Key performance indicators (KPIs) offer physician practices a calibrated lens to gauge progression, pinpoint expansion opportunities, and illuminate areas primed for optimization or adjustments.
These metrics act as the compass within the intricate landscape of healthcare management, navigating your course toward refined patient care, operational prowess, and continuous advancement. In this area of healthcare, KPIs are a necessity, not a novelty. The challenge lies in selecting the pertinent measures that meet your practice’s distinct objectives and allow for data-driven decision-making.
Why Key Performance Indicators Matter for Physicians
Key performance indicators are measuring tools used to determine a business’s long-term performance. By measuring KPIs and benchmarking against other practices, you can better understand where you can improve and sustain excellence – because achieving profitability for your practice is more than just setting goals. It requires strategic planning, tracking measurable KPIs, and taking action to adjust when needed.
Top Key Performance Indicators for Physicians
Improving on the following key performance indicators enables your practice to increase operational efficiency, revenue, and patient satisfaction:
Marketing strategies should be geared not just toward driving patient volume but include patient retention, too. Most of your marketing metrics boil down to what you want a patient or potential patient to do (e.g., click, call, or book).
Examples of KPIs that focus on marketing and help your business grow are:
- Search engine optimization (SEO) rankings/position
- Social media metrics (number of followers and number/type of engagements for each social media platform)
- Website performance (demographics, page views, and conversion rates)
- Average star rating, patient review volume, and patient review frequency
To successfully manage and grow your practice like a well-oiled machine, look beyond patient growth and measure your operational efficiency.
By evaluating the four operational metrics below, alongside leveraging technology in your practice, you can improve your workflow and efficiency by reducing no-shows, saving staff time, and providing a user-friendly platform for patients to book or reschedule appointments.
- Staff metrics (evaluate staff-to-patient and provider-to-staff ratios)
- Patient waiting time
- No-show rate
- Percentage of patients who don’t book follow-up appointments
Patient Satisfaction and Retention Metrics
Healthcare facilities and practices are in the business of customer service, and patient satisfaction is a clear indicator of the quality of your care.
How your patients perceive the healthcare experience includes wait times, test turnaround time, and overall quality of care. By issuing surveys and questionnaires, your practice can find actionable insights about patient safety and level of care, including broader matters such as budget allocation, bonuses, and incentives for your staff.
In addition to maintaining your current patient base, attracting new patients and ensuring they return are effective strategies for creating a thriving practice. You can track patient volume, lead conversion, and overall patient satisfaction when you measure the following:
- Total number of patients annually
- Number of new patient appointments
- Number of return patient appointments per month
- Percentage of website visits converted to new patient appointments
- Patient satisfaction with the quality of care
- Patient satisfaction with length of stay
- Average satisfaction rate
Your total revenue measures what happens when your patients visit your practice –and whether they return or not. Consistently declining total revenue signals one or more problems to address, ranging from patient billing and collections issues to improving patient engagement and attracting new patients.
The numbers you need to measure include:
- Gross profit/net income – this reflects the proceeds that are available for reinvestment or to share with other stakeholders, and it is also a clear indicator of your practice’s financial health. In other words, this is how much money is left over after paying the costs of running your practice. Tracking your gross profits helps your practice determine whether your cash flow allows you to invest in new technologies and talents.
- Average profit per visit – this measures the average revenue from each patient visit. It tells you what income you can expect as the patient volume increases or decreases. It also measures your capacity to serve patients.
- Cost per visit – this allows you to calculate the net revenue per patient visit by determining how overhead expenses (e.g., salaries or rent/mortgage payments) average out across the number of patients. This number provides insight into your profits and enables you to adjust your budget for other costs aside from supplies and salaries.
Hit Every KPI by Partnering with Revenue Cycle Management Thought Leaders
When you work with revenue cycle management thought leaders, you have access to cutting-edge technology and industry experts that can enhance your collections and streamline data-driven processes to put you on the path toward financial success and independence.
At Coronis Health, we have decades of experience in billing services and revenue cycle management. We understand the competitive healthcare landscape and can provide the best tools to get you to the next level. With our complimentary revenue cycle management analysis, you gain the business intelligence needed to ensure you beat every benchmark and achieve financial prosperity.
To learn more, schedule a complimentary financial health checkup with Coronis Health today.