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Small Business Management Article Archives

836 What?

By

Raymond D. Matkowsky

Have you gotten into your car and it wouldn’t start? This can be frustrating, especially if you’re leaving to meet with a client. This happened to me. Being away from home I had to call a tow truck and have the car taken to a local repair facility. While trying to diagnose the problem, the alternator caught fire. The faulty alternator caused a cascade of failures besides a dead battery. The repair totaled US$836 of which approximately US$450 was for labor.

The bill was about what I expected at a labor charge of US$80.00 per hour. The charge was normal for the area and many times the labor costs can exceed the cost of the part. The problem was that I am not use to paying for labor since I haven’t been for the past ten years. I’ve been taking my vehicles to one of the local vocational school’s auto shops for both normal maintenance and repairs. I estimate I save about US$1000 per year by not paying normal labor rates. The savings may even extend to the cost of parts. Many suppliers charge discounted prices to vocational school shops. To a small business your local vocational school can be a treasure chest of savings.

More Than Auto Repair

My biggest savings have been with auto repairs. However, I have utilized the school’s facilities for a number of different situations. When I needed a machine part that proved difficult to obtain, the machine shop fabricated it. When some cabinetry needed repairs, the woodworking shop did it. Air conditioning design specifications? The HVAC shop did the preliminary studies and suggested contractors to complete the work. The computer technology lab has been servicing my business computers for years at little or no cost to me. Schools vary from state to state, country to country but the offerings are so extensive that I doubt that there is a small business that cannot utilize a Vo-Tech.

Students Do Make Mistakes

You may be thinking : "Students make mistakes and I wouldn’t want to risk it." True, students do make mistakes. That’s how we all learn!

In reality, the customer hardly ever sees those mistakes. Why? You have an instructor double checking everything that the students do. It’s important to the students’ training, since they will have to pass an independent certification examine before they can graduate.

There are disadvantages. Vocational schools are not always available when needed. Most public schools in the United States operate nine to ten months of the year, five days a week. Other countries do differ.

Students spend about 3 ½ hours per day in shop. Elaborate jobs cannot always be completed in that time. A job that takes longer than three hours may span two days. Students’ abilities and experience differ, so the shop may lack a qualified student to perform a certain task.

At most, these disadvantages are inconvenient and do not present severe problems. You still have the option of taking your job to a normal service provider if a Vo-Tech is not available. The idea is to take advantage of the services when possible.

You Will Be Helping To Develop Tomorrow’s Workforce

Doing everything you can to save operating costs is a plus for your business. However, you can help yourself further.

Businesses need an educated workforce to compete in this changing world. However, businesses report difficulties in finding skilled workers. It will only become harder in the future. Developing a partnership with a school will give you an opportunity to express your needs, help the school develop programs that are needed by businesses like yours, and give you an inside track on a shrinking labor pool.

A problem that employers face is hiring the right person for the job. Employers only manage to pick the best person 50% of the time. A better way is to look to someone you know and trust.

Instructors are constantly looking for places to send their best students. They will only send you their “brightest and most qualified” since they always have placement needs and they would not want to jeopardize your good will.

When hiring, get the input of the instructor, not a guidance counselor. They know the student best. Ask if that person has ever done any work for you. If so, that knowledge can help you better evaluate the fit or choose between equally qualified candidates.

Three Good Reasons

You have three good reasons to consider what a Vo-Tech may have to offer:
  1. Your business may be able to save a great deal of money.
  2. You will be helping school officials setup job programs that you need.
  3. You will be insuring your access to a trained labor pool that you can take confidence in.
The benefits can be yours! Seize them!

If you have any comments, let us know. Email me at rdm@datastats.com. We will try to print it in our next newsletter.

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