Systemise Your Team for Increased Profits Implementation Guide May2013 FINAL

‘Systemise Your Team For Increased Profits’ Implementation Guide

‘Systemise Your Team For Increased Profits’ Implementation Guide The Plumbing Pricing Manual Explained + A simple and practical step-by-step ‘how to’ guide revealing the EXACT 30 steps we follow in our trade business.

Read this Implementation Guide whilst viewing the ‘Systemise Your Team For Increased Profits’ DVD. This guide incorporates the Plumbing Pricing Manual & other profit driving systems. This Implementation Guide is used for internal training in our trade business. It represents the tradesman system within Dr.DRiP in 2010

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‘Systemise Your Team For Increased Profits’ Implementation Guide

2010 – Lifestyle Tradie Group ‘Systemise Your Team For Increased Profits’ Implementation Guide

Copyright Notices: All portions and components of ‘The Systemise Your Team For Increased Profits’ Implementation Guide are copyright protected, and all rights reserved. No portion may be reprinted, reproduced, distributed, used in lectures or seminars, or otherwise disseminated without the express written permission of the author. Permission requests should be submitted via mail to the following address:

Published by Lifestyle Tradie Pty Ltd For further information contact: Lifestyle Tradie Group PO Box 330, Artarmon, NSW, 1570, Australia Phone: 1800 704 822 Fax: 1300 553 161 Email: [email protected] Website: www.lifestyletradie.com.au

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Important disclaimers and legal notices While all attempts have been made to verify information provided in this publication, neither the author nor the publisher assumes any responsibility for errors, omissions or contrary interpretation of the subject matter herein. This publication is not intended for use as a legal source or accounting advice. The publisher and author assumes no responsibility or liability whatsoever on the behalf of any purchaser or reader of these materials. This information has been prepared to provide general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. In preparing this information, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you need to consider (with or without the assistance of an adviser) whether this information is appropriate to your needs, objectives and circumstances. Any income statements, earnings discussed and/or presented herein are only examples of current businesses and should be considered only as estimates of what you are capable of earning. There is no assurance you will do as well. All products and services by our company are for educational and informational purposes only. Use caution and seek professional advice.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Table of Contents

First things first: Introducing the ‘Systemise Your Team For Increased Profits’ Implementation Guide ............................................................................................ 5

Plumbing Pricing Manual Explained 1. Why the Plumbing pricing manual? .................................................................... 7 2. 6 Big business boosters ..................................................................................... 7 3. Plumbing pricing manual explained .................................................................. 10 4. What do the columns mean and how are they used? ....................................... 11 a. REGULAR Section ............................................................................... 11 b. MEMBER Section ................................................................................. 16 c. DIFFICULT Section ............................................................................... 22 5. What do the pages that refer to ‘customer supplied’ mean? .................................. 23 6. What are the additional blue text within a listing? ................................................. 24 7. What if the job is not in the book? ..................................................................... 25 8. Plumbing pricing manual .................................................................................. 26 a. How does the ‘Plumbing Pricing Manual’ Work? ................................... 27 b. How do I know what hourly rate to set? ................................................ 29 c. How do I know what service call rate to set? ......................................... 31 d. Why won’t you suggest what hourly rate and service call rate to set? ... 31 e. How will I know if the rates I set for both the hourly rate and service call rate are correct? ................................................................................. 32 f. How do I know what to charge for water jetter, electric eel and CCTV? ....... 33 9. Customer service quick tips ............................................................................. 35 10. ‘The Close’ explained ..................................................................................... 36

Systemise Your Team For Increased Profits: step by step ‘how to’ implementation guide for your trade business 1. Equipment ........................................................................................................ 49 2. Vehicle Responsibility ...................................................................................... 50 3. 30 Steps to Customer Care .............................................................................. 51 4. 30 Steps to Customer Care - detailed............................................................... 53

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‘Systemise Your Team For Increased Profits’ Implementation Guide

First Things First - Introducing the ‘Systemise Your Team For Increased Profits’ Implementation Guide This implementation Guide will assist with two very important aspects of the Plumbing Pricing Manual – 1. It will assist to answer questions in relation to your customised manual

Let me preface that the Plumbing Pricing Manual, also known in the industry as ‘Up front pricing’ or ‘fixed pricing’, is not a structured or sneaky way to make money. Although rates are set to make profit, it is not, in our opinion, your opportunity to rip off your customers and leave a bad taste in their mouth based on your over-excessive prices. As we have mentioned before, it is imperative to charge a fair price for your exceptional service and quality workmanship. In addition to this, offering a Membership program, allows you to continue a relationship with your customer and hence build loyalty to your business for ongoing work well into the future. The marketing term; to increase their lifetime value.

2. It will walk you step-by-step through the EXACT ‘30 steps to Customer Care’

This Implementation Guide matches hand-in-hand with the “Systemise Your Team for Increased Profit’ DVD and hence, we suggest reading the ‘30 steps to customer care’ section whilst following on with the DVD.

Please Note: This is an advanced system. One that is used in our trade business by our team of tradesman. These are the steps followed on a daily basis when dealing with our customers. It didn’t, however, happen overnight.

The key to remember here is this: If you only adopt ONE aspect of the 30 steps, such as invoicing the customer on completion and obtaining payment prior to leaving the job site, you will have made a significant difference to your business in more ways than one. Just this step alone will produce better cash flow and save you time not chasing invoices. © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Keep an open mind whilst viewing the DVD and reading through the ’30 Steps to Customer Care’. The professionalism you adopt could be the difference between you and your competitor.

You only get one chance at a first impression!

It is the combination of the Plumbing Pricing Manual + the systemisation of our tradesmen that result in; a. Improved cash flow b. Increased profit c. Reduced customer complaints d. Create more time e. Improved staff efficiency f. Help with systemisation (see 6 Big Business Boosters for more information – page 9)

So what are you waiting for? Let’s get started with customising your Plumbing Pricing Manual.

It is only with Action that positive results will come.

May your life and business be as you planned it!

Andrew & Angela Andrew & Angela Smith Enriching the Lives of Tradesmen Australia Wide Through Proven Profit Driving Marketing & Business Techniques

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Plumbing Pricing Manual Explained

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‘Systemise Your Team For Increased Profits’ Implementation Guide

1. Why the Plumbing Pricing Manual? Great question, for perhaps you were like me and have questioned why you should move your business away from ‘time & materials’ to ‘upfront pricing’. I did for a number of years. I was skeptical and wasn’t sure how it was going to work in my business. But, once I started to realise the benefits, there was no turning back…

Let me remind you what the plumbing pricing manual, otherwise known in the industry as ‘fixed pricing’ or ‘upfront pricing’ has given us:

2.

