Measuring
and Improving "Thru-put"
How
long does it take to repair a vehicle relative to the number
of labor hours on the repair order?
Let's
say that a repair order includes 40 labor hours. The customer
dropped it off on Monday morning, and it was ready for pick-up
the Wednesday evening a week later. From Monday through
the following Wednesday is 8 working days (excluding the
weekend). Therefore, the shop averaged 5.0 flat rate hours
of labor for each day the vehicle was in the shop (40 billed
hours, 8 working days). If the shop personnel operate at
a 150% proficiency level and work 8 hours per day that's
a potential 12 flat rate hours (8 X 150%) that could have
been applied to that vehicle each day. What accounts for
the difference between 5 hours per day actual and 12 hours
per day available? What if you could find a way to increase
the 5 hours to 8 or 9 billed hours per day?
This
could tremendously affect you shop's profitability!
Need
some ideas?
Call CMS: 410-944-3383 or email us: cmsinfo@earthlink.net
Quality
"Almost means not quite. Not quite means not right. Not
right means wrong. Wrong, means the opportunity to start
again and get it right."
Service
"Rule#1 If we don't take care of our customers...somebody
else will."
Teamwork
"There is no limit to what you can do if you don't care
who gets the credit."
Excellence
"The price of success is hard work, dedication to the job
at hand, and the determination that whether we win or lose,
we have applied the best of ourselves to the task at hand"
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