Americans consume enormously wasteful amounts of medical care. Kaiser Permenante seems to have excelled by reducing not medical care in general but specifically that care which does not improve outcomes, as its record as having the best outcomes in the regions it serves proves.
The quote above was considered a "smoking gun" illustrating the depravity of the health insurance industry by Michael Moore in SiCKO but now is an incomplete summary of how KP has become a model of success.