6

Big Business Boosters

Business Boost #1 - Increased profits: we see 4 customers per day, spend more time with each one of them, build a relationship and provide extra value with our systemised “Plumbing & Safety Inspection Report” that increases the average dollar sale per job. And here’s the thing...everyone wins...we work fewer jobs per day yet earn more, the customer is happier because they receive a comprehensive, reliable service and a check on things they haven’t the time or skill to do themselves...our income increases, staff are more focused, less rushed...sure as hell beats flying from job to job under time and materials, hey?

Business Boost #2 - Improved cash flow: the price is agreed upfront, they pay on completion...no more handing the invoice over to the customer hand shaking hoping they’ll pay...you walk away with payment and don’t spend your valuable time chasing $$$.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Business Boost #3 – Reduced Customer Complaints: the bane of every tradies’ existence! No more...you face any unlikely complaint first, they sign off on the job before you begin and you walk out the door money$$ in hand with a thank you and a friendly smile, not retreating to your truck hoping there’s no nasty “surprise” about to hit you. Puts you in control.

Business Boost #4 – Creates more time: if you’re not chasing money, naturally you’ve got more time to devote to cash generating activities...at last you can work ON your business and not IN it!

Business Boost #5 – Helps with systemisation: the more systematised your business is, the less it depends on you...hello time freedom. With all the information at their fingertips in the Pricing Manual your guys can do all the quoting, ordering, invoices...they are happier, more responsible and challenged in their work.

Business Boost #6 – Improves staff efficiency: everything is now measurable, everyday. Each person’s work output can be monitored and you’ll KNOW exactly how much is coming in and going out...whenever you need to.

I love it because the customers love it. There’s an agreed price, no surprises for them. We give them options and... ...Best part... “no” is rarely an option...we lose far less work than ever before.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

3. Plumbing Pricing Manual Explained The Plumbing Pricing Manual is the reference manual we use to price every job on a daily basis. It is basically a list of quotes all condensed to one single book and is used by our team of tradesmen.

It is broken into three sections: 1. REGULAR 2. MEMBERSHIP – automatically set 10% less than regular pricing 3. DIFFICULT – automatically set 12% higher than regular pricing.

REGULAR is written at the top of every page within the REGULAR section. The other 2 sections, Membership and Difficult, are identical to this, with their corresponding name at the top of each section and rates to match percentage variation as per above. The example below shows the same page within each of the sections as mentioned.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

4. What do the columns mean and how are they used? The columns within each section – REGULAR, MEMBER and DIFFICULT – all have varying columns. Let’s go through each section and explain what they mean and explain how they are used.

a. REGULAR SECTION The REGULAR section of the manual is the most commonly used section. It contains the pricing offered to every first time customer or to every customer that is not a member. Basically, for every job you attend, you use the ‘1st job’ column for pricing

There are two columns in the REGULAR section which are ‘1st job’ and ‘Add On’.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

What does the 1st column mean – ‘1st job’? Taking one item within the REGULAR section of the manual as an example: Tap service on 6 Pairs of Taps:

The first column labeled ‘1st Job’ is made up of the following components:

1st Job Rate st

$50 1 Job rate/service call

Rate

+

$150 p/hour x estimated time

1st Job Price

Materials

+

(based on Reece national retail prices)

=

Let’s go through them one at a time to get a really good understanding of how they work. 1st Job Rate – is a standard fee built into every job. It can be referred to as a 1st job rate, service call or the like.

Rate – This value is made up of its own formula

Hourly rate $150 p/hour

x

Estimated Time

Rate

=

Hourly rate (example: $150) times by the estimated time it takes to complete the work at hand equals the rate. © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Every job throughout the book has been estimated a length of time. For example: to complete the work for Tap Service on 6 pairs of taps could be estimated at 1 hour to complete (this time of 1 hour is made up and should not be taken literally). We understand that what takes one tradesman 1 hour could take another 1.5hours. It is for this reason that we provide you with a copy to work with for a month before we provide you with the ‘final version’, so that you can work with the manual for a period of time to determine if the rates are acceptable or require some changes.

Materials – a list of materials have been itemised within the formula by our leading hand, based on Reece national retail prices.

. For example, using the REGULAR pricing above, if you were called to a house to conduct a tap service, the price for this one single job would equal $360.50.

What does the 2nd column mean – ‘Add on’? The second column labeled ‘Add on’ is used when you are completing additional work at one location.

It is made up of the following components:

Rate $150 p/hour x estimated time

1st Job Price

Materials

x

(based on Reece national retail prices)

=

As you can see, this ‘Add on’ rate does not include a 1st job/service call rate. Continue reading to see how the ‘1st Job’ and ‘Add on’ column are used.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

How is the REGULAR section used? How is the ‘1st Job’ column used? For example, using an extract from the REGULAR section as below.

Using the pricing above, if you were called to a house to conduct a tap service you would quote the customer

Tap service at 1st Job rate $360.50

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=

Total Job Price $360.50

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‘Systemise Your Team For Increased Profits’ Implementation Guide

How is the ‘Add On’ column used? For example, using an extract from the REGULAR section as below.

Using the pricing above, if you were called to a house to conduct a tap service and whilst you were there, you found 2 hose taps that required changing, you would quote the customer

Tap service at 1st Job rate $360.50

+

Hose taps at Add on rate = $104.00

Total Job Price $464.50

Explanation: You were called to conduct a tap service hence this job is quoted at the ‘1st job’ rate. Any additional work you recommend be completed whilst you are on site are classed as an ‘Add on’ (a rate less the $50 1st job rate). Any additional jobs recommended to complete will also be quoted from the ‘Add on’ column.

There are, of course, variations to this rule: such as if the customer is a member with your company or if the job is difficult.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

b. MEMBER SECTION The MEMBER section of the manual refers to the standard pricing offered to our membership customers. Let me explain. It contains the pricing offered to every customer that is a member. Basically, for every job you attend at a member customer home, you use the ‘Member’ column for pricing These rates are automatically set 10% lower than REGULAR rates. There are two columns in the MEMBER section which are ‘Member’ and ‘Member Add’.

Membership Club Program Our business offers our residential customers a membership club program. Building a membership program is like building a family. It keeps us connected, provides something to which people can feel a part of, a belonging, to stay connected. You want to offer such great value in your Membership Program that your customers are jumping through hoops to join and will remain loyal to you well into the future.

Our aim is to sign up every new residential customer as a Dr.DRiP member. In this way we have been given permission to keep in touch, communicate and build a relationship.

What is the purpose? So that when next this customer needs any plumbing, drainage or gas we are immediately the first business they think of.

Let me ask you this question – if one of your past customers needed a plumber would they call you to complete the work?

