Did you know there is a Business Dictionary online? I found it when I decided to look “metrics” up. Not being particularly business oriented (but a rather mathematically challenged English major), it’s one of those words that I sorta understand but tend to hear thrown about in all sorts of contexts and conversations. If you don’t know exactly what it means, or find you need to succinctly explain it to someone, it is “standards of measurement by which efficiency, performance, progress, or quality of a plan, process, or product can be assessed.” Metrics is a way to quantifiably track the status of a process in the world of business. It gives you very important, accurate, and actionable information if you avail yourself of the right technology. Speaking of which, Henry Schein Dentrix provides, if you are using their practice management software and eServices. Combined, it’s a behind-the-scenes data-producing machine.
What you can do with this information is analyze your top five Key Performance Indicators (KPIs), also defined by the Business Dictionary as: key business statistics, including number of new patients (in our case), cash collection efficiency, and return on investment (ROI). This data will show the progress (or lack thereof) toward achieving the dental practice’s objectives and strategic plans by monitoring dental practice activities, especially those that could potentially lead to losses if they are not properly performed.
The top five KPIs dental practice owners should pay attention to are (1) active patients; (2) active patients in continuing care; (3) production; (4) accounts receivable management; and (5) schedule optimization, according to Tammy Barker, a Henry Schein Practice Solutions Senior Product Manager with 20 years’ experience in dental practice management. In an article she wrote for a supplement to Dental Product Shopper, sponsored by Henry Schein Practice Solutions, she describes how important these five KPIs are and how to stay on top of them, streamline the workflow, evaluate progress, and keep motivated. To download a copy of the publication, click here.
Most dental practices underutilize their software. Whether you are thinking about trying Dentrix products, or just haven’t figured out how optimize the system you have already invested in, devote some time to getting some coaching from a Dentrix business advisor. It has the potential to improve the metrics of your KPIs. Click here for more information.