SIS Client Stories - Michigan Surgical Center

Overview

East Lansing, MI
ASC

For decades, Michigan Surgical Center (MSC), a multi-specialty facility with an annual case volume of 6,500, served the East Lansing area with four operating rooms (ORs) and one procedure room. The center faced a critical turning point when several key surgeons departed, reducing its case volume by 30% and forcing MSC to focus solely on ophthalmology cases. This case study explores how leveraging the right technology and strategic expertise empowered MSC to Operate Smart™.

Michigan Surgical Center (MSC), an ophthalmology-focused ambulatory surgery center (ASC), faced significant hurdles after transitioning from a multi-specialty to a single-specialty model. MSC implemented SIS Complete™ in 2021 to help modernize its clinical and operational workflows, but the center struggled with underutilization, staff adoption, and operational inefficiencies that limited the value realized from the technology.

In 2024, MSC engaged VMG Health to conduct a comprehensive operational assessment. By pairing the robust capabilities of SIS Complete with VMG's expert guidance, MSC achieved remarkable results within one year, including a 16-percentage-point (133%) increase in profit margin from 12% to 28%, a jump in collections to net charges from 88% to 98%, and a reduction in supply costs.

This case study explores how leveraging the right technology and strategic expertise empowered MSC to Operate Smart™.

Situation

For decades, Michigan Surgical Center (MSC) operated as a thriving multi-specialty facility serving the East Lansing area, equipped with four operating rooms, one procedure room, and handling an annual case volume of 6,500. However, the center reached a critical turning point when several key surgeons left, leading to a 30% reduction in the center’s case volume. These challenges forced MSC to focus solely on ophthalmology cases.

Compounding these challenges were deep-rooted operational inefficiencies. Prior to 2021, the center relied on outdated business management software and paper charting, which created bottlenecks and limited data visibility. While MSC implemented SIS Complete in 2021 to address these issues, the sudden shift to being an ophthalmology-only center caused additional challenges to arise.

The center grappled with:

Underutilization of technology: Staff and surgeons resisted the shift to electronic charting, leading to a lack of automation and a failure to leverage the full capabilities of SIS Complete.
Operational stagnation: The facility struggled to adapt its workflows from a multi-specialty approach to the specific needs of a high-volume ophthalmology surgery center.
Lack of benchmarking: Without specific key performance indicators (KPIs) or ophthalmology-specific benchmarks, leadership lacked the data needed to identify how the center was performing — clinically, operationally, and financially.
Financial strain: Operating profit margins had plateaued at approximately 12%, and collections performance was below optimal levels.

Lindsay Herrmann, administrator at MSC, stepped into her current role in 2024 and was tasked with leading the organization through these challenges. "We recognized it was time to move to an electronic health record (EHR) and hoped that implementing SIS Complete would lead to additional efficiencies and improvements as an ophthalmology-only center," Herrmann recalls. However, MSC faced resistance from some of their doctors and a lack of support from the previous leadership team.

Recognizing that software alone was not enough to drive the necessary cultural and operational shifts, MSC leadership sought external expertise to help the center adjust to its new path forward and further unlock the significant value of SIS Complete.

We recognized it was time to move to an electronic health record (EHR) and hoped that implementing SIS Complete would lead to additional efficiencies and improvements as an ophthalmology-only center."

Lindsay Herrmann

Administrator

The Solution

In 2024, MSC partnered with VMG Health to perform a deep-dive operational assessment and guide the center’s efforts to optimize its use of SIS Complete. This partnership focused on bridging the gap between technology potential and actual usage. The VMG team, under the direction of Senior Consultant Nancy Stephens, conducted a comprehensive operational assessment to identify key opportunities to better utilize SIS Complete and align MSC’s workflows with ophthalmology workflows, benchmarks, and industry best practices.

VMG introduced ophthalmology-specific benchmarking and KPIs, allowing MSC to compare its performance against industry standards for the first time. This data-driven approach highlighted critical areas for improvement in scheduling, inventory, and revenue cycle management (RCM).

Optimizing SIS Complete

Together, MSC and VMG executed a targeted plan to maximize the value of SIS Complete:

RCM overhaul. The VMG team introduced several key improvements to help MSC optimize its RCM process. Daily and monthly reconciliations were implemented to ensure financial accuracy and transparency, while batch closing was established to speed up processing times and reduce bottlenecks. A "hit list" of prioritized reports was created to address critical issues before the end-of-month deadlines, improving workflow efficiency and allowing MSC to collect revenue more quickly. "The management summary report in SIS is a great tool for centers to monitor and stay on top of their performance," says Stephens.

Additionally, MSC began importing electronic remittance advice (ERA), including those containing denied claims, which allowed for quicker identification and resolution of payment issues.

