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Technician Efficiency Calculator
Enter how many hours your technicians clock versus what you actually bill – and see exactly what the gap is costing you every year.
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The Efficiency Ladder: what each rung is worth
Technician efficiency is hours billed divided by hours clocked. It is not a measure of how hard your team works. It is a measure of how much of their paid day ever reaches a customer invoice. Here is what each rung on that ladder is worth in real money.
Where the unbilled hours actually go
- Waiting on parts. Tech is on the clock, car is on the hoist, nothing is billable.
- Comebacks and warranty. Real hours, real wages, no invoice, and usually no record.
- Work with no job card. “Just have a quick look at this” never reaches an invoice.
- Yard shuffling and tidy-up. Necessary, unavoidable, and quietly enormous.
- Quoting time. Diagnostics that find nothing are still hours you paid for.
- Scope creep. The 2 hour job that became 3.5 and got invoiced at 2.
Most workshops have never measured this even once. Not because owners are lazy, but because nobody ever told them the number existed. Now you have your number, here is what to do with it.
Method: 3 technicians × 40 paid hours × 52 weeks = 6,240 clocked hours. Labour revenue = clocked hours × efficiency × $180. Benchmark set at 85%, the top of the healthy band. Currency neutral: the arithmetic holds at any charge-out rate. Labour only, parts excluded. Efficiency bands (critical under 65%, below par 65-74%, healthy 75-84%, excellent 85% and above) from Workshop University, Technician Efficiency.