How to Calculate Hours per Repair Order (Hours per RO)

Hours per RO shows how much labor you sell on an average visit. It is often tracked separately for customer pay, warranty and internal.

Formula

Hours per RO = Total Labor Hours Sold ÷ Number of Repair Orders

Worked example

EXAMPLE NUMBERS ONLY – not industry benchmarks.
Example numbers: 700 hours sold on 400 ROs = 1.75 hours per RO.

FAQ

Should I split by pay type?

Yes. Mixing warranty and customer pay hides trends in each.

Do zero-hour ROs count?

Decide once and stay consistent; many shops report both ways.

How do I raise hours per RO?

Through thorough inspections and clear recommendations on each visit.

Get the spreadsheet

The Auto Service KPI Template Pack calculates this and other service KPIs. It comes as an Excel (.xlsx) workbook that also opens in Google Sheets (import steps included). The comeback log and per-tech scorecard are in the Pro version.

Standard – $39 (Payhip)Standard on Etsy Pro – $129 (Payhip)Pro on Etsy

Educational only. KPI definitions vary by shop and DMS.