We supported a Dentist Agency in the delicate phase of credit management and insurance practices through “ad hoc” management consultancy
We were contacted by the owner of an important Dental Agency with the task of managing liquidity and debt collection, assisting the staff in charge of managing practices with customers and insurance companies.
Due to the fast pace of work, we found that within the firm there was no timely control of payments.
This situation was causing a progressive lengthening of the collection times of patients’ credits and a worrying slowdown in the settlement of insurance practices, compromising the regulatory mechanisms of the firm’s financial management.
We have implemented a control system for incoming and outgoing liquidity flows.
Regarding to credits, we analyzed them on the basis of ageing and found that the ratio between short and long-term credits was unbalanced.
Regarding to insurance, the problem was centered on the imperfect coordination in the sending of health or administrative documentation, with the consequence that many practices were stopped due to failure to complete them.
Regarding to loans, we have created a customer segmentation based on patient reliability ratings, managing to raise awareness in the firm in granting payment terms only to deserving ones.
Regarding the management of insurance practices, we carried out an assessment of the margins of the various services and a review of the insurance rates was requested.
The results achieved were better credit management and the recovery of 60% of the same in three years!
The goal was achieved thanks also to the willingness of the firm to change its administrative habits and the collaboration offered in supporting the professionals of G&G Consulting.