‘KODO-Soul of Motion’
design language, the all-new Mazda3
brings a host of advances including
fuel efficiency improvements, greater
refinement, increased performance and
state-of-the-art connectivity.
The new Mazda3 is the third new
generation Mazda after CX-5 and Mazda6
to adopt the award-winning ‘KODO – Soul
of Motion’ design language and is available
with the full range of i-ACTIVSENSE safety
technologies.
Offered in sedan or hatch, it comes
with a 2.0 litre petrol or 2.5 litre petrol
engines and with the choice of two
transmission types both 6-speed, yet
one is manual and the other automatic.
Fuel consumption numbers are very
good from as little as 5.7 litres per
100 kilometres, an improvement of 30
per cent compared to the equivalent
outgoing engines.
The new Mazda3 introduces a head-
up Active Driving Display and a next
generation HMI commander control
that offers safe access to navigation,
communications and infotainment,
including social media such as Stitcher™,
Aha™ and Pandora®, through Mazda’s
new MZD Connect connectivity system.
It comes in six grades, including Neo,
Maxx, Touring, SP25, SP25 GT and SP25
Astina, with prices starting at $20,490 plus
on road taxes.
BodyShopNews.net | February 2014 19
20. The new organisers in Summernats’ history
continues to bring heightened expectation to this
event – and with a stack of hot cars, cool rides,
gorgeous gals and all the horsepower you could eat
Summernats 27, 2014, didn’t disappoint. BodyShop
News editor Fabian Cotter reports.
I
f ‘absence makes the heart grow
fonder’ then nearly 10 years away
from visiting the arguably hallowed
Aussie automotive revv-head fest that is
Summernats makes it a veritable erotic
experience when you finally get there
again. Fact!
I mean, scientifically speak – or even if
I’m just making up old-school Curiosity
TV show stuff right here – there’s nothing
quite like the sound, smell and feel of a
dirty great big V8 trumpeting deafeningly
away within inches from your hopefully
covered eardrums as it does its circuit
with hundreds of others around the now
fabled Exhibition Park in Canberra, known
to the die-hards as EPIC.
Located on the corner of Flemington
Road and Northbourne Avenue/Federal
Highway, at the gateway to the national
capital of Canberra, it’s set on 70 hectares
20 BodyShopNews.net | February 2014
22. just eight minutes from the city centre.
With usually about 1500 hundred
elite primed and primo stonking muscle
cars, sublime show-stoppers and eye-
ball-searing street machines, the Street
Machine Summernats is modified and
custom automotive bliss indeed and now
an Australian iconic four-day institution
since it was started in 1988 by the
legendary Chic Henry.
Personally, I’d been away the past decade
living in Europe as a car magazine editor
visiting shows the likes of Worthersee,
in Austria, and Edition 38 in England –
both (and you really should go see them
once before you die type thing) dedicated
mostly to some of the most stunning
paint and bodywork craftsmanship ever
performed of VAG (Volkswagen and Audi
Group cars) and a ton of saucy German
stuff in between. Yet in the Elite showcar
halls of Summernats that quality also
thrives, and usually on a loins-invigorating
V8 – so a win-win for the Aussie fans.
Add in nostril-suffocating burnout
competitions, heart-pumping dyno
comps, ear-castigating audio sound-offs
and ear-soothing SQL events, feet-tapping
head-banging rock music thanks this year
to The Living End, heaps of wallet-wooing
motor retail traders, undies-sticking balmy
heat and an abundance of gorgeous Miss
Summernats contestants and you really
have a car extravaganza not to be missed.
This year, Summernats co-owner Andy
Lopez praised the crowds at the event.
“Overall the crowd behaviour has been
really good, with no major incidents. The
crowd has just focused on enjoying the
great festival that is Summernats.”
“We have worked positively with the
police for the event and want to thank
them for their fantastic efforts over the
festival period.
“The total crowd figure for this year’s
event was 103,437 and total entrant
numbers at 1811.This an awesome result
for Summernats. It is fantastic to see
entrant numbers and attendance numbers
have all improved and goes to show we
have a great event that people love to
come to.
“We are only going to continue keeping
the Summernats as Australia’s top
automotive festival,” said Lopez.
The ultimate prize for Summernats and
for the ‘street machine’ world is the Grand
Champion award. This year, despite an
incredible group of finalists, the winner
was Henry Parry in his immaculate 1961 FB
Holden. Due to Henry’s ill health the Grand
Champion trophy was accepted by Danny
Makdessi, who has done much of the work
on the vehicle, including the body, paint,
assembly and fabrication on the vehicle.
“It is overwhelming, it really is. It is hard
to take in the fact we have won this award.
It is a great reward to all of the car builders
who have put in so much time to put the
car together. I can’t wait to call Henry and
let him know that we have achieved,” said
Makdessi.
For more information on Summernats
27 and to check out highlights, head to
the website at www.summernats.com.au.
“…have a car extravaganza not to be missed.”
