Most shop owners hold tightly to decisions about refunds, inventory, and schedules. Scott Brown does the opposite. As owner of Level 5 Solutions, an ADAS calibration company, and Cardinal Plaza Shell, he gives his team the authority and tools to make decisions without him. The result, he says, is happier employees, more satisfied clients, and an owner who no longer has to worry about everything.
In episode 7 of Maximum Octane, Kim Hickey talks with Scott about decentralization, why he does not rely on SOPs or job descriptions, how he cut his team’s workweek without cutting pay, and the role of trust in all of it.
What You Will Learn
- Make our clients’ lives easier. The customer comes first, the team second, and the individual third. Be grateful for everything and entitled to nothing
- What kind of autonomy do Scott’s employees have when it comes to refunds and making decisions to make an unsatisfied client happy
- Defaults vs. standards. Why Scott believes SOPs are useless at some point
- The five vs. four days working week situation
- About the Permanent Temporary Emergency Standard and other measures to make internal customers lives easier
Questions Asked in This Episode
- You say you don’t need SOPs, and you don’t want job descriptions; could you talk a bit about that?
- What was your team’s reaction when you said, we’re going to cut your workweek in half, but we’ll maintain your current pay schedules?
- Part of your success, I think, is that there’s trust and respect, and everything is transparent. Do you do feel the same?
What Decentralization Looks Like in a Shop
In a centralized business, decisions flow up to the owner and instructions flow back down. In a decentralized business, the people closest to the work make the call. Scott explains that having someone else own inventory, for example, means he no longer has to think about it. Multiply that across every area of the business and the owner gets back an enormous amount of time and mental energy.
Decentralization takes work to set up. People need to understand the goals, have the information they need, and know the boundaries of their authority. But once it is in place, the business moves faster because it is not waiting on one person.
Decentralization works best when three things are in place. First, people need clear goals, so they know what outcome they are working toward. Second, they need information, such as numbers, customer history, and inventory levels, so they can make good decisions. Third, they need defined boundaries, such as spending limits or rules that cannot be broken, so they know where their authority ends. Without all three, delegated decisions can lead to confusion or costly mistakes.
Many large organizations use similar ideas. Military leaders call it “commander’s intent,” where leaders explain the goal and the reason behind it, then trust people closest to the action to figure out how to achieve it. The same concept fits a fast-moving repair shop.
Customer First, Team Second, Individual Third
Scott’s guiding philosophy is to make clients’ lives easier. He ranks priorities clearly: the customer comes first, the team second, and the individual third. He also shares a mindset he wants everyone to adopt: be grateful for everything and entitled to nothing. That combination keeps people focused on service rather than on themselves.
The phrase “grateful for everything and entitled to nothing” sets a tone that is easy to remember and hard to argue with. In shops where people feel entitled, small inconveniences become complaints, and the customer experience suffers. In shops where people feel grateful, team members are more likely to pitch in, help each other, and go out of their way for customers. Leaders can reinforce this mindset by expressing their own gratitude often and recognizing employees who model it.
Giving Employees Authority to Make It Right
Around the 9 minute mark, Scott explains how much autonomy his employees have when it comes to refunds and decisions to satisfy an unhappy client. Instead of escalating every complaint, team members can act on the spot. Customers get faster resolution, and employees feel trusted.
This approach mirrors what many service-focused companies do. Empowering frontline employees to solve problems is one of the most direct ways to improve the customer experience. ATI’s How to Empower Employees to Get Maximum Performance Results discusses how to set this up without losing control of margins.
A common way to set this up is to give front-line staff a defined “make it right” budget, such as a set dollar amount they can spend on goodwill without approval, along with a list of common situations and acceptable responses. The Ritz-Carlton is famous for allowing employees to spend a set amount per guest to resolve problems without asking a manager. The specific number matters less than the message: the business trusts its people to take care of customers.
Tracking how the authority is used helps leaders refine the guidelines over time. Most owners find that employees use the authority responsibly, and that quick resolutions save far more in loyalty than they cost.
Defaults vs. Standards: Rethinking SOPs
Scott’s view on standard operating procedures will challenge some listeners. He sees SOPs as useful when people do not yet know how to do the job. Once they master the craft, rigid procedures can hold them back from finding better and faster ways to work. He distinguishes between defaults, the starting point for how things are done, and standards, the results that must be achieved.
That does not mean throwing out processes. Safety procedures, calibration requirements, and OEM repair information still have to be followed exactly, especially in ADAS work. For more on calibration standards, the collision industry training organization I-CAR is a key resource. The point is to set clear outcomes and let skilled people improve the path to get there. Matt Barnes covers a similar idea in How Empowering Internal Customers Can Increase Revenue, while Wendy K. Walters offers a counterpoint on the value of systems in Building Systems to Gain Freedom and Get Better Results.
