How to Run a Successful Auto Repair Shop (5 Step Guide)

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May 22, 2023

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Read time: 3 min

When thinking about how to run an auto repair shop, we might start by thinking about a well-managed football team. The different players know what they’re responsible for, show up to accomplish their jobs, put their best effort into everything they do, and perform their best as a team. Players have each others’ backs both on the field and off the field. They can think on the fly, and move as a unit toward the end zone.

How do your players work together? When mechanic shops assemble the right team, devise the right strategy, and run the right plays, they can win, too. Service advisors can stay informed about what’s going on with every repair order at any given moment in time, switch easily between tasks even when the shop is busy, and provide excellent customer service. Technicians are able to focus on their work and spend more time turning wrenches. And customers? They’ll get their cars back fast and drive away with a good impression of your shop.

Shop owners who think more deeply about how to manage a mechanic shop are rewarded for their efforts. Well-managed shops see exponential returns. Stellar team performance leads to customer satisfaction and repeat business. The more successful your shop, the more you can invest back into your team, continuing the cycle of success for all involved.

Leading an Auto Repair Shop: Getting Started

Effectively leading an auto repair shop means focusing on:

  1. Recruitment and hiring
  2. Management
  3. Team motivation
  4. Employee pay
  5. Mentorship
  6. Work-life balance for everyone on the team

If you’re a long-time shop owner who has been helping people get back on the road again for a while now, you may have nodded your head while reading that list—management challenges are common for every thriving shop, and this article may still be a good refresher on how to improve management at your shop.

If you’re just starting out as a shop owner, try not to get stressed out reading that list. We know it’s a lot, and you don’t have to tackle everything at once. In fact, we recommend taking things step by step. Focus on the basics in each management area and refine things along the way. For example, you don’t need to create a top-notch employee mentorship program right out of the gate. In the early days, you should spend more time on recruitment and hiring, just like a football team that knows it needs to upgrade its scouting and drafting process before it can build a great roster.

As for you, the coach: No first-time football coach walks onto the field with every play they’ll ever run already drawn up. They have to learn about all of their players, the culture of the organization, and how to best motivate their team members. Only then can the coach put the gears in motion for the team to grow as a group and smoothly work together, while building everyone up.

Ok, coach! Here are the management plays on how to run a mechanic shop that you should prioritize when you’re first getting started. Let’s huddle up and look over the “How to manage a mechanic shop” playbook.

1. Coach Your Team Members to Get Customers Up and Running Fast

The day your first customer walks through the door, you want your team to be prepared to quickly get that customer’s repair set up. Coach your service advisors and team members on:

  • Creating repair orders: Service advisors need to be able to create repair orders that anyone on the team can quickly access.
  • Running inspections: Your mechanics need a straightforward process for running accurate vehicle inspections.
  • Putting together and sharing estimates: Your service advisors need a simple way to take the tech team’s findings, create easy-to-follow estimates, and share those estimates with customers.
  • Receiving customer authorizations: Service advisors need a clear-cut way to get customers’ repair authorizations so they can then communicate that to technicians, and technicians can begin work.

When you coach your team on the fundamentals, they’ll be able to get customers back on the road as soon as possible.

The Play: Digital Vehicle Inspections and Estimates

Digital vehicle inspections and estimates are a touchdown with customers. Tekmetric’s DVIs put technicians ahead of the game; they can clearly communicate inspection findings by entering key details, attaching photos and videos of their findings, and indicating the severity of each finding via a color-coded system.

Then, service advisors can build estimates that precisely detail the costs and show customers exactly what work needs to get done, and why. Once a service advisor sends an estimate, Tekmetric will add the label “Pending Authorization” to the relevant repair order. Tekmetric gives customers the ability to digitally authorize repair work right from their smartphones, so your technicians can get to work ASAP.

DVIs and estimates score points with customers by showing them that your process is transparent and trustworthy.

