Administrative burdens have long been a major challenge in healthcare, leaving physicians bogged down by tasks like scheduling, billing and data management. Enter artificial intelligence (AI)—a technology touted as the solution to healthcare bottlenecks.
But how is AI reshaping healthcare administration, and are physicians benefiting? One physician on Sermo shared, “Use of AI will certainly help in enhancing patient care by releasing doctors & nurses from mundane tasks & helping give greater time for patient interactions.”
Whether you’re a doctor, healthcare administrator, or simply interested in the intersection of technology and healthcare, this resource will provide insights into how AI is transforming daily operations and shaping the future of healthcare administration, highlighting real-world applications, efficiency gains and the challenges that lie ahead.
The growing role of AI in healthcare administration
Artificial intelligence is no longer a futuristic concept — it’s here, and it’s making a mark. Healthcare professionals are beginning to see AI integrated into administrative tasks to streamline operations and reduce time-consuming manual processes.
How AI is used in healthcare administration
The promise of AI regarding healthcare admin is to replace some of the most tedious and repetitive tasks. We surveyed a global community of physicians on Sermo, and our members shared their opinions on how AI is most effective in reducing their admin tasks:
Scheduling and appointment management – 27%
- AI-powered tools like Zocdoc are reducing no-shows by dynamically scheduling appointments based on patient data and preferences.
Patient data entry and record-keeping – 29%
- Natural language processing tools like Nuance’s Dragon Medical One transcribe physician-patient interactions into accurate electronic health record entries.
Billing and claims processing – 16%
- Platforms like CureMD and DrChrono automate claims submissions and billing, reducing errors and expediting payments.
Communication and follow-up with patients – 13%
- AI chat agents like Dokbot and apps like Ada Health aid in patient screening and customer service requests to reduce workload on medical staff members.
Despite its promise, adoption is still in its infancy. The same poll revealed that 64% of physicians haven’t seen AI integrated into their administrative tasks, while only 15% have noticed AI assisting with automation such as scheduling or billing. This suggests there’s still vast potential for AI’s broader application.
Benefits of AI for reducing administrative burdens
Reducing paperwork and administrative overhead is more than a convenience — it’s a necessity to combat physician burnout and industry turnover while improving patient care.
Real-world impact on workload and efficiency
Healthcare administration is a demanding responsibility. 21% of physicians point to administrative tasks as a major contributor to burnout. Physicians often dedicate hours to administrative tasks that could otherwise be time spent with patients. In the current wake of massive physician shortages and burnout, this is where AI can help.
Some of the reported benefits include:
- Saving time: tools like Allscripts’ AI solutions eliminate redundant data entry, allowing physicians to spend more time with patients. 50% of surveyed physicians agree that AI assists in reducing administrative workloads.
- Relieving burnout: by automating tedious tasks, AI gives doctors breathing room to focus on their core purpose — sustainable patient care. The debate is still out on how much AI will relieve physician burnout, considering it’s a multifactorial issue.
- Streamlining claims processing: automating billing reduces errors that often lead to claim rejections, saving hospital administrators and insurers significant time.
- Increasing patient access: while the long-term impact still needs to be analyzed, by reducing physician and staff members’ admin workload, many practices and hospitals are seeing more patients.
Although adoption is still limited, 46% of surveyed physicians reported that AI has already improved administrative efficiency at least a bit in their workplace, 18% saying significantly. That said, a staggering 50% reported no reduction in paperwork or manual data entry, emphasizing that many challenges remain.
Highlighting the physician experience
When surveyed, many physicians were optimistic about AI’s potential to transform administrative workflows. Some noted improvements in billing accuracy, data entry and scheduling, with one trauma surgeon on Sermo noting, “AI has so many possible useful benefits in health care, I am interested in seeing how it pans out.”
However, a significant portion (25%) remain uncertain about AI’s efficacy, indicating the need for more training and awareness. A pediatrician on Sermo shared sentiment aligning with this, “We haven’t implemented much AI in my practice yet and I don’t think we will anytime soon. There are safety and privacy concerns that we need to research more”, while another physician in psychiatry stated, “I think AI is a great tool to help with efficiency. However more tools and training should be introduced so we can ensure we’re using it correctly and to the best of it’s ability”.
