One of the fastest ways to increase your shop profits without having to raise your prices is to increase shop productivity.
The average productivity in our industry is only 66 percent. For every eight hours a technician works, he or she only produces 5.3 of billable labor. A technician at 66 percent productivity produces $6,652.00 of labor at $60.00 per hour labor rate, working five days and 40 hours a week. At 100 percent productivity, labor jumps to $10,080.00, or an increase of $3,427.00.