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UPMC’s Carmody Says AI Must Prove Its ROI or Be Turned Off

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UPMC’s Carmody Says AI Must Prove Its ROI or Be Turned Off

UPMC CIO Chris Carmody explains how token costs, governance reviews and a head-to-head ambient AI pilot shape the health system’s AI investment decisions. Watch below or on YouTube.

UPMC expects each AI solution and agent to earn back its cost, and the health system is prepared to turn off the ones that do not. Chris Carmody, senior vice president and CIO at UPMC, said on a recent episode of the healthsystemCIO Show that token costs are a particular concern because AI is expensive. He had been CIO for about a month when he spoke Sept. 30. Before that, he spent 12 years as the health system’s CTO. UPMC also closed its acquisition of the four-hospital Trinity Health System in Ohio on Oct. 1. Two days later, it brought its second wave of hospitals onto a single Epic instance.

Token costs get close attention at UPMC. In particular, Carmody said the health system focuses on them as it explores AI solutions and builds agents to make its processes more efficient. Microsoft also provides the foundation for that work. Staff and teams use the models built into Copilot, and the next step is an agentic layer that automates processes. “We want to make sure it actually delivers on the ROI, because AI is expensive,” Carmody said. “We have to be measuring the right way, so that if it doesn’t make sense, we turn it off, we pivot, we change and look for a different solution.”


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