Strategic Goals

We have often said that once you've seen one dental group practice you've seen just that - one dental group practice. We have always appreciated that each dental group is unique, has its own history and culture and has its own story to tell. Health care is a local business, always has been and always will be. This is why each of our affiliated dental practices maintains its own identity.

Diversity is strength as long as it is rooted in common values and principles. We recognize this and realize to build a national organization of affiliated dental group practices with distinct cultures, we need to establish common strategic goals and objectives. Described below are the seven strategic goals that we view as critical to our success. These goals are interdependent, with no one goal more important than another. These goals guide the relationships we build with our affiliated dental practices and set the framework for our differentiation through execution.

Partnership in Management

To ensure the appropriate sharing of operating governance and financial risk and reward with each affiliate.

Our success will be determined by the strength of the relationships we build with our affiliated dentists. Therefore, we developed our unique affiliation model centered around a partnership in management. Our affiliated dentists maintain their own professional corporation and clinical autonomy. In addition, in each affiliation, a policy board, comprised of an equal number of representatives from American Dental Partners and the affiliated practice, jointly develops strategy and decides major business initiatives. Finally, the relationship is structured so that we share in the financial success of the affiliation. In short, the relationship we structure with affiliated dentists has the critical elements of any business partnership, a voice in governance and a sharing of financial reward.

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Operating Excellence

To pursue continuous improvements in the performance and profitability in each affiliate.

Our goal is to continually improve on past performance. We strive to improve operating performance in recognition of the fact that it benefits directly the delivery of patient care. Operating effectiveness increases patient satisfaction, the true measure of how well we and our affiliated dental group practices are doing. To improve, we have identified key operating areas to be measured, such as facility utilization, staffing and scheduling, and we have developed related metrics to track our progress in these areas at the
affiliate level.

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Integration of Technology

To optimize the provision of dental care and service through the integration of technology.

Through the development and use of the most functionally advanced information systems, our affiliated dental group practices have better access to business and clinical data to make educated decisions in an efficient manner. For example, our proprietary practice management software empowers our affiliated dental group practices with the ability to best manage productivity and improve profitability through advanced scheduling, electronic data interchange (EDI) and consolidated management reporting. Future functionality currently in development will include digital radiography and an electronic dental record.

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Continuous Growth

To progressively increase the market share and geographic presence of each affiliate.

To this end, we use our capital advantage and substantial business resources to assist our affiliated dental group practices in setting and achieving growth targets. Their growth is accomplished by building new facilities, acquiring smaller practices, developing new care programs and recruiting additional dentists. This growth, in turn, creates the opportunity for professional growth for both our employees and affiliated dentists.

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Financial Performance

To achieve attractive returns on capital which will allow continuous reinvestment.

All of our goals are interdependent. By achieving our first six strategic goals, strong financial performance and success will result. This performance, in turn, is critical to financing our future success. In order to benefit from the continued investment of capital, we must seek to earn financial returns that are attractive for the dental industry.

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Quality of Worklife

To foster a work environment that is rewarding and motivating to team members.

We recognize that to create a work environment that is rewarding and motivating to team members requires significant commitment and resources. Competitive compensation and employee benefit packages are threshold requirements but in and of themselves, they are not rewarding and motivating. People are motivated by working in an environment that values and respects them. They are motivated by working in organizations that are innovative and growing - constantly striving to achieve excellence. Our commitment to our team members is demonstrated by our modern, state-of-the-art facilities, proprietary training and leadership development programs and dedication to creating a workplace that is based on values of putting people first.

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Quality Care and Service

To ensure the provision of high quality, high value dental care and service.

All of our goals are interdependent. By achieving our first six strategic goals, strong financial performance and success will result. This performance, in turn, is critical to financing our future success. In order to benefit from the continued investment of capital, we must seek to earn financial returns that are attractive for the dental industry.

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