2. Power Frictionless Collaboration On Your Team

Can your team execute plays on the field? To win the game each day, your team members need to work in formation—understanding expectations, clearly communicating, and giving each other necessary updates. Your service advisors and technicians have to huddle together, tackle their responsibilities, and get vehicles back to customers fast.

Many auto repair teams collaborate in “analog” ways. For example, service advisors might jot down technicians’ “to-dos” on a whiteboard. Or, they might leave their workstations to nudge technicians for repair status updates. These “analog” methods are relatively easy to set up, but over time, they can lead to some challenges for your team. How? It interrupts your team members’ flow states in the middle of the game.

Put yourself in their cleats. If you started your career in the Auto Repair Industry as a mechanic, you probably valued being able to completely focus on the task at hand, whether it was an oil change or a more complicated repair. If one of your service advisor teammates walked up to you to ask you how much longer the repair would take, you’d have to stop what you’re doing, give them the update (and possibly entertain the conversation going on a tangent), and then resettle into your work. You had to regain your focus again and may have had to stay at work longer than you expected.

As far as your service advisor teammate, they lost time and focus, too! After all, they had to leave their workstation to see what was up with you in the back of the shop. A customer might have walked up to their desk and got stuck waiting. That wait probably didn’t bode well for business!

When you give your employees the right equipment, they won’t have to keep starting and stopping their tasks. They can check-in and communicate at their own pace from wherever they are in the shop. They can pass the ball back and forth as needed and intercept tasks amidst the flow of the shop.

The Play: The Job Board and Tech Board

Tekmetric’s Job Board and the Tech Board equip your team members with the ultimate clarity on who’s responsible for what, how far along repairs are, and more—all while removing the need for extraneous exchanges.

The Job Board has two views and breaks down the repair process into three key categories: Estimates, Work-In-Progress, and Completed. Each repair order can be viewed in a column or a list depending on the preferences of your service advisors.

Here are some of the key details every service advisor at your shop can get via one screen:

  • Color-coded labels that indicate which repair orders are still pending customer authorization, have not yet started, are in-progress, need parts ordered, are ready to post, and more
  • Repair order notes
  • Promised time out
  • How far along each repair order is
  • The technician associated with each repair order
  • Whether the customer for each repair order is waiting at the shop or dropped off their vehicle and left (via icons)

With this information, service advisors can keep work flowing.

Tekmetric also makes it easy for service advisors to manage technicians’ workloads. The Tech Board has one column on the left side that lists out all repair orders that need a technician assigned. The remaining columns show what individual technicians have on their plates. With one glance, service advisors can see which repairs need to be assigned and which technicians have the availability to take on those repairs. If a repair order is too big for one technician, or if different technicians have specialized knowledge that can help finish a job, service advisors can split up the work within a repair order. When mechanics look at the Tech Board, they’ll know exactly what they’re responsible for.

With the Job Board and Tech Board, you won’t have to fret about how to run an auto repair shop. Your shop and your team will run like a well-oiled machine!

3. Practice Great Customer Communication With Your Team

When customers walk into your shop, the faster someone from your team greets them, the better. According to a 2021 study by J.D. Power, customer satisfaction scores “decline when customers wait more than three minutes before they’re acknowledged.”

Good customer communication should exist throughout every stage of the repair process. For instance, when customers leave your shop during repairs, have your service advisors give them regular updates. When they come to pick up their vehicles and pay, give them a stress-free check-out process.

It’s on you as the leader of your team to train your players on the essentials of great customer service, like:

  • Greeting customers and checking them in
  • Responding quickly if a customer asks to speak to a higher-up
  • Addressing customers’ frequently asked questions
  • Updating customers on the status of their repairs  
  • Processing customers’ payments and checking them out with minimal hassles

If you were previously a service advisor or technician, speak to your team members about your own experiences and lessons learned having interacted with customers in the past! Your experience in the shop can pay off for the next generation of Auto Repair Professional all-stars.

