11/23/2021
Hello. It has been awhile since I posted on our page. So worn down from pandemic. Wear a mask. Don't wear a mask. Clean this. Scrub that. Just buy some plexiglass. What do you mean the part is still in St. Louis?! Ugh. Exhausting.
The automotive industry has been lacking 50% of its skilled labor work force for nearly 15 years. We belong to a group that should be 900,000 people strong. Many schools don't offer shop classes. Many kids don't have somebody to help them get interested in auto repair. Technology is advancing faster than people are being trained. The average age of a mechanic/technician is 52. We oldies are getting tired. Burnt out.
Madison has lost a few small shops this year. Some of these people are my friends. Others are comrades in the out witting the auto engineers club. We have known each other or known of each other for decades. Thank you Tom's Auto Clinic, CV Pros, Speedy Muffler, and Foreign Car Specialists. I raise the almighty 10mm wrench and salute you. As I look toward retirement I understand the feeling of not doing what I love and not doing what I have done for so long. Tugs a bit.
On top of this pandemic (insert your favorite swear word here),
supply chain issues, not having enough skilled labor in the industry, now our costs are going up. Over three months we have taken a 24% increase in our oil and lubricants. December 1st brings another 15% increase. We have taken great care to be reasonable in our pricing, provide quality repairs, and stand behind the work we do. This business model does not make Crystal or I rich by any means. We have contributed and have sacrificed so many things because we don't want to be like other businesses.
A rate change is coming. We carefully look at where increases can be most useful and the least painful. Everybody is feeling costs going up. We need to remain viable and accessible. We are also looking at changing some product lines to continue to provide quality parts at reasonable prices. I will be talking with my vendors about jobber rates and pricing. We are doing what we can to keep going.We are also looking at what is our breaking point. Its good to steer clear of the cliffs edge.
We are okay and hanging in there. We are a financially stable ship. Thanks to Crystal we pay our bills on time and to zero whenever possible. I let her know what our facility needs and when, she plans for it and tells me it can happen. I make it happen. Like many small businesses and most working folks we are one catastrophe from screwed. Yes, yes, yes we are insured a gazillion times over. I am talking about, for example, say the supply chain breaks. It is getting harder to source tires and some suspension parts. Trucks are late. Noone to unload the trucks. When we run out of parts our mortgage is still due. Our parts come from huge warehouses. Elgin and McCook Illinois are the closest. Earlier this year one shut down for a few days because of a covid outbreak. That sent a ripple across the Midwest. Ever changing times.
At Dutch's we defy the industry's metrics for a shop our size. Currently, I have three full time mechanics including Crystal, one part time oil changer shop picker upper helper person, a new front desk person, and me. With this level of staff we should not be able to turn more than 3,000 cars in a year. But we do. Crystal and I talk about retention and hiring. Pay, paid time off, and bonuses. We offer what we can and make sure we can sustain what we offer. It is a continuing conversation.
We cannot be successful without the people who work for us. We have a dedicated, smart, and effective crew. They are tired too. This group seems to want to stick together which, for a boss like me, is a good feeling heading into Winter. Now I hope for no injury or illness.
We cannot be successful without a good customer base. I smile thinking of the eclectic people who come and go at Dutch's. We are blessed with a loyal following. We are grateful to be recognized as humans and forgiven for our mistakes. We have watched families grow. We have seen them get smaller, We have celebrated customers movin up to a newer car because the old one got them to school so they could afford a newer car. We see the old car get passed down to a kid who just got their license. We have grieved some personal losses together and celebrated some person bests. We are more than a business, we are part of a community. We are grateful to belong to something bigger than ourselves.
Thanks for reading all of this.
~N