Technicians’ hours weekly adjustment procedure

Technicians’ hours weekly adjustment procedure

 Description: The following procedure has the purpose of establishing the number of real hours that technicians produced on a given week. The main objective is not to wait until every ticket gets closed and cashed out before the hours reflect on technicians’ weekly hours report. This procedure gets done with two main objectives:

  1. We pay our technicians on a flat rate basis and as a company we consider they must get paid for what they did on the week, they should not wait until the ticket gets closed to get paid.
  2. By doing this adjustment, we can establish a real perspective of each technician’s productivity and hours produced per week. It gives the company a clear and useful insight of what a tech can produce, and it allows to monitor the performance of a technician to adjust on time. If this process would not exist, we would have weeks where a tech can flag 10 hours but on the next week, they would have a 70hr week for example (i.e. if the tech was doing an engine on the previous week and it didn’t cash out until the next week). This does not clearly describe a technician performance so the information would not allow us to make strategic decisions based off tech hours reports.

Every Monday, the tech hour adjustment procedure should get done for the prior week. To complete the weekly tech hours adjust sheet, follow the steps below:

  1. Print out the tech hours adjust sheet. http://employee.tuneriteauto.com/wp-content/uploads/2021/08/Tech-Hours-Adj-Sheet.pdf
  2. Organize the W.I.P screen by order number so that the orders get organized by date.
  3. Start the following process from the last order that is still open and got created on Saturday: open the order and analyze if the order had any work done on the previous week and if the answer is yes, create a labor line with the description “tech correction” and deduct the amount of labor that was done already by creating a negative hourly input. For jobs that got done partially, just do an estimate of hours that got done already (I.e. if a tech is doing an engine job and they got to the point where the engine is out of the car, you can assume that they are half way into the job, so assign half of the engine removal and replacement time to the tech for the given week).
  4. Once you did the adjustment on the RO, you must write down the RO number on the tech hours adjust sheet with the number of hours and the technician. Also, keep in mind that technicians get paid with 2 different rates (Normal rate (NR) and Reduced rate (RR)). Reduced rate applies for any oil changes and tire related jobs, normal rate applies for everything else. In the tech adjustment sheet, write down NR or RR right next to the hours adjusted as a reference to know at what rate each labor line needs to get paid.
  5. If you go into a ticket and there is not enough information to determine what got done and what didn’t or there is any other piece of information missing on the ticket that doesn’t allow you to get the adjustment done, create a list of tickets per service advisor to ask for clarification on each one of them. Use this list also to enforce good practices for write ups of tickets. Service advisors must get back to you the same day. (Keep in mind that the fact of having to get clarifications is because of a negligence on their end (I.E. not putting a technician on the ticket) so even if they have a busy day they have to make time to provide clarification and if they need to stay late after work to do it, it is what it is.
  6. Print a “Tech pay hours” report from the accounting reports of Shopkey and go to the last page which is always going to list the “undefined tech R.O.s” Write down all those RO numbers of tickets that got close without assigning a tech on the right column of the Tech hours adjust sheet and proceed to re-open the tickets and assign the right technician. If you don’t know who was the tech, you can include that as a question for the corresponding service advisor on the clarification list mentioned on step 5.
  7. Once you go through all the tickets of the W.I.P. screen, you assigned the technicians to the undefined tech ROs and you get the clarification lists from every service advisor and make the necessary adjustments, the next step is to create a adjustment repair order. For that, open a ticket under the customer’s name “Tech correction” and start putting in all the lines noted on the Tech hours adjust sheet. To create these inputs do it following these steps:
    1. Create a labor line and on the description write down the RO number and right next to it, put the adequate reference: NR or RR depending on the case. Example: “RO 29567 NR”.
    2. On the labor time, put the corresponding number of hours being adjusted, this time with a positive sign.
    3. Cero out the dollar amount charged (this is only done for adjusting purposes so no money should be charged).
    4. Assign the corresponding technician. Save the labor line.
    5. For tickets with more than one rate on them (i.e. the technician did an oil change but also did a valve cover gasket) create 2 separate labor lines for each adjustment. Also if more than one tech worked on a car and both have corrections to be assigned, create one labor line per tech).
  8. Once you finish the repair order and included all the necessary adjustments, close the RO on the Saturday of the previous week.
  9. Print out the Tech pay hours report for the week and hand out the corresponding reports to each tech and request their revision. Once you go through their revision and make the necessary adjustments, submit the hours to the administrative department so that they can proceed with payroll. VERY IMPORTANT: remember that you are responsible for the profitability of the shop as well as enforcing compliance with all company policies, so technicians request for more hours can only be approved when it is fair and it is requested on a timely manner as the workflow policy suggests (i.e. if a car is rusty and more time should be requested, technician must notify it before finishing the job and also needs to put it in writing on the repair order) if the time is only requested to the manager after the fact, the adjustment cannot be done, technicians must also show care for the shop profitability and wellbeing.