The Australian Auto Glass Association
As unusual this is my own opinion based on open information obtained online. It’s in depth but I make no apology, I’m not one for brief posts that cater for those with short attention spans. Whist I’m at it, anyone with herd mentality may want click the back button as well. I try my best to encourage critical thinking in my writing so those who like to mindlessly scroll and click follow buttons may be disappointed. Right, that leaves you, so buckle up let’s get into it.
The Australian Auto Glass Association (AGA). What is it exactly? What does it do? Who does it represent? Is it really necessary?
I published a Blog about the AGA in 2015 not long after AGA was formed, I was curious about it’s values as at the time I had never heard of it. Six years have passed so iv decided to take another look to see if there has been any progress.
What is the AGA?
The AGA is an “Association“. The definition of an association is as follows. “An incorporated association is a legal entity separate from its individual members“. The Auto Glass Association is registered under the Australian ABN. 97 140 551 892 and operates as an “Other Incorporated Entity“. Should you require more information about the AGA and how it conducts business you can download detailed information for a fee from ASIC.
The AGA Committee
Since the last assessment in 2015 the AGA Committee has reduced it’s size and now accommodates 15 members as opposed to 21, a reduction of 28.5%. Currently the committee consists of 8 members who represent industry related products (53%). 4 representing national windscreen service providers (27%) and 3 that represent small local windscreen services providers (20%). Why the reduction in committee membership? Not enough interest? High committee fees? Easier to manipulate nominations?
Interestingly one should note that some companies have two members on the executive committee, National Auto Glass Supplies & National Windscreen Group. The duplicate members carry the title of “Full Member Representative”.
I’m not sure why a company would want two members on the same committee since both share the same ideology. Diversity would be a preferable option rather than organisations having multiple representatives simply because differences of opinion are more beneficial for the association.
To be fair we could give the AGA the benefit of the doubt and say the duplicate members may be the result of them unable to find suitable candidates and had no other option. It’s likely there are plenty of wallflowers at the AGA that believe if they snuggle up to to larger businesses in the group they may get chucked a bone. Alternatively it may be due to expensive executive membership fees. This is unclear since their membership page reveals only the fees required to become an “Associate Member”, which at the time of this writing is $295 AUD.
I can confirm the old pricing of an AGA Executive Member using the “Way Back Machine” search engine. This confirms Executive Committee Membership was 8.8k based on AGA application data from in 2014. If this fee still exists today it may have increased since the price of an Associate Member has risen 7.2% during this time.
Members Elected By Default?
The AGA claims to have a membership of 122 companies (down from 155 /22%, claimed in 2015) according to its website as of 12/02/21. However of the 122 there are a few individuals that appear on the Executive Committee year on year.
Another trip back in time using the Way Back Machine assists us in observing changes in the Executive Membership over time. Although there has been influx of product suppliers on the Executive Committee there has not been much change during a seven year period. In fact, five of the original members still sit on the committee, that’s 33.3% unchanged year on year. This is the committee from 2014 and this is committee of 2021. From this observation one would assume these re-elected individuals are the founding members and controllers of AGA agendas.
As a foot note, it’s interesting that two of the largest corporations RACQ/Glass Assist and Sika have parted company from the association altogether. Perhaps they did not see any benefit, but this is unclear.
I had a look at how the voting system works and it appears that Associate Members (The rank and file small business) are unable to nominate representatives onto the Executive Committee. Associate Members are eligible to apply for Executive Membership, however, only those who currently sit on the committee can approve their application. This is the wording exactly “An Associate member shall be entitled to speak and be heard at all General Meetings of the Association but shall only be entitled to be a member of the Executive Committee or hold an office in the Association if agreed to by the Executive Committee”.
I hope I read the conditions incorrectly and just in case here is the link for you to decide. On a positive note, it does say an an Associate Member is entitled to speak and be heard so you should be grateful for that. Whether anyone takes notice is another thing altogether. I reckon you’d have a better chance getting to speak at a Davos Summit.