22 BodyShopNews.net | February 201422 BodyShopNews.net | February 2014
23. Photos: Michel Malik and Fabian Cotter.
Yep, Summernats is expanding to
Malaysia.And it promises to be a great hit
for Aussie car culture in South-East Asia
from what Aussie organisers say.
“It will be an automotive lifestyle
event, built on similar principles to the
Summernats and will become a truly
Asian horsepower festival including
motorbikes, Japanese domestic vehicles
and other elements individual to the Asian
automotive market” said Andy Lopez,
Summernats co-owner.
Lopez was joined by JP Chin and other
members of the JPM Motorsport team.
“We are working with one of the best
motorsport promoters in Asia with JPM
Motorsport and planning has been
underway for this new event since June
2013, where we staged an exhibition
event at the Super GT event in Malaysia.”
There is further good news for some
of the winning cars at this year’s
Summernats.
“The Malaysian promoters will be taking
10 of the winning cars from Summernats
27 to the Malaysian event to showcase
some of Australia’s best street machines.”
The Malaysian Summernats event is
now confirmed to take place between 29
August and 1 September, 2014.
Malaysian Summernats
What The?
BodyShopNews.net | February 2014 23
24. AIRBRUSH ART
(Sponsored by Anest Iwata)
Best Automotive Component
2nd Karlynna Reeve (Ned Kelly mural on
Harley guard)
Winner David Mifsud (Hulk on matt white
bonnet)
Exhibition Class
3rd John Creasey (Ghandi portrait)
2nd Allysha Taylor (Marilyn Munroe
portrait)
Winner Danny Wallace (Clint Eastwood
portrait)
Elite Class
2nd Michelle White (‘A’ frame collage)
Winner Todd Malcolmson (Peter Garret)
TOP BODYWORK
(Sponsored by Rare Spares)
3rd 861 Priscilla Gallo: Yellow 1967
Holden HR Ute, Wollongong NSW
2nd 1275 Nathan Borg: Red 1977 Datsun
1200 Ute, Landilo NSW
Winner 1599 Leisa Chinnock: Passion
Pearl (HOK) 1986 Ford Falcon Coupe,
Austins Ferry TAS
TOP GRAPHICS
(Sponsored by Rare Spares)
Winner 948 Scott Stanford: Kandy Teal
1977 Holden Torana Hatch, Falls Creek
NSW
TOP MURAL
(Sponsored by Rare Spares)
Winner 1644 Phillip Rillotta: Grey/Black/
Silver 1969 Chev Camaro Coupe, Mount
Barker SA
TOP SPECIAL EFFECTS PAINT
(Sponsored by Rare Spares)
3rd 327 Peter Fitzpatrick: HOK Kandy
1959 Holden FC Sedan, Mitchell ACT
2nd 766 Henry Parry: Kandy Red 1961
Holden FB Sedan, West Gosford NSW
Winner 1601 Terry Mourched: HOK
Custom Candy Violet 1968 Dodge
Charger Coupe, Caringbah NSW
TOP STANDARD PAINT
(Sponsored by Rare Spares)
3rd 746 Simon Lumbroso: Sebring
Orange 1970 Holden Torana LC GTR
Coupe, Cherrybrook NSW
2nd 1599 Leisa Chinnock: Passion Pearl
(HOK) 1986 Ford Falcon Coupe, Austins
Ferry TAS
Winner 1275 Nathan Borg: Red 1977
Datsun 1200 Ute, Landilo NSW
SHOW CAR SUPERSTARS
(Sponsored by Meguiar’s)
Street Machine Winner 766 Henry Parry:
Kandy Red 1961 Holden FB Sedan, West
Gosford NSW
Street Machine Winner 1601 Terry
Mourched: HOK Custom Candy Violet
1968 Dodge Charger Coupe, Caringbah
NSW
Hot Rod Winner 444 Dave Shearing:
Orange Pearl 1933 Ford Victoria Two-door,
Orange NSW
Hot Rod Winner 979 Steven Alldrick:
Black 1934 Ford Coupe, Yarra Glen VIC
TOP SPECIAL EFFECTS PAINT
(Sponsored by Rare Spares)
3rd 327 Peter Fitzpatrick: HOK Kandy
1959 Holden FC Sedan, Mitchell ACT
2nd 766 Henry Parry: Kandy Red 1961
Holden FB Sedan, West Gosford NSW
Winner 1601 Terry Mourched: HOK
Custom Candy Violet 1968 Dodge
Charger Coupe, Caringbah NSW
TOP STANDARD PAINT
(Sponsored by Rare Spares)
3rd 746 Simon Lumbroso: Sebring
Orange 1970 Holden Torana LC GTR
Coupe, Cherrybrook NSW
2nd 1599 Leisa Chinnock: Passion Pearl
(HOK) 1986 Ford Falcon Coupe, Austins
