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Client Tips

Time-Cost Benefit Calculator

Posted by Manuel Soto Thursday, March 13, 2014

Some service personnel perceive that the time required to carry out the World Class Inspection is time prohibitive.  The cost-benefit calculator is a tool to analyze the actual time each operation takes.  A manager can then show that the benefits of executing the proper inspection steps at a higher and more consistent level far outweigh any marginal increases in time-cost to perform any given step.

The calculator assumes that vehicles come to the dealership for a requested service (such as an oil change) and/or for a diagnostic concern.    While the assumption is an Oil Change (LOF) this same cell can be used to calculate any requested service from the customer to the service department.

The calculator breaks down these two types of service visits:

  • No Diagnostic Concern Listed as LOF w/Inspection
  • Vehicles with a Diagnostic Concern w/Inspection

Each of these types of service visits is further divided into NON-EDGE Process and EDGE Usage Process.

The first column “NON EDGE LOF only” is meant to be used to create a baseline of how fast the process goes without inspecting the vehicle at all.

It is suggested that the various steps in the service operation be timed and documented.  Do this for several vehicles to arrive at an average time taken on each critical step.

Steps:

  • Time the execution of the given steps. Or time the same step on various vehicles and take an average time taken on that particular step
    • Time table worksheet has been included to document these incremental times.
  • Sum and document the steps in each of the three phases of the inspection:
    • Technician
    • Parts
    • Service Advisors
  • Take a final tally of all of the complete cycle time.
  • Compare the times of using EDGE and Not Using EDGE.
  • Weigh the benefits of the new process against any possible marginal increase in time.

[button link="http://knowledge.autopoint.com/wp-content/uploads/sites/4/2014/03/AutoPoint-Time-Cost-Benefit-Calculator.pdf" size="medium" color="orange" lightbox="false"]Download Worksheet[/button]

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