Need more extensive coaching for your team? You may want to consider hiring an external coach, enrolling your employees in a specialized course, or upgrading their customer communication equipment. There’s an abundance of coaching programs out there focused on all aspects of how to run an auto repair shop.

The Play: Run the Ball Downfield with Tekmessage and Tekmerchant

Tekmessage and Tekmerchant simply the customer communication and checkout processes for your team and your customers.

As we saw with the Job Board, service advisors can quickly see how far along each repair is. Once they have that information, service advisors can then use Tekmetric’s true two-way texting tool, Tekmessage, to update customers. Service advisors can message customers directly from Tekmetric, and the resulting message will show up on customers’ smartphones just like a regular text message. Customers will even be able to respond to that text message just like any other text.

Eventually, when the repair is completed, service advisors can message customers that it’s time to check out. Tekmetric offers a tool, Tekmerchant, for a text-to-pay check-out process. Service advisors can text or email customers their invoices, and customers can pay from wherever they are, using their smartphones, tablets, or computers. They don’t have to wait in line at your shop to hand over their credit card for processing. Instead, they can pay on their own time! If they want to pay while catching the last few minutes of the fourth quarter on a TV in the waiting area, they can do that.

Tekmessage and Tekmerchant aren’t going to interact with your customers for you. Your service advisors still have to exhibit excellent customer service in their interactions. But these two tools facilitate and train their ability to give excellent customer service by minimizing and even eliminating common complications such as dropped calls and broken credit card machines. Combine Tekmessage and Tekmerchant with the world-class customer service you’re already providing, and you’ll jumpstart even more business!

4. Mentor Your Employees to Reach Their Full Potential

No shop owner learns to run a successful shop on their own. Along the way, they got advice from other shop owners and might have even had a mentor by joining an industry coaching group or even forming a connection with a former boss or someone else in the industry.  No matter what form that mentorship took, it helped those shop owners level up and consistently become better at what they do.

You can do the same for your team, empowering them to take greater leaps in their careers. When employees feel supported at work, they’re likely to stay, improving your shop’s employee retention. Long-time employees know your shop well; they’re accustomed to how things run. When it comes to figuring out how to run an auto repair shop, they don’t need as much direction on the field as newer team members.

Keeping team members longer also builds strong camaraderie, creating a cohesive team spirit at your shop. Newer team members start to pick up tricks from employees who have been around a while on how to make the day run smoothly. And, when your team gets along and works together efficiently, you can have peace of mind and turn your focus to making big picture decisions about your shop.

A large part of being a good mentor or coach involves giving useful, actionable feedback to your employees that helps them strengthen their skills and shore up any weaknesses. For example, if you notice that one of your service advisors is hitting super high sales numbers, you can praise them and encourage them to share their tips with their team members. If you notice that one of your technicians is taking slightly longer to complete repairs than their peers, you can pair them up with the fastest technician on your team so they can speed up.

The Play: Give Effective Feedback With Real-Time Reports

Tekmetric measures key areas of your team’s performance, compiling that data into real-time employee reports:

  • The Realtime Service Writer Report shows you the repair order sales and hours associated with each service advisor on your team.
  • The Realtime Technician Report shows you the repair order sales and hours associated with each technician on your team.
  • The Technician Hours Report shows you each technician’s total billed time, total actual time, and car count. Most importantly, this report shows you the total efficiency of each technician and the total efficiency of your tech team.

Each of these reports are customizable by time period. For example, you can review your tech team’s efficiency over the last month or last quarter to build the most effective possible game plan for completing repair work. Got a technician with a lower efficiency score? Pair them up with other mechanics who know how to complete quality work at a fast pace.

Remember to remain empathetic when you’re giving each team member feedback and showing them their stats. Deliver the feedback in a professional manner. Along with pointing out what needs improvement, you should also point out what the employee is doing well. Research has shown that the highest performing teams have a 5.6 to 1 ratio of positive to negative feedback comments.