The management summary report in SIS is a great tool for centers to monitor and stay on top of their performance."

Nancy Stephens

Senior Consultant

Scheduling efficiency. Using SIS Link™, SIS Complete’s electronic scheduling tool, MSC overhauled its scheduling process. "The ASC was doing the scheduling for their physicians' offices. SIS Link makes it easy for physician office staff to schedule cases while the ASC maintains full control over their schedule," says Stephens. MSC mandated that all case requests include digital copies of insurance cards, orders, and authorizations before the center accepts a case onto its schedule. MSC also implemented a new block schedule to ensure consistent daily use of its three ORs. Using the case coordination feature in SIS Complete, MSC can coordinate with the physicians' offices to secure additional necessary documentation prior to surgery or discuss any other aspects of the case.

Inventory management. The team thoroughly reviewed and refined the inventory master file, focusing on improving naming conventions to make it more intuitive and user-friendly for the nursing staff. They also implemented a three-way match process with accounts payable to ensure greater accuracy and accountability in financial transactions. Additionally, all item pricing and units of measure were updated to reflect current standards, minimizing errors and streamlining inventory management processes. These optimizations allowed MSC to have a better understanding of its supply costs. “Cleaning up our inventory enabled us to use case costing in SIS Complete to manage our supply costs. We discovered one of our surgeons was costing us $800 per case because he was overusing supplies. We put a stop to that immediately,” recalls Herrmann.

Patient engagement. MSC revitalized its use of the SIS Exchange patient portal and pre-assessment tools, overhauling its patient assessment to improve data capture and patient readiness. "We had four per diem workers on our pre-admissions team which was way more than we needed. Between the changes we made in SIS and the guidance of VMG, we got that down to one full-time employee and one cross-trained employee from another department," says Herrmann.

We discovered one of our surgeons was costing us $800 per case because he was overusing supplies. We put a stop to that immediately."

Lindsay Herrmann

Administrator

The Results

The combination of VMG's expertise, the industry-leading technology of SIS Complete, and the leadership displayed by Herrmann delivered transformative outcomes within just one year (2024–2025), proving that the right combination of software and strategy drives success.

Financial Growth

EBITDA increase: EBITDA soared from 12% to 28%, a dramatic improvement that stabilized the center’s financial future.
Revenue cycle excellence: Collections to net charges improved significantly from 88% to 98%, ensuring MSC better captured the revenue it earned.
Supply cost reduction: The supply cost ratio decreased from 30% to 22%, driven by better inventory management and precise case costing.

Operational Efficiency

Optimized utilization: MSC achieved consistent daily use of its three ORs. By condensing schedules and grouping lighter caseloads, the ASC maximized anesthesia coverage and reduced unnecessary OR openings, greatly reducing operation expenses.
Data-driven decisions: For the first time since its inception, MSC had access to case costing by surgeon. This transparency enabled providers and the board to make informed decisions about efficiency and profitability. Herrmann recalls, "When I showed our case costing data to our board, one of the members said, 'I’ve been waiting for this for 10 years.'" Herrmann and the board are now looking at how case costing can be used to evaluate loss leaders and drive improvements in other areas of the surgery center.
Staff empowerment: By designating functional leads and super-users for SIS Complete, staff satisfaction improved. The team moved from resistance to full adoption, including the complete digitization of operative notes. "Even though our doctors were initially resistant to doing their operative notes electronically, they immediately liked it once they realized how easy it was," says Herrmann.

Strategic Resilience

MSC has improved benchmarking and operational strategies to help it thrive as an ophthalmology-only center. With SIS Complete, the center can monitor its ongoing performance, identify new areas for improvement, and make data-driven decisions about the ASC's future. Despite losing one-third of its volume due to the specialty transition, MSC managed to double its revenue. These efforts were further recognized when MSC was voted "Best ASC in the East Lansing Area" in 2025.

Conclusion

Investing in your staff and software is one of the simplest ways to improve performance."

Nancy Stephens

Senior Consultant

Michigan Surgical Center’s transformation from a facility in transition to a top-performing ASC highlights the vital role of fully leveraging technology. SIS Complete provided the robust infrastructure needed for modern healthcare operations, while VMG Health offered the strategic guidance to manage change effectively. "Investing in your staff and software is one of the simplest ways to improve performance," says Stephens.

By utilizing data, streamlining workflows, and fostering adaptability, MSC not only recovered from significant volume losses but also set a new standard for operational excellence. For ASC leaders, MSC’s success delivers a clear takeaway: achieving smart operations requires aligning advanced technology with expert strategy and leadership.

How Michigan Surgical Center Achieved Financial and Operational Success with SIS Complete and VMG Health

Overview

Situation

The Solution

Optimizing SIS Complete

The Results

Financial Growth

Operational Efficiency

Strategic Resilience

Conclusion

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