Hidden Costs of Health System Lab Operation
The Hidden Cost of Running Your Lab Internally
Running your lab internally offers a sense of control and continuity. It aligns with existing systems and avoids the need for external change. However, beneath that stability are often overlooked inefficiencies and missed opportunities that impact long-term performance and sustainability.
A Partner Built for Growth
Operational excellence is only part of the equation. Our model pairs laboratory expertise with a dedicated outpatient market strategy developed over 28 years to help health systems improve performance and expand opportunities for growth. See the key challenges and partnership solutions at a glance. Download infographic ⭳
Fragmentation Across Systems
Many health systems operate multiple laboratories across hospitals and sites of care. Over time, these environments develop inconsistencies in processes, staffing models, and performance. This fragmentation leads to inefficiencies that are difficult to measure directly but have a significant impact on cost and performance.
Underutilized Resources
Without a systemwide approach, resources are often duplicated or underutilized. Equipment, personnel, and infrastructure may not be deployed in the most efficient way, limiting the system’s ability to scale.
Staffing Challenges
Laboratory staffing remains one of the most pressing issues facing health systems today. Recruiting and retaining skilled professionals is increasingly difficult, and isolated operations make it harder to adapt.
Untapped Outpatient Growth
For many health systems, the laboratory represents one of the greatest opportunities to expand outpatient revenue. Yet developing physician relationships, increasing market share, and building a successful outreach program requires dedicated expertise that most health systems don't have internally. Without a focused market strategy, significant growth opportunities remain unrealized.
The Long-Term Impact
Individually, these challenges may seem manageable. Collectively, they create a system that is more expensive, less efficient, and harder to sustain over time. Recognizing these hidden costs is the first step toward transformation. By understanding where inefficiencies exist, health systems can begin to explore models that address them more effectively.
Instead of Managing Everything Alone:
- Share operational responsibility
- Align incentives with a strategic partner
- Scale infrastructure and resources
- Maintain influence over long-term direction
Start a conversation about transforming your lab without giving it up.
How Health System Partnerships Address These Challenges
Standardize Operations
- Align testing platforms, workflows, and quality programs across the network
- Reduce variation and improve consistency
Optimize Resources
- Consolidate high-complexity testing where appropriate
- Maximize utilization of equipment, facilities, and expertise
Create Operational Resilience
- Reduce dependence on individual sites and hard-to-fill positions
- Share expertise and resources across the network
- Improve continuity during vacancies, leave, and turnover
Drive Outpatient Growth
- Grow outreach services with dedicated laboratory business development expertise
- Leverage a proven outpatient market strategy developed over 28 years
- Increase patient access and market share
Maintain Strategic Alignment
- Maintain governance participation
- Align incentives around quality, service, and financial performance
The Result
- Improved operational efficiency
- Reduced long-term capital and operating costs
- Expanded testing capabilities and innovation
- Stronger workforce support
- Sustainable growth for the health system
Transform your laboratory from a cost center into a strategic asset.