Mike Melton argues shops can add $250,000 in annual revenue by switching to tiered, output-based pay instead of hourly wages. Higher tiers ($20 to $35) reward speed, fewer comebacks, and better customer service, which he says drives self-leadership and cuts waste.
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$250,000 or more
704-617-78,48
Chapters
Here's the way to increase your shop's revenue by $250,000 or more. Stop paying people for their time. You have to pay them for the output. So most shops just, just pay hourly. It's not based off a tiered system like mine are. So what you do, you hope for the best, and then at the end of the day, you get a lot of entitlement by your guys. So if you move to a tiered system, you're gonna have guys that's going to self lead, they're gonna make sure everything's clean, they're gonna make sure everything's done the right way. Because what you're trying to do is, is get them to run the company like it's their own company. So when you base it off a tier system, you're going to have a lot more speed, you're going to have less comebacks. Because at the end of the day, this stuff right here reflects on how much they get paid. So let's say you pay a person 20 an hour, right? And you have certain parameters. They have to hit if they want to go to 23 an hour, 28 an hour. So the same thing has to go with if you want to make 30 an hour, 35 an hour. So my guys control how much money they make because of our tiered system that I set up. And it's based off leadership and everything else in that back room. I mean, they have to self lead. That's the biggest thing. They have to treat people well, they have to know the core values. Now, if you want to learn exactly how I built my system, give me a text. 704-617-78,48.