The Dentist's Network #42


	Effective Hiring Investing in the Practice Dental Practice Blogs

Michael Moore, Esq.
Director McKenzie
HR Solutions
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The Seven Keys of Effective Hiring

Having and following an effective employment relations policy is the best way to head off legal claims by disgruntled employees. But hiring effectively is the best way to eliminate applicants who might carry with them the seeds of such claims.

There are two principal dangers to the employer in the hiring process itself. The first is the risk that unsuccessful candidates will claim discrimination in the process. The second is that you will hire someone who has a history of issues and will visit those on the next employer.

There are seven keys to successful hiring that address those risks:

First, it is critical, if advertising for the position, to stick only to the specifics of the position and the income level. Do not include phrases such as “Girl Friday,” or “need energetic person,” or any language that might be construed as discouraging specific groups, such as older persons, from even applying. The courts often hold that these seemingly innocuous glosses on the facts are stereotyping indicative of some bias.

Second, have a good application form, and require each applicant to fill one out. The form must include language in which the applicant acknowledges and agrees to the following: that (1) she affirms the accuracy and truthfulness of all information; (2) she agrees that any inaccurate information will subject her to immediate termination, if hired; (3) she authorizes you to contact former employers for reference information and releases such employers for any liability in the disclosure of accurate information about the applicant; and (4) that she agrees that if she should bring any legal claim arising out of the employment relationship, it must be brought within 180 days of her separation. Many states allow up to two years for suit to be brought against the employer. Any shortening of this time is of great benefit to you.

Third, when you have chosen candidates to interview, send letters to those who will not be interviewed. Thank them for applying, and state simply that other applicants had superior qualifications but that the applicant should apply in the future if any job comes open.

Fourth, have a standard checklist for interviews of applicants. The checklist is important because it will assist you in avoiding questions which are discriminatory. For example, you may not ask an employee about any health problems, past illnesses or injuries. You may not ask about medications she might be taking. Incredibly, some employers have asked workers who appear older how long they intend to work. Never do that. You may ask applicants if they require any accommodations in order to do the job. To that end, you should provide the applicant with a written job description at the beginning of the interview. If the applicant denies the need for accommodation, it should be noted on the checklist. If she does need accommodations, you need to engage her in a discussion of specific limitations and needs. You may, or may not, be able to accommodate. If that issue arises, you definitely want to consult with someone knowledgeable in the legal requirements for accommodation. You need not hire someone because they have impairments, as long as you can document superior qualities in another applicant, or you can show that accommodations would be unreasonable.

You are certainly free to consider subjective criteria in the interview process—general intelligence, appearance, initiative, etc. If you note the presence or absence of such criteria for one applicant, however, you should do it for all.

Fifth, in our society today, it is important that you retain a firm to conduct a background check on the final choice before making a final offer. Background checking, particularly into credit history, is governed by the Fair Credit Reporting Act. Specific authorizations are required of the applicant, and if the position is denied because of information obtained, notification and opportunity to correct information must be given to the applicant.

You will receive a copy of the report from the agency you use. The report must be kept in a confidential file on that particular applicant. If you chose to discard it, make certain it is shredded.

This adds a layer of documentation and modest cost to the process. However, I am currently working with two doctors who recently discovered embezzlement by front desk workers—one of whom has identified losses in excess of $90,000.00. A background check cannot insulate the practice from theft, but if the check turns up serious financial issues, nothing prevents you from hiring another candidate.

Sixth, you must send a letter to any applicant who was interviewed but not chosen. The successful applicant should receive an offer letter, identifying the position and income at a minimum.

Seventh, and perhaps most important, you should have a separate hiring file for each position. Included in the file should be everything related to the process—from a copy of advertisement to the final letters. The file should be maintained for at least two years. This file is your best evidence that the process was fair to all applicants. Of course, copies of the relevant documents of the successful applicant should be also in her personnel file.

Mike Moore is ranked among the best in employment law and named one of the top 10 lawyers in Ohio. As Director of McKenzie’s HRSolutions, Mike is the creator of the Employment Policy and Handbook, geared to provide dentists who are unsophisticated in the legal arena with a step-by-step policy manual.

