How to keep labor costs down better

[Rob]

Hi
Guys I run a full service wash in Ct and use 100% reclaim system at the wash. We are running about 12.5 a car in labor for cost this includes the manager and cashier. We have cut back all the men to 35 hours week and only have a cashier on Tues- Fri- Sunday , any suggestions . We are 100 ft long with older belanger wash equipment.
Most days I have two prep/ vacuum and tow drying men, Friday , Saturday we go to three drying men with two prep/vac men.
So most day 4 line crew with either the manager to a cashier runnign the place and if busy both do line.

Bob

 

[chadrpalmer]

How many cars are you washing? what are you paying them all?

 

[robert roman]

Controlling labor and its expense with traditional full-service format is difficult because of division of labor. The full-service layout pattern requires multiple work stations (positions) to function properly.

Starting line requires greeter, vacuum, drive-on, prep and supervision
In-store requires a cashier
Finishing line requires side-dry, drive-off, detailers and management
Express detail requires detailers and supervision
Detail shop requires detailers and supervision

Full-service requires six or seven persons just to open the doors.

Staffing up to meet demand is complicated by fluctuations in weather and time of day, week and season. Some operators try to overcome this by generating more door swings and increasing average revenue per car by investing in proven marketing strategies and tactics.

Another way to control labor is to identify practical ways to improve production efficiency.

For example, an auto cashier can be used to eliminate the greeter and cashier positions.

Tunnel upgrades can be used to minimize hand prepping of vehicles and more drying horsepower and flash-dry technique can be used to eliminate the need to towel dry vehicles near the laundry area in the wash bay.

If you can move vacuums from starting to finishing line, you can keep customers in cars during the wash process thereby eliminating the need for staff to drive cars on and off the conveyor.

Doing so, places most of the labor in one area, making supervision easier and it adds a new product/service line to the business; exterior express.

This is the tip of the iceberg. If you investigate thoroughly, you may find a great many things you can do to get the improvements you are looking for.

If you run rather than own the wash, you should encourage the owner to join in.

Hope this helps.

 

[smokun]

Easy Fix!

Upgrade to Flex-Serve.

Want to know how? I'll show you... for FREE!

As a professional courtesy, I guide a number of sincere & earnest operators step-by-step through the evolutionary process.

It's part of our Carwash Academy's effort to educate operators.

 

[buda]

Steve and Robert are both correct, a great way to lower labor is to move from the traditional full service model.

If you are unable to, or unwilling to move away from the traditional full service model there are numerous ways to get control of labor.

Of course, every operator has a different definition of what constitutes labor.

We have always operated on the premise that ALL labor in a full service car wash should be included: manager; assistant manager (s); cashiers; line people.

If you are a good car wash operator you can keep labor percentage including all of the above at about 45%. Of course, the more cars you wash per day the easier it is to control the labor.

To give you any meaningful information one would really have to visit your car wash and see what and how you are doing things to make recommendations of any real value.

Often it is just getting a better handle on the labor you have.

A start would be to have a standard of how many cars per manhour of labor paid you want to get.

Bud Abraham

 

[Rob]

labor costs down

Ok
Guys here goes I wasj about 19,000 car a year a very small full service wash and we run about 52% labor. Includes manager, cashier, line crew
I am trying to get down labor without effecting the wash quaility, In this town service is the key a non full service wash will not work


Help?


Bob

 

[Earl Weiss]

Can you eliminate the cashier every day?

Can you eliminate or reduce the prepping?

Can you relocate the vacuming to the exit end and work with one guy as the Prep / Loader / cashier?

 

[Rob]

labor help

Thank you for the quick reply
The cashier only works Tues, Wed, Sunday I can cut back on Wed bit myslef the manager is off Tues & Sunday
In my wash I need to towel dry every car and every car gets tire shine ( put on by hand)
If I move the vaccums I will still need the extra man to vaccum( 2 ?)
Here we just cant not knwo when will be bsuy or slow, I do send men home and th cashier if we are under 25 cars by noon

Bob

 

[buda]

Rob washing only 19,000 cars you cannot afford to offer full service.

If I have heard "in my area customers want serve," once I have heard it
100's of times in my 40+ years in the business.

You show the market a $5.00 exterior wash and your volume will jump far beyond your wildest expectations. Of course you have to overcome the image of your being a high priced car wash.

On the other hand, if you are averaging $20 a car at 19,000 cars that is hard to argue with.

Bud Abraham

 

[robert roman]

Rob,

You are getting some good feedback.

However, you keep coming back to us with "has to be's" or constraints that make helping you seem like trying to fit a square peg in a round hole.

If the owner of the car wash is pressuring you to squeeze blood out of a rock, it isn't going to happen at 19,000 washes a year.

Unless you have the ability and capacity to adapt (change) how the business is marketed and operated, I'm afraid you will continue to beat your head against a wall.

 

[Earl Weiss]

I know the question focused on labor, but have you considered trying to increase revenue?

Here is ons suggestion. Years ago we had an enterprising employee approach us about staying open late on a revenue sharing basis. (I think we called it the "night owl" special.) We were full serve at the time and he would do what is now referred to as Express exterior. We had been closing at 6:00 so we let him stay from 6:00 to 9:00. After a few months we noticed people lining up waiting for 6:00. (You could also try an "Early Bird" special.)

This guy was so enterprising he would guide them in, collect the $, hit the controller buttons, and do this for a few cars and run down to the end and towel dry.

The rest shall we say is history.

 

[smokun]

The Other Side Of The Equation

Earl's timely comment speaks volumes about any business. It reflects on the 2 fundamentals of profitability:

1. Reduce costs.
2. Increase Sales

Optimizing the unused portion of the clock is nothing new... but nevertheless is one of the most underutilized areas in the carwash business. The extended or "after hours" exterior wash Earl cited is one of the innovative ways us full-service operators capitalized on many decades ago, and the idea broke the mold of what was then "traditional carwashing".

Another extraordinary way to increase sales is to create new products or services. The opportunities are endless; limited only by your own imaginative creativity. And it provides another important way to DISTINGUISH YOUR BUSINESS FROM OTHERS!

Bottom-Line: Increasing sales is fun, easy... and worth every minute of energy invested! It needn't be a huge home run of a profit maker. Many little innovations can add up to be HUGE.

Example: One fun and easy way to increase revenue is to sell flower bouquets. Nothing exotic required. Simply contact a flower wholesaler and buy pretty and colorful flowers. It need not be expensive, and the flower wholesaler will show you how... with a minimum of cost and hassle. Mark everything up accordingly and have your cashier or sales advisor merchandize them.

 

[JeffM]

IMO smokun and Earl have nailed this one. Increased revenue will bring your labour % down and if you can find a way to increase volume while you are at it, all the better.

I am constantly reminded that "volume cures all problems" when relating to surviving in this industry. If you can work with your crew, cross train and have them flexible enough to move around the wash so that you can run 1 or 2 fewer people on a slower day it will help, but if your volume does increase, you will still need those people.

Try working with local businesses that may be willing to help promote your wash in return for the same. Not only is this almost free advertising, but a referral from a business someone trusts will often lead to more customers who will be willing to put trust in your business.