Increase Sales: What Company Efficiency Tells You - Nexstar Network

Company Efficiency:  Measure “40 hours per week to Sold Hours” or “2080 per year to sold hours.”

What does “Company Efficiency” tell you?

  1. The hours the tech is performing compared to the company goal.  The company goal is determined by how many hours you sell, out of the hours per day/week/month/year.

Example #1:

Technician works 40 hours each week

Technician sells 20 hours each week.

What is the company efficiency?

40 worked hours / 20 sold hours = 50% company efficiency

Example #2:

Technician works 30 hours each week

Technician sells 20 hours each week.

What is the company efficiency?

***You still use 40 hours as the bench mark, even though the tech only worked 30 hours.

Why?

When we determined how efficient we are in the Nexstar profit pricer we start with 2080 hours per year.  2080 hours per year / 52 weeks= 40 hours per week.

So you use 40 worked hours / 20 sold hours = 50% company efficiency

Bottom Line:  Sold hours = company efficiency.

10 sold hours = 25% company efficiency

20 sold hours = 50% company efficiency

30 sold hours = 75% company efficiency

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