Ferry TAS
Winner 1275 Nathan Borg: Red 1977
Datsun 1200 Ute, Landilo NSW
TOP JUDGED ELITE
(Sponsored by Street Machine)
Winner 1599 Leisa Chinnock: Passion
Pearl (HOK) 1986 Ford Falcon Coupe,
Austins Ferry TAS
SUMMERNATS GRAND CHAMPION
(Sponsored by Street Machine)
Winner 766 Henry Parry: Kandy Red 1961
Holden FB Sedan, West Gosford NSW
SHOW N’ SHINE STANDOUTS
(Sponsored by Shannons Insurance)
So Smo-o-oth Body and Paint Winner
1723 David White: Blue 1960 Holden FB,
Giralang ACT
Best Use of Colour Winner 1007 Matthew
Clift: HOK Orion Silver/HOK Purple 2005
Holden Commodore Ute, Evatt QLD
Show n’ Shine Standout Winner 1179
Robert Hromek: SEM 1974 Holden HQ
Ute, East Kurrajong NSW
STREET AWARDS
(Sponsored by Rare Spares)
Top Graphics Winner 203 Peta Psaras:
Silver 2008 Holden Commodore Wagon,
Albion Park NSW
Top Mural Winner 544 Kim Smith: Redhot
2003 Holden Commodore Ute, Booral
NSW
Top Special Effects Paint
3rd 619 Mark Williams: White 1969
Valiant VF Sedan, Isabella Plains NSW
2nd 113 Terry Keys: Lemon 1984 Holden
VK Commodore Sedan, Queanbeyan
NSW
Winner 671 Allan El-Bayeh: Teal Holden
Torana Coupe, Campbelltown NSW
Top Standard Paint
3rd 1401 Anthony Whittington: Red 1979
Ford XD Falcon Sedan, Chisholm ACT
2nd 81 Emanuel Darmanin: Black 1979
Ford Falcon Sedan, Taylors Lakes VIC
Winner 213 Peter Sidoti: Black 1965 Ford
Mustang Coupe, Waverly NSW
VIBRANCE PPG SUPREME ENTRANT
AWARDS
Supreme Finalist 979 Steven Alldrick:
Black 1934 Ford Coupe, Yarra Glen VIC
Supreme Finalist 681 Kresi Basanovic:
TSR Yellow 1970 Holden Kingswood HG
Sedan, Bargo NSW
Supreme Finalist 1275 Nathan Borg: Red
1977 Datsun 1200 Ute, Landilo NSW
Supreme Finalist 917 Michael Brown:
Burnt Orange 1972 Rambler Hornet
Sedan, Arndell Park NSW
Supreme Finalist 1599 Leisa Chinnock:
Passion Pearl (HOK) 1986 Ford Falcon
Coupe, Austins Ferry TAS
Supreme Finalist 81 Emanuel Darmanin:
Black 1979 Ford Falcon Sedan, Taylors
Lakes VIC
Supreme Finalist 525 Sebastian Desisto:
Orange 1984 Datsun 1200 Ute, Catherine
Fields NSW
Supreme Finalist 1597 Terry Mourched:
HOK Custom Candy Violet 1968 Dodge
Charger Coupe, Burwood NSW
Supreme Finalist 422 Tristan Ockers:
Coolant Green 1971 Ford Capri Coupe,
Thirlmere NSW
Supreme Finalist 766 Henry Parry: Kandy
Red 1961 Holden FB Sedan, West
Gosford NSW
Supreme Finalist 1624 Steve Polglase:
HOK Violet Pearl 2001 Holden Statesman
Sedan, Macgregor ACT
Supreme Finalist 968 Daniel Souvleris:
Orion Silver 1975 Holden HJ Kingswood
Ute, Caringbah NSW
Supreme Finalist 1401 Anthony
Whittington: Red 1979 Ford XD Falcon
Sedan, Chisholm ACT
SUMMERNATS SUPREME ENTRANT
(Sponsored by Vibrance PPG)
Winner 1275 Nathan Borg: Red 1977
Datsun 1200 Ute, Landilo NSW
Miss Summernats 27
(Sponsored by Federal Tyres, supported
by ZOO)
Final
Miss Summernats 3rd Stacey Louise:
Tarralgon VIC
Miss Summernats 2nd Monique Dignan-
Smith: Brighton VIC
Miss Summernats Winner Danah
Wheatley: Yagoona NSW
Summernats 27 – Official Results
24 BodyShopNews.net | February 201424 BodyShopNews.net | February 2014
25. The key to success is improvement
Achieving constant improvement is all about getting
people to cooperate in order to optimise working methods.
Our commitment to this goal is exactly what makes EMM
unique. As a professional, you only want to work with the
best products. EMM continuously looks at its brands ranges
with an eye to innovation so that you get the most out of
your expertise. Only by listening carefully to what you want,
we can introduce new working methods, applications and
materials. As a result we proudly present our new and
innovative products. Together make one!
