Chris Nobbs, General Manager of Parts Plus, an Australian-based company specialising in high-quality recycled auto parts, highlights the unique benefits Parts Plus offers its members, their commitment to environmental sustainability, and the steps they are taking to remain compliant with evolving government regulations. He discusses the network’s focus on inter-trading, rigorous quality assurance, and future initiatives to promote green parts and support member profitability within a not-for-profit framework.
Exclusive Member Benefits: Strengthened Inter-Trading and Quality Assurance Across the Parts Plus Network
Parts Plus Members get a range of benefits, including group marketing, visibility of their stock on the central nationally promoted Parts Plus website, regular benchmarking and measuring of 30+ KPIs (Key Performance Indicators) where they can compare their performance to other members and previous time periods.
In addition, they also get increased sales via intertrading between members. (Members prefer to buy from other members instead of bigger competitors because we all directly ship to the customer for each other, are more generous with the price we offer each other, and we actively try to keep buying and selling within the group). We also have a range of other benefits, including structured Audits of key elements of the business, including fire safety, first aid, yard and warehouse operations, overall business, etc; group buying/importing equipment; strategic partnerships; and sales team training and awards; Parts Plus.com.au/wp-content/uploads/2024/07/Parts-plus-New-Prospects-brochure_Digital.pdf
Promoting Green Parts in Australia’s Vehicle Recycling vs. the UK and US
Australia is somewhat behind other countries when it comes to consumer support for green parts. The primary barriers include OEMs actively dismissing recycled parts as a credible alternative for vehicle repairs, a lack of consumer awareness about the benefits of recycled parts, and reluctance from panel shops to use recycled panels and doors due to the additional time and cost involved in repairs. Parts Plus has several upcoming initiatives aimed at educating consumers and addressing these challenges.
Supporting Member Profitability and Growth within a Not-for-Profit Framework at Parts Plus
Our focus is 100% on the benefits for members. The group is run by the members for the benefit of the members. We are always seeking to understand member challenges and then seeking ways to help them overcome these challenges. We also utilise our member KPIs to see how members are performing against previous years and group averages. This helps members to focus on maximising profitability growth.
Membership Excellence: Key Criteria and Ensuring Alignment with Parts Plus’ Collaborative Culture
First and foremost, new members must be a good cultural fit with existing members. This means they must demonstrate that they have a continuous improvement through sharing mindset. We have found that, over time, the more members that share information, the more benefit all members get from each other.
In addition, there are some NON-NEGOTIABLES that all members MUST adhere to and agree to before an application is even considered. These include:
- Offering a 6-month Parts & Labour Warranty
- Sharing both Financial and Non-Financial performance data with the group
- Intertrading with other members, and
- Maintaining our High Quality/Safety Standards.
All existing members evaluate and vote on member applications, which are considered based on the criteria above and completed due diligence.
Parts Plus’ Efforts to Promote Recycled Automotive Parts and Educate Stakeholders
Parts Plus is an active member of APRAA (Australian industry body), which is focussed on a number of key initiatives, including management of end-of-life vehicles, information sharing between OEMs and other industry parties and positive CO2 offsets from auto parts recycling.
In addition, Parts Plus has teamed up with ARA (Auto Recyclers Association – based in USA) to actively promote the environmental benefits of buying recycled auto parts by leveraging their Shift 4 Tomorrow program in Australia. We are also actively pursuing ways to get the government to recognise auto recycling as a carbon-positive industry and, one day, allow the industry to sell carbon credits.
Navigating Future Government Regulations and OEM Policies in Vehicle Recycling
Governments will continue to focus on safety and environmental risks, which are definite issues with many in the auto recycling industry. Parts Plus continues to set the standard on safety and environmental practices to ensure we are better than compliant and ahead of the curve. We were one of the first to bring in Gas Buggies to Australia to help remove fuels/oils correctly from vehicles, and we have safety standards that are audited annually to ensure best practice. We also ensure that all parts shipped across the country are packed correctly for both safe and environmentally friendly shipping.
Parts Plus strives to work with governments and industry partners to provide industry best practices now and in the future.
Visit partsplus.com.au
