| Auto Parts Group: Auto Cycle |
| Automotive | |||
| Written by John Zorabedian | |||
| Tuesday, 03 June 2008 | |||
 Tom Klauer tells us how this auto dismantler and recycler is improving processes and bringing employees along for the ride.
Tom Klauer, president of APG, said the company has been working more closely in recent years with auto manufacturers like Ford Motor Co., Land Rover, and Jaguar, recycling their cars and trucks to make the business more environmentally sustainable. “The goal here is to be green,” Klauer said. “We want to be responsible recyclers, and we want to sustain a good environment.”  Tom Klauer, President In September 2005, APG bought Greenleaf, formerly an auto parts recycling subsidiary of Ford. Because of its past relationship with Ford, Greenleaf gave APG the opportunity to work with the original equipment manufacturer in recycling its automobiles, Klauer said. “Today we’re working with other OEMs to help them process different materials, and they’re helping us understand how cars should be built to be recycled,” he said. The Greenleaf division also allows APG to acquire almost any type of vehicle of any age for auto parts recycling or reselling. The company acquires automobiles and dismantles them for valuable parts that it supplies to repair facilities, body shops, and dealership networks through its distribution network, processing 30,000 vehicles and 5 million customer requests annually. Greenleaf’s business model differs from the other auto parts reselling division of APG, called Pick-N-Pull, which sells parts to retail consumers at 35 auto lots throughout the US and Canada. At Pick-N-Pulls, customers pull the parts they want from the cars themselves, without assistance from APG employees. APG’s Pick-N-Pull locations draw more than 4 million customers annually. “As vehicles become more complex, people can be challenged to work on vehicles themselves,” Klauer said. “The challenge we have is how do we serve our customers, and what things can we do to help them to facilitate selling our products? One thing we’re doing is being more information friendly, sharing ideas with them on ways to fulfill their needs.” Klauer joined Pick-N-Pull in 1989, after Schnitzer Steel bought Pick-N-Pull and several other auto dismantlers in the Northern California market. The vertically integrated company sells the carcasses of cars stripped of their valuable parts to its metals recycling division, which processes the cars in giant mega-shredders. The separated materials can be sold as auto shred residue for insulation and other products, while the steel and aluminum can be recycled by the Schnitzer Steel division. “It gives us a great perspective of how our material flows to its end uses,” Klauer said. “Our structure provides us with a great advantage and insight.” Feedback loop To keep this business unit operating smoothly and efficiently, Klauer said he has taken to conducting town hall-style meetings at each of APG’s 57 locations. APG employs more than 1,500 workers in the US and Canada, many of whom must work with hazardous materials such as waste motor oil, antifreeze, brake fluid, and mercury switches. Training is an important part of keeping the company’s employees productive and safe. “When it comes to building the team, we spend a lot of time identifying the right people to be part of our team, as well as teaching and training those people,” Klauer said. “In addition to training and development, a lot of time is spent on succession planning and how to get people moved up in our organization.” One way Klauer has improved training effectiveness has been through the town hall meetings, in which employees are allowed to share information and issues without their managers present. Klauer said this has produced information about how to better manage the business—occasionally, employees tell Klauer that safety meetings or training programs could be improved. “In any organization, there’s a filter between the people in the field and the people in my position,” he said. “Some things get stuck in the filter. These town hall meetings also give us the opportunity to hear about the good programs our managers have initiated in their stores.” From these town hall meetings, Klauer’s executive team meets with branch managers and regional managers on corrective action plans based on information presented by employees and generates ideas on how to improve the business. “I ask the people at all levels of the company, ‘If this were your company, what would you do differently?’” Klauer said. “We’re building a long term, sustainable company. It’s based on a very collaborative culture, and it’s based on operating safely and with integrity, which are the most important things.” |
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© 2008 American Executive - RedCoat Publishing. All rights reserved.
American Executive is a RedCoat Publishing publication.
American Executive is a RedCoat Publishing publication.
