CA-MMIS Modernization: Teasing out the Team Tangle
How KAIP partnered with the Department of Health Care Services (DHCS) to overcome cultural barriers to technical success

The Challenge: Process Without Progress
For the Department of Health Care Services (DHCS), the California Medicaid Management Information System (CA-MMIS) is more than a tool. It’s the backbone of the department’s vendor management ecosystem, overseeing contracts, invoices, and payments that support critical public programs across the state.
At the heart of that ecosystem is the relationship between the Fiscal Intermediary responsible for administering a key benefit for Medi-Cal members and the Department of Health Care Services that it supports.
After multiple years of adaptation and evolution, the governance structure began to break down. Processes designed to ensure accountability and compliance were no longer functioning as intended, creating inefficiencies and limiting visibility across the contract lifecycle.
Manual workarounds multiplied. Reporting lacked reliability. Critical processes lived in institutional knowledge instead of documented workflows. Meetings meant to drive progress had expanded to include as many as 115 invitees, blurring decision authority and slowing resolution. Staff were spending valuable time navigating complexity instead of advancing the mission.
The risk wasn’t just operational inefficiency. It was delayed services, strained teams, reduced transparency into vendor performance, and growing misalignment at a critical moment: contract renewal with the Fiscal Intermediary.
For the relationship to get back on track, both the Fiscal Intermediary and DHCS needed a partner who understood how to build high functioning teams as well as enterprise systems. Ultimately, they needed a partner who could focus on how to unblock the humans responsible for managing and running this critical technical system.
Aligning People, Processes, and Priorities
KAIP focused first on building alignment. Through stakeholder interviews, workflow mapping sessions, and deep analysis of documentation and data, we brought program, fiscal, and system perspectives into the same conversation. What surfaced weren’t just structural and governance gaps, but the everyday friction points that were slowing progress.
We asked critical clarifying questions, including:
- Where are approvals breaking down?
- What information feels inaccessible?
- Which processes create more burden than value?
By carefully listening to the perspectives of program managers, fiscal teams, and system users, we uncovered the root causes behind reporting inconsistencies, manual workarounds, and limited transparency.
This discovery phase began the process of building shared understanding, clear priorities, and a foundation of trust strong enough to support meaningful change.
Turning Insight into Action
Co-Creating a Structured Path Forward
With a clear understanding of DHCS pain points and stakeholder priorities, KAIP got to work. We began collaborating with multiple contractors to build an actionable governance and operating model. Our goal was to ensure this model would align to the multiple perspectives and requirements involved.
Clarified the
Operating Rhythm
Developed a Recurring Meeting Matrix to understand and illustrate the complexity of the existing system.
Streamlined
Meetings
Used governance mapping and cadence redesign to reduce duplication and shift to decision-driven working sessions. Accelerated issue resolution and reduced stakeholder fatigue across teams.
Built an
Organization-
Specific
Ethos
Partnered with DHCS leadership to define habits and structures that supported, rather than detracted from, their desired organizational culture.
Embedded the new cultural guidance into governance charters and reinforced through recurring forums.
Created
Alignment Forums
Established structured alignment checkpoints to surface risks, validate priorities, and recalibrate.
Created a sustainable rhythm to keep modernization anchored in operational realities and executive vision.
Cultivated a
Culture
of Collaboration
Embedded alongside DHCS teams to facilitate cross-functional working sessions to elevate diverse perspectives and reinforce shared ownership of CA-MMIS outcomes.
Paired structured governance with real-time transparency to create a collaborative environment of continued alignment
What Changed—and Why It Mattered
Together, these changes delivered measurable operational improvements and lasting cultural momentum.
Operational Clarity and Control
- The DHCS vendor relationship reset strengthened vendor management by standardizing workflows and improving fiscal reporting visibility.
- Eliminating manual workarounds restored contract lifecycle control, strengthening compliance and accelerating daily operations
Alignment Across Teams
- Achieved clearer governance and shared accountability by shifting program, fiscal, and system teams from fragmented coordination to structured alignment
- Reached a state of intentional team collaboration by defining roles and streamlining forums, creating a consistent operating rhythm
Reinvestment in the Mission
- Reinvested time and energy in delivering services by reducing system friction
- Strengthened program execution to improve outcomes for Californians by smoothing the vendor management process
The Road Ahead
With structured processes, improved reporting, and stronger governance in place, DHCS is positioned to continuously improve their technical systems.
As importantly, they have a repeatable model for organizational change that supports the long-term efficacy and well-being of their teams.