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‘Systemise Your Team For Increased Profits’ Implementation Guide

The answer – I am sure they wouldn’t necessarily call your business simply because you don’t remind them of your service, you don’t educate them or offer any reason to stay connected.

They would not 100% think to call you first.

They would more than likely surf the net or open the closest local paper or yellow pages and call the first company that struck a cord. The short story is, the Membership Program sets a platform that allows you to communicate with your customers and keeps your business at the top of their mind so that when next they require your trade services, you are immediately the first company that comes to mind.

As I mentioned, our aim is to sign up every new residential customer as a Dr.DRiP member. There is a small joining fee, however, the discount rate as a member (10% off regular rates), are offered even on their first job. This discount is offered every time they use our services into the future.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

What does the 1st column mean – ‘Member’? For example, using an extract from the MEMBER section as below. Tap service on 6 Pairs of Taps:

The first column labeled ‘Member’ is made up of the following components:

1st Job Rate st

$50 1 Job rate/service call

Rate

+

$150 p/hour x estimated time x 10% member discount

Materials

+

(based on Reece national retail prices)

=

Member Price

Let’s go through them one at a time to get a really good understanding of how they work. 1st Job Rate – is a standard fee built into every job. It can be referred to as a 1st job rate, service call or the like.

Rate – This value is made up of its own formula

Hourly rate $150 p/hour

x

Estimated Time

x

10% Member Discount =

Rate

Hourly rate (example: $150) times by the estimated time it takes to complete the © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

work at hand times 10% Member discount equals the rate.

Every job throughout the book has been estimated a length of time. (N.B. this formula of allocated time can not be changed).

Materials – a list of materials have been itemised within the formula by our leading hand, based on Reece national retail prices.

What does the 2nd column mean – ‘Member Add’? The second column labeled ‘Member Add’ is used when you are completing additional work at one location for a member.

It is made up of the following components:

Rate $150 p/hour x estimated time x 10% member discount

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1st Job Price

Materials

+

(based on Reece national retail prices)

=

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‘Systemise Your Team For Increased Profits’ Implementation Guide

How is the MEMBER section used? How is the ‘Member’ column used? For example, using an extract from the MEMBER section as below. Tap service on 6 Pairs of Taps:

Using the member pricing above, if you were called to a house to conduct a tap service you would quote the customer

Tap service at Member rate $324.45

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=

Total Job Price $324.45

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‘Systemise Your Team For Increased Profits’ Implementation Guide

How is the ‘Member Add’ column used? For example, using an extract from the MEMBER section as below. Tap service on 6 Pairs of Taps:

Using the pricing above, if you were called to a house to conduct a tap service and whilst you were there, you found 2 hose taps that required changing, you would quote the member

Tap service at Member rate $324.45

+

Hose taps at Add on rate = $104.00

Total Job Price $428.45

Explanation: You were called to conduct a tap service hence this job is quoted at the ‘Member’ rate. Any additional work you recommend be completed whilst you are on site are classed as an ‘Member Add’ (a rate less the $50 1st job rate). Any additional jobs recommended to complete will also be quoted from the ‘Member Add’ column.

There is one additional variation to this rule: if the job is difficult. Let me explain what I mean on the following pages. © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

c. DIFFICULT SECTION The DIFFICULT section of the manual refers to prices quoted when the work in question is considered ‘difficult’.

It contains the pricing offered to every first time customer or member when you would normally have referred to the REGULAR or MEMBER section, when the work is considered difficult and hence the DIFFICULT section is referred.

These DIFFICULT rates are automatically set 12% higher than REGULAR rates. There is one column in the DIFFICULT section which is ‘Difficult’.

What does the 1st column mean – ‘Difficult’? For example, using an extract from the DIFFICULT section as below. Tap service on 6 Pairs of Taps:

Using the difficult pricing above, if you were called to a house to conduct a tap service and you found that the job was no ‘ordinary’ job, you would quote the customer Tap service at Difficult rate $432.60

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=

Total Job Price $432.60

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‘Systemise Your Team For Increased Profits’ Implementation Guide

5. What do the pages that refer to ‘customer supplied’ mean? You will notice that there are a few pages within each section that are headed ‘Customer Supplied’. The top of the pages have the following notation;

This section must be referred to whenever a customer has supplied the parts, such as a vanity or cistern, and only require your service to install. It is to be referred to whether the customer is a new or existing customer.

For example, using an extract from the DIFFICULT ‘customer supplied’ section:

As you are aware, to install mini taps is normally a straight forward job, but what if you were faced with no shut off valve and no way to shut off the water to the building and hence need to accommodate the price to freeze the line? In reviewing the price of $156 above, would this accommodate the price to freeze the line plus still make profit (considering how long you estimate the job to take)? Probably not. Hence you need to review the DIFFICULT price and make alterations before communicating the price to the customer. Every price in the Plumbing Pricing Manual needs a quick review prior to communicating it to the customer to ensure, based on your estimated time to complete, that you have accommodated all necessary expenses in addition to you making profit.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

6. What are the additional blue text within a listing? Great eyes for noticing the little blue text within a number of listings in the Plumbing Pricing Manual – within all sections. Using the example below – Electric Eel – you will see the blue text that reads ‘Rootx, Camera, Excavate’.

This blue text are to remind the tradesman of additional solutions for the problem they are faced - additional up-sell or cross-sell opportunities that they could be making with regard to the job they are performing. For example: after diagnoses of the necessity to use the electric eel to unblock the drain, there is an opportunity to educate and recommend a treatment of Rootx to assist to clear the drain. As you can see with the example below, this additional up-sell is an extra ‘Add On’ price of $201.00 for a single treatment.

This theme of additional solutions all come with their additional ‘Add On’ offers at additional $$.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

7. What if the job is not in the book? “One book couldn’t possibly cover EVERY job a plumber has to do” You would be right to think that the manual does not cover every single thing but do you think we don’t do every job? We’d lose customers quick smart if we said, “Sorry, we can’t do that”.

In short, if the job is not in the book, it is most probably a much larger job than normal, not straight forward and with a few quirky variations to consider.

Let me ask you a question at this point; If you were working with ‘time & materials’ what would you do when faced with this situation? Answer: you would firstly try to write the quote on site to provide to the customer, or, you would take your information back to the office and work out a quote for the customer, right.

That is the answer for the Plumbing pricing Manual too.

Take yourself back to the office after having diagnosed the job on site, work out a quote, type it out and email/send/deliver it to the customer within a 24 hour period.

There isn’t a job in this world you can’t give an agreed upfront price for!

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‘Systemise Your Team For Increased Profits’ Implementation Guide

8. Plumbing Pricing Manual The Plumbing pricing manual includes 3 sections: 1. REGULAR (you have seen a sample of this already) 2. MEMBERSHIP – automatically set 10% less than regular pricing 3. DIFFICULT – automatically set 12% higher than regular pricing.

