Article

Turning strategy into action is the next capacity frontier

Health systems may know where opportunity exists, but capturing it requires an enterprise built to act.

VizientKauffmanArticle
By Michael D. Busch, FACHE, Nicole (Nikki) Gruebling, DNP, RN, NEA-BC and Tom Stoffel, LSSBB
12 min readNov 10, 2026
Financial sustainabilityClinical operations and qualityWorkforce management and culture
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Turning strategy into action: The next capacity frontier

A patient in the emergency department needs an inpatient bed. The bed exists upstairs, but it’s not available because the patient occupying it is ready for discharge and waiting for clearance from a consulting physician. Or perhaps that patient should never have been in the emergency department in the first place, but delayed care in an alternative ambulatory setting because of access issues.

This is how an operational delay becomes an enterprise access problem. For the hospital, one unresolved barrier affects the emergency department, inpatient flow, and the system’s ability to accept higher-acuity patients. And for the ambulatory setting, identifying access challenges earlier could be the difference in a patient choosing an emergency department visit, or worse yet, a competitor.

Healthcare organizations are not short on ideas for improving capacity, and many of the solutions are well understood. Identifying discharge barriers earlier, coordinating care across teams, escalating unresolved issues, and standardizing workflows are proven approaches to improving patient flow. Meanwhile, new technologies and innovations—from artificial intelligence to redesigned discharge processes—continue to emerge, often supported by compelling results from other health systems.

Yet the same interventions can produce dramatically different outcomes across organizations. Why? Because the differentiator is often not the solution itself, but the organization's ability to act on it consistently.

Sustainable improvement requires an enterprise management system that connects strategy to frontline action, aligns physician and operational leadership around shared goals, and establishes the discipline to continuously identify problems, remove barriers, measure results, and adapt.

The challenge is taking action consistently across a complex enterprise where financial, clinical, workforce, and operational priorities often compete for attention. Healthcare organizations are traditionally structured around individual departments, service lines, and facilities, while patient flow depends on coordinated decisions across all of them. Success requires more than managing project bandwidth. It requires focused priorities, shared accountability, physician and operational leadership alignment, and the discipline to carry through across organizational boundaries.

Twenty years of Vizient research on top-performing healthcare organizations reinforces that point. Across that research, five characteristics—leadership, shared purpose, collaboration, accountability, and a focus on results—repeatedly emerge.

Discovering new capacity requires leaders to change how projects and priorities are set, how work gets done, how accountability systems operate, and how results are measured.

Your 60-second read
  • Taking action may be healthcare’s most consequential capacity constraint. Health systems often know where access and capacity opportunities exist. The harder part is turning that knowledge into consistent high-impact action across the enterprise.
  • More priorities can mean less progress. Project bandwidth, capital, leadership attention, and frontline capacity are finite. Leaders need to make deliberate choices about what moves forward, what waits, and what stops.
  • Enterprise strategy has to change daily work. Capacity is created through thousands of operational decisions—deploying lean tools, identifying discharge barriers earlier, opening beds sooner, improving schedule utilization, and reducing delays in patient flow.
  • Accountability requires clinical alignment and operational discipline. Effective capacity management depends on physician and operational leaders working toward shared goals, supported by clear decision rights, aligned incentives, and consistent management practices.
  • Measure impact, not implementation. A new workflow, command center protocols, or AI tools are process solutions—not defined results. Strategic action shows up in improvements in access, flow, capacity, quality, and financial performance.

1. Choose fewer priorities and fully support them

Health systems are not short on worthwhile improvements or projects. The challenge is deciding how many projects the organization can support, deserve focused attention, and how to align resources behind them.

For example, a system may try to tackle discharge-by-noon, multidisciplinary rounds, emergency department throughput, scheduling redesign, workforce changes, and new technologies at the same time. Each may be reasonable, but together they can exceed the organization’s ability to deliver any of them well.

Leaders must separate the key drivers of improvement from the long list of initiatives that could affect results. A strategy with 20 project priorities may stretch leadership beyond its ability to act on them well.

That requires resisting “paralysis of analysis”—collecting more data, studying more options, and waiting for greater certainty while operational problems continue.

It also requires project subtraction. Frontline capacity is finite, as are capital and management bandwidth. Leaders need to decide what can wait, what should stop, and where resources need to be allocated.

Even work labeled “transformation” can become another layer of projects if leaders are unwilling to match resources to available bandwidth. Meaningful transformation requires clearly defined projects, deliberate resource staging and an operating model that accelerates the speed to impact and hard-wire improvements for longer term sustainability.

