 Hey, good afternoon everybody Tom Stewart here. I'm with Liz Trotter. This is smart business moves It is Wednesday, it kind of feels like it should be Thursday to me though, but Yeah, this is a been busy busy busy. Yeah so on on Thursdays and one of the MMA groups we have open open call and Today the person that was normally up for a deep dive had something come up So we had an open call today So it just messed me up for the whole day now because I'm like open calls are on Thursday. So it feels like Thursday. Oh my I just haven't been able to get back on track since then. Hey Linda so we've been I guess scrambling trying to hire some people in some places you know cleaning professionals and we've beefed up our development resources development team on the main central side, so Been tied up in a lot of She's on intercom so just automatic box You are too Tom. Do you feel special? Yeah, I switched you over to intercom because I was missing too many of your boxes The Voxer yeah, okay So when it says that you automatically hear my box that means it played But if you were it's kind of a tree falls in the woods and nobody's there to hear it doesn't make a noise type thing Yeah, if I'm not around my phone and I am more often than not around not around my phone I leave it laying all over the place. Oh Somebody can't wait for this. Who's that Facebook user that can't wait for this. Who's the Facebook user? Somebody's in a group, right? That's what that means. Yeah, they're in a group some group Studying KPIs for e for all For efficiency Efficiency That point Question to we've got good people on here today Well, I don't know who the Facebook user is. I'm gonna oh Kimberly. Okay. Hey Kimberly. I was thinking it might be Sarah But hey Kimberly. Oh, that's good. She's a good person to have on here, too So one thing that we were wondering you guys are we going to slow through this material Would you like us to speed up a little bit or we're thinking it just hey Sam? All right, don't worry. They are here. You will be Dealing with cats and dogs. Well, I don't know is Molly around town Molly's with Janice for the moment. She's out with Richard. They might be back before we're down. I don't know I Think I've catched do you guys hear that? That's already one cat. So I'm going to I'm gonna stop my camera for this if we if we are going to slow Liz will tell you we're capable of going a whole lot faster We're just trying to find the right the right speed here Yeah, we can go faster, right Liz We have gone so much faster than I'm like, you are totally lost Tom Remember I had people reaching out to me like I have no idea what Tom's even talking about. Yeah, I know All right, so let us know Some of you are on here pretty regularly Leslie Linda Bridget Is this is the tempo good the speed that we're going through this material good or would you rather we? Speed it up. Let us know Kimberly Tom do you remember how Kimberly can turn her just to accept something here? Let me say I Am going to post Telling me here. Oh There's a lot of me. Wow Ask your viewers to visit stream yard comm force less Facebook to stream yard wall as to access their Facebook Name and picture if they accept future comments will show their name and Just go to a stream yard comm forward slash Facebook to So clearly the only thing I can think of is that you are accessing the Facebook live from a different place Linda thinks we're a good and speedest we can go back to our crates. Okay. Good. Good. Thanks, Linda Anybody else have any feedback let us know Robin if you're here Bridget's a little bit slow. Okay, so we might be able to we might be able to go a little bit quicker because We do other recordings, right? You guys you guys you guys got to do us a favor though If we start talking about something that doesn't make sense call it, you know stop us and ask a question So I don't want to You know kind of goes together and you know one thing after another and if one point gets missed then pretty much everything after that Doesn't make a whole lot of sense either Here's my thinking Tom usually where people get on I'm kind of bogged down or feeling like oh, wow, you're losing me is more on the Spreadsheets. Yep, that's right Kimberly productivity improvement. That's what we're doing right now it's on spreadsheets or When we pull up a spreadsheet and then start trying to show numbers because it's hard for them to figure out exactly What we're doing where we're doing how the numbers connect all that kind of stuff so we will You know, I cut myself off Kimberly earlier. I was saying that you are Probably accessing the Facebook live from a different place. Maybe a group probably if you go to Cleaning business today, you won't have that problem If you access us from there Download they're helpful for me anyway, so I can refer to them over and over. Oh my gosh me too I love that all right Yeah, we're gonna take some of the spreadsheets we have and we'll make them available the one that we looked at when yesterday I didn't upload it yet because we're not done with it yet and I'm figuring I don't want to upload it every day. So once we get to the point where we've kind of got everything in that we want I'll upload it So Okay, do we want to get going? Yep. Just do me My phone's going crazy. I don't know what's going on here, but I'm not I'm not calling Okay Okay, so we're talking about productivity improvements and uh, you know, we know what productivity is allow time divided by the actual time The allow time how long we think it's going to clean a home in the actual time is how long it actually took um Talked about how training is an important part of of improving productivity The tools supplies Pull up the sheet tom so we can see it. I'm just sharing that Emma. I'm looking at it It's right here. Nice. Do you like it? It's good Yay, there we go My face is small too for me. I'm sorry You know, it's it's better. I think most people will probably like this. I like it when my face is small I don't like my face in front of me. It's