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February 14, 2025

White Paper
12 min

Taking Advantage of Data and AI for Better Healthcare Outcomes

Data platforms can help healthcare organizations achieve effective governance and set them up for AI success.

IN THIS ARTICLE

Artificial intelligence is transforming healthcare by helping organizations address challenges in clinical workflows, operational efficiency and patient care. AI tools such as ambient listening and natural language processing reduce clinician burnout and improve documentation accuracy.

Operationally, healthcare organizations are using AI to streamline revenue cycle management, optimize staffing and inventory, and enhance employee retention. IT departments leverage AI for cybersecurity, deploying it across endpoints, networks and cloud environments. Clinical advances include improved diagnostic tools and a rapidly growing market of AI-enabled medical devices.

However, organizations commonly face challenges in adopting AI, such as a lack of strategy and limited AI skills. They often must prepare for AI by modernizing their IT infrastructure so it can handle the advanced technology’s demands on computing and storage resources. Organizations that build a robust foundation — with strong data governance, leadership support and effective risk management — will be positioned to leverage AI for innovation, efficiency and better patient outcomes.

Healthcare organizations are putting AI to work to improve patient care, ease clinical workflows and increase operational efficiency.

Artificial intelligence is transforming healthcare by helping organizations address challenges in clinical workflows, operational efficiency and patient care. AI tools such as ambient listening and natural language processing reduce clinician burnout and improve documentation accuracy.

Operationally, healthcare organizations are using AI to streamline revenue cycle management, optimize staffing and inventory, and enhance employee retention. IT departments leverage AI for cybersecurity, deploying it across endpoints, networks and cloud environments. Clinical advances include improved diagnostic tools and a rapidly growing market of AI-enabled medical devices.

However, organizations commonly face challenges in adopting AI, such as a lack of strategy and limited AI skills. They often must prepare for AI by modernizing their IT infrastructure so it can handle the advanced technology’s demands on computing and storage resources. Organizations that build a robust foundation — with strong data governance, leadership support and effective risk management — will be positioned to leverage AI for innovation, efficiency and better patient outcomes.

Healthcare organizations are putting
AI to work to improve patient care,
ease clinical workflows and
increase operational efficiency.

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AI Brings Valuable Opportunities to Healthcare

Artificial intelligence has the potential to help healthcare leaders address longstanding challenges and pursue new opportunities. While the timeline and methods are evolving, many organizations are already using generative AI for clinical documentation, patient engagement and administrative support. AI-enabled ambient listening, integrated with electronic health records (EHRs), allows clinicians to spend more time with patients and reduces burnout. In one pilot, patients reported that physicians using ambient listening were more engaged during visits.

AI has shown its value for operational efficiency. According to CHIME, most healthcare organizations use it to improve revenue cycle and contract management, and nearly half use it for supply chain management. Further, nearly one-third analyze employee sentiment with AI to enhance retention.

Increasingly, IT departments are using AI to support cybersecurity, with 82% of organizations deploying or piloting it for endpoints, 70% for networks and 61% for cloud environments.

Clinical applications are advancing rapidly. For example, a leading AI model achieved 90% accuracy on the MedQA clinical knowledge test in 2023, nearly triple its 2019 performance. The availability of AI-enabled medical devices, especially for radiology, is also expanding, with the U.S. Food and Drug Administration approving 139 devices in 2022.

Healthcare organizations are focusing on value, carefully assessing AI’s return on investment before adopting it widely. Early successes are encouraging broader exploration of AI solutions. Across industries, McKinsey found that organizations deriving the most value from generative AI use it to support multiple business functions while managing risks and adhering to best practices.

However, only about half of healthcare organizations have leadership support and a clear AI strategy. To achieve optimal results, they need strong data governance, data quality, privacy and security measures, and proper staff training.

As AI capabilities grow, more clinicians, patients and staff will expect these services. Organizations that establish a strategic foundation now will be best positioned to leverage AI for innovation and improved outcomes.

Healthcare organizations are putting AI
to work to improve patient care,
ease clinical workflows and
increase operational efficiency.

AI Brings Valuable Opportunities to Healthcare

Artificial intelligence has the potential to help healthcare leaders address longstanding challenges and pursue new opportunities. While the timeline and methods are evolving, many organizations are already using generative AI for clinical documentation, patient engagement and administrative support. AI-enabled ambient listening, integrated with electronic health records (EHRs), allows clinicians to spend more time with patients and reduces burnout. In one pilot, patients reported that physicians using ambient listening were more engaged during visits.

AI has shown its value for operational efficiency. According to CHIME, most healthcare organizations use it to improve revenue cycle and contract management, and nearly half use it for supply chain management. Further, nearly one-third analyze employee sentiment with AI to enhance retention.

Increasingly, IT departments are using AI to support cybersecurity, with 82% of organizations deploying or piloting it for endpoints, 70% for networks and 61% for cloud environments.

Clinical applications are advancing rapidly. For example, a leading AI model achieved 90% accuracy on the MedQA clinical knowledge test in 2023, nearly triple its 2019 performance. The availability of AI-enabled medical devices, especially for radiology, is also expanding, with the U.S. Food and Drug Administration approving 139 devices in 2022.

