The vision

Facing mounting financial pressures, growing capital demands, and an increasingly complex operating environment, Stanford Medicine Children’s Health (SMCH) recognized that achieving its long-term strategic vision required more than short-term performance improvement. Leaders sought to transform organizational performance to fund future strategic investments.

Co-creating the solution

SMCH partnered with Chartis to identify and implement more than $190 million in annualized margin improvement opportunities. Physicians, clinicians, operational leaders, and frontline teams co-designed practical solutions across Administrative Services, Perioperative Services, Revenue Cycle, Workforce, and Provider Enterprise departments—improving performance and strengthening long-term sustainability. After exceeding impact goals ahead of schedule, the organization shifted its focus from execution to building the culture and holistic operations needed to sustain continuous improvement.

Believe in better

The transformation generated significant financial and operational improvements while creating a durable capability for ongoing performance management. SMCH embedded leadership routines, governance structures, reporting mechanisms, and frontline accountability. By doing so, the organization established an operating model that can sustain results, identify new opportunities, and support long-term reinvestment in its mission.

Meaningful outcomes

Enterprise performance innovation resulted in:

$190 M+

annualized impact implemented in Year One

$140 M+

impact realized in Year One ($30M favorable to target)

$300 M+

projected from a pathway for total annualized impact

Building to better

Organizations seeking to sustain transformation outcomes should:
  • Build improvement efforts with physicians, clinicians, and frontline leaders
  • Establish governance and accountability that sustain continuous improvement
  • Optimize standardized processes with AI-enabled monitoring and performance tools

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