like it's too much. Yeah, we can just kind of You just took you away um Okay, okay Go ahead. Let's full supplies equipment When you select those the first question you want to ask is How can this how can what will this save me time? Well, this might help us be faster in cleaning a home than what I'm currently doing And you want to ask that question before you ask how much does it cost? too often We're buying supplies and equipment based on price and price is relevant But that's the second thing you should be thinking about the first thing you need to be thinking about is How much more quickly can I clean a home and sometimes spending more on a cleaning product is going to make you more money Because what you spend on cleaning product pales in comparison to the hourly rate you're paying your cleaning technicians I did think of one more thing around this though, tom Another thing is if there are a lot of repairs that need to happen repairs are You know because they take so much can take so much time that that that can really be Um A problem and if they need to be repaired a lot they can be causing your technicians a lot of frustrations If you're talking about a like a vacuum cleaner for a Yeah, if you're repairing anything else get something better. Yeah or more times and not though We're looking for a bargain on microfiber. We're looking for a bargain on you know general purpose cleaner and You know, I would you know when it comes to like your cleaning agents typically your Did the lowest price cleaning agents are going to cost you more money than spending a little bit more on products that actually clean well right All right, move on performance pay. Okay, we covered all of that and we understand about commission and job ticket hour bonus and even split hourly We're going to be talking about those more here in a little bit What we didn't talk about is expectations And expectations and accountability are probably as big a part of of getting increased productivity as anything else There's kimberley. That is wallowing up there Yeah, yay So I guess that uh link works. Yeah okay, so How does expectation fit into to productivity? What what do you think les? so the very first thing that comes to my mind Is that if people don't understand that productivity is important If you haven't made that part of the message Then you're not going to get people's most productive cells We don't naturally tend most people don't naturally tend to be their most productive They just tend to jump in and get what they get So expectations I think is critical, especially in the beginning stages Oh, should we set a browser? Okay. We know that for next time Huh next time somebody's having that like she said she's never had this problem before We've used the analogy before about bowling if it has like a sheet in front of the pinch And you just kind of roll the ball down the aisle and it goes ball goes underneath the sheet and you hear things kind of rabbling around That's not very much fun. You really don't know if you're doing well or not You definitely are going to have a hard time improving your bowling score that way, right? Absolutely Yeah, so Part of it is is to remove the sheet and help people help your cleaning professionals understand You know the the objective the expectation is to Rock old and pins down ideally with the first ball But if not, we'll give you a second ball and see if you can get the ones that are remaining with the second ball Same thing with being productive you know So it all starts with if you go back to what productivity is the allow time divided by the actual time I didn't say it. I don't think I don't know if I said it literally but this implies that You haven't allowed time So if you want to manage manage productivity to start with you have to be pretty good at predicting how long It should take to clean a home Yeah, do you have a method we we didn't really get into this but there's a lot of different ways that we do that and You know some maybe are better than others but You know, do we all have a way to to when we're doing an estimate to figure out How long it should take to clean the home? Yeah That's a great question So I'm I'm guessing that everybody on here has a way to figure out what the allowed time is for jobs, but I'm gonna add that. I mean, that's a pretty important step. Um What is that? What do you use rigid? How do you determine allowed time? curious Based on square footage some people do it by rooms Because there's two primary ways right for house cleaning. Yeah, so I was just gonna ask I wonder if there's any other way so Back in the day what we did was We timed every job that we clean we timed it by room But I guess that is still yeah And then we just trans Figured it according to the house and the density, but yeah, I think it's by room Yeah, so either Room or square foot does anybody figure it out in a different way? anybody Have another way of doing it. I'm going to give you another way it's to my knowledge Nobody really does this in a house cleaning world, but they they do it And on the commercial side, you remember the other day where we're talking about this 612 cleaning times book Yeah Where it used to be 400 and something and it was like five four now six 12 some way behind they've Figured out sometimes that I don't have Yeah, but on the commercial side they call it work loading and It's a whole process you go through to calculate How long it's going to take to clean a particular space like big, you know, multi-tenant office space And how many people are going to do it and who's going to do what so on and so forth And they use Like standards like this where they're going through and they're counting each toilet each journal each sink How many square feet carpet how densely packed is it how many desks how many trash cans are Counting everything and they put it into a program or a big spreadsheet There's software that does this and it'll take all that added up and it'll each one of those little things How long does it take to empty a