Another way to think about this is the difference between a checklist and a goal. A checklist tells people exactly what to do. A goal tells them what success looks like. Beginners usually need the checklist. Experienced professionals often perform better with the goal and the freedom to choose how to reach it, as long as safety and quality requirements are met.
The best shops often use both. They keep strict procedures for safety-critical work, such as torque specs, calibrations, and high-voltage systems, while giving skilled people room to improve workflows, communication, and efficiency.
Cutting the Workweek in Half Without Cutting Pay
One of the most talked-about parts of this episode is Scott’s decision to reduce his team’s workweek while maintaining their current pay. Kim asks how the team reacted, and Scott describes the trust and transparency that made the change possible. He also discusses the five day versus four day workweek and the tradeoffs involved.
Schedule changes like this are not right for every shop, but they are worth considering in a tight labor market. ATI looks at the pros and cons in 7 Benefits of a 4-Day Workweek at Your Auto Repair Shop.
Shorter workweeks have been tested in many industries. Trials in several countries, including large studies in the United Kingdom, reported that many participating companies maintained productivity while employees reported less burnout and better well-being. Results vary by business, and a repair shop has unique challenges like bay coverage and customer hours. But the idea that more hours always equals more output is not supported when people are already stretched thin.
Shops considering a change can start with a pilot, track productivity and customer satisfaction carefully, and adjust based on results. Transparency with the team about the goals and the measurements helps everyone commit to making it work.
The Permanent Temporary Emergency Standard
Scott also shares how he ran his business during the pandemic, including what he calls the “Permanent Temporary Emergency Standard,” and other measures designed to make his internal customers’ lives easier. The theme is consistent: when a crisis hits, leaders who remove friction for their people get loyalty and effort in return.
The pandemic forced many businesses to make quick changes, and some of those changes turned out to be improvements worth keeping. Flexible schedules, remote customer approvals, contactless payments, and better communication habits all became common during that period. Scott’s approach reflects a broader lesson: when a crisis forces you to try something new, evaluate it honestly afterward rather than automatically going back to the old way.
Risks to Watch When You Decentralize
Decentralization is powerful, but it is not without risks. Owners who hand off authority should watch for a few warning signs:
- Inconsistent customer experiences between different employees.
- Goodwill spending that grows without clear results.
- Decisions made without the information needed to make them well.
- Team members who feel overwhelmed by responsibility they were not trained for.
Each of these problems can be fixed with clearer goals, better information, more training, or adjusted boundaries. The answer is rarely to take all authority back. Instead, treat decentralization as an ongoing process that improves as the team gains experience.
Questions to Test Whether Your Shop Is Ready to Decentralize
- Which decisions come to you every day that someone else could make with clear guidelines?
- Does your team know the outcome you expect, or only the steps you want them to follow?
- How much can an advisor spend to make an upset customer happy without asking you?
- Do your people have access to the numbers they need to make good decisions?
Frequently Asked Questions
What is decentralization in a small business?
Decentralization means pushing decisions to the people closest to the work instead of routing everything through the owner. In a repair shop, that might mean an advisor resolves a customer complaint on the spot, or a team member manages inventory without checking in. It works best when people understand the goal, have the information they need, and know the limits of their authority. When those pieces are in place, the business moves faster and the owner gets time back.
Should service advisors be allowed to give refunds without approval?
Many service-focused businesses give front-line staff a defined amount of goodwill authority they can use without asking a manager, along with guidelines for common situations. That lets customers get a fast resolution and shows employees they are trusted. To keep it under control, track how the authority is used, review patterns regularly, and adjust the guidelines as needed. Most owners find that quick, sincere resolutions protect far more in customer loyalty than they cost.
Do auto repair shops still need SOPs?
Yes, especially for safety-critical work. Torque specifications, ADAS calibration requirements, high-voltage procedures, and OEM repair information must be followed exactly. Where shops have more room is in workflow, communication, and efficiency. Written procedures help new employees learn the job, while experienced people often do better with a clear standard for the result and the freedom to improve how they reach it. Many shops use strict procedures for safety and outcome standards for everything else.
Can an auto repair shop switch to a four-day workweek?
Some shops have, but it requires careful planning around bay coverage, customer hours, and pay structure. A common approach is to run a pilot period, set clear measures such as billed hours, comebacks, and customer satisfaction, and review the results with the team before making it permanent. Being transparent about the goals helps employees commit to making the schedule work. The right answer depends on your staffing, your customers’ expectations, and your pay plans.
