Dos and don'ts for practice management: Keeping score

Know your practice's vital statistics

In a difficult economy, efficient management systems make the difference between decline and success. Measuring operational efficiency not only tells you how the practice is doing but also what you need to do better.

Track your key practice expanders. Performance metrics called key practice expanders (KPEs) can give you a clear picture of the health of your practice. Establish a system for the routine monitoring of these vital statistics:

• Overhead
• New patients
• Accounts receivable
• Case acceptance
• Doctor production/hygiene production
• Average production per patient
• Average production per new patient

Don't overlook KPE trends. Tracking your KPEs over time, you will definitely see trends developing -- some good, some not. Pay special attention to KPEs that are moving in the wrong direction. These signal a need for new systems, better scripting, or some other remedy.