|
Straight-time costs vs Overtime costs: Planning to avoid
the high costs of overtime
************************************************************************
We have been using these tips to reduce our clientele's trade show
exhibit running costs by an average of 30%. By applying these tricks,
you can save $30K from previous costs of $100K per show. Results
- If you are attending 2 shows per year you save $60K per year.
************************************************************************
Straight-time costs vs Overtime costs: Planning to avoid
the high costs of overtime
Since we have been covering a number of issues that directly affect
your costs in the field, while completing the installation and dismantle
process (I&D) for your trade show exhibit, we would like to present
a discussion of another item that is commonly overlooked. This is
the issue of scheduling work during overtime vs straight time and
planning then scheduling to avoid overtime or limit your exposure
to overtime charges.
Why is it important to schedule and plan for overtime?
Planning to avoid overtime, or on holidays and in some cities
double time, is important in order for you to greatly reduce your
trade show exhibit set-up costs. The cost of trade show services
during straight-time are certainly not inexpensive, and on average
these costs increase between 50% and 78% during periods
of overtime or the dreaded, 100% during double time. Some
cities do not even have overtime rates. The costs just increase
directly to double time as soon as you are outside the specified
straight time hours.
Note: Machinery such as forklifts and condor lifts
will not be charged at an overtime rate. If you are being charged
at a higher rate for these machines during overtime hours it is
because the staff required to run this machinery is included in
the hourly cost of the lift.
During the installation and dismantle period you will rarely be
able to avoid all of the overtime charges. However, there is planning
that you can do to minimize your use of overtime hours and greatly
reduce I&D costs.
Here are some tips for reducing your exposure to overtime
and double-time:
Understand the major steps that are required for setting up your
exhibit and create a list of tasks or milestones applicable to the
booth set-up.
Understand which of these major tasks are interchangeable or can
be completed out of order without lengthening or making the rest
of set-up impossible.
Schedule in such a way that tasks that require the most expensive
labor are done during straight time.
If necessary have small tasks that will slow down the rest of the
installation team completed during overtime to increase your full
crew efficiency during straight time hours.
Schedule in such a way that you have the greatest number of workers
completing tasks during straight time, without changing the order
of major milestones such that installation or dismantle completion
is impossible.
Do not count on your exhibit house or other contractor in charge
of exhibit installation to schedule in such a way that your costs
will be minimized. No one will conserve your dollars like you.
Observation from the field Recently while at a
major medical show we walked around and observed 80 exhibits between
20' x 20' and 80' x 240' installed. We found that although there
were 5 days to set the exhibits, and the first 3 of those days were
straight time days, 40% of the exhibits were not even begun on straight
time. The real crime of the matter is that in every case the freight
required for exhibit set-up was there in the hall on the earliest
possible date during the straight time days. The projects were simply
not begun.
Expert Tip: In a situation where both straight
time and overtime are available for the install, do the planning
yourself and even oversee the work in order to reduce your costs
the first time. Then, once you have a benchmark set for the cost
of the install, make sure that your exhibit house or contractor
completes the installation in such a way that you incur those same
costs.
Questions about this article?
It is my hope that you will be able to put the information in these
e-zine articles to immediate and effective use. If at any time the
content of an article is unclear please Contact
Us or if you are having a specific problem please post a question
regarding the issue to our trade show questions forum by pasting
this link into your browser: http://www.exhibitconsultants.com/exhibitor_management_tools/tradeshow_questions_forum.html
|