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University of Maryland Medical System Spins Out Healthcare Software Platform

The University of Maryland Medical System (UMMS) has officially launched its first technology startup, Gallion Health, spinning out a digital supply chain platform developed in-house at its iHarbor Innovation Center.

The cloud-based software, named Gallion, is designed to automate hospital supply chain processes, integrating with electronic health records and enterprise resource planning systems. The goal: reduce paperwork, improve invoice accuracy, and streamline charge capture for hospitals.

Gallion Health's launch marks a milestone for the university system's internal innovation efforts. "Gallion validates the System's innovation pathway and is already paying dividends for our member organizations, our staff, and our patients," said Dr. Mohan Suntha, president and CEO of UMMS, in a statement.

UMMS has provided seed funding to support Gallion Health as it seeks outside investment. The new company is now offering its software platform to other health systems nationwide.

Improving Efficiency and Cutting Costs
UMMS began using Gallion in 2021 to address long-standing inefficiencies in hospital supply tracking and billing. Before the rollout, these tasks relied on manual, paper-based processes that were prone to error.

Data from UMMS show that the software reduced task completion time by 75% and decreased the error rate from 18% to 3%. The System reports that Gallion has helped save $2 million through improved accuracy and operational efficiency, and an additional $3.5 million by retaining competitive supply contracts.

"Gallion represents exactly what iHarbor stands for," said Warren D'Souza, chief innovation officer at UMMS, in a statement. "It's a scalable solution that saves time, saves money, accelerates the revenue cycle, and improves outcomes."

Leadership and Market Expansion
To lead the company's next phase, UMMS hired Jeff Sopko, a healthcare technology veteran with experience at Becton Dickinson, Medtronic, and multiple startup ventures. Sopko joined Gallion in May to prepare for its spinout.

"Gallion is an innovative platform, and I look forward to shepherding the company into this next chapter," Sopko said. "I am grateful to Dr. Suntha and the System for trusting my team to market Gallion to hospitals nationwide."

The platform was recognized earlier this year as a finalist in the Gartner Power of the Profession Supply Chain Awards.

A Broader Innovation Strategy
Gallion is the first commercial product to emerge from UMMS' iHarbor Innovation Center, which was established to tackle persistent challenges in healthcare operations and delivery. The center concentrates on developing scalable, digital solutions aimed at enhancing quality and value across hospital systems.

UMMS operates 11 hospitals across Maryland and provides 25% of all hospital care in the state. Its flagship institution, the University of Maryland Medical Center in Baltimore, is closely aligned with the University of Maryland School of Medicine and serves as a testing ground for clinical innovation.

Although still early in its commercialization journey, Gallion is positioned as a potential model for how academic health systems can turn internal solutions into broader healthcare products. UMMS officials say the spinout reflects a commitment to embedding innovation into patient care and hospital management.

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