More information: www.emm.com
EMM developed a unique Coding System for Pump Sprays. It helps you
distinguish the different types of liquid content. Each Colad Pump Spray
comes with a set of 5 different colored Coding Rings and 2 large Color
Identification Charts. This chart will give you a clear overview of which color
matches which content. Hang them at a visible place in your workstation
and you will never grab the wrong bottle again. Art.No. 9705
EMM adds after the blue and black nitrile
glove now the extra thick Grey glove.
This glove combines extra protection
with extra comfort.
Art.No. 53800#
With these sporty and comfortable
Safety Goggles EMM introduces a new
and improved model to provide optimum
protection and clear vision while working.
Art.No. 5085
Surface Preparation
Pump Spray Coding System
Safety Protection
Nitrile Gloves Grey
Safety Protection
Safety Goggles
Extra strong, extra flexible and higher tensile strength
Extra long sleeves and textured surface for better grip
Powder, Silicon and Latex Free to prevent skin irritation
Produced without zinc, solphur and accelerant to
maintain the environment
Marked CE 0321
Adjustable ear-springs for optimum comfort
Clear, polycarbonate lenses to optimize vision
Suitable to wear over spectacles
DIN EN 166 safety specification
new
new
new
EMM | New Products
26. P
resented by EMM International BV
managing director Thomas van der
Kooij and with the support of EMM
representative in Australia, Wayne Grech,
the 16 or so distributors were treated to
a two-day conference that began with van
der Kooij outlining the two-day programme.
After the customary introductions,
van der Kooij generally outlined EMM’s
product range, which consist of four
brands – Colad, Hamac, Ronin Tools and
Tan Der.
He explained and emphasised the
company’s range of product, which is
everything non-paint for the body shop.
After a short morning break, Thomas
van der Kooij gave an overview of
developments worldwide and how they
affect the collision repair industry in
general and EMM in particular. From the
way roads are now built, to the billions of
people living on earth and not forgetting
climate change, the automotive evolution
and technological changes, etc...
Van der Kooij went on to explain about
EMM’s vision and its ‘Together Make One’
motto and continued by showing new
products, latest equipment and future
projects.
Discussions themed the rest of Saturday
and most of Sunday.
The participants enjoyed a weekend
of information, interaction and general
productivity, essential to the maintenance
of the relationship between Supplier and
Distributor.
Nearly ten years since its relaunch in this country, EMM International held
a national conference for its distributors from around Australia and the
Pacific region – only the second time such event was held. ABN publisher
Michel Malik joined the group at the Sydney Hilton.
26 BodyShopNews.net | February 201426 BodyShopNews.net | February 2014
28. SPECIAL FEATURE POWER AND HAND TOOLS
Don’t kid yourself! Just because a repair job might be insurance related
doesn’t mean a customer isn’t walking away singing your body shop’s
praises to every person and their pet rabbit after the work is done – or
cursing you out, for that matter. Get quality power and hand tools to do
the job right! BodyShop News editor Fabian Cotter reports.
M
ost of the guys in the Australian
collision repair world are smart
people – smart in the sense that
they’ve usually been around for a fair bit of
time because they’ve prided themselves
on doing quality repair work. And trust me,
there have been plenty that have fallen by
the wayside in the past 25 years who haven’t
made it for that very reason. Word of mouth
repeat business has helped many collision-
repair business bring in continued coin
traditionally, but with so much of the work
these days coming from ‘pre-set’ insurance
work that’s an even great incentive to not
just maintain but raise quality standards
to ensure renewed contracts and insurer
endorsement in future years.
What’s the difference between quality
repairers and those that aren’t? Speak to
enough of the good ones throughout the
years and you don’t have to be Scooby-
Do to realise that quality power and
hand tools are key to producing not only
OEM-matching results, but also impact
on health and safety issues in your body
shop, along with a range of other things
like reducing carbon footprints and saving
you money on your utility bills.
The repeated nature of their use, day in,
day out, also highlights the need of your
power and hand tools to help – not hinder
– your business and your personnel,
which means lighter weights, ergonomic
designed handles and surface finishes
and general convenience of use while
completing body repair and spray jobs
should be at the forefront of your tool-
purchasing decisions. And no-one wants
employees unhappy from RSI-related
injuries caused by using cheaper, often
inferior, tools.
Quality power and hand tools are to be
seen as important investments into your
business, not as needless expenditures
to it. But don’t just take our word for
it! Just ask around. The ‘proof of the
pudding’ won’t be in the eating, it’ll be in
the grinding...and the sanding...and the
buffing...You get the point.
28 BodyShopNews.net | February 2014
29. FEIN
Mister Miyagi once said, “wax on, wax
off”. Unfortunately, for most, this is easier
said than done. A good quality cut and
polish on a car, boat or motorcycle can
literally take the average Joe hours of back-
breaking and brow-sweating work. Luckily
for the market, Fein’s latest polisher is set
to make your pride and joy shine like it
never has before (minus the blood, sweat
and tears), according to the company.