REGULAR is written at the top of every page within the book you have. The other 2 sections, Membership and Difficult, are identical to this, with their corresponding name at the top of each section and rates to match percentage variation as per above.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

a. How does the ‘Plumbing Pricing Manual’ form relate to the manual? Let’s take a look first at the formula again using an example from within the REGULAR section of the manual and relate it back to the information you need to provide above.

Formula: The first column labeled ‘1st Job’ is

1st Job Rate st

$50 1 Job rate/service call

Rate

+

$150 p/hour x estimated time

1st Job Price

Materials

+

(based on retail prices)

=

With this formula in mind, go back to the form you are required to complete. The service call is built into the 1st Job rate above. We have used $50 in the example in your sample book. See how it is incorporated above in green.

$150. $50.

The Hourly rate is built into the 1st job rate through the ‘rate’ box. This value is based on time allocated by our leading hand. We have used $150 in the example in your sample book. See how it is incorporated above in yellow.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

b. How do I know what hourly rate to set?

There are two key areas we suggest you consider when setting your hourly rate for the Plumbing pricing manual.

Firstly, you need to understand how you are placed in the market and against your competitors (to discover if you are too cheap or too expensive), and secondly what you should be charging as an absolute base to ensure you breakeven, then of course charge more to make profit.

Let me explain these one at a time:

1: How are you placed in the market and against your competitors? I suggest you take the time to complete a Competitor Analysis. Pages 95, 96 and 97 in Module1: Getting Started explains this process. We have actively completed this task annually to understand where we sat with regard to our competitors - cheap, evenly priced or expensive. If you are not comfortable making the calls, have your girlfriend, mother or other complete this activity for you.

This allowed me to confidently charge $xx to my customers, and if they ever said 'you are so expensive!', I could honestly say 'actually Mrs.Jones, you would find that I am by far not the most expensive, nor the cheapest plumber around, however I believe I charge a fair price for the quality service I deliver'. This is a great starting point for you to know where you are placed in the market with regard to price. You of course need to compare the services you offer © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

against your competitors. With this information in hand you can then work out your breakeven price to understand what you 'should' be charging at a minimum. 2. What is your breakeven? I suggest you arrange a meeting with your accountant to work this one out. Have a discussion over the phone first to inform them what you are trying to work out and require their assistance.

They

may

need

latest

P&L

information to be able to do this for you and understand any changes to the businesses since last you spoke.

Your break even price takes into account your expenses and hence how much money you need to bring in each month, each week to cover your costs. Once you have covered your costs you of course need then to charge more to make profit. You can set this target at whatever you want. Talk with your accountant about this to set a target that is realistic but a stretch! With your accountant you can talk about X number of trucks on the road, averaging X number of jobs a day, hence what does each truck need to make or average $x per job to assist with reaching this turnover/profit target.

This rate assists with a ‘time & materials’ environment in addition to 'upfront pricing'.

This rate (breakeven + $XX to reach $X turnover/profit for year if nothing changes) is the rate you would set your rate for the Plumbing Pricing Manual.

This is a discussion for your accountant.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

c. How do I know what service call rate to set?

There are some of you that your first reaction to this question was, ‘but I don’t charge a service call’. The name ‘service call’ can be replaced with other variations such as 1st job rate. We do charge a service call in our business. In fact it is communicated on the phone at the very first point of contact. We say ‘we will charge you a $55 diagnostic fee, then, should you go ahead with the work we do not charge this value’. This is mentioned to prevent time wasters who are expecting us to provide a quote for free. In the unlikely event that the customer does not wish to proceed with the work after diagnose is complete, we have at minimum received $55. It basically covers our running costs to attend the job.

d. Why won’t you suggest what hourly rate and service call rate to set? We can’t and won’t make any suggestions as to what hourly rate or service call rate you should charge simply because the variation on pricing state to state, country to country is too broad, and your perception and your competitive position varies from one business to another. Even the SAMPLE that is shown to you (on page 28) at $150 hourly rate and $50 service call could be considered cheap or expensive by some. For this reason the decision on pricing needs to be yours and yours alone, with the assistance of some research prior to making your final decision.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

e. How will I know if the rates I set for both the hourly rate and service call rate are correct? It is for this reason that we suggest you take the time to complete the necessary research (as suggested in Question: How do I know what hourly rate to set?) before making your final decision.

Using the Manual in ‘real life’ will help you get a feel for the implementation, how your customers are responding to the pricing and hence will give you a gauge if you are too expensive or too cheap.

Hot Tip: Upfront Pricing, although rates are set to make profit, it is not, in our opinion, your opportunity to rip off your customers and leave a bad taste in their mouth based on your over-excessive prices. As we have mentioned before, it is imperative to charge a fair price for your exceptional service and quality workmanship. In addition to this, a Membership program, where you can continue a relationship with your customer and hence build a loyalty to your business for ongoing work well into the future. The marketing term; to increase their lifetime value.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

f. How do I know what to charge for Water jetter, electric eel and CCTV?

The Water Jetter, Electric Eel and CCTV rates are set based on 30 minutes. The calculation incorporates the rate and considers maintenance costs.

How to use the Water Jetter, electric eel and CCTV pricing in the book? For Water Jetting, electric eel and CCTV work we recommend charging for the first hour of the drain clean. If the drain is not clear within this time frame and you need to go on, we suggest you stop to discuss your findings and progress with the customer and obtain further approval for 30 minute increments at a continuation rate. For example, using an extract from the REGULAR section as below. Electric eel (60mins) and Electric eel (continuation): The rates in the book are reflected at 60minutes of work, at which time we recommend you stop to discuss with the customer your progress and findings in addition to advising them of the continuation fee to use the electric eel.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Don’t forget, you always have the opportunity to ‘Add On’ additional charges to clean up the sewer spillage for a blocked drain. As below the ‘Add On’ charge would an additional $65 for the invoice.

For example, using an extract from the REGULAR section as above, if you were called to a house to use the electric eel and whilst you were there, you found you could charge to clean up the sewer spillage, you would quote the customer

Electric eel at Regular rate (60min) $200.00

Clean sewer + spillage Add on rate $65.00

=

Total Job Price $265.00

Remember to make note of the blue listings Using the example below – Electric Eel – you will see the blue text that reads ‘Rootx, Camera, Excavate’.

This blue text are to remind the tradesman of additional solutions for the problem they are faced - additional up-sell or cross-sell opportunities that they could be making with regard to the job they are performing. For example: after diagnoses of the necessity to use the electric eel to unblock the drain, there is an opportunity to educate and recommend a treatment of Rootx to assist to clear the drain.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

9. Customer Service Quick Tips Smile – simple, yes, but easily forgotten!

Your prospect must trust you if they don't trust you, they won’t buy anything!