Click here to hear Mike present “7 Elements of an Effective Employment Policy.” Email Mike at mike@thedentistsnetwork.net.

Interested in having Mike speak to your dental society or study club? Click Here

Thomas L. Snyder, DMD, MBA
Managing Partner
The Snyder Group, LLC
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Should I Invest in My Practice to Increase Its Value?

We get this question a lot from dentists all over the country. The answer is simply, “It depends.” We’ll discuss two major issues that face late career dentists as they ponder their exit strategy. The first issue is updating the facility or adding technology. The second issue relates to lease expiration and renewal problems.

Updating the Facility and New Equipment

A facility with a worn, tired look and older equipment will not command the same market value as another practice in the same community that has recent renovations and equipment. The critical questions one has to ask are: “How many years do I plan to practice before considering a sale?” and “Will an investment in my facility increase the odds of selling?” The most important variable that will impact your decision is practice location. As we have stated in prior columns, practice location will be a key predictor of whether or not you will be successful in selling your practice. If you are located in a small town or rural area, making a capital investment in your dental practice for the sole purpose of enhancing value may be more risky than if you are situated in a suburban or urban locale where there are more potential purchasers, as well as peers who may be considering their exit strategy as well. Practice enhancement in the later scenario may be a competitive strategy to get potential purchasers to consider your practice over others.

Another big question to address is how much you should spend. Is it necessary to spend $100,000 plus to make everything state of the art? Or should you replace older equipment such as a hygiene room(s) and make facility upgrades such as enhanced wall treatments, flooring and reception office furniture? Sometimes the optics of a practice makeover can have a good impact on a young doctor who walks through your doors for the first time.

The Economic Stimulus Act of 2008 provides exceptional benefits for deductions allowed for purchasing equipment and technology this year. Under the new law you can expense up to $250,000 of Section 179 property purchased this year. Absent this new legislation, the expensing limit for Section 179 property would have been $128,000. In addition, there is also a special 50% depreciation allowance in 2008 as well. Be mindful that you may be subject to depreciation recapture in the event that you sell in a few years.

Finally, what is the return investment you’ll receive for this equipment? If you truly believe that your facility will become more attractive, chances are you will see a higher practice value. However, in almost no cases will you get a “dollar for dollar” return on the investment that you will make in your facility. Often times it’s just creating a situation where more potential buyers will take a critical look at your practice rather than pass you by if your facility is out of date and unattractive.

Building Lease Issues
Some of you, unfortunately, are faced with the reality of negotiating a new lease. Many practices located in commercial buildings are often times at the mercy of large real estate conglomerates who own the property. Getting a lease renewal at favorable terms can sometimes be difficult. If, for example, you are 60 years old and want to retire by 65 and if you’re faced with the “no win” situation of signing a ten year “only” lease, chances are you may not want to sign. If you can break the lease into two five-year renewable leases, that would be preferable. More important, you may want the lease to be transferable to a potential buyer. In certain cases when you do renew a lease you can get some enhancements to the facility, and if your facility is a bit worn down, you may be able to make some enhancements and have these costs partly borne by the landlord as an allowance with the balance being financed through your new lease. If you have a timeline of five years or less, this situation will become very critical. In the final analysis, if you are in a “no win” situation with a lease renewal or extension, and you still need to practice a few years, your best alternative may be for you to seek out a larger practice in your area who may be very interested in you folding your practice into theirs and allowing you to practice a few years, thereby providing you with an equitable buy-out for your patient list.

When someone is at the twilight of their career, the pressure to make a six-figure investment is a very, very trying decision. But if it’s grounded in reality by knowing the probability of selling your practice, you’ll make a much more informed decision.

Dr. Thomas L. Snyder, is Managing Partner of The Snyder Group, LLC, a nationwide practice transition and financial management consulting firm. With more than 75 years of experience in the field, The Snyder Group can provide you a full range of services relating to practice transition matters and retirement planning. They can be reached directly at 1-800-988-5674.

