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Ask Yourself

Author:Emmet Scott
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By Heidi Arndt Ways to grow your hygiene department in 2017 As dental groups create their 2017 financial plan, they may be looking for ways to grow revenue and improve cash flow within their group. While there may be many targets, we hope that each group seriously considers how their dental hygiene department can lead them to unbelievable growth in 2017. Before you look at growth through fee increases or adding hours, it is important to examine where your potential organic opportunities exist within your practices. These are the opportunities that will fuel incredible growth throughout the year. Services currently offered If you are looking to increase revenue, this is likely where your biggest opportunities will be found. In order to analyze this area, you should run a procedure by provider report and look at the following areas. What is your periodontal-to-prophy ratio? Non-surgical periodontal treatment is filled with key procedures that your dental hygiene team provides to your patients. Recently, the Academy of Periodontology and the Center of Disease Control identified that periodontal disease is a significant health concern and is more prevalent than once estimated. Dental practices should track their periodontal percentage as a way to measure how well they are addressing periodontal care in the office. The periodontal percentage is calculated using the following procedures:

  • D1110: Adult Prophy
  • D4910: Periodontal Maintenance
  • D4341: Scaling/Root Planing - Quadrant
  • D4342: Scaling/Root Planing - Localized

Periodontal Percentage = D4910 + D4341 + D4342 D1110 + (D4910+D4341+D4342). Goal: 60 percent. The periodontal percentage measures the number of periodontal-related procedures as a percentage of the number of overall definitive dental hygiene procedures completed (D1110, D4910, D4342, D4341) What is your fluoride per patient percentage?What is your sealant per pediatric patient percentage? If you find that any of these areas are lacking, then you should plan now to provide training and execution support with your team. This organic growth is your best opportunity for immediate revenue returns in hygiene. Patient demand What is the hygiene book out in your practice? Are your new patients able to access your practice within two weeks of their initial call into the practice? Are you able to get your periodontal patients scheduled for treatment within two weeks of diagnosis? If your hygiene schedules are booked solid for more than three weeks, then you should consider adding additional hygiene hours. Growth by hygiene hours is a great way to impact your overall growth, while fueling revenue growth month after month. By increasing patient flow through hygiene, you will also fuel growth for doctor revenue. Todays hygiene patient is tomorrows doctors patient. Q: What are your hygiene expenses? Measuring the Dental Hygiene Revenue as a percentage of total compensation is the most accurate measure of the dental hygiene profitability in your dental group. This number is calculated by dividing the total production of your hygiene team (excluding doctor exam fees) by the total compensation of your hygiene team (includes salary, bonuses, payroll taxes, and additional benefits). Your ideal profitability measure should be a 3:1 ratio. If your percentage is out of sync in this area, it will affect the bottom line of your practice. The problem can be either under-production or over-compensation. This deficiency can be addressed on either by revising the compensation formula to a percentage of hygiene production, or increasing production through better scheduling, and increasing the mix of services. If your hygiene compensation expenses are out of line, it is important to address this immediately. Right sizing compensation will provide an instant improvement in your cash flow and profitability. Be sure to use Adjusted Gross Revenue (AGR) or Collections when calculating. As you plan for 2017, take the time to analyze each of these areas within your group and plan appropriately for sizeable and sustainable growth in 2017.

Emmet Scott
Founder & CEO

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