Building value in your DSO is all about predictable performance. No matter how many dental practices are in your organization, you need to show they are producing predictable results. Kathy Lynn-Cullotta, co-founder of i3 Ignite, recommends building and managing your organization in three key ways to deliver this consistent performance.
Focus on Data
You're going to need to have data that shows you how different locations are performing in different areas. Knowing what to focus on in each practice will more each one forward and reduce variance between locations. Kathy Lynn-Cullotta recommends continuously coaching your teams in each practice to improve metrics. It's that old saying, "Measure what you want to manage."
Hire an Experienced Management Team
"Part of the challenge for a lot of organizations is to think through how to staff the local level and how to staff at the DSO level,” says Lynn-Cullotta. “At the DSO level, we feel strongly that you need to have folks who have a lot of experience and some ability to create processes and other things that don't exist yet for the organization.”
This means hiring a management team that brings broad and deep experience in the DSO environment.
Diagnose and Improve
"The third thing is continuing to think through how you can make this business model better. And at the same time, implement very specific changes that will move the needle tomorrow or early next week," recommends Lynn-Cullotta.
It's working at both the strategic and technical levels to make a difference. Again, metrics are key. It starts with the coaching that is data driven and continues, involving a management team that has breadth and depth of experience.
“When I say strategically and tactically,” says Lynn-Cullotta, “it's because you're still trying to continue to evolve your business model.”
It’s not just about adding locations. Maybe you are adding services and monitoring those to see if they prove positive for building more value in your DSO. At same time, you will be monitoring, implementing changes, and coaching for specific behaviors and processes in each location to create predictable results across locations.
As you implement changes and measure the results, you are proving if they are adding value and determining the direction you want to go. Having the right systems, the right people and the right data will help you scale up your DSO effectively.