
by Joe Steven Jr., DDS
For years all my team ever heard from me was "Production!
Production! Production!" Twenty-some years ago I had a goal
for a million dollar practice so we were always striving to efficiently
provide the best dental care to as many patients as we
could in order to reach that goal. After attaining that goal, I
told them that I was not really interested in shooting for higher
production numbers because I had another goal in mind.
My new primary goal was to be as efficient as possible in all
our systems for better "peace of mind." By that, I meant I
wanted to know that we were doing everything as efficiently as
possible to keep our costs down while providing excellent
patient care. I expressed to them that I didn't want our production
and collection figures to drop by any means, and that our
numbers would gradually increase anyway because of our new
endeavor. It's ridiculous to keep going year after year knowing
you're losing profit dollars because of inefficiency. Since we had
attained higher goals consistently, I wanted to concentrate on
the icing on the cake. I wanted us to fine tune every system.
I've been a fanatic all my career on watching the bottom line
and being as organized and efficient as possible, but there's
always room for improvement.
At one of our regular staff meetings, I read the following
story which was the main emphasis of my new found goal. I
would strongly suggest that you read this to your staff at your
next meeting. It's not only interesting, but it will help you and
your staff look at the business side of your practice in a whole
new light.
A Little Goes a Long Way
For more than a decade United Airlines has been saving
more than $40,000 a year by simply removing one olive from each salad they serve in First Class. This point is brought out to
demonstrate how something as small as an olive, something that
easily could be overlooked, could have such an impact on the
bottom line. What little olive does your practice have that could
be costing you thousands of dollars every year? You might be surprised
if you and your staff were to sit down and brainstorm just
how many different little olives your practice has. Olives that if
put to a better use could dramatically change things with your
business and maybe even allow for some little perks that before
were not available.
The staff was just as intrigued with that story as I was. I
explained to them that I realized no one is going to receive immediate
gratification by not wasting cotton
rolls, or not using too much
topical anesthetic, or not leaving the
nitrous units on accidentally. But it all
adds up, and that's money that can be
used for a staff trip or for their pension
plans. Or, it could be used for office
improvements that everyone enjoys.
It's simply ridiculous to keep wasting
money when we all work so hard to
produce and collect it.
Following that meeting it seemed
like just about every other day or so
someone pointed out another "olive."
My hygienists got together right away
and found a different brand of fluoride
that saved us about 50 cents per bottle.
Obviously, supply purchases are
the best examples of big "olives," but, there are many others.
During one of our meetings, we reviewed our Staff Policy
Manual and went over time clock policies. I pointed out that
mistakes with time recordings usually fall at the expense of the
practice. I asked our payroll person if this was true, and she
admitted that sometimes it can be a pretty big "olive."
We found another "olive" while reviewing our uniform policy.
Over the years, we drifted away from our daily matching
scrubs policy. As a result, the practice was paying out too much
for individual preferences of uniform colors which resulted in
more scrubs than needed. Our policy has a 50 percent uniform allowance that the practice reimburses to the staff members.
We reorganized and saved another "olive" there.
We reviewed and revised a few of our checklists which are
easily overlooked or forgotten in a busy office. Simple things
like turning off the treatment room lights and televisions during
lunch might seem insignificant, but really do add up in the end.
My pet peeve has always been finding a running nitrous unit
with no patient at the other end. Worse yet is leaving a unit on
and someone forgetting to turn the main tanks off when leaving
the office. We reviewed our policy as to when to remove nitrous
from a patient for specific procedures. If a patient receives a
mandibular block, it's a waste to leave the nitrous on until they
are numb. With many local infiltrations,
we'll leave the unit on since we
won't have to wait as long for the
anesthetic to work. I pointed out to
my staff to use their own discretion
with each individual patient but to
be aware of this little "olive."
"Olives" can also take the form
as mistakes within a practice such as
laboratory case inefficiencies on our
part. Even though many of us all
experience those busy, chaotic days,
we have to take the time to be explicit
and thorough on our lab directions
for every case. Having to reschedule
a patient because a case wasn't back
on time, or worse yet, wasn't completed
properly is an easily avoidable
"olive" that costs us valuable chair time and needless negative
patient goodwill. Likewise, lab cases sitting in the bins for
over a month need to be reviewed so that these cases can be
completed. In our practice, that's a specific duty assigned to a
particular assistant.
Another seemingly trivial "olive" that really adds up is the
office thermostat. If you don't have one of those programmable
thermostats, you're probably over-spending $100 each month
in wasted energy. There is no reason to have the AC running
during the evening or on weekends at the same setting as you do
during work hours. During our afternoons off, we manually raise the temperature about six or eight degrees before we
leave the office just to save a few bucks.
Of course it's always great to find some large "olives" to
really reduce your overhead. For years I have been receiving a
10 percent discount at the dental lab I use because I prepay
my account with a credit card. Now that's a big "olive"! Check
with your lab today and ask if they provide that courtesy;
many labs do.
Here's another big one – get a quote on credit card processing
fees. There are so many hidden bank fees that we tend to
overlook month after month. Between my practice and KISCO,
I am saving several hundred dollars per month after evaluating
these fees. Nice "olive"!
Want another big olive? About 80 percent of the doctors
ask their labs for high noble or semi-precious metal. The lab
I use saves many doctors money by suggesting they use non-precious
metal as long as it doesn't contain nickel or beryllium.
I've been using non-precious metal for most of my
PFMs for years and cannot see one negative thing from using
this material.
Many "olives" can be eliminated by a team management
approach by which each employee is assigned specific duties
and responsibilities. Respective checklists should be used for
these assigned duties to guarantee that everything is being
done properly. Go ahead and schedule an "olive" meeting
with your staff and get your team's input and suggestions for
finding "olives" in your practice. Many times your team will
come up with more ideas than the doctor for finding "olives"
and improving your bottom line. So, where are the olives in
your practice?
|
Author’s Bio |
Dr. Joe Steven graduated from Creighton Dental
School in 1978 and has been in solo practice in
Wichita, Kansas, up until June, 2007 at which time his
daughter, Dr. Jasmin Rupp joined him. He is president
of KISCO, a dental products marketing company,
providing "new ideas for dentistry," and is the editor of the KISCO
Perspective Newsletter. Dr. Steven, along with Dr. Mark Troilo,
presents the "Team Dynamics" seminar. Dr. Steven also presents
three other seminars: "Efficient-dentistry," "Efficient-prosthetics,"
and "Efficient-endo." Dr. Steven also provides the KISCO Select
Consulting Program to dentists in the form of a monthly audio CD
recording. He also offers a coaching consulting program called
the KISCO's 21 Club. Contact info: jsteven@kiscodental.com;
800-325-8649; www.kiscodental.com. |
|
|