Podcast Summary

Podcast: Becker’s Healthcare Podcast
Episode Title: Kyle Benoit, Executive Vice President and Chief Operating Officer at Bayhealth
Date: November 24, 2025
Host: Alan Condon

Episode Overview

This episode features a deep-dive conversation with Kyle Benoit, Executive Vice President and COO at Bayhealth, a Delaware health system. The discussion unpacks the major operational challenges, strategic priorities, and forward-looking plans facing Bayhealth as it navigates a complex healthcare landscape. Topics include access and affordability, technology optimization, Medicaid cuts, cost containment, new revenue streams, and long-term growth initiatives—all anchored in a commitment to people and culture.

Key Discussion Points & Insights

1. Bayhealth Overview & Kyle Benoit’s Role

• [00:31] Kyle Benoit: Introduces Bayhealth as a billion-dollar revenue health system with two hospitals, two ERs, and multiple ambulatory sites in Delaware.
• Benoit joined in January and is responsible for overall strategic and operational leadership.

2. Top Healthcare Trends & Leadership Focus

• [01:46] Benoit: "I always boil it down to: you kind of focus on access to care, the cost of care, and continuous improvement to focus on outcomes... But for me it comes down to people, people, people."
  • Access, cost, and outcomes are persistent concerns, but the ability to attract and retain top talent is the foundation for any progress.
  • Emphasizes creating pipelines from high schools and universities and cultivating a positive work culture.
  • Quote: "You can have the nicest facilities and all this equipment, but we’re nothing without our people." [02:12]

3. Redefining Access: Beyond Bricks & Mortar

• [03:49] Benoit: Access strategy is multifaceted—bricks and mortar still matter, but technology is increasingly critical.
  • Bayhealth uses Epic as its primary EHR; optimizing tech to make healthcare as easy as "ordering from Amazon."
  • Evolving care teams: moving beyond just physicians and nurses to include social workers, therapists, and telehealth solutions.
  • Sussex County’s rapid population and retiree growth is driving increased demand and acuity.

4. Technology & the Consumerization of Healthcare

• [06:28] Benoit: Major focus on improving MyChart and open-access scheduling. Wants patients to "pick the slot and site of care that works for me" with minimum friction.
  • Drawing parallels to the airline industry: "I always say, how did the airline industry get people to use a kiosk? They have 20-40 kiosks and only one or two people at the desk." [07:18]
  • Urges healthcare to embrace a startup, innovator mindset to match consumer expectations.

5. Preparing for Medicaid Cuts and Financial Volatility

• [08:48] As the "one big beautiful bill act" brings anticipated Medicaid cuts in 2026-27, Bayhealth is modeling for
  • Declining Medicaid eligibility and an increase in uninsured.
  • Rising uncompensated care and ER demand.
• "We're taking steps to expand our fast-track component for lower-acuity ER patients and improving flow to inpatient and outpatient beds."
  • Refuses to rely on political outcomes, instead focuses on operational efficiency and cost reduction.

6. Margin Preservation & Cost Containment Strategies

• [11:25] Bayhealth is still producing a margin, allowing vital reinvestment.
  • Major focus on standardizing the supply chain and maximizing GPO (Premier, Surpass program) for cost savings.
  • Pharmaceuticals: leveraging 340B status and launching a retail and specialty pharmacy—also filling community gaps after Rite Aid closures.
  • "Right now we’re the only 24/7 pharmacy in Kent County." [12:40]

7. Revenue Diversification & Partnerships

• [13:42] Aggressively expanding physician base and ambulatory footprint, with smaller, nimbler clinics and telehealth.
  • Partnerships are key: e.g., PAM Rehab (three joint ventures) and Bayada for home health.
  • "Sometimes there’s other people who can do it better than us that we need to partner with." [14:44]
  • Aim: access, margin, capitalizing on new care settings.

8. Areas of Excitement & Culture

• [15:28] Benoit expresses enthusiasm for the organization and region, highlighting healthcare as a "calling."
  • Stresses that despite external and internal headwinds, Bayhealth is resilient and committed to its mission.

9. Bayhealth 2030: Growth & Master Facility Planning

• [16:44] Major "master facility plan" launches in 2026—complete transformation at Dover, expansion at Milford, and updates across inpatient and ambulatory spaces.
  • Excited to connect physical infrastructure investments with technology and a robust talent strategy.
  • "It’s really just been such a lightning rod…rallying all together to accomplish these aggressive goals." [17:26]

Notable Quotes & Timestamps

• "It really comes down to people, people, people."
  — Kyle Benoit [01:59]
• "We're nothing without our people, and we need to make sure that we're creating that attract and retain the best and the brightest across all disciplines."
  — Benoit [02:12]
• "We're all wired to use Amazon…the whole two clicks, it's on your doorstep. We need to model that in healthcare."
  — Benoit [04:33]
• "I always say, how did the airline industry get people to use a kiosk?... It's just kind of like flipping the mindset a little bit."
  — Benoit [07:18]
• "We're taking steps to…expand our fast-track component for the lower acuity patients in our ER. We're putting in more efficient processes in our flow…"
  — Benoit [09:14]
• "Healthcare has always had external headwinds, internal headwinds that they've had to deal with. But healthcare is a calling, in my opinion."
  — Benoit [15:36]
• "We have laid out our Bayhealth 2030 kind of strategic vision…really rallying all together to accomplish these aggressive goals."
  — Benoit [17:26]

Timestamps of Key Segments

| Segment | Timestamp | |------------------------------------------------------|-----------| | Bayhealth overview & COO introduction | [00:31] | | Top healthcare trends & focus on people | [01:46] | | Redefining access: multi-pronged strategy | [03:49] | | Technology: scheduling, MyChart, and consumer focus | [06:28] | | Medicaid cuts, modeling, and ER / access planning | [08:48] | | Cost containment: supply chain, pharmacy | [11:25] | | Revenue & partnership diversification | [13:42] | | Organizational culture & healthcare as a calling | [15:28] | | 2030 vision & facility master plan | [16:44] |

Episode Tone & Style

Kyle Benoit is candid and passionate, balancing pragmatic concern with optimism about innovation and organizational opportunity. He is people-centric, deeply analytical, and unafraid to challenge healthcare’s status quo or embrace new models.

Conclusion

Kyle Benoit offers a compelling perspective on the operational and strategic complexities facing Bayhealth—and healthcare as a whole—in 2026 and beyond. His leadership insight centers on marrying technology, process innovation, prudent finances, and above all, the value of people and partnerships. For stakeholders seeking inspiration and practical strategy in a turbulent healthcare era, this episode is rich with actionable wisdom and forward momentum.