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Weekly Tidbits (continued) Teaching
a Bad Football Player to Manage The best designed people management program
I ever saw was at Ross Perot's EDS. I
cannot speak of the company since he has sold it. This is not a comparative
discussion, anyway. EDS is still a
mighty technology company, so possibly there is still great people management. My experience with EDS began when I was 19
years old and a Sophomore in college. I
had gone to a small college, East Texas State University, to play football, but
away from a great high school program my talent was less apparent-almost
invisible according to the receivers' coach.
College football was not going to be my ticket to stardom, or even a four
year degree. As the fourth of five
children of a school teacher, I was definitely going to have to find a part-time
job. I stumbled into becoming a
computer operator at night for EDS when there were only 53 employees.
I trained also as a programmer while there during my college years, went
off to serve four years in military service, and returned to EDS in the
Management Training Program. Ultimately, I rose to positions near the highest Executives
where I was managing hundreds of computer
professionals, salespeople, and administrative staff. I knew that company from top to bottom before leaving to be
in business for myself in the 80's. As a Manager at EDS there was a very strict employee review structure. Every six months I met with each of my direct reports to review their goals, progress toward those goals, and my candid assessment. These meetings never included discussion of salary. They were much too important for that. They were to discuss an employees career and future. Once a year I was to review each of my employees salary alone without them in attendance. If I felt that they deserved a raise, I personally called them into my office and congratulated them. This was in the strictest of confidence. If there was no raise, nothing was said. Each employee knew that asking about raises was not acceptable, and could lead to dismissal. A lack of a raise gave an employee two options-try to do better and earn the raise later, or seek options elsewhere. Lack of a raise did not mean that firing was imminent. It just meant that that employee had not improved his/her value to the company since the past raise. Raises might be give in less than one year. I personally received raises almost every six months for several years as I rose in the company. Raises were based upon merit purely and simply. There was a catch, however. My boss during my review with him would flip through a file of all my employees and make me justify why I had not given a raise to anyone who had not received one in the past year. Still, overpaying was not an option because my department's expenses were compared to the income we generated and/or the value of our in-house services to other departments. My job depended on my contribution to the firm's profits. The key- review without salary discussion keeps the meeting more on the subject of work progress because the employee is not idling away the time wondering how much he/she is going to get this year. More about the Perot/EDS style of management next week. I am late for a meeting over on the beach with all our Partners from around the country. It is time to apply some of what I have learned and preach, I think. And, to learn a lot about their experiences in dental offices throughout North America. The D2D letter/service is going pretty well.
I will paste the info about that below again. Super bowl is this weekend here in Tampa, and I live not far from the stadium, so we are spending most of the weekend on the beach. I spoke with one of our Partners who flew in last night from Wichita. I know everyone will want to know that there are celebrities galore here. She met Richard Hatch that guy from the Survivor show. Now, that is definitely big time, huh. Have a great week, L. Hurston Anderson, PhD 813 963-7228 D2D (CLEAN OUT THE CLOSET) (Originally there were instructions,
etc. Now just click here for D2D) PS: Protocol Series (Hygiene, Scheduling, Finance, Team Building, and Marketing) workbooks can be purchased for 179.95 each plus shipping and handling. The Practice Management Cookbook used by dentists on five continents as a daily reference is available for 199.95 plus s/h. The electronic version of the Policy & Procedures Manual can be acquired in MS Word or Text format for 79.95 plus s/h, and we are providing an electronic version of our Job Description samples for 59.95 plus s/h. (Shipping and handling is 12.50 per item reducing significantly for multiple item shipments.) Fax CC#, exp. date, and address to 813 963-5974. FREE Dental Practice Production Potential Analysis Form (Originally there was
a form to complete here. Now just click
here for the form.) One of the things that has become obvious to
me as I benefit from so much contact with so many dentists in different
circumstances and different geographies is that there are some really
intelligent and creative dentists in this world.
