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Drowning in Overhead?

Proven Strategies to Stop Sinking ...
and Start Swimming

Learn how to understand what can cause rising overhead costs in the areas of: payroll, facility, general expenses, etc. Learn how to prepare for the future and prevent a reoccurrence from the past. This valuable report will teach you the techniques needed to drive higher profitability.

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Observations:
298 new patients in
367 patients leaving
Patient flow ratio = 1:1.23
Dentist adjusted prod = 380,000
Hygiene adjusted prod = 76,000
Hygiene is 20% of the practice
Hygiene shows 11% of their production in interceptive periodontal therapy
Dentist shows moderate "scope" of treatment
A rough estimate shows the need for 32 hygiene hours per week

Conclusions:
Assuming a rise in overhead, expansion for the practice at this time and an associate transition would not be recommended. The practice has reached a plateau. Consolidating patient records MAY be an option. Consolidating records (practices) could boost patient flow to the point of expansion.

Recommendations:
Your new patient vs. leaving patient number should be a 2:1 margin to be considered healthy and growing. Particular attention should be given to this area of the practice immediately. Once the 2:1 margin is achieved, hygiene production should rise to near 33% of office production. This would be considered healthy. A hygiene masters program to boost interceptive periodontal therapy within the hygiene department is recommended. This too will drive hygiene production toward a healthy mark.