In my experience it depends on the tech more than anything else.
Technician Pay Plans - Is there a Right Choice?
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There are techs who thrive under the pressure of flat rate, but most either don’t (making too many mistakes) or they feel that the flat rate system has burned them too much.
Too often management uses flat rate as a way to control their labor expense (which is exactly the wrong way to look at technician time, they are a commodity not an expense) instead of trying to create ways to make the technicians more efficient.
I personally think a hybrid pay system is best as it rewards both quality and speed.
Sorry if I ramble a bit.
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10 hours ago, Joe Marconi said:I tend to agree with you.
To add to your comments, I do think that there is also a responsibility of the shop owner or manager to ensure that estimates are written properly, and that the correct labor is applied to each job (as best as possible). For example. how often are deals made with the customer to sell the job, and many times the labor to test a complicated driveability problem is waived? Does the tech get the labor time, or does the tech suffer? There are many more examples. Labor hours is not just techs responsibility. It takes a team effort.
It definitely is a team effort. It also requires a serious effort on the counter side. If you’re paying your technicians in ANY fashion that relies on an accounting of their time then they should get some amount of time every time they touch a vehicle. Even if the shop waives the diag or the bulb install or whatever. The tech should NEVER be on the short end of a deal made between the business and a client.
In addition I personally feel that almost all costs are the responsibility of the business, short of an employee’s gross negligence. Though even then the shop may cover the expense and either terminate or reprimand the employee dependent on the circumstances.
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Have you checked out Joe's Latest Blog?
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By Joe Marconi in Joe's Blog5 commentsI recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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By Joe Marconi
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By mikezat
Hi! I got a bunch of engine and cabin filters - leftovers from my store. What's the best way to get rid off the inventory? eBay sales are slow and not an option due to the time it takes to list a filter and due to expensive cost of shipping.
Many thanks in advance,
Mike
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By carmcapriotto
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
Click here to learn more about Top Tier Marketing by Shop Marketing Pros and schedule a demo:https://shopmarketingpros.com/chris/
Check out their podcast here: https://autorepairmarketing.captivate.fm/
If you would like to join their private Facebook group go here: https://www.facebook.com/groups/autorepairmarketingmastermind
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
Click here to learn more about Top Tier Marketing by Shop Marketing Pros and schedule a demo:https://shopmarketingpros.com/chris/
Check out their podcast here: https://autorepairmarketing.captivate.fm/
If you would like to join their private Facebook group go here: https://www.facebook.com/groups/autorepairmarketingmastermind
In this podcast episode, Coach Chris Cotton from Auto Fix Auto Shop Coaching hosts a conversation with Coach Al and Kevin, a service manager, about the importance of team culture in an auto repair shop. They share their experiences with team-building activities like axe throwing, camping trips, and Christmas parties, emphasizing how these events enhance employee relationships and work dynamics. The discussion also covers their thoughtful approach to hiring and the necessity of appreciating staff. Coach Chris admires their methods and reflects on the value of investing in employees, while Coach Al highlights the inclusion of these practices in their hiring process to attract and retain a committed workforce.
Culture and team building exercises (00:01:00) Discussion about the importance of culture and team building exercises in the auto repair shop industry.
Creating a positive culture (00:02:50) Description of the strong chemistry and positive culture in the shop, emphasizing the importance of mutual support and camaraderie among the employees.
Hiring process and culture fit (00:03:54) Insights into the hiring process, including assessing candidates for their skills and cultural fit through interviews and observations.
Annual Christmas party and other events (00:06:02) Details about the annual Christmas party and other team-building events organized throughout the year, such as axe throwing and other outings.
Christmas party preparations and employee appreciation (00:08:00) Discussion about the process of selecting personalized gifts for employees, the budgeting for the party, and the significance of showing employee appreciation.
Appreciating employees through events (00:11:15) Explanation of the financial investment in employee appreciation events, such as the Christmas party, as a reflection of the shop's commitment to valuing and retaining great employees.
Camping trip tradition (00:16:24) Origins and evolution of the annual camping trip, including the planning process, activities, and the inclusive nature of the event for employees and their families.
Inclusive camping trip and its cost (00:19:07) Inclusion of employees' families in the camping trip and an overview of the costs associated with organizing the event.
Maintaining order during the camping trip (00:20:32) Anecdote about managing noise levels and potential disruptions during the camping trip, highlighting the challenges of organizing a large group event in a campground setting.
Camping Trip Planning (00:21:57) Discussion on the timing and survey process for the annual camping trip organized for employees.
Employee Bonding (00:23:50) Kevin emphasizes the positive impact of team-building events on employee relationships and work dynamics.
Investing in Employees (00:25:27) The importance of investing in employees and showing appreciation for their efforts is highlighted.
Recruitment Strategy (00:26:05) Incorporating team-building events into recruitment discussions to emphasize employee appreciation and engagement.
Connect with Chris:
[email protected]
Phone: 940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/
AutoFixAutoShopCoachingYoutube: https://bit.ly/3ClX0ae
#autofixautoshopcoaching #autofixbeautofixing #autoshopprofits #autoshopprofit #autoshopprofitsfirst #autoshopleadership #autoshopmanagement #autorepairshopcoaching #autorepairshopconsulting #autorepairshoptraining #autorepairshop #autorepair #serviceadvisor #serviceadvisorefficiency #autorepairshopmarketing #theweeklyblitz #autofix #shopmarketingpros #autofixautoshopcoachingbook
Click to go to the Podcast on Remarkable Results Radio
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