Time Tracking For Success

All of us have metrics we use to run our business, some more than others. All of us should have a very clear tracking of time. However, all time tracking is not created equal.

Maybe you track total hours some or all of your teammates work. Maybe some of you track the time spent on each billable job. I suggest you comprehensively look at tracking for these four types of time first taught to me by the l as the Robert L O’Connor (currently known as RLO Training) through the Automotive Service Association beginning back in the early 90’s.

  1. Available Time: The total time your teammate is working at your business for your business.
  2. Sold Time: The billable hours your teammate has been able to produce. Many companies do not have an hours associated with a tow or job, however, you should consider adding an increment of hours to the job at hand.
  3. Actual Time: This is the time actually spent producing work that is billable. Does not account time working that is not actually repairing, towing, etc.
  4. e-Time: This is the rest of time that is not actually spent producing work that is billable. This means available time is going to consist of either e-Time or Actual Time. You can’t sell e-Time. It is useful and necessary, but not billable. Some may choose to create e-Time codes to track and monitor where non-billable time is being invested.

Why are these times needed?:

  1. To measure productivity: Productivity is actual hours divided by available hours. It measures how much time your team was producing. If there is not work, and they are cleaning the shop, they are not producing. All companies have some non-productive time, so keeping this metric higher is a real time cycle by cycle indicator of your chance of hitting your objectives.
  2. To measure efficiency: Efficiency is sold hours (billable) divided by actual hours. This is primarily a tool measuring the skill and talents of those doing the work.
  3. To measure proficiency: Proficiency is the sold hours divided by available hours. It is the most comprehensive determining factor of all parts working to what degree of success.

Technology today provides many great solutions to tracking these times, and once you start getting the hang of time tracking, you will often times be able to see your teammates capable of keeping score on their performance and wanting to achieve at higher levels not otherwise thought possible.

Let me know if you have questions, or would like any input on how you might capitalize on some further training resources.

Keith Lewis

Categories Auto Repair, TowingTags

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