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When is the right time, and what is the right way to bring on a partner? Or to offer a pathway to ownership to an associate? This is a heck of a problem that I don’t believe is being answered properly today in most practices. In my book, “Why Employees are Always a Bad Idea” we hit on several of the ideas that we talk with Dr. Phelps about, and I am sure that you will find some new ways of thinking about this after listening to this podcast.
The Practice Leader’s Game
Two Questions That Can Change Your Life
Freedom is the ability to CHOOSE what to do with my time and my money. Money can make you rich, but you are not wealthy until your practice regularly produces both TIME and money for you, which gives you the ability to be truly free; to choose.
Most of us have some kind of graph, plan, or at least a number in our head about how much more money we expect to make next year. We intend to grow our revenue. But how many of us actually have a number and a clear plan for how much TIME we intend to invest in the practice next year?
Why do we have a revenue number for growth, but never a number that says, “last year I spend 48 hours in the practice every week, and this year I intend to invest 30 hours, and the practice revenue will still grow”? Very simply, we think we’re in charge of building revenue and don’t believe we can be in charge of creating more time for ourselves. Or we think that the only we to get more revenue is to spend more time. The two are forever linked in our heads.
This is what we call an Income Producer, not a Pratice Owner. An Income Producer thinks they have to trade time for money. But the Practice Owner believes that the two are not linked. They are committed to building a practice that makes money when they are not there, and continues to grow as they invest less time in the practice. They play the Practice Owner’s game. If you memorize the two questions in this game, and apply them daily, it will change your life. It changed mine.
In this podcast, we’ll give you the two simple, powerful questions to change the way you approach dentistry, and we’ll give you a very simple process for identifying the highest and best use of your time so you can get off the dental treadmill and build a practice that serves you, not the other way around.
Play the Practice Owner’s Game and watch your practice and your life change.
Rita Zamora is the author of the new book, Get Found, Get Liked, Get Patients – Making the Most of Social Media. She is an international speaker and the owner of Rita Zamora Connections, a social media marketing agency for dental and medical professionals.
Since 2007 she and her team have provided social media marketing training and custom monthly management services for general and specialty practices across the country.
The Multiplying Power of Distributed Leadership
With virtually no warning and no opportunity to prepare, Captain David Marquet inherited the Santa Fe, the worst rated submarine in the entire US Navy. Yet in one year he turned it into the best rated sub in the whole fleet, and here’s the kicker, he did it with the same 134 people who had made it the worst for a few years in a row. In just one year, with the same people, the same sub, and the same organization surrounding the sub, they went from worst to first. Stephen Covey visited his sub and called it “the most empowering organization I’ve ever seen”.
What changed? One thing, the leader. And in reality, you wouldn’t have to switch leaders because the real difference here was not brought by a different leader, but by a different belief system, which is one that any leader can adopt. This had nothing to do with charisma, motivational speech, steely-eyed bravery, or brilliant solutions. It was simply about one thing; distributed decision-making, which comes through distributed leadership. Captain Marquet invited the other 134 people to participate in leading by both allowing and requiring them to share in the decision-making.
Managers make a living making decisions. Great leaders make an impact by asking questions. Marquet called it all “Intentional Leadership”. He taught people to only come to him with answers and plans for execution. And instead of telling them what to do, he would then ask questions to see if their plan would work, and if, as their sounding board, he couldn’t poke holes in it. When everyone agreed it was a sound plan, then they executed the plan. In just one year, he took the worst performing boat in the U.S. Navy and turned it into the best performing boat with one very simple practice; distributed decision-making, by formally and fully distributing the leadership.
You know you have distributed leadership when everyone is making decisions. Until then, there is still work left to do.
We call this the Leader-Leader Organization. By definition, a leader has followers, so on its face it seems absurd and naive that everyone could lead. I assure you it is neither. This is hard-core success strategy for businesses that want to thrive in the emerging work world.
There are at least four ways everyone can lead; being, doing, inspiring and relating. Our traditional view of leadership lifts up the “inspirer”, which is actually one of the rarest forms of leadership. Anyone can lead, and everyone should. But we have a truncated, one-dimensional view of leadership that makes it hard to get this idea cross without redescribing leadership.
What makes a Leader? Where Does Management Fit In? That’s a great question. If we say everyone can lead, how does that work, and where is the place for managers in a leader-leader organization, if they even have a place?
When Dr. Boulden left his apprenticeship, he was told bluntly, and simply that he would fail. This fueled him to become the “Marketer that happens to be a Dentist.” He became a student of business, learning marketing in the digital era, which has lead to the success he now enjoys. As Dr. Boulden shares his journey of mastering dental marketing, you are sure to hear some strategies that you could implement immediately!
Dr. Peter Boulden has been practicing dentistry for over 15 years and has built a very successful, FFS, 3-location enterprise
in Atlanta, GA where he was raised his entire life. He knows smiles have the power to change lives—he’s transformed more than 1,200 of them as one of the most credentialed cosmetic dentists in the world. Recognized in the greater Atlanta area as the “go-to” dentist for high-end cosmetic procedures, Dr. Boulden is the dental professional of choice for celebrities, athletes and prominent community leaders.
We’ll begin with a quick recap of the Seven Stages from the last two podcasts, then we need to talk about the outside influences that can get in the way of your journey through the seven stages of Practice Ownership.
First, there is no timeline for Practice Maturity. I’ve seen practice owners take their practice from Stage One Startup to Stage Six Significance in just a few years. I also know way too many who are stuck in Stage Four Stability, as hostages to their practices and chained to a treadmill, for twenty-five years. But the more intentional you are in getting through them, the faster it will happen.
