welcome to · what is a vision statement? ... blue vs. red when you are competing in a red ocean...
TRANSCRIPT
Welcome To
Knowing Your Numbers
Turning Data into Practice Profits
Presented By:
Laci L. Phillips
Knowing Your Numbers
Expenses
“Plans are nothing; planning is everything – Dwight D. Eisenhower”
Gathering Data: Profit and Loss Statement
Make sure your expenses fall in the proper _________________ when reviewing your
profit and loss statement to help determine healthy levels for each category.
Healthy Category levels for :
Personnel Expenses %
Doctor Direct Expenses (dues, CE…) %
Facility Expenses %
Lab Expenses %
Dental Supplies %
Marketing Expenses %
Minor Expenses % Examples of minor expenses are:
ACCOUNTING SERVICES
Questions to consider when projecting expenses for upcoming year:
Will I be purchasing new equipment?
Will we add team members in the upcoming year?
Adding new services?
Is a loan close to pay off?
Computer expansion or upgrade
Setting Financial Goals “A Goal without a plan is just a wish”
STEP #1
Once expenses are projected you have a baseline for determining what the practice needs to
produce for the upcoming months. What are additional key factors to setting the goal?
1st_______________________________
2nd_______________________________
STEP #2
Determine How Many Doctor Days: ________________
Determine How Many Hygiene Days: _________________
Hygiene Production Should be _______% of overall office production.
KPI’s
KEY PERFORMANCE INDICATORS
IDENTIFY
MEASURE HIGHLIGHT
DRIVE
PREDICT
Common KPI’s in the dental office are:
KPI Why we track?
Gross Production vs. Net Production
Gross Collections
Collection Ratio
Total Outstanding AR
Patient AR
Insurance AR
NEW Patients
Additional KPI’s No two KPI tracking systems are the same. KPI’s should match your individual office goals and
initiatives.
NEW MARKETING INITIATIVE
# of PHONE CALLS
RECARE REACTIVATION:
# OF OPPORTUNITIES
HYGIENE PROFITABILITY:
30% OF OVERALL
NEW PATIENT RETENTION:
NEW VS. EMERGENCY
RESTORATIVE PRODUCTION MIX:
CODES BY PROCEDURE CATEGORY
STRATEGY
“A method or plan chosen to bring about a desired future, such as achievement of a goal or solution to a problem.”
What are our barriers for building strategy in our practices?
What is a Vision Statement?
Statement is About
Statement Answers the question
Developing the Statement
Clear Characteristics
How to Create
**What will the cover story with your office featured be in The Progressive Dentist Magazine 5 years
from now??**
What is a Mission Statement?
Statement is About
Statement Answers the question
Developing the Statement
Clear Characteristics
How to Create
**When done, give it the T-Shirt test: “Will it fit on a T-Shirt and would you and the team wear it?
Does a Vision and Mission Statement? Is it still true? YES NO
Competitive Analysis What practices do you compete with?
Take time and evaluate 2-4 practices around you.
# Office Brand/Details How are we the same?
What’s different
1.
2.
3.
4.
Blue vs. Red When you are competing in a RED ocean strategy you are competing with 2 key weapons:
1st_______________________________
2nd_______________________________
1) Ideas for Blue ocean strategy:
Strategic Priorities (2-3) – Connect your Mission to Vision
EXECUTION When setting goals always remember to be SMART:
S M
A
R
T
4 DISIPLINES OF EXECUTION
#1 FOCUS ON THE WILDLY IMPORTANT
2 Rules for creating WIG’s
1. No more than ______ WIG’s should be created at one time.
2. Must have a ________________ Line.
From X to Y by ___________.
#2 ACT ON LEAD MEASURES
LAG Measures_______________________________________________________
LEAD is _____________________________________________________________________________
Example:
#3 CREATE A COMPELLING SCOREBOARD
#4 CREATE A CADENCE OF ACCOUNTABILITY
How often?
How long?
Agenda Item #1
Agenda Item #2
Review and update Scoreboard
Agenda Item #3
SIMPLE
HIGHLY VISABLE
TRACKS THE RIGHT LEAD
AND LAG MEASURES
TELLS US IMMEDIATELY IF
WE ARE WINNING OR
LOSING
Practice Dynamics
888.425.3235
www.practicedynamics.net
Facebook.com/practicedynamics.net
888.425.3235 x 701