KPI stands for key performance indicator and exists to measure performance, or more specifically, to measure the progress and success of particular activities that have an intended result inside of your practice.
If you are looking to expand your practice, KPIs are important and can serve as a benchmark examination of where your business currently stands, while helping you to set up a roadmap for success, and objective measurements for you to review.
How Is Success Defined?
Deciding how success is defined in your plastic surgery practice is an important factor in deciding what actions make the most sense to take in your business. Perhaps your goals are operational, maybe your goals are more strategic and relate to marketing campaigns and their success. Finances and sales are, of course, incredibly important as well.
In order to define your practice’s KPIs, it is vital to first decide what is important and what success looks like for you.
Defining Your KPIs
In order to clearly define your KPIs you must first understand the present state of your business and the activities that contribute to its performance. The two categories that contribute to KPIs are operational and strategic. These are of equal importance and help with decision making as well as help to redefine the focus of your business. What contributes to the success of your practice as a business?
More specifically, KPIs help to set targets and track progress. Excellent KPIs are incomplete without the following:
- Objective evidence of progress towards reaching a desired result.
- Measurements that can inform better decision-making.
- Comparison to help you understand what needs to change as time and business moves forward.
- An efficient way to track efficiency, effectiveness, timeliness, compliance, behaviors, economics, and projects, or in this case procedure performance, and patient retention.
There are many different types of KPIs in the plastic surgery industry. You will notice KPIs are sprinkled with strategic and operational measures, as they oftentimes overlap. Here are the KPIs to consider:
Inputs: Your patient’s in-house experience is invaluable. When a person is seeking out a surgeon to improve their look, it likely means going under the knife. Many of the procedures performed are irreversible or can leave someone in pretty poor condition for a considerable amount of time if performed improperly.
Your entire staff needs to be highly qualified, and your office should run like a well-oiled machine. To hire highly qualified staff you must have money to invest, and training on the newest technology is obviously necessary. It goes without saying, your budget needs to be polished, refined, and continuously revisited. Other inputs include highly skilled surgeons, quality of invasive and noninvasive procedures, technically trained and highly qualified injectors, highly qualified nurses, and experienced office staff and admin.
Process: Your process includes cost per unit (injectables and other necessary materials for office use); the amount of time spent with each patient; the tools and facilities you use to perform cosmetic invasive and non-invasive procedures; consistency in results; efficiency in office operations; and providing a seamless and worry-free experience.
Outputs: Outputs include post-op results. While some patients are not fond of before and after images being blasted on the web, those patients who will allow you to take before and after photos make important contributions to your portfolio. This is how your output KPI starts to shine.
Outcomes: Your outcome KPI accounts for your sales. There are immediate outcomes like the surgeon’s satisfaction with the procedure in addition to end outcomes that reflect your patient’s satisfaction once the healing process is complete, this is the sought after outcome.
Project: Project KPI keeps track of a successfully built branding, and where it can improve. Project KPI also keeps track of the success of your marketing campaigns, deliverables, and collateral.
Here Are the Strategic and Operational Measures:
Strategic Measures: This is where you track progress towards reaching your sales goals. Sealing the deal, booking the procedure and having received payment for the procedure contributes to success in this measure. Here is where you have to consider your customers and stakeholders, if you have them. This measure includes the financial health of your business, your internal processes, and the capacity of your practice.
Operational Measures: What are the day to day operations of your business? Operational measures continue to keep track of what is working and what is not, in order to promote growth, efficiency, and customer experience and satisfaction.
Project Measures: Project measures take into account the progress and effectiveness of your marketing strategies and campaigns.
Risk Measures: What can threaten your success and where is your business in regards to these risks? COVID-19 might be considered the elephant in the room and even though COVID-19 is temporary, businesses are unfortunately being taken down one by one. Risk measures are vital and can help you prepare for unforeseeable circumstances, like pandemics.
Employee Measures: Your team is vital to the success of your practice. Collective and individual skills, performance, and execution should be considered when looking at employee measures. When employee measures are kept up with you will be able to very clearly understand where your staff can improve.
Do you have your KPIs in place and you are ready to refine? Is this where your consideration for KPIs begins? VIVID Collective can help you no matter where you are on the road to success. Give us a call to learn how we can collaborate, (720) 594-6968.