Ask what the problem is, allow your customer to speak and show interest in their issues.

Communicate with the customer: outline what we are doing today.

Decide the best solution. Remember: You are the professional and hence the customer will value your opinion. Do not take advantage of this.

Speak with confidence. A lack of confidence in your voice and in your body language will be interpreted by the customer as a lack of experience and hence a lack of confidence in your skills.

Never push your customer into a sale. The art of suggestion works best!

Always keep in mind: What can I do today to impress upon my customers that I am a professional business and one that they should do business with over my competitors?

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‘Systemise Your Team For Increased Profits’ Implementation Guide

10. The Close ‘The Close’ provides you with a way to present the price of the work at hand to the customer that; presents the recommended work as mandatory shows the savings through add-ons makes the price including the Membership the obvious option makes the decision easy gets you a big “thank you” instead of an argument

‘The close’ explained ‘The close’ is the method used to present the recommended work and pricing to the customer. The prices are not presented initially on business letterhead or a tax invoice, it is hand-written on a simple piece of paper (not a scrap piece of paper found on the floor of your vehicle). This makes the customer feel like we have provided a special discounted rate just for them, makes the information easy to read and assists the understanding and value of the discount on offer to complete all the work today.

The image below is the information Stewart presents to Mrs.Smith in the accompanying ‘Systemise Your Team For Increased Profits’ DVD. Stewart was called to the property due to a dripping tap. Whilst he was there he conducted a ‘Plumbing & Safety Inspection Report’. From this ‘Plumbing & Safety Inspection Report’ Stewart found an additional three items that required attention. Through the method of ‘the close’, Stewart can explain to Mrs.Smith that it is cheaper to complete all four jobs at this one time than it is for Stewart to return to the property on four separate occasions. The price is cheaper again with the offer of the Membership club. A club that allows ongoing communication and hence builds a relationship to encourage repeat work and increase the customers lifetime value.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

N.B; This information would be handwritten on a blank piece of paper.

This information has come from the Plumbing pricing manual using the REGULAR and MEMBER sections. The customer can see you refer to the pricing manual when preparing this page, hence they are aware you have not made up the rates, however, the work recommended (above) would be impossible to explain to a customer through the use of the manual alone. Using the pricing manual on its own does not allow you to present a total bottom-line price for the complete job in an easy to comprehend format. Note: we prepare this quote in front of the customer, sitting at their kitchen bench. We personally feel it's better for customers to see that the prices come out of a book and are not "made up”.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

So what did Stewart write down for Mrs.Smith? Let’s go through each column and row to understand the information!

Column 1: Performing work on different days

Column 2: The list of initial work plus recommended work

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Column 3: Performing work on the same day - today

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Column 4: Performing work on the same day – today – in addition to purchase of Membership The obvious option.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Where do the rates from each column come from? Great question. Let’s take a look at the information again in light of the Plumbing Pricing Manual.

Column 1: REGULAR section All rates from 1st Job column. Shows the price if all work was performed on different days.

Column 2: The initial work plus recommended work

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Column 3: Tap service is from REGULAR section/1st Job column. All other rates from REGULAR section/Add On column. Shows the price if all work was completed on one day – today.

Column 4: Joining the Membership Club for $49 provides customer with instant 10% discount on total job if work completed on one day – today. $638 x 10% = $574.20 Add membership fee of $49 to equal grand total $623.20

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Using the above image, lets take you through the steps to write up ‘the close’. What are the 4 steps to write up ‘the close’?

Step 1: Using one piece of scrap paper, all rates will be written side by side. The first thing you write on the paper is COLUMN 2, the list of recommended work – the initial job in addition to any additional work.

Column 2: The initial work plus recommended work

Column 2 shows the initial job – kitchen tap service – the reason Stewart was called to the house, in addition to a list of recommended work as revealed through the results of the ‘plumbing & safety inspection report’. As you can see three additional jobs have been recommended to Mrs.Smith 1- replace the TPR valve (hot water service) © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

2- replace the anode (hot water service) 3- install PRV (outside)

Step 2: Step 1 and step 2 go hand in hand and are written together. Step 2, write on the paper the detail in COLUMN 1.

Column 1: Performing work on different days

Column 1 shows the prices from the REGULAR section using the 1st Job column in the manual. These rates represent each individual job should Stewart perform the work on different days. Flick through the Plumbing Pricing Manual find the relevant job/price and write it onto column 1. Total price at the bottom equals $788.00 © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Step 3: Write on the paper the detail in COLUMN 3.

Column 3 reflects the prices as follows:

Column 3: Performing work on the same day - today

Column 3 shows the initial job (tap service) price from the REGULAR section using the 1st Job column in the manual. This rate includes the 1st job rate/service call fee of $XX ($50 in the SAMPLE copy we have provided). The remaining three jobs are priced from the REGULAR section using the Add on column in the manual. Column 3 quotes the work should Stewart peform the work on the same day.

Flick through the Plumbing Pricing Manual find the relevant job/price and write it onto column 3.

Total price at the bottom equals $638.00 © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Already, should the customer approve all four recommended jobs there is an immediate saving of $150 ($788 - $638 = $150)

Step 4: Write on the paper the detail in COLUMN 3.

Column 4: Performing work on the same day – today – in addition to purchase of Membership The obvious option.

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Column 4 represents the pricing as discounted with the inclusion of the Membership. First time customers are all offered the Membership club which provides an immediate 10% discount on the recommended work in addition to 10% on all ongoing plumbing/gas/drainage into the future. Write the words 10% saving onto the page to show the customer the immediate saving. Work out the maths with regard to this saving. Work completed today rate $638.00

Membership Discount

x

Job Price

= 10% discount

$574. 20

+

Membership Rate $49.00

+

=

Grand Total Job Price $623. 20

Should the customer approve all four recommended jobs TODAY, plus take up the Membership, there is an immediate saving of $164.80 ($788 - $623.20 = 213.80)

What if I don’t have a Membership Program? We highly suggest developing and offering a Membership Program to assist your database development so to build a relationship with your customer with the goal of on-going loyalty and hence increasing their life-time value. If you do not have a Membership Program you can still work with the Plumbing Pricing Manual and ‘The Close’ above. Simply follow steps 1 – 3 and present to the customer. Presenting the price to a customer on a piece of paper will still assist your explanation as to why it would be cheaper to complete all the work on one day – today. As per the example above (and as explained at the end of Step 3), Should the customer approve all four recommended jobs there is an immediate saving of $150 ($788 - $638 = $150)

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Gaining approval for the Add-ons The Add-ons have come specifically from the results of conducting the ‘Plumbing & Safety Inspection report’ and/or from your tradesman visually seeing any problem areas without having officially recorded it on a report such as this one.

