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Ford Threatens Audit I've heard about enough....

#1 User is offline   FMCSMT Icon

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Posted 31 July 2010 - 08:21 PM

I just wanted to vent a bit and ask if anyone else has heard of this? I was told on Friday that our engine numbers are too high. I am not to replace anything extra on any engine job or add any labor. I told my s/m that I already do only what it needs and if you want me to do more, you sign off on it. Thats how its been for years.

We flagged a condition code in our 126 report for engines. For those of you who don't know what a 126 report is, it is the basically the comparison of our cost per repair and repairs per 1000 vehicles, compared to other dealers in our region. So if a cylinder head job is done at our dealer for $2000, and all the other dealers are around $1800 or less, then we flag high. Ford will not tell us what labor operations or parts that we are high in. Basically, other dealers are not claiming all the applicable operations and are not charging Ford for all the parts. Then they look good and we look bad.

My manager told me that he has to go through some process now. This guy will not stand behind anyone of his techs. He is completely against us and it has become a very bad situation. Even if we properly document and show him everything, he cuts us in the end and does not have the spine to tell us. We always have to discover it. Just in the last week, 3 people have quit, the booker being the most important.

I am the only engine / heavyline guy in the shop. There is one other younger tech that has done well and is interested in doing engine work. My answer was to give all that kind of work to him. Then I won't have to hear all BS. And that tech will miss tons of labor ops and loose the dealer money to make Ford happy, not to mention waste much of my time will ALL THE DAMN QUESTIONS!. Their response is and always has been that they want me to do it because they know it will be fixed right, on time, and max profit made. But now they simply don't want to pay me anymore. I never wanted this position and did not sign up for it. Happened to be that when I started there, 2 weeks later the heavyline guy quit (moved out of state) and decided to see what I could do. With less comebacks more money made, they elected me to do all that work.

I fear that if I refuse to do that kind of work that they will write me up for insubordination. I feel it is discrimination to make me do all that kind of work and no one else has to. And now I'm being backed into a corner where either I loose my job or loose my pay. I believe it is true, the more you know and the better you are, the less you make. I ask of all of you if any of you have ran into this, what would you say to this? what actions would you take? This management is a snake in the grass and lie to our faces daily. That being said, I know that the owner, GM and the s/m have recieved a formal letter from Ford related to high engine repair numbers. I have 1 year left and I'm out of this field. I just need a bit of help. Thanks for your time.
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#2 User is offline   Ron W. Icon

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Posted 31 July 2010 - 08:32 PM

If the R.O. is written correctly, If the customers signature(s) is where they need to be, If the story on the back of the R.O. is written correctly, If the M-time is flagged correctly, If the labor ops don't overlap, and If I didn't miss any Ifs it'll be a pain but as long as Ford sees the rules are followed it won't be anything but a nuisance of their taking up valuable time.

Now If only ALL the dealers weren't afraid of Ford they'd all claim M-time where it is due and the 126 reports would be more balanced.
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#3 User is offline   sidewinder Icon

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Posted 31 July 2010 - 11:18 PM

View PostRon W., on 01 August 2010 - 02:32 AM, said:

If the R.O. is written correctly, If the customers signature(s) is where they need to be, If the story on the back of the R.O. is written correctly, If the M-time is flagged correctly, If the labor ops don't overlap, and If I didn't miss any Ifs it'll be a pain but as long as Ford sees the rules are followed it won't be anything but a nuisance of their taking up valuable time.

Now If only ALL the dealers weren't afraid of Ford they'd all claim M-time where it is due and the 126 reports would be more balanced.


FMCSMT, if the latest 126 is the first one to show a condition code, then there is no reason in the world for anyone to get their panties in a twist; it doesn't mean that an audit is imminent. If it's gone on for a while then yes, some sort of action needs to be taken. The specific actions to be taken depend on what categories are high, and then examining their driving factors. BTW, Ford has a lot of tools available to your SM to get the situation under control. As a technician, there is no reason for you to do anything less than repairing vehicles properly. Here's what you can do to protect yourself from any blowback in the future:

1. Make sure your story reflects each and every operation claimed on the R.O. If you claim a compression test, for example, you had better have the cylinder readings in your story, not just a line such as "ran compression test, found cylinder #3 low." That would be kicked back every time. When you write your story, you're writing your "bill", so to speak, to Ford via the dealership for your time. Be meticulous, accurate, and truthful.

2. Always access OASIS, post that in your story, and attach a print to your hard copy. We all strive to stay on top of the latest developments, but new TSBs and SSMs pop out from the mother ship daily, so cover that base. If you're on a complete ERO system, start yourself a file for the OASIS hard copies, filed by R.O. number. Trust me, it can be one handy thing to have in the event Ford or just your SM wants to get foolish.