The WPO14-15XE angle polisher is
one of the latest products to join Fein’s
elite fleet of power tools. It has been
developed specifically for automotive
and marine surfaces – not only for
polishing but for general cleaning
and sanding, too.
The 750-watt, carbon-brush
motor combined with the variable-
speed control boasts speed settings
between 200-1500rpm for surface
machining on vehicles and other
sensitive surfaces.
The WPO14-15XE also features
Fein’s patented TipStart™ technology.
An operating function, which is
‘switch-free’, is designed to ensure
maximum operational safety no matter
FEIN
Mister Miyagi once said, “wax on, wax
off”. Unfortunately, for most, this is easier
said than done. A good quality cut and
polish on a car, boat or motorcycle can
literally take the average Joe hours of back-
breaking and brow-sweating work. Luckily
for the market, Fein’s latest polisher is set
to make your pride and joy shine like it
never has before (minus the blood, sweat
and tears), according to the company.
The WPO14-15XE angle polisher is
one of the latest products to join Fein’s
elite fleet of power tools. It has been
developed specifically for automotive
and marine surfaces – not only for
polishing but for general cleaning
The 750-watt, carbon-brush
motor combined with the variable-
speed control boasts speed settings
between 200-1500rpm for surface
machining on vehicles and other
The WPO14-15XE also features
Fein’s patented TipStart™ technology.
An operating function, which is
‘switch-free’, is designed to ensure
maximum operational safety no matter
what. The polisher’s ingenious design
has also been developed with a superior
ventilation system to ensure that it
doesn’t heat up even under
continuous use.
Whether you’re restoring old
paint to its former glory or keeping
new paint in its prime, the Fein WPO14-
15XE will help you produce a finish that
even Mister Miyagi would be proud of.
The fact you won’t even break a sweat is
just a bonus.
For more information on the Fein
WPO14-15XE and the entire polishing
range, log onto www.fein.com.au, or call
FEIN direct on 1300 798 688.
BTB TOOLS
Body shops historically avoid glass removal,
thinking it too complex. This should not
be so as panel beaters receive years of
extensive body shop training, developing
superior skills using power tools and
will quickly adapt to glass removal with
BTB’s easy-to-use power tool and cutting
blade system. It provides the solution to
safely and efficiently remove undamaged,
expensive side and rear encapsulated
glasses encountered by body shops daily.
Globally, body shops are adopting
in-house glass removal for a variety of
reasons; they have the skills to quickly
perform damage-free removals, to control
work flow and can still choose to call their
glass technician to re-install the glass.
BTB appreciates why glass technicians
may steer away from power tools and
adopt wire systems for ‘everyday’ front
windscreen removal. However, wire
systems can involve lengthy set-up time,
repeated wire breakage and vehicle
damage, and where wire simply will not
work due to complex glass installations.
It’s a worldwide fact technicians must
have alternate cut-out tools, like BTB, due
to limitations of wire systems.
Glass networks and technicians may
refuse complex glass cut-outs for body
shops, especially if for labour charge only.
Otherwise, this may be done only at your
risk.
A prestige body shop recently asked BTB
for a wire demonstration, resulting in very
clear failure. Switching to the BTB system
provided a fast and flawless glass removal,
along with similar additional removals.
The shop couldn’t wait to purchase a BTB
system, the company states.
With the expanding use of adhesives
on a modern car body, body shops have
discovered many uses for BTB’s versatile
removal tools where adhesives and or
tapes secure body moulds, decals and
nameplates, spoilers, panoramic roof
systems, roof, door and bonnet support
frames, in addition to internal and external
body panels.
BTB is qualified as a panel beater and
for more than 30 years has manufactured
its patented and unique specialised auto
glass and panel-removal power tools and
cutting blades in Bendigo, Victoria. This
included the WK10HD air power tool and
new 12-Volt battery-powered ‘E-Tool’ for
mobile applications.
BTB provides technician and network
training in Australia and globally and is just
a phone call away for expert advice.
Ask BTB for a copy of BTB’s recently
updated 2014 catalogue, written by and
for panel beaters.
For further information about this world-
renowned auto glass removal system,
contact BTB Tools on Tel: 1800 032 166, or
e-mail: sales@btbtools.com
BodyShopNews.net | February 2014 29
30. METABO
Grinders, for the modern body shop need
to be reliable, powerful, fast and also safe.
With OH&S being an important factor
in our working life, body shops need to
ensure staff are working in the safest
conditions possible.
With the development of the modern
power tool it’s always best to invest in a
quality tool with true safety features. The
day of the cheap $50 no-name grinder is
over for the professional metal and body
workers.
Features to look out for:
• Automatic Safety Clutch – mechanical if
available, prevents sudden kick-backs and
risk of harm;
• Mechanical Break – stops the disc
within 3 seconds;
• Auto Balancer – minimises vibration
from worn wheels which allows longer
operating times and longer life span of the
discs. Vibration can be minimised up to 50
per cent;
• Anti-Vibration handle – minimises
vibration from worn wheels and allows
longer operating times.
