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Letter to the Editor

Three Associations One Voice?

Is the industry helped -- or hurt -- by having multiple national trade groups?

The plea from the shop owner began, as many emails to the industry's publications do, with a virtual laundry list of problems the shop owner was facing, apparently un-aware that virtually every shop in the country faces similar circumstances.

"Isn't there something the national association can do about this?" the email concluded.

The writer of the email did not specify to which "national association" he was referring. In fact, when contacted, he admitted to not knowing there was more than one such association - nor belonging to any of them. But his question is one many in the industry - fairly or unfairly - have asked at one time or another: "Isn't there something the national association can do about this?"

It's a question Nick Kostakis, Geri Kottschade, and Lou DiLisio say they too have heard - and may have even asked at various points in their own career in the industry. But as the volunteer leaders of the national boards of directors of the Alliance of Automotive Service Professionals (AASP), the Automotive Service Association (ASA), and the Society of Collision Repair Specialists (SCRS), respectively, the three also can provide a unique perspective on what those associations have done and can (and cannot) do either individually and collectively.

The associations' goals

Each of the three association leaders were asked to cite three or four key issues their association is working on, and it quickly became apparent that there is a lot of overlap - and at least a few key differences - among them.

DiLisio, a former shop owner turned industry consultant who is now in his second year as SCRS chairman, said SCRS is working to improve its communications with the various segments of the industry, to identify and address member issues, and to develop a long-term business financial plan for the association. He said SCRS is also working to bring new voices to the table.

"In the past, many associations have been viewed as a clique," he said. "We are actively pursuing input and participation from all directions. We have actively enlisted many young members to reach out and bring 'new' people into our organization."

He said another key goal is to build stronger working relationships with other associations.

"There is no question that in order to be successful we must present our desires in a unified manner," he said.

SCRS and ASA, for example, jointly presented a letter in November asking automakers to provide information about their new shop certification programs, which in some cases will be open only to dealers or will attempt to limit repairs of certain vehicles to certified shops. Some replacement parts, for example, may only be sold to those certified shops.

"We are extremely pleased to be working with ASA on this issue to ensure that independent collision repairers are not restrained from trade in any way," DiLisio said.

Like SCRS, AASP lists improving benefits for members and working more closely with other industry organizations among its key goals for 2005.

"We would like to think that we have a good working relationship with all associations," said Kostakis, the vice president of Angelo's Auto Body, Inc., in Irvington, New Jer-sey, who recently completed his second year as national president of the AASP. "I've been personally involved on a joint project with members of SCRS and ASA for the past two years. Both groups have dedicated, talented and selfless players, and I hope that we can initiate more joint project work as we move forward."

But at least one AASP goal for the year - supporting proposed "Right to Repair" federal legislation - puts it at odds with ASA, which now opposes that legislation.

Under the bill, automakers would be required to make the same service and repair information that they make available to their dealers available to independent shops. ASA actively supported the legislation until it signed an agreement with some automaker groups in the fall of 2002, saying it would oppose the legislation in exchange for the automakers voluntarily making service and repair information available via websites.

Kostakis said AASP and the other industry organizations supporting the legislation believe it is only the threat of such legislation that spurred automakers to make information available. The voluntary agreement is likely to collapse, they say, if not mandated by law, particularly if automakers see the threat of such legislation being passed as diminished.

ASA's Kottschade, on the other hand, said key among ASA's goals is to "educate the industry about their right to repair, ensured by the ASA and auto manufacturer agreement." ASA has created a class it has offered throughout the country about using the OEM websites, and has said there is no need for federal legislation on the issue, provided the automakers continue to cooperate voluntarily.

Kottschade, the co-owner of Jerry's Body Shop in Mankato, Minn., who is the first woman to serve as chair of ASA's national board of dir-ectors, said one area of legislation ASA will continue to support is state efforts to limit insurer ownership of collision repair shops. The association's "Collision Division Operation Committee," she said, continues to produce articles and documents to assist members, such as a recently revised chart showing "non-included" operations in each of the three major estimating systems.

She said that while there will likely always be some areas of disagreement and some competition for membership among the associations, she sees more of a need for - and interest in - working together than there has been in the past.

"I believe we are more open to partnering than ever before," she said of ASA. "Sometimes we may need to agree to disagree, but we do not have to be disagreeable about it. And I believe we are making progress."

One approach vs. multiple

While there are those who argue the industry would be more powerful with one unified voice, others see some benefit in having multiple associations. They say the different structures of the three associations give each its own unique strengths.

"The strength of AASP lies in its simple, efficient structure, which results in full accountability to its affiliate groups," Kostakis said. "You will never hear our affiliates complaining about the direction of the ship, because each controls its direction. The downside to this formula is that our largely volunteer [national] staff simply doesn't have the resources to undertake multiple large and expensive projects. To be more effective within this structure as we move forward, our current and future affiliates may have to devote more resources to the national component."

SCRS prides itself on having an organizational structure and diverse board of directors - including small and large shops, for example - that allow it to act on industry issues quickly. But like AASP, SCRS relies largely on its state affiliates to address local and state issues.

"If the issues become national in scope, we become more closely involved," DiLisio said. "We would also like to provide more legislative support, but once again are held back due to the lack of time and resources."

ASA has the largest national staff of the three associations. It also has the most formal decision-making process of the three groups, with a number of committees and a board that review industry issues for possible action.

"From the outside, it may sometimes appear that it takes too much time [for ASA] to get things done," Kottschade admits. "I know as a shop owner I find that hard to understand, since most of us are impatient and action-driven. However, collectively we are thorough and deliberate, and this perceived weakness has often been our strength in the long run. Our volunteers are committed, and serve the association unselfishly. They are results-oriented and would be frustrated if their service [had] no tangible outcomes."

Answering critics

If there is one thing the three association leaders agree on, it is that critics of the associations, those who say they accomplish little, are wrong.

"In so many major ways over the years, ASA has been the leader on issues like access to service information, insurer-owned shop legislation, tort reform, health insurance reform, and others," Kottschade said. "I see our 'not included procedure' handbook being used all over the place. We have more than 35 major member benefits and services, and more to come."

"The mindset of many is to sit back and complain about what does or does not happen," DiLisio said. "I can honestly say that I was like that years ago as well. It wasn't until I became involved that I realized just how hard these organizations work on our behalf."

But, he said, too often people view industry issues too simplistically.

"The reality is that there are extenuating circumstances to every situation and it often requires patience and compromise - which is mistaken more often than not for passive behavior," he said.

Kostakis contends that those who are not involved in at least one of the associations do not even deserve a response to their complaints about a lack of association accomplishment. But for members, "while clear and obvious association victories are few and far between, the mere presence of these associations gives members benefits over the alternative," he said.

"To paraphrase Jack Nicholson, with state and national associations, 'you've got someone watching the wall while you sleep at night,'" Kostakis said.

For the shop owner whose email pleaded for a national association to do something about the issues he faces, the association leaders say their organizations can do so only with his involvement. DiLisio, in particular, hopes that shop owners will see the fact that there are multiple associations as an opportunity and not a discouragement to participation.

"We've all finally realized that with limited resources, we need to work together to be most efficient in achieving our goals," he said of the three groups. "That said, we realize too there are many more dedicated individuals out there who may have become dismayed by all of the 'politics' [among the associations] in the past and so have not have stepped up to participate yet. I feel it is important that those who stand on the sidelines become involved. I completely understand that is difficult to do, but the most important thing to remember is that no matter how little appears to be accomplished, at least something is being done. With the participation, guidance, support and commitment from others, we would be able to accomplish so much more."   o

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