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Published on October 10th, 2010 | by Daniel Sherman Fernandez

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Car workshops in Malaysia to be graded by 2011

8th October 2010. The Federation of Automobile Workshop Owners Association of Malaysia (FAWOAM) has unveiled a grading scheme that will eventually cover all the workshops in the country. Speaking at the Association’s briefing to its Selangor & Federal Territory members, President Kong Wai Kwong outlined the new system that will see workshops classified under three tiers, i.e. Silver, Gold or Platinum. Kong explained that the proposed scheme will involve two different stages. The First Stage will be self-evaluation which will be done by workshops themselves. Results of this are collated and logged onto the system and the Second Stage will involve independent auditors’ assessment of the workshops. After both reports are collated and evaluated – the grade of the workshop will be set.

He went on to say “The main objective of introducing this scheme is to develop the industry generally. FAWOAM believes that this form of self-evaluation and governance will help develop workshops, industry players and the industry as a whole.” FAWOAM will implement a grading system for all workshops, which will kick off with the 500 workshops under the PARS (PIAM Authorised Repairers Scheme) system. The initiative sets out a grading system so that uniformity of practices and prices can be achieved. Workshops will be graded according to three different tiers, as mentioned earlier. Each tier will have specific requirements and price structures. Insurers, Loss Adjusters and Claims Managers will be guided by the tier of workshop when deciding final claims figures for easy processing of collision repairs. The new grading scheme will be based on the 4M method. Evaluation will be based on 4 categories, namely Man, Method, Machinery and Methodology. The assessment criteria will detail a workshop’s capabilities, equipment, manpower, skills and repair methods. Based on all these components, workshops will then be graded as SILVER, GOLD or PLATINUM workshops. Each will have its own set charges, rates and processes. This will be applicable across the industry and will be a standard used by all workshops. FAWOAM targets to make the system accessible not only to workshop owners and insurers but also to consumers and related government agencies, like JPJ, Puspakom, PDRM and Bank Negara Malaysia. “Consumers will now have all the information necessary to help that make an informed choice when deciding on a workshop” said Kong. He went on to explain that soon consumers will be able to log onto the system, review for themselves the capabilities, equipment and skills of any particular workshop, make price comparisons between workshops and even find the location of the workshop closest to them. “There has been a lot said in the press lately about our industry – some good, some bad. As an umbrella body which governs workshop practices, FAWOAM has taken it upon itself to initiate changes in industry practices. We hope that this move will be embraced by all stakeholders as we move to develop the industry here in Malaysia” Kong added.


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