I believe that the total number of dentist in the world is somewhere
around 250,000 to 300,000. If
someone has a better total, I am curious. These
weekly messages I call “Weekly Tidbits” reach about 8,500 of the total
weekly by email, with most going to
the US and Canada; plus, they are carried fairly regularly on several Internet
magazines and chat rooms, as well as being carried pretty often as well in
printed magazines. So that is a
pretty good cross section of the industry we reach. Every day dentists are dealing with the
realities of providing cost effective and high quality dental care to patients,
as well as the realities of managing a staff and running a business.
Many apply the same creativity that they need for patient treatment to
solving the day to day difficulties of their practices.
Dentists invent tools, create procedures, discover shortcuts, test
products and services, analyze problems, and try as best they can to improve
their profession’s ability to treat the dental needs of the world’s
population while also running a business. Because dentistry is such an isolated
profession there are only magazines, newsletters, trade shows, study clubs, and
personal friendships to provide a way of communicating any new idea, service, or
product to other dentists. It has
always been my ambition to provide a way to facilitate that on our website, and
that is coming in the very near future. My
problem was that I contracted with family friends who thought they understood
creating commercial websites to build ours. I invested all I could afford with
them, and at this time I have zilch. Our
website WiseDentist.com, .net, and .org is “under construction” and has been
for much too long. I have recently
changed to another developer, and I hope to make an announcement rather soon.
I am sure there is a lesson here that I can share, but I need a little
time to put in perspective. Right
now I just feel frustrated and angry. In addition to the D2D service I mentioned above, there is at least one other glaring need and opportunity that putting dentists together can solve, and this one I am announcing today. Every dental office in the world has equipment and supplies which would be of value to some other dental office somewhere but which they no longer need, or prefer. Maybe this stuff is in a spare treatment room, or attic, or basement, or closet, or even commercial storage unit. Here is my offer. Get a list of what you have that you are willing to sell and email it to me. Also, if you are looking for something that you would prefer to get at less than retail let me know. I will produce a list of these items available and wanted and send it to all by email. Look below my signature for a format and rules to follow. This will also be in the D2D section of WiseDentist.com when it is available, but I can probably handle the load by email for a few weeks. CLEAN OUT THE STORAGE ROOM AND THE BASEMENT. YOU NEED THE SPACE, AND YOU ARE NEVER GOING TO NEED THAT STUFF. I am going to mention this weekly for
awhile, so please forgive me for being repetitive.
I know how busy everyone gets, but I have seen these basements, etc. in
practices throughout North America. There
are thousands of dollars worth of wasted equipment and supplies that some other
dentist is going to pay retail to purchase.
This is not smart, and I think we might be able to help. My goal is to see every dental office free of all those items
not needed. Maybe some dentists
will even be compelled to donate items to deserving causes. At least, we can make it a little easier for those who need
to open another treatment room or even a practice. I write often about wasted potential in dentistry.
It won’t take long to have someone go through and make a list of each
item. Then you just decide what you
are willing to accept for it, or take bids, or give away to charity.
Also, if you are looking for something and would like to see if you can
get it at a bargain, let me know. Whew. I finally feel like I have made some progress in a direction that I think is of great need, and when the website is finally done, we can even post pictures. I promised dentists who are clients and who attend my seminars this more than a year ago, and it has been nagging at me. I actually had some really pithy comments to
make this week, but that will have to wait.
Beware in calling or emailing me this next week because I am loaded with
unexpressed pith, and I don’t have a lisp. Have a great week, Hurston Anderson 813 963-7228 D2D (CLEAN OUT THE CLOSET) (Originally there were
instructions here. Now, just click here for D2D.) In that critical moment when a person
accepts that they are going to die they must have a lot of varied emotions.
There are books by and about people who have had “near death
experiences”, but I somehow suspect that there is something more dramatic when
it is really true. Let’s face it.
We can never know for sure short of life after death.
My guess is that as a dying person has his/her regrets not a single one
ever thinks to himself/herself, “If I had just spent an extra hour at the
office or watching television every day, I could be more contented now.”
In contrast, there must be a very high percentage who think, “The
really important things in my life revolved around those whom I loved, helped,
admired, and shared with. If I could do it all over again, I would spend more time with
them.” No question, we need to invest enough time
in our professions to provide as financially comfortable a life as possible for
our families. This is going to be
more than 40 hours a week for most professionals.