trash can? How many square feet of carpet can I vacuum in an hour based on the type of vacuum cleaner? I'm using remember the different types of vacuums and the power heads and all of that all had different times yeah If you're doing big space because when you're doing big space, this is another thing that's important Like if you're doing commercial work a lot of times you're like giving a contract Where you're saying for the next three years, I'll clean this space and I'll do it for this rate So if you're wrong, it could be it's kind of hard to go back and ask for a redo To do what we call a rate adjustment in the residential cleaning world um, so you want to be right um But I don't think that that anybody does that in the house cleaning world. I don't it's just We we used to do that with um, so we did small commercial The biggest commercial we ever did was we used to have a I think it was a 26 000 square foot building But usually just very small commercial and we still did it in a lot of the Offices just because it was easier, you know like an office Is this amount of money or time and we still equate it to time an office is this amount A women's a woman's bathroom is this amount a men's bathroom is this amount add this much for showers Um trash cans are this amount recycling is this amount? So we did do that, but we never translated it over to residential Yeah, a lot of people right now. We only have um kimberley and emilia. They both do square foot Do you guys uh change your square footage by emilia? I'm wondering especially with you because you talk about On traffic, etc. Do you change that number based on the number of people in the house or the density of the house? Or the age of the house just i'm just curious Does anybody do i'm still curious if anyone Does it by any other method other than? Square footage or room I'm guessing no since nobody else has said anything different 1500 square foot per hour. Is that per per one person per labor hour? That's uh, that's moving pretty good It's either two people probably or like just sort of a quick clean. Yeah Remain any scope of work Okay square footage is a good way of doing it Is that my biggest price and I add up? Get me get rid of this little thing here I temporarily You just you just launched your click-up icon I did I got rid of it again Now that I know how I think that was didn't eat that told me how to do that. Thanks again didn't eat Price per square foot looks like square foot's popular way of doing it and it is and it's a decent way of doing it When you're pricing by square foot or by room, whatever you're doing What I recommend that you do is You don't just look at square feet and go directly to price or if you do you also want to be figuring out what the Time be allowed time the number of labor hours is associated with that as well So if you're getting say 50 dollars a labor hour and you figure out that you know You're charging 150 dollars. That means that's like three labor hours. So um my preferred way of of giving a quote is to First calculate the labor hours and say, okay, it's going to be it's going to take me three hours to do this three labor hours And then decide what hourly rate you want to apply to that That way, you know, you've got the hours okay So Why is the hour is important because you're setting expectations? What are you setting expectations of you're setting expectations of how long it's going to clean the home, right? Yeah, and quality level So that's a huge piece of expectations because if you're not careful When you're talking about productivity if you just focus in on the amount of time It's going to take to clean and you don't Give equal time and respect to the quality level that you're expecting You're going to get outcomes that you're not happy with I'll give you I'll give you that so there's two things that we're doing here And really there's more than that. There's a lot of things you're expecting of your people Absolutely get out of bed and get to work on time, you know brush your teeth Customers No, no cussing anybody out. Yeah. Here's our core values We expect you to embrace and there's a long different things But in the context of this discussion if you want people to be more productive You have to make sure they understood this is how long We expect it's going to take for for you to clean this home And oh, yeah, by the way, this is the scope of work So we expect you to meet this level of Quality and meet this level of this scope of work in order to make that happen With scope of work. Do we should we add that to to to this? I think scope of work is important, huh? Let's see. What do we got so linda is 600 square feet and kimberley? It looks like kimberley is 750 750 square feet okay, and 1500 per hour. I'm guessing you mean $15. Maybe I'm not sure what we're going with that David And then kimberley is wants to charge 180 dollars for 1500 square feet maybe so that'd be 90 dollars an hour. Is that right? Is that what I'm Really? I'm not exactly sure what the 180 dollars for that square foot is. Yeah Not sure there and then I think most people will add on for per person or Pets above a certain number. I'm remembering one time uh a post where Customer was complaining about having to pay more for pets and it it got really rowdy In that it was in a facebook group. So our company average for 50 is is kind of the middle of the rug You know for for you know A typical frequency a typical scope of work for for maintenance clean That's usually what we hear. Yeah for recurring cleaning Um, I see linda has a 600 so 600 uh usually that means that your people are Cleaning to a A deeper level you're doing more work If you're if you're spending 600 unless that is like an initial clean or something like that Okay, so on the accountability side of this. This is the last one that's remaining Well, we talk about matter meaning measure accountability So You got to have something. I mean the expectation basically you you need to create accountability going back to the expectation How