Dos and don'ts for practice finance: Ordering more efficiently

Dental supplies make up approximately 6% to 8% of most practice overhead. Like many expense categories, this is significant and needs to be continually evaluated.

Negotiate deals. Depending on the customer, most sales reps have a sizable margin to work with. This means they can often increase or decrease your supply cost considerably. For example, if supplies make up 8% of your total expenses, a 20% savings on purchases would result in a significant 1.6% drop in total overhead. If you tend to use one main sales representative, let this individual know that as part of your relationship you expect the best pricing.

Don't stockpile. Your closets don't need to resemble a bomb shelter with supplies to last you five years. These days, virtually any supplies can be delivered very quickly. There's simply no need to be a pack rat where supplies are concerned. Excessive supplies take up valuable space that can be used for other purposes.