With that said, we could say with confidence if you had ambitions of joining the AGA in the hope to influence future agendas you would want to be sure your opinions are popular and more importantly inline with the current committee, especially those who names seem to be a permanent fixture.
Professional Member (Affiliate)
A “Professional Member” is another phrase for an industry related product supplier. Examples of these would be windscreens, adhesives, tool suppliers, etc. These members are not eligible to vote on industry related affairs, however unlike an Associate Member they can nominate representatives on the committee so they do have more privileges.
As a condition the “Professional Members” must meet the eligibility standards as agreed to by the Executive Committee. This is an interesting condition since there is no mention of “Australian Standards”, only “Committee Standards”. What’s more, the persons most qualified to judge the quality of a product is the end user, the Associate Members (Technicians). However it appears that those opinions are excluded.
So we have a situation were product standards are to be authorised by executives who are unqualified and inexperienced to pass judgement. Furthermore Associate Members are excluded from this decision making altogether.
As technicians we know first hand how the market has been flooded with sub standard products in recent years. If we are serious about “lifting standards” these decisions should not be left in the hands of those who may have a conflict of interest.
So What’s In It For Low Level Members?
Most small business owners with limited time and funds could likely only afford an Associate Membership, so what’s in it for you? It’s not selfish ask, after all you’re running a business not a charity so there has be benefit either directly or indirectly.
The AGA claim there are many incentives and a visit to their website home page reveals some of these. The incentives you will receive are listed as “marketing, information, training and tools”. So it appears the AGA have chosen to advertise it’s benefits from a direct point of view. In other words, stuff you may find helpful such as assistance, but nothing tangible. Alternatively they could have chosen to advertise indirect benefits. Meaning you will not receive stuff, but being a member of the group will protect you and the industry in the future. A bit like a Trade Union, strength in numbers and all that.
I’ve decided to hold my tongue here and not share my opinion regarding the membership benefits. What’s more, only you can decide what’s beneficial for you. However I will say this. You should not expect too much benefit if the highlights of becoming a member is a “business listing” on the AGA directory and “professional social media coaching”.
The AGA Facebook consists of mostly random posts plucked from Google and it appears anything with “windscreen” in the title will do. One would hope that the professional social media advice you receive as part of your package is not from the same guy who advises them. I’m not being unkind here as the truth be told our FB page is not any better, but then again I’m not trying to sell you a membership based on how I can help with your social media.
Speaking of membership fees, it’s $295 for Associate Members and if it still exists today 8.8k for Executive Members. If we use the AGA claimed membership numbers of 122, then the annual revenue looks something like this.
15 Executive Members x 8.8k = 132000
107 Associate Members x $295 = $31565
Total annual contributions = $163565
A handsome annual contribution I think you will agree. Not being a member of the association I’m unsure what the contributions are used for. However if you are a member you should know and understand where and how these funds are spent. It’s important spending should be transparent and data should be available to those who want it.
Common expenses would be website development, a part time salary for the admin, tea and scones at meetings perhaps… I was informed that individual meeting expenses such as flights/travel are also paid for by the Executive Members themselves, which is very generous on top of their 8.8k contribution. I have to say I was presently surprised.
What’s The Purpose Of An AGA?
The AGA mission statement has not changed since its introduction and here is a snip “The Independent Auto Glass Association (AGA) was formed in 2013 to give all sides of the automotive glass industry a unified voice, becoming a central conduit for communication, training and representation operating in the interest of the industry as a whole”.
So what does this statement actually mean? Well, apart from a very loose sentence of buzz words not much at all. Furthermore the statement reads like it was custom designed to not say anything specific (Corporate Speak). My guess is it was drafted by the executives as it doesn’t read like the words of an independent auto glass specialist. In any event, let’s take a look at some of the claims.
