Implementing a Work Order Distribution System Will Cutback Payroll Costs

Take a look at your budget. What is the number one biggest expense you have to worry about? The answer is labor, right?

This expense is a necessary evil. You run a business to make money. However, in order to make money, you need employees to provide the service to your customer. You can't cut off your employees; but, there are ways to cut back on payroll costs so you are getting the most out of your employees while they are 'on the clock.'

To start, think about the time of day that is the biggest time waster. Chances are it's probably the mornings while your employees are waiting to get their work orders for the day. How much time are they sitting around the office, waiting? 20 minutes? 30 minutes? An hour or more?

Now factor the average rate of pay for each of your employees and multiply it by the amount of time spent each morning they wait around to start work. Now multiply this number by 250 (the average number of days worked over the course of a year.) That's a lot of money to pay out in payroll each year for your employees to drink coffee, talk about sports, etc.

To combat this, devise a plan to get your employees out the door right away in the morning. Make it a point to have your employees work orders ready for them when they get there: either by doing it the night before or by coming in early to decide on their workload for the day.

An even better idea? Invest in automated software that will send work orders directly to your employees at their homes via email. With this software, they won't even have to come into the office at all; they can just print off their appointments from home and drive directly to their first job of the day. You'll also save truck fuel in the process. For a service company operating in a 25 mile radius, this type of software can help save up to 30% in fuel consumption. Less fuel used means more savings on your bottom line.

This software will cost money. However, over time it will save you money because your employees aren't able to waste the time coming into the office. This saved time will allow your employees to get in more work over the week, making the company more revenue in the process.

Payroll is the most controllable expense a small business owner has. By devising a plan, you can cut wasted time considerably. Over time, you will find that you are spending less and less on overtime pay while booking more and more revenue in the process. Your business will grow because you can take on more customers and you'll be on your way to creating the most successful business you ever thought possible.

So, sit down, put on your thinking cap, and start putting a plan together that will save you money. Your bank account will thank you.

ABOUT THE AUTHOR: Steve Teneriello has helped hundreds of field service company owners improve the way in which they manage their business. He helps field service companies of all sizes organize the way they do things through the use of systems and technology. Having owned his own service company at the age of twenty-three, Steve learned early on the importance of setting goals, taking action and getting the results you want to live the life one aspires to as a business owner. It is the very philosophy upon which he founded his coaching practice - The Service Coach. Visit http://www.theservicecoach.com to learn more and schedule a free consultation.