Industry Insights
Why the Future of the Laboratory Information System Must Be Active, Intelligent, and Integrated
August 16, 2025
Clinical laboratories and pathology groups are under intense pressure. Case complexity is rising, reimbursement rates are shrinking, and compliance requirements are multiplying. Staffing shortages compound these challenges, forcing labs to do more with fewer people.
Despite the high-stakes environment, many medical labs continue to rely on traditional laboratory information systems (medical LIS) that primarily serve as passive systems of record, storing vast amounts of data but providing minimal real-time operational support.
That LIS lab model is no longer sustainable. The future belongs to systems of action: LIS software platforms that not only store data but also interpret it, respond to it, and drive decisions across the organization.
Industry leaders Suren Avunjian (CEO, LigoLab), Jenny Bull (Success Director, LigoLab), and Dr. Ryan Fortna (President, Avero Diagnostics) all share why this shift is critical and what it will take to get there.
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Why the LIS System of Record Isn’t Enough Anymore
“Many labs today have data flowing into their LIS systems, but it’s not helping them at the moment,” said Avunjian. “Departments work in silos, information gets buried, and leadership often learns about problems only after they’ve already caused delays or rework. In today’s environment, that’s simply too late.”
The LIS system of record stores information, patient demographics, accession logs, laboratory billing codes, and audit trails, but doesn’t proactively assist staff when quick action is needed. This reactive posture slows down operations, reduces efficiency, and increases the risk of errors.
“A modern LIS system must be able to sense, interpret, and respond in real time,” Avunjian emphasized. “It’s about transforming the LIS lab solution from a silent observer into an active participant in the organization’s success.”
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What the LIS System of Action Looks Like
The LIS system of action goes far beyond data storage to become a dynamic, intelligent engine for all laboratory operations. Key characteristics include:
- Proactive Alerts: Detecting delays, backlogs, or missing specimens and notifying staff immediately.
- Rules-Based Automation: Executing lab workflows automatically, whether routing cases, verifying accessions, or flagging errors, without manual intervention.
- Role-Specific Dashboards: Delivering the right data to the right people at the right time.
- Continuous Improvement: Learning from every event to refine processes and reduce future errors.
“This is more than a LIS software technology upgrade,” said Avunjian. “It’s an operational transformation.”
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The Urgency for Change
Several industry trends make this laboratory information system evolution urgent:
- Rising Test Complexity: Molecular, genetic, and outreach testing demand faster turnaround and tighter coordination.
- Staffing Shortages: Every department is stretched thin, requiring the medical LIS to shoulder more routine work.
- Compliance Demands: CAP, CLIA, HIPAA, and SOC 2 all require traceability and rapid response.
Economic Pressure: Shrinking reimbursements and higher costs mean inefficiency is no longer survivable.
“Labs aren’t just behind-the-scenes anymore,” Avunjian noted. “They’re mission-critical partners in patient care, and expectations are higher than ever.”
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Operational Gains: Dashboards and Automation
For Bull, the transformation becomes tangible when labs start using real-time dashboards and automation tools.
“Imagine walking in Monday morning and immediately seeing where your bottlenecks are, specimens stalled in transit, data entry delays, or equipment downtime,” Bull said. “You can address them right away, before they escalate.”
Dashboards supported by an advanced lab information system enable:
- Performance comparisons across sites and shifts.
- Instant access to audit trails during inspections.
- Real-time productivity tracking for leadership.
Automation also extends to case assignment. “In many labs, assigning cases can take hours daily,” Bull noted. “With a rules-based automation engine, it’s done in minutes, factoring in specialty, workload, and staff availability.”
Quality control also benefits. Advanced positivity tracking flags anomalies before they impact results, while forecasting tools help labs adjust staffing and supplies for seasonal surges. “The data isn’t just stored; it’s put to work every day,” Bull said.
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Financial Protection: Modern Laboratory Revenue Cycle Management Integration
From Fortna's perspective, the LIS system of action is just as critical for revenue protection and the laboratory billing process as it is for clinical efficiency.
“In today’s reimbursement climate, you can’t afford to be passive about revenue,” Fortna warned. “Payers sometimes change rates or deny claims without clear notice. If you’re not actively monitoring payments against contracts, you can lose significant revenue without realizing it.”
An integrated medical LIS and lab revenue cycle management (lab RCM) system enables:
- Continuous payment monitoring for underpayments or denied claims.
- Profitability analysis by region, client, and test type.
- Automated eligibility checks, insurance discovery, and denial prevention.
“These capabilities allow us to focus staff time on complex cases while automating routine lab billing tasks,” Fortna explained. “We’ve cut our billing staff by half without reducing output.”
AI as a Force Multiplier
Artificial intelligence (AI) is already playing a pivotal role in turning systems of record into advanced LIS systems of action.
According to Avunjian, several AI-powered tools are already in production and will soon be supported by the best laboratory information system software platforms. These tools include:
- Integrated Speech-to-Text Dictation for faster, more accurate reporting.
- AI-Powered Requisition Scanning to extract order data from paper forms and reduce the need for manual entry.
- Natural Language Queries to access lab data conversationally.
- Automated Coding of ICD and CPT based on case data to improve lab billing accuracy.
- Internal AI Management System (IMS) to enable labs to plug in approved AI models for everything from QA to workflow optimization.
“AI shouldn’t be a black box,” said Avunjian. “It should be transparent, user-driven, and integrated into the daily workflow to help people work smarter.”
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Building Your Lab’s LIS System of Action
Transitioning to the LIS system of action involves more than installing new diagnostic lab software. It requires a framework:
- Integrate Platforms: Eliminate silos and ensure all laboratory software systems share a live data foundation.
- Automate and Align with SOPs: Map your rules to workflows and route tasks automatically.
- Close the Feedback Loop: Use every action to generate data that feeds back into process improvement.
- Role-Based Intelligence: Assign priorities and tailor workflows so each user sees only what’s relevant to their role.
“The goal,” Avunjian explained, “is a living lab information system that evolves with your lab, improving speed, reducing rework, and increasing both morale and margins.”
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The Bigger Picture
The shift from systems of record to LIS systems of action is far more than a passing trend; it’s a fundamental change in how laboratories operate.
- For Operations: It means faster turnaround, fewer errors, and better resource allocation.
- For Finance: It means stronger revenue integrity and smarter client management.
- For Staff: It means less repetitive work and more time for high-value tasks.
- For Patients: It means quicker, more reliable results and better overall care.
“Every lab will face this choice,” said Fortna. “Evolve or be left behind.”
Final Words from the Experts
“Data is only as valuable as the action it inspires,” Avunjian concluded. “If your LIS system isn’t helping you work smarter in real time, it’s time to rethink your approach.”
“The beauty of the LIS system of action is that it creates a culture of continuous improvement,” Bull added. “Every day, for every role in the lab.”
Fortna summed it up simply: “Efficiency isn’t a luxury anymore. It’s survival.”
The future of the laboratory information system is dynamic, intelligent, and seamlessly woven into every aspect of operations. Laboratories that embrace this evolution will define the new benchmarks for speed, quality, and profitability in modern diagnostics.
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