For those who think they want to own a spa company

[stuart]

Here is a picture of an accident in our shop. One employee (who is no longer employed here) put the spa on blocks to fix several leaks. Another (who is on probation) filled the spa to test and did not check the blocks.

We now have a customer with new spa at my expense! This is what can happen any moment when procedures are not followed. I can fire all of the employees in the store and it won't change the costs associated with this stupidity.

Oh the joys of business ownership! BTW for the techno/info geeks, there was a wood framed 10 year old Marquis blocked the same way (you can see it in the background of the picture) that was also filled with water and did not bend or break the frame (thank goodness)

[st18901]

ugh!

Did a block slip, or were there not enough blocks to support the weight of the water filled tub?

[Vinny]

Sorry to see that happen to you!

I guess the fact (or maybe the fact) that wooden tubs can handle the weight where metal ones can't as you stated is a REAL learning experience for spa dealers and techs. Is the practice of putting a spa on blocks something that's common in troubleshooting leaks?

Doesn't business insurance cover accidents?


As I was thinking about it ... I would contact your insurance company. When I had my lumber delivered for the deck, they lost the load and destroyed my garage door. The insurance company paid for my 2 garage doors since they couldn't match the one that was there. Hopefully your insurance would contribute so that you don't bear the full brunt of the tub.

Just a thought!

[Chas]

Wow Stuart! What a bummer. You didn't mention it, but I sure hope nobody was hurt in this experience! We 'block' up spas by setting them on three or four wooden beams which span the entire width of the tub, and only get it up in the air about 5 inches. If we need to get it up higher than that we forklift it onto our faithful Spa Dolly trailer, prop a heavy duty automotive-style jack-stand under each corner of the trailer, and we leave it attached to the back of a truck if we can, just to be sure! That has never given us a problem in many years.

I walked into the Beachcomber distribution center in Vista a few years ago, and they had a spa up on some heavy wooden racks - but the thing was four feet in the air! They said they have done it that way for a long time, and the beams where of massive proportions, but I still like keeping these things more 'down to earth' when filled.

[J._McD]

Stuart, Sorry for the mishap.  I have ALWAYS said when people want to shim or raise the spa to level it, the footwell is always going to want to be in contact with the floor.

Vinny has a point though, while stupidity is not covered by insurance, maybe they would view it as an accident.  Wait a minute, hold the phone just a minute, couldn't this be covered under the warranty?   Sorry about the humor at a time like this, but employees, what can I say.  You have to give them specific instructions that they won't listen to or follow, and then you have to constantly be aware of what and how they are doing things, or else you pay for their education through learning experiences.

And everyone is worried about the cost of service.  Not only do dealers have to pay outrageous freight bills with fuel surcharges, but we have to absorb the losses incurred in providing service.  I am sure that some will say, "that's the cost of doing business", lucky us.

Well Stuart, look at it this way, the new tub won't leak, so the leaks are fixed.  Calculate what the charges would have been for the needed repairs, add to that $xxxx for the cost of the new warranty being provided on the new tub that you are paying for, and the customer wins.  Considering the new tub will have a warranty and the repaired tub would go back to the customer for the cost of repairs, but without a "new tub warranty".

While I am sure you guarantee your repairs, the repaired tub would go back to the customer without leaks, but without a "new tub warranty".  The custumer wins, the repaired tub is now a new tub for the cost of repairs, plus the cost of a new warranty, he is ahead and you cut your losses.

If he dosen't want to pay for the "new Warranty", that's fine too.  His old tub would come back to him without a warranty, and this one can too.  Just because it is new at your expense and he gets the benefits of a new tub, it dosen't necessarily mean that he is entitled to a "new tub warranty" without paying for it.

[Dr. Spa™ Ret.]

Perhaps there is some god news............was this one of the covers you never finished ordering?

"Cost of doing business"..translation: additional costs passed onto the consummer that isn't itemized on their bill  

Remember Stuart, if it weren't for "mindless" (a well chosen word   ) employees, we'd have a lot more competitors out there.

[J._McD]

Perhaps there is some god news............

 "Cost of doing business"..translation: additional costs passed onto the  consummer   that isn't itemized on their bill  

In spite of the almighty announcement that precedes this statement, it is ambiguous and inaccurate.  You make it seem like the consumer is being overcharged, or even unwittingly being taken advantage of.  

What might be considered “the cost of doing business” is not a line item to be added or charged to the consumer on a sales slip.  It is a “cost” that comes out of profit previously earned.  Profit comes from what a customer willingly chooses to pay for what he receives.  It is what we call “fair trade”.  This of course is true in all business, even your own.  One must profit in order to afford other cost or expenses unrelated to the sale, costs that you incur in business as well, I am sure.  

