15 Apr The Critical Success Numbers In Your Practice
What you measure in your practice, you can improve.
So I want you to keep a really close eye on what is driving your practice.
The other day I had one of our podcast listeners John PM me on Facebook, he’s a chiro who really wants to get a handle on his practice’s rollercoaster results and just finished up listening to Episode 8.
This episode is all about how to get continuous growth in your practice and has a massive focus on KPI tracking.
John inboxed me “Tristan, what KPI’s should I measure in my particular practice?”
So I wanted to dive a little bit deeper into the topic for you guys on the blog because it’s a great question that I get often, I get it all the time in fact, because it can be really hard to know exactly what to measure.
So first, let’s cover some context – What is a KPI?
Well simply, it means key performance indicator.
So, by definition, it shows you how well your practice is performing.
Before I go into which one’s you need to measure personally, let me cover why it’s so important to measure KPIs.
I know it sounds like really boring accountant speak.
But in my opinion, KPIs really are the GPS of where your business is at.
They show you where you are at any given point in time.
For example, if you wanted to become a better runner over 5km, your KPI would be the time it takes you to run that distance, or if you’re trying to lose weight, then you know the scales then show you the KPI is actually losing that weight or gaining weight in fact if you’re trying to gain muscle.
So, it’s essential to have a really strong handle on your KPIs in your practice.
If you don’t have a strong handle over them and what you’re measuring you really do not have a finger on the pulse – you know you’re going to be constantly in a reactive rather than pro-active position, a position of guessology.
You won’t have control and to be honest with you, like you’re really not going to get the growth that you want, you’ve got a job, a stressful one, not a business.
When you’ve got these in place and you can measure them regularly, you can do it constantly.
You know what’s going on, therefore you can make the necessary changes to your business activities with consistency and confidence based on the data that you get because it’s giving you an accurate measure of where you are.
This way you make accurate and clever decisions to keep you moving forward.
It will give you more control because you know where you are at any given point in time and you’ll be positioned to use this information to give great feedback, keep taking action and executing so you keep driving your business forward.
So let’s dive into what you should measure in your business…
I could honestly talk to you guys for days on end about what you should measure, how to do it and why everyone needs a specific set of KPIs.
But overall, here’s what you need – you need to know how well your business is performing and what drives or detracts in fact from your performance so that you use this information to plan your next move.
Data driven decisions.
So things that drive performance include things like:
- Revenue – obviously driving up your revenue and anything that increases revenue
- Dollars per week
- Product sales
- The number of patients seen
- The number of the new patients seen that have come through…you get the idea – anything that increases revenue.
And measure this for your practice as well as for every individual person in your team.
That’s the overall view, then track back other items that drive down growth such as conversion rates on the phone:
- Are people converting on the phone or not?
- What are they missing?
- Where are the leaking buckets?
- What are the conversion rates of your practitioners?
- What is the average sale value that your practitioners are making and so on?
Now these are all going to drive revenue or detract from revenue.
So the name of the game is to get these numbers up obviously.
And you need to track everything that drives down your revenue…Things like:
- Missed opportunity and so on.
When your team are actually selling things for less than they’re worth.
We could literally talk about this for days on end, but what you really need to know is that you need a dashboard to track how well you’re going, and how well everyone on your team is going so you can give feedback and then performance enhance.
It honestly does not need to be as difficult as most people make it.
It’s really quite simple. It’s basic. It’s logical.
All you need is a system in place so that you’re tracking these things, you know your front of staff are tracking it for you and measure it for you daily.
You also need to ensure they meet with you weekly to tell you how well you’re going, and not just that, but to tell you if you’re on track or not – what needs to happen next to drive that growth, and if you’re off track, well what you need to do to get back on track.
So measuring this is one thing, knowing how to interpret it and take action as a result, that’s another thing entirely, and that is what you need.
So, I hope this was really helpful, and if you’re like John who wants to get massive growth in your private practice and continue to do that consistently without hitting roadblocks or going through roller coaster results then I’d love it if you tuned in to Episode 8 of The Practice Acceleration Podcast.
We’ve even got an example KPI Dashboard over in the show notes you can feel free to swipe from us.
Would love to know how you go implementing this in your business!
Happy tracking 😊