Motor Vehicle Service Industry Key Performance Indicators

The motor vehicle service industry is a very measured industry, having many hundreds of KPIs available and there can be a temptation to measure 50 or more KPIs as they all seem relavent. The obvious danger with this is that for every KPI that is measured you must have an associated action. It is far better to select a KPI from a group of KPIs that will show the same type of business failure and then action this one KPI.

Financial KPIs

Average Transaction Value (£/transaction)

Gross Margin (%)

Average number of product lines sold / transaction

Sales / employee hour worked (£/hr)

£ Wages / £ Turnover (%)

Customer KPIs

Number of customers

Customer Churn (%)

Stock Control KPIs

Stock Cover (number of weeks) [This could be applied to all product lines or just specific critical ones]

Number of stock lines out of stock

Service Department KPIs

Staff Utilisation = Staff hours worked on projects / Staff hours available (target 80-100%)

Staff Productivity = Staff hours sold to clients / staff hours worked on projects (target > 100%)

Staff Efficiency = Staff Utilisation * Staff Productivity (target close to 100%)

Human Resource KPIs

Average days sick / employee

Average days off work due to accidents / employee

% staff turnover – number effective full time staff leaving

Read more about KPIs in general.

Please get in touch with us to help measure your KPIs.