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Ultimate Efficiency

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Six minutes. That small fraction of time could be standing between you and an additional $200,000 per year.

Mark Martincic, director of fixed operations for consulting firm KEA Advisors, says it’s simple math: Let’s say your average labor rate is $100, and you have 10 technicians in your department. That would mean your rate per minute is $1.67, and the value of six minutes is $10.02. In an eight-hour day, that adds up to $80.16. Multiply that by 10 technicians and that’s $801.60. Over the course of a year, the opportunity lost adds up to $208,416.

In summary: When it comes to maximizing efficiency in your department, every minute counts.

“That’s a staggering number,” Martincic says. “And even if you can recover only a fraction of it, you are definitely winning the game.”

Maximizing efficiency in fixed operations requires compliance from every department, every manager and every position—regardless of whether you’re a behemoth operation or a small parts department. Fixed Ops Business talked to numerous operations in various sizes across the country, all with the goal of maximizing efficiency in an effort to drive profit in their departments. And what emerged was a universal set of rules that, regardless of size, staff or facility, were critical to ensuring efficiency doesn’t slip.

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