The AGA claim to give “all sides of the auto glass industry a unified voice“. Now I’d like to point out that I didn’t mindlessly swing my freshly ground axe here. My post’s are never written in one sitting and I gave this much thought before I concluded this is a misleading statement. Fundamentally because the AGA doesn’t represent all sides of the auto glass industry, it represents a small percentage of the industry and below I’ve built a strong case to suggest this.
Shell Games With The Membership Numbers
According to a paper published by the Australian Auto Glass Industry Alliance (AAIA). It’s said that the auto glass industry in Australia consists of over 500 windscreen repairers. For those who don’t know the AAIA is a similar Australian Association and by the way it’s free to join.
I’m unsure of how accurate and current the numbers are, but I think we could agree there would be at least 500 independent auto glass businesses in Australia. If so the AGA and it’s 122 members represent only 24.4% of the businesses and that’s assuming there are only 500 windscreen companies, any more and they dilute further.
Not being satisfied with this number I counted the AGA members again. However this time I counted the businesses in an unbiased manner by counting companies once only and not counting multiple branches of the same company.
As I have mentioned in previous posts a branch works to the orders of it’s head office so a national company should count as one member since it is one company and has one Chief. Other outlets of the same company are simply part of the hierarchy, they’re not independent companies. If a company conducts it’s business out of 100 different buildings it doesn’t become 100 companies. One company shares one ABN and pays one tax bill, therefore it equals one member.
Who ever is in charge of statistics at the AGA believe some members should be counted multiple times. Nation Auto Glass has been counted 10 times & Instant Windscreens 36 times. So if we use my preferred method and count these companies once only the AGA membership total is slashed from 122 to 76, or 15.2% of the auto glass industry.
Based on these new figures it’s evident the AGA does not represent the auto glass industry at all only a small percentage. However if you scroll to question 15 on a document the AGA submitted to the NSW Government regarding the review of the Motor Dealers and Repairers Act, AGA claims their members represent 80% of the industry. This is grossly overestimated according to my sums by a whopping 64.8%.
It’s often said “you can’t argue with the math” but actually you can and in this case you should. The thing about numbers is they’re often massaged to say whatever people want. However if one want’s to be taken seriously then data that supports a claim should be provided.
What’s going on? And why is the AGA inflating membership numbers by counting branches of the same company dozens of times. Have these companies paid membership fees multiple times for each branch too? Here’s a genius idea, why not count mobile workshops too, I reckon they could boost the membership stats into the thousands. After all nobody’s going to notice, those windscreen fitters are a bunch of gullible dick heads anyway, aren’t they?
It’s misleading statistics like this that plant subliminal messages into the minds of those who don’t know any better and are too lazy to research for themselves. This includes Government officials and stake holders of the auto glass community. In turn, this gives the impression that the AGA is a large institute representing almost every independent windscreen business in Australia when this is simply not true.
What Are The AGA Goals?
In 2015 a news clip published by AGA strongly suggests the AGA are about lifting standards. The President of the AGA at the time is quoted as stating “The auto glass technicians have been crying out for a standardised training program to keep them on the front foot of industry developments”. He then went on to say “lifting the standards is the AGA’s mandate”.
A strong statement, it’s clear the AGA is very passionate about industry regulation, training programs, licensing and the like. In fact, from the AGA Presidents statement it’s their “fundamental goal”.
Unlike the AGA I’ve never once witnessed a technician begging for more regulation and red tape as we have enough of this already, especially today. Furthermore the statement suggests that auto glass technicians have been crying out for training to keep them on the front foot of developments. However I’m not aware such a program exists, currently only Cert II and Cert III TAFE programs are available and both are best suited for trainees. In addition, these programs are so far outdated they are teaching butyl kit installs from the 70/80s.
You will say “well we have to start somewhere” Personally, I’m getting a little tired of this thoughtless argument that suggest unethical practices are a training issue and it will all be fixed when we get a license and certificate. Utter nonsense! with zero evidence or trends suggesting this. We will rid the industry of poor practices when people are held accountable with consequences.
