Improved Business: Understanding Technician Efficiency - Nexstar Network

Technician Efficiency:  Measures “On the job time to sold hours time.”

What does this “Technician Efficiency” tell you?

1. Can the tech perform the work in the amount of time that he or she sold? Note:  if a tech is selling one task, their efficiency will be low. Why?  Because “on the job time” is also the time you spend on the Greet, Explore, Present, Execute and Wrap steps. The sold hour time is only related to the Execute Step: commonly called the task time. The more tasks your tech sells, the better chance he or she has to improve the efficiency lost from the other steps.

Example #1:

Tech sell (1) Faucet Replacement:

Sold hours = .75  (Execute time)

Greet, Explore, Present, Execute & Wrap took 1.0 hour.

Tech efficiency   .75 / 1 = 75%

Example #2:

Tech sell (2) Faucet Replacement:

Sold hours = .75 x 2 = 1.5  (Execute time)

Greet, Explore, Present, Execute & Wrap took  1.75 hours.

Tech efficiency 1.5 / 1.75 = 85.7%

Bottom line:  Sell multi tasks and your tech efficiency will rise.

2. If the tech is technically efficient he or she should be at a minimum of 75%.  This is not gospel, it depends on the task sold. However, if a tech stinks at performing the work required to do the job, it will show up here.

Bottom line:  Don’t employ an inefficient tradesman.

3. If the flat rate manual has the wrong task times, this will cause your techs to fall short when it comes to Technician Efficiency.

Bottom line: Make sure your task times match the task.

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Nexstar Network is a business-development and best-practice organization for residential PHCE contractors.