INTERVIEW/Robert Molloy, redmondmolloy.ie:MERGERS AIMED at increasing buying power, reducing costs and supporting expansion are nothing new in the world of business – but in the conservative world of Irish dentistry, they're still a rarity.
So it’s interesting that two long- established Dublin dental practices have come together in a merger that will lead to investment of €3 million, 15 new jobs and two ultramodern new surgeries.
The merger is interesting for several reasons: dental practices in Ireland have traditionally been one-person bands; the new group, Redmond Molloy, is bucking the economic trend, expanding while all around it is contracting; and the trio behind the merger have nothing but praise for their bank.
But underlying all of this, it is perhaps most interesting because what has given rise to this dramatic change in approach to the old-fashioned dental surgery has been a generational shift.
“My dad, Tom Molloy, was what I suppose you could call a traditional suburban dentist running a successful practice from a typical semi-D in Santry,” says Robert Molloy (34), one of the three dentists behind Redmond Molloy.
“When he retired in 2000, my brother, Conor, and I bought the practice from him. We extended the house and turned it into a proper clinic. We expanded to four dentists, a hygienist and 11 ancillary staff, and opened from 7.30am to 7pm – increasing our surgery hours from 70 to 166 a week.
“We expanded the business as much as we could. But even so we were frustrated because we felt we still didn’t have any real buying power with the dental suppliers – who are typically paid anything up to around 40 per cent of turnover for dental materials.”
Across the city in Sutton, Keith Redmond was having much the same experience. He had expanded his surgery’s hours from 21 to 90, employed two additional dentists and, like the Molloys, was wondering about the next stage in this progression.
Redmond Molloy was set up towards the end of 2008, and last December it opened a flagship surgery at Sir John Rogerson’s Quay in the city centre, adding five staff and bringing the total to 25. A further 10 will be employed at its fourth surgery in Balbriggan.
“We’re not just dentists, we’re dentists running a business – and that’s the difference,” says Molloy.
“We have a shareholders’ agreement, we each have specific areas of responsibility and separate budgets, we meet once a week to review progress, and any disagreements are dealt with by a straightforward vote though, in fact, it’s been a great meeting of minds.
“We see ourselves as building a brand – and the essence of that brand is expert progressive care.”
However, when it comes to the business side of Redmond Molloy, the trio have a secret weapon: management consultant John Tracey – a long-time friend of Redmond’s – who has a 25 per cent share in the business.
“John is the voice of reason when it comes to the financial side of things,” Molloy laughs. “And when we talk about dentistry, he’s the layman, the voice of the consumer. It’s a good balance.”
As for the dentists’ bargaining power, it has improved since the advent of Redmond Molloy. “[The new surgery in] Balbriggan will add a further two dentists, bringing us to 11 or 12. So yes, the suppliers are beginning to take notice. We’re still learning, but we’ve had a reduction of 7 or 8 per cent already in the cost of consumables, which is a start.”
And what’s good for Redmond Molloy is good for their bank, AIB in Santry, for whom Molloy is full of praise – bucking another widespread trend. “They’ve been excellent. We’ve found them flexible and willing to listen. In our experience, they’re certainly not closed for business at all.”
ON THE RECORD
Name: Dr Robert Molloy
Company: Redmond Molloy dental group
www.redmondmolloy.ie
Job:Co-founder and partner
Age:34
Background: Received a first in dental surgery from the University of Wales in 1998 and completed his training in facial aesthetics at the Royal College of Physicians in London.
Joined his father and brother in the family practice in Santry. Bought the practice with his brother when their father retired in 2000, and began expanding.
Set up Redmond Molloy with his brother and Dr Keith Redmond in 2008.
Inspired by:"My father, Tom, and my brother, Conor . . . And, in the current economic climate, I admire anyone who's running a business."
Challenges:Convincing patients that dentistry today is nothing like the old "Is it safe?" scene from the 1970s film, Marathon Man: "With advances in anaesthetics and . . . needles, going to the dentist can now be a totally pain-free experience."
Most important thing learned so far: "I'm still learning, but so far I would say it's to always try to adapt each patient's care to his particular needs . . . we must stay flexible and keep patient care to the forefront."