My guess is that in the building phase of a business it may mean 50 to 60
hours a week in some cases. I
completely agree that hard work is essential for success in almost any endeavor.
From a purely financial perspective statistics are clear in correlating
hard work with success. The ironic
thing about all this demagoguery concerning taxes to soak the higher income
producers (like dentists, for instance) is that there is a cause and effect
graph than can be drawn based upon hours worked in excess of 40 per week.
Generally, the greater number of hours per week the higher the average
income. Even in areas like
athletics and entertainment where incomes seem especially excessive, statistics
show that there is an enormous amount of training and preparation required prior
to the success. So, I support hard
work. My exposure to Dr. L. D. Pankey’s balance
of life cross was indirect. Dr.
Peter Dawson in St. Pete, FL was an avid adherent, and when I ran his computer
and consulting firm some dozen plus years ago, I heard him discuss the
principles in his seminars frequently. Of
course, these are some of the same beliefs that many motivational speakers
espouse, but these two dentists bring it into a dental office environment. Somewhere in the melting pot of my mind I
have combined the messages of these and other writers and speakers, and I have
ended up with a visualization of a four-spoked bicycle wheel. I don’t know if there ever has been a four-spoked bicycle
wheel, but I can picture it in my mind fairly easily.
It works best for me if I imagine it in a late 19th
century timeframe. When those four spokes are properly balanced that bicycle can
coast down a hill and provide support for climbing up a hill quiet effectively
and even pleasurably. However, if
you shorten one and lengthen another ever so slightly even, you can rattle your
teeth and brains. Every muscle in
your body would be needed just to steer and stay on the seat.
There would be no joy in that ride.
It seems to me that too many people including dentists go through life in
a similar mode, and they are wasting all their energy in the process just
hanging on for dear life. That is too bad because it is not necessary. The four major spokes of this bicycle
wheel as I describe them are family, worship, work, and play/physical activity.
I will readily admit that balancing these areas of our lives may not help
us to be as wealthy as Bill Gates, or as famous as Elvis, or as good a tennis
player as Pete Sampras, or as muscular as Arnold Schwartzennegger, or as good a
fiddler as Itzak Perlman. But,
isn’t it the truth that all of us just want to be happy in life, and we set
artificial goals like financial targets, fame, success in sports, ideal lovers,
Jaguar convertibles, or million dollar practices because we think that will
trickle down to us as happiness? Those
who are truly happiest in life seem to have naturally, or maybe deliberately,
found a proper balance among all the important things in life.
The realize that happiness is not a destination but a journey. To be really happy look at the
“spokes” of your life’s bicycle wheels.
Maybe there is not enough time spent with family, or you have ignored the
spiritual side of your life, or you work too little or too much, or you stopped
taking time for yourself. One thing
in particular that is not necessary is obsessing about issues at the office.
If that sort of worry is keeping you from balancing the other areas of
life, you are definitely needlessly wasting time and energy.
Having been involved with hundreds of dental practices we have seen any
stressful situation you can imagine, and ALL are solvable. Write down as detailed a recreation of a
typical week as possible and look at how you spent those 168 hours available.
Even if you give yourself 8 hours per night for sleep and 60 hours per
week for work (an extreme), there are still 52 more hours available. That means
more than 3 hours each day for family, play, and worship…plus all weekend.
Studies have shown that the average American father spends less than 10
minutes per week in meaningful conversation with his children.
How hard would it be to increase that by 10 times, and yet the
relationship we can build can save us unimaginable pain and anguish later.
I realize I am repetitive in suggesting action to put a practice in the
desired shape. I also suggest that
if you are not happy with your life, you should take action, and I don’t think
anyone is truly capable of long term happiness without properly balancing the
important things in their lives. This winter in Tampa Bay has been
unusually cool, but today all has returned to normal.
