Midway Auto Parts
Insurance Company Presentation
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Midway Auto Parts
• Family-owned auto recycling business started in 1987
• Add New Aftermarket & OE Take-off products in 2008
• Business has been built on uncompromising commitment to our
customers and our adherence to the guidelines and principals of the
recycling industry’s best practice leaders
• Two locations in Kansas City metro area offering daily delivery to
collision repair shops
• 60,000 square foot warehouse housing over $1,000,000 in recycled
original, OE take-offs, new aftermarket products and reconditioned
wheels and bumpers
• 90% Fill Rate
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Midway Auto Parts
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Greg Wilcox – Director
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Danielle Wilcox – President
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18+ years in business
Title manager for Auto Parts & Auto Sales divisions
Aimee Studna – Aftermarket Division
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17+ years in business
Acting general manager overseeing all operations
Royce Smith – Treasurer
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25+ years in business
Manages all administrative and accounting areas
Chris Wilcox – Vice President
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30+ years in automotive recycling business
Started Midway in 1987 with 5 employees, grown to 75+ in 2011
Added Auto Sales Division in 2000 with 1.5 acre facility that sells vehicles, motorhomes, motorcycles and equipment
Active industry participant, current board member of United Recyclers Group (URG)
7+ years in business
Manages accounting and inventory for aftermarket division & marketing and web development for all divisions
Ryan Falco – Aftermarket Division
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Joined Midway in 2008
Manages all aftermarket sales & customer service
Midway’s Daily Delivery Area
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What is Team PRP?
• National organization of independent auto
recyclers
• Use identical product quality assurance
program based on ISO9000 standards
• Each member delivers consistent, high
quality parts and customer service
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Midway/Team PRP Benefits
• We pay supplements on our parts
• Open communication to estimator and repairer
• Lifetime guarantee against corrosion perforation on all sheet
metal parts and one year parts & labor guarantee on all
mechanical parts
• National and region shared inventory for immediate parts
availability with 24-hour in-stock shipping policy
• Quotes within 15 minutes and guaranteed for minimum of 7
days
• No hassle return policy, including cuts
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Midway/Team PRP
Premium Recycled Products
• Premium Recycled Parts & standard recycled OEM parts are determined
by their condition based on standardized measurements.
– Collision Parts are graded in units or hours of damage which are determined by
the damaged area size.
• Utilize United Recyclers Group (URG) standard measurement practice. One unit or
hour of damage is comparable to size of credit card
– Premium (A) Grade Collision parts have less than one hour of repair allowance
– Standard (B) Grade Collision parts have more than one but less than two hours of repair
allowance
– Mechanical Parts are graded on an average yearly mileage assessment
relative to the actual mileage of the vehicle from which the part was
retrieved.
– Premium (A) grade mechanical parts yield less than 15K miles per model year
– Standard (B) grade mechanical parts average 15K to 20K per model year
– Mechanical parts in excess of 20K miles per model year are not supplied unless requested
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What is the Professional
Parts Group?
• Quality Driven Aftermarket Parts Distribution
– Network of Preferred Distribution Professionals focused on supplying the best quality
aftermarket parts available
– Backed by a consistent, dependable customer service experience
• Committed to safety, quality and long term customer satisfaction
• Offer and support only the best available alternative products that meet
all industry standards
• Focused on the collision repair industry at the highest levels
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Professional Parts Group
Product Categories
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Structural Parts
– Factory equivalent in manufacture process, material content and product performance
without compromise or excuses, structural and safety related parts and products will never
be substituted with substandard products.
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Exterior Parts
– Only products certified or approved to be functionally equivalent to their intended
application are part of the Professional Parts Group Collision parts offering.
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Lighting Products
– Only products proven to meet FMVSS108 and are approved for DOT certification will be
offered in the PPP line. Professional Parts Group quality assurance team will retain copies
of documentation for all products which require Federal or DOT product standards
criteria.
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Cooling Products
– Equivalent material content and performance characteristics are the baseline
consideration.
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Professional Parts Group
Manufacturers
• Lights
– TYC/Genera
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US division founded in 1991
5 warehouses in US
1 million square feet of warehouse space
ISO 9001 Certified
ISO14001, QS9000/TS16949 Certified
Approved as full participants of CAPA parts certification program for North
America since July 2005
• They are committed to quality standards in their processes and procedures
and they are held accountable by independent third party testing
• All products meet DOT & FMVSS 108 & 111 government standards where
applicable
• OE Clients include Ford, Visteon, Suzuki, Isuzu
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LIGHTS
Manufacturing Process
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Design
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Processes
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Prototypes are created and mounted onto a vehicle. Any adjustment needed is made prior to market release. Each product is fit
and performance tested to ensure drop-in, hassle-free installation.
Accelerated Fatigue Tests
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The latest technologies are used in the creation of TYC products. Robotic technologies are used to ensure consistency to product
quality. Sensory devices are used in conjunction with production and assembly jigs to help detect any product offset or variation
during production process. Five photometric tunnel labs to test reflection intensity and light pattern are available in-house for
lighting products compliance.
