Platinum Workshop 1 Review Net Worth Analysis We talked a lot about the importance of your Net Worth Analysis. This is the tool you should use to gauge your success in this program. You need to start concentrating more on the practice and money-‐making activities and delegate tasks like taking out the trash or getting lunch to others. Every time you are faced with an important decision, run it through your Net Worth filter, and ask yourself: Will this increase my net worth, decrease it, or make no impact on it. You should make more and more decisions that will affect your Net Worth in a positive way. Make sure you put all of your data in your Net Worth Spreadsheet and get an accurate read on where you are today. You should look at this every month or at least every quarter and bring it with you to every Platinum Workshop. The Two Economy System We discussed the importance of the Two Economy System. The Two Economy System must be in place in your practice. We discussed the lifestyle changes that are required to truly live out the Two Economy System and to have a strong ‘Bubble’ surrounding each of your staff, yourself, and your practice. This means that you might have to remove some of the people in your life from your bubble, or stop watching the news, or listening to talk radio—ignoring the things you don’t have any control over. This can have a huge impact on your practice and your relationships with your patients!
5 Places Money Goes
LIVING
SAVINGS
While in the day to day, it may seem like there are numerous places where your money goes; in all actuality, there are five places money goes. First is living expenses. When estimating living expenses, be sure that you have added TAX DEBT in all of those things that help you create “experiences” for your family including vacations, hobbies, guilt-‐free money, etc. Always over-‐estimate this category to ensure you have margin. Next is your savings: make sure that you know your target accumulation amount and how many years you have until that GIVING point. If you have large debts -‐ the third place money goes -‐ you should be accelerating those first, which will impact your net worth but not your savings. Once you have paid down your debts you will be able to put all of that income towards your savings to reach those goals. Taxes are the fourth area. Just know, you must pay taxes and it may even benefit you to increase your net income in a way that you actually work to increase what you have to pay in taxes. Lastly, but most importantly, is giving. Remember, what you give always comes back to you. So give to those in need, those that ask, and those that you want to help. Your goal in this program is to raise your impact on your team, family, community and those around you that are in need. Make sure your Financial Plan Dashboard is sound and that you know what you need to do to reach your goals. Practice Math
NEW PATIENT PROJECTION FORMULA: MONTHLY
If you have been involved in the NEW PATIENTS NEW COLLECTIONS AVG REVENUE NEW PATIENTS GOAL PER NEW PATIENT NEEDED NEEDED ÷ = Scheduling Institute in any ÷ = !"#$%&#&%' !$#.// ,-. %& capacity, you know how important Practice Math is to your office. We ÷ = have reviewed what these formulas mean, as well as how to calculate them. You should have NEW MONTHLY MARKETING PROJECTION FORMULA: enough knowledge of these statistics to be able to diagnose PROJECTED NEW ACQUISITION ANNUAL MONTHLY problems in your office and see PATIENTS COST MARKETING MARKETING X = what you need to pay attention to. X = ()*+,-. !-%*". !,,#/-' !%%/& For example, acquisition cost is X = what you spend in marketing divided by New Patients. If you have a low acquisition cost, it means you are not doing enough marketing; a high acquisition cost means you don’t have enough Patient Referrals. Keep sending in your Stat Tracker each month so that we can watch these numbers along with you.
Kolbe This is one of the key tools to help you ensure you and your team are running as efficiently as possible. You now know your Kolbe MO and should make sure you understand what types of strategies you should put in place around you to get things done. The same can be done for your staff. Having the understanding of your team’s Kolbe MOs can help you not only in increasing your teams efficiency, but also in delegating and hiring. Never again should you hire someone unless you do a Kolbe Right Fit on that position to be sure their natural talents match up with what your expectations of that position are. Single Focus Platinum is all about helping you work less and make more. In the beginning, you may need to work more to get the growth NEW that you need -‐ then we will work on achieving the capacity to balance that growth. In order to achieve that growth, the first year is all about getting the New Patient number up to your goal. Focus on making the most out of your marketing, leveraging your team and keeping your head in the New Patient game. Typically in order to maintain the number of Patients you are aiming for you will need to make some investments in one of the Big Three: Human Capital, Marketing & Space and Equipment. Just keep that in mind as you go through this process so that you do not wait too long to make those key investments.
PATIENTS
DEBT 1
DEBT 2
BUSINESS CHECKING PAY EVERYTHING OUT OF THIS ACCOUNT
MAJOR PURCHASES (BUSINESS)
TAX
PERSONAL
DEBT 3
Account Structure Setting up your account structure is a VERY important step in achieving the results you want. Make sure that you can easily go online and make transfers to your debt accounts, savings accounts, and personal accounts straight from your business checking account. Set up the appropriate savings accounts so that you can make daily transfers out of the main business checking account. Remember, everything that goes in will magically come out unless you purposefully take it out of the account. Remember, these are essentially ‘holding’ accounts so you do not need check privileges on them. Go to the bank, get it all set up, and get SAVINGS ready to make online transfers.
