You need to know ...
The costs of your operations by the Hour and by the Yard.

To go along with the sheets I sent out last week, attached are two Worksheets that you need to make sure your company and your managers complete each month for you to know the true costs of your operations by the hour and by the yard.

You will notice the sheet Cost per Hour - Sample Company does not include Cost per Hour Pump. You can get that format from your sheet we sent out last week.

How can we continue to ignore our true costs per hour. We need to start charging the customer the true costs  of pumping. The industry is stuck in charging the yardage costs that were charged thirty years ago in the two dollar area, when the true costs are running in the high three's. So why not start charging the true rate with a profit attached.
 

In addition to the above, each and every company in business today should charge a percentage of their income each month for future repairs. Everyday we are using up the life of that engine, hydraulic pumps, cylinders, pipe, and etc. and when that engine fails where is that money coming from if you have not put aside a slush fund for major repairs such as this.

As you may have noticed this year, when the repo man received his equipment back there was no engine, transmission, hydraulic pumps, or etc. in the units. The company had to steal parts from one unit to put in other units to keep them running.

Please feel free to contact me if you have any questions or comments on our industry.

Thank you.

A Concerned Concrete Pumper

Richard O'Brien