As we are all customers, we all knowingly understand and do expect a sale to generate a profit that will afford the “costs” related to doing business.  Keeping those “cost” items low, or non existent, is what increases our potential for profit, which is again what, we are in business or employeed to “earn”.  That is of course not withstanding that you are a non-profit organization.

[drewstar]

It's called "overhead".   Those cost associated with doing business.  It includes such mistakes.  Keep you overhead low and you can increase profit margins.

Yup,It's all part of owning a business, but so are the profits and growth.   Maybe you could use the spa for spare parts for the hot tub you keep on one of your yachts? Or maybe the hot tub you have in you Itialian villa might need some new pumps? I am sure you don't have to trash the whole thing.  


Why would you fire an employee after he just received a $4000 education on how to properly support a spa?

[stuart]

I'm going to claim it on insurance, buy it back, use it as a repair training spa and charge other dealers a day training charge to learn acrylic repair,  repair it and sell it with a 90 day in-house warranty for what this mess is costing me.

I will also give the customer a new one that I have in stock, charge them $300 for the warranty upgrade and charge MAAX for the original pick up and repair of the old spa in addition to the delivery of the new one (they would have to pay that anyway).

Then I'm going to sail my Yacht to my Villa and study the physics of weight distribution....

[J._McD]

It's called "overhead".   Those cost associated with doing business.  It includes such mistakes......Yup,It's all part of owning a business, but so are the profits and growth......Why would you fire an employee after he just received a $4000 education on how to properly support a spa?  

Overhead is a predictible cost related to doing business such as rent, insurance, taxes, utilities, wages and benefits like yours for instance.  You are a predictable overhead cost to your employeer.  

Overhead costs can be anticipated and measured, and are thus predictable.  Accidents or mistakes like this are unusual, unexpected and not predictable to be included in forcasting for profit or loss operations.  As they are unfortunate, they are unpredictable.

Your estimated cost of the employee's education is far greater than you estimate it to be.  I can see where your perception comes from about the yacht's and the villa's.  Most people think anyone that owns a business is "rich".

[windsurfdog]

Bubba stu......
Wow, what a bummer.  I guess you had a couple of "blockheads" on that one......and where's a flimsy panel when you need one?  

[drewstar]

Overhead is a predictible cost related to doing business such as rent, insurance, taxes, utilities, wages and benefits like yours for instance.  You are a predictable overhead cost to your employeer.  

Overhead costs can be anticipated and measured, and are thus predictable.  Accidents or mistakes like this are unusual, unexpected and not predictable to be included in forcasting for profit or loss operations.  As they are unfortunate, they are unpredictable.

Your estimated cost of the employee's education is far greater than you estimate it to be.  I can see where your perception comes from about the yacht's and the villa's.  Most people think anyone that owns a business is "rich".

Such mishaps are part of running any business. As a small business owner, you'd be wise to make allowences for such problems.  

My sacarcasim on yachts and villa's obviolsly missed its mark.  Ask your chauffer  to explain it to you.

Anyhow, my remark on the cost of the mistake as an education (regardless if I had the actual price correct) was more there to share the anecdotial wisdom of Henry Ford:


"A yong engineer, started work at Henry Fords production line in Michigan and made a small, but costly mis-calculation in figuring prodution runs. The result was that a bearing part needed to be replaced on every car  made in the past week at a cost of $12 a peice. There were 1,000 cars made that week.

The young engineer taking resposibility for his mistakes went into Mr Fords' office and inquired "I assume sir, you will want my resignation?"

Mr Ford looked up at at the young, nervous engineer and balked "Resignation? I just spent $12,000.00 educationing you. Get back to work!"




I'm sorry if I confused you.

[Nitlion15]

Just a quick perspective from the engineering side of things.  As you can see from looking at the picture, there is no vertical support between the corner post (where the cinder block is) and the next vertical column.  Since the spa was designed to sit flat, the load put on the small channel running across the bottom was easily overcome once water was put into the spa and the center became much heavier.  

The lesson is that just putting blocks under the corners is not the way to distribute loads to something that is designed to have full load distribution across the bottom.  In some spas with wood frames it may have reacted differently due to the size of the wood framing, however, the engineering principle still holds true.  

Lesson learned for the dealers is to avoid supporting a spa in this manner or end up having one look like this.

[Kelly]

cool! It's got a new lounge seat!  

[Steve]

Oh that sucks my friend. :-/

The worst we had was a tub fall off the back of a half tonne. It faired better than yours though. Can't you put a big A$$ speaker in that corner and get Doc to make you up a custom cover?

I believe the "cost of doing business" comment was made lightly and with humor. That's how I took it anyway... I mean...look who posted it!

Steve