Is In-Office Finishing Right For Your Eye Care Practice?

Many private eye care practices with an optical dispensary ask for advice on whether they should perform in-office finishing —  it’s a great question because there are many benefits. Advantages include increased profit, faster turnaround time, better customer service, differentiation and combating big box and online competition. In-office finishing isn’t for everyone, though, and if implemented, it must be managed effectively to reap the benefits. So how do you know if in-office finishing is right for you?

Factors To Consider 

Before you take the leap and bring lens finishing into your office, consider these points:  

• Financial
  The costs for implementing in-office finishing are significant and should be evaluated carefully with respect to your optical and overall budgeting. The first expense is equipment, which includes edgers, tracers and blockers. There are new and refurbished options available for each, and you should shop around to get the best value. For refurbished equipment, expect to pay $15,000-$30,000 for a used edger, plus another $6,000 for blockers, tracers, installation and maintenance. For new equipment, the cost is about double. See below for a Return on Investment (ROI) analysis that helps you consider time to recoup your investment.
   
• Time
  Time spent on training and operating the equipment, ongoing maintenance and supplies needed to successfully complete the work should be factored into the final cost.
   
• Space
  Many opticals are cramped for space. Realistically evaluating your optical and/or available office square footage is key to determining if this is right for you. Equipment will take up valuable counter space, as will the proper ventilation and drainage systems. You need to measure to make sure it will all fit — you should plan on 64-200 square feet. If you’re opening a new office or remodeling and want to add in-office finishing, make sure you plan for it. Another space consideration is storage for the stock lenses you will need to keep on hand, as well as all edging supplies.
   
• Staffing
  While new equipment is easy to use and does much of the work automatically, skilled staff members are still necessary to run the machines and inspect the final product. Staff are also necessary to manage stock lens inventory and ongoing equipment maintenance. If you feel like your optical department is barely getting by, then postponing in-office finishing and creating an action plan to address staffing might be a better course of action in the short term. Make sure you will use the equipment every day; otherwise, it’s a very expensive dust collector.
   
• Details
  Determine the details, such as:
  • Are you going to charge a rush fee for same-day service?
  • What parameters are you going to use to determine if the job is completed in-house or sent to your outside lab?
  • Are you going to cut managed vision care jobs in-office as these lenses need to be purchased from a specific vendor?
  • How many lenses are you going to stock and in what power ranges?
  • What will your remake and warranty policy be?

You’ll need to answer all of these questions and more as you create in-office finishing guidelines for your practice.

Advantages

In-office finishing requires a large investment, but let’s look at the financial advantages. The cost of finishing lenses in-house is about half the cost of outsourcing to a lab. For example, if a lens costs $50 from an outside lab, you can expect to pay $25 or less for it by edging yourself. Using these numbers, if you perform about 5-8 jobs/day, you could break even in about 12 to 18 months. Even if you perform 3 jobs/day, that still results in an estimated $39,000 in annual savings, and you can increase that amount with premium lenses, coatings and materials.

Decide What’s Right For Your Practice

So, is in-office finishing right for you?  Using these guidelines and answering the questions above will help you make a confident decision. If done properly, in-office finishing can yield significant advantages. Do your homework: research thoroughly, ask questions, be transparent, and seek input from your team and trusted vendors to avoid mistakes and keep your in-office edging program successful.

If you would like to discuss in-office finishing feasibility for your optical, contact Kayla Irwin or Joel Daniel, PECAA's Optical Business Advisors — a complimentary benefit with your PECAA Max membership! Not a PECAA Member? Contact us to learn how PECAA can help your practice thrive.