What is a Dental KPI and Why Should I Care?
B2B. YTD. PTO. SOP.
WTF! The business world is an overwhelming place filled with acronyms, but there’s one every single dentist should know and care deeply about: KPI.
Do you know what these three little letters stand for and mean for your business? Xaña Winans, CEO and founder of Golden Proportions Marketing, the leading dental marketing agency for private practice, group and dental specialist marketing is going to show you in this short, informative video.
She’ll show you that while most acronyms sound like a lot of business-speak, knowing your “KPI’s” is pretty important. You’ll find out how it’s all connected to your specific goals that you might have for your annual production, collections, and take-home pay.
(P.S. If you want to learn even more about what to track and how to track it, download our FREE guide, “Transform Your Dental Practice by Tracking These 8 KPI’s.” You can also subscribe to the Golden Proportions Marketing YouTube channel and get friendly with us on Facebook, Instagram, and Pinterest. Every one of our social media platforms have ways for you to engage and learn about growing your practice presence in your community and online.)
TRANSCRIPTION
The business world is full of acronyms and pithy quotes. B2B. YTD. PTO. SOP. WTF. Oh good lord, when did we stop using full words and actual sentences? But in this shorthand world, there is one acronym every dentist should know and care about: KPI.
Hi, I’m Xaña Winans, CEO and founder of Golden Proportions Marketing, the leading dental marketing company for private practice, group and dental specialist marketing. While most acronyms sound like a lot of business-speak, knowing your “KPI’s” is pretty important.
KPI stands for Key Performance Indicator. Think of a KPI as a way to measure the performance of your dental practice. Peter Drucker was a well known business consultant who created many of the foundations of modern business practice, and he said, “If you can’t measure it, you can’t manage it.” Peter, I agree completely. Dental KPIs are simply a way of measuring a number that tells you if you are hitting your goal.
I’m sure most of you have some pretty specific goals in your mind for annual production, collections and take home pay. They might not be written down, but you just “know” if you’re successful at them. I mean, numbers are clearly a “touchy-feely” kind of thing that you can trust, right? I don’t know about you, but the last thing I want for my money is a bank who just “knows in their heart” how much money I have to spend. I want to know TO THE PENNY.
Dental KPI’s are essentially the same thing. By tracking critical performance numbers each day, week and month, you’ ll know well in advance if you’re going to make that goal that’s in your head. Writing it down makes it real. It also means you’ll see trends far in advance and be able to take strategic, corrective action before it’s too late. So, what should you measure and manage?
We recommend practices track these eight dental KPIs:
- Production per day and per provider
- Collections
- Unscheduled Treatment
- Unscheduled and Overdue Hygiene
- New Patients
- Cancellations
- Accounts Receivable at 30 days+
- Write-offs
I promise, the simple act of writing down your goal and tracking it will make you hyper aware of whether you’re going to crush it or not. What you measure, you improve.
If you want to know what your target goal SHOULD be for each of these dental KPIs, download our free guide “Transform Your Dental Practice By Tracking These 8 KPIs” and learn more. If you have questions, just call us and our dental marketing strategists will be happy to help. Thanks for watching!
