Oracle’s ERP system is a cloud-based software suite that helps businesses manage functions such as accounting, finance and project management. CHS’ Project Empower, launched last year, combines the Oracle ERP system with other financial, supply chain and human capital management systems offered by the tech company.
“The final phase, which involved transitioning onto new workforce management tools for HR, payroll and timekeeping, allows us to move beyond the investment and implementation phases and begin focusing on optimizing our use of the new tools and realizing tangible benefits,” CFO Kevin Hammons said. “As a result of this work, we will save between $40 and $60 million this coming year.”
Project Empower aims to cut costs and boost revenue by streamlining operations and eliminating disparate technology across CHS hospitals. The systemwide modernization will also enhance data access, management and decision-making.
The initiative is redesigning CHS’ workflows, particularly for administrative and back-office functions like pharmacy and supply chain. An integrated system with Oracle is expected to better manage these functions and transition them into a shared service environment, through which the health system expects to gain significant efficiencies.
“This investment is yielding deeper insights into our business functions, and we expect to identify opportunities for additional standardization, expense management and value creation as our experience with this enhanced operational tool matures,” CEO Tim Hingtgen said during the company’s second-quarter earnings call.