Addressing concerns about AI in healthcare administration
Sermo found 45% of physicians are already concerned about AI’s accuracy in diagnosis. While each new generation of AI models and tools gets easier to use and with more use cases, adopting AI still comes with challenges. Doctors and healthcare administrators alike express concerns about its reliability and implementation. A Sermo poll identified the following:
Key challenges of AI in healthcare administration
Accuracy & reliability – 35%
Physicians are concerned about errors in automated systems, especially for tasks like billing or managing patient records. NIH researchers tested a GPT-4 w/ vision AI model against the NEJM Image Challenge, a quiz that uses clinical images and symptom descriptions to identify diagnoses. The AI was asked 207 questions regarding image descriptions, relevant medical knowledge and step-by-step reasoning. Nine physicians from various specialties answered the same questions in both “closed-book” and “open-book” settings.
They then evaluated the AI’s performance. Both the AI model and physicians scored highly in selecting the correct diagnosis. Interestingly, the AI model selected the correct diagnosis more often than physicians in closed-book settings, while physicians with open-book tools performed better than the AI model, especially when answering the questions ranked most difficult.
Data privacy & security – 25%
Protecting patient data is paramount. Strong safeguards are needed to prevent breaches and AI companies must be transparent about how they use data. It’s especially paramount that HCPs and teams only use AI tools that are HIPAA compliant or comparable to your region. A GP on Sermo shared their thoughts, “AI is a revolutionary tool that I believe if used properly, it can benefit everyone. My only concern is maintaining data privacy. That should always be tested for the patient’s safety”
Cost of implementation – 12%
Many doctors hesitate to invest in AI due to high initial costs and a lack of clarity around direct application, especially without immediate ROI. Team members may also feel apprehensive about AI replacing administrative jobs, which can impede implementation.
Disruption to patient-physician interaction – 14%
Some fear technology could depersonalize the healthcare experience even further, shifting focus from patients to machines. “It depends on the patient. If the patient is receptive to AI, it can be a great help. If not, a great hindrance. And just as any tool is good or bad depending on whose hands it is in”, shared one physician on Sermo. It also places an additional time burden on physicians to learn about AI who tend to have packed schedules already.
Lack of training – 14%
Efficient integration hinges on adequate training for staff to maximize AI tools’ benefits. Some team members may be hesitant or even resistant to adopting AI, but by being honest about how the AI will be used and providing sufficient workplace education, this can be avoided.
Building trustworthy AI systems
For AI to be truly effective, systems must be reliable and designed with both end-users — physicians and patients — in mind. Healthcare organizations rolling out AI solutions must prioritize:
- Implementing robust training programs that are practical for healthcare teams.
- Ensuring transparency in AI decision-making processes to everyone involved.
- Establishing rigorous data security standards.
- Minimize and understand ethical bias in AI model training and team use.
These steps build confidence among HCPs and pave the way for further adoption.
How AI will be used in healthcare administration in the future
AI is changing healthcare today and is a driver for the future of healthcare administration. The technology’s trajectory is one of exponential growth and innovation as we see it evolve into increasingly sophisticated applications.
Emerging trends and innovations
- Predictive analytics: AI will provide forecasting capabilities for patient no-shows, staffing needs and resource allocation, allowing hospitals to operate more efficiently. Johns Hopkins Hospital, partnered with GE to implement predictive AI techniques to enhance the efficiency of hospital visits. This strategic AI implementation has resulted in faster hospital visits, optimized resource allocation, reduced wait times, and enhanced overall efficiency of hospital operations.
- Voice assistant integration: future tools may integrate seamlessly with voice assistants, enabling physicians to query patient files or update records hands-free.
- Proactive patient engagement: chatbots and AI-driven virtual assistants will improve patient follow-ups, ensuring medication adherence and post-care instructions are well-communicated.
The role of physicians in AI’s development
Physicians have a critical role in shaping AI’s future. Their feedback and hands-on involvement in testing AI solutions ensure these tools are practical, safe and effective. Partnerships between AI developers and healthcare institutions are also growing, leading to tools that better address real-world challenges.
Varying adoption by specialty
Interestingly, perceptions of AI vary by specialty. Radiologists and data-heavy fields see faster adoption as image recognition tools like PathAI streamline data analysis. Meanwhile, specialties reliant on interpersonal care, such as pediatrics, view AI with greater skepticism.
Leveraging the potential of AI in healthcare administration
The growing presence of AI in hospitals and healthcare administration requires a major culture shift and calls for leaders skilled in change management. From automating scheduling and billing to streamlining data entry, the benefits are already tangible for many doctors. While challenges regarding cost, training and adoption persist, progress will undoubtedly accelerate as the technology matures and more physicians share feedback.
Are you ready to explore how AI can transform your practice? Start by evaluating small-scale options tailored to target specific administrative pain points.
Join Sermo to see how your peers use AI to reduce their admin burden today.
