Are your KPI’s really ‘Key’?
I’m beginning to think that using the TLA (3 letter abbreviation!), KPI is the worst way to start a discussion about the numbers within a Practice! It sounds like management speak and many Practice owners seem to subconsciously (or consciously) recoil from the expression. So lets not look at KPI’s! What about ‘Vital Signs’, ‘Status’ or ‘Outcomes’?
I’ve seen KPI’s for a Practice which runs to over 10 pages …. The result is that no-one looks at any of it. If they do (and I’ve heard this), someone made the observation (and this was the only observation), ‘There’s a lot of red!’ (these particular KPI’s had minus numbers coloured red).
So, producing a Vital Signs report is a waste of time (and lets not forget money), if they don’t achieve the following:
- Aid understanding of what is going on in the business
- Focus attention on what is good and what is not so good
- Lead to development of POSSIBLE mitigating actions
- Selection of actions to take
- TAKING ACTION
Between 3 and 8 KPI’s are all that is required and they must fit on no more than 2 pages (1 would be better). They must always cover the same time period (usually a month) and they must arrive quickly after the end of the month. I say 3 working days (after the end of the month) is plenty of time to produce an update.
What should you report on?
Data that you understand, can be reported on accurately and the info is available relatively quickly. You will have seen these suggested before:
- Practice turnover
- Practice net profit
- Average Daily Yield for each fee earner (how much they grossed/how many days they worked)
- New patients (by clinician)
- New patients (by source)
- Value of treatment plans completed >£750 (by clinician)
Who should you tell?
Everyone who can have an impact on these numbers! There is no point in keeping this a secret. Reception staff love to know how they are doing – if they converted 60 potential new patient calls into 52 new patient appointments (and 48 turned up, because they were sent the fantastic digital New Patient Welcome Pack and called 24 hours before their appointment to confirm), then that needs celebrating!
It’s actually really easy to establish a simple reporting system (that you don’t have to call KPI’s), just give us a call if you want any help to do it.