irtec facts and figures

A study carried out by the IMI in partnership with IRTE shows irtec is giving a significant return on investment to businesses engaging with the scheme.

The IMI (Institute of the Motor Industry), working in partnership with IRTE, carried out a Return on Investment (ROI) study to measure the benefits of the irtec licensing scheme and the wider implications of employers’ investment in skills. The IMI objective was to measure and assess the business impact and ROI of adopting irtec Inspection Technician accreditation. In particular, increases in productivity and impact on MOT initial pass rate (IPR) as a means to improve their Operator Compliance Risk Score (OCRS).

Following submission to the UK Commission for Employment and Skills (UKCES) the IMI set out to demonstrate best practice in business-aligned training to encourage employers to invest in the areas where particular needs for skills have been identified.

Paul Spear, who heads the ROI Programme for the IMI says: “The aim of the IMI ROI project is to compile a portfolio of case studies of automotive companies that are generating tangible benefits from their investment in technical training and staff development.

“By proving the value of training we will deliver a powerful message across the sector that even modest investment in skills, aligned to the needs of the business, can generate positive benefits to employers and employees.”

The challenge

The IMI’s submission to the UKCES set out two key challenges the heavy vehicle sector faces. The HGV subsector is least likely to agree that investment in training will help businesses to survive (at 53%) and most likely to not know if it had an impact (at 28%). Only 19% of those asked felt training investment had an impact on productivity.

There is also a lack of understanding of the link between training and business impact, which is emphasised by the 28% of HV businesses that still reported a skills gap in their work force. [1]

The process

Three organisations, Morrisons, DSV Commercials and DAF took part in the irtec element of the ROI project. These organisations were either already in the process of building their cohort of irtec-accredited Inspection Technicians or adapted their approach in gaining irtec accreditation to meet the requirements of the ROI project.

In assessing and measuring the impact of the irtec Inspection Technician licence to the employer and individual technician, the report measured the financial benefit of investing in irtec.

The study also sought to measure the wider benefits of competitive advantage and reputation to both dealers and their customer base through attributable increases e.g. increased MOT first time pass rates, workshop utilisation, productivities and vehicle up time, technician confidence, competence and professional recognition.

The payback

The results are in and they're impressive, including achieving the findings below:

To view the irtec ROI video, click here or contact research@theimi.org.uk.

[1] Preparing for the future: Understanding the skills & training needs of the automotive retail sector – Repair and maintenance of heavy motor vehicles. The Institute of the Motor Industry – Report 2012.