Numbers are important when it comes to running a successful HVAC business. As a business owner, it is crucial to keep track of your data so you can see what’s working for you and what isn’t— The best way to stay on top of things is to monitor a number of important metrics.
Below are the 10 field service metrics you should be monitoring this year:
- Average Response Time
How soon a tech gets to the customer’s house after the call. This especially applies to businesses that offer emergency services.
- Average Time to Repair
The average time it takes to make a repair onsite. Since every job is different, it’s important to train your techs and give them the resources they will need to be as efficient as possible.
- Average Time to Complete
The average time it takes your business to complete the entire job cycle from the initial call all the way to billing. When you understand this metric, you will be able to see how efficient your workflow is and if you need to make any adjustments.
- First Time Fix Rate
Being able to complete a job in one visit is great, but it doesn’t always work out that way. Understanding this particular metric may illustrate that your techs are spending too much time at return visits rather than gaining new business.
- Repeat Visits
Repeat visits measure the amount of times a tech returns to one particular job to finalize the service within a set timeframe. If there’s a high volume of repeat visits, it might be time for your techs to participate in additional training.
This is how many productive hours your techs spend during the workday. Servicing a customer is considered productive while sitting in traffic is not. If you find out that your utilization is low, you may want to look into improving your scheduling or dispatching, or both.
- Contract Uptime
This is the percentage of uptime for an installed product covered by a contract. If your company isn’t generating new revenue because you’re sending your techs to jobs covered by a contract, you may want to look into making a few changes in your processes or suppliers, etc.
- Service Contract Attach Rate
This is how often you are selling maintenance contracts or agreements to your customers. If your techs aren’t selling these contracts on a regular basis, you may want to reassess what the contract has to offer and/or revisit how your techs are upselling the offer.
- Customer Acquisition Cost (CAC)
This is what you spend on marketing to acquire new customers within a specific time period. To get this number you want to divide the total cost by the number of new customers/jobs you acquired. Your goal is to have the lowest CAC possible, so if it is looking a little high you may need to make some adjustments in your campaigns.
- Organic Growth
Good metrics should result in company growth, and tracking said metrics will help you measure your success and determine if any changes need to be made. When measuring growth you want to always be thinking about retention and churn, which will either prove your advertising and various campaigns to be successful or unsuccessful.
Monitoring the above metrics is key to your company’s success— Understanding these numbers will help you determine which processes and practices are positively impacting your company, and which ones are negatively impacting your company. If there’s a number you do not like or you think could be improved, it’s time to make some changes.
Now it’s up to you to decide what your business needs to function, how it will function, what improvements your practices and/or processes need, and what technologies are best for you and your business. If you’re looking for an HVAC business management software to help streamline, manage, and scale your business, come see what Davisware has to offer at Davisware.com!