Here is my first question: Have you sat back recently and taken a good look at where you and your practice is going?
Most doctors look inward into their practices and onto the day-to-day details of running an office and a business—but as the CEO of your business, you must look outside the box at the big picture. The picture that you need to be able to look at contains your actual goals – where are you going with your practice?
The only way to do this is to step back from the day-to-day activities and take a hard look at things like funding retirement, getting your kids through college, getting completely out of debt, sharing a good quality of life with your family, and finally, the ability to pay your staff a competitive wage, benefits, and bonus in order to attract and hold on to good and loyal people. Are you aware that these are things that your practice is even supposed to provide you?
Even this is not all the practice should provide. A practice should provide the resources necessary to expand from within, to support healthy and productive associates and partner relationships and to provide a practical working plan for your eventual transition into retirement.
This is a far cry from the stress and strain that many practice owners try to endure on a daily basis: They know that things should run more smoothly, but they are too busy just trying to keep up to be able to take a look. Sometimes the “tail is wagging the dog”, staff are dictating to the owner how things are to run. Many owners know they need improvement as executives and leaders, but can’t identify their actual weaknesses. Or they know all too well what is wrong but don’t know how to resolve these issues.
Write these points down How can you plan something as simple as a new garden without first envisioning exactly what you want? It is the same with your practice. Get a clear cut, but comprehensive picture of what you want.
Now take that hard look at what you have: Are you earning the kind of net income you feel you should really be making? We don’t mean pie in the sky (“quick-buck,” paper-millionaires for example), but the actual production and collection level given your resources in terms of staff, patient flow, schedule, etc. Most offices that we have started to work with fall very far short of their true potential by 40 to 120%! Many doctors put up with a lowered level of income unnecessarily.
- Let’s look further:
Are your staff working at the level that you want?
Are they a team or simply a bunch of individuals?
Do you have management systems in place to direct them towards your goals?
These are vital points like daily huddles, weekly staff meetings, production goals, complete office policies and job descriptions. If you lack these tools you will feel the stress and so will your staff. And it will show up in your bottom line.
Another point to look at is the “ceiling” that many practices hit on their way to the million-dollar goal. There seems to be a “speed limit” that many hit at about $70,000 per month. No matter what they try, this invisible barrier keeps them pegged at that same average level of production. That is because you are hitting barriers (real ones not invisible!) that inhibit the growth of your practice. You can get to a certain level doing it “any old way”, however to move to the next range of income you need better systems.
We have written an eBook on a key aspect of your practice, 17 Tips to Improve Your Treatment Acceptance. You can also spend a few minutes to take our Tx Acceptance test. This will help you to “step out of the box” and take a good look at where you are and where you should be. Even if you have done this before, do it again. Your view may have changed.
Whatever your goals are, there is one thing for certain: The truly prosperous practices are the ones with leaders who can look and reach for their dreams. Our purpose is to help you do just that.
I'd love to hear your questions or topics you'd like us to address, please leave a comment or message me.