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Ode to Santa - The story of the economy and Santa


Gonzo

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Ode to Santa and the Economy

 

 

There goes Santa, running for his sleigh;

Hes gotta run fast, to get away.

 

You see, the economy has struck the North Pole as well;

The elves are on strike, and his wife is givin' em' hell.

 

These days when Santa appears at the local department store;

Its not just for fun or photos, but for gifts he needs to score.

 

He'll check the store layout and make a quick dash;

Why even Santa max'd out his credit card and is low on cash.

 

So off he goes, into the night;

To find those gifts, and get out of sight.

 

Now, hes not going to make a whole lot of stops;

Cause look out Santa here comes the cops.

 

Santa leaps to his sleigh and flys far into the night;

Carrying all those gifts, on his yearly flight.

 

Way into the morning, the police search high and low;

Only to find a few tracks left in the snow.

 

You'll hear all the alarms blaring, late into the night;

But old Saint Nick will be long gone, and clean out of sight.

 

Santa has to be quick, to have it done by Christmas Eve;

So many gifts, and so many places to be

 

The presents will be wrapped, and the tags will be off;

Cause old Santa is very careful, not to get caught.

 

So check your presents, early on Christmas day;

(Keep it hush-hush if they're from Santa, OK...?)

 

Now, I dont know if Old Saint Nick, stopped at your house or not;

But If he did

.....THOSE GIFTS ARE . . . HOT ! !


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      Auto shop owners are always looking for ways to improve production levels. They focus their attention on their technicians and require certain expectations of performance in billable labor hours. While technicians must know what is expected of them, they have a limited amount of control over production levels. When all factors are considered, the only thing a well-trained technician has control over is his or her actual efficiency.
      As a review, technician efficiency is the amount of labor time it takes a technician to complete a job compared to the labor time being billed to the customer. Productivity is the time the technician is billing labor hours compared to the time the technician is physically at the shop. The reality is that a technician can be very efficient, but not productive if the technician has a lot of downtime waiting for parts, waiting too long between jobs, or poor workflow systems.
      But let’s go deeper into what affects production in the typical auto repair shop. As a business coach, one of the biggest reasons for low shop production is not charging the correct labor time. Labor for extensive jobs is often not being billed accurately. Rust, seized bolts, and wrong published labor times are just a few reasons for lost labor dollars.
      Another common problem is not understanding how to bill for jobs that require extensive diagnostic testing, and complicated procedures to arrive at the root cause for an onboard computer problem, electrical issue, or drivability issue. These jobs usually take time to analyze, using sophisticated tools, and by the shop’s top technician. Typically, these jobs are billed at a standard menu labor charge, instead of at a higher labor rate. This results in less billed labor hours than the actual labor time spent. The amount of lost labor hours here can cripple a shop’s overall profit.
      Many shop owners do a great job at calculating their labor rate but may not understand what their true effective labor is, which is their labor sales divided by the total labor hours sold. In many cases, I have seen a shop that has a shop labor rate of over $150.00 per hour, but the actual effective labor rate is around $100. Not good.
      Lastly, technician production can suffer when the service advisors are too busy or not motivated to build relationships with customers, which results in a low sales closing ratio. And let’s not forget that to be productive, a shop needs to have the right systems, the right tools and equipment, an extensive information system, and of course, great leadership.
      The bottom line is this; many factors need to be considered when looking to increase production levels. While it does start with the technician, it doesn’t end there. Consider all the factors above when looking for ways to improve your shop’s labor production.
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