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From the NCM Institute: Better Processes Improve Technician Productivity and Gross Profits Written By: Tony Albertson

Written By: Tony Albertson

Did you ever perform this calculation for your dealership Service Department? Whenever we do this exercise, either in the field with one of the NCM Retail Operations clients or in the NCM Instituteclassroom, the result always knocks the socks off the dealership management team. Here’s how the math works:

Technician Flat Rate Hour Production Gross Profit Impact

(You may click on the above chart and be immediately taken to an interactive Excel spreadsheet to perform this calculation for your dealership.)

If your dealership’s technician productivity is below the Best Practice Guideline for your franchise, what do you need to do to increase technician flat rate hour production by one hour per technician per day? If you’re scratching your head, don’t feel like you’re alone! It’s a lot easier to identify the need for improvement than it is to determine WHAT you need to do and HOW you need to do it!

Effective processes drive productivity! In the Principles of Service Management classes conducted at the NCM Institute Center for Automotive Retail Excellence, attendees are taught how to develop, implement and flawlessly execute the following:

  • The interactive Walk-Around Process
  • The Menu Sales Process
  • The Additional Service Request (ASR) Process

How have you improved technician productivity in your store?  What are your greatest challenges to improvement?

Click here to learn about all our service management training options, including NCMi classroom, regional and on-site training opportunities.

Views: 23

Tags: Drive, Management, Operations, Productivity, Retail, Service, Team, Training

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