How Much More Production Do You Need To Justify Equipping Another Room? — Less Than You Think!
As you all know, I am big on “Result Control” as contrasted with Cost Control. As Peter Drucker says, “In business, costs are inevitable. A smart manager focuses on where to put your resources (capital, labor, time, etc.) where you get the best return. That’s ‘Result Control’”.
So what’s the answer?
“10 more Doctor Visits per month – 2-½ per week or 35 Hygiene Visits per month will make adding that room a far better return than anything on the Stock Market!”
Plus the Intangible Benefits of adding another room:
- Can accommodate more patients during peak times
- Flexibility
- Less stress – give you some growth momentum
- Back up
In Summary: It’s a lot easier to cost justify an additional room than you think it is. Take the money out of the Stock Market and put it into your own business and you’ll get a much better rate of return and better days to boot.
Cost Benefit Decisions in General
We can help you run the numbers on almost anything. Just call.
Open Time? Fear Not!
One of the biggest barriers to practice growth is the Doctor’s fear and loathing of “Open Time” in his/her and the hygienists’ schedule. It causes Doctors to go slow in adding rooms, adding hygiene capacity and taking other measures to ensure practice growth.
Every practice is going to have open time. As long as you schedule humans, it’s inevitable! If you wait to get open time down to less than 7% of your work hours, you’ll never expand capacity to grow!