The ‘Plumbing & Safety Inspection Report’ highlights any problem areas in and around the home. Although you are initially costing the customer more money, the jobs you have recommended are jobs that will eventually have to be completed in the short term. It is all in the way you explain the necessary work – for example, you, as the professional, need to help the customer understand the importance of replacing the TPR valve and anode within the hot water heater. There is a recommendation from the manufacturer to do this. It is written on the tank. Not to mention lengthening the life of the tank, to name but a few reasons.

This visual representation of the additional recommended work with the discounts helps to explain to the customer that they're saving money overall by spending additional money today.

It has to be explained clearly and simply to guarantee a sale.

This helps you get a higher average service invoice and uses your time more efficiently by doing more tasks per call than before. This results in less driving time, less set-up time, less clean-up time and less time filling out paperwork than you would have by making multiple trips.

The more you do for your customers, the happier they tend to be because they receive more benefits from your visit than they would if you did only one small job. All the savings you’re giving the customer tends to make them appreciative of going the extra effort to write things up this way and, instead of begrudging you for all the money you’re taking from the customer, they end up thanking you. © 2010 Lifestyle Tradie Pty Limited

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‘Systemise Your Team For Increased Profits’ Implementation Guide

What if the customer does not want to go ahead with the Add Ons? Not every customer will be interested in the additional work you professionally recommend.

Give them the option to complete only one of the additional recommendations and/or only action the initial job you were called to complete.

Never pressure the customer. You can only provide your professional opinion and it is completely up to them how they wish to proceed.

At least with the ‘Plumbing & Safety Inspection Report’ the customer has been provided with a written report that highlights the issues in and around their home that can be actioned at a later date.

Not to mention, you too have a record of what needs to be actioned. A position, that once the customer is a club member, can be used to target for additional work in the future.

It also prevents us from getting into trouble with the customer who opts for the minimum, when one of these issues becomes the reason for their next booked job. They can't say they weren't warned!

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Why do we offer the customer the Membership discount on the first job? The membership is the BONUS to our customers. It provides them with an immediate 10% saving on their first job PLUS being a member provides the customer with a 10% discount on any future work. (This of course can be set at whatever you wish). Offering membership is of course optional and hence the 4th column in the diagram above is optional.

When you show the standard prices in the first column and the membership prices in the third column, you'll find that it's impossible for the total amount at the bottom of the 4th membership column to be a higher number than that of the standard rate first column. It is about showing the value and the immediate saving should they take up the offer by buying now.

This technique proves to the customer that they're not paying extra for a Membership; they're actually saving money by purchasing one, and, more often than not, guarantees a Membership sign up.

When do you use the business tax invoice? Once you’ve got the okay to proceed with the work, write it out on the formal tax invoice and gain their written authorisation. Make a note on the work order of any recommendations you made that were declined (within the recommendations section). With the job authorised, it’s now time to get to work!

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Systemise Your Team For Increased Profits Call him wise whose actions, words, and steps are all a clear because to a clear why. Sara Teasdale

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1. Equipment

Mobile phone

Shoulder bag

boot covers

Pricing Manual

Plumbing & safety inspection report

invoice book

purchase order book

tool mat

work card book

timesheet

Dr Drip Survey 12345 12345 12345 _______________ ______________

Customer Warranty & Coupon Book

Pen, calculator, stapler, envelopes, business cards, magnets, membership, neighbourhood flyer, survey cards, customer Warranty & Coupon Booklets

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2. Vehicle Responsibility

DO DON’T The company vehicle is to be kept clean and tidy at all times.

No rubbish is to be left in the back of the vehicle. Empty rubbish in the

Your vehicle must be washed and

warehouse skip bin or scrap pile.

clean. Vehicle will be spot checked. Do not leave stocking vehicle till last Your vehicle is to be kept fully

minute.

stocked at all times. Do not leave paperwork floating All paperwork is to be kept in the

around in the cabin

folder in your bag and handed in to the office every Monday.

Use white bags for rubbish storage on back of vehicle.

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3. ’30 Steps to Customer Care’ Note: Watch the ‘Systemise Your Team For Increased Profits’ DVD whilst reading the steps below. These two go hand in hand.

Step #1: Phone call answered within 3 rings in the office. Step #2: Details of customer recorded/job booked. Step #3: Tradesman receives job details via satellite navigation system. Step #4: Tradesman calls customer ½ hour prior to arrival (except for 7am first Job as office has spoken to customer when booking job in to guarantee 7am arrival). Step #5: Preparation to meet the customer. Step #6: Knock on door, introduce yourself with a smile. Step #7: Put on boot covers before entering house. Step #8: Place red mat on ground with tools and bag on top. Step #9: Diagnose work – reason why they are there. Step #10: Serviceman informs client of free Plumbing & Safety Inspection report. Actions Plumbing & Safety Inspection report. Step #11: Diagnose and price each problem – initial + Plumbing & Safety Inspection report. Prepare ‘the close’. Step #12: Tradesman discusses diagnosis with customer & results of Plumbing & Safety Inspection Report. Professional recommendation put forward Step #13: Action ‘The close’ and explain Membership Club benefits. Step #14: Customer signs tax invoice prior to work commencement as approval. Payment on completion of the work explained. Explain approximate time to complete. Step #15: Explain and hand over ‘Warranty & Coupon booklet’ to customer. Step #16: Explain and request customer completes ‘Survey card/referral card’. Step #17: Go to vehicle to gather tools and materials. Step #18: Whilst at vehicle ring office to let them know how long the job will take. Step #19: Complete all work as approved, clean up and pack up. Step #20: Complete tax invoice and receive payment.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Step #21: Request customer complete Membership forms. Step #22: Request completed Customer survey card reminding customer of referral program. Step #23: Final check. Thank Customer and leave premise. Step #24: Complete work card including materials used. Step #25: Complete purchase order form based on materials used. Step #26: Put all paper work together and place in black folder. Step #27: Complete time sheet. Step #28: Calculate GP. Step #29: Call office to process credit card (if required) and advise job complete, request next job. Step #30: Distribute neighbourhood flyers.

END of Day GP’s are called through to the office on completion of the last job of the day. This information is collected and communicated as a separate daily dashboard to the owner of the business.

END of Week (Monday morning) All paperwork returned to the office Work cards with their attached tax invoice (for residential customers) including their method of payment (authorised credit card, cheque attached etc).

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4. ’30 Steps to Customer Care’ – Detailed Let’s go through them one at a time…

Step #1: Phone call answered within 3 rings in the office. In many companies and particularly in small business, the first ever contact with a potential customer is likely to be by telephone. Some companies regard this position as one of the most crucial in their whole company, as perhaps for 99% of the people they deal with, their first and most significant impression of the company, is the person answering the telephone. Courtesy and attention to detail are critical issues.

