Setting Your Company Up for Success

Understanding your cost of doing business and ideal labor rate will ultimately help you increase profits and see where you’re lacking efficiency or need to add staff to increase billable productivity. If you’re looking to implement flat-rate pricing and move from hourly pay to performance-based pay, knowing what each hour of labor truly costs the company is a critical factor in the process. 

Plug your optimal billable labor rate into your pricebook to easily calculate appropriate flat-rate pricing for all jobs. 

Efficiency directly impacts your profitability. Field service management offers a multitude of ways to drive higher profitability and improve efficiency across the company. 

Here’s a list of key functions our ServiceTitan field management software provides contractors, so they can boost their bottom line:

• Real-time reporting: Track each employee’s timesheet by task and sort jobs by transaction, so you can easily calculate average billable service rates and see where you may improve utilization rates. Run detailed analytics and payroll reports to figure out the average hourly cost of an employee and overall overhead costs. 

• Pricebook Pro: Use your profitable billable labor rate in the ServiceTitan Price Setup Wizard to calculate pricing for your custom pricebook. An integrated, flat-rate pricebook will save the entire team valuable time and protect your profit margin, because you know the calculated billable labor rate covers all related expenses and comprises your ideal net profit.  

• Minimize non-billable time: While every company must build into the schedule some non-billable time, ServiceTitan field management software greatly reduces the amount of time technicians waste filling out paper forms or manually entering job details when they could be providing additional billable labor.

Holsapple recommends fellow clients use ServiceTitan’s Titan Score to measure business progress on systems and processes. Beyond the Titan Score, Holsapple says key performance indicators (KPI) tracked by the integrated system also give a reliable indication of business performance.