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Key Performance Indicators - KPI for Auto Repair Shops

Key Performance Indicators Photo By Stratocaster

Understanding Key Performance Indicators (KPIs) and Your Auto Repair Shop

Key Performance Indicators, or KPIs, are important tools for achieving success. They provide a clear measure of progress toward organizational goals. These help auto repair shops both to stay on track and to reach their objectives.

KPIs offer insight into how well the business is doing and also reveal areas that need improvement. All these work together to increase your ROI and then help scale your efforts. In this blog, we’ll discuss:

  1. What KPIs are and why they matter
  2. How to create KPIs for your auto repair shop
  3. How working with a business coach can jump start this process. 

What Are Key Performance Indicators? 

KPIs are measurable values which assess your company’s performance. They provide insight into what’s happening in the business in real time. When companies track KPIs over time, they can identify trends in performance. Those trends then allow them to make informed decisions about the future. 

Why Do They Matter? 

KPIs are essential for measuring success. Without them, businesses may not be able to accurately assess their progress and make improvements where necessary. Furthermore, setting performance targets allows businesses to have realistic goals to strive for while also providing motivation to reach those goals. When you use them correctly, KPIs help you optimize your organization’s operations and drive growth.

Creating KPIs For Your Auto Repair Shop 

When creating KPIs for your auto repair shop, it’s important to make sure they are relevant to your industry and the specific needs of your business.

Some common Key Performance Indicators used by auto repair shops include:

  • Customer satisfaction ratings
  • Average revenue per customer visit
  • Number of repeat customers
  • Average turnaround time on repairs

It’s also important to set reasonable targets to measure progress without becoming overwhelmed or discouraged by unrealistic expectations.

Working With a Business Coach 

Working with a business coach is the best way to meet your goals so you can maximize your potential as an auto repair shop owner. A business coach helps you set realistic goals and create action plans, so you know exactly what steps to take each day to succeed over time. These provide valuable feedback on strategies that have worked in the past, plus new ideas that could boost performance later.

Understanding key performance indicators (KPIs) is essential for any successful auto repair shop owner or manager for optimizing operations. Tracking these metrics helps owners and managers identify areas of strength and areas that need improvement. Then they can efficiently allocate resources accordingly for maximum returns on investment (ROI).

You Net Results Will Help You Start Your Key Performance Indicators Journey

Contact You Net Results today. We will guide you in the process of identifying, itemizing, and building your framework of critical KPIs! Book a complimentary consultation. Brian Gillis and our team will help you build your leadership foundation. Plug into a vast network of auto repair shops, working together to strengthen the industry! Let’s make March the best month of your business life!

Learn how to document auto repair shop systems the YNR way – using Action Flow Charts! Never again wonder what the steps are to any repair process your team must complete. Brian reviews a sample brake job checklist form to demonstrate how technicians and service advisors can confirm every task is completed. Do you want to download Action Flow Charts that your team can customize for your shop? Get the whole package here!

Action Flow Charts helping auto mechanics and automotive technicians.Action Flow Charts to Document Automotive Systems

Brian starts off by recalling a customer in his former shop. When they brought an error to the staff’s attention, everyone worked together to fix it. After that, they had a customer for life. In fact, that customer’s word of mouth brought a lot more business in. Just one interaction caused an explosion in revenue!

But how? The staff fell back on their systems to resolve the problem. Those systems were meticulously documented using Action Flow Charts. Therefore, everyone knew the chain of command. Everyone in the shop wrote down their tasks, so going back in time to find out what when wrong was easy.

More applications

Moving on, Brian suggested a great way to ingrain Action Flow Charts into your staff’s culture. Do you hold weekly one on one meetings with each staff member? If not, then why not? When your meetings take place, you should add an Action Flow Chart review to your agenda. Pick one from your folder, and make sure your technician or service writer knows it front to back. When you do this, you will have a strong gauge on how knowledgeable they are.

Next, Brian showed an example of the ABS Brake Problem Initial Analysis form. When using this form, technicians will not miss any potential causes of the customer’s brake problems. The YNR group were well versed on the form, and found great success with them. They all use Action Flow Charts every day, and they teach it to their staff.

Ready For The Next Step? Book Your FREE Strategy Session!

Brian Gillis - You Net ResultsYour auto repair shop lacks direction. Maybe your business plan has stalled out? Not meeting your goals? You need an experienced automotive industry coach to help you. Then why not schedule a FREE business strategy session with You Net Results guide Brian Gillis? You’ve got nothing to lose, so sign up today!

Management Process

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Mastering Your Results as a MOCC

  • Management Levels / MYR Power Six / HTM / People / Systems
  • Management on Cruise Control

Wouldn’t it be great if Your Management was a process? Wouldn’t it be great if it were that simple? It is.  you can do this. It’s proven to work.

  • People and Systems
  • How-to Manual quiz

Downloads

Powerpoint PDF

Auto Repair SOP - Standard Operating Procedures with You Net Results

By Paradee

The Benefits of an Auto Repair SOP

As an auto repair shop owner, you know a streamlined, efficient process is the best way to succeed. Standard operating procedures (SOPs) are key to meeting this goal. SOPs help standardize processes, reduce overhead, and improve service. All the while, you establish a more positive, predictable outcome for customers. Let’s look at why SOPs are so important in auto repair shops. 