do we do that les? well, um Feedback right first you set the expectation and then you provide feedback in terms of how well we are repeating that expectation Which means that you have to have some way to measure That's an easy way. Yeah, that's what I was going to say is you have to have to measure first and then once you have the measure you can just point out Our meeting how are meeting that and that's the accountability piece right and then when people aren't meeting it Whatever the measure is then we would be able to say hey, you're not meeting this and we need you to do better We need to do this And if they are great then you're holding them accountable and you can or they're holding themselves accountable And you can point that out too So going back to what's productivity allowed time divided by uh actual time We already talked about we need to know what the allowed time is before we even start this process So we need a way to measure the actual time And you know, it could be as simple as You know, here's your work instructions on a piece of paper Write time down on this piece of paper that you start cleaning the home and write the time down on this piece of paper When you finish cleaning the home and you take the difference between the two You've got the actual time We did that for years because when I started um american made I didn't have a computer. I didn't know what a computer was. They didn't have computers I mean they did but not for regular people You know, that wasn't a thing so It took a while to get to get where we were not using just paper to figure out the the actual time it wasn't really until like after, you know, the i smartphone or iphone and You know gps and just the ability to have like distributed mobile technology that It really got a lot easier to do this whole, you know time capture thing now There's so many ways that you can have your your teams just clocking in and clocking out of a job And that's so many time trackers right the time trackers are just Abundant and they're so easy people just clock in on their phone or check in on their phone and check out when they're done And It's amazing. I mean it if you don't have like Like I know a lot of scheduling programs do that nowadays But if you don't have a scheduling program your phone and take care of it. Oh, we're supposed to be moving just a little bit Quicker too. Yeah, rigid me too. Work orders for ages, right? People are porting stuff and we're talking about it if we ignore if we ignore what's in the uh chat We can move a lot faster. No Okay, well, you know We're not ignoring it. We can't ever we can't ever chat and go fast too We already responded to the chat. What's the next point under accountability? What do we want to talk about that quality basically put the quality and you need to have some way of measuring quality If the quality standard is being met at the scope of work is being met Then it's all about, you know, are you working at uh at a normal rate is your productivity at least 100% If not, you got to circle back to the training and the tools to kind of figure out, you know Where the breakdown is but regardless of what your talent level is Anybody has the opportunity to become more productive If you go through this cycle. Yeah, absolutely. I I like that you Say that people should be At a minimum at 100 tom because I think a lot of times people Have this idea that a hundred percent. That's not attainable. That's not realistic Nobody can be a hundred percent. There's always room for improvement in everybody with everything But if we've set our allowed times correctly then a hundred percent should be achievable Because I mean, it's not like it's a scale where A hundred is is perfect a hundred isn't perfect 100 is is average Okay, thank you. I love that. That's great. That's a good distinction. I think because if your actual time is faster Than your allowed time you're over a hundred percent So the expectation would be 100 percent Right and below that is you're not meeting the expectation. You're pulling our whole average down Your blight on our company Wow Okay, that took a dark turn really quickly that would be that would be inspiring wouldn't it? No No See that's liz's thing liz is better at the culture and motivating people. I I I I try not to be on the front lines of those discussions That's probably for the best right liz. Yeah, I kind of liked that tom. I was like, wow I took a dark turn really quick got me. Look at it got me motivated I'm sitting up straight in my chair speed up a little bit. I'm paying attention right now Okay, is everybody good with productivity? No, no what we're talking about here. Know what it is and Understand what we need to do within our companies in order to help each one of our technicians improve Their account of their improvement performance in the area of productivity Yeah, and yes, exactly right less 100% is the expectation Which is really good information to have because it's so easy to feel like We should go less. Oh boy, Tom. Oh, well Yeah, um, you you got pan with that comment too. Good job, Tom Yeah, we did And paying job ticket hours, Sam. Yeah, you'll have to watch yesterday for that And just to as a reminder if I have two cleaners and one of them is a productivity They have 120 percent in the other one a productivity of 86 percent The one who's faster is going to make me 12 percent more profit. We went over this yesterday But I just don't want us to lose the point that The more productive people are the lower your loaded payroll to revenue is going to be Which means a larger portion of your revenue is going to flow down to gross profit Which means you're getting more profitable Okay Potential for more profit because it's also potential for you to just waste more money, right? We'll talk about that. You got more of an opportunity your odds are better. Yeah, odds are better. Yeah All right efficiency All right, good. I think that a lot of people feel like There isn't a lot of opportunity to improve efficiency, Tom So