3. M-time. It MUST be clocked seperately from the other time on the ticket, and MUST have a sign-off. You can also get paid to R&R a customer's accessory that is in the way of completing a repair, but it must be clocked as M-time and noted as such on the R.O.

If you'd like more thoughts from me on this, feel free to PM me; I didn't mean to go on quite so long, but there it is. And if you're a senior master,as your screen name would indicate, congratulations; it's a sign of dedication on your part, and indicates true professionalism. Well done.
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#4 User is offline   Jim Warman Icon

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Posted 01 August 2010 - 03:52 AM

Suck it up, Princess... an audit is an audit... shit happens and life goes on.

Most good techs have quality of work issues... we always feel we haven't done as good as we can.... even though we have done better than most.

If your boss is an ass, you are working at the wrong store....
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#5 User is offline   Saltmine Icon

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Posted 01 August 2010 - 11:12 AM

Jim's got a point there. If your boss is an ass, leave. Eventually, somebody will wake up and wonder why all of the prick service managers don't have any employees.
Sam Will
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Kingman, Arizona
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#6 User is offline   Xgmtech Icon

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Posted 01 August 2010 - 01:35 PM

[ It is the same with Gm, The regional GM rep comes by and looks at the labor and total cost per RO. then puts his boot on the managers throat and threatens him that an audit is coming if the labor time is not kept to a minimum,, obviously it is not stated this directly by the rep but it is clear enough,, my boss was so afraid of an audit that he would stain his droors at the notion of giving any extra labor..
I call it the rebait theory, the factory makes it so dificult to get any type of extra labor, they are banking that the tech will not spend an hour documenting, explaining, pleeding, begging, doing cartwheels, bending over backwards ect... So he can get an added .5 for the extra 3 hours he spent repairing the poorly designed vehicle that some bozo behind a desk figured was worth 1.5 hours to replace an evaporator core... under warr.
If anybody doesnt think that is not the case they have not spent enough time at a dealership,,
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#7 User is offline   jag1279 Icon

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Posted 01 August 2010 - 02:20 PM

I've always enjoyed how Ford, GM, CDJ, etc. love to screw the techs in the trenches without even giving them the common courtesy of even a reach around while on the other end of the spectrum sucking off the no-skill bozo's working in the factories. It's no wonder the "Big 3" were/are going broke when they pay their unskilled labor such outlandish wages along with gold plated benifits.

I think it's about time the the big dogs at corporate figure out who skillfully repairs their automobiles while maintaining the reputation of the company (dealership techs) and who's just there to bolt a fender on a car every 45 minutes, then just read the paper. Maybe it's already too late???
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#8 User is offline   FMCSMT Icon

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Posted 01 August 2010 - 11:20 PM

I have sucked it up...for a long time...then went to another store and a while later, same audit story. Our condition code is lowest level right now and if you ask me, management should have no reason to even bring it up with me. Panties in bunch?..much so, yes.

It's funny though how Ford would send out a formal letter addressing engine repairs only. Maybe it is new protocol to get management all worked up, I don't know. Bottom line is, my boss is an ass and I am working at the wrong store. However, I have a really good position here being in the union, 2 stalls (at least), and the only heavyline guy in the shop. I know after hearing that you might think "WTF?, Good Position? Heavyline?" but I do enjoy the work and not many can do it back to back endlessly with no comebacks. And I also turn over 50 hours a week. I see alot of guys standing around and getting sent home early. Has not happened to me in 11 years.

I know what its going to come down to. You see, I pre-book all my jobs so that I know how much time I have to work on the vehicle. So when I turn in the RO I wait for the booker to punch in the numbers and when he/she is done, I check it on my flag to verify. Now I am sure management will step in and start cutting labor ops before the ticket is closed and not tell me. Then when I ask him why he will say too bad in so many words as he has with other jobs in the past. I don't know, its all a bunch of BS if you ask me.
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#9 User is offline   rollerclutch Icon

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Posted 01 August 2010 - 11:47 PM

View PostSaltmine, on 01 August 2010 - 05:12 PM, said:

Jim's got a point there. If your boss is an ass, leave. Eventually, somebody will wake up and wonder why all of the prick service managers don't have any employees.



Saltmine and Jim have are right.

Make an example out of that dipsh^*t service mananger.
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#10 User is offline   Alice liu Icon

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Posted 02 August 2010 - 02:12 AM

View PostJim Warman, on 01 August 2010 - 08:52 AM, said:

Suck it up, Princess... an audit is an audit... shit happens and life goes on.

