Re: Shop Rates

Posted by 4240 Turbo on December 26, 2020 at 10:34:48 from (98.127.8.78):

In Reply to: Shop Rates posted by K-Mo on December 26, 2020 at 07:28:01:

I think that the rates are likely driven from the intricacies and complexities of these new type machines. The rate was followed by the necessity of us to have all these nicer, more elaborate things. Remember that in 1970 the job was only going to require SAE tooling, now you need a full compliment of metric to go along with sae. This includes taps, wrenches, sockets, o-rings, allens, and more. Now, that cost is tremendously more than it was to do that same job from 40 years ago. The cost had to go up, the profit went down.

Now, these DEALERSHIPS are requiring buying and paying for expensive equipment for these repair facilities to be complete. This includes all of these fancy expensive battery testers, fancy expensive thermal cameras for recording and documenting data of failing bearings or wiring, diagnostic platforms, digital torque instruments that are guaranteed to stay calibrated and store the date and time of the job for future reference if there is an issue.

I am afraid that the volume of work that needs to be put through a facility now to maintain these high overhead equipment and tooling requirements huge. Case put several dealerships out of business in my community by mandating that these dealerships maintain tool group and parts inventory for all sorts of case products, even specialty products like cotton equipment that doesn't even grow here, In a time when a new machine may come forward and the stores puller didn't work anymore because it needed updated to a metric platform or "our metric wrenches only go to 24mm and we now need an entire metric compliment now to do our job, of which someone has to pay for out of the profits of of the garage.

Overhead goes up, tool loss or repair costs escalate due to more inventory onhand, prices soar, and profit goes into the toilet.

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