It is about 75F with fluffy white clouds in a blue sky. Sweat pants and shirts on the beach have given way to
swimsuits and shorts. It is no
longer Flori-duh but Florid-aaah. Have a great week, 813 963-7228 PS: Protocol Series (Hygiene, Scheduling, Finance, Team Building, and Marketing) workbooks can be purchased for 179.95 each plus shipping and handling. The Practice Management Cookbook used by dentists on five continents as a daily reference is available for 199.95 plus s/h. The electronic version of the Policy & Procedures Manual can be acquired in MS Word or Text format for 79.95 plus s/h, and we are providing an electronic version of our Job Description samples for 59.95 plus s/h. (Shipping and handling is 12.50 per item reducing significantly for multiple item shipments.) Fax CC#, exp. date, and address to 813 963-5974.
01-01-01 Begins 31,536,000 Seconds Of Valuable Time This Year.
Just before that first click of the clock on 01-01-01 there were 365 full days left for all kinds of possibilities. That is 8,760 hours, 525,600 minutes, and , yes, 31,536,000 seconds. It is my habit to sleep about 6.5 hours a night, so I'll get 2,307.5 hours of sleep. That should be enough to keep me pretty rested, and it gives me 17 ½ hours a day to work, to play, to worship, to read, to exercise, to travel, etc. And, for those who sleep 8 hours nightly, that still leaves 16 hours a day. That is a total of 5,840 hours for work, family, entertainment, etc. The question is how we will use this vast potential. There is no
better example of the value of each and every minute of time than in a dental
office. I can look at production per hour versus cost per hour and get a
good feel for how well a dental practice is doing almost instantly. While
there is no doubt that patients pay dentists for their knowledge and skill, it
is also true that there is limited time in which to provide these services for
patients. I feel strongly that about 28 hours a week for patient care is
optimum for dental offices with an additional four hours for planning and
coordinating activities amongst the team members. This is based on
dentists with an average energy level, I admit. There are The $100,000 per month practice will have three to four producers including dentists and hygienists. Unless very heavily oriented to cosmetic and restorative it will require 30-40 new fee for service patients per month and no fewer than 2,500 patients of record. Of the general practices with which we work about 75% in this production range utilize two dentists and about 25% are single dentist practices. In order to earn $831 per hour in a general dental office, hygiene should provide $250 -$300 per hour. Obviously, everyone in these practices is operating quite efficiently, if the practice is also maintaining expenses in the 50% to 60% range. Surprisingly enough, highly efficient and effective dental practices are not oppressive and miserable places to work with everyone keeping their noses to the grind stone and rushing around all the time. To the contrary, these practices are almost inevitably great, exciting, and fun places to work. Everyone knows their responsibilities, conflict within the team is minimal, patient care is a primary concern to everyone, there is a low level of stress and anxiety, and the entire practice takes great pride in their joint success. I will admit that I have seen some practices with high production which are unpleasant, at best, for doctor, staff, and patients, but these do not prosper for long periods and/or overhead expenses are much higher than acceptable. Just like any other business, in order to succeed a dental office must have an adequate number of customers and must be able to profitably deliver its product or service. When I look at a practice I look quickly at the number of patients and new patient flow. That will dictate to a great extent the potential of the practice. The greatest dentist in the world cannot do his/her magic on an empty chair. Don't be discouraged, though. There are extremely effective ways to promote a dental practice in a professional manner thereby increasing new patient flow. These are not the same for every practice personality and every demographic, but there is something that will work in every case. In general business this is the marketing function. Once prospective patients respond positively to the marketing, there is a need to apply some sales skill. Initially, this is done by telephone, and the value of this function should not be underestimated. It would curl the toes of most dentists to discover how many prospective patients are lost in that initial contact. Just as the Disney Corporation in its theme parks invests more training in their employees who are in the park all day long sweeping, directing guests, etc., a dentist most never "settle" when hiring for the front desk positions. The clinical staff has some ability to impress patients who appoint, but none whatsoever if they do not. Yet even the best marketing and new patient appointing will have limited value, if the internal operations in the dental office are ineffective and inefficient…in all dental offices, not just general offices. You can't produce $831 per hour unless that amount is first scheduled, and patients won't continue to patronize a dental office where there is not a warm caring focus both administratively and clinically. Most dental patients do not wake up the morning of an appointment excited at the opportunity to go to the dentist that day. Most are reticent and a bit apprehensive. If the staff and/or doctor are grumbling, scowling, unprofessional, and unfriendly, the experience for the patient will not be positive. Even if they complete the treatment, they will not provide a good reference to friends and family, and they may not come back. This year is a
new year. All our dreams for our businesses and practices can come true.