These are only some of the safety
features that are available to keep your
staff from harm.
For more information please contact
you local professional power tool supplier,
or visit website www.metabo.com.au
FESTOOL
Festool is expanding its range of products
for the industry and one proven product
new to Festool is the RG 130 (previously
available under brand Protool).
The 130mm Diamond Grinder RG
130 E is the large surface area
specialist. With a comprehensive
range of compatible grinding
discs available, the versatile
and powerful (1600 W) RG 130
is perfect for a range of other
applications like concrete
and hard coatings, grinding
extremely hard concrete,
removing epoxy resins,
roughening smooth surfaces
on ceramic and floor tiles and
much more.
With the clever folding
segment (no tools required to
fold) you can work right up to
edges while protecting the walls
from damage. The adjustable
depth guard lets you remove the right
amount of material quickly and accurately
for a superior surface finish.
The digital electronics provide ideal
protection and control. Smooth start-up
guarantees a gentle increase in speed
FESTOOL
Festool is expanding its range of products
for the industry and one proven product
new to Festool is the RG 130 (previously
The 130mm Diamond Grinder RG
130 E is the large surface area
specialist. With a comprehensive
range of compatible grinding
discs available, the versatile
fold) you can work right up to
edges while protecting the walls
from damage. The adjustable
depth guard lets you remove the right
amount of material quickly and accurately
The digital electronics provide ideal
protection and control. Smooth start-up
guarantees a gentle increase in speed
damping reduces
vibrations considerably
for fatigue-free work. The
handle position can be
adapted tool free or folded
back completely to reach
under pipes and in tight
areas.
The patented spiral
extraction attachment
guarantees excellent dust
extraction results when the
RG 130 is paired together with
Festool Dust Extraction. The
perfect match is the NEW CT
36 Auto Clean Heavy Duty Dust
Extractor, designed specifically for the
removal of concrete dust.
and continuous temperature monitoring
protects against overload damage.
The auxiliary handle with vibration
30 BodyShopNews.net | February 2014
32. www.finixa.com.au
3M™
When you need a finishing tool you might
not think about the innovative equipment
technology required to help you do the
job more efficiently. But luckily 3M did.
That’s why it’s engineered a better line of
air-powered finishing tools; tools that are
designed to work hand-in-hand with the
3M™ Abrasives and Accessories you’ve
always trusted, with the built-in features
and performance you’d expect from 3M
says the company.
• Less vibration for more comfort – 3M’s
redefined ergonomics. The compact, low-
profile and lightweight design features
cushioned 360° wraparound 3M™
Gripping Material that extends to the
base, absorbing and reducing vibration.
The result? Operators can produce more
with less effort and fatigue.
• Increased durability for decreased
downtime – Enhanced tool design
minimises common repair issues, so your
tools spend more time being used and
less time ‘on the bench’.
• New 3M™ power tools give you more
options – Dozens of tools with more
choices for vacuum options, grip sizes,
orbits, tool diameter sizes and RPMs.
• Endless solutions – tailored for you –
Elite Series Air Sanders combined with
3M™ Abrasives and Accessories.
3M’s lightweight random orbital sanders
are available in non-vacuum, central vacuum
and self generating vacuum models.
MAXIGEAR
Precision Specialty Tooling, based in
Thomastown, Victoria, is clearly driven by
its passion for meeting the requirements
of today’s demanding environments,
be that in the automotive, engineering,
welding or general maintenance. The
company is constantly adding to its owncompany is constantly adding to its own
one-handed unit with quick-lock chuck for
ease of changing the range of flat, angled
and punch cold chisels. The second
handle utilises the same quick-lock chuck
and the proven pry-bar extending handle,
adding to versatility. This enables the use
of the cold chisel range, as well as the
various parting tools, panel shoes and the
indexing head pry bar.
For further information check out www.
pretooling.com.au
brand of hand tools MAXIGEAR, or that
of the products it imports and distributes
throughout Australia via distributor/
retailers nationally.
Precision recently added a range of
three adjustable pry-bars. Not only can you
extend the length, but also index the head
to suit the angle required
to allow for great
access to bend, push,
pull, pry or spread
body panels, tyres,
struts, poles, pallets and
so the list goes. Available
sizes 315-450mm / 620-
900mm / 860-1350mm.
Taking the product
further, Precision added
The Persuader – a kit for
every workshop that’s
strong, practical and
compact. It comprises
two styles of handle. The
first is a hammerable
33. Head Office 8/169 Beavers Road
Northcote, VIC 3070
Tel: 03 9482 9222 Fax: 03 9482 9333
Website: www.cmcig.com.au
Email: sales@cmcig.com.au
FOR INTERSTATE ENQUIRIES CONTACT TOLL FREE 1300 552 169
AvAilAble exclusively From
“I can honestly say the
Matrix Wand has aided our
shop in credibly sighting and
quantifying damage areas.
