Episode
230
Thu, 06 Nov 2025 20:00:00 +0000
Running a cabinet or millwork shop takes more than good work.
You need to know your numbers.
In this episode, Dominic Rubino interviews Greg Crabtree, author of Simple Numbers and Scaling Up contributor.
Greg explains the Labor Efficiency Rate (LER) — a simple number that shows how well your shop runs.
LER is a ratio:
$2 of gross profit for every $1 in labor
If you're lower than 2:1, you’re working too hard for too little profit.
Greg warns owners not to “fall in love with backlog.”
A huge backlog often means slow systems, not success.
The goal is steady flow — not piles of work waiting to start.
Big shops don’t wait for year-end.
They check labor efficiency weekly and coach their teams daily.
If you want to grow your shop profitably, you need clear, simple numbers. Start with the Labor Efficiency Rate — and build from there.
More about Greg Crabtree: Site | LinkedIn | Simple Numbers
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