If you run an auto body shop or an auto repair shop, you know that inventory management can be a daunting task at times. But managing inventory wisely is essential to profitability, especially when it comes to collision repair. It can be difficult to receive payment from your insurance partners if everything isn’t documented on your invoices, which is why small parts can make a big difference in the long run.

If you’re wondering how much of a difference small parts can make, take the number of vehicles repaired in your shop each month, and multiply that by the average cost of supply items that generally don’t get documented, like body clips, fasteners, connectors or chemicals.

Here’s an example. If your shop repairs 30 vehicles a month, and the average cost of your small supply items per vehicle are $40, including them on your invoices means an extra $1,200 in monthly profit. Multiply that by 12 and you’ve got an additional $14,400 in profit for the year.

Are you thinking that this sounds good in theory, but would never work with the inventory nightmare you’ve got on your hands? Cleaning up this mess isn’t as hard as you think. You can easily get a handle on inventory control without making more work for everyone by using an inventory management system that tracks billable parts, and generates itemized invoices for you to provide to your customers and insurance partners.

An inventory management system includes a scanner, a clip assortment and front office software. It has the ability to track parts from the time they come into the shop, through the time they’re in the technician’s hands, and when the vehicle leaves the shop. Now you’ve got improved inventory control and you always have what you need on hand.

Using a system like this also allows you to monitor the products and tools your technicians are using to repair damaged vehicles. You can see which parts technicians use to complete orders, track the tool usage by each technician, and easily spot potential problems. Shops utilizing this technology have been able to save over $20,000 annually or more.

Using an inventory management system like WURTH SIS  allows your technicians to scan WURTH products, and products from other vendors required for vehicle repair. Tracking all of your billable parts, like adhesives, pads, detailing supplies, paints, fasteners, wiper blades, drill bits, bulbs, fluids and tire valves, is your key to higher profits.

Getting an inventory management system like SIS started is easy. Your WURTH representative will come in, re-organize your cabinets, install everything, and regularly maintain the system. There’s also a support line for questions or immediate needs.

So, if you’re looking to boost your profits this year, an inventory management system is a win-win for you and your customers. It will allow you to make money, reduce loss and really get a handle on how your billable items and tools are being used.

For more information on inventory management systems or WURTH SIS, call 800-987-8487, or visit www.wurthsis.com.