Managerial support for an optometry practice : a business analytics study

Date
2011-12
Authors
Kotze, Melandi
Journal Title
Journal ISSN
Volume Title
Publisher
Stellenbosch : Stellenbosch University
Abstract
ENGLISH ABSTRACT: The South African optometry industry has limited literature available regarding the ideal management of optometry practices. This makes it difficult for optometry practices to evaluate their performance in order to make better informed decisions for the future of their practice. According to other studies done on the South African optometry industry, optometry practice management is not initially included in the optometry post graduate or undergraduate programs. Therefore managerial skills and knowledge in most optometry practices is very limited. This report studied a specific optometry practice that strives for better business management in order to breakeven as soon as possible and to become profitable. The approach to the project was to evaluate the practice’s performance in comparison with the industry benchmarks that is available. The industry benchmarks are United States based, but can be used as a good approximation of the South African industry, seeing as literature was found to support this assumption. It was found that the practice is performing well in terms of the industry benchmarks, but certain areas were identified where there is improvement potential. These areas were analysed in more detail in order to generate possible solutions that could possibly improve the management procedures and processes used in the optometry practice. It was found that the major setback for the practice is the lack of clients in general and specifically contact lens clients. When the client base expands the revenue will increase. This report provides recommendations to aid the management procedures in the practice in order to attract more clients and to ultimately become profitable.
AFRIKAANSE OPSOMMING: Beperkte literatuur met betrekking tot die Suid-Afrikaanse optometrie industrie en die bestuur van praktyke is beperk. Gevolglik is dit moeilik vir Suid-Afrikaanse praktyke om hul effektiwiteit in die industrie te meet om ingeligte besluite vir die toekoms te neem. Volgens studies in Suid Afrika gedoen met betrekking tot die optometrie industrie, word bestuurs klasse nie ingesluit in voorgraadse of nagraadse kursusse nie. Gevolglik is bestuur agtergrond en kennis baie beperk in optometrie praktyke. Hierdie verslag ondersoek ‘n spesifieke optometrie praktyk wat na meer effektiewe bestuur van hul praktyk streef om spoedig finansieël gelyk te breek asook winsgewind te word. Die benadering tot hierdie verslag was om die huidige effektiwiteit van die praktyk te evalueer en met standaarde van die optometrie industrie te vergelyk. Die industrie standaarde verkrygbaar is gebaseer op die U.S. standaarde, maar is van toepassing op Suid-Afrikaanse optometrie praktyke volgens literatuur studies gedoen. Die ondersoek se resultate het getoon dat die praktyk goed presteer met betrekking tot die industrie standaarde, maar terselfdetyds is areas waar verbeter kan word ook geïdentifiseer. Hierdie areas is meer in diepte ondersoek om potensiële oplossings te genereer wat moontlik die bestuurs besluite en prossese vir die optometrie praktyk kan verbeter. Die belangrikste bevinding wat voortvloei uit die navorsing rakende die praktyk is die gebrek aan voldoende kliënte in die algemeen, maar meer spesifiek kontak lens kliënte. Om die inkomste te vergroot is dit noodsaaklik dat die kliënte basis uitgebrei word. Hierdie verslag bied aanbevelings vir die praktyk om bestuursbenadering moontlik aan te pas om die kliënte basis vinniger uit te brei en die praktyk op ‘n winsgewende pad te plaas.
Description
The objective of this study is to engineer the business procedures of optometry practice X in order to optimize the practice’s daily management with the intention to become profitable. The initial aim of the study will be to find measurements suitable to evaluate practice X with, in order to identify areas with improvement potential. The proposal of solutions and setting of goals to effect these improvements and implement it within the practice will be considered.
Final year project, 2011
Keywords
Optometry, Business management, Breakeven analysis, Sensitivity analysis, Optmetry practices -- Management
Citation