Your dental office could grow by 25% or more, there could be a camaraderie
within the office that has never existed before, the hours in the office could
fly by rather than drag, and the entire team could be rewarded financially
better than any would imagine. The catch is that we must take action to
make that happen. If we need improved results in 2001 compared to 2000, we
cannot do things the way we did in 2000. I am amazed how often dentists
complain about their practices as if by magic everything will get better just
from complaining. Any dental practice can improve, and with this slight
downturn in the US economy, American dentists may have to improve just to match
last year's results. It is the coldest
winter here in Tampa that I have personally experienced. It has dipped
below 32F several times already this year, and that is abnormal. This is
also a time when many tourists from further north come to the sunny Florida
beaches. Lest the Chamber of Commerce sue me, I will report that the
warmer weather is predicted to return in a few days, but I would check the
Weather Channel website if it were me. A hotel room on Clearwater Beach is
not a lot more pleasant than a family room in Fargo, except for the view of the
white beaches, and for the past few days many of the "snow birds" have
decided that the most comfortable way to experience My stepson from Minneapolis assures me this is the Vikings year to win it all. But who knows, maybe a new contender like New Orleans will seize its opportunity. In college the Oklahoma Sooners certainly proved that early season predictions are meaningless. As one who watched a lot of college football over the past week, I feel strongly that the Sooners definitely deserved their #1 ranking. They were completely overpowering. Have a great week, Hurston Anderson PS: I am
still completing the Practice Production Potential Evaluations that were emailed
and faxed in December. Two things have held me up a little. First, I
like to spend an hour or two with each on my suggestions and recommendations,
and there were quite a few. Also, I just didn't work as many hours in
December as usual. I do expect to complete them all next week, however,
and if you would like to be included and have lost or didn't see the blank form,
just email me. No charge, and no obligation as before. I got the following email from a dentist in
OK with whom I have exchanged correspondence off and on for several years.
It got me thinking about a trend I have noticed in our business, too. “Hurston, Believing in your program (product/service). Having a good sound system. Training the team members in their role in the system (job description?). Having a play book. Practice. Coaching. Mutual support among team members, a sense of community or family; love, if you will. And delivering/performing on game day. Hmmmmmmmmmmm? Could this have
any relevance to dentistry? Nah, that only works in
Sports, right? Grant” Now, maybe the Sooners will lose this
weekend (just kidding doctor) and not play for a National Championship this
year, or maybe they’ll lose to Florida State (sorry Hurricane fans you have a
point). That really isn’t all
that relevant to the discussion, however. The
phenomenal improvement is still there, and Grant’s point is still valid. In a related manner, we’ve noticed a large
number of our new clients this year who already had very good practices.
For instance, most financially sound dental practices will produce at
about 60% to 80% of their potential with overhead in the 50% to 60% of
production range. We have an
unbroken eight-year record of helping all our clients increase more than
$10,000 per month in our first year together while reducing overhead
dramatically. Admittedly, sometimes, it does take a bit longer than a year
to work the overhead into acceptable ranges, but, the increased production will
solve most immediate problems and create a great foundation for continued
success. In fact, it isn’t all
that difficult for us to help an office doing $30,000 per month which is capable
of doing $50,000 increase by $10,000 per month.
That means simply increasing from 60% of potential to 80% of
potential…good, but still in average range. When you get practices which are already
producing more than 60% of potential with overhead at less than 60% of
production, the job is a bit more difficult.
We seem to have been fortunate to begin working with quite a few of these
“successful” practices this past year.
