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October 2, 2025
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Three vendor consolidation strategies for healthcare IT leaders

Vendor bloat is blocking transformation. Learn the benefits of vendor consolidation and how healthcare IT leaders can clear the path.

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For years, health systems have tackled digital transformation one tool at a time, solving for scheduling with one, intake with another, documentation with a third. The result? A tech ecosystem with more overlap than optimization.

CIOs aren’t just managing tools, they’re managing chaos.

According to a KLAS Research report, the average health system now juggles more than 50 digital health vendors. Every new login, alert, or integration adds friction that slows teams down and stalls transformation.

It’s not that healthcare lacks technology. It’s that it lacks coherence. That coherence can be found in a consolidated tech stack. 

Here are three helpful tips to get started with healthcare IT vendor consolidation.

1. Reclaim agility by targeting low-hanging tech

Not every vendor needs to be replaced at once, but not every vendor is worth keeping, either. The fastest wins in consolidation often come from legacy tools that are duplicative, department-owned, and low-risk to unwind. Think duplicate tools for intake forms, patient reminders, and communication platforms that never scaled system-wide.

For health IT leaders, each of these “small” consolidations become proof points, showing stakeholders what’s possible when you eliminate friction instead of layering on workarounds.

2. Opt for a platform, not a toolbox

Managing a patchwork of siloed tools is expensive, slow, and unsustainable. That’s why more CIOs are prioritizing enterprise-ready platforms that offer modular functionality across departments, from registration and scheduling to documentation and prior authorization.

A platform mindset means thinking beyond today’s pain points. It’s about building a flexible, interoperable foundation that evolves with the enterprise.

3. Consider the changes that will support your workforce

Vendor sprawl doesn’t just create IT headaches, it actively contributes to burnout among clinicians and staff. Too many systems mean more training, more toggling, more documentation, and more opportunity for error.

This isn’t just anecdotal. A Health Data Management report shows CIOs and CMIOs are increasingly measuring vendor performance by workforce impact, not just uptime or SLA compliance.

When systems work together, people do too.

Clean the stack. Unlock the future

Consolidation isn’t just an IT strategy. It’s a cultural shift. It signals that your organization is ready to stop patching problems and start building workflows that scale. It’s how health systems move from reactive to strategic. From friction to flow.

Before switching to an AI platform, NKC Health struggled with persistent staffing shortages, with about 45 open roles across its organization. These resource limitations meant it could only pre-register 40% of patients for scheduled appointments. It faced frequent denials and write-offs, and found gaps in its registration capabilities, creating more manual work for staff. By automating these capabilities through one AI platform, NKC Health was able to handle the work of 80 additional full-time staff, patients experienced a 90% reduction in check-in time, and no-shows decreased by 34%. The health system now pre-registers 80% of its patients. 

The path forward isn’t more tools. It’s fewer, smarter ones. Now is the time to clean the stack, and lead with purpose.

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