How to Make Smart, Profitable Technology Decisions For Your Dental Practice

Wrong investments in technology can cost yourset of procedures with income from another set
dental practice dearly in time, money, and debt.of procedures?
The damage is usually irreversible, as equipment5. Are the time savings claimed by the
cannot be resold easily. If you do manage tomanufacturer real? Will that time be used to do
resell, it will be at a fraction of the originalanother procedure? Does your scheduling system
purchase price. Buying new equipment is similar toallow for additional patients to be seen? Do you
buying a new car, which depreciates 25% in valuehave adequate patient flow to realize the
the minute you drive it off the dealership parkingbenefits?
lot.6. What is the true and full cost of owning this
Sadly, we find dental offices wasting enormouspiece of equipment, including all repair and
amount of money in this area. Dentists either paymaintenance costs?
too much for equipment or buy instruments that7. What is your estimate for
subsequently gather dust in the office.Return-On-Investment (ROI) for this instrument?
Purchase decisions are made impulsively, becauseBe conservative. (Manufacturers always overstate
another doctor down the street invested in it, orthe ROI figures with a slew of optimistic
because other doctors recommended it on a blog.assumptions.)
Dentists believe that a new technology will excite8. Can you truly afford the new piece of
patients and bring in droves of new patients, onlyequipment? Are you in position to pay outright for
to be disappointed by the response. Or, theythe equipment? Leasing or financing equipment
purchase the machine and find that the return onshould be a last resort, as the interest rate only
investment is not quite as high as stated by theincreases your debt and your total cost.
manufacturer. The learning curve for using new9. What is the payback period for this
equipment also tends to be steep and rarely asinvestment? How many months or years before
simple as presented by the manufacturer.you recoup the full cost of the equipment? Are
Questions to Ask Before Any Technologyyou close to retirement?
Purchase10. Is the manufacturer going to be in business
The following 12 questions are helpful in making afor the next 10 years? If they go out of
sound decision:business, will you still be able to use this
1. Is this piece of equipment suitable for yourinstrument/machine?
office and your skill set?11. What is the level of support provided by the
2. What is the learning curve? How much time ismanufacturer?
required to become proficient at using this12. Do you really need to purchase this new, or
particular instrument? Are you certain your officecan you purchase it used? Will the used machine
will use this instrument extensively?be supported by a warranty? What is the
3. What if you don't purchase this instrument? Willpotential cost saving - used versus old?
the office lose patients or lose opportunities? WillUpgrade and invest in technologies, but carefully
the office appear outdated? What are theevaluate your options before you take the leap.
ramifications?With sound technology decisions, you are on your
4. Will this generate increased production for theway to a more profitable practice.
office? Are you simply replacing income from one