Healthcare organizations are focusing on value, carefully assessing AI’s return on investment before adopting it widely. Early successes are encouraging broader exploration of AI solutions. Across industries, McKinsey found that organizations deriving the most value from generative AI use it to support multiple business functions while managing risks and adhering to best practices.

However, only about half of healthcare organizations have leadership support and a clear AI strategy. To achieve optimal results, they need strong data governance, data quality, privacy and security measures, and proper staff training.

As AI capabilities grow, more clinicians, patients and staff will expect these services. Organizations that establish a strategic foundation now will be best positioned to leverage AI for innovation and improved outcomes.

Healthcare organizations are putting AI
to work to improve patient care,
ease clinical workflows and
increase operational efficiency.

The AI Landscape in Healthcare

43%

The percentage of medical groups that added or expanded their use of AI tools in 2024

Source: Medical Group Management Association, “Pace of AI adoption in medical groups quickens in 2024,” Oct. 9, 2024

47%

The percentage of healthcare, pharmaceutical and medical product organizations that develop or significantly customize generative AI models versus 53% that use off-the-shelf tools

94%

The accuracy rate of a new AI model developed at Harvard Medical School to perform multiple types of evaluation across 11 types of cancer

Source: Harvard Medical School, “A New Artificial Intelligence Tool for Cancer,” Sept. 4, 2024

The AI Landscape in Healthcare

43%

The percentage of medical groups that added or expanded their use of AI tools in 2024

Source: Medical Group Management Association, “Pace of AI adoption in medical groups quickens in 2024,” Oct. 9, 2024

47%

The percentage of healthcare, pharmaceutical and medical product organizations that develop or significantly customize generative AI models versus 53% that use off-the-shelf tools

94%

The accuracy rate of a new AI model developed at Harvard Medical School to perform multiple types of evaluation across 11 types of cancer

Source: Harvard Medical School, “A New Artificial Intelligence Tool for Cancer,” Sept. 4, 2024

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The Challenges Facing Healthcare AI

Challenges to AI adoption include legacy technologies and cultural resistance to AI-enabled workflows. Suitable IT infrastructure is the baseline requirement from a technology perspective, but even a modernized environment may be unprepared for AI if organizations lack foundational governance and an overarching strategy to guide decision-making.

LACK OF AI STRATEGY: A common misstep is treating AI as a solution in search of a problem. A better approach is to identify the problem and then determine whether AI provides an effective solution. An AI strategy helps leaders make these determinations while ensuring that AI investments align with IT and business objectives.

INSUFFICIENT GOVERNANCE: IT teams and line-of-business personnel should contribute to data governance (the policies and processes that guide an organization’s approach to data privacy, security, stewardship and other areas). Governance frameworks should also address risk, decision-making, AI product selection and ROI metrics. Without proper governance, poor data quality will impair AI outcomes.

POOR DATA QUALITY: Data quality encompasses not only accuracy, integrity and completeness, but also timeliness, consistency, validity and uniqueness. It is a cornerstone of AI initiatives, data-driven decision-making and operational efficiency. Having an effective approach to improving and maintaining data quality ensures that organizations can trust their data to generate reliable AI outputs.

INEFFECTIVE CYBERSECURITY: To use AI securely, organizations must know how tools are used, who has access, what the data inputs and outputs are and how data is secured. Cybersecurity professionals say their top concern about generative AI is that a large language model could potentially expose sensitive data, a significant compliance risk.

NEED FOR AI SKILLS: AI skill building is essential, but an AWS survey found that 78% of U.S. healthcare employers are unsure of how to implement an AI training program. Expert partners can help organizations develop appropriate role-based training; for instance, executives require fluency in data literacy, while administrative teams may need training in prompt engineering.

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The Future of AI in Healthcare

Between AI systems rapidly improving their clinical knowledge and medical device makers quickening the pace of innovation, AI in healthcare is poised for expansion. In some of the most promising applications, researchers are exploring the use of AI to forecast viral evolution and inform pandemic preparedness, diagnose Alzheimer’s and other neurodegenerative diseases more quickly and understand genetic mutations.

Medical Imaging: New research suggests that combining AI systems and traditional clinical methods to diagnose medical imaging may deliver better results than clinicians or AI alone.

Machine Vision: Two-way cameras in patient rooms and other spaces set the stage for expanded applications of machine vision, such as virtual nursing and data capture in operating rooms.

Care Administration: An AI model that incorporates EHR data sets could significantly alleviate clinicians’ administrative workloads. In 2024, researchers moved closer to this capability with a new, EHR-focused benchmark.

Synthetic Data: Created by generative AI systems, synthetic data mimics real-world data to allow for research, development and machine learning while protecting actual patient information.

Healthcare organizations are putting AI
to work to improve patient care,
ease clinical workflows and
increase operational efficiency.

Lee Pierce

Healthcare Strategist

Lee Pierce is a CDW Healthcare Strategist.

Ben Sokolow

Healthcare Strategist

Ben Sokolow is a CDW Healthcare Strategist.