CYNTHIA GOERIG
CHIEF EXECUTIVE OFFICER
Two years ago, no one predicted exactly how much the worldwide supply chain would be disrupted by the pandemic. Even today, there’s a global shortage of computer chips needed to manufacture cars, a national shortage of baby formula, and many other examples.
Likewise, no one predicted how significantly the labor market would be disrupted, and how hard it would be today to hire practically anyone. A Bureau of Labor Statistics report earlier this month noted that there are 11.5 million job openings in the USA, which is the highest on record in over 20 years since they first started tracking.
As a business owner, predicting future possibilities and influences on your practice is important. You need to pay attention to the signs and signals that are coming your way, and interpret how you may be affected, and make plans to be prepared. Contemplating and preparing for things that, on a balance of probabilities, are becoming more likely to happen, lets you be proactive rather than reactive.
Underlying Assumptions
Even when things are going well, everything in your practice is based on certain factors continuing along the same path. What underlying assumptions in your current success dynamics are most vulnerable to change? For example:
- What if you lost an assistant (or worse, your lead assistant)?
- What if you lost an administrator or office manager?
- What if you lost your associate?
- What if you lost one or more of your top referrers?
- What if your family had a sudden and major financial need?
- What if the market crashed and your investments lost significant value?
We have a tendency when things are going well to take our eye off the ball. We behave more like grasshoppers than ants, assuming that summer will go on forever and winter will never come. A lot of endodontic practices have been in the grasshopper mode for the last 9 to 12 months. The pandemic shut down patient flow in GP offices early in the pandemic, and last year when restrictions started to lift, there was pent-up demand for dental care. Referrals in Endo Mastery-coached practices surged above average.
At some point, soon probably, the surge will diminish and we don’t know yet what level it will fall to. Maybe we’ll go back to our pre-pandemic normality. Maybe the concerning level of inflation will drive up interest rates and suppress discretionary spending again (yes, for many people, dentistry is discretionary). Maybe companies struggling with supply issues, rising costs and employment challenges, will reduce or limit insurance benefits. Plus, it’s pretty much guaranteed that insurance companies will pass their increased costs onto providers in the form of lower reimbursement.
Counting On Yourself
Whatever you believe may happen in the near future, the goal with prediction is to identify the factors that you have some control over, and take action on that basis. You may not be able to influence external factors like the rate of inflation or the stock market, but you do have control within your own sphere. For example, you have influence over your team and referrers, and you have the ability to drive your profitability high enough to weather any up or down cycle without distress.
The best investment you can ever make is in yourself and your practice. It gives you both the highest rate of return and the least dependence on external forces that you can’t control. You are your own best bet to drive growth and success, and Endo Mastery is a great partner to support you!