Check Exercise The Check Exercise is one of the quickest ways to get a new high in New Patients. First thing's first, you need to set a New Patient Goal for the month. If you are currently averaging 30 New Patients, and thus far your high is 38, maybe you set the goal at 45 or 50 New Patients. It needs to be a stretch but also seem attainable. If your average is 150 but your high is 165, you may be able to do 175 or 180 as your goal. Once you set this goal, figure out what you would pay to have that goal met. Typically your average revenue per New Patient will vary from $900 to $5000 depending on the type of Practice you have. So based on that figure, how much would you pay each of your team members to reach your goal? So if you have 8 staff members and your goal is 15 above your current average, would you pay $100 each ($800 total) for an extra 15 New Patients? Would you pay $200 ($1600 total) for those 15 New Patients? This is what you need to decide. Once the decision is made, have a check written to each person on your team. It should be signed and dated for the first day in the month of the contest. On the first workday of the month, you should hand out these checks to your team. Then let them know the goal. If they reach that goal, they can cash them and use them for whatever they want as soon as the goal is met. If they do not reach the goal, they should put them right in your mailbox. Tell them you will help them in anyway they need, they just have to let you know. Assign a point person to be the one that lets everyone know when the goal is met. Then leave the room and tell them to take the next few minutes to plan how they are going to reach the goal. DIGIT System Jay’s DIGIT System is one of the best strategies to rapidly reduce your debt (or increase your savings). It makes reducing your debts into a game of sorts, and helps you look at the numbers in a way that is not so intimidating, rather it makes it fun. So everyday, when you go to your command center to make your daily transfers, look at your debts and see what you can pay on those accounts. Make sure you look at the number from the right to the left instead of the left to right. If you look at the left first, you are looking at the largest number and it can be a little bit discouraging. But if you keep making transfers (in addition to the normal monthly automatic transfers) and making the numbers on the right hand side look better, you will pay off your debts (or accumulate savings) significantly faster!
End of the Day Report In order to make your daily transfers, you need to know what amount you collected/deposited each and every day. Go back to your office if you haven’t already and delegate the responsibility of the End of the Day report to someone on your team. This not only helps you with your daily transfers, but increases awareness of everyone in your practice so that everyone focuses on making each day a productive day. You should keep this report simple and track only what you really need to know daily. Make sure it includes Total New Patients for the month, New Patients that day, Production that day & Collections for that day. If you have a couple of other things that should be tracked daily, you can add them to it but keep it simple. Initial Marketing Strategies Make sure you are looking at your referral source breakdown to see where your patients are currently coming from. You need to take from this which sources are bringing in the most New Patients and also where you may need to venture next. If you have a really good ratio of New Patients to the cost of a marketing piece, then you have a winning source and should invest more in that source. If you don’t have many sources, you should invest in the safest bets first like signage, patient newsletter, direct mail, and referral programs. Make sure you have a good grasp on what you need to do next and implement them as cash flow allows. Remember, if you are a Fact Finder your nature is to be hesitant to get things started. So just do one thing at a time but make sure you outsource/delegate as much as possible so you are not getting in the way of it every step of the way. If you are a Quick Start remember that it takes about 60-‐90 days for the cash to catch up, so don’t implement everything in the same month. If you need a neighborhood mailer or patient newsletter – call Stoneybrook at 866.963.5652 and let them just do it for you.
Next Action Steps From the concepts and tools discussed, determine the top 5 actions you need to take IMMEDIATELY. By prioritizing these activities, you will have a clear action plan. Below is a sample filled out, but make sure you have this filled out in your Binder.
NUMBER 1 GOAL 75/month
NUMBER OF NEW PATIENTS DEADLINE
1
/
31
/ 2012
MY NEXT ACTION STEPS 1.
Make sure team is Certified!
2.
Setup Accounts & start daily transfers
3.
Delegate End of the Day Report
4.
Fill out my Net Worth spreadsheet
5.
Initial Marketing Activities STARTED
Get going on your next action steps and put your head down and focus on getting to your New Patient number. If you find a capacity blockage along the way, take the time to diagnose it and make the changes so you can get back to reaching your goals. If you have any questions along the way, don’t hesitate to email or call us at platinum@schedulinginstitute.com or 770.650.1328. Jenna & Mandy along with our entire Member Services team are here to help you in this growth. In a few months you will look up and realize that really focusing on achieving your goals has led to some big wins.