(Still, all new clients in 2000 who have been with us more than two
months have increased production an average of $14,674 per month. That’s nine
years, now.) Often, the reasons that these practices also see a great
improvement are similar, and it relates to some extent to the email from Grant. No matter how great a clinician, manager,
motivator, or businessperson the dentist may be, every practice ultimately
reaches plateaus. As the practice
settles into that level, the entire team usually develops a mindset (paradigm)
which in effect says,” We are a $50,000 (or other level) practice.
That is what we are capable of doing.” The collective subconscious then
makes this happen. Every little motion, though, and action are subconsciously
customized to realize that paradigm. In
some situations that may be at 55% of potential. In others it may be at 75% of potential.
Regardless, that is the expectation.
It has absolutely nothing to do with the actual potential of the
practice. Potential is an absolute
which can be determined mathematically based upon appropriate statistics and a
pretty good modeling system. Changing the paradigm is somewhat like
bringing in a new coach for a good football team.
New perspectives and new approaches have to be introduced, or maybe just
a reinvigoration must be experienced. In
a dental practice new thinking can come from many things such as a new Office
Manager or other personnel change, particularly well-presented seminar,
a visit to another dental office where things and attitudes are
different, introduction of a new compensation plan, a particular employee
leaving, or even an actual outside coach/consultant.
So, an exemplary practice that is already producing 70% of a $105,000 per
month potential while maintaining a 50% overhead is really rewarding to the
dentist. No question, this is a
well run organization. However, there is still that other 30% to attain. What we have discovered is something that
should be intuitive. A well-run
practice will have almost all the necessary elements to be even better with just
a slight impetus. Maybe that is
tweaking the scheduling, or it may be clarifying job responsibilities, or
fine-tuning the internal protocols. Often,
this can happen even more rapidly than with the practice that is performing less
effectively. While the satisfaction
of assisting in major renovations is great for us, the effort may be must great,
too. A word of caution, though.
Simply changing the paradigms is not enough.
There must also be changes in daily habits.
That is why there are so many offices that see major fluctuations from
month to month, and why sometimes coming back from great seminars, or boot
camps, or similar experience produces only temporary increased performance.
As we settle in to paradigms we create daily habits to fit the paradigms.
Changing the paradigm without changing the habits will result in only
temporary improvement due primarily to additional temporary adrenalin.
Unless the habits are also changed along with all the internal protocols
the team will become tired. First,
change the paradigms, and then slowly change the daily habits to match the new
expectations. I am pasting at the very bottom a form we
use to assess the potential of a dental practice.
It is amazingly accurate, and can give the dentist and his/her staff
invaluable information. Simply fill
in the blanks, and we will run it through our model and tell you your potential
as well as where you fall compared to your potential.
We will also offer some free advise as to where to look and begin.
There will be no charge, but it may take a few days, if the response if
particularly high. After almost five years producing the Weekly
Tidbits, I do have my standards about what to discuss.
Although I am in Florida completely surrounded by this historic series of
events, it would be too easy to write about it. Surely, there is nothing left to say. That does not mean that many of us will stop watching all the
punditry on TV. Somehow, it is
mesmerizing like watching a train wreck. You
really don’t want to watch, but a higher power seems to force you to watch,
and the next thing you look at the clock and three hours have disappeared.
My wife and I just returned from a few days in MN where a grandchild was
baptized. Now, that is a worthwhile
way to spend your time, I think. Have a great weekend, Hurston Anderson 813 963-7228 PS: Protocol
Series (Hygiene, Scheduling, Finance, Team Building, and Marketing) workbooks
can be purchased for 179.95 each plus shipping and handling. The Practice Management Cookbook used by dentists on five
continents as a daily reference is available for 199.95 plus s/h.
The electronic version of the Policy & Procedures Manual can be
acquired in MS Word or Text format for 79.95 plus s/h, and we are providing an
electronic version of our Job Description samples for 59.95 plus s/h.
(Shipping and handling is 12.50 per item reducing significantly for
multiple item shipments.) Fax CC#,
exp. date, and address to 813 963-5974. >>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>> 2.__________ Years under present management (How long have you been there?) 3.__________
Type of dental practice (eg. general, periodontics, etc.) |
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