Reshaping Capital Planning at OHSU With Gordian

Challenge: Managing Infrastructure Needs With Maintenance Gaps

Oregon Health and Science University (OHSU) is a prominent institution that provides critical healthcare services, conducts extensive research and educates healthcare professionals. The university cares for over three million patients annually across its hospitals and clinics — showcasing its significant influence on community health. OHSU excels not only in healthcare services but also in research. The institution’s commitment to research is exemplified by its numerous programs and successful acquisition of $600 million dollars in research funding.

However, years ago, the university encountered challenges in managing its facilities. A lack of data, constrained budgets and a growing backlog of maintenance issues hindered its ability to address essential repairs. As a result, urgent problems frequently arose, forcing the facilities team to respond reactively rather than strategically plan for long-term needs. This approach not only jeopardized infrastructure integrity but also posed risks to vital operations.

“Before Gordian, we didn’t have a great handle on the overall backlog. It was a very short-term battle without a lot of data or vision.”

Chad Sorber, Director of Facilities Services, OHSU

Solution: Implementing a Data-Driven Capital Planning Approach

Gordian empowered OHSU with comprehensive insights into their facilities through a detailed Facility Condition Assessment (FCA). By leveraging insights from the data, OHSU was able to allocate resources more effectively for critical infrastructures like HVAC, electrical distribution and water systems. Even though the Facilities Condition Index (FCI) that was produced provided a valuable metric, executives were more responsive to hard-dollar figures, like the growing backlog costs. This allowed for more data-backed decision-making on where to focus limited resources.

Result: Improved Budget Allocation and Backlog Reduction

The partnership with Gordian had a positive impact on Oregon Health and Science University’s operations and overall community health. By creating awareness of the growing backlog of essential repairs and the risk associated with deferring those repairs, the institution was able to allocate resources to maintenance projects that directly affected patient care and research initiatives — ultimately improving their operational resilience.

The comprehensive data and clear presentation helped OHSU executives understand the long-term needs and risks, leading to better-informed decisions and more effective use of available funds.

Notable results include:

• Backlog Reduction: The data revealed a backlog of approximately $300 million at current funding levels, highlighting the financial burden of deferred upkeep. This insight helped the facilities team secure ongoing funding by effectively communicating its needs.
• Funding Alignment: Despite a $19 million annual budget, the analysis revealed OHSU was falling behind by $20 million in yearly maintenance funding. This emphasized the urgency of addressing facility risks, allowing the institution to preserve the amount of money designated for capital expenses even as budgets were being reduced.
• Executive buy-in for prioritizing deferred maintenance funding.
• Reduced frequency of electrical power emergencies due to funding electrical infrastructure projects.

With data-driven insights, OHSU could direct resources toward essential projects that improved operational sustainability, ensuring it remained well-positioned to meet future facility demands.

Ready to optimize your resources? Explore Gordian’s capital planning solutions to enhance your facility’s efficiency and streamline maintenance needs.