How efficient is your workshop, really?

Most garage owners have a feel for how busy the workshop is. Very few have the numbers. One normal week of data gives you utilisation, technician efficiency, overall productivity and how much of your labour rate you actually recover.

The worked example is already filled in. Overtype it with your own week.

1. Your week

Pick one normal week. Not the quietest, not the week the MOT tester was off. Labour only, excluding VAT and parts.

Part timers count as a fraction, e.g. 0.5.

Rostered hours for the week, less holiday, sickness and training.

Time actually spent working on customer vehicles, across all technicians.

Labour hours charged to customers on completed jobs.

£

Excluding VAT, parts, MOT fees and subcontract work.

£

Per hour, excluding VAT. Not sure what it should be? Use the labour rate calculator.

%

Your own target. There is no universal benchmark, and anyone who quotes one is guessing.

Used to turn the weekly opportunity into an annual figure.

Available technician hours this week
Unproductive available hours

2. What if your utilisation were different?

Same team, same efficiency, same advertised rate. Only the share of available time spent on customer jobs changes.

Utilisation Extra sold hours per week Extra labour sales per year

Rows below your current utilisation show £0 because there is nothing to gain by going backwards.

3. How to measure each number

The numbers only mean something if you collect them the same way every week.

Available hours
Start with rostered technician hours. Remove annual leave, sickness, training and any other time the technician was genuinely unavailable.
Productive job hours
For one week, record the start and stop time of every customer job. Count only time actually spent working on the vehicle.
Sold hours
Add up the labour hours charged to customers on completed jobs. If you use standard repair times, use the hours actually billed.
Labour sales
Labour revenue excluding VAT and parts. Leave out MOT fees, subcontract work and parts unless you deliberately want them in the measure.
Lost time
Ask technicians to note a reason whenever they are off a customer job for more than ten minutes. The usual suspects are parts, authorisation, no job ready, moving vehicles, admin, tooling and rework.
Target utilisation
Your own target for the share of available technician time spent on productive customer work.

A weekly routine that takes twenty minutes

  1. Reconcile technician available hours for the week.
  2. Total the clocked productive job time.
  3. Total the labour hours sold on completed jobs.
  4. Total labour sales, excluding VAT and parts.
  5. Review the lost time reasons, then pick one operational issue to fix next week.

GarageWise records labour hours sold and labour sales on every job sheet, so two of the four numbers come straight off the week's invoices.

Your workshop this week

Utilisation

Share of available technician time spent on customer jobs. Target .

Technician efficiency

Hours sold against hours actually worked. Over 100% means you sold more time than the job took.

Overall workshop productivity

Hours sold against every available hour. Utilisation multiplied by efficiency.

Labour rate recovery

Effective rate of per sold hour against your advertised rate. Below 100% means discounting, fixed prices or write downs are eating your rate.

Capacity opportunity at utilisation

Extra productive hours per week
Extra sold hours per week
Extra labour sales per week
Annual labour sales opportunity

A capacity illustration, not a profit forecast. It assumes your current efficiency and advertised rate hold while utilisation rises to your target.

Download the spreadsheet

Everything on this page in one Excel file, with the definitions and the weekly routine alongside. Fill it in every Friday and keep the history. Enter your email and it is yours.

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GarageWise Ltd accepts no liability for any errors, inaccuracies or losses arising from the use of this calculator; results are provided for guidance only and should not be relied upon as financial advice.

Notes and assumptions

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