In any business, there are considerations to ensure you represent your business in the most professional light possible. Answer promptly - within 3 rings. Start calls by identifying yourself, company, position etc. If phoning in, enquire if it is convenient to proceed. If an incoming call is not convenient, explain why and take the persons details and offer to phone back. Establish and use the other person’s name early in the conversation. Listen and try not to interrupt. Demonstrate you are listening by saying ‘yes’, ‘really’ or similar. Concentrate - give the caller your undivided attention. Make notes and read back key points to demonstrate your attentiveness. Explain delays in dealing with the call if the caller has to wait. Be helpful - offer help, don’t wait to be asked. Control the call by assertive behaviour. Finally, recap what you are going to do as a result of the call. Smile. Your body language will transmit, and you will sound more assertive and friendly. © 2010 Lifestyle Tradie Pty Limited

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At the end of every telephone call, see if you can leave the other person thinking: ‘I am pleased that I spoke to you today.’ The telephone is an opportunity to motivate and inspire, so use it well!

Step #2: Details of customer recorded/job booked. Customer details are recorded on the job logging data sheet (as below);

1. Date – today’s date 2. Client Name 3. Caretaker/Tenant 4. Phone – mobile, private and business 5. Job address – the address where the job is required 6. Account address – if the booking was made by a Real Estate, Strata or Tenanted property where the tenant is not paying the account 7. Campaign – ‘how did you hear about us?’ 8. Job type/description – Ask the customer to detail the problem they are having so that you can write a summary of the work required, i.e. dripping kitchen flick mixer Include here any additional notes of relevance – i.e. battle-axe drive, call tenant on arrival for access etc Reminder to train staff who may be new to the industry the more detail they can gather the better equipped the plumber will be. (i.e. Where is the dripping tap? Kitchen, Laundry, Shower etc.) 9. Charge fee explained. Explain your charges if appropriate at this point such as a call out or diagnostic fee. Circle yes if explained to customer over the phone. 10. Tick if the customer has mentioned they have a discount voucher - $50, $25, pensioner 10% 11. Review schedule on the computer for up and coming days/times of availability 12. Confirm time, day and date of booking with customer. © 2010 Lifestyle Tradie Pty Limited

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The customer is offered the options of a two-hour time slot such as 7am, 8-10am, 10-12pm, 12-2pm or 2-4pm. Booking confirmed with customer. 13. Inform the customer that the job is payment on completion. We inform them of the methods of payment we accept.

Step #3: Tradesman receives job details via satellite navigation system. The customer job is communicated direct to the tradesman in their specific vehicle, i.e., DRIP2, DRIP3 etc.

No more wasted phone calls

Immediate

job

detail

between base and tradesmen.

communication direct to the

No more lost tradesmen trying

vehicle.

to balance driving plus reading

The system verbally informs

a street directory.

them where to drive.

Step #4: Tradesman calls customer ½ hour prior to arrival (except for 7am first job as office has spoken to customer when booking job in to guarantee 7am arrival). Tradesman calls customer thirty minutes prior to arrival. This places you immediately in a favourable light in the eyes of the customer before even stepping through the door.

Step #5: Preparation to meet the customer. You should already have the necessary equipment (see per page 50) packed in your shoulder bag.

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Step #6: Knock on door, introduce yourself with a smile. You only get one chance of a first impression hence the first 30 seconds are critical. “Hi Mrs Smith, my name is Name, what seems to be the problem today?”

Ensure you are well presented; wear a uniform that reflects the company image shirt tucked in clean shaven no rips, tears or ugly marks on company uniform belt same colour as pants matching socks

Step #7: Put on boot covers before entering house. Wait until the customer has opened the door and invited you inside before putting on your boot covers. In this way you will ensure the customer is home before dressing in addition to highlighting to the customer that you respect their home.

Step #8: Place red mat on ground with tools and bag on top. This mat is another way of respecting your customers property. The last thing the customer wants is dirty tools and the like placed on their clean white carpet. Show respect by using the mat on which to place your tools and bag.

Step #9: Diagnoses work – reason why they are there. Tradesman diagnoses work. Ask if there are any other plumbing issues, have a look and note them down. Give the customer 100% of your attention and do not talk on your mobile while talking to a customer.

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Step #10: Tradesman informs client of free ‘Plumbing & Safety Inspection report’. Actions Plumbing & Safety Inspection report report. Tradesman informs the client of the BONUS offer to conduct a FREE Plumbing & Safety Inspection Report in and around their home. Advise that it will only take approximately 10minutes to complete. This report can be explained as a ‘Home Plumbing & Gas Health Check’. Serviceman conducts report recording information on form in addition to recommendations for immediate and/or future work.

Step #11: Diagnose and price each problem – initial problem + Plumbing & Safety Inspection report recommendations. Prepare ‘the close’. The tradesman diagnoses work on site and prepares a list of items to present to the customer, in addition to preparing a hand-written ‘close’. ‘The close’ provides you with a way to present the price of the work at hand to the customer that; presents the recommended work as mandatory shows the savings through add-ons makes the decision easy gets you a big “thank you” instead of an argument

Step #12: Tradesman discusses diagnosis with customer & results of Plumbing & Safety Inspection Report. Professional recommendation put forward. The tradesman diagnoses work on site and discusses the results of the Plumbing & Safety Inspection Report with the customer using a confident, authoritative yet friendly tone making the appropriate and professional suggestions to complete the work.

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Step #13: Action ‘the close’ and explain Membership Club benefits. Tradesman actions ‘the close’ – an easy way

to

completing

explain the

the

benefits

recommended

of work

today instead of at a later date.

During ‘the close’ the membership club is explained to the customer. A one time fee for ‘life membership’. It is a huge benefit to the customer to become a member. Not only does it provide an immediate 10% discount to the current job, but it also provides 10% discount on ongoing work.

When you have finished explaining jobs to customer, write ALL approved tasks neatly on the Invoice.

Step #14: Customer signs tax invoice prior to work commencement as approval. Payment on completion of the work explained. Explain approximate time to complete. This is one of the most critical steps in the process! The customer is informed how much the work is going to cost and approval is required BEFORE you go ahead with the work. Customer must be informed that payment is due on completion. The work card is completed and a list of materials used recorded. The tradesman is responsible to present the customer with a hand written tax invoice and collect payment at the end of the job. Customer is requested to sign the tax invoice for authority to commence.

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Step #15: Explain and hand over ‘Customer Warranty & Coupon booklet’ to customer. This booklet provides the customer with an education as to the importance of specific plumbing requirements within their home.

