Practus’ CFO Solutions assisted the diagnostic centers in improving DSO from 90 days to 69 days and productivity per salesperson by 10%.

Client NameROIIndustryOwnershipManagementNo. of EmployeesSizeProject Duration
A Chain Of Diagnostic Centres~4.4x
Doctor Owned
Doctor Managed
<$10 million
18 months

About The Company

A chain of ultramodern diagnostic centers with facilities like digital X-ray, digital imaging, digital mammography, bone densitometry, sonography, cardiac imaging, advanced dentistry, spirometry, eye check-up, cancer detection, 3D/4D Ultrasound, advanced dentistry, total body fat analysis, and other services are available. Practus assisted with CFO services to improve the company’s DSO.​

Practus’ Role in CFO Services

  • Supervised the creation of a business strategy and a long-term company plan.​
  • Providing assistance to the Doctor CEO with Annual Performance Management Systems and Budgets.​
  • Financing and operating management information systems were implemented to streamline loss-making centers and invest in high-potential centers.​
  • Standard Operating Procedures (SOPs) were implemented for all SBUs.​
  • Set credit controls and improve collection from hospitals and insurers to streamline operating capital.​
  • Led decision-making on equipment purchases versus leases, new center openings, and franchise negotiations.​
  • Costing systems were introduced to calculate profitability at the test level.

Impect Delivered in CFO services

  • The DSO was cut from 90 to 69 days, resulting in a 32% increase in efficiency.​
  • Re-agents and consumable expenditures were reduced by 9%.​
  • Two non-profitable units were closed, one was moved to break-even, and three other centers’ profitability was enhanced.​
  • Client retention increased from 68 percent to 87 percent as a result of improved customer analytics.​
  • Charges for 12% of the tests were increased by an average of 30% based on precise costing.​
  • Regular sales force performance tracking increased productivity per salesperson by 10%.

See how Practus can assist you in improving your organization’s Performance