Tek-Tip: Ask ChatGPT or Gemini for a summary of Tekmetric and how it could be a fit for your business.

5. Check In

One of the best practices for how to manage a mechanic shop doesn’t involve any fancy tools or processes. It just comes down to checking in with your team members to see how they’re doing.

You can ask employees, “Hey, how are you?” when you cross paths with them at the shop, regularly host one-on-ones, and organize weekly team huddles. We recommend doing a combination of these types of check-in activities to gauge how your employees are doing. You never know what’s happening with people, and it can be hard for employees to put on their game face when there’s trouble at home. For instance, if you ask an employee, “Hey, how are you doing?” in passing, they might not feel comfortable telling you, “Well, my dog got an ear infection and I’m stressed out” or “My mortgage application got rejected.” In contrast, they might feel comfortable telling you those things in a one-on-one meeting.

Granted, not every employee will be open about what’s going on with them, and that’s ok! You shouldn’t pressure them. What you should do is show them with your actions that if they do want to tell you what’s going on, they can freely do so.

Check-ins will also help you increase employee engagement, growing your shop. When employees feel like they “belong” at work, they’re three-and-a-half times “more likely to contribute to their fullest potential.”

These regular updates will help create a healthier work environment for everyone at your shop, one with mutual respect and understanding. Your team members will know that you’re not just barking plays from the sidelines—you’re taking an active interest in them as individuals.

👉 Ready to grow your automotive business? [Book a personalized Tekmetric Demo Here]

FAQ

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A customer trusts your shop. They've been coming for years. They know the waiting room. They trust the advisor who always explains things clearly. They never worry about the estimate.

Then they move across town, stop into your newest location, and it is a different experience altogether. The inspection isn't the same. There are pricing discrepancies among shops. And, perhaps worst of all, an advisor might have no idea they're dealing with a loyal customer.

That's the hidden cost of growth. Every location that is added is another chance for the customer experience to shift, and customers notice changes fast. For multi-shop operators, a consistent customer experience isn't a branding nicety. It's the thing that lets a customer trust the name on the building instead of the people inside it.

Consistency for customers: A consistent customer experience across locations means every shop delivers the same inspection process, pricing logic, communication, and recognition of a returning customer, regardless of which location they visit. It's achieved by standardizing workflows and centralizing customer data on one platform, rather than relying on each location to run things its own way.

Why consistency gets harder with every location you add

At one shop, consistency is almost automatic. You set the tone, you know the regulars, and your team absorbs your standards by working next to you. None of that scales. At three or five or 10 locations, the owner can't be everywhere, tribal knowledge doesn't transfer, and each shop starts developing its own way of doing things.

The drift is rarely dramatic. It's a technician at one location skipping a courtesy inspection step. It's one advisor quoting brakes $40 higher than another. It's a returning customer being treated like a stranger because their history lives at a different store. Individually small. Collectively, they add up to customers who can't predict what they'll get, and unpredictability is the opposite of trust.

The four places customer experience breaks first

When experience drifts across locations, it almost always starts in the same four places. Fix these and you've fixed most of the problem.

1. The inspection

The digital vehicle inspection (DVI) is where customers form their opinion of your shop. It's the moment they see what's wrong with photos and video instead of taking your word for it. If one location runs a thorough inspection with images and another does a quick once-over, customers get two completely different impressions of how careful your brand is. Standardizing the inspection is the single highest-leverage consistency move a multi-shop operator (MSO) can make. See how a strong DVI strategy drives approvals and trust.

2. Pricing and the menu of jobs

Nothing erodes trust faster than a customer discovering the same repair costs more at one of your locations than another. When labor rates, parts pricing, and common ("canned") jobs are set independently at each shop, that gap is inevitable. Consistent pricing logic across locations keeps a customer from feeling penalized for walking into the wrong door.