Customer Warranty & Coupon Book

It covers topics to include; Bio-Clean, Anode, Temperature Pressure Relief Valve (TPR valve), Pressure Reduction Valve, water alarm, Rootx, the Dr.DRiP membership club and reasons why we recommend a Water Filter in the home, including discount coupons.

Our aim is to inform our customers to ensure they make educated decisions about the safety and preventative plumbing measures in their home. This booklet also contains a number of positive testimonials from our happy customers.

Step #16: Explain and request customer completes ‘Customer Survey card/referral card’. Mention also to the customer at the bottom of the Survey Card is a Dr Drip Survey special offer of a Woolworths gift voucher for $25 that we will send to them if they recommend us to a friend and the friend books a job with

12345 12345 12345 _______________ ______________

us over $55. (The call out fee does not count as a job).

Step #17: Go to vehicle to gather tools and materials. Minimise the amount of time you spend going to the truck for materials. Imagine you are running your own business – time is money.

Step #18: Whilst at vehicle, ring office to let them know how long the job will take. Communications with the office is essential to the smooth operations of the business . Providing updates on the time you will need to complete the job helps with scheduling and also allow the scheduler to re-organise the day should you up-sell other services or encounter problems.

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If you feel that you need help towards the end of the day, please advise the office so they have time to try and organise a helping hand for you. Do not leave it to the last minute to put your hand up for help, calling the office after 3pm to tell them you need help will probably mean this is unlikely.

Step #19: Complete all work as approved, clean up and pack up. All tradesmen MUST clean up after themselves, even if the owner or tenant says they will do it, tell them that it is company policy to leave all work areas clean and tidy. Spray some lemon scented cleaner to finalise the cleanup of hard surfaces like benches and vanities providing that extra special service to our customers.

Step #20: Complete tax invoice and receive payment. For all residential customers, payment must be made at the end of the job. The office will advise if the customer has some special payment arrangement. It is paramount that you collect payment for every job and call through credit cards to the office (See step 29). Chasing payments after the fact can be a tedious process and can take many hours and months to finalise.

The original copy is given to the customer, a duplicate is submitted to the office with payment (if cash or cheque) and the final copy is left in the book for future reference.

Cash Payments Cash payments are to be placed in an envelope and stapled to the paperwork. Do not staple the money. It is also fine to round the invoice to the nearest dollar, just write on the invoice how much money you have collected.

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Credit Card Payments All credit card payments MUST BE RUNG THROUGH TO THE OFFICE without exception. You must not leave the customer's property until payment is confirmed. Ring through payment, wait for O.K. from office. Once the payment has been called through, please write "Paid through Office" or "Paid" on the invoice so you know and the office knows that the invoice is paid.

Alternatively you may carry a credit card machine to instantly process the credit card whilst on site. Alternatively, if you do not have an office to call to instantly process the credit card, you can call your bank whilst on site for a credit check number (call your bank to set up this facility).

Cheque Payments To ensure a cheque is accepted by the bank they must be written out as the example following.

Company name Dr Drip Pty Ltd

Wrong written details of total amount

If these details are not correct the bank will reject the cheque and we will then have to chase payment.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Direct Deposit As a rule we only accept direct deposits if the customer can do it while you are on the spot and give you a receipt. Asking to pay this way after you leave can be used as a delay tactic that again means that we may have to spend time chasing payment.

Direct deposit details are; Account Name:

Dr DRiP Pty Ltd

BSB Number:

xxx-xxx

Account:

xxxxxxxx

Step #21: Request customer complete Membership forms. Tradesman hands the customer the required membership forms to register for ‘lifetime membership’.

Step #22: Request completed Customer survey card reminding customer of referral program. Dr Drip Survey Mention also to the customer at the bottom of the Survey Card is a special offer of a Woolworths gift voucher for $25 that we will send to them if they recommend us to a friend and the friend books a job with

12345 12345 12345 _______________ ______________

us over $55. (The call out fee does not count as a job)

Step #23: Final check. Thank customer and leave premise. Perform a final look around the work area, checking that you have collected all of your tools and that the area is clean and check over job(s) again. Pack up remaining tools and pack away in truck. Thank the customer with a smile.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Step #24: Complete work card including materials used. Detail start and finish times in the appropriate box. Detail ALL materials used listing the quantity of each item and the total value entering detail in Materials List section. Make any notes you need to and if it is a Real Estate or Strata job where you have gained permission for extra work, write who you spoke to for approval.

Step #25: Complete purchase order form based on materials used. With completed materials list on work card (as above), write the same items on the purchase order form in preparation for re-stocking the vehicle with the supplier. This single purchase order form will continue to be used throughout the day after each and every job, adding the materials used from each one.

Step #26: Put all paper work together and place in shoulder bag. Staple the work card and the invoice together along with the survey card, payment if applicable and membership form if applicable.

Step #27: Complete time sheet. Time sheets are checked against the satellite navigation system so please ensure the times are accurate and also indicate the truck you were driving at the time, eg, DRIP2, DRIP4.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

Step #28: Calculate GP. Gross Profit (GP) is the total of the job pre GST less the cost of materials, discounts and subcontractors. For Example; Total Sale Leak locator Materials (company cost price)

$1,000 (ex GST) -$ 250.00 -$ 200.00

GP Total

$ 550.00

Note: Materials price are our company cost price. It helps to have a standard list of material pricing in vehicle as a reference, alternatively refer to supplier dockets (if available).

Step #29: Call office to process credit card (if required) and advise job complete, request next job. When the tradesman is given a credit card for payment, they must ring the office while still on the customer's site and the credit card is processed then and there. If there is a problem with the credit card it can be addressed face to face with the customer and resolved immediately. Alternatively you may carry a credit card machine to instantly process the credit card whilst on site. Alternatively, if you do not have an office to call to instantly process the credit card, you can call your bank whilst on site for a credit check number (call your bank to set up this facility). Give the dispatcher some time to send you your next job. Call the office 5 – 10 minutes before the end of your job to allow them time to send you your next job.

Step #30: Distribute neighbourhood flyers. Collect flyers from the office every week and distribute flyers 5 doors either side of the job that you are at. This is a quick and easy way for us to advertise our business.

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‘Systemise Your Team For Increased Profits’ Implementation Guide

END of Day – GP’s After last job of the day total time sheet and finalise GP’s. GP’s are communicated through to the office via satellite navigation system, called through or SMS on completion of the last job of the day. This information is collected and communicated as a separate daily dashboard to the owner of the business.

END of Week (Monday morning) All paperwork returned to the office Work cards with their attached tax invoice (for residential customers) including their method of payment (authorised credit card, cheque attached etc).

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www.lifestyletradie.com.au

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‘Systemise Your Team For Increased Profits’ Implementation Guide

© 2010 Lifestyle Tradie Pty Limited

www.lifestyletradie.com.au

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