Average handle time (AHT)
Also known as: AHT, average completion time
Mean duration to complete a unit of work. In service businesses: average minutes from job start to completion. Tracking AHT identifies productivity patterns and pricing accuracy.
Average handle time (AHT) measures the mean duration to complete a unit of work, typically a service call or job. For service businesses, AHT is calculated by job type (e.g., 'AC tune-up AHT = 45 minutes' or 'drain cleaning AHT = 75 minutes').
AHT serves multiple purposes. Pricing accuracy: flat-rate menu prices are derived from AHT × loaded labor cost + parts + margin. Underestimating AHT means underpricing. Productivity analysis: techs whose AHT consistently exceeds the operator average for a given job type need either skill development or schedule adjustment. Capacity planning: knowing AHT per job type allows accurate calendar building (not too tight, not too loose).
For service operators, AHT tracking requires consistent job-type tagging on completed work and start/stop timestamps. Most modern FSM platforms calculate AHT automatically. Common pitfalls: not separating drive time from on-site time (drive to next job is different cost than work at current job), failing to update AHT as service mix evolves, using outdated AHT from before a major operational change. Quarterly AHT reviews keep pricing and scheduling current.
Related terms
Mean time to repair (MTTR)
Average time between when a problem is reported and when it's resolved. In service businesses: time from customer call to job completion. Tracks operational responsiveness.
Billable utilization
Percentage of paid technician hours that are billable to customers. Healthy: 60-75% in residential service. Higher means tighter scheduling; lower means time leaking to drive, admin, or idle.