Vehicle Test Fit
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Every detail of TYC products is meticulously designed to meet or exceed stringent quality control.
An array of tests is conducted on each product to assure top-notch quality. Test, such as abrasion, humidity, rain, salt spray, and
vibration, are applied to meet or exceed DOT/SAE and industry standards.
Compliance Standard
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SAE/DOT
FMVSS-108
FMVSS-111
ISO9001:2000
TS16949
QS9000
Q1
Professional Parts Group
Manufacturers
• Structural Parts
– Diamond Standard by Reflexxion
• Diamond Standard Structural Parts are Designed to Meet OEM Part
Quality and Performance
• Blueprint for quality
– Use material that matches OEM in mechanical properties
– Use material that has the same thickness as OEM
– Create parts to be the same shape as OEM through reverse
engineering
– Verify vehicle fit and crash performance vs. OEM
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Professional Parts Group
Manufacturers
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Structural Parts
– Diamond Standard by Reflexxion
• Full Assembly Step Bumpers
– V-5 Tested to VESC Protocol for Safety and Towability
• Only USA Made Steel Bumpers
– HSLA High Strength Steel
– 3 Year Chrome Warranty
– IIHS Protocol Tested
• High Density Absorbers
– OE Material
– Meets FMVSS 302 Flamability Standards
• High Strength Steel Reinforcements
– Roll Formed HSLA Steel
– Safety Tested
• Brackets, Braces & Supports
– OE Style Check Fixtures to Ensure Fitness
– Quality Tested for Material and Strength
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Professional Parts Group
Manufacturers
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Structural Parts
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Facilitated Ordering & Correct Part Delivery/Identification
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Cradle-To-Grave Permanent manufacturer Part Identification
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The Diamond Standard Safety part identification standard provides permanent manufacturer identification, lot
number and part number engraved or embossed into each Diamond Standard part. This meets all state
regulations for manufacturer identification on crash parts used in the repair.
Part Traceability Label & Seal of Assurance
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Each Diamond Standard Brand Safety part has been assigned a unique partslink number ending with the suffix
“DS”.
Estimating systems and distributors can recognize the Diamond Standard parts numbering system to establish
Diamond Standard part visibility.
Shop identification of the correct part is further enhanced by Diamond Standard branded outer packaging and
labeling.
A two-part tracking label is affixed to each diamond Standard Brand Safety part, the lower portion of the twopart label can be placed on repair orders or estimates as proof of use of the Diamond Standard part.
The two-part label carries a unique serial number which provides “cradle-to-grave” traceability information on
the part’s material, material certification analysis, manufacturing/lot history and final quality inspection reports
linked to the individual part.
The maximum traceability feature built into each unique serial number on each Diamond Standard Brand Safety
part is unprecedented in its intensity within the industry and can be accessed at any time.
DIAMOND STANDARD
Manufacturing Process
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Precise Engineering
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Tooling Design
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Purchase all applicable OE samples and perform test fits to establish master sample for scanning
Test OE sample for mechanical and chemical properties by 3rd party laboratory
Scan master sample to create material data and confirm data to sample by CMM
Create part blueprint
Create process flow chart for tooling
Verify tool process through computer simulation software
Complete tooling design with weekly reviews
Casting patterns to be reviewed & approved before going to foundry
Tool Building & Testing
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When all castings and tool steel are received they go through machine bay
All construction of tooling runs thru die bay
All tryout of tooling runs through one of two internal press bays
VTF performed on 1st piece from tooling to determine any changes needed. Test fit is repeated until all
corrections are made
DIAMOND STANDARD
Manufacturing Process
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Part Approval (PPAP)
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Impact Testing
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Part material thickness is verified to OE thickness using ultrasound tester
Part shape and hole locations are verified on the checking fixture. Cosmetic features are compared to the OE sample in
a light booth
After 1st piece is approved, panels are run to perform a thirty (30) piece capability study. One of the pieces is used to
perform a vehicle test fit
Mass production is started upon 3rd party vehicle test fit approval
Quasi-static 14” pole test performed on (4) OEM and (2) PBSI samples at MGA Research Labs
Impact data is reviewed to determine if changes are necessary
Crash test of OE bumper at 6mph
Crash test of PBSI bumper at 6mph
Ongoing Product Validation
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All raw material is ordered to same specifications as the approved material and is certified by PBSI vendor
SHEET METAL
Manufacturing Process
• Our manufacturers meet IS0-9002; TS 16949;
CAPA; Thatcham, etc. standards
– Meaning they are committed to quality standards
in their processes and procedures and they are
held accountable by independent third party
testing
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SHEET METAL
Manufacturing Process
• Part Die or “mold” created utilizing strict
computer analysis of original (OE) part,
often referred to as CAD (computer-aided
design)
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SHEET METAL
Manufacturing Process
• Stamping
– Production run in manufactured “Lots”
• Lot control is part of the lean manufacturing process
• Lot control allows for consistency in part production
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SHEET METAL
Manufacturing Process
• Assembly
– Process is controlled by automated robotics to
allow for precision and consistency throughout the
production run
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SHEET METAL
Manufacturing Process
• Random Testing
– At any point in the process a part may be pulled
and subjected to testing procedures to ensure
conformance to quality standards
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SHEET METAL
Manufacturing Process
• Painting & Coating
– “Automated Electro-Deposition Painting (EDP) Facility” and “ManMachine Interface Device” used to monitor all the working processes
and conditions, including where the human eye cannot see, during the
E.D.P. coating process.
