Case study · Welding
Margin per hour for a welding crew
Welding and assembly company · 14 people · Veneto
Welders placed with four clients at different rates. Margin per hour showed which contract needed renegotiating.
- clients compared
- 4
- contract renegotiated
- 1
- notice on certificates
- 30 days
Where they started
Rates differed for every client, but the maths was done on gross pay. Overtime and travel ended up in one pot at the end of the month.
What changed
Every person got a full hourly cost, with surcharges per hour type. Every contract got its agreed rate.
After two months, one of the four clients was close to break-even: lots of overtime at a low rate. The numbers opened the renegotiation.
The outcome
A contract renegotiated with the numbers on the table, and welding certificates that no longer expire by surprise.
“We thought we earned the same on every client. Margin per hour showed us we were almost breaking even on one of them.”