Judy Faulkner, the CEO of Epic Systems, a $4.9 billion revenue electronic medical records giant, is one of the most influential figures in the healthcare industry. Faulkner, who founded Epic in a basement in 1979, has maintained the company’s independence and employee ownership by refusing to go public or be acquired. At 81 years old, she has no plans to retire, believing that working keeps her purpose alive. Her keynote at Epic’s annual customer meeting showcased her unconventional style, including her self-proclaimed title of “Lady Swan.”
As a leader in the electronic health records market, Epic’s software is used for patients in over half of the hospital beds in the U.S. While Epic’s dominance is clear, the question remains about its future after Faulkner’s tenure. Faulkner has already initiated a plan to ensure the company remains private, independent, and employee-owned in perpetuity. This involves transferring control of the company to a trust governed by her family members and long-time senior managers, with strict rules against IPOs or acquisitions.
Faulkner’s philanthropic efforts are focused on early childhood development through her family foundation, Roots & Wings. She has started selling portions of her non-voting shares back to Epic, with the proceeds going towards her foundation. Through this process, she intends for the majority of the company to be owned by employees and her family in the future. Epic’s unique employee-focused culture and elite hiring process set it apart in the industry, with only around half a percent of applicants being hired each year.
Epic remains competitive in the electronic health records market, with recent growth outpacing former rival Cerner (now Oracle Health). Faulkner emphasizes Epic’s commitment to in-house product development, avoiding acquisitions and complex interfaces with other software. The company’s focus on creative solutions within its whimsical campus environment has led to the growth of new AI tools aimed at improving patient care and data sharing across healthcare organizations.
Despite competition from tech giants like Oracle, Epic continues to prioritize its tightly integrated system and employee-driven innovation. Faulkner’s vision for the company’s future includes expanding into new customer groups such as health insurers, medical devices, laboratories, and pharmaceutical companies. Epic’s dedication to maintaining control over its products and data sharing practices is both a strength and a challenge as the company navigates a rapidly evolving healthcare landscape.
As Epic looks towards the future, Faulkner’s leadership and commitment to the company’s independence and employee ownership will continue to shape its trajectory in the healthcare industry. With a focus on innovation, creative solutions, and patient care, Epic remains a key player in the electronic health records market, setting itself apart through its unique culture and approach to technology.
