“We need to hire another staff member”
This is a phrase that is common in the optometric small business world. We ask our staff members to increase their workload and they push back to say that they don’t have time. As the CEO of a small business we must have a baseline to determine the need for more staff or the need to increase the efficiencies of current staff. Below is how to simply calculate the staff productivity. This number will then allow you to determine how efficient your staff are.
Staff (non-OD) weekly scheduled hours:
Taken from MBA Key Metrics 2011
Employee #1: 36 hrs
Employee #2: 38 hrs
Employee #3: 24 hrs
Employee #4: 32 hrs
Employee #5: 16 hrs
Total weekly hours: 36 + 38 + 24 + 32 + 16 = 146
Total weekly hours for 2011 (146) x 48 wks (this accounts for vacation, holidays, etc.) = 7,008
Gross office production for 2011: $585,000
Gross/total weekly hours = 83.476 = $84 per hour per employee
The above scenario would indicate the optometrist needs to spend more time training staff to be more efficient in their everyday activities. We incorporate the task manager in our practice management software. I personally use Toodledo for organizing my life tasks which include office responsibilities. I am always surprised when I ask staff how they manage their day. Most staff members do not organize their many responsibilities using any particular system. I have found that coaching them to manage their day more effectively results in more efficient staff.
