Got a call from a young dentist who wanted to know: “What’s wrong”? “How can I fix this”? Seems that last month this single doctor office did $180,000 and after the first week of the new month, there was only $80,000 scheduled. Hygiene was full, and three full weeks still remained in the month, but they were already in a panic. It seems I never get a call when there is a great month. But if there is a small blip on the horizon, I get the help me “fix” this or that call. In fact, it is the good months that you should obsess about. Study the good months, figure out what you did right, and do it again. One of the top ten things that successful dentists do is always ask the right questions.
My first question was: “What did you do during the same month last year?” New patients, production, overhead, referrals, etc. Well, it seems that last year there was also a slow down at the first of the same month, but they pulled it out before the month ended. Now this doctor does good work, the reviews are great, they are implementing what we are teaching him, and is seeing many good things begin to happen, but still, he asks “What is wrong with this month”?
It seems that we all have an internal “Success Meter”. The interesting thing is that we never feel like a success unless reality exceeds our expectations. You read about some dentist in Dental Economics or on Dentaltown that is doing a little better than you are doing, and you feel like you are an underachiever. The other thing about this success meter is that it resets itself like a heroin addict: The needle stays in the green zone, and we feel fulfilled. But when it dips into the red, we feel horrible. What used to make us feel good, now seems to barely satisfy us. I have a meter, too. Unless we keep our overhead for the year below 55%, increase our production about 20% a year, have an 85% recall, a hygiene department that turns out at least 33% of the total office production, and I save about 20% a year, I have a conniption fit.
In this case it was a phone call and I had to come up with an answer quickly. By the way, he did not get to hear what I said in the first two paragraphs. Let’s take a look at what you should do right now.
I would take the time and relive the successes and failures of the last 12 months and come up with a measurable reflection of how this is turning out. We have a Growth Analysis Spreadsheet that I used in my own practice and also use when I am trying to help a doctor to improve. I also use it to evaluate a practice that is for sale. If you want one, email me and I can send it to you. Great tool that uses a trailing 12-month period to evaluate your practice and predict your future challenges.
Your goals should be written down and include an action plan along with due dates for completion for the next 12 months.
I would look for any blockages that might prevent your practice from increasing overall production by 15%-20% for the next 12 months: Hygiene being able to get new patients in within 4-10 days during a peak demand time (7AM-9AM, 3PM-5:30PM, and Saturdays), production of $20K per employee per month, $25K per Op per month, and hygiene recall near 80% plus.
I would set a goal to add another service over the next 12 months: Six Month Smiles, TMJ, Implants, Sleep Apnea, etc. Challenge your competency in a wider range of procedures for a wider range of patient’s ages.
I would look at my debt reduction plan. I have never seen a situation where we could not eliminate your entire debt in 7 years.
I would set a goal to increase your savings while planning for predictable future expenses like kids’ school, equipment purchases, etc. Save at least 20% every year.
The takeaway here is that success does not happen by accident. It is consistently predictable when you work your plan. The problem is that the average dentist spends more time planning a vacation than setting goals and plans for his/her business. I guarantee that the next 12 months can be the best ever. What we discussed today could be the start of losing your excuses and finding your success. Don’t miss next week’s article as we begin a new series on a topic I have never written about. The next few articles will take the lid off your limiting beliefs while describing a strategy that will yield a 400%-600% return on your investment dollars and time over the next 5 years. Get on board at the beginning and don’t miss a single article.
Michael Abernathy, DDS
[email protected]
972-523-4660 cell