When you’ve been in business for 56 years, you’re obviously doing something right. But the savvy businessperson knows there is always room for improvement. In the case of Daku’s Auto Body in North Catasauqua, Pa., make that an 8,700-sq.-ft. improvement-slash-addition.
Founded in 1948 by Elek and Elizabeth Daku, the shop is now operated by the third generation of Dakus. Alex—Elek and Elizabeth’s son—ran the business for many years before passing it on a few years ago to his children—Rob, Rich and Cindy.
The shop was built in three stages throughout the years, bringing it to about 4,500 sq. ft. of working space, but none of the construction was designed for efficiency.
“Sometimes it took four guys 10 minutes to move a car from one end to the other, because of the way the building was added onto over the years,” Rich says.
A couple years ago, the Daku siblings decided they needed to attract more DRPs than the three they were aligned with. To do that, they knew their cycle time would have to increase, and that, in turn, meant more equipment and more space.
The space came first, and they did their homework before starting construction. “I did a lot of reading and research online,” says Rob. “It took a good year to come up with a layout we liked.”
Their paint supplier looked at the design and liked it, and their 20 group also provided valuable input.
The new building, just completed in January, is U-shaped, with 12,000 sq. ft. of working space. A separate 1,200-sq.-ft. office building was to be completed in March. There are three assembly bays for nibbing, polishing and final assembly, 10 body bays and two double prep stations. Inside the front door are three frame racks, staggered with every other bay. One is equipped with a laser measuring system. A new downdraft spray booth and alignment machine are major features of the new shop.
The Dakus are looking for an immediate 25 percent to 30 percent increase in efficiency. “But it really should double once we get up and running,” says Rich.
All told, construction and new equipment costs came to $1.25 million. The owners hope the shop will earn back the cost rather quickly. “Last year, we did about $1.2 million in business,” Rich says. “Our five-year plan calls for us to be at $2 million to $2.5 million by 2010.”
The shop is poised to take advantage of its new space. With the 20 group, Rich is able to stay abreast of the latest trends in the collision repair industry. The group meets four times a year in cities such as Orlando, Detroit and Las Vegas, and he shares ideas with some of the best shops in the country.
Also, the shop’s Web site, www.dakuautobody.com, is a sophisticated sales aid. Customers can get a look at designs for the new building, but more importantly, they can follow their jobs as they move through the shop. They can check jobs in two ways on the insurance page: via their claim numbers, or by job numbers. The information includes insurance company names, their Daku service rep, and dates when their jobs are scheduled to be completed.
As a fourth generation of Dakus (Rob’s 18-year-old son Stephen) joins the business, the shop is set to take perhaps the biggest step in its long history. With the planning and effort that went into the new addition, that step is almost sure to be successful.
SNAPSHOP
Name: Daku’s Auto Body
Location: N. Catasauqua, Pa.
Size: 12,000 sq. ft., plus a 1,200-sq.-ft. office building (completed last month)
Revenue: $1.2 million in 2003
Employees: 10 (one part time) – three body techs, two painters, four administrative
Equipment: Downdraft spray booth, two prep stations, three frame racks, alignment machine, 10 body bays