I'm super happy that you're talking about this stop Why would people think well first off? Do you think when people talk efficiently that we're All talking about the same thing Well, we probably should go over that again because we do have I see a few new people over here Katerina for biweekly service 1500 to 1700 per hour. I'm guessing it's probably 750 to Two people or one person It's got to be two people. That's what I'm saying. It's probably 750 to 850 is probably what she means That's what happened with um, Kimberly. She had accidentally put in for two people also so All right, so but moving on go ahead efficiency go ahead explain Okay, when we talk about efficiency, we're talking about The job time which is the time actually spent cleaning homes divided by the clock time which Includes the job time, but it also includes the other time that the department of labor would consider that technician as working such as drive time between jobs Why do we call it job time and not cleaning time if it's cleaning if it's what we're measuring as cleaning time we could Well, the reason I'm thinking that we call it job time versus clock time is because most of us include and I could be wrong here tom but most of us include like the loading in of the stuff and the loading out as part of Cleaning time even though they're not strictly cleaning, but they are at the job. So From the time they get to the job until the time that they leave the job Is all what most of us would consider the that time job time which Is not precisely cleaning time. Is that accurate tom or are I You as a rule you would Clock in if you will when you arrive at the job site and you clock out when you're departing check out check out So I'm sorry. I have to because we have too many people that are on um different programs so For for the conversation y'all what we use these terms as is clocking in for the day and clocking out at the end of the day and then checking into a job and checking out of a job and so I really like job time. I had was asked this question about the why do we call it job time instead of cleaning time and and that was my answer is The reason why we call it job time is it includes the load in and the load out which is really important Especially if you have more than one person if you have multiple people Have you guys ever checked that and I know y'all have have checked the time that they get to the job And then how long until they start cleaning? And they just sort of hang out and Talk at the back of the car and figure out what Who's going to do what could have been doing that the car when they're driving so I think it's really important that we think in terms of the entire job Instead of just the cleaning time And so I still like the efficiency With the alliteration of the shh shh and windshield So the efficiency goes with the windshield. I like it enjoying this today. Thanks guys. Oh good. I'm glad sarah You're moving a little faster. Can you notice sarah? Can you tell? So let's go over here and look at an example so And this is you know May be a little bit confused. I mean, let me let me let me effort to explain this Pretend we've got a two person team and This two person team starts their day at eight o'clock That they meet at the office and they get their You know work instructions and they get paired up and picked up their equipment Have a meeting and hop in a car and all of that starts at eight o'clock And they drive to their first job and they get to their first job say at eight forty five and so they're checking in for on their first job at eight forty five And They clean the home and it takes them an hour and a half and they check out of that first job at 1015 Okay Say they got a 15 minute drive till they get to their second house and they check in at 1030 And they work till 12 and they finish that job at 12 and they check out at at At 12 o'clock so They had drive time here for 45 minutes They had job time of so this is just pure clock time all of this bar here is clock time from eight to 12 That's just four hours of clock time But inside of this a clock time they had One and a half hours plus one and a half hours. So three hours of job time, right? What's happening at 12 time? I'm a little confused by what's going on here. Are they like Checking out of the job or and clocking out. If you're having lunch I don't want so they're okay Okay, so that's not clock time But They plot they clock back in at 12 30 and get to their next job at 12 45 and kind of do the same thing in the afternoon I guess no, so I've got I've got eight hours of clock time in 1.5 times three or six hours of job time But it's really All of this times two because it's two people. Okay Okay It's going to give you the same ratio But you know, how many job hours did I have tied up in these four jobs? It was actually 12 1.5 times two times four And how many clock hours did I have? Across this well it was eight hours times two or 16 So the efficiency in this case is 12 Job hours divided by 16 clock hours or 75 percent So is this good time or bad easy? Well, it depends. It depends what it should have been What should it have been? How do we know that? I think I think what people want to know when they're when they're looking at efficiency factor is How do I know what's good or bad? Isn't that all about like traffic and Like like can they just stop on the side of the road and Eat between 10 15 and 10 30 and stretch that out for an hour and Why is that, you know, people People struggle with this efficiency factor thing. How do you get any kind of control over efficiency? What you want to do is again this gets back to the whole whole expectation of What their efficiency factor should be now it is going to vary from day to day and you know Some days you're gonna you're gonna have to drive longer than other days but This part here in the morning between eight o'clock. How long does it take? You know for you to like have your meeting and get people, you know out the door and Google maps is a really good tool to