Reducing Costs & Overhead with SOPs 

Each auto repair SOP reduces costs and overhead. You will streamline your processes, thus saving time and money. SOPs also make it easier to train new employees, since they won’t have to learn everything from scratch. Staff just need to follow the established protocols. This can also help reduce mistakes as everyone follows the same process each time. 

Providing Better Service with SOPs 

Using SOPs in your auto repair shop helps you provide better customer service. Having known protocols makes sure that all repairs are done efficiently. When customers know their cars are being fixed by a pro, it eases their minds. Also, if a repair job goes wrong, clear SOPs help resolve issues quickly.

Establishing Predictability with SOPs 

Finally, SOPs establish predictability. SOPs clear up expectations for both employees and customers. This creates a sense of order and consistency. Thus, everyone feels more at ease.

Using SOPs critically reduces costs and overhead. This provides better service and predictability for both employees and customers alike!

These systems are a must in today’s market! Clear, concise rules make training new employees much easier. All the while, you still provide excellent customer service. In order to stay ahead, invest in comprehensive SOPs for your business!

You Net Results Will Help You Start Your Auto Repair SOP Journey

Contact You Net Results today. We’ll guide you in building critical SOPs! Book a free call. Brian Gillis and team will help build your foundation. Plug into a vast network of auto repair shops who work together to strengthen the industry! Let’s make February the best month of your business life!

Daily Operations Process

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Shop Owners Who Take Action…

0519- SOP Action Flow Charts Review

  • What do we charge for inspections discussion?
  • So that you can lead with Processes and UP
  • Your communications for a more productive shop
  • That leads to increased sales and profit.

Action Flow Chart Story….

  • Mr. Jones tells the Service Advisor something…
  • Then the Service Advisor tells the Technician something…
  • Then the Technician tells the Service Advisor something…
  • Then the Service Advisor tells Mr. Jones something…
  • Then the Service Advisor tells the Technician something…

Downloads

Powerpoint PDF

 

Brian and YNR Member Andy read a passage from Gary Gunn’s book Turnaround Point – The Recipe for Going Broke. Are poor auto repair systems and processes leading to you ultimately shutting your doors? Read on for some tips to dig your shop out of the hole.

Are you going broke as an auto repair shop owner?Going Broke Discussion – Is It Too Late?

Andy opens the clip reading an account of Larry, a shop owner who was definitely going broke. His shop was not open on Saturdays, and potential customers instead went to a competitor. He also required clients to set appointments for their repairs. The reason? He was worried that too many cars in the queue would cause chaos that his staff couldn’t handle.

Brian tags in to read the hard fact that the automotive industry has changed. You can’t require every customer to set appointments anymore. Limiting your potential business like that makes you a “no” company. If your customers do not get a “yes, today” answer from your service advisor, they will take their money elsewhere. A six day per week 7am-7pm schedule is a great idea to help open yourself up to new business by adding convenience. Besides, if you are worried about handling more customers, then maybe it is time to think about hiring more staff and examining your current systems and processes.

In addition to understaffing and delaying your customers, low parts margins and poor phone skills are factors in going broke. Leave no stone unturned, because your livelihood and your staff’s financial wellbeing, could depend on it.

Learn More – Get Your FREE Strategy Session

Does your auto repair shop lack direction? Could you really be going broke? Perhaps your business plan has stalled out. Therefore, you need an experienced automotive industry coach to help you. Then why not schedule a FREE business strategy session with Brian? You’ve got nothing to lose, so sign up today!

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SOP Formation and Review

WOIT Discussion and Notes Formation and Review

Management Process – Comprehensive Shop Assessment Tool, Part 2 of 3

Watch Part 1

SOP #0219 Comprehensive Shop Assessment Tool

Are you Managing People or Processes? Stop managing People – start managing Processes!

Today’s Agenda Topic

  • Comprehensive Shop Assessment Tool Part 2 of 3
  • 23 Sections
  • Spreadsheet Tool

Downloads

Powerpoint PDF

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SOP Formation and Review

WOIT Discussion and Notes Formation and Review

SOP #0219 Comprehensive Shop Assessment Tool

Are you Managing People or Processes? Stop managing People – start managing Processes!

Today’s Agenda Topic

  • Comprehensive Shop Assessment Tool Part 1 of 3
  • 23 Sections
  • Spreadsheet Tool

Downloads

Powerpoint PDF

Leadership Process

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SOP Formation and Review

WOIT Discussion and Notes Formation and Review

“Communication” – Monty Moran Chapter 14 #118-6

  • To create systems and processes
  • To execute and ensure great Communications is being executed by all staff members
  • Don’t try to be liked – Do what is right!

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Powerpoint PDF

Daily Operations Process

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SOP Formation and Review

WOIT Discussion and Notes Formation and Review

SOP #537 – Huddles

What happens without Huddles?

  • Without hourly huddles
  • Processes breakdown
  • Causing loss of revenue, profits and customer service
  • More chaos than needed
  • Broken promises
  • Customers calling us more often
  • Lack of professionalism
  • Price become a LARGER Issue

Downloads

Powerpoint PDF

 

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