Strength in Numbers by Dr. Ashley E. Boling

Most dentists would probably agree that while we leave dental school with the clinical skills we need to practice our craft, we aren't always taught what it takes to be a successful practice leader or small business owner. That was certainly my experience in the early part of my career.

I began as an associate in a family friend's private practice and bought in as a partner after one year. However, after months of examining profit and loss (P&L) statements and truly understanding the costs associated with running a business, I was stressed and unhappy. I realized that the traditional model wasn't right for me and decided to dissolve my partnership.

Eventually, I was offered a lead dentist position at an Aspen Dental practice in Hixson, Tennessee. I learned quickly that one of the benefits of partnering with the dental support organization (DSO) that handles the nonclinical business services for the practice was that I could focus my time and talents on patient care instead of administrative tasks.

Within months I was using my newfound chairside time to turn a profit by increasing the number of new patients being seen—an average of nine new patients a day, while my previous private practice averaged only 40 new patients per month, with a patient base of mostly recall patients.

I purchased the Hixson practice in January 2014 and have subsequently added two more locations. It wasn't until then that I realized that the DSO allowed me not only to spend more time focusing on my patients but also to save a ton on the back end by utilizing its size and network to negotiate better deals on my behalf.

You don't need an economics degree to understand the purchasing power a DSO can provide, and it can do wonders for an office's P&L statement. Turn the page to discover some areas where I saw an immediate cost savings:

1. Data
This has been the most exciting element of working with a DSO and the efficiencies it can provide. My DSO aggregates metrics to provide practice owners an opportunity to compare their offices and teams to others and evaluate how they're performing, as well as how they might be able to improve. For example, I can review patient-satisfaction metrics for my offices in comparison to the larger network, while gauging how and why one office is doing so well in that category, to help better the overall experience.

These metrics help me evaluate how my practices are doing financially and if my teams are providing the best experience possible for patients. I use these metrics to incentivize my teams, which in the long run reinforces a team-oriented culture and encourages every team member to always provide excellent patient care.

2. Marketing
Television and digital advertising are expensive … and confusing. Rather than hiring an outside consultant, a DSO will manage all media buying and marketing efforts to ensure I'm guaranteed a steady stream of new patients. In addition, having three practices in one designated market area that are all under the same brand name allows me to maximize the marketing spend and increase my personal brand equity.

3. Supplies
I save significantly on supplies for my offices and labs because they're purchased in bulk for more than 600 practices supported by the DSO. From acrylics to implants, the per-unit price for any equipment is dramatically less and my inventory can continually be stocked for all of my practices and onsite labs.

4. Staffing
My biggest pleasant surprise has been how far size and economic strength go in this category. Because I have staff working in three practices now, I have experienced team members train and mentor newer ones, and rotate them between offices when needed. This "full coverage" setup also makes it easier for my staffers, who can take paid time off without worrying about who'll pick up the slack.

Coming to conclusions
By partnering with a DSO, I've been able to develop a team that's fully focused on productive patient care and lower the overhead costs of running a practice. According to a 2012 American Dental Association survey, the average annual expense of running a private practice for a general practitioner is $375,020—that excludes owner salaries, and is about 60 percent higher than in 2000 and three times the cost in 1990.

For dentists, economies of scale can make a significant difference not only in the financial success of their practice but also on their well-being. It reduces stress, enables a better work/life balance, and creates more opportunities for other dentists who want to own and run a practice.

Because of my financial success, I recently brought one of my lead dentists on board as a partner in my Hixson practice, and I plan to bring more dentists on board in the future.

Discussing DSOs on Dentaltown.com
For this Townie, joining a dental support organization was the right career choice. Have you made a similar career move? Or is corporate dentistry anathema to you? Share your story in the comments below!

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