Figure out how long teams should be between jobs and you know some software Will you know made central will calculate that for you and basically tell you that The amount of non productive time of this team is Supposed to have on a particular day and they'll add up all these blue spots and it'll tell you I think it's a lot of them that do that nowadays too. They serve autopilot does And i'm pretty sure jobber does so If you're not looking at that y'all check it out. This is super important and I'll give you another one here. There's actually three different types of efficiency What we're talking about here Is a concept called company efficiency? Which is the actual hour actual job hours divided by the actual clock hours And that's a good company metric that you want to track because what that helps you do is it helps you you can use that to Calculate what your fee split percentages should be if you pay commission or how much per hour You should be charging if you're doing a job ticket hour or Pay based on the loud hours. That's a good number for that Yeah, in terms of setting expectations and creating accountability for your cleaning teams There's a a number that we call team efficiency Which is the allowed non job hours divided by the actual non job hours. So what we would be doing is When we put the schedule together we'd be adding up how much blue time that team Should have based on how they're scheduled that day So there's a set amount that you might give them at the beginning of the day plus the drive time to their first house You would add to that let's say the drive time the google drive time whatever Your routing software says it should take them to drive to that location Drive time the predicted drive time here predicted drive time here predicted drive time here and predicted drive time here All that's like the allowed non productive time you divide that by How much time they were on the clock actually on the clock that they weren't cleaning So what what you're saying here is you might determine that The allowed time is for you to get to the job at eight o'clock and be at your first job at 8 45 And then to be leaving at 10 15 and at your next job at 10 30 etc You're adding all those up and you're coming up with what you have determined is the actual Allowed time. Sorry that'll just be actual allowed Time because I think Putting the word actual on there. He just confuses the message The allowed non productive time right in this example in this example You've got eight hours in these two blue bars and six of it is spent You know in on jobs. So you've got two allowed non productive hours so for this case the The correct efficiency factor the efficiency factor we'd be looking for would be 75 percent but if the team was able to Get into the office at 8 15 and still make it to the job at 8 45 And at the end of the day when they left at 4 o'clock they were able to do all of their End of day stuff and travel back to the office and get back to the office by 4 40 Then they would have a higher efficiency factor. Is that right? Yeah, this is 5 o'clock actually. I think this is Supposed to be 4 30 but whatever if they got back sooner than what they were supposed to all things being equal Their efficiency their team efficiency Because It can't be 4 30 because they're back in at 12 30. So it is 4 30. So this is 12 I got you in 12 30 and Before this last job at 4 that bar is just a little longer than it should be. I got you. Okay But the whole the whole the whole point is if you could Tell the team not only We expect the two of you to be able to clean each one of these homes in an hour and a half It rarely does it work out that you got a team of two Cleaning four homes that each one of them hasn't allowed time of of one and a half But for this, you know illustration, that's what we're doing And by the way We've calculated your drive time between jobs. So your non-productive time should be No more than two o'clock and if you do all this the way you're supposed to you'll be back at the office by 4 30 So if you meet the scope of work and get back here before 4 30 That's that's even better as long as you're maintaining the quality And then they did that if they do that what if two things are happening? They're either More productive their productivity is over 100. So they're spending less time In the homes in the orange area or they're Not losing as much time at the beginning or the end of the day Or they're speeding between jobs, which maybe isn't excellent But you know if you're really being efficient You could actually be Getting from one home to the next a little more quickly than what Um Would would would be allowed by google because usually The google times are more generous than what a motivated driver would be able to do occasionally traffic and stuff will change that So i mean there's always nuances, but you want to be doing this day after day after day So if somebody consistently comes in with a team efficiency below 100 Percent That is telling you and it's relative to everybody else because not only are you able to measure them Against they're allowed non-productive time, but you're also comparing that average against everybody else's So you're you're back to the chart tom because now you just said a team efficiency of 100 But on your little illustration, you're only showing an efficiency for the company of 75 So let's go back here again Company this this is company efficiency. This slide should actually say that and it does I don't know if i'm gonna let me do that See if it will it does. Yay Company efficiency will never be higher than 100 team efficiency Kind of the baseline is 100 it's kind of like productivity. You can be higher than 100 on team efficiency So in your example here, would you say that this Then that the team efficiency is 100 percent then because they met all of the allowed They actually got back to the office at 440 and spent an hour and a half as a team in each one of these homes Yep, their productivity was 100 percent and their team