Most good techs have quality of work issues... we always feel we haven't done as good as we can.... even though we have done better than most.

If your boss is an ass, you are working at the wrong store....


I just want to say
I can't agree with you more!
We should not have too much to blame ,
we should look forward.
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#11 User is offline   Karrpilot Icon

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Posted 02 August 2010 - 08:31 PM

Another thing you probably have going on is poor new vehicle sales. Along with fixing other store's vehicles that they either couldn't or would not fix.

This is how it used to work. Vehicle sales go up, so do warranty claims. Vehicle sales go down, so SHOULD the warranty claims. In Ford's eyes.

However, that is not the real world. I used to work 15 miles from a mega store back in the day. We were always flooded with their repairs. Due in fact that they could not possibly handle their work load. And they usually gave lip service after the vehicle sale.

Our sales dept. looked to be more of a morgue then a place of business. Ford was always on our case warranty wise. But the customer's were always happy with our work. Then Ford backed off from us.

This is just a shell game. What Ford probably wants is for your sales dept to move some iron. When that happens, Ford is happy, and they go away, and will leave your service dept alone.
No longer working at dealerships. Government employee. Now i get paid to fix Fords.
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#12 User is offline   FMCSMT Icon

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Posted 02 August 2010 - 09:45 PM

Thank you sidewinder for the congrats and for the notes.

As far as SMT, I waited 7 years after starting in this field to achieve SMT status as I felt experience should earn that title and give it meaning. I see alot of young SMT's out there that achieve right out of ASSET. Don't get me wrong, as a previous ASSET student/grad it is a good program, but experience, knowledge and abilities brings true meaning to SMT. I was also a '08 acheiver, so no cruise for me. I didn't care, not why I did it.

As far as your notes, I follow them to a T....most of time. When I get treated poorly I tend to forget something here or there because I'm pissed off. Whoops, forgot to attach that oasis prinout or left out that pinpoint test result. I have been treated as a foreman for years and have to "police" other techs from time to time on stories and warranty policy/steps, but I will not take that title because I have watched other foremans loose money and their minds at times from all the questions and helping.

Karrpilot, as far as the sales dept, I have worked for stores like you mentioned. Cribbage and internet monkey porn is about all you see going on on the sales floor. However, not with this store. I am unsure how many cars we sell in a month but i believe it is over 200. This stores sales floor is often at least as busy as the service dept drive. Which here is pretty damn busy. For example I have R&R'd 35 engines this year to date (keeping track for the first time). I see what you mean though. The last store I worked at sold no more than 4 new cars a month and service was very busy. I would think that at this store, we move enough iron to make Ford happy.

I was told by the booker today that our engine repair condition code went up from C6 to C3 which he believes is the first stage of an audit (in house I think?). He believes it to be from all the Fusion heads and Diesel Engine repairs done under warranty on stock units. I just did what I was told whether it was against warranty policy or not. It should be management's duty to make sure rules are being followed. Not to mention, all of those jobs were wrote up in s/m's name. All of those repair orders had used car inspections on the first line and then warranty add-on lines made by the manager from another tech checking the car out and telling the manager.

In house audit sounds like cut the tech labor to me. I hope it doesn't turn out that way because I will have to leave at that point. I wish I had some type of ammo to combat this fight but I am pretty sure I won't win. If anyone has any other ideas to make sure this doesn't happen, please post it. Thanks again for all the respones :D
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#13 User is offline   Ron W. Icon

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Posted 03 August 2010 - 09:56 AM

View PostFMCSMT, on 02 August 2010 - 09:45 PM, said:

He believes it to be from all the Fusion heads and Diesel Engine repairs done under warranty on stock units.


The dealership repairing it's own vehicles while corporate pays for it will draw attention.
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#14 User is offline   Saltmine Icon

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Posted 03 August 2010 - 10:47 AM

I remember being called out once while working at a dealer. The Zone Rep told us we were replacing too many engines. and we were going to have to find a way to cut down on engine replacements or face an audit.

"Any ideas?" the rep asked the meeting.

I spoke up,"Yeah, why don't you guys build better engines? That would cut way down on warranty engine jobs."

I could tell he didn't like what he was hearing, but the assistants he had with him, made notes.

Unfortunately, they must have listened. Engine quality in production cars gradually improved to the point where we seldom replaced an engine...maybe two a month.

It has been suggested to Ford, but apparently they're not interested in making a better product, just more money.
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#15 User is offline   sidewinder Icon

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Posted 03 August 2010 - 12:16 PM

View PostRon W., on 03 August 2010 - 03:56 PM, said:

The dealership repairing it's own vehicles while corporate pays for it will draw attention.


