Editor’s note: AI is no longer a distant promise in healthcare—it’s reshaping how systems deliver care, understand data, and run operations. But with so much hype, it’s hard to see what truly works.
This 3-part series highlights real use cases and lessons from AI in healthcare, with one goal: to help leaders find traction today and move toward better patient care, sustainable systems, and stronger margins
Healthcare executives frequently discuss AI, but few organizations successfully implement it.
MIT highlights that AI and machine learning promise to transform operations, yet most initiatives stall in the pilot phase. The difference between success and failure isn't the technology—it's about focusing on clean data, integrated workflows, and measurable outcomes from the start.
Growth of AI and Machine Learning in Healthcare
Healthcare leaders see AI and machine learning as essential for the future, yet most adoption plans remain stuck in ideation or proof-of-concept stages. Organizations experiment with AI-driven insights across clinical care, pricing, and claims, but implementing AI solutions resulting in measurable outcomes is rare.
That said, some areas lead the way:
What separates real AI integration progress from stalled pilots? It’s not technology—it’s the approach.
Defining Healthcare Problems First: A Smarter Path to Healthcare AI Success
Organizations often ask, “How can we use AI?” The better question is, “What problem should we solve first?”
In our work with healthcare systems, we advise the following framework to ensure AI and machine learning initiatives deliver measurable results:
- Focus narrowly. Start with a specific use case before expanding.
- Define value. Identify outcomes like reduced costs, saved time, or better quality.
- Engage partners. Bring early adopters and subject matter experts into your AI strategy early on.
- Integrate into workflows. Make artificial intelligence and machine learning part of the process, not an extra step.
- Iterate quickly. Learn from feedback and refine.
- Scale what works. Roll out proven solutions across the organization.
Healthcare AI in Action: Automating Clinical Chart Abstraction with Defined Metrics for Success
Health Catalyst applied this approach to automate chart abstraction for an entity submitting data to the Society of Thoracic Surgeons (STS) Adult Cardiac registry. Before expanding to other registries, we made sure the organization was primed for success. In this case, we ensured teams had:
- A focused start: Began with one registry, not all at once.
- Measures of success: Reduced manual work, improved accuracy, and freed staff for higher-value tasks.
- Engaged users: Partnered with abstraction teams from the start.
- Seamless integration into workflows: Built AI into the registry workflow for transparency and reduced administrative burden.
Working closely with abstractors across the organization, the model improved after multiple iterations:
- The initial version suggested answers without evidence—users wanted AI to show its work.
- The next model, Retrieval Augmented Generation (RAG), displayed supporting text, raising accuracy to ~73%.
- A Retrieval-Augmented Fine-Tuning (RAFT) model pushed accuracy to ~.5% with relevance filters.
Each step increased confidence and drove adoption. This project shows how focused, collaborative work transforms AI from theory into impact.
Why Data Quality Defines AI and Machine Learning in Healthcare
Health systems must prioritize high-quality data to achieve measurable improvement. AI in healthcare can be powerful, but without high-quality data, it’s like using a broken compass.
For effective AI insights, health systems must prioritize quality data, and this means:
- Data completeness and accuracy. Fine-tune the breadth and depth of data. Incomplete or inaccurate data will lead to poor AI results.
- Real-time data availability. Real-time data is critical for timely actionable insights. Whenever possible, assess the freshness of your data.
- Integration capabilities. Data systems must be able to integrate seamlessly with other platforms to ensure comprehensive data analysis.
- Data quality. Quality data is the foundation for reliable insights. Poor quality leads to misinformed AI models.
- Robust data architecture. A strong, scalable architecture is crucial for managing and processing large amounts of data effectively. Build on a scalable, cloud-native infrastructure that unifies data and accelerates time-to-value.
- Governance structures. Establish governance policies to ensure data integrity, security, and compliance with regulations.
Healthcare AI requires strong data, active partnerships, and clear accountability. With those elements in place, AI moves from hype to measurable improvement—every time.
Frequently Asked Questions about AI in Healthcare
- Why do most healthcare AI projects fail to scale? Most healthcare AI projects stall because organizations focus on technology instead of strategy. Success requires clean, integrated data, workflow alignment, and clear measurable outcomes—not just a pilot model.
- What is the biggest barrier to successful AI adoption in healthcare? The biggest barrier is poor data quality and lack of integration. Without accurate, real-time data and seamless workflows, AI models produce unreliable insights and fail to gain clinician trust.
- How can hospitals move beyond AI pilots to measurable results? Hospitals and other organizations can move beyond pilots by starting with a focused use case, defining success metrics, engaging clinicians early, integrating AI into existing workflows, and scaling proven solutions across the organization.
- Why is data quality critical for AI in healthcare? Data quality underpins AI accuracy. Incomplete or outdated data leads to poor predictions. High-quality, real-time, integrated data ensures reliable insights and drives measurable improvement in patient care and operations.
- What steps should healthcare leaders take before implementing AI? Leaders should:
- Identify a high-value problem to solve.
- Define measurable outcomes.
- Engage clinical and operational stakeholders.
- Ensure data readiness and governance.
- Integrate AI into workflows, not as an extra step.
Ready to scale AI beyond pilots? Stop stalling in proof-of-concept and start achieving results. Schedule a consultation.