efficiency was 100 percent So they could get a 100 team efficiency Get back at 430 but also not get 100 percent Uh company efficiency factor I mean 75 they could have a better company efficiency factor Yeah, if they spend less time cleaning and more time on the road Is that right? Why you want to why you want to look at that together is If you have a productivity that's over 100 percent then that can adversely affect your Company efficiency the faster you clean the house then basically Your job hours are going to be less Then your your your your I mean your clock hours go down too, but the ratio So your efficiency can be impacted. Yeah, you know the company the company efficiency In a negative way it can look like we're not doing well when actually you really are So that's why that's that's why in terms of creating this, you know accountability and setting expectation with your team the preferred thing to do is the team efficiency because That's really independent of how fast or slow you're cleaning the home You've got two hours of allowed non-productive time today Don't use any more than that And if you can get by with less and that that's good too because then your team efficiency would be over 100 bad day Yeah, so I like that giving that expectation working on team efficiency versus company efficiency for the team That showing them that number and giving them that number to be accountable to makes a lot more sense to me What was the other type of efficiency? I don't remember the third And team okay, and there's a third one schedule efficiency and this is company is primarily used to figure out your pay plans and to figure out some of your production planning stuff in terms of How many jobs you can do with a certain amount of available labor So company efficiency is useful for a lot of planning purposes and figuring out pay, you know a set of play pay plans Keeping accountability with your cleaning professionals you use your team efficiency Person doing your scheduling your scheduling people there's a metric called schedule efficiency Which is allowed job hours divided by allowed clock hours and basically that's just the plan You're putting the schedule together for tomorrow You're basically doing this math here on something that hasn't even happened yet So basically the schedule of the efficiency goes up and down by putting jobs together in a way where the drive time is greater or less All right guys, so We want to keep moving on here. Do you have any questions as everybody understanding this? Um, because they they're kind of tricky the way they play together So I want to make sure that everybody's understanding. Yeah, I like that. I like that You too, Bridget is really nice So if you have any questions throw them out here for us I want to make sure everybody understands how efficiency How important it is first the differences between company efficiency and team efficiency Oh, and when we say team efficiency team is You know, it's it's a a tricky little term because you could have a team of one Right, so it's kind of like how we get messed up when we talk about labor hours like some people will say a labor hour is Like if two people are working it, but that's not really a labor hour. So team is not really two people. It's Whoever's cleaning Is the unit is the work unit cleaning a home it could be one person could be two people it could be three four, you know, it's Yeah But the assumption is they're all you know arriving at the job at the same time and leaving the job at the same time And there's exceptions to that too, but as a rule that's the way it works Okay And then the schedule efficiency That has a lot to do with um, I think how they put the jobs together putting them in the right order And putting them on the schedule in such a way that If we can't get into mrs. Jones's house until 10 o'clock She's not the first job of the day at 8 o'clock So people are just sitting around trying to figure out what to do blah blah blah. Yeah your company efficiency is really influenced by two things by How well your schedule is put together and how well your teams are, you know, moving between job to job and and using their non-productive time wisely, so The team efficiency measures the team's contribution to that and scheduling efficiency measures your schedulers You know contribution to that. Okay. That's good It looks like everybody's understanding no questions or anything tom. So why do I care what my efficiency is? I mean, does that Have we explained that? I mean I don't think we have explained that well. We haven't explained how everything plays together you know Well the higher This company efficiency The higher this company efficiency the more of the Workday clock hours if you will are being spent cleaning homes as opposed to looking out of windshields Which means the revenue per labor hour is going to be higher Which means the revenue or excuse me the pay per hour has the opportunity of Being higher if you're doing some type of pay incentive system by definition you're doing job ticket hour or Commission it will be higher The chances of you getting into a situation where you're having to pay any overtime is less You know if my pay per hour is more Than the odds of me liking my job a little bit better And if I'm able to get my day over sooner and get home Before my kids get off the school bus, but I still made some decent money that day You know, I'm going to like my job better And all of that adds up to having a lower Direct pay loaded direct payroll to revenue number than it would it would be if My efficiency stinks and the teams are out long and you're paying overtime and People don't like the fact that you know, they're out too late and they're quitting and you're having to replace them and spend more on training pay and on and on and on It's an important metric and the better we do with efficiency the lower our loaded direct payroll to revenue will be and The chances of us being profitable are are much higher Hmm Okay, everybody getting that we got a