Three Metrics You Must Measure

three-metrics

In physical therapy school we are taught to assess and treat patients, we are not taught to assess and treat our business.  We know all the special tests for the shoulder and knee but what about the special tests for your business?

There are three metrics every private practice owner MUST watch if they have any desire to grow their business.

Metric number 1:  Referrals – Yes, you read that right referrals.  You should already be measuring the number of evaluations you see in a week or month but you are missing a significant number.  Four of 10 physician referrals actually contact a physical therapist, but do all of those actually show up for their first evaluation?  Once you put the referral metric in place, compare weekly and monthly the number of referrals against the number of actual evaluations.  For every referral that doesn’t come in, you have lost a significant amount of money AND a future source of friend/family referrals.

Metric number 2: Cancellation Rate – Most every practice owner does measure this metric, but do they make any effort to change it?  When the weather is warm and sunny, the national average for cancellations is in the 7-8% range (when the weather is cold and snowy this will decrease).  What is the loss to the clinic for one single cancellation?  If you are not watching, and changing, this metric you have lost that income for good!  If you don’t know the cost of that cancellation, you NEED to keep reading.

Metric Number 3: Dollars Per Visit – All practice owners know how much money they collect in a given week or month.  Their bank account, and their paycheck (or lack thereof) shows it.  But, do you know how much money you make per a visit?  When you learn how much you make per visit you will quickly learn how much money you have lost by not tracking the two metrics above.

Click Here to download our FREE Clinic Stat Sheet to Start Tracking!

Andrew Vertson, PT, DPT, ATC
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