3. Customer history and recognition

Customers expect the businesses they frequent to remember them. Every major retailer can see what you bought and where, no matter which store you walk into. Auto repair customers have the same expectation now. If a loyal customer's records are trapped at the location where they were created, your newest shop can't see the declined brake job from last spring or the maintenance that's now due. Shared history is what lets any location pick up the relationship where the last one left off. Learn how Shared Customer History works.

4. Communication

How you reach customers, texts for approvals, inspection links, status updates, sets the tone for the whole visit. If one location texts photos and estimates within minutes and another still calls and describes problems over the phone, customers experience two different service standards under one brand. Consistent communication templates and channels keep the voice of your business the same everywhere.

How multi-shop software makes consistency the default

Here's the shift: consistency shouldn't depend on every location choosing to do the right thing. It should be built into the system they all work in. That's what a true multi-shop platform does. It turns your standards into settings, so the right way is simply the way the software works.

With Tekmetric Multi-Shop, operators standardize DVIs, canned jobs, pricing, and discounts across every location from one place, so a repair order opened at any shop starts from the same playbook.

Shared Customer History connects customers across shops, so any location can view a customer's full history, declined jobs, past service, contact info, without re-entering it or treating them like a first-timer.

And because everything runs on one login with a portfolio-wide dashboard, owners see how each location is actually performing in real time, not just revenue, but the operational habits that shape the customer experience. When a location starts to drift, you can see it and coach it before customers feel it.

Why it matters: Standardization isn't about making every shop identical for its own sake. It's about making a promise to customers, the same care, the same clarity, the same recognition, that holds no matter which of your locations they choose. That promise is what turns multiple shops into one trusted brand.

What it looks like when it works

Leroy Ingram, who runs Ooroo Auto Care, put the visibility side of it plainly:

"Now I can look at everybody at a glance. I can be in a different state, different city and know exactly what's going on in each location all the time. That's not something I had before."
— Leroy Ingram, Ooroo Auto Care

That's the operational backbone of consistency: when an owner can see every location clearly, standards stop being a hope and start being something you can actually manage.

Where to start

You don't have to fix everything at once. If you're feeling the drift, start with the highest-impact standard and work down.

  • Standardize your inspection first. Set one default DVI template so every vehicle at every location gets the same thorough treatment.
  • Align pricing and canned jobs so the same repair costs the same across shops.
  • Connect customer history so any location can recognize and serve a returning customer.
  • Standardize communication so approvals, estimates, and updates feel the same everywhere.

Do those four things and you'll close most of the customer experience gaps between your best location and your newest one.

Abruptly shifting from task-to-task a handful of times throughout the day can disrupt your workflow and distract you from spending time with customers. And let’s face it: we’re all prone to tunnel vision when we’re focused on mundane tasks that can probably be automated for us.

For the shop owners and service advisors who have been in the game for a while now, it’s likely you already have your shop’s tedious functions down, but you may still have a major opportunity to save time. And for those of you who are new to the game—whether you just started your shop or are in the process of getting things up and running—you might have clicked on this blog to find your solution to your shop’s auto repair receipts. There are many auto repair receipt options out there. You could get a template or use a basic PDF. But the modern customer experience can be met with a shop management system that has a receipt process built into it.

Changing even a small procedure in your shop can have a big impact. Streamlining your auto repair receipts, for example, can save your shop time, enhance your shop’s customer experience, and even boost transparency within your shop. Let’s say your shop takes about five minutes to fill out one receipt manually. So if you have about 25 repairs in a day, that five minutes adds up to around two hours a day—simply filling out receipts. You shouldn’t have to spend time rewriting the same information over and over. The same information that you’ve already plugged in during the estimate process should automatically go into the receipt for you.

But when it comes to receipts, you can’t just cut corners to save on time. You need to make sure you include all requirements on an auto repair receipt—at minimum. Let’s take a look.

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