You must optimize your team in order to create an environment that will yield satisfied customers, a healthy practice, and a successful enterprise. 'Optimizing your team' refers to several concepts. First, you must have the right people on your team. Attracting and retaining a team of people who are optimistic and pleasant team players is crucial to serving customers. Recommended reading would include "Good to Great" by Jim Collins. Secondly, optimize your team refers to setting compensation at levels that will result in a healthy practice. The cost of labor is the highest cost area of most practices, and thus, it is very important to manage labor costs very closely. Optimal labor costs for the most profitable practices typically ranges from 30% to 40% as a percent of revenue, though some will fall outside of this range. Use the financial dashboard at IsMyPracticeHealthy.com to help you monitor and optimize your labor costs.
