has anyone offered their technicians something like this before?

Discussion in 'Pesticide & Herbicide Application' started by rkk95, Sep 18, 2013.

  1. Blade Runners

    Blade Runners LawnSite Bronze Member
    Posts: 1,021


    Here are my thoughts from a Techs perspective...

    16x8=$128/day hourly wage.
    2% of 2000 = $40/day (additional money for doing the job I am already getting paid for) :)

    I sell something to a customer that adds $50/week times 2% gets me another $1/week. There is no need for me to bring in more sales or grow my route if I am only getting 2% of gross sales.

    Do you see the problem here? You have not left yourself room to add additional incentive to upsell anything. 2% of any additional sales is nothing compared to what you are paying them per hour plus paying them an additional 2% for work they are already getting paid for. The problem is you are offering additional money which gets you nothing in return except maybe a better retention rate.

    Your goal seems to be to offer some type of profit sharing or sharing of gross sales to increase sales and that is fine. The way you are trying to implement it is severely flawed.

    Maybe I completely misunderstood what you are trying to do here but it seems a few others are thinking along the same lines I am.
     
  2. rcreech

    rcreech Sponsor
    Male, from OHIO
    Posts: 6,055

    $2000-2500 per truck per day?

    What is your avg k per day per truck?
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  3. rkk95

    rkk95 LawnSite Member
    from west PA
    Posts: 165

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  4. rkk95

    rkk95 LawnSite Member
    from west PA
    Posts: 165

    Every truck that leaves our shop each morning does between 380,000 -400,000 square feet. We have ten trucks out every day doing just lawns. Like I said before... Maybe I asked this question in the wrong place.
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  5. rcreech

    rcreech Sponsor
    Male, from OHIO
    Posts: 6,055

    So you avg almost 9 acres per truck per day at an avg of $250 an acre?
    If u are doing that well the heck with a bonus just pay your guys $75000 a year.

    I have 7 trucks and many days we have a several trucks bit hit 8-10 acres but not an avg. 400-450 acres a week is crazy.
    Good for you buddy!
    Where are you located to avg $250 an acre?
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    Last edited: Sep 21, 2013
  6. Ric

    Ric LawnSite Fanatic
    Posts: 11,956

    Is your Company called AMERICANLAWN????

    .
     
  7. WestGaPineStraw

    WestGaPineStraw LawnSite Senior Member
    Posts: 763

    Ah ha FACE!
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  8. Efficiency

    Efficiency LawnSite Bronze Member
    from zone 6
    Posts: 1,545

    Finally someone else willing to call shinanagins. We have one truck that runs with 2 guys that is lucky to break 300M a day
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  9. WestGaPineStraw

    WestGaPineStraw LawnSite Senior Member
    Posts: 763

    Guy that runs our zmax does 400k a day avg. he can do 600k on occasion. Guys that run the hose do 200-250k a day. They are worn out and ill at 5pm.
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  10. ted putnam

    ted putnam LawnSite Platinum Member
    Posts: 4,539

    Tight routes, large lawns, close to shop, large capacity trucks...you might pull that off...average that on a daily basis... I just don't see it. Not sure how you(or your guys) could keep up that pace, even with overtime. Sure, you can produce that much in a typical day but QUALITY WORK and CUSTOMER RETENTION just went out the window and God help them if using a hose/gun. You would be sending them out on the "Batan Death March" daily. From what I'm reading, you've got your boot heel in your employees back side and your customers have got to be getting inferior service because of it.

    IMO, if you want to keep your guys around longer, get rid of the high quotas that are only doable at breakneck speed, give them some realistic daily/weekly goals to achieve and pay them a "bonus" for route growth for the season based on Gross Revenue. Pay it monthly, if that works best. If you inform them well on the front end , it should encourage quality work, customer retention(they go hand in hand IMO) upsells for additional services/programs to existing customers and new customer sales. You get the additional gross revenue and they get a regular percentage of that plus you get to stop watching the "revolving door" of employees and customers. Everyone wins.
     

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