Total DRAFT version11.06.03

 CIECA PAINTLESS DENT REPAIR (PDR)

BUSINESS PLAN

Interested Parties and Pilot Companies

Potential companies for total membership include:

§                                 State Farm Insurance

§                                 USAA

§                                 Mitchell

§                                 CCC

§                                 ADP

§                                 PDR Linx

§                                 Dent Wizard

§                                 ASA

Note:  Membership is open to any new company who is a member of CIECA.

Pilot companies:  To be determined.

Process Flow:           PDR Business Cases

1. PDR Only Claim - customer requests PDR repairer perform all repairs.

2. PDR and Conventional Repair Performed Separately for Single Loss – customer requests PDR repairer perform a portion of the repairs and conventional repairer complete the remainder. Both repairers complete individual (separate) damage estimates. Insurance carrier and/or conventional repairer want data combined.

A.

 Estimate Data Combined in Shop BMS.

 
2. Estimates Sent Separately to Insurance Carrier to be Combined

C. Conventional Repairer Writes One Estimate Combining PDR & Conventional Repairs - customer requests conventional repairer perform a portion of the repairs using PDR procedures.

Agreements Reached by PDR Team

Estimate Information & PDR Data:

·        We look for data only and not the duties of the providers

·        We need to be able to accommodate both ways, merged (future vision) or separate

·        We need to be able to compare the PDR method with the body part (fender) replacement cost

·        We cannot mandate the operations of parties

·        We need to be able to merge both the traditional appraisal and  PDR appraisal together at some point

·        One standard (PDR message) is needed for all software providers

Definitions Created by PDR Team

·        Labor hours per panel - a method where the estimator will estimate the PDR work on a specific panel in hours of labor required to repair the panel.

·        Dents per designated area - a method where the estimator will estimate PDR work on a specific panel or area on a panel by counting each dent.

·        There is no estimating method which uses dollars per panel. This is simply the end result of one of the two methods listed above. If there are companies who only give a dollar per panel estimate, that means one of the above methods are being used and only the price is being communicated.

Assessments (Q&A) Made by PDR Team

Is a new CIECA operation type needed?  Is a category, type, or code needed? 

• CIECA 2.6 has got it as "OP26".

Is a specified line items needed? 

• Yes. This is handled with "OP26"

How will the export file be marked?

• The entire estimate data is sent up and needs to be parced in order to determine which, if any, of the estimate lines contains PDR, which are identified as OP26.  There is also a labor type code "LAP" that will be included in EMS 3.0 along with OP26.

How will data enter into the management information system?

• Management systems will have to evolve to accept the new features in EMS that are incorporated in the 2.6 and 3.0 versions.

Is a separate labor category needed?

• The Labor Code, "LAP" will be included in EMS 3.0.  It does not exist in 2.6 but can be added to the code table for any version, including 2.6 or even 2.1.

How will the different methods of estimating be aggregated into a single report? 

• We would need to create a translator, like converting everything into dollars.

Will a manual line flag be needed for PDR?

• No. Manual lines will increase detail and thus increase difficulty in aggregation management information.

Note:  The PDR code is located in EMS version 2.6 - code OP26 - Table 883.

The group suggests we consider the types of reports that will be needed.

Deliverables

The XML message deliverables are:

·        The PDR estimate data;

·        The notification from the Body Shop Management System or communication channel to insurance carrier.

·        Ability to aggregate PDR data at the Body Shop Management System and the insurer.

These will be new messages that will be use the CIECA BMS (Business Message Specification).

·        The first deliverable will be the XML message from CIECA’s BMS along with the XML schema for the PDR data regardless of estimating method. 

·        Second deliverable will be the XML implementation guide for the PDR standard formatting for data communications

·        Subsequent deliverables will be determined by the group at a later time.

Note:  The new Schema will be a product of the Architecture Committee, and generated from the BMS changes approved by the PDR group.

Benefits to Industry Segments

The following is a list of possible industry benefits:

Provide comparable averages for companies using PDR in the collision industry.

• Establish accurate and efficient industry standard for formatting PDR data communications. 
• Allow comparisons, regardless of PDR estimating method.
• Potentially increase combined use of PDR techniques with conventional repairs.
• Assist shop by assessing PDR value to business operations.
• Provide definitions of PDR estimating methods.
• Help eliminate confusion regarding PDR usage in conventional and non-conventional repairs.
• Create PDR automated export and import models, thus eliminating current paper based assessment methodology.

Risk or Barrier Assessment

An industry cross segment needs to be brought together to commit to developing the message to standard formatting PDR data communications.  The first task will be to agree upon and complete the first communication message.  The different PDR estimating methods could increase complexity and ability to conclude quickly.

Resource Requirements

Money:

Rooms needed for face-to-face meetings will be needed in the event volunteers are not able to host meetings.  All support for web services (posting of meeting schedules, minutes, etc.), teleconference services and CIECA membership tools are included with CIECA membership.

Staff  

Staff time for project support are included with CIECA membership for approved projects.  Staff time will include project management assistance as well as technical assistance.

Volunteer Time:

Business volunteers will be needed to identify business requirements of the message contents.  Representation from multiple areas of the business segment will make the message development more complete and better serve the entire industry.  Business volunteers will also be needed for the development of the Implementation Guides.

Technical volunteers will be needed to complete the translation of business needs to the BMS representation of those business needs and work with Architecture in this integration.  Assistance will be made available from members of Architecture.

Estimated Project Duration

The first deliverable will be understanding the elements impacting PDR communications. This will be completed by 4^th quarter, 2003.  We hope to complete standard for formatting PDR data communications by 1^st quarter, 2004.  The IG (Implementation Guide) would be completed also by the 1^st quarter, 2004.

Other Items for SAB Review

Is this project included in the CIECA 2004 Strategic Plan?    

·        Yes.

This is a new development project or a maintenance/enhancement project?

·        New.

What will be the anticipated impact on other CIECA efforts or standards? 

·        The work with the VDI group should be coordinated.

The Architecture resources will be needed to assist in understanding the BMS and completing the integration into the BMS.

·        This group will need technical support familiar with the BMS and schema.

To assist in supporting this committee these items can help identify areas of need.

Are members of the committee familiar with or do they have:

Business representation?  Technical representation?  Membership tools?  (on www.CIECA.com) XML development? CIECA’s BMS?

This team is composed of primarily Business representatives, and may recommend to the Board that the Charter and Business Plan and associated work be transferred to the Vehicle Damage & Imaging Committee.