
Recently I was asked about holding technicians more accountable. The Rebuilder I was talking with told me about how he had some issues with a few cars lately that clearly came back to the quality of the repairs from one of his technicians. He explained that when a sale (retail or wholesale) comes back to him with problems he, as the business owner, is really the one being held accountable or “paying” for the mistakes.
I get it, he’s in a tight spot…
on one hand, he needs the technicians, on the other they may be costing him more money than making him. This Rebuilder was tired of firing techs. Firing people is always a painful process both personally and professionally.
This was my advice,
Terminating an employee is always the last measure.
Instead, mentor, communicate, and explain “why” the quality of their work is vital to the profitability & sustainability of the business. A thriving business requires valuable employees who will be recognized and rewarded.
Consider a compensation plan that rewards positive outcomes.
I would recommend at least 20% of a technician’s pay be variable and based on the sale of the vehicle on which they worked remaining issue-free for at least 30 days post-sale. Many employees can live without 10% of their income so I wouldn’t recommend a 90/10 split. 80/20 or even 70/30 can help drive the behavior to get the desired results and quality.
By solving this problem correctly, you will build better-quality cars, keep more money in your pocket, keep more techs on the payroll, and produce more vehicles.