HVAC Service Technicians Should Understand Their Company’s Service Charge
There are things in every HVAC company that an owner wants to keep confidential, and the average service technician doesn’t need to know every little detail about how the company business is run. There are some things, however, that owners might want to consider discussing with service technicians to give them a better understanding of their job and improve their communications with customers.
One of these things is your company’s service charge.
HVAC service technicians are sometimes challenged by customers to justify their company’s hourly rate and often find themselves at a loss to explain. Having a better understanding of the service charge could provide technicians with more confidence when providing job pricing in the field. It can also help curb confusion or resentment for employees who don’t understand how service charges correlate to expenses, or what those expenses are, and assume that much of it goes to lining the owner’s pockets.
One of the best ways to help employees understand the service charge and dispel myths is to sit them down in a meeting and talk about the math. Explain the difference between direct costs (HVAC equipment and materials, tools, labor, etc.) and overhead costs (vehicle expenses, rent, insurance, office staff salaries, utilities) and how they’re used to calculate the hourly service charge while allowing a fair profit for the company.
This exercise could be a real eye-opener for your service team and result in solid benefits for your business.
About E.P. Homiek
E.P. Homiek Sheet Metal Fabrication & HVAC Supply, with two convenient locations in Lakewood, NJ and Union, NJ, provides one- to two-day turnaround on all residential and light commercial ductwork, as well as one- to two-hour emergency fabrication service, rapid delivery, and competitive prices. HVAC parts, supplies, and equipment lines include Goodman, Resideo/Honeywell, Bryant, Bradford White, Crown Boiler, Daikin, Weil-McLain, Sea Breeze, Generac, Fantech, ZM, A.O. Smith, Hart & Cooley, Malco, Mueller, York Commercial, and many more.
