Answers to some most frequent questions. . .
What is the return on investment (ROI) for efficiency
changes?
My typical new client is
averaging about 120% technician efficiency (9.6 hours billed for each 8 hours
worked). Getting a 5-tech business to industry
standard 150% efficiency; will result in an annual revenue increase of $23,600
- per technician. Have a crew of five, that's $118,000!
What is the ROI for your marketing programs?
Initially, our community marketing
plans are expected to add one-car a month to your operations – or roughly $27,000 annually. As our programs mature within your company,
ROI ratios will increase. Add social media into your marketing strategy and that number could multiply.
What do your services cost?
Efficiency vs. Productivity?
Productivity is the byproduct
of efficiency. Just turning hours doesn’t
mean you’re making a profit, but turning hours at the threshold of maximum
efficiency is a recipe for high earnings. Efficiencies exist in all departments of a business, not just production. 15-20% of technician efficiency can be attributed to administrative processes! Getting this right is a must-do.
I use a management system; it calculates efficiency for me –
right?
Most management systems do
track “on the RO” efficiency. I
additionally, track “on the floor” efficiency – the hours a technician is on
the clock – vs. – the hours billed on the estimate. This ratio illustrates the ability of
management to keep the technician productive and coupled with “on the RO”
efficiency data is a great way to identify time-waste.
Do I need a management system to track KPIs and manage my numbers?
No - I have developed a tool-set to measure and track the data and processes most important to an autobody business. As
long as you have MS Excel – you can manage your numbers and KPIs. That said, my systems are a great solution for businesses up to a certain production throughput or gross revenue - not being automated beyond this threshold will certainly be counter productive. I strongly endorse NewEra Software's management and customer connectivity solutions to my clients needing a more controlled focus on their business.
How often will you be visiting my business?
Most clients receive a monthly visit; while some opt for an every-other-week visit in order to get things going more quickly. Social Marketing clients are throughout the US and are remote coached when ready to self-manage their social media activities. Either way, the visit schedule is discussed and agreed in advance. I also call between visits, to check up on things and send informative e-mails throughout the month.