Throughout my professional career, I have been fortunate enough to visit various workshops, ranging from small, independent businesses to large dealerships and dealer groups, as well as several Original Equipment Manufacturers (OEMs) in different countries worldwide. This experience enables me to articulate the differences in how dealers utilize workshop resources. I have observed various approaches to organizing workshop resources and managing resource utilization. This is the focus of my article today.

Let’s start by asking questions.

What is the recommended planning model for organizing workshop resources?

What are the essential criteria for selecting the right way to utilize workshop resources most effectively?

What are the pros and cons of each organization’s techniques?

Before we begin, explaining the terminology will ensure we are on the same page. This is important because there is a lack of documentation and alignment in the field.

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Workshop Resource Management

We have a mathematical equation: On the one hand, there is a demand for workshop activities such as vehicle repairs, inspections, and diagnostic services; on the other hand, there is limited resource capacity to perform these services.

The primary responsibility of Workshop Resource Management is to effectively balance workshop demand with minimal waste while maximizing resource utilization.

Workshop Resources

Typical workshop resources include people, machines (tools and accessories), work bays, and mobility vehicles. Each technician can possess different skills, available capacity, and Efficiency (Resource-Efficient Potential(1)). We should not forget that service advisors are also workshop resources. They handle receptions and handovers, conduct Vehicle Health Checks (VHC), or organize courtesy car pickups. Planning their involvement brings extra benefits to the workshop organization.

Personal Notes: Unfortunately, many dealers still underestimate and overlook the fact. Missing critical resources as service advisors during peak hours disrupts the workshop flow, creating “Bottlenecks,” negatively impacting workshop performance, and losing after-sales opportunities.

Resource Groups Planning

Resources are typically categorized by type, skill, and allocation. Common resource skills include mechanical, bodyshop, painting, cleaning, diagnostic, and electrical skills. Grouping Resources makes workshop organization and planning more effective, especially if the workshop has many resources (20+) and we need to control available capacity at the skill level.

Service Work

Workshop resources provide service work (mechanical, diagnostic, electrical, body, and painting work, etc.). To allocate their capacity, we need to estimate their involvement using either

> OEM Catalogs (Standard time)

> Workshop estimates (Best-Practice Estimation)

> External applications and catalogs (E.g., Audatex, DAT, TecDoc).

Resource Efficiency Potential (REP) and Planning Work Level (PWL).

Further, to choose an appropriate workshop planning model, two factors are essential:

> Resource Efficiency Potential (REP)

> Planning Work Level (PWL).

Resource Efficiency Potential (REP)

Resources possess skills, but how well they perform determines Resource Efficiency Potential. It is a dynamic coefficient that must be updated and calculated regularly (typically quarterly) for each resource in the workshop. Modern Dealer Management Systems (DMS) provide functional support for this.

Example of REP: Henry is a senior mechanic; he can perform a service inspection in 90 minutes, which usually takes 2 hours (Henry’s REP ≈ is approximately 130%). Therefore, we need to utilize his capacity differently to maximize his experience.

Planning Work Level (PWL) indicates the planning level at which the workshop operates to allocate resource capacity for service work.

Example of PWL

Level 1: Order -> Regular Maintenance after 30.000 Km

Level 2: Job -> Oil Service

Level 3: Task -> Change Oil and Oil Filter

Generally, PWL Levels 2 and 3 require more precise planning, better workshop organization, and increased DMS functional support.

Workshop Planning Models

Now, let’s connect all the points within the planning process context. Here, you can see two different traditional approaches to planning resources in the workshop.

Two-step Planning Model (Scheduling -> Assignment) and One Step Planning Model (Dispatching)

The Two-Step Planning Model is like reserving a table at a restaurant (you know you’ll get a table, but not which specific one yet). Upon arrival, the host assigns you to a specific table. This approach helps with planning ahead for resource workshop groups.

The One-Step Planning Model is akin to entering a coffee shop and being immediately assigned to a specific barista who starts preparing your coffee. This approach is practical for immediate, ad-hoc tasks where you directly assign a service job to a particular individual or work bay.

Now, let’s return to automotive and summarize it using proper terminology:

Which key criteria must be considered before choosing the preferred planning model for the workshop?

As you can see, both traditional planning models present distinct advantages and disadvantages. Like every coin, there are two sides, and there is a solution for every challenge.

Flexibility in adjusting the process flow based on the expected workshop load and circumstances is so important. Here, counting decision points and identifying potential bottlenecks can help determine which models best fit the dealer’s DNA and work style. The process flow visualization will spot such issues.

With the increasing availability of modern scheduling software tools powered by AI, which provide access to scheduling data, dealers can now analyze trends more accurately and automatically. They can consider planning for numerous factors such as expected no-shows, predictable absences, seasonal trends, and, most importantly, utilizing customer preferences and bases.

AI scheduling algorithms will soon support (but not replace) traditional planning models in many workshops, thereby reducing human interactions and opening a whole new dimension for service excellence.

Author note:

This writing builds on my previous article, and I wanted to update it with new experiences, add more details, and simplify it for a broader audience to emphasize the benefits better. I hope you find it helpful.

. . .

Besides resource group and resource planning, I included a couple of other planning models I learned.

Team Planning Model

Besides the “mainstream” planning methods, I noticed one interesting organizational style. Different resources were arranged into teams with predefined skill sets. This makes sense if the workshop operates with shift models, where teams operate independently, AND one person (usually a service advisor) serves as the team manager. Another observation is that some senior resources, primarily diagnostics, are shared among different resource groups, which makes workshop planning somewhat more complex.

End-to-End Planning Model

Another interesting planning style I observed was a distinctive model in Latin America, where the resource operates independently, including its work bays, and can handle the entire repair process alone, from reception to repair to handover. Surprisingly, this involved a large, multi-brand franchise dealer rather than a small, independent workshop. I refer to this style as the “one-man show”; sure, I can share more details about this unique approach.

Work Bay Planning Model

In specific markets, particularly in Asia, where human resources are not limited, I can observe a distinct planning model: managing at the workbay level. Here, dealers primarily plan work by work bay, with each work bay assigned to technicians. This approach is often favored by small and medium-sized dealers, especially when their Fixed Ops activities involve repetitive services like seasonal tire changes, quick repairs, inspections, and Pre-Delivery Inspections (PDIs). This model also lends itself well to time-boxed planning, leveraging the consistent skill levels of their resources.

[L1.]“How to distribute working hours in the Workshop #DMS“ Dr. Juraj Hanus, Technical Article, April 20, 2017, How to distribute working hours in the Workshop #DMS

[L2.]“No More No Shows“ Dr. Juraj Hanus, Technical Article, December 11, 2023 https://medium.com/@jurajhanus/no-more-no-shows-eccb3b2d4c17

Dr. Juraj Hanus, hanus@taxapa.com

Data Analytics & Automotive Applications Expert for Dealerships

The post The ART of Workshop Resource Planning appeared first on TaXaPa.

I built a functional overview related to Resource Management in the Dealer Management System. I hope you will like it. Please feel free to relay your comments, suggestions, or corrections. Thank you!

Dr. Juraj Hanus, hanus@taxapa.com

Data Analytics & Automotive Applications Expert for Dealerships

The post DMS Resource Management Overview appeared first on TaXaPa.