AAO

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AAO AAOE Benchmarking Survey

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What is a Benchmark?

• A standard used to measure how we are doing
• A measure of practice efficiency
• In many cases it is a ratio of two data elements
• First step is to define the preferred benchmarks
• Second step is to determine which data points are
  needed to create the benchmark

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How can benchmarks help us?

• Diagnose operational challenges
• Find possible prescriptions
• Confirm the effects of the changes you make in
  your practice

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What is the appropriate way to use a benchmark?

• Use several related benchmarks to understand and
  diagnose practice problems
• Make sure to compare apples to apples
• Similar type of practice
• Same calculation method

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What is the appropriate way to use a benchmark?

• Download the interpretation guidelines on the
  reporting page (after your data has been
  approved)
• Review national benchmarks, but emphasize
  comparison to your own practice over time
• Compare to
• This month in your practice vs. same month last
  year
• Year-to-date in your practice vs. last
  year-to-date

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Why Participate?

• In the face of the Baby Boomer onslaught you need
  to make sure you are operating efficiently in
  comparison to your peers.
• Survey has been designed to ensure the privacy
  and security of the data you submit - Review
  Academy Terms of Service  Privacy Policy (PDF
  60K) for details.
• The greater the participation, the more specific
  the reporting functions.
• Statistically reliable and comprehensive data
  will help the Academy in its advocacy endeavors.

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Why Participate?

• Quick Most practice report data collection takes
  less than 2 hours
• Accurate Through an anonymous review process, we
  are approving data so as to avoid erroneous data
  skewing the results.
• Safe Only aggregate data from multiple practices
  will be displayed no users will ever be able to
  view the data sets of an individual practice.

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Why Participate?

• Only members who contribute their practice data
  will be able to run reports to compare their
  practice to other practices.
• The Benchmarking Survey Database is FREE to
  members.
• Members who do not will only receive a summary of
  the aggregate results but they cant run reports.

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Eligibility

• The survey is only open to private ophthalmology
  practices

• The following practice models are excluded at
  this time
• Integrated Delivery System (IDS)
• Hospitals
• Independent Practice Association (IPA)
• Freestanding ambulatory surgery centers
• Management Services Organization (MSO)
• Medical school facility practice plans
• Physician Practice Management Company (PPMC)
• Medical school clinical science departments

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Three Steps to Participating

• 1. Registration
• 2. Data collection
• 3. Reporting

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Step 1 Register Your Practice

• During the registration process, participants
  will be asked to
• enter demographic information about your practice
• identify the primary data respondent for your
  practice
• to enter their practices Tax ID number (to
  create a unique benchmarking log in)
• After registering, the primary data respondent
  will receive the benchmarking log-in at the email
  address provided

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Tips

• Only one respondent will be designated per
  practice
• Before registering, decide who will be the
  designated respondent for your practice

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Step 2 Collect and Enter Data

• Review the definitions carefully
• You may need to ask your accountant to collect
  some of the data
• Enter your data You can save and return to
  complete your data entry
• Check your data carefully before submitting as
  final
• Submit data as final

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Required Data Elements

• 30 Separate data elements for general practice
• 6 Additional data elements for the optical
  section (if applicable)

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You will need

• employee and physician census information and
  annual payroll information
• patient encounters data
• profit loss statement
• optical dispensing data (if applicable),
  including unit sales and financial data.

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Data Entry Screen
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Generated Benchmarks

• 31 Benchmarks will be produced by the survey in
  seven practice areas
• An additional 10 Benchmarks will be produced if
  your practice participates in the Optical Section
  of the survey

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Once you enter your data you will get benchmarks
for your practice immediately.
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Section 1 Financial receipts Income

• Professional clinical collections per FTE
  Ophthalmologist (MD/DO)
• Professional clinical collections per FTE
  Optometrist (OD)
• Clinical Revenue per encounter for
  Ophthalmologist (MD/DO)
• Clinical Revenue per encounter for Optometrist
  (OD)
• Practice Net Collections per FTE staff member
• Practice Net Collections per FTE billing office
  staffer

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Section 2 Financial Costs Expenses

• Clinical Operating Expenses per encounter by
  entire practice
• Non MD/DO/OD Clinical Staff (back office) cost
  per encounter
• Front office staff cost per encounter
• Total staff wage and benefit cost as a of net
  collections
• Total front office wage and benefit cost as a
  of net collections
• Total Billing Staff wage and benefit cost as a
  of net collections
• Total Non-MD/DO/OD Clinical wage and benefit cost
  as a of net collections

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Section 3 Staffing Levels

• FTE Optometrist per FTE Ophthalmologist
• FTE front office staff per FTE MD/DO/OD
• FTE non MD/OD staff per FTE MD/DO/OD

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Section 4 Accounts Receivable Management

• Total Days A/R Clinical Outstanding
• Percentage Clinical A/R in "Current" Percentage
  A/R in "30-59 days"
• Percentage Clinical A/R in "60-89 days"
• Percentage Clinical A/R in "90-119 days"
• Percentage Clinical A/R in "120 days"

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Section 5 Throughput Productivity

• Total encounters per FTE Ophthalmologist (MD/DO)
• Total encounters per FTE Optometrist (OD)
• New patient encounters as a of total encounters
  by entire practice
• Encounters per FTE MD/DO/OD Clinical Staff
• Encounters per FTE Front Office Staff

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Section 6 Facility

• Total facility cost as a of total net
  collections

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Section 7 Bottom Line

• Net clinical compensation per FTE Ophthalmologist
  
• Net clinical compensation per FTE Optometrist
• Net clinical compensation per FTE owner

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Section 8 Optical Benchmarks

• Optical collections per FTE MD/OD
• Optical collections per FTE Optician
• Optical collections per practice encounter
• Optical cost of goods sold as of Net Optical
  Collections
• Optical Operating Expenses as of Net Optical
  Collections

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8. Optical Benchmarks cont.

• Optical Rx capture rate
• Average revenue per sale
• Average cost per sale
• Average net profit per sale
• Total optical net profit or loss

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Data Review

• 7 10 days after your data has been submitted it
  will be anonymously reviewed for anomalies
• the reviewer does not have access to any of your
  demographic information, only the raw data
• Should there by any questions about your data
• An email will be sent to the authorized submitter
  through a blind delivery process.
• At this point, you will need to return to the
  survey to correct any errors.
• Resubmit as final
• Once again, your data will be reviewed.
• Note you will not have access to the reporting
  tools until you have been notified your data has
  been approved

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Data Approval

• Once your data is approved, you will receive an
  email with a link to the reporting page
• We recommend that you compare your benchmark
  against the median for that benchmark.

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Reporting Screen Page
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A number of filters are available

• Practice type
• Number of MDs
• Number of ODs
• Number of Offices
• Subspecialty
• Metropolitan Area
• Region

• Note When using filters, we will only show
  data where we have 15 or more responses that
  match the filter criteria

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Use filters for customized reporting
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Schedule

• 2008 fiscal data will be accepted until June 30,
  2009.

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For more information or to participate

• Visit www.aao.org/benchmarking
• Email benchmarking _at_aao.org