Running and managing an eyecare practice isn't easy work. Especially when you're an independent practice trying to stay on top of your patient schedule each day, managing to find time to monitor the business side of things can be near impossible. However, monitoring the numbers side of your business is crucial so that you can make sure you're not missing out on bigger profits.
Today we want to show you how to calculate a very important benchmark for your practice: gross revenue per staff hour. Keeping an eye on this benchmark allows you to see the amount of revenue generated by your team. Of course, your aim is to maximize revenue from each staff hour.
Learn How to Calculate Gross Revenue Per Staff Hour
In order to do this calculation you need to know a few things:
- Gross Revenue = Total revenue received before any deductions of expenses such as cost of goods or staff salaries.
- Total Number of Hours Worked depends on the period you are trying to calculate for - monthly or yearly.
- When calculating staff hours, only include non-OD staff.
Check out this example for calculating monthly gross revenue per patient staff hour:
We've created an entire eBook dedicated to helping you monitor different benchmarks in your practice. And, after we go through each of the calculations with you we talk about what your practice could do if you aren't hitting the industry benchmarks. Download your copy today!