– High-Tech Radial Electro-Core Coating is applied, rather than the
traditional Flat Electro-core, which avoids the unequal coating on a
parts’ surface.
– Ultrasonic Cleaning Equipment efficiently cleanses all parts as they pass
through the system, removing all residues, silt or other contaminants most
other systems or manual processes will miss.
– All E.D.P. coated products must withstand SAE recognized 1000 hour
Salt Spray or 20 Cycles of Cyclic Corrosion Tests.
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SHEET METAL
Manufacturing Process
• Third Party, Independent Testing
– Full compliance and participation in the leading,
independent parts certification programs
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Professional Parts Group
Service Commitment
• Highest Quality Products Available in the Marketplace
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Quality & Safety are Priority #1
Parts Traceability
Problem Free Returns
Prompt Credits
Lifetime Warranty
• Personal Service from Industry Professionals
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Accurate Order Taking, Processing & Delivery
Same Day & Next Day Delivery
Proactive Communications Regarding Order & Delivery Issues
Customer First Attitude
Backed by Leadership with 100+ Years Serving Collision Repair Customer
Professional Parts Group
Return Policy and Warranty
• Problem Free Return Policy
– Credits issued within 24 hours
• Prompt resolution to any issues from return
pick-ups to credits
• Lifetime warranty on all parts we sell for as
long as the current owner owns the vehicle
• R&I reimbursement for parts that have
quality issues. Reviewed on case by case
basis.
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Professional Parts Group
Limited Lifetime Warranty
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The Professional Parts Group warrants that all of its program parts shall be free of defects in materials
and/or workmanship for as long as the part remains installed on the vehicle for which the part was
originally purchased. We also guarantee our program parts against perforation (metal rust-through) due
to corrosion over the course of normal use.
Any Professional Parts Group program part found to be defective will be replaced, repaired or the
original purchase price refunded at the discretion of the Professional Parts Group Preferred Distribution
Partner or company-owned distribution warehouse. In the event of part failure, you must provide proof
of purchase to your place of purchase or the business which installed the part. Installation labor may be
reimbursed, if incurred as a result of the failure of the Professional Parts Group program part. Labor
claims will be reviewed on a case by case basis.
This warranty does not cover failure, perforation or defects resulting from accident, damage, abuse or
improper installation. This warranty does not apply to commercial vehicles.
The Professional Parts Group shall not be liable for any incidental or consequential damages arising out
of the use of its parts.
Some states do not allow exclusion or limitation of incidental or consequential damages, so the above
limitation or exclusion may not apply to you. This warranty gives you specific legal rights. You may
also have other rights which may vary from state to state.
This warranty applies to vehicles registered and operated in the United States.
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MAGNUSON-MOSS
Warranty Act
• Provides that the placing of a competitive replacement part
on an automobile does NOT affect the warranty on the
remaining parts.
• December 2010 Federal Trade Commission (FTC) offers
Consumer Alert stating…
– “Simply using an aftermarket part does not void your warranty. The
Magnuson-Moss Warranty Act makes it illegal for companies to void
your warranty or deny coverage under the warranty simply because
you used an aftermarket part.”
Installation of a non-genuine Ford item…does not, in and of itself, render our warranty void.
-Ford Motor Company*
*Source: www.ican2000.com
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Competitive Advantages
• Multi-Vehicle Brand Inventory
• Reduces Local Part Distributors Market Monopoly
• Competitive Marketplace Pricing
2006 HONDA ACCORD - PART PRICE COMPARISONS
PART TYPE
BUMPER (CAPA)
FENDER (CAPA)
HOOD (CAPA)
HEADLIGHT ASSM (CAPA)
MIRROR
GRILLE
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OE LIST
PROFESSIONAL
PARTS GROUP
$
220.19
$
193.80
$
346.75
$
199.50
$
151.05
$
43.70
$
1,154.99
$
$
$
$
$
$
$
COMPETITOR
227.00
209.00
383.00
210.00
159.00
46.00
1,234.00
SAVINGS USING PROFESSIONAL PARTS GROUP $
390.47
25%
SAVINGS USING COMPETITOR $
311.46
20%
$
$
$
$
$
$
$
275.40
250.65
462.15
246.57
239.27
71.42
1,545.46
Questions?
• Midway’s contact person info
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