So you say it’s time to establish some goals in your practice. Well, congratulations. That is a big step toward improving practice profits. I have a few suggestions for you to consider as you work through the process.

1. Establish reasonable practice goals. These should stretch the team’s ability but are not so far beyond reach that the staff feels they are unattainable.

2. Establish specific, measurable goals for each employee. Individual performance directly affects practice performance. Individual goals should complement practice goals, such as increasing collection ratio, improving accounts receivables, expanding production, reducing time to prepare treatment rooms, and increasing clinical skills.

3. Establish practice systems that support the goals and fuel their success. Additionally, provide employees the tools and training to succeed. If you expect collections to be at 98%, provide necessary training so they know how to achieve that rate, and assess progress monthly.

4. Provide each employee with a clear job description. Define the job that each employee is responsible for performing. Specify the skills the person in the position should have. Outline the specific duties and responsibilities of the job. This enables individual employees to better understand their role as well as how they fit into the overall success of the team.

If your patients were to give you and your practice an evaluation, what would they say? Most wouldn’t. In fact, most merely leave without ever saying a word. Patients are leaving your practice and you don’t know it. Most of you don’t track it, and even fewer have any idea or make any effort to find out why.

Consider this: recent research reveals that less than 40% of the population goes to the dentist regularly. The majority are trying to get by on one or fewer visits to your office each year. And they will use any number of reasons to avoid you. For example: The practice hours are not convenient. There’s no place to park. The hygienist hurts me. The person on the phone is rude. They don’t accept my insurance. They don’t explain anything. They don’t answer the phone. I can’t leave a message. They charged me for a missed appointment. They are always trying to sell me something. The fees are too high. They can’t keep staff. I don’t like the smell. They don’t listen to me.

What dental teams might consider to be insignificant issues or minor patient problems are costing practices a fortune in lost loyalty. Obviously, it doesn’t take much to motivate patients to take their dental needs and wants elsewhere. Maybe it’s time you did something to change the pattern.

You create your practice culture whether intentionally or not. Do you manage through fear and control, or do you guide through empowerment, trust, and team-wide problem solving? In working with dental offices around the country, we see a variety of practice cultures – some are effective, others are debilitating. For example:

Five Alarm Fire Practice
In this dental practice, the team is in a perpetual panic because it seems the leader is continually creating and/or finding problems – setting fires so s/he can extinguish them. The doctor is extremely controlling and has a powerful need to “solve” these problems her/himself; thus, s/he cannot delegate effectively. Most practice systems are struggling if not crippled. The leader says s/he desires organization and effectiveness, but s/he creates perpetual crisis.

The “Fiefdom” Practice
Here comes the Feudal Lord. This leader is also highly controlling and dominant; however it’s taken up a notch. S/he enjoys competition and pitting employees against each other in a game to win the leader’s favor. Fiefdom leaders despise the idea of delegation, but will often have someone on staff who is their “trusted advisor.”

Creating Community
Community leaders see their role as building quality dental practices rooted firmly in community, both internally and externally. They create an environment and a culture for success by establishing clear, challenging, yet realistic goals and specific expectations for members of their team. They set employees up to succeed by investing in training to maximize employee potential. They don’t just tell employees what to do; they clarify why their responsibilities are important to the overall success of the practice. They encourage open exchange of ideas, and listening is a key part of their management strategy.

Want to change your practice culture? Call me at 877-777-6151 or email sallymck@mckenziemgmt.com

So you’ve had enough of the problems and pitfalls of practice ownership, and you’ve made the decision to work with a practice management consultant. Here are a few things to consider in your selection process.

Has the person you will be working with been “in the trenches”? We see many who claim to be “practice management consultants,” yet they have never worked a day in the dental practice and have zero front office experience. Look for a company with longevity and consultants with legitimate practice management experience.

Does the consultant you are considering come to you, or must you and your team go to them? There is no substitute for what happens on-site, day after day in your practice. Insist on consultants who come to you.

Does the company have a track record of success? You want numbers, data, and references. McKenzie Management, for example, routinely increases practice profitability by 25% in the first 60-90 days alone.

Can this company tailor its recommendations to address the specific needs of your practice? No two practices are exactly alike. You should expect the consulting company to have the experience and breadth of knowledge to address the uniqueness of your practice.

What type of follow-up will this company or consultant provide? Do they spend a day or a few hours with you, hand you a manual to follow, and send you off to implement the recommendations on your own? That’s a formula for failure. McKenzie consultants are on-site for as many days as the dentist would like and work as your partner for a full 12 months.

Finally, remember the old adage “you get what you pay for.” If the services are free and over the phone, they are probably worth what you’ve invested – not much. Give me a call at 877-777-6151 or email sallymck@mckenziemgmt.com and learn more about selecting the consultant who is right for you.

Too often dentists give raises based on two factors: Fear and Emotion. Worse yet, many dentists find they have reached a plateau in practice revenues yet feel pressured to continue giving employees raises and even bonuses in some cases. Meanwhile, employees, unaware of the practice’s financial situation, will continue to expect those raises and bonuses.

Consequently, another year rolls by. Nothing has been changed in the compensation system, the profit margin shrinks ever further, and wages are creeping well beyond the industry benchmark of 22% of gross production (not including taxes/benefits or the doctor’s salary). But, in the interest of democracy and equality for all, doctor doles out another token 2%.

Resentment grows, doctor is stressed, and tension is thick. This ineffective compensation structure is clobbering your profitability and rippling overall practice success. Take action! First, forget democracy, it’s time to establish a meritocracy – raises are earned based on individual ability or achievement. Without exception, this is most effective compensation system because it is contingent upon demonstrated results for the dental practice. What’s more, it enables every team member to understand that individual job success equates to practice success, which equates to increased compensation. Today, nearly 70% of all employers give raises to reward excellence, not to mark another year on the calendar.