Every dealer I talk to reminds me they need technicians. My follow up question is always: “what are your current productivity/efficiency ratios?” Anyone who says 70% or better is usually wrong.
Correctly measured, productivity and efficiency in most powersports/marine/RV dealers ranges between 50%-60%. That leaves room for improvement.
While a technician has some input in these metrics, most opportunities to improve these numbers relate to everything that surrounds the technicians: service writers, parts support, porters, solid dispatching, special tools, and the list goes one.
Without digging into the weeds, here are the simple definitions
– Productivity – ratio of the time technician is actually working against the time he/she is at the dealership
– Efficiency – ratio of billable hours against the time the technician was actually working
When both ratios are low, focus first on productivity. Develop the systems to keep technicians busy. Then you can graduate to efficiency.
In a dealership with 10 technicians, a 10 point improvement in productivity is like adding 2 additional technicians. If dealers would focus on these metrics, the employee shortage disappears.
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