facebook user on here. We don't know who she is or he is um If if you want to tell us who you are mr. Facebook user go ahead and do that revenue hours versus expense hours so um It's helping to control the Revenue to expense hours for sure I'm not revenue our I don't know if those are if those are terms that that that we used here or not if I did maybe I was speaking too fast No, you didn't Uh, I think they mean the amount of money brought in per hour revenue per hour versus expenses per hour. Yeah Oh, it's robin Hey robin There's a To do You can either refresh your browser or click this link Up here We find out who you are It's not a link is it tom streamer dot com forward slash face facebook to I guess is that Step tom I'm sorry step is ask your viewers to visit stream yard Visit stream yard town the second step is stream yard will act ask their facebook I say We should be a space between the the k and the two shouldn't there there is on cleaning business today Some of them have the space some of them don't modern cleaning arcsy does it's only cleaning profit builders that doesn't Oh the one below your cleaning business today Doesn't that's weird the one up above does Anyway, it doesn't matter cleaning generates revenue and driving is pure expense true Absolutely. Yeah, and there's a lot of other things that can really impact the Your efficiency too That I want to talk about that are not just driving because a lot of times we think in terms of job or cleaning time, but We got a new term here right you guys for job time Because it makes more sense in the overall scheme of things And then we have the the non revenue producing time And there's more than just drive time included in that There might be the time that is spent like in a lockout. What if somebody gets locked out of a job? Right now that they're not driving and anybody been in the situation I have where I have three people standing around for eight minutes Trying to figure out how do you do this house? Should we call did we already call her out? so Literally 24 minutes Did you turn the knob left and right? Yes, right. I'm sure our company's not the only one that's like, okay. This key is always hard It's always sticky. You just got to try again And you know if you go over there, you're going to be able to open that door just like that Yeah Most of us have had it happen So, uh, okay, so robin's on cleaning profit builders. Sorry robin I don't want that. Oh, yeah Com forward slash facebook and I guess there's something that happens there Yeah, I don't know why Dice me crazy to Bridget Uh, we actually had to come up with a rule for this, right? So we can have an expectation If you get locked out of a house, this is exactly what you do This is the exact amount of time that you're allowed to stay and figure out how to fix it because otherwise Numbers get crazy the efficiency number gets out of whack Everything gets out of whack Pumpcraft coatings Hi As somebody really understands this a lot of people understand this Feeling of getting locked out. So what are some other? Non-productive times y'all. What are some other things that can happen? um Another one for us and I think of a lot of times is in the morning. There might be a meeting or Getting supplies together If if their supplies aren't done the the night before if they're not in the morning as I'm going time supplies have to be Replenished if the team is doing it unless they're just picking up their stuff and going Sometimes they don't even have to do that Solos a lot of times they'll keep the same supplies for an entire week They have enough to do a week. So they only have that non-productive time maybe once a week What are some other times though filling supplies? The lockouts Anybody else? How about how about equipment breaking my vacuum doesn't work? Yeah I've got a flat tire another really good one. I'm lost Lost school buses. How are school buses in the morning train? Oh, is school buses a thing anymore? Maybe not school buses, but train. I guess caught the train track Um, yes carburetor. Oh, that's a good one Pam I would count that in job time But when the client shows them around the house wants to talk to them about everything in the house I'd still include that in job time. Well, they just want to talk to them in general Here sit down and have a cup of coffee. Tell me about your day Here let's all go outside and have a cigarette together All right. Yeah Oh, you know bad you know You ever you ever have the address recorded wrong and the home the team shows up at the wrong house Now, there's so many different things that can impact This time and you have to be looking out for how about unscheduled breaks can't find. I love this Can't find parking. Yeah Yeah, that's a good one and what really what are you gonna do with that one? That that that's a real thing, right? If you're in a big city, that's a thing And have you ever been in a situation where you had to park at a parking meter? And then the team had to go down like every 45 minutes but change in the parking meter So they continued to clean the home. So that would affect your productivity Absolutely, that would be you know, you know, yes as job time, but You know, let's hope those are exceptions Yeah, no kidding Do you pay an individual rate for drive time or not work time for day some companies pay $10 per day Yeah, so this we did talk about this yesterday this, um Robin. Yeah, Robin. We talked about the different, um You can pop up that slide again real quick come because we're we're over time here Yeah, we're we're over time. We'll we'll pick up on on this thought tomorrow and And jump back into it because Thanks y'all We will see you tomorrow at uh at five o'clock eastern and we've got a lot of stuff here to talk about efficiency and Well, we'll talk about the pay a little bit more too. There's a lot of uh nuances here in turn I'm sorry, and we're gonna talk about profit. We're gonna talk about profit. Absolutely profit I want to make sure that we're doing this legally and Here's a dog