In the Service Department it is All About the Numbers!

"The Numbers." Everybody is always talking aboutIf you are an Advisor, you probably hear a lot
"The Numbers". We live and die by "Theabout these two numbers. Why? Because the
Numbers" in the car biz, don't we?Service Manager is monitoring these on a daily
In the Service Department we live and die notbasis and he or she is holding you, Mr. or Ms.
only by the monthly numbers but by the dailyService Advisor for performance in these two
numbers as well. Service Managers are constantlyareas.
reading reports with HPRO and EFL and CSILastly, Gross Labor and Gross Parts Sales. These
plastered all over them and the Advisors, well theare two numbers that reflect the Advisors daily
Advisors, they are watching the Managers readoutput. They are the total amount of Sales you
the reports so they know what to expect.have on the Repair Orders you have written and
In the Service Department bad numbers areare calculated by dividing the Total Gross Sales by
rarely a secret.the number of Repair Orders.
The Advisors know what bad numbers mean. ItSo now that you know what the numbers mean
means meetings and monitoring. It means stressand where they come from you can begin to see
piled on top of stress. And many times they havewhat areas you might need to improve in to
no idea where or how those numbers aremeet the standards at your Dealership.
calculated or even compiled.If you are having difficulty in achieving HPRO
All they know is that when they are bad, peoplestandards, then a Sales Training Course geared
with frowns and hard stares start showing uptowards Service Advisors would be appropriate.
around their work station with regularity.If it is EFL, then you might want to pay attention
If you are Mr. or Ms. Advisor, I'd like to take ato how much you are discounting (Did I just see
minute and explain a few of those numbers.all the Service Managers heads turn around on
HPRO stands for Hours Per Repair Order. You getthat one?) on your ROs.
HPRO by dividing the Gross Amount of LaborAnd if you are having difficulty in achieving Gross
Sales (less discounts) by the number of RepairLabor and Parts Sales then a Sales Course and a
Orders you have written.Phone Sales Skills Course for Service Advisors
Now I have had some conversations with Servicewould be the best action you could take.
Managers who want to argue about theNot taking action after you know where and how
"Mathematical Formula" vs the "Flags Per RO" andthey are calculated along with your performance
all you have to do is ask yourself this question Mr.goals is not the right thing to do if you want long
or Ms. Dealer Service Manager, at the end of theterm employment!
month does the Dealer Principal count up the flagDon't "die" by the numbers! Understand them and
sheets or the money?use them to change what you are doing so you
Effective Labor Rate is calculated by dividing Totalcan start meeting performance objectives!
Gross Labor Sales by Hours Flagged.