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This article is part of the Vizient Access and Capacity Framework series, which examines how health systems can improve access, optimize enterprise capacity, and strengthen financial performance through operational transformation. Explore our other articles:

2. Make strategy actionable at the frontline

While “improve capacity” makes sense in an executive strategy meeting, it likely means very little to a nurse caring for six patients on Tuesday morning.

Instead of asking frontline teams to increase inpatient capacity, leaders must translate that objective into actionable improvements in daily patient care. This starts with giving teams the data, tools, and authority to identify and resolve barriers to patient progression. Which patients are waiting on tests, consultations, transportation, or post-acute placement? Were those barriers identified early enough to intervene? Are there recurring process failures that need to be addressed?

Lean-based problem-solving methods, such as Plan-Do-Check-Act (PDCA) and value-stream mapping, help teams identify root causes, redesign workflows, and test improvements. Combined with clear accountability and structured escalation processes, these practices turn daily operational challenges into opportunities for continuous improvement.

What does strategy mean on Tuesday morning?

The same principle plays out across the system. Reduce emergency department door-to-bed time. Open an inpatient bed earlier. Improve schedule utilization. Remove unnecessary steps from a transfer. Individually, those changes can appear incremental, but repeated across thousands of patient encounters, they become capacity.

The challenge is making those changes workable for the people expected to carry them out. A nurse manager may initially resist a new rounding task intended to reduce length of stay because it appears to add responsibility to an already full day. But when earlier coordination helps the team identify and address discharge barriers before they become last-minute problems, the work can reduce rework and improve efficiency.

Successful implementation depends on engaging frontline teams in designing workflows that remove friction rather than simply adding another task.

Leaders must translate the enterprise objective into a structured process grounded in lean problem-solving, with measures that frontline teams can understand, influence, and act upon. Examples include earlier identification of discharge barriers on inpatient units, door-to-bed time in the ED, schedule utilization in ambulatory care, and acceptance and placement delays in transfer operations.

Those operational design tools and measures give teams something concrete to act on while keeping the work connected to the larger goal. Without leadership defining the process of work redesign, strategy stays at one level of the organization while action is expected to somehow happen at another.

Case study: The value of capacity already in reach

A Great State Health analysis shows the scale of the opportunity. For a representative midsize health system and flagship tertiary medical center, improving inpatient portfolio distribution alone could produce 853 fewer low- and medium-acuity inpatient discharges and free 2,782 inpatient days for higher-acuity care. The modeled impact includes $11.6 million in annual cost savings and up to $4.4 million in incremental revenue through higher-value backfill.

Across five access and capacity opportunities, the analysis identified up to $88.9 million in annual cost savings or $127.6 million in incremental revenue through better use of existing capacity. Those figures represent potential, not performance. Data can show leaders where capacity is hiding; taking strategic action determines whether the organization captures it.

3. Accountability for the whole, not just the parts

Access and capacity cannot be managed department-by-department because a constraint in one part of the system quickly becomes a problem somewhere else.

While collaboration matters, someone still must be accountable for the whole. An executive leader or enterprise governing body needs clear responsibility for access and capacity across the continuum, along with the authority to resolve conflicts that individual hospitals, service lines, or functions cannot resolve alone. Accountability without decision-making authority simply creates another layer of oversight.

Leaders also need to be explicit about which decisions belong at the enterprise level such as where services should be located, which capacity investments take priority, when resources should shift, and who decides when the best choice for the enterprise conflicts with the interests of an individual hospital or service line.

Scorecard metrics, capital, workforce planning, and technology investments must support enterprise accountability. If leaders are evaluated primarily on the performance of their own facility or department, local optimization will continue to conflict with enterprise results.

This is where decision making gets uncomfortable. If moving a service improves systemwide capacity but reduces volume at one hospital, who has the authority to make that decision? If an ambulatory investment creates value elsewhere in the enterprise, whose P&L determines whether it proceeds?

These are tests of whether leaders have framed a strategy and built an operating model capable of prioritizing enterprise performance ahead of local interests when the two collide.

What 20 years of top-performance research tells us about strategic action

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Vizient research into top-performing healthcare organizations has repeatedly identified characteristics associated with stronger and more sustainable performance. Rather than another framework, they offer a useful test of whether an organization has created the conditions necessary to turn strategy into action.

  • Leadership: Are leaders creating the clarity, choices, and conditions required for the organization to move?
  • Shared purpose: Does everyone understand why priority matters, what success looks like, and how the work keeps patient care at the center?
  • Collaboration: Are the right people solving the problem across functions, facilities, and care settings?
  • Accountability: Are ownership, decision rights, measures, and operating disciplines explicit?
  • Results: Is action producing measurable improvement and informing what the organization does next?

Explore the research.