The Matrix Wand technology
is a game changer and is
as important as our best
technician in the workshop.”
Adam Martin
Car Pac Fleet & Prestige Auto Body
Bayswater, Vic
• NO BENCH OR LIFT REQUIRED
• THE MOST ADVANCED VEHICLE
MEASURING DEVICE
• IT HAS THE ABILITY TO CREATE A
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• MONEY MAKING MACHINE
34. Business survival and recovery: minimising
seasonal then those opportunities need to
be taken but otherwise distance from day
to day operations may provide clarity on
issues being grappled with.
• External factors, including consumer
perceptions, government policies etc that
drive demand within the economy.
ORGANISATION IS KEY
Management of these challenges is
difficult and can involve significant leaps
of faith, particularly in relation to retail
stock for Christmas.
But the earlier you get organised the
easier it should be to manage. Steps to
take include:
• Forecasting cashflow through to mid-
February when the holiday period has
finished or the hectic summer period is
calming down.
• Understanding key timelines – stock
deliveries, close down periods, payment
structures etc.
• Establishing issues that need to be
resolved – if one supplier will be an issue
proactively discuss required terms to
manage cash flow or discuss an extension
of facilities with banks/financiers. If issues
are discussed well ahead of when they
land parties are likely to be more willing
to agree to arrangements subject to the
relevant undertakings being provided.
• Being flexible. The best laid plans can
frequently change.
2014 OUTLOOK
There are some positive signs for 2014.
Consumer and business confidence is
stable and slightly positive, although
unemployment has yet to confirm an
ongoing positive trend. A repeal of the
carbon tax may increase confidence.
The global economy appears to be in
recovery albeit with the United States debt
issues continuing to cause uncertainty.
It is expected that 2014 will be another
year of caution with potential for steady
low levels of growth, with demand driven
by greater global stability and ongoing
access to funding at low rates.
MORE HARD WORK
This does not mean it will become any
easier for many small businesses. It may
be a time for many owners to consider the
performance of the business and options
available, including some that may be
outside the box.
Options include a sale or merger, joint
venture and/or restructure in order to exit
a non-performing business, create a more
profitable business or expand into new
markets.
BE PROACTIVE WITH
POOR PERFORMING
BUSINESSES
We have seen a number of reasonable
businesses fail this year due to a variety
of factors, but many of these businesses
may have been saved, in some form, if
issues had been identified earlier and
action taken.
Actions can range from closure of
unprofitable stores, exiting unprofitable
contracts, or selling assets that cannot be
serviced from current income.
In the current environment most
stakeholders – from employees to
suppliers to financiers – understand that
there are difficult decisions to be made
that protect other businesses or assets.
Sometimes failing to make hard
decisions can have greater consequences.
*Todd Gammel is a partner with
accountants and business and financial
advisers HLB Mann Judd Sydney
the summer hangover Todd Gammel*
Business with HLB Mann Judd
T
he Christmas-New Year period can
be an interesting time for many
businesses.
For retailers strong Christmas and
summer trading correlates with a strong
overall performance for the year. For many
non-retail businesses there may be little
benefit in opening until the end of January.
Both can take steps to minimise the risks.
A CHALLENGING TIME
For businesses that have been under
pressure in a difficult, stagnant economy
the holiday period can represent a
challenge to cash flow and ongoing
business or a magnification of these
issues. The challenges relate to:
• The cashflow impact of paying holiday
entitlements with significantly reduced
income over the holiday period. Those
businesses with limited working capital
will be forced to juggle liabilities further.
• Managing income and expenditure in
accordance with funds available. Sales
may go up, but the income from December
sales may not be received until late
January. Arrangements on a 50% payment
in December and the balance on terms
may assist in mitigating these issues.
• Necessity of a holiday. Everyone needs
a break especially in a difficult market with
ongoing uncertainty. If the business is
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34 BodyShopNews.net | February 2014
35. Be aware of Tax Office audit priorities
*HLB Mann Judd Disclaimer
Material contained in these articles is written by way of general comment by partners
and employees of accountants and business advisers HLB Mann Judd. No material
should be accepted as authoritative advice and any reader wishing to act upon the
material contained in these pages should first contact an HLB Mann Judd firm or
their own accountant or adviser for properly considered professional advice which
will take into account each reader’s own specific conditions. No responsibility is
accepted for any action taken by readers of the material contained herein.
tax beneficiary while the benefits are
enjoyed by other beneficiaries;
• Artificial characterisation of amounts,
meaning tax outcomes that do not reflect
economic substance and/or result in some
parties receiving substantial benefits from a
trust while the tax liabilities corresponding
to that benefit are attributed elsewhere.
