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Production Rates

Discussion in 'Lawn Mowing' started by socalpal, Aug 20, 2003.

  1. socalpal

    socalpal LawnSite Member
    Posts: 2

    I want to budget and price better. Quickly! I need production rates to do this. Rates are comming in from the field slowly and I waant to review some historical data to use in the short term, create a estimating spreadsheet, then track and fine tune as I go. Where can I get this data? I do not believe in shooting from the hip. I believe in implement and track. Help me take out the guess in guesstimate

  2. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    what types of production rates?

    mowing, landscaping, fertilizing, etc.

    Need to be more specific

    Also the geographic area has something to do with rates as well.
  3. If you are new, I understand your concern for accuracy. I started down that same path, but after a while, I just got good at guessing. The experienced eye works well for your “average” sized accounts, whatever size that may be. If you’re stepping up to a significantly larger account, then yeah, be VERY careful.

    Sure, you can figure square footage for mowing, linear footage for edging/trimming, but there ended up being many more factors than I cared to track for average accounts. Things like patio furniture; ornamental fences; garden hoses; the amount of low over-hanging trees; trampolines; cars in the driveway; customer relations maintenance (talk time); parking access; this list goes on and on and on.

    I get a dollar figure in mind, and then try to take in the effect of supply and demand. So after accounting for as much as possible, I like to start high, then go into negotiations as needed. The accounts that end up being profitable are keepers. Everything else is subject to getting replaced by a new “keeper” because I’m always looking.
  4. work_it

    work_it LawnSite Senior Member
    Posts: 976

    You really need to talk with others in your area, or the areas that you're prospecting. The other LCO's may seem a little stand-offish at first, but once you explain your situation I'm sure they will be more than willing to help. One way to make contacts is look in the yellow pages, newspapers, and pin-up boards in store entries. Once you contact them they may even set you up with some of their smaller accounts they're weeding out. Just be careful with some of those accounts. They could be great customers or PITA's.

    Hope this advice helps you get off the ground. Good Luck!

    p.s.-check out this website daily. These guys/gals are a plethora of info.:D
  5. sgreanbean

    sgreanbean LawnSite Member
    from cal
    Posts: 138

    what kind of production rates are you looking for ?
  6. socalpal

    socalpal LawnSite Member
    Posts: 2

    I wonder how long it takes a man to fertilize a slope or a flat area of shrubs. I wonder how long it takes a man to mow 10000 sf of turf with a 21 in mower. Example 1 man can mow a 10000 sf area in 2 hours. if that area is broken into 8 seperate sections then I calculate 1/8 more time 2h * 1.125 (or 1 1/8) = 2h 25 min.
    Then I take 2h 25 min multiply by my hourly rate. If this compares with my idea of what I would like to charge the I'm good. I can then take these calculation to create my monthly man power budgets and track employee performance. As time goes on I can tighten up my numbers and after a year or two I should be able to hit my mark with more confidence. I have the oppertunity to bid projects from $1000 to $40000 per month my average project to date is about $6000 per month I need a system to create and track production to limit mistakes and to grow my gross margin. I have good experience maintenance I need a way to limit error when bidding and budgeting on this scale I am used to $500 to $2000 per month projects

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