If you would like additional help, email Dr. Snyder at drsnyder@thedentistsnetwork.net.

Interested in having Dr. Snyder speak to your dental society or study club? Click Here

Joel Harris, President
ADA Intelligent Dental
Marketing, Inc.
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Creating a Blog for Your Dental Practice

Blogging is the new national pastime. There are personal blogs, social blogs and professional blogs. Whatever the topic, someone has probably blogged it. Creating a blog for your dental practice is an excellent way to differentiate your dental practice from the masses. As a dentist, a blog makes you seem up to date and relevant. It makes you seem human and personable and, most important, it is an excellent way to build awareness for your practice, which leads to more patients, which leads to more case acceptance, and… well, I think you get the picture. Here are a few great tips for building, maintaining and promoting a dental practice blog.

#1: Define your blog
First of all, it’s important to define your purpose in creating a blog for your practice. Although the obvious answer seems to be “to get more patients,” it’s important to look at the kinds of information that can be published on a dental blog. It’s also important to remember that unlike most blogs, your postings are really only important to individuals who live within driving distance of your practice. For these readers, articles on dental health will be important but postings about your team members, your equipment, successful cases and even favorite patients are great ways to make a dental blog fun and worth reading.

#2: Create visual appeal
Good content isn't the only thing that matters. Your blog should also be visually appealing. Use tasteful colors, modern font styles, and clean graphics. Avoid dark backgrounds, overly fancy typefaces and other elements that will make your blog hard to read. And don’t forget the power of great photos and images. Clinical illustrations and before and after cases are obvious choices but don’t forget informal snapshots to lighten the mood and keep your site from feeling like a medical journal.

#3: Use the proper tools
I highly recommend using one of the popular blog systems like Blogger or Typepad. These two systems as well as others are extremely easy to use and make you look professional and polished. Building a blog from scratch is for nerds and people with extra time on their hands. Most dentists are neither.

Once your blog is up and running, it is easy to link your blog’s web address to your practice website (hopefully you have a practice website) so patients and prospective patients can easily find you online. Most blogging systems are free to use if you allow ads to show up in your blog, but for about $8 per month you can have the ads turned off—which I highly recommend. Nothing is more annoying than cluttering a great blog with obnoxious ads that have nothing to do with your message.

#4: Engage your readers
Tell your readers who you are behind your mask and something about yourself and your team members. Be human by posting things about your family and hobbies. Don’t get tacky, but it never hurts to make a blog informal and fun. Get your team involved in the process. It’s a great team-building exercise and it will also take the pressure off you as the dentist to do all the writing and content gathering. Although it seems obvious, don’t forget to keep the humor clean and don’t use your blog as a political or religious platform.

#5: Keep it concise
Some of the best posts aren't particularly profound or long. Don't think you have to wait until you have something brilliant to say before you write an article or put off posting because you don't have time to write your complete thoughts on periodontal disease. Most readers have short attention spans and crowded schedules themselves and would prefer to read a short, catchy post rather than a long, complex one. Again, mix up the clinical content with light postings and you’ll give your readers the perfect balance of serious and fun. Too much about plaque and halitosis or too many cookie recipes from your office manager will kill the site. Look for a balance and you’ll be more successful.

#6: Promote your blog
Obviously, search engines and blog syndication are overkill for a local dentist’s blog. But, make sure your direct mail, website, newsletter, business cards and every marketing tool available promote your blog. This is another reason that managing a list of patient email addresses is so critical.

If you’ve done a poor job in the past of promoting your practice, begin today! The future of dentistry is exciting and your patients and members of your community will value access to the easy-to-read information and professional insights you can publish in a great practice blog.

Joel Harris is CEO and Co-Founder of Intelligent Dental Marketing, one of the nation’s leading Dental Marketing companies focused exclusively on dental practices. Intelligent Dental Marketing provides powerful marketing tools to help dentists grow their patient base, increase their profit and improve their image. Joel can be reached directly at 877.942.8855.

Interested in speaking to Joel about your marketing concerns? Email him at joel@thedentistsnetwork.net.

Interested in having Joel speak to your dental society or study club? Click Here