An example of this is like being aboard an express train heading for the edge of a cliff and someone suggesting if we all put our hands out of the windows it will make a difference. Sure, it may make a tiny difference but it will not change the outcome, we are going over the edge regardless? Applying the brakes it preferred solution here.
Most other industries have been regulated for decades. If the training logic was sound then there would be no such thing a dodgy builder, mechanic, plumber or used car sales man. But we know it’s not good logic, it’s simply an idea that’s been planted in your mind by people above you looking to take further control through regulation.
National Business Differs From Local Business
I’ve mentioned many times that large national businesses differ from small local business. This is why it’s difficult for all business national and local to be united.
For example, during the process of the Review of the Motor Dealers and Repairers Act, submissions were open for businesses to have their say. There were several dozen submissions, however only a few were from auto glass businesses.
The AGA submitted a response (Q7) which included a request of flexibility in regards to licensing and certification in NSW during disaster events such as hail storms. If accepted this request would enable unlicensed/uncertified technicians to fly in on a temporary basis to assist with the repair work.
I can understand how a national association would request this flexibility as it’s good for their business and in their situation I would want the same. However as small independent I would not be aligned with this idea. For example, if a hail storm fell on a post code near us the last thing we would want is an army of uncertified auto glaziers without licenses flying in to steal all the work on cheap insurance contracts.
So whilst it’s understandable that national networks would request this licensing/certification flexibility to suit their business. The idea is not necessarily aligned with that of a local business. I believe that by requesting this flexibility the AGA is not representing the interests of it’s Associate Members. This is simply one of many examples in which the needs of small businesses may not always be aligned with the ideas of national network/national supply chains.
I’m not a member of the AGA or any other group for that matter as I’ve always found such groups to be self serving. They market the club from a position of strength and power, however I’ve always believed the opposite it true. Strong forces don’t require help, they much prefer to stand on their own two feet rather than on the shoulders of others. It’s obvious the AGA wants the support of the independents rather than the other way round. However in my opinion they only require you to make up the numbers, they are not so interested in your input.
So what is their intentions? One can only speculate unless you are one of the founding members. One thing you could be sure of is the association started with the idea of a single person. That idea was shared with another who also though it a good idea and so on until a basic foundation was formed. This idea was likely related to control of the auto glass industry.
Unlike technicians who will soon require a certificate to demonstrate they know stuff, politicians know very little about the jobs in which they work. For example, the Minister of Health doesn’t have any medial qualifications and knows little about health. This means when his team looks to make changes to the industry they look for an industry group for advice. If I had to guess this is what the AGA wants to be, the industry group that advises Government.
Is this such a bad thing since someone has to be in charge, right? The problem with this is there is a danger of centralising all decision making into the hands of a few. Members of the AGA Committee already posses much power since some control supply chains, insurance contracts and more. The more control individuals have the more risk of a conflict of interest. Furthermore, one can’t expect an association to represent the industry in an unbiased manner when it’s committee has been self appointed and has no intention of loosing control via an open vote.
Finally, I honestly don’t believe the AGA is intentionally looking to dupe the independents. However I do believe they are too focused on what they want rather than what’s best for the majority.
It’s fair to say the corporate executive or large business owner is used to a hierarchy system in which there would be few occasions were they are challenged. If one is used to this kind of authority it’s easy to loose touch. Members of an association are not part of a business hierarchy system they are equals, or at least they should be. I believe this may have been overlooked or forgotten.
This post is not intended to whip up a left vs right debate, although some may take sides or regard my comments harsh. On the other hand, my comments could and should be taken as constructive criticism. My views are not targeted at any individual or company rather the association as a whole. So if the AGA is genuine in their efforts uniting independents for whatever reasons then it’s paramount they are able to take some feedback whether they agree or not.
The ideas and purpose of the AGA have not been readily received by the vast majority of independent auto glass businesses and until we are able to openly discuss the problems then they never will be.