These are busy times and driving instructors want to make the best use of their time and energy.
Here in this blog we offer our 5 top tips to judge how efficiently your driving school is running:
- Review your last month’s work, week by week. Be accurate with your measurements as this is important when it comes to comparison. How many hours on average do you currently spend in the car travelling to and from customers, and how many with the pupil in the car. Average earnings before and after business expenses. Average number of cancellations where the slot was not filled. How many hours on average are you working at home. What are you spending per month on average with advertising/marketing. Key metrics to calculate: the ratio of time spent providing training versus travel to/from customers. Average total hours worked (in-car + at home).
- Review your last 12 months: how many pupils in total started with you. How many of those stayed with you through to taking a test. Of those who did not stay, how many hours on average did they stay with you for. Of those who stayed through to the end, how many hours on average did they pay you for your service.
- What is your standard hourly charge. Of the pupils who stayed with you, what was the average earnings per pupil (before expenses).
- What percentage of pupils (or parents) provided you with free-hand customer reviews.
- Out of 10, how would you rate your satisfaction with how well your business is running.
Not many driving school owners will be automatically monitoring these measures. And this is one of the challenges of running a business: knowing what to measure and how. It does take effort to do this activity accurately but it is beneficial to have them to hand. Not only can you keep track of your business efficiency measures over time, but also, you can set a policy that is logical, data-driven, and accurate and you can benchmark against other businesses.
Being a lean, efficient, high-performing driving school attracts many benefits. With increased performance comes efficiency gains and that inevitably results in happier driving school owners.
Professional business owners do not tolerate waste of any kind. If you get in touch with us, we can go through the figures with you, and provide you with some of our own 3 yearly forecasts based on our experience of providing driving training for over 13 years. There is nothing mystical about performance figures, but if this level of scrutiny is new to you, then it is probably a very good time to get in touch and let us help you to improve your efficiency.
Being a driving instructor, it is too easy to get bogged down in the giving of driving training and overlook the business efficiency figures. The BIG TOM Franchise supports you 100% to develop your overall business skills. Get in touch. Call 01928 508 833