Performance Automotive Industry: Two Keys To Rev Up Your Shop’s Profitability And Performance

Running a high-performing, profitable shop requires excellence in many areas.  Focusing on just two—customer retention and shop performance—can make the most significant impact on your business. 

When it comes to customer retention, quality and consistency come to mind. There’s no room for error when your customers are trying to shave milliseconds off their racing time. When your customers know that buying from you means one less thing to worry about because your product performs every time, your shop will become—and stay—their go-to option. 

As far as optimizing your shop performance, the best products and processes win every time. Consistently creating excellent products requires a shop that runs like clockwork due to efficient processes. Streamlining and leaving little room for guessing and errors boosts productivity and, by extension, profitability. 

Measuring how well your shop performs is about more than simply counting the number of items you produce in a day. The following five metrics will give you insight into areas that can make or break your shop’s profitability. 

Growing a successful business takes high-quality products and cost control—wages, materials, and equipment. Some costs aren’t as apparent on a balance sheet. But their impact is abundantly clear: unnecessary or early wear and tear on equipment and work slowdowns due to difficult-to-use products and poor shop conditions.

Scrap rate is painful, especially when it’s preventable. For example, metal-on-metal contact chews up stones and causes metallurgical burns. That leads to rework or replacement. Scrapped products don’t ship and hold up the timeline for the product the customer needs and expects.

Shutdowns mean lost hard dollars. Many shutdowns can’t be avoided, but some can. For example, without proper lubrication, friction chews up stones more quickly. This means replacement costs plus more frequent shutdowns as stones are replaced.

With the continuing worker shortage, working conditions generally are more crucial than ever.

Many of the fluids we use in our shops contain additives that make working conditions uncomfortable or even affect your team’s health. When the labor market is tight, other employers can offer your best employees incentives to jump ship. Keep your team happy and working for you by prioritizing their safety.

Replacing defective products is a hit to your bottom line. Just as costly? Possible damage to your relationships with customers. Their trust means continued revenue and referrals. Any opportunity—across the production process—that decreases the possibility of defective products saves damages to your bottom line and customer relationships.

The quest to make the best product while increasing profits can lead to a continuous cycle of R&D. What if producing the best possible product in the best-performing shop could be as easy as switching honing oil to create the best possible and profitable product? 

As Keith from Total Seal Piston Rings says in the video above: “Customers come to us because they want something better than what everyone else has to offer. We have to surround ourselves with companies we work with to give you that better product.” 

When you use QUAKERCUT® 004PE, you’ll produce better products with smoother finishes and increase the lifespan of your equipment with fewer metallurgical burns and longer stone life. Because of the viscosity, you’ll lose less fluid due to drag out and get greater yield per stone AND per liter of fluid.  This first-class fluid also improves your work environment (and employee satisfaction), because, unlike many shop fluids, it doesn’t contain smelly additives like sulfur and or skin-drying additives like chlorine. 

Product specifics:

• Reduces friction and prevents metallurgical burns
• Makes abrasives last longer
• Produces zero odor
• Lengthens stone life
• Improves cooling
• Decreases product waste (less fluid lost to drag out)

If the sales numbers offer any indication, QUAKERCUT® 004PE is on the way to becoming the automotive performance industry standard. Sales have increased, on average, 18% per year since its development in 2016, and our customers are recommending it to their customers.

For more information on how QUAKERCUT® 004PE can improve your processes, contact our team at 1-844-928-3453 or insidesales@quakerhoughton.com.