Podcast Summary

Becker’s Healthcare Podcast

Episode: Securing Supply Data and Staff Experience in Rural Healthcare With AI

Date: December 2, 2025
Host: Erica Spicer Mason (A)
Guest: Beth Steele, Chief Operating Officer, Owensboro Health (B)

Episode Overview

This episode spotlights how Owensboro Health, a three-hospital rural system in Western Kentucky, is leveraging artificial intelligence (AI) to tackle significant surgical services challenges. Chief Operating Officer Beth Steele details their innovation journey, focusing on operational efficiency, workforce and supply issues, and the integration of AI-powered solutions—especially their adoption of Assist IQ’s technology for supply management in perioperative care.

Key Discussion Points & Insights

1. Owensboro Health and Current Surgical Services Challenges

• Background

  • Owensboro Health covers 11 core counties in rural Kentucky but serves a broader region.
  • Beth Steele: 27 years’ nursing experience, strong surgical services background.

    “Owensboro Health is a three hospital healthcare system in Western Kentucky... I've been a nurse for about 27 years and have a love for the surgical services spaces.” (00:46)

• Industry-Wide Pressures

  • Major financial and operational headwinds, heightened for rural systems.
  • Workforce shortages — not just recruiting staff, but also retaining and supporting them.
  • Competing for provider talent in a tight market.
  • Managing inflation-driven supply costs, selecting cost-effective tech and equipment.

    “Operational efficiency is going to always be really important. But right now, you know, it comes down to how do you optimize your revenue and...decrease your expense.” (02:22) “Some of the biggest challenges, as everybody knows, and this is rural and urban alike... workforce issues. We have definite concerns around keeping our team members, not just recruiting them, but also retaining them...” (02:40)

2. The Role of AI: Implementation and Measurable Impact

• Assist IQ Deployment

  • Owensboro Health adopted Assist IQ, a visual-AI supply tracking system (no barcodes).

  • Streamlines supply capture—nurses briefly display packaging in front of a visual field, and the system logs supplies and decrements inventory automatically.

  • Deep system integration: connects with EMR and supply management platforms.

    “We're using AI in a really new and cool way...it doesn't include barcodes. It's completely a visual system. It picks up on the packaging… it documents it within our electronic medical record, it decrements it from our supply system...” (04:22)

• Tangible Results

  • 99% accurate supply and implant capture.
  • 12% increase in billable revenue since deployment.
  • 90% drop in inventory depletion errors.
  • 48% reduction in expired products—direct reduction in waste.

    “We got US to a 99% accurate supply and implant capture rate...12% higher in our billable revenue...90% reduction in our inventory depletion errors...48% reduction in monthly expired products.” (04:22)

3. Technology Partnership Considerations as a Rural System

• Vendor Selection and Collaboration
  • Focused on partners sharing their values/goals and voice in the process.
  • Sought vendors willing to genuinely listen and co-design solutions to match Owensboro's workflows.
  • Owensboro’s nimble structure enables faster innovation compared to larger systems.

    "For us, it's who has similar values and similar goals... who's willing to listen to what our challenges are and help us find joint solutions." (07:00) “My team is very connected to our administration team, we're very connected to our board. And so we're able to be incredibly nimble and to be great pioneers...” (07:16) “And that’s really what we got with Assist IQ—was a team that wanted to have excellent results. They had shared goals and they listened when we said… ‘this is a workflow we need to get right before we go live.’ And they did that.” (07:40)

4. Preparing Surgical Teams for AI-Enabled Workflows

• Change Management Strategies
  • Involved surgical teams early and often—in design, implementation, feedback.
  • Empowered frontline staff (those closest to the work) as key stakeholders in workflow improvements.
  • Emphasized open communication to surface integration challenges and swiftly resolve them.

    “Get them involved in the beginning, the middle and the end. Right. Because they need to have every opportunity. I am not down in the operating room at this point, so I need my team, who’s there to be the experts helping...” (08:25) “Making sure that the communication is wide open and that everybody has the opportunity to raise a flag if they need to.” (09:13)

5. The Future of High-Performing ORs: Holistic Excellence

• What Will Distinguish Tomorrow’s Top ORs?
  • Excellence across technology, cultural environment, quality, safety, and operational efficiency.
  • Focus on building places people want to work, not just on tech.
  • Balancing return on investment with overall value—including staff and patient experience.

    “It’s not just who’s doing the latest and greatest technology, it’s really how are you building your culture so that it’s a place that people want to work. So—making it ease of use, making it a wonderful environment to work in... making smart decisions along the way.” (10:20) “It can't just be looking at the numbers. It has to be the whole package. So that's my adoption mantra for the future.” (11:18)

Notable Quotes & Memorable Moments

• On Supplier Data Capture with AI:

  “This system has allowed our team to do it in probably about as easy a way as you can imagine... it has allowed us to be 12% higher in our billable revenue. We’ve had a 90% reduction in our inventory depletion errors. And we’ve had a 48% reduction in monthly expired products.” — Beth Steele (04:22)

• On the Power of Rural Innovation:

  “We have the opportunity to be without some of the hoops that larger systems have...We're able to be incredibly nimble and to be great pioneers.” — Beth Steele (07:13)

• On Preparing for Transformation:

  “Get [the staff] involved in the beginning, the middle and the end... I am not down in the operating room at this point, so I need my team who’s there to be the ones, the experts helping explain their current workflow and how it could be better.” — Beth Steele (08:28)

• On What Sets the Future Apart:

  “To me, it’s the whole package... Operational excellence really gets you to a great space financially. But you have to have all the components in play... It can't just be looking at the numbers.” — Beth Steele (11:12)

Key Segment Timestamps

• Introduction and Beth Steele's Background: 00:00–01:41
• Current Rural Surgical Service Challenges: 01:41–03:55
• Role and Outcomes of AI (Assist IQ): 04:22–06:21
• Selecting Technology Partners as a Rural System: 07:00–08:03
• Team Preparation & Lessons in Change Management: 08:25–09:30
• Vision for Future High-Performing ORs: 10:20–11:26
• Closing Reflections and Final Thoughts: 11:26–12:00

Takeaways for Listeners

• Rural and regional systems can drive meaningful innovation—even with tighter resources—by leveraging AI thoughtfully and partnering collaboratively.
• Focusing on both technological and cultural transformation is crucial for future-ready operating rooms.
• Engaging frontline staff early and ensuring open communication are core to successful tech adoption.
• Measurable benefits (financial, operational, experiential) are achievable and compelling for systems of all sizes.