Secondly, no practice is ever neatly all in one Stage. Life is messy and so is business. But you still get to choose what “Maturity” looks like to you. My business is intentionally strung out across Stages Five, Six and Seven, which is the way I like it. The difference is I can CHOOSE to do production versus having to do it.
Third, no practice owner ever “arrives” at a desired stage and just settles in. Again, life and business are messy, and as a result, every practice will cycle back and forth regularly through two or three stages (rarely four).
Practices in higher stages cycle less. A classic “American Dream” practice stuck in Stage Four Stability will cycle very regularly down and back up—Four, Three, Two, Three, Four, Three, etc. You will spend thirty years cycling between profitability and survival as Treadmill Doctor—another reason why Stage Four is so exhausting over the long haul.
Once we finally get to Stage Four Stability, we now have something to lose. We’re making money, in some cases a lot of it, and taking the risks required to get to Stage Five Success seems too daunting. Even though the voice of quiet desperation is whispering, “Is this all there is?” we weigh what we have with the possibility of losing it and come to the following conclusion: “The pain I know is better than the pain I have yet to experience.”
So we stay stuck in Stage Four for thirty years until, at the end, we sell the practice for its assets and patient list.
Stage Four is a mirage. It looks like a practice, but as we’ve seen, it’s at best a well-paying job. Some months or years are great, but outside influences create conditions that move the practice back into Stage Three, or even Stage Two. Then the owner has to do the long, hard climb back to profitability before the cycle repeats itself.
Do you know what your practice will look like at maturity? Do you know when you want to be there? Most of us have never thought about these things, but if you do, it could be the most motivating thing you’ve ever done. And each stage will seem shorter and less risky because you’ve got something so compelling in front of you. The Tyranny of the Urgent will lose its shrill voice as you focus on the Priority of the Important
We often get into the business of dentistry with the belief that if we are successful, that everything will take care of itself and we will be happy. We talked about this a little bit in our first interview with Dr. Spodak, with Hostage Doc and Freedom Doc, but that isn’t always how it goes. There are very real consequences to not designing your practice in a way that will give you fulfillment, happiness, and time.
The Way Off the Practice Treadmill
We talked about the first four stages of practice ownership in the last podcast. Check out that podcast if you haven’t yet. Today we’ll address Stage Five Success, Stage Six Significance, and Stage Seven Succession.
Maybe up to 95 percent of practice owners never experience anything beyond Stage Four, because we simply don’t intend to build a mature practice that gets to Stage Five and beyond. We never thought it was possible because being a hostage to your practice is just the price you pay for “success”. But you get what you intend, not what you hope for…. So, what intention is needed to get to Stage Five and beyond?
Stage Five is the beginning of a whole new way of doing dentistry, where you stop being a hostage to your practice and the practice starts serving you on your way to Freedom. For the first time, your practice is now regularly producing both time and money, not just money.
First, we’ve got to get The Big Mindset Shift right from making money, to building a practice that makes money. The overwhelming majority of practice owners never figure this out. Not because they can’t, but because they have a one-track mind for making money to pay this month’s bills. They are focused on short-term gain.
In Stage Six, the practice is thriving and the owner is now free to invest time in the things that make a practice truly great; the practice and the owner can begin to have a real impact in the community and world around them. Charities are benefiting, the stakeholders are involved in the community, and the owner is thinking about both their own legacy and the legacy of the practice: “What will I leave behind? What statement will this place make about me?”
You’ve finally made it to Stage Seven! You’ve invested the time to move from leadership in place (Stage Six) to leadership in charge, from giving both vision and guidance to only vision. The leader has the reins and can now also guide the ship, as long as you communicate clearly where you want to go. In Stage Six you were giving both vision and guidance (how to do it). Now all you have to do is communicate the vision, because the leader knows how to execute.
In Stage Seven, the practice owner has a number of options: They can stay on as a strategic leader, enjoying the fruits of years of labor, continuing to give vision for the future, and choosing how and when they get involved (in other words, Wealth). They can also decide to sell the practice, sell it to associates, or use it to start acquiring other practices.
I can’t think of any reason why you can’t get here, except for one—you really don’t intend to.
This is not a gifted person’s game; it’s an intentional person’s game. Ask the right question and you will figure out the answer. I’ll say it again: you get what you intend, not what you hope for.
The right question is, “How do I build a mature practice, and when do I want to get there?” This isn’t about building multimillion-dollar practices with dozens of Stakeholders, unless that is what you’re shooting for. This is about creating the lifestyle that you want for you and your family. You can do that with a practice of almost any size.
You use a GPS to get to where you are going right? Whether it is dinner reservations, a sporting event, or your kid’s state championship, understanding where you are going and where are, are monumental! What about with your practice?
Dr. Matthew Norton has been improving the quality of life of countless individuals as well as coaching business leaders and their teams to deep success breakthroughs for more than 35 years. He’s the co-founder of Mindfluence Revolution and the co-leader of the elite Dental Experts Network.
Over the years Dr. Norton created a highly successful practice and became a passionate speaker, thought leader, and author of the breakthrough book Where Does It Hurt?
Dr. Norton is professionally-trained as a Behavior Style, Motivators, Stress Quotient, and Emotional Intelligence analyst. He has evaluated the insights of thousands of assessment reports and applies this knowledge to expand the awareness, communication skills, and success capacity of practice owners and their teams.
Dr. Norton guides dental professionals to become stronger and more emotionally-intelligent leaders of their team, their patients, and their community so they can contribute at the highest level and achieve their most ambitious dreams.
Episodes featuring Chuck by himself (with no guest interviewed) will include the title along with, in the bottom of the episode image, the book that the content relates to:
MMIKYB (Making Money Is Killing Your Business)
WEAAABI (Why Employees Are ALWAYS A Bad Idea)