For example, trustees making resolutions
that artificially reduce trust income in
an attempt to direct minimal present
entitlement but full tax liability to entities
with no capacity or intention of paying;
• Mischaracterisation of revenue activities
to achieve concessional capital gains tax
treatment (e.g. by using special purpose
trusts to re-characterise mining or
property development as discountable
capital gains);
• Changing trust deeds or other
constituent documents to achieve a tax
planning benefit which can’t be credibly
explained by other reasons;
• Transactions that have excessively
complex features or sham characteristics,
such as round-robin circulation of income
between trusts;
• Making new trust arrangements that
involve taxpayers and/or promoters
who have connections to previous non-
compliance (e.g. people connected to
liquidated entities that have unpaid tax
debts).
COMPANIES
The government has introduced a law
expanding carry-back losses, which allows
corporate tax entities to carry back all or
part of a tax loss.
The decision to bring in the law resulted
from a recommendation by a working
group set up by the Government to
identify ways to better support business
growth – for instance where companies
going through establishment phase have
had to outlay a significant amount for plant
and equipment or the development of a
new product.
A corporate tax entity in this context
primarily refers to companies, but also
includes corporate limited partnerships,
corporate unit trusts and public trading
trusts.
What this means is that a tax loss from
the current income year or the preceding
income year can be carried back and used
against an income tax liability for either of
the years before the current year. This is
a departure from the existing rules that
only allow losses to be carried forward
and deducted from assessable income in
future years.
For example, if a company has a tax
loss this (2013/14) financial year that loss
can be carried back to either the 2011/12
income year or the 2012/13 income year
and utilised against an income tax liability
arising in either or both of those years.
As the measure was only introduced
in the 2012/13 Federal Budget a one-year
carry back period applies to tax losses
incurred in the 2012/13 income year — in
other words, a 2012/13 tax loss can only
be carried back to the 2011/12 income
year.
If the loss carry-back conditions are
satisfied then a corporate tax entity will
get a refundable tax offset for the loss or
losses it chooses to carry back.
Under the existing rules a tax loss can
be deducted from assessable income to
reduce taxable income whereas the new
rules allow for a tax offset. A tax offset
differs from a deduction inasmuch as it
reduces tax rather than taxable income.
Business owners who believe that their
company could take advantage of these
rules should raise the question with their
accountant or adviser. However, they
should also be aware that the ATO will be
keeping a very close eye on companies
that use this strategy to ensure they are
correctly claiming losses.
*Litsa Christodulou is a partner with
accountants and business and financial
advisers HLB Mann Judd Perth
By Litsa Christodulou*
T
he ATO has given guidance on
some of the areas that it is focusing
on this financial year and there are
two main areas we believe could affect
a large number of taxpayers. One affects
only companies while the other targets
trust structures that can be used either by
businesses or by families.
TRUSTS
One of the key areas of interest for the
ATO – yet again – is trusts.
According to the ATO the taskforce
responsible for targeting trusts aims to
look at ‘higher-risk’ taxpayers, not ordinary
trust arrangements or tax planning
associated with genuine business or
family dealings.
Nonetheless it would be worthwhile for
trustees to review certain areas to ensure
there can be no misunderstandings or
questions asked.
In addition now might be a good time
for taxpayers to determine whether they
would be considered ‘high risk’ in order
to be prepared when the ATO comes
knocking on their door.
The areas highlighted by the ATO
include:
• Trusts or beneficiaries who have
received substantial income that are not
registered or have not lodged tax returns
or activity statements;
• Those involved in offshore dealings
involving secrecy jurisdictions;
• Agreements with no commercial basis
that direct income entitlements to a low-
BodyShopNews.net | February 2014 35
36. Products in Review
Colad Nitrile Gloves GreyEMM International BV has introduced
new Nitrile Gloves that combine extra
comfort with extra protection.
EMM expressly undertakes initiatives
that contribute to the future of the
business chain. It engages in dialogue
with its dealers and end-users. Together
with them EMM invents and improves
products.
After the Blue and Black Nitrile
Gloves, EMM introduces the extra-
thick and extra-strong Grey Nitrile
Gloves.
This powder, silicon and latex-
free glove combines extra
protection with extra
comfort due to its high
elasticity.
• Extra strong, extra
flexible and higher
tensile strength.
• Extra long sleeves (300mm) and textured
surface for better grip.
• Powder-, silicon- and latex-free to
prevent skin irritation.
• Especially suitable for working with
paints and solvents.
• Produced without zinc, sulphur and
accelerant to maintain the environment.
For more information visit www.emm.
com or email info@emm.com
Bodyman Drum CrusherEver had a problem with what to do with all
the used drums that are left lying around,
now Autoliner has a solution.with their drum
crusher from Bodyman.
It is fast and easy to use, reduces waste
disposal costs, crushes cans up to 30 litres
capacity, is air operated and has a safety lock
door.
It will crush drums up to a sixth of their original
size. Now available for $950 plus GST.
For more information visit their website: www.
autoliner.com.au or email: sales@autoliner.com.au
Phone: 02 9603 8009 or fax: 02 9603 8257.
36 BodyShopNews.net | February 2014