Ben Aylesworth.
Vizient · Spend Management R&D · November 2026

Inside five Vizient member systems, hospitals with the same case mix spend up to twice as much per discharge.

Non-salary costs, from 2023 Medicare cost reports. Each gap is a ready-made first site for the solutions Vizient previewed in September.

Every system has a matched pair at least 22% apart. In California, the gap is nearly 2×.

Non-salary operating expense per adjusted discharge, divided by Medicare case mix index. One dot per hospital, 96 hospitals with 50 or more beds. Joined dots are two hospitals in the same system and state whose case mix is within 0.1.1

The pairs share a state, a size band and a case mix, so the gap needs an explanation the cost report can't give.

Dollars per case-mix-adjusted discharge, fiscal 2023. Hospitals are named as on their cost reports, shortened.2

SystemHigher-cost hospitalPer dischargeMatched twinPer dischargeGap
Sutter HealthAlta Bates315 beds · case mix 1.80$12,642Sutter Roseville343 beds · case mix 1.79$6,3891.98×
ProvidenceSt. Joseph Eureka131 beds · case mix 1.92$8,207St. Mary Apple Valley214 beds · case mix 1.86$4,3871.87×
AdventHealthHeart of Florida202 beds · case mix 1.69$4,930Sebring204 beds · case mix 1.72$3,4001.45×
SSM HealthSt. Mary’s Jefferson City140 beds · case mix 1.71$3,028St. Clare Fenton180 beds · case mix 1.64$2,4791.22×
Intermountain HealthAlta View57 beds · case mix 1.45$4,479Riverton87 beds · case mix 1.45$3,6821.22×

How I've tackled spend that doesn't buy outcomes

At Bayer I led the annual budget reset that took a 100+ person AI startup from $50M to $30M in burn, while the customer base and release pace both grew. The method was the one on this page: compare like units, then ask why the costly one costs more.

Each of the three new solutions gets a pilot where the gap is widest for what it fixes.

Solutions as described in Vizient's September 22, 2026 preview.3

  1. P2P Price Assurance
    Sutter Health · Alta Bates and Sutter Roseville

    Check whether the 1.98× hospital pays more for the same items

    Price Assurance matches invoices to contract terms. Two hospitals with the same case mix inside one system should pay the same contract price, so any invoice gap between them is a direct finding.

    First move. Run both hospitals' last 90 days of invoices against contract and compare price variance in their 20 largest categories.

  2. Agentic Sourcing
    Providence · St. Joseph Eureka and St. Mary Apple Valley

    Let the agent rank where Eureka spends more per case

    Agentic Sourcing is built to find and rank savings in fragmented supplier spend. A 131-bed hospital at 1.87× its twin is a fair first test.

    First move. Point it at both hospitals' supplier files and count how many of its top 10 ranked savings hold up after a sourcing lead's review.

  3. Clinically Integrated Supply Chain
    AdventHealth · Heart of Florida and Sebring

    Find the service line behind a 1.45× gap between two 200-bed hospitals

    AdventHealth expanded its access to Vizient's Clinical Data Base in January, so the supply cost per case by service line is already in Vizient's hands.4

    First move. Pull supply cost per case for the five highest-volume service lines at both hospitals and take the widest one to its physician lead.

Next step: a 90-day Price Assurance pilot at Alta Bates and Sutter Roseville, measured in invoice dollars recovered against contract.

The pair is the control. If Alta Bates' price variance closes toward Roseville's in 90 days, Price Assurance has a case study with a matched comparison behind it, which is the evidence a member CFO asks for first.

I'd be glad to walk through the data in 20 minutes.

ben.aylesworth@gmail.com