That's for DAMN sure. Ford will accuse the dealership (and probably rightly) that they are either padding service numbers through warranty repairs on stock units, or using warranty to recondition used vehicles.
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#16 User is offline   Karrpilot Icon

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Posted 03 August 2010 - 08:06 PM

Yes, i remember that SSM now that it was brought up. The 6.0 diesel would stick and bend valves and kiss pistons if they sat on the lot too long and none of the too busy sales staff ever went outside to start them up every once in a while. Ford did threaten to void any more warranty claims for that. Interesting thing though. How about AFTER the vehicle sale? Was Ford going to void warranty claims for non useage of their product???????

I thought Ford finally got a handle on that issue. It would appear not. My Taurus sat outside next to a barn for over 2 years. I charged up the battery, and fired it up with no problems. And thease new vehicles can not go a couple of months before the engines scatter? How sad is that?

This all reminds me of that old saying. Same circus. Different clowns.
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#17 User is offline   Warren Johnson Icon

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Posted 04 August 2010 - 12:28 PM

Do you know what part was flagged in your 126 report. There are several differant areas that you can be high in and differant ways to lower your numbers. If your dealer is now in a self audit and warranty councaling (the first step when you are high in one area for a while)all this is doing is getting your manager to review claims and make sure everything is in order. Just because your numbers are high does not mean your are doing something wrong... If you are high in engines for dollers per RO it could be something as simple as your booker is using the wrong causle part# lets say you replace an engine because the thermostat stuck and baked the motor. The correct causle part is the thermostat but you have to look at it this way every other dealer coding claims to a thermostat are just replacing thermostats. This will send a flag on your 126 because your claim is so much more than anyone else. this is ok till you do 3 or 4 of these then you end up in an audit. Now if you used the causle part# of the block or piston anyone else claiming these part #s are also doing major repairs and the numbers will be right in line.. Same repair with a differant causel part one is good and one is bad.. Now if you are being flagged for repairs per 1000 that is a whole nother ball game and most of the time is a sevice writer problem adding lines to ROs and things like that.
I know the 126 inside and out if you can tell me what was flagged and the condition code I can tell you how to drop your #s. It is all book keeping you do not have to change what you are doing to the cars unless you are stealing from ford ;)
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#18 User is offline   FMCSMT Icon

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Posted 04 August 2010 - 04:23 PM

Warren,

They did show me the claims list from Ford about 2 weeks ago. Looks very confusing. I know that the condition code is in engines and just went from a C6 to a C3. As far as my manager reviewing RO's, he is too busy setting up side jobs for himself and ordering ATV parts for his toys. I did work at a couple of stores where RO's were scrutinized and they never had problems.

Here is one example where I am high. Exhaust manifold studs on 4.6L engines in '06-'08 Explorers are breaking on the right side and are impossible to reapir in vehicle. Ford knows about the problem, they have sent inspectors out several times to verify that the engine does need to come out to be repaired. Basically I charge Ford for engine inspection, engine R&I, both manifolds R&I, and Mtime up to 1 hour per stud as needed. The problem that I found is that when the booker was claiming Mtime, it showed up on the claims list MT9441 (exhaust manifold). This flagged us very high because other dealers may only be installing the manifold in vehicle when that causle part number is used. Because the actual stud is a standard number (W******) it is not a valid number and they used the manifold and the failed part. I told the booker that from now on to use MT6049 and 6049 (Cylinder Head) as the failed part number because I am actually repairing the cylinder head. Because I don't use any gaskets, etc to do the repair and I don't claim cylinder head repair (engine removal required per wsm) I figured this should help.

Another example is when Ford makes me teardown engines for inspection. Lately, scored main bearings or thrust bearings in the 5.4 3V engines have been falling into the pan causing variable cam timing concerns. So there are no operations for teardown in SLTS and I have been claiming Mtime to teardown, cost cap anaylsis, show to inspector, and reassemble the unit for core. As a trans overhauler also, I have always got 1/2 of overhaul time to do this cost cap procedure per Ford and I also take 1/2 overhaul on engines for this procedure. I am certainly not going through all that for free and Ford approves it every time.

I believe we are high in cost per RO - engines are at 156% - and also high in repairs per 1000.

One question I had was how would a tech steal from Ford? I also wanted to mention that I do look up all ops before starting a job and submit them to the booker when the job is completed on a seperate sheet of paper that is returned to me and saved in my notes along with stories. I believe that I should not go into any job blind, and find out later I have way too much time into it.

Thanks for you response. Please continue the advice.
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