4. Measure what changed, not what launched

Launching an improvement initiative is not strategic action. Before the work begins, leaders should define the result they expect: expanded appointment availability, shorter wait times, earlier bed availability, reduced ED boarding, or expanded tertiary capacity. Those outcomes should be measured and integrated with quality, workforce sustainability, and patient experience to ensure improvements in one area do come at the expense of another. Systematic and sustained improvement in these performance measures is the true test of effective action.

This distinction is particularly important as health systems invest in new technologies, care models, and operational solutions. Innovation and strategic action are complementary, but strategic action ultimately determines whether innovation produces lasting value. A new command center, predictive analytics platform, or AI-enabled scheduling should not be judged by its successful launch. The real proof lies in improved patient flow, reduced operational inefficiencies, or creation of measurable capacity. Realizing these benefits requires engaged clinical and operational leadership, clear accountability, and the discipline to continuously measure, refine, and improve processes over time. The true measure of innovation is not what an organization implements, but what it improves.

Projects should follow the work from the executive level to the frontline. Regular performance reviews should show whether daily changes are producing the intended result and guide leaders on what to sustain, scale, adjust, or stop.

Technology should also face the same standard. A command center creates value when teams use its visibility and patient coordination capabilities to optimize patient care in the most appropriate setting with speed and remove bottlenecks faster. A predictive model matters when it prompts earlier intervention. An AI scheduling tool matters when it creates usable appointment capacity or improves patient access.

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Discipline is a strategic advantage

Access and capacity improve when leaders focus on the priorities that matter most, translate enterprise strategy into daily frontline action, and consistently measure results. Sustainable improvement requires more than launching new initiatives. It requires an operating model grounded in physician leadership, operational discipline, and continuous problem solving that enables the organization to adapt as the constraints evolve.

Next-level improvements may not require another major investment or breakthrough innovation. Significant opportunities may already exist within the people, processes and assets the health system has today. Innovation creates possibilities. Disciplined actions turn them into measurable results and continuous improvement makes those results sustainable.

Contributors to this article include Steve Carpenter, VP Networks; Jodi Eisenberg, VP Networks; Barbara Seymour, VP Networks; Nicole Spatafora, AVP Performance Improvement.

Learn more about Vizient Networks, where healthcare leaders connect with trusted peers, evidence-based insights, leadership development, and performance improvement strategies designed to help organizations achieve and sustain top performance. Backed by more than 25 years of Vizient research into what drives top-performing health systems, Vizient Networks helps leaders translate proven strategies into measurable, enterprise-wide impact.

Put implementation to the 90-day test

What could your health system measurably change in 90 days? Consider two changes.

First, assess the current enterprise project portfolio. Determine if the number of priorities exceed resource and leadership bandwidth, and how each are aligned to high-impact performance metrics. Consider narrowing the number of projects and improving focus of projects to results.

Second, choose one access or capacity problem that has resisted improvement, such as a persistent discharge delay, an underused block of appointment capacity, a transfer bottleneck, or another constraint that matters to the enterprise.

Put a number on the result you expect and establish a baseline. Give one leader the authority to move the work forward and identify the few operational changes most likely to affect the outcome. Support the leader with lean PI tools and team resources.

Then protect the work long enough to find out whether it works. At 30, 60, and 90 days, look at the result rather than the activity surrounding it. If performance is improving, determine what it will take to sustain or scale the change. If it isn’t, identify what is getting in the way and change course.

At 90 days, the organization should be able to point to something that is meaningfully different for patients, clinicians, or the enterprise. If it can’t, that’s an implementation finding too.

Authors

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Michael D. Busch, FACHE

Senior Vice President, Member Networks & Operations

Mike serves as Senior Vice President, Member Networks & Operations for Vizient Inc. where he leads national peer c-suite networks for health system CFOs, COOs, Payer Strategy and the Atlantic CEO Network. Responsible for engagement of health system senior executives, he encourages Members to Connect, Share, Learn, Improve and Advance performance while addressing the most pressing clinical, market, operational and...

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Nicole (Nikki) Gruebling, DNP, RN, NEA-BC

Vice President, Member Networks

Nicole (Nikki) is responsible for the Vizient Chief Nurse, Quality and Medical Executives National and System Clinical Executive Networks. A nurse for over 25 years, with an emphasis on nursing leadership, Nikki joined Vizient in 2018 as a senior networks director with National Networks. In this role, she led the development of new networks, which hold strategic priority for Vizient...

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Tom Stoffel, LSSBB

Senior Vice President

As Kaufman Hall Senior Vice President, Tom serves key health systems across the U.S., managing large and complex improvement efforts for top Kaufman Hall clients. In this role, Tom leads diverse teams in identifying, framing and executing client cost, quality and growth opportunities. He is a trusted advisor, thought leader and point of contact for chief executive officers and their...