For years, leaders have discussed AI’s potential to revolutionize medicine. That potential is now being realized as transformative changes occur rapidly.
“With this new era of AI, we’re seeing numerous possibilities to help improve operational efficiency and financial performance,” says Pelo. “Healthcare leaders are continuously finding ways to achieve more with existing resources, or even fewer resources, while also delivering improved care.”
Here are three impactful changes in healthcare being driven by AI
1. Operational efficiency is improving
The latest study2 on physician burnout revealed that 45.2% of physicians reported at least one symptom of burnout in 2023. While that’s a laudable improvement from past years (62.8% reported burnout in 2021), the rate remains concerningly high.
Using AI tools, health systems are working to minimize some of the known causes of burnout, such as alleviating administrative headaches and enabling AI solutions that work well for physicians. According to the survey, organizations report that the key benefits of AI include facilitating compliance, reducing clinician burnout, removing burdensome tasks from clinicians, and optimizing technology.
2. It’s enhancing care quality and patient experiences
With AI assistance, front-end speech capabilities and ambient listening have become the cornerstone of clinical documentation enabling providers to fully focus on the individual in front of them. While only 10% of survey takers say they’re using AI for clinical documentation now, 42% of executives surveyed said they plan to implement such a tool by 2026 — an increase of 320%. That, Pelo asserts, could lead to significant improvements for both healthcare systems and patient experience.
Building on these proven technologies with generative AI, Microsoft Dragon Copilot, an AI extensible workspace, offers a unified experience to streamline documentation, saving time. Plus, the solution assists in automating other time-consuming tasks, such as drafting prior authorization requests, providing patient education, sharing follow-up care instructions, and more. In the coming months, Dragon Copilot will even assist clinicians in writing orders and referral letters based on the conversation with patients.
Pelo shared an example of a healthcare system that’s increased its efficiency through AI so much that it’s serving 20 to 25% more patients. “Just imagine if we could do that across the country, if it was a 25% shorter wait time to get in to see a specialist, whether it’s a cardiologist, a dermatologist or a GI doctor, that’s significant,” he says.
3. It’s boosting financial performances
Healthcare leaders are optimistic about AI’s impact on the bottom line. The survey found that 86% of healthcare executives believe that AI could improve their organization’s financial performance. That’s because AI automates time-consuming tasks, allowing humans to focus on more complex work.
For example, AI can handle administrative duties, such as scheduling appointments and calling patients to prepare them for upcoming procedures. It can also help with research. Pelo mentions a healthcare agent orchestrator that could assist doctors on a tumor board by compiling relevant data from trusted medical sources and presenting that information as potential treatment options for discussion, saving the doctors time along the way.
By putting AI to work, healthcare providers can focus on what drew them into medicine: patient care. This, in turn, can help decrease burnout and reduce turnover, which translates to improved financial performance.
Leveraging AI securely – with the right partner
While AI solutions offer great promise for healthcare systems, Pelo emphasizes the importance of due diligence when selecting new technology to ensure the organization prioritizes security, safety, and privacy. “The biggest challenge is the overwhelming amount of noise in the market,” he says. “Healthcare leaders are inundated with sales pitches for new solutions at unprecedented levels, and it can be tough to determine which product is right for their organization.”
The right partner, he advises, should have deep experience in healthcare and healthcare technology, the capacity to scale, and a commitment to responsible AI principles.
“Healthcare is complex,” says Pelo. “You’re dealing with people’s health information and lives. You need a partner who takes this responsibility just as seriously as you do.”
To learn more about Dragon Copilot and how Microsoft for Healthcare is bridging data, AI and trust across the entire healthcare ecosystems, visit Microsoft Health Solutions.
- AI uses in healthcare: The state of implementation. Microsoft and Healthcare Dive. 2025.
- Shanafelt, T. D., West, C. P., Dyrbye, L. N., Sinsky, C. A., Trockel, M., Tutty, M., Carlasare, L. E., & Dyrbye, L. N. (2024). Changes in burnout and satisfaction with work–life integration in US physicians during the COVID-19 pandemic. Mayo Clinic Proceedings.
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