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Reporting Labor Cost and the Weighted Average Tech Cost

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Running the Daily Service DOC will help you calculate your labor cost and weighted average technician cost before you begin the NADA Academy.

To calculate your labor and weighted average technician costs, follow these steps:

Important:  For this report to be current, your Accounting Department must first complete the report within the Accounting module's Standard Daily DOC application. 

Step 1. From the Service Writing main menu, select Report & Updates. 

Step 2. On the Service Reports/Updates menu, click Daily Service DOC

Step 3. The Daily Operating Control will open, listing year-to-date and month-to-date sales and gross totals for the Service Department by default. The sales, gross, units, and gross per unit are represented for the labor on customer-pay, service contract, quick service, warranty claims, internal, and other repair order types. 

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Step 4. To print the report, click Print

Step 5. The system will prompt you to verify that your printer is ready. Select To Printer to send the report to the printer or To Screen to view a PDF of the report on screen. Click Print

Step 6. Add the labor figures to calculate a total sales and gross for Service labor.

Step 7. Use the totals you calculated to calculate your shop's labor cost. Subtract the total labor gross from the total labor sales to obtain this figure. 

Step 8. To calculate the weighted average tech cost, divide the labor cost by the total hours sold (total units).

 

You may also find these articles helpful:

Accessing Customer-Pay Repair Orders
Obtaining the Total Number of New Vehicles Sold in the Last Five Years
Running an Open Repair Order Report and Exception/Deviation Report
Running a Payroll Report for the Service Technicians

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